The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1905-01-14

ing Wednesday evening, Feb. /, at
which time all citizens who desire 70
do SO can speak on the-subject.s Peti-
tons and letters will also be consid-
cred. - - - =
Previous to the meeting, with ten Of
the eleven members of the committee
present, a conference was held in the
office of Corporation Attorney Michael.
Assemblyman O'Brien was the alb
sentee.
Mum Speaks for Company.
M. D. Mum, speaking for the COM
pany, said that with the possible ex-
ception Of two or three of the demands
made by the city he believed that the
city and the company could reach. an
agreement. He argued that the mem
bers Of the council should keep in mind
the fact that, but for the adoption of
the new city charter, there would be4nO
dispute between the company and. the
city. He held that the best the city
could expect to gain from litigation
was to obtain a decision leaving the
situation as it is. Such a decision
would tie the hands of the company
and prevent further extensions. Even
though the city council should grant
franchise to another company to build
the desired lines the best it could Sc
cure in revenue from the gross earn
ings would be $4,000 to $4,000 aryear.
Et would in such case lose the transfer
privilege. II the decision was against
the company it could not afford to ex-
tend its lines and pay the gross earn
ings tax. Said Mr.. Mum:
A great many people have asked me
if the company will build it's shops in
st. Paul if an agreement is not reached
to end the litigation. The position of
the company is this: We are going to
build those shops. The conditions are
such that we must If they are not
built here they will be constructed
somewhere else. We cannot build in
st. Paul under existing conditions.
This is not made as a4threat, but as a
purely business statement of condi-
ton of facts that exists
How about the gross earnings TAX ?"
asked Assemblyman Haas.
Company Refuses to Pay Tax
ssThe company cannot possibly
agree to pay such a tax.@sEven though
1t should grant the demand Of st. Paul.
that would not be the end Of the ex-
pense. 1t would be neeessaryvto also
pay a like tax in Minneapolis. and it
will be readily seen that it would be
impossible for the cornpanyste- assume
such burden
But would the company pay any
amount-say $4,000 aayearesasco ntinued
Mr.. Haas.
1T is. out of the question: answered
Mr.. Mum.
"Our position is that we would not
be justified in spending $4,000 a. year
in such manner said Vice Presi-
dent Goodrich. Saying for the. sake
of argument, although it will not oc-
cur, that the income Of the company
increases $1,0O000O in the next ten
years. In the same period we would
pay to the city $250,000, and this would
amount to 25 per cent of the increase
in the gross income. ut must Sbe veonS
ceded that it would be unreasonable to
ask so much" ~
.It is useless for the company to
make any propositions settling the Hti-
cation and permitting the extension of
lines without considering the gross
earnings" said Chairman Doran.
Cant you pay something ?o asked
mo-" answered Mr.. Mum. IF we
pay in ST. Paul we must also pay in
Minneapolis"
IF you were compelled to secure a
new franchise you could afford to pay
the gross earnings tax. With the good
will of the company valued at $4,000
600, it seems to me that you can afford
to pay almost any amount" said
Chairman Doran.
Il do not see how you can say that, :
said Vice President Goodrich.
II have the figures to demonstrate y
answered Chairman Doran.
Other Demands Denied
Mr.. Mum said that the company was
| compelled to decline to sprinkle the
streets and tunnel Selby avenue hill.
The tunneling of Selby hill would be
taken care of by the company some
time in the future. AS to giving one
fare to university students living III
st. Paul, he feared that such a con-
cession might raise the question that
| the company as comman carrier
could be compelled to carry alb other
| persons for the same fare. AS to the
macadanizing of Marshall avenue, the
| company would not make. such an
! agreement.
The proposal to make ,athea4 SeIbN
| avenue line the third interurban, di-
|
| shall avenue, brought out protest
from Aid. Lynch. He did hot believe
that the people Of Merriam Park would
/ be satisfied with less service than is
now given them. Upon his insisting
| that before he would agree to such an
| arrangement the company must pledge
itself to give the present service on
I Prior to University, Mr.. Goodrich
stated that he thought this could be
/ arranged.
Aid. Rohland thought the. proposed
fnew line on Randolph street should be
/ extended to Cleveland avenue, a mile
! beyond Pascal, the selected terminus.
/ But if other propositions of the COM
pany should be acceptable he thought
this matter could be arranged, and fur
Their consideration of it. was postponed:
viii the company not agree to pay
8 per cent on its Increased business?'
asked DR.. Sehiffmann, reviYing : the
! discussion of the gross earnings ques-
ton. <...,ss., 5 s.s3s,
Il do not think so.D answered Mr.
Goodrich. s---e -
Corporation Attorney Michael re-
sponded briefly to the arguments for
/ the company AS one of the consider
ations of a settlement he desired that
the company should coneede to- the city
council the right to order street rail-
| way lines on any street having sew