Omaha daily bee., 1906-09-25
WATER WORKS RULING SOON
Judge hcPhsrsOn Indicates he May Pas
on Case This Week.
INVOLVES DATE or COMPANY FRANCHISE
Case Relating 90 Land I'm East Omaha
Claimed by Hannah and Also by
bridge Company Submitted
to the Court.

|. Judge Smith Mcpherson OF the United
States court. when asked last night how
soon he expected to hand down his decision
In what is known as the waterworks in
Junction suit, stated that he hoped to do
, so before the end of this week. The suit
in question is that brought in April of
this year by George N. Smalley. a resident
Of Massachusetts and stockholder in the
waterworks company. to. restrain the city
council from putting into force the ordi-
nance passed February q. which provided
! for reduced schedule OF water rates
The question OF the fairness of the rates
named in the ordinance is not raised in
this suit, although the ordinance is at
tackled. The contention made is that the
franchise of the water company does not in
any case expire until December 10. of this
year and possibly not until January "a,
1905. The basis OF the contention that the
franchise does not expire until December
10 Of this year is that although the charter
was granted January "a. 1881, 1t was
suspended until December 10 OF that year,
owing to, litigation begun by N. p. Dodge
and others of this city Later the council
extended the time for completing the con-
struction of the waterworks plant to Janu-
airy "a, 1888. and il is eontended that this
extension operated to extend the franchise
/ twenty-five years from that date or until
January a. 1908.
/ William Kiersted, the expert employed by
I the city to make a computation of the
value OF the present waterworks plant and
furnish an estimate OF the cost Of a new
one, has returned to the city to procure
/ additional data before completing his re-
port Mr.. Kiersted. II is expected. will be
ready to submit his report TO the city coun-
oil Mt Mondau niQhf Optnbar
The suit of the Omaha Bridge & Termi-
nal company against Charles r. Hannah
and others, was submitted to Judge Nc
Pherson yesterday on the demurrer Of the
plaintiff to the defendants answer. This
suit is one of several arising out OF the at
tempt of Hannah to acquire by purchase
about 1000 acres on the west side OF the
Missouri river from the state of Iowa UNI
der an act OF the Thlrtieth general assem-
} bly, empowering the auditor of state to
sell all abandoned river beds, lakes and
Islands in the waters of the state. to-
] gether with accretions to such lands. Han
i. nan was the first applicant for the pur
chase OF lands in controversy and at the
time of his application deposited $1,000 with
the state auditor.
The terminal company in its demurrer
contended that Humans application for
purchase had been rescinded. owing 20 the
fact that the Thirty-frst general assem-
bly, altered the law. thus repeating tie
act of the previous Legislature. The ter
minal company had filed under the act
| Of the last legislature. hut on behalf OF
Hannah II was contended that the act Of
the Thirty-frst general assembly was I'M
constitutional and the repeal was ineffec-
| tive he had vested right under the
lact OF the Thirtieth general assembly.
/ Judge Mcpherson took the case under ad-
| visement. AS the same question Is In
| volved In the other suits against Hannah
in this matter the disposition OF this one
| will determine them. 80.