New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-12-23
community that feeds and grows fat on east
wind will not starve while these two are IN the
pulpit with their mouths in working oraer.
LIMITED FRANCHISES.


One Of the most valuable provisions which -
said TO be embodied in the proposed Greater
New-York Charter is that limiting the life OF
future public franchises. III II becomes inc
law there will be no more perpetual franchises,
but after specified time corporate privileges
will revert TO the city, by whose favor they
are cnja;cd. and their value will he period'cail!
readjustcd so that the city's income Will bear
some reasonable proportion 10 the prof's OF
those who carry on business by its permission.
One does not need to he an advocate OF hn-
nlcipal ownership and operation of street rail-
ways and other public works to favor the
proposition that all public grants to private per-
sons should after a period lapse and lapsihs
carry to the city title to the plant when uses
It's streets. This is not socialism II Is just
plain business sense. 1t Is the application or
the same principles to public affairs that any
private property holder applies TO his own
dealings. Owners Of valuable real estate reg'l-
larry dispose of it OH lcasclold. draw an III
come from II rcadiusted to tie value at inter-
walls. permit tenants TO build large blocks upon
II. and finally receive back land and building.
sometimes paying for the latter, sometimes
simply taking it as an appurtenance Of the
land. Certainly no valid reason exists why the
city should not exercise the same rights when
il gives I'D 10 corporations streets. without
which they could make nothing. with which
capital can double and treble itself in few
veors The companics could well afford TO
take q grant for fifty or fewer years. pay 4
proportion Of their Income to the city, AMI
agree 10 surrender the streets together with
the works nppertaining to them. ut the expira
ton of the time fixed. or course they Will
not do II of their own accord. But give them
the chance to accept leases of city property on
the same basis as they would accept n private
lease or TO give up the chance OF making
money which the municipal grants confer. and
they will not long hesitate In choosing. The
streetcar gas and electric privileges in great
city like this are so essential 10 the persons
engaged in those activities and the patronage Is
SO enormous that the companies may well De
content with the great income which the
franchises bring them without taking thought
of their original investment. In most cases the
money outlay does not nearly equal the value
obtained from the city, and the smaller share
Of the indivsible asset may fairly bc con-
sidered as Il mere fixture Of the leaschold.
We have not yet reached the point. however.
where such an attitude toward corporations is
likely TO be taken Owners find II too easy 10
convince us that we should forget what they
have made from our franchises and II we want
their plants should pay the uitermost farihine
they ever put out. either originally or from
gross earnings, and also pay interest on those
sums IL we can secure reasonable limit 10
the term of corporate grants and make them
pay a really adequate return 10 the city we
shall have made "A substantial advance. To-
day n large share Of the most valuable privi-
lcges New-lorl. and Brooklyn have had AT their
disposal are he'll practically IN peipctuity 10:
almost nominal compensation. Almost ilic only
Income from many OF them Is that obtained
from recent concessions. such AZ FOR ching"
Of motive power. made 10 old companies
which before enjoyed free privileges. But n
the city grows grants which now seem IL
trhing as did many Of those given away
twenty-five or fifty years ago viii become rx.
tremcly valuable and fhos" values should he
conserved TO the public by limited grants for
compensation with provisions for rcycr>ion AMI
REIMBURSEMENT. With The theory Of making
franchises contribute adequately Ia the treas
,ry there is general agreement. but officials
are prone 10 make easy bargains. and II IL well
10 have ;hc city's rights protected in the char