The Billings gazette. [volume] (Billings, Mont.) 1896-1919, 1899-12-08
Manager Rowley Does Not Think
the City Gan Purchase
the Plant.
FIX A PRICE
Until the Stockholders Are Heard
from Difficulties in the Way
Of City Ownership.

Col. Fl. W. Rowley, manager Of the
Billings Water Power Co., accepted the
invitation of the city council to anpear
before that body last Tuesday night,
but lie did not tell them what his COM
pany wanted or would ask for the cleo
trio light and water works plant, or the
water works plant alone, except to say
that he did not think the city able to
buy the plant. This was enough in
itself-Mr. Rowley might as we'll have
told the council that his company
would ask something like $175,000 for
the water works plant.
Mr.. Rowley said he had been CORES
ponding with the stockholders, the ma.
jority of whom lived away from Bill.
ings, but the matter hadn't reached
point that he might give definite an
swer as to the price that would be ask
ed. He also intimated that the city,
after deducting it's indebtedness, could
not purchase the electric light plant on
basis Of bonding for 8 per cent Of the
assessed valuation-about $1,000, O0o.
Mr.. Rowley placed particular stress
upon the fact that the PRESENT system Of
lights and water was combined and
could not be separated without consid-
erable loss to whichever plant was left
on the company's hands. The water
system can be run by either steam or
water and the council must decide
which power it wants. and what por-
tion Of the machinery. He said the
council was the proper party to look
over the plant and decide what maohin-
cry they must have to run the water
sytem, although Mr.. Rowley admitted
that this would be difficult thing for
him to do. But the council could
hardly see it that way. No member of
it is all engineer, and if Mr.. Rowley,
who has had charge of the system since
its inception, some thirteen years ago
and ought to know about it. cannot tell
what machinery is necessary. then the
council is out Of it. The best way out
Of the matter will be for the city to
employ an engineer to come to Billings
and determine this point.
Mr.. Rowley did not wish to be CON-
n1ucSCO az 6pCAhAns III uAO WILL POAyS az
he had not been empowered by them to
do so. He was speaking individually
and his advice to the company would
be, in view Of the existing contract that
he didn't think they ought to be COM
PEELED to sell to the city; that they
couldn't make price which the CITY
could afford to pay, or which the tax
payers wouldn't t think was exhorbitant.
The company is willing to go ahead
and complete it's contract with the CITY,
which runs seven years longer He
spoke Of extensions and Improvements,
which were always necessary, and said
that the city would not be able to make
the nice sum out of the plant which it
anticipated, after the running expenses,
eto. had been paid, nor would it be ell.
abled to reduce the hydrant rental
or the rate to private consumers, which
is anticipated.
Speaking of the mortgage Of $4,000
on the plant. Mr.. Rowley said he did
not see how it could be adjusted salts
faotorily. In the remaining seven
years Of the contract the company hoped
to make out Of the water system what
it anticipated thirteen years ago, when
it was constructed. He said the gross
water receipts for the past year were
$4,000, but failed to tell what the
running expenses were, when requested
to do SO by Alderman Withan,, saying
that he was not prepared to do 80, as
the expense was charged up to both
plants. From the tenor Of Mr.. Row.
ley's talk he was not in favor Of selling
the plant to the city, and would sug.
gest such action to the stockholders.
The plant had paid dividend Of 8 pei
cent during the past year.
Bennighoff asked Mr.. Rowley how he
would go to work to decide on basis
to arrive at price on the plant, and
also spoke about the new pipes having
to be laid last winter on account Of
pipes rottening, which had been in the
ground only twelve years. MIR. Row
ley said that the average life Of pipe
was twenty years. and gave as "a reason
for taking up the pipe that it was in.
adequate. In selling the plant, Mr..
Rowley said the company would take
into consideration several things-what
they we're going to realize on the plant
in the next seven years. since it was on
a paying basis; the plant had been
started when there was comparatively
no future to the town and after many
ups and downs 1t was now paying.
Speaking from taxpayers standpoint,
Mr., Rowley said that he did not think
| the oity could afford to bus the plant.