Arizona republican., 1902-09-07

would be but one seller and he would be anxious to sell; it would seem that they should easily agree upon terms The maximum value of the properxy to be sold is simply the amount of money necessary to construct a new system of canals, etc. adequate to the carriage and distribution of both stored and other water.
 | In the event of new construction the old canals would be valueless, for there would then be no purchaser and the | relation suggested above as anomalous would be changed. If this plan of pur- chase were adopted it would have to be after it was found desirable to do so after negotiations have progressed so far as to determine the price and the | terms of it's payment. The price should be satisfactory and the terms of pay ment adjusted so as to be conveniently met by the purchaser. In this plan, as in the others suggested, there will be difficulty in adjusting the rights of leinors and others who will have to be dealt with before final consummation. The rights of water right owners offer | no obstacle, for if the association is formed as suggested. and purchase of any or all of the canals are effected by it. the water right owners right Is re- placed by better one in the associa- tion, and merged in it, as will be here after explained.
 Another, and the simplest plan, is the acquisition of the canals by the exercise of the power of eminent do- main, by. condemnatio proceedings. This plan may be adopted to acquire the title to one or more of the canals, or of all of them seriatum, as the asso- citation may elect, the procedure being entirely adequate to those ends. This plan eliminates in a great measure a consideration of the right of lienors, etc, as they are transferred to the fund created by the payment of the assessed damages.
 Finally. the association may con- struct its own system of canals and other distributive works
 l have at hand no data from which to make an estimate of the cost of the execution of any of these plans, but whatever that cost may be 1t will have to be paid. The cost might and should have considerable influence in the de- termination of the selection of plan.
 Now, as the raising of funds for meet ing the cost under any plan: The arr ticles of incorporation should provide that all the ordinary expenses of main- tenance and operation should be annu- ally or at other stated intervals be estimated by the directors and assesso | pro rata by the number of acres against the stockholders. That when an extraordinary expenditure is con templated. as for the purchase, con- struction or other method of acquisi- tion of a canal or other works, exceed ing in cost. say s5.000. the board of directors shah formulate the same into proposition to be submitted to the stockholders. The proposition should contain a statement of the purpose of the contemplated expenditure and the estimated amount of it fully enough to acquaint the stockholders in gen. eral way of the purpose of the expendi- ture. Upon a resolution of two- thirds of the directors a special election by the stockholders shall be called to con- sider the proposition submitted, and if two-thirdS of the stockholders shall vote in favor of the proposition the directors shall proceed to carry on the work proposed. and shall assess the estimated cost thereof against the stockholders, as hereinafter proposed.
 For the purpose of these extraordi- nary expenses the country embraced in the lands under cultivation by stock holders of the association should be divided into districts. These districts should be made severally to consist as nearly as it is practicable to do so of lands immediately supplied by the canal system; as, tentatively, those lands under the Salt River Valley canal should constitute one district, those under the Maricopa another, those under the Utah another. and so on. Then when it is proposed by the asso- citation to expend money for an extra ordinary purpose, as for the acquisi-
 tion of a canal by purchase, condemna- , tion or construction, the cost should be assessed against the stockholders of the district particularly benefited, and
 amongst those in that district as they , are individually benefited.
 It should be provided that if in par ticular cases it should seem negotiable
 to assess the whole cost against par ticular district, then the council should have power to direct what portion
 should be so assessed. and what portion , should be borne by the association at
 large.
 . If the proposed expenditure is not re- lHuliC CO lO Oc dll III OHt year lnS
 assessments may be made payable in e annual or other perodical installments
 adjusted s0 as to meet the expenditure f as they may be required. The manner of enforcing the payments of such as- 2 sessments Is explained in another place
 The articles should provide that the I shares of stockholders should be com , plete evidence of the right of the holder
 to the use of the water for the irrigation 7 of designated land at the rate of one 1 acre for each share of stock, subject F to the rules and regulations prescribed by the association therefor. That the
 ownership of stock shall be evidenced by a certificate thereof, duly attesteo 9 by the proper officers of the associa- s tion, wherein the, lands to which the I water right is appurtenant shall be de . scribed with certainty sufficient tc f identify them. That the stock shall be r transferable on the books of the asso- n ciation. but as appurtenant to the , lands described in the certificate, and l the same shall be deemed to pass e whether expressly conveyed or trans