The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1896-02-01

cash, per cent of the gross receipts for
the first fifteen years and per cent for the
remaining thirty-five years.
A. NJ. Sicily offered $1105 and l per
cent of the gross receipts for the first fif-
teen years, 2 per cent for the second fifteen
years and per cent for the remaining
twenty years.
L. V. Merle offered $500 in cash without
any other consideration. Each of the bid
ders agreed to erect plant to cost not
less than $lo0, coo.
in view OF the fact that in Eastern cities,
where garbage crematories are operated.
they are made to pay immense profits, not
only to their owners. but to the munich
palities where they are erected. it was
supposed that the Health and Police Com
mittee, which was given in charge of the
matter, would exercise extraordinary care
IN investigating the offers and selecting
that which would be of the most advantage
to the City. The attention of the mem
bers of the committee was called to the
TACT that immense quantities of ammonia,
manure and other marketable products
would be taken from the refuse during the
process of cremation, and that the fran
chise had received an added value in this
City from the fact that it was recently dis
covered that compound which is death
to the vine pest could be manufactured
from some of the garbage
They were shown figures which prove
that in one Eastern city where a garbage
crematory was erected under similar con-
ditlons by private concern at cost of
$3.50, 900 the plant had paid for itself in
three years.
In spite of all this, at its meeting yester-
day the committee decided to recommend
the awarding of the franchise to l.. V.
Merle, whose bid was generally conceded
to be the lowest.
Under the Sharon bid, or even that of
Sicily, it Is believed that the CITY would
have derived a profit of many thousands
OF dollars year, while under the one &C.
cepted all that the City will ever receive
will be the 5000 mentioned in the bid.
The franchise is considered to be partic-
ularly valuable from the fact that garba ga
collectors are required to deliver their loads
at the crematory and are also compelled to
pay 20 cents for every load so delivered.
When the committee convened yester-
day Attorney R. B. Mitchell appeared for
F. E. Sharon. and asked that the franchise
be given to his client as his bid was pal
pably the highest.
Mr.. Sharon" he said, "offers $3.50
cash, and, besides, 2 per cent of the gross
receipts for the first fifteen years, and S
per cent on the gross receipts for each sue
ceeding year of the remaining thirty-fve.
We have furnished bond guaranteeing
to erect plant at cost of $100, 600, with q
capacity of $50 tons day. Under the
specifications our receipts will be such that
the City cannot get less than 100000 in
the first fifteen years, and may get vastly
more. Under this bid the City should get
from $500, 900 to 81 900, 600 out of the fran
chise in the fifty-year term. That is
very moderate estimate. We are prepared
to build the works at once"
Mr.. Mitchell was given no intimation
whether or not his client would receive
the privilege and he left without learning
the determination of the committee.
There was apparently an understanding
regarding the matter, however, for almost
without discussion and by a unanimous
vote of the three Supervisors present
Ben jamin, Morganstern and King-it was
decided to recommend the Merle bid for
acceptance.
1t is said that Mr.. Sharon will not allow
his bid to be rejected without a legal bat
tie, as he claims that the franchise was to
go to the highest bidder and can prove
that his is the highest.
Before the matter was disposed of the
Merchants Association, represented by
J. Richard Freud, appeared and asked
that all bids be rejected and new ones ad-
vertised for, as the body he represented
had recently investigated the matter and
had found the profits to be immense. As
the association has the street sweeping
contracts, he thought it would be able to
handle the garbage question also. He
was Informed that the committee had ad-
yertised for bids in the regular way and
did not desire to delay the matter further.