Omaha daily bee., 1897-02-28
SETTLEMENT NOT 50 SURE
City and the Water Company Have Not Yet
Come Together.
COMMITTEES PROPOSITION REJECTED
Bennwa opposes Any Extension of the
Franchise and STUNT wants the
city to Fake the Prop
crty at Once.

The prospects for a speedy settlement OF
the differences between the city and the
Omaha Water company and the immediate
investment OF several hundred thousand dol
lars in improvements, which were so prom
ising a few days ago, seem to have gone
glimmering. This is on account of the
~position OF a majority of the members OF
tho council. who are said to have practi-
callly repudiated the proposition which was
agreed on by the special committee desig-
mated for the purpose. The opposition to the
measure developed at a secret session OF
the council held Friday evening. The propo-
sition was informally submitted by the com
| mittee, and Nnen the council got through
with 1t 1t had been amended into a condi-
ton that no enc expects to be accepted by
the water company.
The proposition recommended by the
committee was the same that was agreed on
2 week ago and drawn up by City Attorney
Cornell. 1t provided that the water COM
pany should waive the bills for water for
the city hall and jail, which aggregate
ne arly S11 900, put In seventy-fve additional
hydrants at a nominal rental oil ~ per
year. pay the city a yearly royalty of "a ,50O
and invest $3.50, 900 in improvements within
the next two years. The company was also
20 furnish the free pumping OF water FOR the
exposition. In consideration of these con-
cosstcns the city was to allow the pending
bills for hydrant rentals and waive the
right to purchase the works until the
termination of the contract OF the American
Water Works company in 1907.
This was regarded by the committee and
by citizens generally as the meet satisfac-
tory solution Of the difficulty that the city
was likely to secure, but much to the sur
prise of the members of the committee a
,npct yipprnuS OnnOSitiOn was encountered
tho minute it was placed before the coun-
ell. Benawa was opposed to any plan that
would confirm the water company in lis
right to the franchise and allow 1t to issue
bonds and thus 'swindle the widows and
orphans in the east whose money might be
invested in the bonds.'
STUNT was in favor of taking immediat!
possession of the plant. He wanted the city
attorney instructed to bring
proceedings at once. a nall dozen others
were opposed to the compromise for many
and various reasons, and one by one theil
views were amended into the committee re
port. When this had been accomplished tht
agreement provided that the water compan!
was to pay a royalty of Sl5,O0O per year
furnish $50 h~ydrante at 81 per year each
make a fat cut of Is per cent in the rate:
to consumers, furnish free water fer thu
library building, and also comply with thu
other requirements. as set forth in the orig
inal report. In addition to this, the dis
senters wanted the clause by which thu
right of purchase of tho city was waived
stricken out, but they were finally induced
to abandon that part of their contention
The city attorney was directed to draw W
another agreement according to the decision
of the majority, and this will be presented
to the water company for its approval. 1t ID
understood that the amended proposal viii
not be considered for a minute by the waite
company, and the indications are that unless
several councilmen effect a change of bas'
the present conditions will continue.