The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-12-08

,. The cos. Of manufacturing. inoHlded IL
the total cost Of s.. so cents per 900 N bic feet.
amounts to g. 20 cents In the holder, con-
trasted with an average cost Of :9iI cents in
the holder for the companies supplying gas
70 the Consolidated c1mpsny under agency
contracts as shown by their rem
dered TO the latter company
As tending TO show that the company
isplaoinz too high a valuation On It's proper
tics Mr.. Burr called attention 70 the tact
thai the company is carrying on It's books
at a valuation of t7,7Sl 900 franchises
which havs already expired or will expire
in tha next year or Two, Mt. burr sald
Yesterday that the Consolidated Gas Com
PAW declared that II had $40 100000 IN
vested in gas properties on which Il was
entitled to a return Of 10 per CENT. ana
that anything less than that would be a
oonfsoation OF its rights With gas az ~
cents a thousand the ompany contended
IL could nor earn the IN per cent. Accord
ing to Mr.. Burr, the company has greatly
overvalued these properties.
Apart from generalization OF franch ises
Mr. Burr asserted that the land owned
by the company is put down at $500 900,
while the city'S experts place the value
az about $4,000. OC0. Mr.. Burr asserted
further that engineers we're now examining
for the city and the State plants operated
by the company. and the result of that
Examination would probably reduce the
valuations placed on those plants 40 per
ocnr. below the valuations Of the com
pany's experts. Mr.. Burr said also that
he had found that the mains in active use
were ninety-one miles less than the mileage
claimed by the company.
John A. Carver, counsel for the Con-
solidated Gas Company, said last night
that the price paid by the company Tor oil
was less than many companies were pay
ing In the city and less than the average
paid by all companies in the state. MI.
Carver said that the new % candle-power
law required the use of a higher grade OF
oil. and thai the Standard OH Company
was the only producer which could supply
the Consolidated company's demands.
Commenting on the report OF the ac-
countants Mr.. Carver said that the con-
tention made that some of the items APP
oearing in the report should not be charged
TO the operating cost of gas was a wrong
contention and opposed 10 the universal
practice of all companies. Mr.. Carver
went on 20 saw further;
The company never claimed that II had
$40. 900, 900 invested in gas property on which
IL was entitled 20 a return Of 10 per cent. On
the contrary, the company took the fair posi-
tIon that 10 was entitled from its gas business
% earn only an amount SUFFICIENT TO pay a
iust and fair return upon the amount Of its
property and assets in the gas business,
exoludinS all investments in stocks OF other
gas companies or electric companies.
The valuation OF $50. 900, 900 for the special
Franchises OF the COnsOlldated Gas ON
pany is not the valuation OF the company,
but the valuation Of the New York Board OF
Tax Commissioners, who fixed that value
after hearing the representatives OF me COM
pany in opposition thereto
As to the cost Of reproduction Of the other
property Of the company in its gas business.
that il something respecting which the ex-
perts for the defendants and the gas COM
pany differ very little in their testimony.
In many cases the experts for the defendants
testified that the values Of the company
were too low.
As to the mains, the original records Of
the mileage OF the mains is in the books OF
the company and the location Of the mains
10 merely transcribed onto a map. which does
not purport 10 be made on an absolutely
exact scale Mechanically The mains are
put on the map merely for visual con venience
90 that the officers may see where the mains
are located in an easy manner. No man by
measuring this small map could get the exact
mileage OF the mains OF the company, and DR..
Marks so admitted on the stand. Even by
crude measurement on the map he finds
not ninety-one niles difference between those
details and the records OF the company. but
a difference OF only about 0 per cent. which
Il as near as one could expect 10 get by such a
crude method Of estimate as trying to meas
ure mains on a small map. The drawing
Of the mains 10 made on the maps after the
exact record is made In the books of the COM
Dany and from said records. and If the map
shows anything different from the books.
the maps would be- wrong and not the books.
M~hIteman'a C0nNIcfIOn NUrmed