The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1899-04-06
Rate to Be Finally
Fixed at 81 so.
CITY FATHERS WEAKENING
HOPES OF CONSUMERS WILL BE
DASHED AGAIN.
Corporations Directors Will Not De-
eide on Their Course Until Attor-
neys Investigate Their Rights.
Stock Quotations Steady.

San Francisco Gas and Electric stock
was steady on the Stock and Bond Elk
change yesterday, opening a. 70 and clos
ing at 723s. This is fraction higher than
the closing quotations Tuesday and but
a point or so under the market price for
the stock before the action of the Board
of Supervisors in reducing the rate to
consumers from 81 rs to 81 10 on Monday
afternoon. The predictions freely made
Tuesday night that the stock would go
by the board when the exchange opened
for business yesterday morning were not
realized. On the contrary, many orders
to sell, received by brokers after closing
hours Tuesday, had been Cancelled before
the doors Of the exchange were opened
yesterday, and the market remained firm
in consequence. All kinds of rumors were
in circulation on the street as to the cause
of the sudden abatement OF the hurry
but there was no excitement.
The true reason is believed to be con-
tanned in report that was perslstently
circulated during the day TO the erect
that the Board of Supervisors would at
its meeting next Monday resclnd It's &C.
ton fixing the rate at 81 10 thousand
feet and order the rate fixed at 81 so a
thousand. 1t is claimed that several OF
the Supervisors who voted for the Dig cut
at the meeting last Monday feel that they
made a mistake and the indica tons thaL
the matter will be recons1dered are OF
such POSITIVE + Ghaaf{e at 5 tna acf69
will be taken. The Supervisors who are
supposed to have experienced a change OF
heart on the subject of gas rates are
said to have been Influenced by the fear
that an arbitrary reduction in the rate
would work a great hardship on the small
holders Of gas and electric STOCK, the
widows and orphans"
President Crockett of the gas company
says there is no foundation for the state
ment that the company has already d.
rected its attorneys to apply TO the courts
for an Injunction to reStain the city from
enforcing the order fixing the rate at 81 TO-
meeting yesterday morning referred the
whole matter to the attorneys for the
company for investigation and report.
This is an important question" said
President Crockett last night, and our
attorneys have been Instructed to 1nVes-
tigate our rights under the law That
was the only action taken by the direct
orS at their meeting this morning, ana
they will take no further steps until our
attorneys have made their report In
matters of policy the actions OF the d.
rectors are Influenced by their own 1udg-
ment, but in legal matters such as this
our course would naturally be according
to the advice of our legal advisers"
President Crockett knew nothing of the
report that the Board of Supervisors
would probably rescind its action at its
next meeting, and he declined TO say
what effect such action would have on the
future policy of the gas company. He
would not say whether he would be salts
fed with the rate to consumers fixed at
81 90, contending that that was a question
that could only be answered by the board
of directors.
There seems to be a misunderstanding
as to the power of Mayor Phelan in the
fixing OF the rate to consumers. 1t has
been stated that the gas company conf
IDENTIFY expected that the Mayor would
veto the resolution passed by the Super
visors on the ground that the cut was too
deep and unfair to the corporation. But
Mayor Phelan will not make use of his
veto, as according to his own statement
he has no authority to do so, even were
he so inclined. The Mayor says that the
power to fix the rate at which gas shall
be furnished to private consumers lies
entirely with the Board Of Supervisors
and that the action of the board in the
premises is final unless the board should
see fit to reconsider the matter Of its own
Volition.
Should the Supervisors rescind their &C
ton and fix the rate at 81 50 next Monday
there is likely to be a great deal of insin-
uating talk concerning their motives and
the influences which tended to bring about
such a sudden and radical change in their
ideas of what the people and the gas COM
pany are respectively entitled to- It may
be that they will be influenced solely by
gas stock, who would be ruined by a de-
probation in the value of their securities,
but the majority of the people of San
Francisco will hardly accept this as the
true reason for such action on their part.
The Supervisors are disinclined to discuss
the matter, and it probably will not be
definitely known until the board meets
next Monday whether such action is con-
templated, or if contemplated whether
the Supervisors vii not in the meantime
experience another change of heart