Hutchinson gazette., 1902-02-13
The WATER WORKS,
Judge Mahlu Discusses tho WaiOr Works
Proposition.


20 the proposition for the purchase OF
the water works, In II Is much that
has beon discussed In the papers
before, but there Is also some new
matterand 1t Is an exhaustive and
careful resume Of the question. Az
ter reclting the provision OF the stat
ute and the decision Of the State SUI
premc court on the law he calls at
tentlOn that If the controversy Is
lltiaated 1t will involve a question OF
vested rights growing out OF the old
contracts with the city, which has
not been passed upon by the state
courts. lie shows how the council
have endeavored to follow the law
which the company has ignored, By
the terms of one Of these contracts
the franchise of the company does
not expire for fifteen years, but That
In six years If the city wishes to buy
and can not agree with the company
on the price, the city Is TO select one
appraiser, the company one and the
third by the Judge of the district
court. If they then fail to make u
purchase, the contract Is to extend
for another twenty years. Concern
ing the proposition Of litigatl4s with
the company to determine the
rights of each party, he says: "lt Is
not likely that the company would be
satisfied with any decision of the
matter until 1t should have been car
ried to the highest court In the land
and as the question Of the federal
constitution is involved the case
could never be determined finally until
heard in the supreme court OF the
United States. The company and It's
attorneys freely admit that they do
not wish to enter into this litigation
with the city They recognize the
fact that the litigation would be long
continued; that 1t would be very eX-
penslve and that 1t would leave the
people of the city in state of uncer-
tainty for many years, The mayor
and the council of Hutchinson are
also adverse to getting into such u
lawsuit, and yet the Individual mem
hers do not feel like taking the re-
sponsibility Of violating the plain pro-
visions N the statute which, so far
as they are concerned, appear to be
valid and constitutional,
After discussing the principle of
municipal ownership, giving the afgu-
ments on both sides, and the history
of the negotiations over the purchase,
he says" believe ! can say that the
committee Is UNANIMOUS in believing
that the best settlement of the mat
ter would be a purchase by the city
of the property, provided 1T could be
purchased at price which will insure
that from the income Of the property
itself, all of the interest which the
city would be obliged to pay would be
realized, and that the net income
could be assured to the city sufficient
to practically relieve the city from
the present high price which it is
obliged to pay for fire protection,
and with this view Of the committee
j am in accord. In other words, II
We could feel assured that the prop
erty can he purchased at a price
which with reasonably fair manage
ment will insure an income from tho
property itself that will in the future,
take care Of the interest upon th,
debt, and save the city from paying
from its general fund the SiN thous'
and dollars or more, per ainIln, re-
uuired for hydTant rental, so that the
sum could be converted to sinking
fund which should be applied to the
payment Of the principal as regularly
ms ii accumulated, that we should bC
willing to take the chances Of tr0n'
blcs which arise from municipal own
Crship. in order to settle the present
difficulties in which we are involved.
lie then says "lf the question o.
some legal adjustment and settlement
of the present difficulty with the com
pnny were not before the people II
would require less consideration tt
decide what is the better thing to do.
Speaking of the price asked by th'
company, he says; "In flying thi'
price the representatives. of the com
pany urge that the city is not paying
in cash as they will be required to Il,
If they elect to buy under the Ordi
nance in six years from now, but tha
under the provisions in the PROPOSE
ti0n originally made by the commit
tee, the company Is obliged to sub
nit a proposition to the people b!
which they will receive their pay il
bonds Of the city bearing only fOu
per cent interest They call atten
tion to the fact that the city o.
Hutchinson bonds under present con