Kansas agitator. [volume] (Garnett, Kan.) 1890-1905, 1898-04-15
POLITICAL PROGRESS.
THE MOVEMENT IN FAVOR OF
DIRECT LECISL ALTON.
The Populist States Lead-Rapid Ad-
vances Made Toward Public Owner
ship of Franchises and Public Utilities
State Railroads and Income Taxes.

| and municipal legislation, showing that
the Peoples party has already been in
| strumental in inaugurating important
local reforms. The movement in favor
of direct legislation by the people,
which has manifested itself Of late
years in the increased practice of re-
| ferring specific subjects of state or local
| legislation to popular vote, and in the
increasing agitation for general use
at last eliminated in some Of our west
ern states. South Dakota goes furth-
est by proposing constitutional
amendment, to be voted upon in No
vember next, declaring that 1.-The peo-
| pie reserve to themselves the right to
propose measures. which measures the
legislature shall enact and submit to
a vote Of the electors of the state, and
also the right to require that any laws
which the legislature may have enacted
shall be submitted to a vote Of the
electors Of the state before going into
effect, provided that not
more than five percentum of the quail
| flied electors of the state shall be re-
CURED to invoke either the initiative or
| the referendum"
The sister state of Nebraska has
meanwhile enacted a law, to take i'm
| mediate effect, introducing the same
principle for all local subdivisions
counties, townships, cities, villages and
cohnn1 dicfrtntc-h,,t for tho QtAtp
government itself. A petition Of Is
| per cent of the voters is necessary to
initiate measures or to demand the
reference CT proposed measures to the
people. The question must then be
| submitted to a vote at the next general
election, but If the petition be signed
| by 20 per cent of the electors and con-
tain request for more immediate
vote, special election must be held.
The local legislative body may sug-
gest amendments to measures proposed
| by popular initiative. In such case the
original and modified propositions
must both be placed on the ballot. I'm.
less a majority declares itself against
| both forms, the form receiving the
most affirmative votes becomes law.
The recent and growing popular agi-
tation concerning the management of
municipal property, works and privil
eyes is beginning to bear fruit in legis-
lation. A large proportion of our
states now allow cities and towns
themselves to construct and operate
lighting as well as water plants. Wash
ington last year went further and au-
| thorized the establishment of munich
pal street railways. Especially is there
a tendency to regulate the granting of
| franchises to private individuals and
companies. The chief advances are in
limiting the duration Of such grants, in
demanding some commensurate pay
ment for them, and in making them
subject to popular control. The pro-
visions Of the new charter Of New York
is an instance in this regard. Far
more radical is Kansas law of 1897,
which, however, applies only to light,
heat, power and water plants. This
act requires the grantees of franchises
to report in minute detail the exact cost
of constructing their plant, and semi
annually thereafter the exact receipts
and expenditures of every sort. A
profit of per cent per annum is to be
allowed on the actual investment
shown by these statements, and the
entire surplus of receipts is to go to
the public treasury, unless higher al
lowance be made to the holders of the
franchise by consent of three-fifths of
the taxpayers. No grant may be for
years the municipality may buy the
plant at an appraised valuation. This
law imposes terms even more severe
than those regulating public franchises
in any European city.
Several other states have adopted the
practice of requiring franchises of all
sorts to be disposed of upon competi-
tive bids. While this system may pre-
vent jobbery in part, experience shows
that 1t does not ordinarily win for the
public reasonable payment for priv
ileges granted. Real competition is
seldom possible, especially in the case
Of renewals or additional grants after
one corporation has become thoroughly
established. California, adopting this
practice in 1897, prescribes further that
the minimum payment to the munich
pal treasury for any kind of public
franchise shall be three per cent of the
gross receipts. No payment whatever
is to be made, however, during the first
five years of the grant. Wisconsin
has passed a somewhat similar law.
whose adoption is left to local option.
The municipality is to fix such condi-
lions as it sees fit as specifications in
advertising for bids. Annual reports
Of gross receipts must be made by
grantees of franchises, whether per-
centages upon them are demanded or
not. The terms of franchises may not
be altered without consent of the hold
ers. Regarding light and water plants,
1t is further enacted by another law
that any proposed franchise may be
submitted to popular vote and must be
so submitted IL 20 Der cent of tho voters