The San Francisco call., 1897-03-20


used for the payment OF indebtedness
other than bonded indebtedness.
Engineer Schussler, replying to Mayor
Phelao. again stated that The COM pany.
properly was worth more than the Donos
and stocks would realize. He felt con-
WINGED that the stock would sell 1or more
than 98 ii the people only entertained as
good an opinion of and knew as M ucn
about the works as he did. The fact tnat
the s,ock did not sell at par was due to
want of confidence, attributable In great
measure to the. rates being subjected 10
the regulation of every fresh Board OF
Supervisors.
He contended that the low rate OF IN,
terest paid by savings banks was causeo
by the security of the investment.
The Mayor asked: Assuming tnat
your property is worth more tnan Va
capital stock plus the bonded indebted
ness. would you not think that an invest
ment in your stock when the Supreme
Court has guaranteed you reasonable
rate would be safer than an investment
in savings bank at 4 per cent p
Engineer Schussler-We would be qults
satisfied if that reasonable rate were per
cent.
The Mayor rejoiced that the rate OF in
terest was not a fixed quantity, and, as
Mr.. Ames had said, money was worth
what it would bring in the market: len
years ago per cent was freely PAID, Dut
now per cent was the average rate.
In the course of further discussion be.
tween the Mayor and M. Schussler the
former instituted a comparison between
the gas company and the water company,
his intention being to show that water
works should be safer undertaking than
gas works. To illustrate this principle ne
pursued the Socraiic method OF conduct-
ing an argument.
"Who made the water?' asked he.
"God Almighty" was the prompt and
orthodox reply.
Who makes the gas?"
'Mr. Crocker, l believe" responded the
witness, with smile.
He insisted. in spite of the Mayors illus
trations, that water investment was in
many respects more uncertain than gas
investment. in fact, he wouldn't be pre-
pared to advise q man with small capital
to invest it all in stock OF that description.
Ii would be safer to deposit it in a savings
bank.
After this desultory discussion had con-
tinued for some time, both gentlemen in
duging in what are known as badinage
and persifage, the Mayor reverted 10 the
much.discussed question of the New York
water works.
Mr.. Schussler pointed out that the
Mayor omitted from his calculations the
higher pressure supplied by the Spring
Valley Water Works and the extra price
of coal here. In New York the household
ers living in upper stories had TO carry
the water upstairs or have it pumped.
The Mayor then reminded Mr.. Schuss-
Ter of the investigation of 1890 and asked
Clerk Russell to give the committee some
information on the subject. The clerk
stated that an investigation was held in
that year, but though regarded by the
fhnrnnOh loft yhor
the committee came to fix the rates the
company desired to be heard again.
The board, however, was satisfied with
the scope of the inquiry, and refused to in
vestigate further. The company ap-
pealed to the courts, and set mp the ex-
ception to the rate on the ground that the
investigation was not complete.
LAS / understand" said the Mayor
''the court declared that the rates would
stand after a full and fair investigation" I"
ut was victory for both sides: replied
Mr.. Russell, amid laughter.
The chairman asked Engineer Schussler
how long the overflow at Crystal Springs
had been going on.
The witness quoted the following figures:
On February % the water was a quarter of
an inch above the dam; March the over
flow was three-quarters of an inch deep;
March 2, 5 inches; March 3, 5h inches !;
March 4. 81 inches; March 5, 611 inches !;
March 6, inches; March Z, 14A inches.
These figures were gradually re0uced to
2A inches on March 10. An inch deep
ABOVE the dam represented an overflow of
1900 gallons, or for the whole width of the
dam about 1900, 900 gallons.
This subject was freely discussed and
reported at earlier stages OF the investiga-
Iion.
The committee, on rising, decided to
resume the inquiry next Friday evening,
-,l~ 81 fx,u ,cl, Il
ditional information, which will bring it
to conclusion. Complaints against the
company will also be heard on that occa-
sion.
Supervisor Britt moved the following
resolution:
Resolved That the Board of Supervisors of
the City and County OF San Francisco respect
fornia 10 submit Assembly constitutional
amendment No. 81 to the people, in oruer that
this City may be enabled to extricate its local
government from the utter confusion iuto
which it has been cast by conflicting laws and
the decisions OF the courts !; also
Resolued, That the clerk of the board be
directed to transmit this resolution forthwith
by telegraph to the President OF the Senate
and to the chairman of the San Francisco
Senate delegation.
The Mayor explained for the in lorna
ton of the board that the object of the
amendment was to enable the City to OBJ
tain freeholders' os legislative charter
which would control not only the CITY
but also the county officers, thus remov-
ing them from legislative interference.
They would no longer be affected by the
county government act. The board had
already indorsed the amend ment, but as
the Legislature was on the point of ad-
journing it was necessary to take imme-
date action, in order to bring the matter
before the people.
The resolution was carried and the board
adjourned.