The age-herald., 1901-11-03

formation. After considerable discussion, which unfortunately eliminated in some bad feeling for the time being, the mat ter was deferred to an adjourned meet ing which was held shortly afterwards. The public was very much opposed to the term of years and the compensation proposed by the majority of the com mtttee, and few nights later several or us were invit ed to meet the committed. The city and railroad attorneys and MT. J. H. Wilson were present on that occa- sion. We agreed to grant the railroad franchise to expire in 1955, they to carry out everything proposed by them In their petition and to pay the city percentage of their gross receipts as follows: One quarter of 1 per cent for the first ten years, one-half of per cent for the sec ond ten years, per cent for the third ten years, 1h per cent for the fourth ten years, per cent for the fifth ten years and per cent for the balance of the life of the franchise. We also put in clause Tn regard to reduced fare for school chil- dren, which has not been satisfactory to all of our people. The railroad company Is now asking for further grants, and some Of those opposed to the school chill dren clause in the franchise granted ask that no further rights be granted unless the railroad company consents that that clause be modified to meet their de- mands. The last petition is now in the hands of the same committee and will be reported for action at the meeting Of the General Council to be held November l6 T know very little of the controversy pending between your Council and the street railroad company, but judge from the clipping you enclose in your letter and from what I read in a Birmingham paper of a later date, that the street rail- road company has petitioned for a long franchise and agreed to extend It's lines beyond the city limits in return. I am not informed If they pay you for the use of your. streets. l presume they are taking this action now, as the new con- stitution provides that such franchises shall not be granted for longer term than thirty years-a provision which in my opinion will be of much benefit to the cities of our State. All municipalities are waking to the fact that the use of their streets is a valuable concession and should not be turned over to street car companies and other firms or corpora tions except for a reasonable remunera- tion.
 "As far as I can learn charge for franchise is of comparatively recent date, and those cities which have not given these privileges away and which are in a position to do so, are demanding and receiving from 2 to per cent of the gross receipts of the street car compan-
 
 city in this country that I know of. She receives per cent of the gross receipts Of the street car companies operating in, her streets and this sum is spent upon the park, which is the property of the city. I would not be surprised to learn at no distant date that the cost of pro- ducing electricity had been so much re- duceds that 1t would enable companies furnishing light and power to cities, as well street car companies, to share a larger percentage of their profits with the municipalities granting them fran chises.' The trend of events points to the eventual ownership of public utilities by municipalities, and believe the day is coming when cities will own and operate their street car lines, as well as water, sewer and electric light plants, and 1t behooves us not to grant long franchises as we may live to see the day when such action will be regretted. We should let cur children and grandchildren work out their own destiny, and not sell their birthright for mess of pottage.
 Yours truly, GARY w. BUTT"