The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1903-11-25

The long drawn-out controversy
! over a new gas franchise for ST. Paul
| is approaching an end.
There is a possibility that customers
| of the st. Paul Gas Light company
may be enjoying the first cut in rates
in 1904.
These rates are $1.15 in 1904, $1.1O in
1905, $1.O5 in 1906, and a fiat figure Of
! 81 beginning Jan. /, 1907, and continu-
| ing during the life of the new fran
! chise, subject, however, to change by
| council, should that body be able to
| show good reasons for a lower figure.
| Last night the company, through its
president, A. p. Lathrop, and attorney,
| Carl Taylor, informed the council that
| it was agreeable to compromise pro-
| vision providing for lower minimum
| charge, and also one giving the city
| control of its electric rights, but that it
| could not entertain any purchase or
| reversion clause for the plant, such as
proposed by Corporation Attorney
| Michael.
The two latter provisions, which pro-
| vide for privilege of purchase, at
| structural value only, of the plant by
| the city in 1912, and at the end of any
! five years thereafter and, in the event
| of failure to buy of the reverSion of the
| chise without any cost whatever to the
| city, Mr.. Taylor said were revolution
airy and could not be, entertained by the
company.
why, no company could live under
| such provisions said Mr.. Taylor
! Will Meet Again Next Monday.
With two of the four points in dis
| pute, better minimum charge than 81,
| as first proposed by the company, and
willingness to permit council control
| of the company's electric rights prac-
tically settled, the council at once ac-
| cepted Mr.. TaYlor's suggestion of an
other meeting and adjournment was
taken until next Monday evening.
In the meantime the company and
4 the legal department will consult re-
garding the compromise suggested on
A two of the points in dispute, and they,
| in their new form, will be presented to
! the council for consideration when 1t
| next meets. An effort will also be
made to bring the various interests to-
| gether on the other two points which
| the company a present refuses to con-
| slider.
| BY the companys acceptance of
| charter control of it's electric lights, an
| additional revenue of 5 per cent of the
| gross earnings from this source will
| accrue to the city. and extensions of
l
now enjoying the service will be made
4 mandatory upon the company. City
\ control of this feature will be the same
1 as that which is to prevail in the case
| of gas main extensions, which the
| company has already agreed to.
| During the discussion Corporation
| Attorney Michael was asked if the
| purchase clause proposed by him could
| not be eliminated without harm to the
| city's interests, but he said he was not
prepared to say. AS to the revision
| clause, he thought it a vital point,
| and should be carefully considered be-
| fore being cut out.
| Attorney Michael Questioned.
| Mr.. Michael was asked why the city
| had not taken advantage of rights of
| purchase on two previous occasions, in
| 1877 and in 1897, but he said that he
| was unable to explain. He had found,
| however, that the company had given
| big mortgage three years before the
last right to purchase expired.
| Mr.. Michael was also asked if he
| thought the city could sell franchise,
and he answered that he thought. il
| it became publicly known that the
| present company could not obtain an
extension, there would be number in
| the field to take advantage of its mis-
fortune. Mr.. Michael said he wanted
lit understood, however, that he was
not advising any such step, and he ia
| vored, If possible, an agreement with
| the present company.
John H. Mitchell Jr., a member Of
| the franchise commission, in answer to
| the question, What actuated the re-
port submitted by the body several
| months ago." said the sole aim of the
members was to secure for the city the
! greatest concessions from a situation
| that offered little in the start. zone of
| these was rates. said Mr.. Mitchell,
land we believed that when 81 gas
was agreed to we had accomplished
| much
| Mr. Mitchell lamented the fact that
| citizens and the consumers of gas had
| shown little interest in the matter. and
| said it was a shame that such indiffer
| ence prevailed. The whole thing, he
said, was a proposition that merited
much attention and investigation, and
| If an agreement was reached it should
| be on the basis of fairness to all in
| terests.
| Yesterday quite long conference
| between the gas company officials and
| Corporation Attorney Michael was held
| in the office Of the latter. Crawford
Livingston. a former president of the
| gas company, was also closeted with