The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1904-10-13
Edison Franchise Being Round
ed Into Form.
Minimum Charge Provision Has
Been Modified.
FOR A 20 YEARS LIFE.
Council Would Cut 10 Years Of
Franchise.
Informal Discussion of the
Various Provisions.

All three of the subcommittee ap-
pointed for the purpose of making
changes and revisions on the proposed
Edison franchise met Wednesday
night at the city hall for the purpose
of conference. The members of the
three committees are as follows:
Committee on legal provisions OF
Sections and 8; VIM. Green. G. K
Holiday, L. M. Nellis, T. F. Carver
and Chas. f. Spencer.
Committee on revision of rate SEQ
ton No. z: S. T. Howe, Geo. Neil.
S. r. Kutz, J. w. Robinson and Chas.
F. Spencer.
Committee on general amend
ments: L. A. Ryder. Jos. Griley. ]. G.
Sinner, S. S. Rice and Jonathan
Thomas.
Most of the members of these COM
mittees attended the meeting, and
some important changes in the ordi-
nance were agreed upon and will be
recommended to the council.
One of the important actions was
that taken by Mr.. Green's committee
which decided that a 20 year fran
chise was long enough. The Edison
company asked for a 30-year fran
chise, and may refuse to accept 20
year proposition. The city charter act
gives the council the right to grant
any length of franchise that it sees
fit. 1t is not obliged to grant fran
chise for 80 years. This Is piece
of fiction which the corporations have
talked about so much that some or
the members of the council seem to
believe it. The law says in Sec. 16S:
IF at any time after ten years from
the time of granting such franchises.
which said franchise shall be for a
period not exceeding thirty years,
etc.
Sec. ITO says: me renewal Of
original grant. lease, or contract pro-
vided for in this act shall continue
for a longer period than thirty years"
At no place does the law say the
franchise shall be for 80 years. 1t
merely says it shall not exceed thir-
ty years. One reason why all the
corporations are so greedy for fran
chises under the present law is be-
cause of the fact that it permits them
to get a 80 year franchise if they can
and a 80 year franchise is worth just
twice as much as a 20 year fran
chise would be- Twenty years was
the corporations fear that the next
legislature will restore this portion OF
the old law.
The rate committee agreed to rec
ommend favorably the maximum
charge of 1 5 cents per kilowatt, which
was proposed by the company. The
committee has not received any ex-
pert assistance, nor has 1T Instituted
a searching investigation to ascertain
exactly what the charges are in other
cities.
minimum monthly charge. The minimum
charge as agreed upon by the COMMITTEES
months mi5r m and az $50 a month in six winter
months. The Edison company wants it
wants it 81 all the year around, and he
may make fight in the council Tor TINS
On the advice of T. F. Carver. repre-
senting the Commercial club, the commits
tee decided to make an important change
Vides in section 10 that the council has
the right to regulate rates for gas and
electric light companies, but shall never
prevent the company from earning 10 per
cent on it's investment over and above its
reasonable operating expenses and the ex-
penses for maintenance and taxes. Strange
though it may seem in section 167, relating
to water franchises, the city can keep
the earnings of water companies down to
s per cent on the capital invested over
and above reasonable operating expenses,
etc This is apparently a discrimination
in favor of the electric light concerns.
Quite possibly it was put there for Just
such an occasion as the present one. Mr..
Carver advised the committee to avoid
both of these provisions and simply say
that the council reserves the right to fix
the rates, subject to the limitations of any
law which might be in force at the time
much better shape for the city, because
the present city charter is certain to be
modified sooner or later
ing the city a certain per cent of the gross
earnings Ol the GOmPduN- Is SOAle-
thing which the city charter act does not
cover. 1t says in section 10: LAS a con-
sideration for said franchise said
persons, company or corporation shall pay
into the city treasury 10 per cent of its
earnings its investment" This provis-
ion will never make the city rich. There
is not much danger of its ever producing
a cent of revenue What would really be
Of benefit to the city would be a per cent
on the gross earnings, as suggested by
Mr.. Green. But il is doubtful whether the
city can contract for per cent on the
gross even if the Edison company were
willing, which it probably would not be.
j: w Robinson of the firm of Robinson
and Marshall was present at the meeting
and renewed his statement that the Edi-
son company was charging more for its
lights than it has been in the past. G. K.
superintendent of the Edison
company said this was not the case; that
the Increase in the light bills was due 20
the more light furnished. Mr.. Robinson
will probably present further evidence OF
his assertions when the council meets to
consider the-franchise as a whole.