Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1894-12-07
It wanted. This led to tho request fol
free phones

work 70 ascertain what the telephone
people were willing to do. Several con-
ferences were had between Chairman
Gunst's subcommittee and the authori-
ties OF the company. which resulted. not
In the granting OF the committees re-
quest, but IN the submitting by the COM
pany OF proposition 10 furnish the
desired instruments at a cost OF only half
the present rate. one telephone 20 be
furnished 10 the Mayor free OF cost. and
another proposition concerning the estab-
lishment here OF a conduit system.
did not the committee ask for nine
outside 'phones7' interrogatcd Mr.. Bloom
berg OF the Engineer.
The latter replied that II did. and ex-
planned where these Instruments were
needed. He said, In conclusion, that IT
was due to Mr.. Gunst, who had taken
great deal Of interest In this entire
telephone question, and had worked
zealously both In the subcommittee and
the general committee meetings In this
matter, 70 say he had never ex-
pressed himself as being in favor
OF the city receiving telephones
free OF cost, but had, on the other
hand. taken the ground that the city
should pay for her phones and charge
the company a proper amount for the
fAAfhNoNF e~ASSA0SA ~.
THE CoMPANY'S SIDE.
On motion Of Mr.. Gunst. II was Slen
agreed that the representatives Of the
telephone company present should be
heard.
Mr.. c. f. McCluer. the district super
intendent OF the company, was invited
to speak 20 the body upon the subject
at issue. He came forward, and said that
he did not have much TO say about the
question. as Major Robert Stiles was on
hand to represent the company, being its
attorney He added, however, that as he
held the office OF district superintendent.
he felt II his duty to speak to the Council.
giving his reasons why that body should
not take away the ordinance granted TO
the Southern Bell company a number OF
years ago lie then went into the issues
which arose concerning the joint use Of
the poles, saying that the views OF the
City Engineer I'm regard TO placing the
light and heavy-current wires upon one
set Of poles were erroneous. as such joint
occupancy would cause great danger 10
life and property, and the telephone COM
pany would be equally responsible for
such loss. as the owners OF the heavy-cur-
rent wires. When this question first
arose, Mr. McCluer went on to say, the
company stated that it had no objection
TO the putting Of all the lIght-current
wires on the one set of poles. but that
il did not feel like 1t should be expected
TO put up set Of poles at an enormous
expense to be used by rival company
at mere nominal rental, and to break
up the business built up by the Southern
company. This company, he added, In
conclusion, had been in the telephone
co. and had n1GEaH
beyond the experimental stage. 1t had ex-
pended thousands of dollars in expert
menting. in order to bring its service up
to its present stage Of efficiency, and he
regarded that It would be manifestiy
unjust for the Council at this point 10
take away the privileges u had given.
He said the Council could grant any
other company on earth just such privi-
leges. He denied that his company now
had a monopoly, and said that from sta
tistics he had secured he found that there
was no other telephone company in the
United States, operating in any city Of
approximately the same population Of
Richmond. that charged its subscribers
a lower rate than that which was charged
in this city.
AN EXPENSIVE BUSINESS.
Mr.. McC,uer referred briefly to the
great expense thrust upon such compa-
MES by storms. and the usual necessary
reconstruction periods. and said that these
materially increased the annual expenses
Of operating telephone systems. He was
aware that there was sentiment among
some of the businessmen OF Richmond
to have the rental Of telephones reduced.
but that the rate of $50 here was fair
and equitable. In the event that another
company jumped In here and furnished
instruments at the low cost Of $50 the
result would be, i1e feared, that his corr
pany would put down prices so as TO
compete with the company coming into
the field The outcome of all this could
only be that one would have to force the
other TO the wall then the prices OF the
existing corporation would be put up
high enough TO gain back what had been
lost during such a fight He added tnat
telephones could not possibly be operated
here at a less cost than $40 per annum'
and that any concern furnishing them LOT
less money would be doing so at loss.
He smoke OF the fates of companies
who had infringed upon the patents
of the Southern Bell. ard incidentally
remarked that the old Clay Com
pany was sllenced by the courts
Mr.. Epps asked If this company had
NOT had lis franchises brought up by the
Southern Bell, and Mr.. McCluer stated
positively that 1t had no..
POSITION OF THE COMPANY.
Major Robert Stiles, counsel for the
company. was the next speaker. he
dealt with the case more from legal
standpolnt than otherwise. He SAID ne
had learned that 1t was stated IN the
Council at its previous meeting that the
company only paid to the city $500 year
In taxes. lie asserted that TINS "us
misleading, as the company also alloWeu
the city 10 place upon the company
poles all it's wires, which AT the io"ess
calculation was saving to the city OF
about 81 900 a year. This, he declared
was n contract, which ne did not thinK
could be broken at will, unless one or the
other had failed to comply with the re-
o,irements agreed upon. Major Stlles
treated the legal effect Of repeal, saying
that no matter IL the Council dld re-
vcke the ordinance, in his opinion II
oculd not take the Southern Bell Com
pany's poles off the streets OF Richmohd
because of an act Of Congress whieh per
rnits them TO have sufficient room tsere
He referred but briefly TO the free 'phone
question, speaking more specially 10 ons
noint I'm the matter, which was 10 tre
effect that the company's officers or at
tcrneys had never stated to any one tha'
the city would only have 10 let me com
nsny know what 1t wanted IRON
the telephone people In order TO get the
same. He declared that this was the re-
suit OF a misunderstanding.
In closing his remarks Metor stiles saia
that the company had an undoubted rlgh'
OF passage through the streets OF Rich-
nond sufficient for all practical pur.
noses. and that he did not believe tha'
one company could use the poles OF an
other without allowing proper oompeh'
satIon for them. There was no law
whereby that compensation could be hxeu
Mr.. S. S. P. Pattes0n, who also repre-
sented the company as attorney. was
rendered the privilege OF addressing the
Council, and spoke briefly, tracing the
whole question at issue to the conduit OF
underground subject. He said he thought
the city and the company could adJus
the differences between them II this mat
Ter were only looked properly into by
Council committee. He referred to
large number Of cities in which the nn,
derground system is now employed ano
,s working. he declared, TO the entirt
satisfaction OF both municipalities anc
companies.
CHAMBER or COMMERCE. MEN.
- fxaslria at the conclusion of wha