The labor world. [volume] (Duluth, Minn.) 1896-current, 1905-01-28
Very Good Citizens Uncon-
sciously Support Opponents
of Municipal Ownership by
Opposing Issue of Bonds to
Secure Money for Needy Ex-
tensions.

Some of the citizens who gave
interviews in opporsition to the pro-
posed issue Of $4,000 water and
light bonds in Sunday mornings News
Tribune, have changed their minds
after giving the matter more con-
slde:ation. Some very good friends
OF municipal ownership are rather
getting tired of bond issues, but they
are slow to suggest a better meth
od for raising money for water and
light extentions. Enemies Of municipal
ownership are taking advantage of the
opportunity offered them, and are con-
trlbuting to the opposition Of the pro-
posed bond issue, knowing full we'll
that its failure at the polls on February
7th will handicap the water and lignt
department.
The Labor World, as has been re-
peatedly stated in these columns. is
theoretically opposed to the bond idea
for raising money for public improve
ments Of any description, but present
methods, charter provisions and legis-
lat1Ve requirements cannot be changed
IN a day. So many people never gave
this phase Of the question the first
thought until the present discussion be-
gan. We are now passing through an
educational campaign land we will
come out of it with a better knowledge
OF our own municipal business.
No 6onds Means No Work.
At this time and for at least one
more year no improvements can be
made in our water and light system
without an issue of bonds. If the in
terest on the proposed bond issue was
to be paid out of the general tax levy
the people who live in a locality, al
ready supplied with water, could con-
sistently oppose the proposition. AS
it is, however some of those who are
enjoying the luxury, for luxury it is,
of municipal ownership with it's pure
and wholesome water, are selfishly op-
posing the extension to communities
that are without water, when these
same localities gave their whole suf-
frage in support of the proposition to
acquire the water and light plant.
These communities taxed themselves
to give to the people in the center Of
the city the benefits of pure and whole
some water under municipal owner
ship. They did it gracefully and: gen
erouslyssN,tt h It hope ztha the present
water consumers would reciprocate at
the proper time. Now be fair fellow
citizens. We who live beyond the
present water and light limits were
fair with you. Let us enjoy some of
the fruits of municipal ownership also.
Give us some Of the pure and whole
some water that you have. Our families
| are just as dear to us as yours are to
you. Our health is of as much i'm
portance as is yours.
Suburbs Paying Taxes Without Bene-
fit.
We pay taxes for the support of a
fire department, for hydrant rental and
for general municipal purposes Let
us get some OF the benefits therefrom
! It comes with poor grace from any per-
son who has all of these advantages
to oppose other communities who want
them.
During the year just closed the sum
of $120,200 was paid out of the earn
ings of the water and light depart
| ment as interest on water and light
bonds. This interest was not paid by
the general tax payer, but by the
present consumers of water
| Why should the bonded Indebtedness
of the water and light plant be charged
! to the general Indebtedness of the city,
any more than we would charge the in
debtedness Of the Duluth General
Electric company to the general in
! debtedness of Duluth? There is Just
as much reason in it. It is reported
that the bonded indebtedness of the
Duluth General Electric company is
81 100000, and it is generally conceded
that the cost of the plant does not ex-
| ceed that amount. But the General
Electric company did not borrow mon
ey upon its plant alone. It's franchise
was considered to be worth something,
and was put into the assets Of the
company. Is not the franchise of the
municipal water and light plant worth
something?
| Municipal Franchise 10 Worth Millions
Mr.. Chas. H. Thornton, in an article
in the News Tribune holds that the
gas and water plant is indebted for its
full value, but If a private corporation
had control Of the plant it's indebted
ness would be no less, and the probabi-
lity is that its franchise would have
a commercial value equal to the value
CT the plant. OF course the ordinary
opponent Of the bond issue does not
take this into consideration, but it is
a point worth considering.
The two communities most interest
ed in the passage of the bond issue are
Duluth Heights and Park Point Ir
the former place the estimated cost OF
the extension will be $4,000. The re.
sfdents guarantee to pay an annuity
Of at least $1,000. OF this amount $500
Is to be used to pay interest on bonds
and the balance v*a be appropriated
for cost of operation, which will not
exceed $500 per year. This wifi give
the department net earning Of 2 pei
. ing attacked that body in every greea
strike, and which organs are now clam
orously contending for the open shop
is not without it's significance. Fo
obvious reasons Greeks that bear gift
are suspicious lot.
Whether this is proposed new fedora.