The San Francisco call., 1898-06-23
LUMBER CONTRACTS THAT SAVORED OF
 BOLD JOBBERY
E. L.COInOn, President of the Board OfHarbOr Commissioners, Sought to Authorize a Profitable
 Combination.

Contractors along the water front who have grown fat through the favor itism of Harbor Commissioner Colnon were much Alarmed yesterday because of what they believed to be a desire on the part of Commissioners Harney and Herold to put an end to the combina- ton that has been robbing the State through the medium of contracts let by the Harbor Commission.
 The alarm was caused by the failure of their patron to authorize the letting of a contract for lumber at the meet ing of the board on Tuesday. Had the contract been let, as was the desire of Commissioner Colnon, the State would have been at the mercy of the contrac- tor for the next six months and would have suffered Q direct loss of many thousands of dollars.
 AS it was, the scheme was nipped Tn the bud by Commissioners Harney and Herold, and now the contractors who have grown wealthy at the expense Of the State are speculating as to tie manner in which their friend, Comms sioner Colnon, was shorn of the power that he had hitherto exercised to the profit of those who were on the inside of the water front combination.
 At the meeting of the Board of State Harbor Commissioners Tuesday bids were opened for the supply of lumber to be used on the water front for the first six months of the next fiscal year. Had the counSelS of Colnon prevailed the contract would have been let to the S. E. Slade Lumber Company at a price of S3 50 a thousand feet in excess of what the lumber can be bought for in the open market. So palpable was the contemplated steal that Colnon's aSSo- ciates on the board became aware of what was going on and in spite of Col non's protests and assurances, they in- sisted on rejecting all of the bids. This was done, and now there is mourning on the water front.
 4 brief recitation of the history Cf this particular contract is necessary to a full and complete understanding of the manner in which water front con- tracts are manipulated to the great profit of those interested in robbing the state.
 Through the manipulations of the lumber combine and interested officials, former water front lumber contracts have been let for S14 50 per 1000 feet, this figure being paid for rough Oregon pine. AS the time approached for the letting of the contract for the first six months of the coming fiscal year the E. K. Wood Lumber Company broke away from the combine and put in bid to the HarbOr Commission offering to furnish the lumber for $11 90 thou sand feet As such a procedure put an end to the illegitimate profits of the water front ring steps were taken to force the rebellious firm back into line. This was done by means of an agree ment signed by all of the firms in the combine, by which they bound them selves not to sell any lumber to the F. K. Wood Company for less than S14 50 per one thousand feet. As the E. K.
 ood Company does not handle iunl- be- in sufficient quantities to supply the demands of the water front con- tract, without drawing upon the yards of other dealers, this agreement had the desired effect, and the E. K. Wood Company was forced to withdraw it's bid or suffer a very heavy loss
 This having been accomplished the S E. Slade Lumber Company, the firm in which P F. Dundon is interested, and which has often profited by the favor of Commissioner Colnon, as has been proven in a case recently tried in the Superior Court, put in a bid, offering to furnish the lumber at the following prices: Rough Oregon pine (per thou sand feeD, $14. Selected Oregon pine, S19 Flooring, $24. The Pacific Pine Lumber Company also put in bid, the figures named being 50 cents per thou sand more than the figures named by the Slade Company. Both these firms are in the combine. These were the only bids presented and it was these bids that were opened at the meeting of the Harbor Commission on Tuesday.
 Commissioner Colnon asked that the bid of the s. E. Slade company be ac- cepted, but Commissioners Herold and Harney demurred and in spite of all that Colnon could do they stuck to their belief that an attempt was be- ing made to perpetrate a job, and re- fused to change their votes. Both bids were accordingly rejected
 To show the huge proportions of the proposed steal it is only necessary to quote the prices paid for lumber used