Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1905-05-04
NEWHOUSE MAKES
PLAIN STATEMENT
Appears Before Council 10 Sup.
port Of His Application for
Light Franchise
SALT LAKE s COMING GREATNESS
Saws that Within Two Years Immense
Smel,trs viii be Erected Ia
This Valley

AZ the meeting Of the city council
committees on municipal laws and
streets last night, the matter ~ grant.
ing u ligh, ana powor franchise 90
Samuel Nowhouso was discussed az
considerable length, put action on the
Same was continued FOR two weeks M
the council win cave for Los Angeles
on saturday evening, ana WIN not have
any meetings next wcok In the course
of the discussion on the proposition,
Mr, Ncwhouso made some very imports
ant statements IN regard TO his proc
posed new enterprises for this city and
also IN regard to the citys promising
future,
lie said that in the noSt two years
Wnel,cv would be In operation within
30 miles Of this city which would treat
100000 tons OF ore a month, which IL
moro than the entire output Of the
state OF Colorado with the advent Of
his proposed industry would be, no paid,
new stores, now homes, new factories
hlu ", H,VN'N UlVI'hr'u Pupulh'lun lnl
salt Lake city, which, he believed,
would, within iow years, be the lnrg.
cet city between Chicago ana san Fran.
cisco, Mr. Nowhouso made Il clear
that he would put sl00O0OO into
his light plant II necessary I'm
order that II may be ae modern ana mp.
to'da,o as II IN possible to construct,
ana that he would take great pride IN
saving the citizens Of this city SO Ia
per cent IN their light blls and IN
launching such enterprises ~ would
make Salt Lake u great city.
FRANCHISE READ,
The proposed franchise was read, sees
ton by section, by city Recorder
Crtohlow, after which MIR Newhousc
was asked n he had anything TO say
IN regard 10 the matter, In reply Mr.,
Ncwhouso said that the franchise. WAS
clear enough but that he would gladly
answer any questions or listen 10 sug.
gcs,lons made by any ~ the eouncil-
men, In answer 90 councilman Harten.
stein, Mr. Ncwhouse and his manager,
Lafayette ll0nchett. stated that they
would prefer not to have u municipal
ownership clause In the franchise, for
the reason that the light and power
plant would be needed by Mr. New
house for his other enterprises ana
could not be turned over TO the city,
TAN ON GROSS RECEIPTS,
President Hewlett wanted TO know
what liphte ana power would be given
the city IN exchange for the franchise,
MI NeWhousc replied that he mad not
thought Of that matter particularly, but
his idea was that the falrosl proposition
Ia Ia ,I n lha
pany on ils gross receipts When ASK
ed nv 10 what per cent OF the gross re-
Ceipts he would be willing to pay the
city, he replied that from " 70 J per
cent ough, 20 be fair Mr. Hanchett
stated that ! per cent OF the gross
receipts would be equivalent %
10 or II per cent Of the net receipts, In
addition 10 the tax on the gross receipts
Mr., Newhousc stated that the company
would of course have 10 pay the general
tax IN all improvements ON ita proper
~, lie said II the city would rather do
II he would Keep the per cent and give
the city free lights AS tho Utah Light
n Railway company, but he thoueht
tho city should levy n tax on no gross
receipts ana then pay for iw lights
COMPETITION REGULATES,
In regard 90 u clause giving the city
the right TO regulate the price for lights
and power, Mr., Nowhouso said that
competition would regulate such mat
tors az that, lie said that there In plon,
Is OF room here for two companies, AMI
that ne was not nntagonlsllc 90 the old
company and they ought 60 Two IN
peace here as honest competition should
he welcome oyorywhoyo In this con-
noc,on he made tho statements M CIV
ON shove IN regard to his new ontcr.
prises and tho future OF Salt Lake
CONCESSIONS TO CITY
In answer 20 u question he eOld that
he would gladly allow the city 10 string
lts wircs for municipal purposes on hIS
poles Ond that he would mako any other
concession within reason, !, IL HIS In
tontion 10 extend his system over tho
entire city where lines could be run
without any great loss, II was stated
by MIR llnnchctt that the new company
would exchange incnndorocnt globes
free Of charge and would send an IN,
spOctor TO the houses TO test them and
make the exchange, This he said,
would be a business PROPOSE, lon, nv II
would save n great deal of power due
10 defective globes
NO FORFEITURE CLAUSE.
Tho matter OF n forfeiture clause was
considered ana NV Newhouse said that
no would not be willing 20 invest 81 ,OOO,-
900 IN u plant ana then have II taken
away from him nj the caprice Of council
men who might not be M fair an the
present ones, lie would BIO willing TO
have whatever protection FOR the city
IN that nature an " customary IN other
cities provided, that the forfeiture
could be reviewed by the courts and
not left 20 The mere whlm of the coun.
cIl At the conclusion Of tho meeting
an adjournment was taken for two
weeks and IN the meantime the city
attorney ana the attorney for Mr., New
house win draw M an amended fran.
chlso covering the points suggested at
the meeting,
ron FIFTY YEARS,
Tho proposed franchise win extend
Tor period Of 90 yoars and VIII pro-
vide for lights 10 consumers ut 10 cents
per kiowAtt hour Tho city VIII be
given | per cent ~ the gross earnings
of tho company and viii be- allowed TO
string lts wires on the compnny's polos,
| II WIS stated by Councilman Wells that
perhaps the Utah Light and Railway
company would accept u proposition of
az Nh IA