Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-05-28
WEAVER VICTORIOUS
Gas Company's Withdrawal
of Offer of Lease,
BUT BATTLE NOT ENDED
CLOSE OF EVENTFUL CONTEST OF
FIVE DAYS.
Republican Organization Forced to
Abandon Fight for the Present
Letter to Councils.
BUT BATTLE NOT ENDED

PHILADELPHIA. May 21-After a con-
test lasting five days the republican "or-
ganization' led by Insurance Commissions
er Israel w. Durham was forced today by
pubhc opposition and clamor 10 bandon It's
eHorts to extend the lease OF the city gas
works TO the United Gas Involvement
company for seventy-five years Thomas
Dolan president Of the company, today for
Warded formal letter to the presidents OF
the select and common branches OF city
councils. withdrawing his proposition 10
advance the city s25.oOG 900 in consideration
OF the extension of the lease which the
company now holds. This action WAS taken
after protracted conference with Com.
missioner Durham. State Senator McNichol
and Select Councilman Charles Seger. who
presented the gas lease resolutions in conn
ellis
Ihe withdrawal f~the United Gas I'm
provement Company's offer is undoubtedly
signal victory for Mayor Weaver in his
nght with the Organization" though il
ooes not mean the end of the battle. The
injunction proceedings brought by David
smyth' former director Of public safety. and
Peter H. Costello former director Of pubic
works. against Mayor Weaver and their
successors, Colonel Sheldon Potter and A
Lincoln Acker. 10 restrain the mayors ap-
pointees from conducting the affairs of the
two departments, is still to come up for ar
gument and the leaders will make a deter
mined effort to have the temporary fniune-
lion made permanent.
The temporary injunction issued by the
common pleas court was rendered inopera-
tive by writ of supersedeas procured bv
the mayors counsel from the supreme
court Chief Justice Mitchell of the higher
court has. however sent the case back TO
the lower court for argument and the su-
persfdeas Is in effect only until the aues-
ton of the injunction has been decided by
that tribunal.
Pressure on Council-nep.
Since last Tuesday, when the mayor cre-
ateo the hrst sensation by ousting Direct
ors Smyth and Costello and appointing
their successors great pressure has been
brought TO bear upon the councilrnen by
both sides and the ''organizat ton" leaders
nave steadily maintained confidence in
their aplilty to have the gas lease passed
over the mayors veto
fopular opposition became so pro-
nounced, however that one by one Nom
pefs or the council who originally voted
Tor the lease began to show a dispositton
10 accede TO the wishes Of their constitu-
ehts, ana today, with almost a week inter
yen1ng before the lease should come I'm
for final action, the mayor required onir
seven votes in select council and ten n,
common council to sustain his veto
1t became evident that the lenders vera
losing control of the councils but they
We're saved from putting their strength 10
' me direct test when The United Gas I'm
provement Company withdrew its hid
Commissloner Durham. State Senator Nc
Nlchol and Councilman Seger held a two
hours conference with President Dolan
with the result that the company officially
the responsibility wit hid ra xri,
the lease.
MIR. Dolan's letter to the councils states
that the notifications to the original lease
bill, reducing the price of gas, were not in
accord with the offer of the company, but
that they would have been accepted Ow-
ing TO the opposition on the part OF the
people, however Mr. Dolans letter stated
the company WAS unwilling to enter into
any contract with the city looking to any
of its present lease. The letter
was as follows:
President Dolan's Letter.
'On May Is, 1905. councils passed an or
finance extending by ffty-three years the
Terms of the lease of the gas works to the
United Gas Improvement Company. which
fixes the price OF gas 81 for five years
95 cents for ten years, 50 cents for fifteen
years. s5 cents for twenty years, and 50
cents thereafter. and provided for the pay
nent to the city of Philadelphia of an ad-
vance. without interest, for the sum of
s25 coo eco.
Though this ordinance was not in full
accord with the letter of this company of
the 2ith of April 1905 addressed TO the
chairman Of the subcommittee of the
finance committee the modification would
have been accepted by this company.
This proposition a plain. business
one. In the opinion of this company IL was
one the city could and should accept.
amongst the reasons in support of it were
he following:
According TO the reports filed with the
,ity controller each year and audited by his
department, the amounts expended by the
United Gas Improvement Company in addi-
ions, extensions. improvements etc. un-
Ter the lease have averaged 81, 49Sooo per
innum.
Assume that the average for the future
Will be SS00GJ0 per annum, the total for the
period of the whole term as extended would
,e SEQ, 00oc0 plus the amount now due this
company of S1i,S63 As. making a total
II $14. .S63 Ss1. 49,"
Other Figures Presented.
Mr Dolan presents other figures TO show
hat, including the company's payment of
%. coo COO and interest thereon, free gas to
public buildings and stret lamps, etc. the
,ity will net s+37, ,2s1 AS during the en-
suing seventy-flve years.
Continuing, he says: Whilst, of course
he city would not be q gamer by any de-
,rease in the cost of production of gas, on
he other hand 1t would be relieved of AL
fsk of advance In the price of materials
entering into the manufacture of gas. such
is coal, OIL etc, all of which are increas-
ng in cost, and of all other risks incident
o the conduct Of the gas business. such
competition from electricity, and possible
uture discoveries in the art of Illumination.
t would also be relieved of the present ne
,essity of borrowing money for the city
now under way and conten-
dated. and the consequent increase in tax
ate to meet the interest and sinking fund
equirements.
This proposition. with all business
propositions in which the public are in
olved. was, of course, proper subject for
ublic considera ton and discussion. In
tead of the proposition being discussed as
business one from the standpoint of facts
pen to those who cared to investigate ana
iscuss the subject there has been little
i.i& -lox,.a as.ola4i 4iraxa,