The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-08-11
LUMBER RATES WENT UP,
The Business Was Given to
the S. E. Slade Com
pany.
Price Increased to $12 After a
Bid of SO Was With
drawn.

Reference to the records in the office of
the secretary of the State Board OF Harbor
Commissioners brings to light the fact that
the s. E. Slade Lumber Company supplied
lumber in October, $685. for SIS per 1000
feet. Subsequently the firm advanced the
price to $12. Now the State is paying Pope
& Talbot Sill.
In an interview yesterday Harbor Com
missioner Colnon said:
"When came into Office the State was
paying the S. e. Slade Company $12 per
1000 feet, I thought the price too high,
and asked Commissioner Cole whether
there was contract with the Slade Com
pany, and he said there was not. Then we
received proposition from Pope & Talbot
to supply us at $11 per 1000 feet.
The question was asked: "Did it ever
occur to the Harbor Commissioners to in
vite proposals from all amber dealers and
thus open the supply to competition
wherein the lowest bidder should get the
contract?"
Mr.. Colnon replied: "That was consid-
cred, but l regarded the first saving of 5000
q month effected by the reduction of the
price from So to $1l as sufficient for
trial of six months We may secure further
reductions in the open market"
docs not the law really require all
State institutions to award contracts to the
lowest bidders?"
with the law, having investigated the sub
ject in his newspaper, and the Commits
sioners were not required to invite bids for
supplies involving an outlay of less than
$4,000.
1t was suggested that the continuous
purchase of lumber, amounting in each
month to nearly $3000 Appropriated $780,
600 year, and should be opened to compe-
tition.
Mr.. Colnon insisted that the Commits
sioners knew the law and understood the
market, and would get lumber still cheaper
if the price declined. He said further:
"There are rumors that q lumber trust is to
be formed to advance prices. Ii dealers
combine to put up prices on the State, We
shall establish yard and bring our own
lumber here"
At the office of Pope g. Talbot inquiry
was made as to the prices charged the
State by that firm. The reporter was re-
ferred to the Harbor Commissioners.
AT the Office of the Golden Gate Lumber
Company, Suffer street, d. III. Bibb,
vice-president, impaired the information
desired He said that his company and
not the Slade Company, as stated in The
CALL made the proposition to the Harbor
Commissioners some time ago to supply
lumber for So per 1oO0 and subsequently
withdrew it as it was not accepted.
In reviewing former dealings with the
State Board of Harbor Commissioners he
said: For nearly ten years we supplied
the Commissioners with lumber. We were
in a sense the vehicle to procure it. The
patronage, if it can be so called, was dis
tributed by US to eight or ten of the lead
in linn hf.r- n aoI ty,f ha
gave out rs per cent of the entire business
to other firms. The fact that we held the
privilege for so many years is in itself
proof that we distributed the business
properly to the trade. When Commits
sioner Cole came into Office he took the
privilege away from US for some reason
and gave it to the Slade Lumber Company.
The Pacific Pine Lumber Company put in
a bid to supply lumber at $40 per 1000 feet
and we put in proposition to furnish it at
IS, but neither proposition was accepted.
After nay offer had remained with the
board for several months without securing
any notice that / could hear of, I con-
cluded to Withdraw it.
Now in regard to advertising for pro-
posals and awarding the contract to the
tinued Mr.. Bib, 8that the State
saves from $4,000 to $4,000 year by pur-
chasing the lumber IN the open market.
No single firm cares to keep on hand
large quantity of the sizes required by the
State, and for which there is little call else
where. [ am not now supplying the State
with any lumber, and can speak certainly
without prejudice
The question was asked: "Did Mr. Bas-
sett, who was Commissioner when Mr..
Cole took the privilege from you, join in
giving it to the Slade Company"
Mr.. Bibb replied: 'sThat do not know.
| only know that it was taken from me
and given TO the Slade Company"
The records of the Harbor Commission
ers clearly show that the Slade Company
advanced the price to $12 per 1000 with the
knowledge of Commissioners Cole and Bas-
sett after the Golden Gate Company's bid
OF SIS was Withdrawn.
Commissioner Colnon calculates that the
reduction from $12 to Sill saves the State
$500 month, hence it follows logically that
the advance from So to $12 must have
cost the State $4,000 month.