The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1899-02-28
ALDERMAN ALTMAN
EXPLAINS THE BILL
Which Leaves Municipal Owner
ship to a Vote.
CITY COUNCIL CAN ORDER 1T
Bond Issue Cannot Exceed One Million
for Waterworks and Two Hun
dred Thousand Dollars for
Gas Plant.

The city council now has the right to
order an election to give the people an OPP
portunity to say whether they favor NUM-
| cipal ownership of water and gas plants.
The city council can do this at once, or
! the matter can be allowed to wait, just as
the representatives of the people may de-
eide. The advocates of municipal owner
ship claim that the city viii gain nothing
| by waiting. The bill is so worded that the
two plants will pay the interest on the
| bonds and at the same time establish a
sinking fund for the payment of the prln-
cipal. Q q. "a. e = ~.
| Alderman J. ]. Altman, chairman of the
judiciary committee of the city council.
started the fight for municipal ownership
more than year ago. He has gotten data
from every city that has tried the scheme
and he has demonstrated the feasibility of
the movement to the governing body of the
city, for 1t sanctioned the two bills, one for
the purchase or erection or a water works
and the other for the purchase or erection
of gas plant, without a dissenting vote.
Alderman Altman framed the bills and
worked hard for their passage through the
| legislature.
He claims as one of the most favorable
| features of the two bills Is that they leave
the question of issuing bonds for this work
to vote of the people.
| Mobile had a bill passed through the
| legislature for the municipal ownership of
water works, but the question was not SUBJ
mitted to vote of the people.
Something of the Measure
In giving a general outline of the two
| measures yesterday Colonel Altman said:
1.-THE gas and water bills are two sepa-
| rate measures, but the provisions of the
| two bills are very similar In their main
| features, except, of course. that the
| amount of bonds that may be issued to buy
| or erect water plant is very much greater
than the amount that may be issued to pur-
| chase or erect gas plant.
Section l of the bills provides that the
| city is authorized or empowered to estab-
| lish or purchase, own and operate the re-
spective plants to supply the city and
, other consumers with water or gas.
I'm 1ther words. the city can not only
furnish itself with water or gas, but II
is authorized to do commercial business
If these bills are put into operation.
Section two of the bills provides the
amount of bonds that may be issued to
purchase or erect the plants, respectively.
The water works bonds cannot exceed one
million dollars. and, of course, may be less.
as circumstances may require. The gas
| bonds cannot exceed two hundred thous-
| and dollars.
VIII Pay the Interest
Section three of the bills provides that
| the entire net income from said plants, re-
| spectively, shall be applied to the payment
| of interest on the bonds and to sinking
fund to liquidate and pay off the bonds
finally. 1t is undoubtedly true that the In
come will be more than enough to pay in
| terest and to create a sinking fund. So
that really there Is no additional interest
burden on the city. The experience of
cities throughout the United States on this
point may fairly be said to demonstrate
beyond doubt that this is true.
| Section four of the bills provides that
the rate of interest shall not exceed per
cent, and that the bonds may run for a
period not exceeding thirty years.
Section five of the water bill provides
for right of way and for the power of con-
demning streams, springs, etc., for the pur-
| pose or obtaining waiter.
Section six gives the general and usual
powers to carry into the effect the re-
spective acts
Section seven simply provides with more
particularly how the net income shall be
appropriated to meet interest and create a
sinking fund.
Section eight of the bills gives the city
power to fix the rates to consumers, and
also power to enlarge or improve the plants
from time to time.
| Holding of an Election
"Section of the bills provides that be-
fore the board of mayor and aldermen shall
buy or build either water or gas plants and
issue bonds to defray the cost of purchase
or building, said board shall submit to a
vote of the qualified voters of the city the
question of issuing bonds. And that before
said bonds can be issued majority OF
the voters must vote in favor of issuing
bonds.
Section 10 of the bills provides with
great particularly how this election will be
held and guards with great care the elec-
ton, for the manner of holding elections
in the new city charter for city officers Is
made applicable to the holding of this cleo
tion.
Now let three things be clearly under
Stood, continued the colonel. First that
the mayor and board of aldermen are simp-
ly authorized and empowered to hold an
election and must do it before bonds can
be issued, but they may never have an
election, and therefore there may never be
any purchase or building of either of these
plants, and certainly there can be none I'M
less majority of the people vote for it.
Second, 1t was deemed wise and necessary
by the board of mayor and aldermen that
these bills should become law in order
that the people might resort to them
against oppressive charges and impure gas
and water.
Third, that these bills were authorized
at meeting of the board of mayor and
aldermen and not a single man present
voted against them. believe they were
imperatively necessary as a matter of self
protection to the people of this city. AT
least 1 am willing to submit the question
to the people. They may accept one or
reject the other as they see proper"