The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-04-21
FRANCHISES IN PORTO RICO.

There is some talk of amending the Porto
Rican government bill in respect to the
granting of concessions and franchises.
and there is reason to believe 1t could be
improved The bill as it has become law
provides for the appointment by the Presi-
dent of an Executive Council, consisting
OF the secretary of the island government,
auditor, the commissioner of the interior.
the commissioner of education and five ma
tive inhabitants of Porto Rico. This Execu-
tive Council constitutes the upper branch
of the island legislature. and the law says:
The legislative authority shall extend to
all legislative matters not locally inappli-
cable, including power to create, consoli-
date and reorganiZe the municipalities, 10
provide and repeal laws and ordinances
therefor. and power to alter, amend modi-
fy and repeal all laws and ordinances now
in force not inconsistent with the prov1-
sions hereof; provided, however. that all
grants of franchises, rights and privileges
or concessions of a public or quasi-public
nature shall be made by the Executive
Council, with the approval of the Governor:
but all franchises so granted shall be re-
ported to Congress, which reserves the
power to amend or annul the same.
a distinct purpose to place the power of
granting all franchises of public or quasi
public nature in the hands of the Executive
Council consisting of six Americans and
five Porto Ricans, to the exclusion from
any participation therein of the elective
branch of the legislature, which partici
pates equally in all other important legisla-
ton. The vesting of this power in the
Executive Council alone without any re-
striction except the supervisory power of
Congress, without any limitation as to the
terms on which franchises may be granted,
and without any instructions looking to
the protection of the interests of the peo
pie looks if either Intentionally or UNI
Intentionally the door had been left open
for a loose, and perhaps reckless policy
in this regard 1t is true the law gives
Congress general supervisory power over
the matter, but that would be a doubtful
check. What is needed is an explicit provi-
sion forbidding the granting of any public
franchises except upon terms nsuring full
equivalent for their value, and further
provision that all railroad. telegraph, tele-
phone and other insular franchises and con-
cessions shall be approved by the President
of the United States before they shall be-
come operative. Unless this is done there is
danger that rings may be formed and val
liable franchises gobbled up or frittered
away at the very beginning of the govern
ment
There is another view of the case. Porto
Rico now presents a virgin field for ex-
perimental craftsmanship in the matter
not only of granting franchises but of gov
eminent ownership of mines, forests and
public utilities. In all the States and Ter
ritories of the Union governmental policy
in these matters is fixed beyond the posi-
bililty of change. In Porto Rocco it is diff
ferent. We begin there with a clean slate
and can write upon it whatever we please
regarding government ownership of mines,
forests and public utilities. These can be
made of immense value to the island and
to the United States government, and it
is worth while to consider whether policy
should not be adopted regarding them
tirely different from that which has pre-
vailed heretofore and which has resulted
in transferring all such properties to pri-
vate hands.