The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1899-10-31
GROSS EARNINGS TAX
TT AROUsES THE ANTIPATHY OF
THE ST. PAUL GAS COM.
4A44 -s PANY
APPLE RIVER POWER PLANT

Franchise for Use of Streets Dis
cussed for Two Hours Without
Agreement in Assembly Commit
tee-Mississippi Valley Telephone
Company is Granted an Exten-
sion.
The assembly committee on streets put
in two hours yesterday afternoon listen
ing to arguments advanced by attorneys
representing the st. Paul Gas company
for the granting Of franchise which WIFE
allow the Company to bring In its cleo
tric power from Apple River Falls, Wis,
through ccnduits In the streets
The company first presented an ordl-
rance granting the gas company the
right, but on the advice OF the legal de-
partment the committee refused to con-
slider the ordinance and tie application
was changed, to the Edison Electric Light
and Power company by the committee.
Other amendments were made by the
committee such as limiting the time for
which the franchise was granted to twen-
ty-f1ve years and providing for an annual
to the city by the company. X .e
Attorney George C. squires asked for
delay on the ground that he had not con-
sidered the ordinance amended, and
the matter was referred back TO the com
mittee. Yesterday afternoon F. w. M
Cutcheon appeared before, the committee
and argued that under the franchise
granted the Edison company in 1886 the
council had given the company the right
to lay an underground system on East
Seventh and other streets The fact that
the company had not put down any con-
Quits on Seventh street did not mean that
1t had abandoned its rights. When the
company came in and asked for permits
sion to use streets not mentioned In the
franchise the application should be grant
ed in good faith. The council should
grant the rights under the same terms as
: those under the original franchise. Re
lying upon the rights which were granted
the company under the ordinance Of 1885,
arrangements had been. made and bonds
issued for perfecting the work Of bring
ing into the city the electric current. The
power would be of great benefit to the
city as it would benefit the manufactur-
ers. The LOCO horse power could be sold
at, prices TAI DelOW what STEAM COulu US
furnished for. In fact, the price would
be about two=thirds less than steam could
be furnished OF made. If the permission
asked for was not granted without the
payment of aSgross income tax, then the
city wouldzbe: compelled to sell Its power
to Saltwater Hudson and other towns
or dfspose+of 1t to some corporation which
was DESTROYS of purchasing it all. This
would mean that the city of st. Paul and
It's citizens would lose the tnestimable
benefits which would follow the introduce
ton Of the electric power into the city
Questioned. by Assemblyman Kirke as
to what, objection the company had to
the amended ordinance, Mr. Cutcheon
said if the income payment was stricken
OUT the time limit extended to 1928 and
some other minor changes made, he
thought the ordinance would be accept
able = -. r..-=~.
Carl Taylor, former assistant corpora
ton attorney. argued the. granting of the
franchise from, the: standpoint Of the gas
company. Mr.. Taylor prefaced his re-
marks by denying the statements made at
the last meeting by Assistant Corporation
Attorney Gffggs to- the effect that he
had agreed, with. the opinion of the legal
department that the franchise would be
a new grant Of power to the Edison
company. Fhe ordinance granted to the
company in 1885 gave the right to con-
-stfuct an Underground system, and the
council approved: as we'll as designated
the streets. The application of the com
pany to go on other streets was for the
purpose OF not tearing up Seventh street.
which had. recently been paved. The
council could not, he eontehded, pre-
vent the company from going on other
streets not mentioned ip the franchise,
but could only say what streets could not
BE- used on account Of the public inter-
est. = - 80
At clock the committee adjourned to
Wednesday afternoon at 8 o'clock, when
the discussion will be resumed. 49, H..
- c. II. Judsons manager of the Mssis-
sfppt Valley Telephone company, appear
ed before the committee and explained
that, owing to the delay in procuring ca
bles, the company would not be able to
have the 1900 telephones required In the
ordinance In operation Nov. 10. He stated
that the company had expended S220, 600
in this city and s25O,OOO in Minneapolis
The company had ordered it's cables when
the market price was 40 per cent lower
than at present, but was now willing to
pay the present rate. Even with this
offer the company could not furnish the
wire, and, although LOO telephones We're
now in position, there was no wire to
connect the instruments with the streets
here within thirty days, but would pre-
fer that the ordinance be amended so as
to give the company sixty days to COM
plete it's work
The corporation attorney was directed
to prepare an amendment to the ordi-
nance, granting the extension and also
allowing the present surety bond in the
sum Of $4,000 to be substituted by one
from another company.
The ordinance of Assemblyman Dix, al
lowing the iuse'Jof two feet Of the side
walks In trent Of stores and buildings for
the display of goods, was recommended
for indefinite, postponement Assembly
man Kirke took the ground that the or
dinanee would allow owners or tenants
OF buildings to1 rent a portion of side
walks to peddlers and others, and it
would be impossible to move such stands
away under any police regulations.
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