The San Francisco call., 1904-03-08
Minor Franchises Sought by
Transit Company Award
ed to J. III. Macdonald
PRICE SCARS TO $500
Corporation Says Privileges
Are Not Worth That Sum
to 1t and Buyer Is Reticent
Oakland Office Sam Francisco CAN

night before the City Council the Oak
land Transit Consolidated was out
fought by ]. H. Macdonald, who raised
the Transit Company's original bid of
$500 TO $500. and was awarded the cov-
eted franchises.
The franchises were three in number,
for which original application had been
made by the Transit Company to con-
meet and straighten out parts of their
system and forming a part of their
general scheme of reconstruction of the
Consolidated street railroad lines of the
city in connection with the new Key
Route ferry system. The first was for
a line running south from the Berkeley
town line on College avenue and Broad
way, connecting at FOrtieth street with
the ferry system tracks. The second
and third franchises combine to form
a new connection in the East Oakland
system. These start from First avenue
and East Twelfth street, running
northeasterly 10 Third avenue and East
Eighteenth street. thence to Fourth
avenue and East Eighteenth street, out
Fourth avenue to Newton avenue and
there connecting with the old Trestle
Glen road. This new connection would
form a link in the belt line of the Tran
sit Company 10 connect East Oakland
by way of Piedmont with the new ferry
system line, which is designed to be
operated through Fortieth street and
eastward into the Piedmont district.
ENGS GIVEN TIME.
The Oakland Transit Company's bid
of $500 was opened and read by the.
clerk, and President Dornin, as required
by law, asked if there was any one
present who would raise the bid 10 per
cent. Then the battle began. Attorney
George NJ Shaw, sitting next TO Mac
Donald, rose and said:
"On behalf of ]. II. Macdonald, 1
raise the Oakland Transit Consoli-
dateds bid to S200O.' Shaw deposited
two certified checks for $500 each with
the City Clerk, covering at least 10
per cent of the amount of the bid, and
indicating that he was prepared to go
to $4,000, anyway. Attorney Edward
W. Engs, representing the Transit
Company, said:
This opposition to our bid is unex-
pected. and l would ask the Council
for brief continuance until can find
out how far our people are willing to
go"
He was given a half hour. During
that time Engs was busy comforting
by telephone with the Transit Company
officials and was making a hurried
canYass for money. From every possi-
BILE available source his friends raised
coin, that he might be able to continue
the fight. Engs reopened the contest
with a raise to $4,000. Macdonald sent
it up $1,000. Che Transit Company
Clipped TO s450O. Macdonald came
back with $4,000. Another $500-raise
from the Transit Company was met by
a $1,000 advance from Macdonald, the
figure then being s650O. Attorney Engs
sought another conference with his
principals and shortly returned with a
$500 bid.
Macdonald called $500 and again the
Oakland Transit man went to the tele-
phone. Returning. he said:
NEW ELECTRIC LINE.
1.-The Oakland Transit Consolidated
does not believe these franchises are
worth more than $500 and will bid no
more"
The formal award was then made to
Macdonald, who was given until to-
morrow night to pay over the balance
of $500 due on his bid. Neither at
torney Shaw nor his client, who is
prominent realty broker of this city,
would make any definite statements
concerning the reasons they had for
giving battle to the Transit company.
Macdonald is now the nominal holder
of two other street railway franchises,
one Of which is known as the Cork
screw franchise. This starts from
First and Washington streets and
criss-crosses the Oakland Transit lines
up Broadway and Washington street
to Fourteenth, out Webster and across
Adams Point. Macdonald also holds
franchise to line through a portion
of the Pleasant Valley district in Pied
mont. None Of the franchises he
bought tonight has a direct connec-
ton with either the "Corkscrew' or
the Pleasant Valley franchises, al
though they might be connected.
Attorney Shaw said: I'VE are not
prepared at this time TO say anything
about our plans. 1t is sufficient now
that we have bought the franchises"
Macdonald said: Il am not at lib
erty to talk. 1t might be that a new
electric road could be run out Webster
street"
Attorney Engs said: THE Oakland
Transit Company desired these fran
chises as a part of its system. We
were not willing TO bid more than $500
for them. ! know nothing about the
other people and will not discuss that
matter"
The Council. by a vote of to A.
voted down Councilman Fitzgerald's
resolution directing City Engineer Tur-
ner TO make a secret valuation of the
Contra Costa Water Coinpany's plant,
to be used only in the event of failure
of the proposed arbitration board to
reach satisfactory figure. 1t was pro-
posed that the Turner valuation should
be placed in a sealed envelope, pending
the arbitration. Cuvellier refused to
make motion to lay over the resolu-
ton two weeks longer, claiming that it
was an attempt to put the Council on