The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1902-07-30
OPPOSED TO THE FRANCHISE.

Estimates the Present Value Of the Ex-
tension at 100000 to 100000.
To the Editor Of The Post.
Houston, Texas. July 29.--I am surprised
thnf any Intelligent person having the best
interests 81 Houston at heart should for n
moment deem 1t advisable under any cir.
cumstnuces 10 sell n ten-ycar street rail.
way franchise, which is not TO take effect
until twcnty-threc years hence. 1t Is i'm
possible TO tell with accuracy, what that
franchise will then be worth, ana 1t Is
contrary to all business principles to dis
pose Of Il so long iu advance OF the time
when It Will 20 into effect. Who for O
moment would imagine that a fair price
could be obtained for any species OF prop
erty. possession Of which was not d. be
given until twenty three years after tho
date x sale. ! believe I au perfectly safe
Ia Saying that II the fralcAlsvs are ex-
tended. even by the terms OF tie ordinance
prepared by the city attorney, the people
" Houston Will le compelled 10 pay Tor
street car f0res, uetWrea lhe years 1875
and 1885. at least S4.vp3Dpo more than
would be tbs case u 40 saea extensions
were gtauted TIE gGa4li9l IS. snail tat
cts council compel e1s c-l51ssz. and those
OF US who msy be- lglzx 4gsa1g sae period
referred 10, C. pay e. lstss ss.tsyf} year
more for sl5eet Gag Talas azta Ng1ld lie
the case IL % aHte-. g1a wel1 granted
there can be 80 Gsssrrt ~ 1sgst GOT tlat.
u tue city ls free ~ trN "a lac Dattei Ia
CVmpBny " sJlle elAsF rvssf say N hi a
would take is plzce Etesd caf sNrYlce for
S'cent fares wsfa 4247ttai- lrpssfrrs. II the
matter 10 Arranged "a fes9E-1ss4be man
ner--posslby ZerHt f8frt ttta - quite
generally the case IA GlE.G1e ;olay
While II IL possible 'nGL lte courts may
hnl fhut fHaH IT afHF a. IL
Ing of the franchise. ca1 be reduced not
wlthst3ndins the t1ieshlv2- % certainly ls
unwise for the CDuuel 70 act upon the
assumption that this eau br done, or TO
take any chances along uils lipe VITA re
spect to Innocent lOideus % Inflated bonds
end stock Allowing per cent per Au-
mum Increase ~ p0puiatlou, which is cor.
tainy u moderate estimate, then. AS shown
by Alderman street, the aggregate gross
receipts OF the street car company pn De
cent fares, between the years 1873 aud
1875, will amount approximately, 10 $40
10000. On the basis OF Scent fares, 80
per cent OF this nm0unt, or Sl,OOOOUO dur
Ing these ten years, Will be left In the
hands Of the people Instead of being al
yided among millionaire owners OF street
Is true, and ! doubt IL any attempt viii
be made, 70 disproye my conclusions
There Is nothing IN dispute between the
city council and the street railway company
10 call for action Of any kind at present,
however agreeable II might be 20 the street
railway company to settle Its Indebtedness
o. the city on the terms proposed. Ii the
street railway company owes the city, ap,
proximately, $4,000 for paving. lct tile
courts compel the company 10 pay lt. to
gether with the . per cent interest which
Is accrulng on this Indebtedness. II II does
not owe this sum- let tine courts determine
what II does owe, MS In the ca&e Of dis
pute with any private citizen What Is the
prompt payment today OF this indebtedness
compared With the value OF the privilege
ef extortlng 100000 In the why OF B
cent, instead Of Scent street car fares
from the people who win be living here
during the period from 1928 10 1882
! make the further assertion withou,
fear of successful contradiction, that the
present value ~ the Sf,0OO.OO0 above men
iioned is approximately, $4,000, at say,
3 per cent Interest, and that the PROPOSE
tion before tbr council amounts to this
That for the paltry consideration offered
the council Is called upon 10 do not only d
most upbusinesslike aud reckless thing, hui
20 present TO the street railway company
franchise worth today, In cool cash 500
90 or $500, 600. for when this franchise Ii
granted the effect OF 1t VIII I've 10 add
100000 or $4,000 70 The value or Tho
street railway company's holdings and h
the bonds and stock which II has issued
aud will issue for the purpose Of absorbln
this additional capitalization. In point II
fact. the street railway company ought tc
II additional nd salorem taxes. a god der
more than tho 5000 which II proposes "a
paw for the franchise extension NY prop
crty IL assessed by the city for inward 81
70 par cent OF It's real value. Why should