The sun., 1894-02-01
NO LENDING OF CITY MONEY.
MAYOR eILROY THINKs PRIVATE
ClPITIL OlN BE OBTlINEn

o<PITLL ohN BE oBT1INEn
Ne sur~..ts thst ,he Tsr-. OF tss Fra-esis'
| BE Hsss More Ltbersi-Khs Rspia Tras.
| cit Con.tss,ou's Report ReeoEssrdinz
the PIsn PROPOSED by n. T. Wiisou a 60
Mayor Gilroy received yesterday afternoon
| the report OF the Rapid Transit Com mission
| approving the Wilson plan for constructing an
| underground road. The Commissioners sub.
| init the letter Of II. T. Wilson 4 Co. offering Ia
construct an underground system OF rapid
transit substantially on the route adopted By
the Commission. The report SAYS:
The recognized financial standing OF this
| firm. coupled with their offer to deposit forth
with 81 100000 in value in approved securities
| in a 6rst-class trust company. on condition
that the same shall be forfeited to the people
| OF the city OF New York in the event that
Messrs. Wilson 4 Co. shall fail to sign the con-
tract for the construction OF the proposed rail-
| road when the execution thereof shall be
| authorized by law and the vote Of the people,
gives such substantial assurance OF the per-
| formance Of their undertaking as to Justify the
most thorough consideration OF the project
they submit
The proposition IL not offered as q substi-
tute for any plans now before the Com mission,
nor lie 1t desired that the work Of the Commits
sion in maturing such plans shall be In any
wise deferred. The new proposition is stated
to be In harmony with existing plans and In
addition thereto.
The inability to sell the underground fran
chise offered by this Commission, and tho fact
that since that offer all attem pts to induce pri
vate capital to embark In the enterprise on
any terms have proved unavailinR. make IL
doubtful whether any underground road will
be built in tho near future by private capital
alone
HDderSroSnd foSd mS Which Sns eTer BEEN y, mae mae
rnd-,n tnred and presented by private enterpriss.
We think the proposition should be submitted
to the Constitutional Convention and to popu-
@ the proposition as submitted by Messrs.
Wilson & Co. does not, In our opinion contain
all the essential features OF such an UNDER
struction OF the road to be executed by Messrs.
Wilson Co should be determined and should
trust eo@pany Tse deposit @ e should be made
under an agreement that in case Messrs. Il. T.
Wilson 4 Co shall fail to sign such contract
shall be forfeited to the people OF this city.
forfeiture absolute. as otherwise the Signature
to the contract might be indefinitely post
Riso Hn0f that Nsssrs r. .0 wison Il: co. ssoud
pay all the expenditures OF this Commission
in a G hs ssG 8.
for route BY which tho east side lne would
be extended above Forty-second street to
Harlem and into the annexed district
The contract should provide that the frst
loan be made upon com pleted section Of the
OF one mile as proposed. Provision should be
made for a hve-cent fare between all points on
north Of the Harlem River. and |. ton cent fare
betTsen all points within the city limits
awaken suficent interest in underground % @
roads H to encourage m private capital to subseri9e
n n undaFDrnnnd III.
way should be received from private capital |
before the adoption Of the reaui.ed constitu- I
pie OF this city shall be tax en- the franchise for
such underground road win be again offered
Il Is mot not Il The Intention Of this Commission
d eevRted s % tRs Ps city R
The report was signed by all the Commits
After reading the, report Mayor Gilroy spoke
very decidedly against the plan, Not that he
but he was opposed to the, city lending its
credit to persons who wished to build tho road
lend it's credit to any private enterprise. He
said he would be strongly opposed 10 the plan
capital would not build the road and until the
people should have decided that they wished
The MAYOR S thought @ Il more favorable terms
wets oisred sd % pTiHass th capita could be INDUCED
taxation for number OF years and II the prop
srty Of the road itself should be exem pted from
ocal taxation for . certain period Private cap
tallsts we're always saying that tho city could
dis pose OF it's throe per cent. bonds at better
igures than they could dispose OF their hve
per cent bonds subject to taxation. After the
present hard times have passed away, II pri-
sate capital could have more favorable in
! iucements held out to It, Mayor Gilroy thought
plenty OF money would come forward. As is
inown. the hackers Of the Wilson plan pro-
he road and ask the city to lend $50 900. 900.
Mayor Gilroy also said 1t would cost the city
It least $1,000 900 to adopt the plan. for By
he charter Of the Broadway road the city re-
,eivss $3.50 600 year for the privileges OF the |
Dad. Funded at three per cent this amount
opresents $4,000. 900. The broadway road |
las . provision in its charter which forbids
my other road. elevated or underground. on |
he street. The proposed underground road
uns under Broadway part of tho distance,
md hence the city would forfeit tho $3.50. 900.
yhen he heard Of Mayor Gilroy's strong oppo-
ave tho road built entirely BY private capital
The matter OF the underground intruding on
he rights OF the Broadway road had been ,
thoroughly considered. He thought II would
ot encroach, and even II It did the $3.50. 900
sould more than be made good to the city By
he increase In valuation OF property and by
eopink In New York the thousands who find ,
hair homes In Brooklyn and Jersey City be-
ause OF the difficulties Of getting up town r
Mr. Joseph lillian and Mr.. S ID. Page. repre-
enting John II. Davis Co. were busy per- :
sctinG the organization OF the Davis syndi- I
ate 4 meeting OF tho men interested will be
aid In Mr. Dayia'a ftiaa To nnKrnU