The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1906-04-16
AN ELASTIC FRANCHISE.

A prominent business man in this
city in speaking of the agitation Of
a street Car line that will be COM
mensurate with the Importance of the
city, and equal to the demands of the
public. stated that it would be an easy
sand dollars for the purpose of build
ing the line, if the proper inducements
could be secured.
In this connection it is we'll to as
certain the equitable grounds which
these quasi-public utilities should oc-
cupy so that as an investment the
promoters shall have their rights pre-
served, and at the same time the pub
lie may not be robbed or it's property
may not be taken without just COM
pensation.
1t must be admitted by every candid
person that what are known as public
utilities are imperative in this pro-
gressive age. Without the modern
street car, business in the cities would
be helpless. and travel impossible.
Without electric lights the tallow dip
or the kerosene lamp would be the light
of the world. Without the telephone,
business would be hampered and in
convenient.
1t is impossible in the very nature
of things, to have these advantages
without concessions from the public.
A street car line which did not use
the streets of the city would be about
as valuable as Il ship anchored in the
midst of the Sahara desert. So. too,
lighting plant that did not reach the
residences and business houses of the
city by way of the streets and alleys
would be an impossibility. 1t is The
same with every public utility.
Inasmuch then as these things are
absolutely necessary in the present
age. the proper thing to do is to lay
aside the ranting of extremities on
either side and seek solution of the
matter on common where neither
party viii have the advantages.
1t is as foolish to seek to keep these
institutions from obtaining charters
as it is to grant them on terms which
means robbery to the public.
Just what this common ground is
has SO far not been determined be-
cause both sides have been extremists.
So far as the public is concerned
it will always be required to pay for
the service rendered If the fran
chises are taxed the taxation will SIM
ply be added to the cost to the public
and be paid by it
1t would seem that the best course
to pursue would be to give the public
the benefit of the taxation in the form
OF reduced prices.
That this is not only possible but
practical is clear. While the uncer-
tainties of future business is an un.
known element, life insurance COM
panies have demonstrated that by
comparison, with the history of the
past a safe business foundation can
be established. The same bases Of
calculation in the case of a street car
line, for instance. can be determined
based upon the amount of traffic prob
able in given population and the cost
OF operating the necessary system to
accommodate the same.
Reasoning from these it would be
an easy matter to form an elastic
franchise which in the charges it coulo
make to the public would be deter
mined by its probable income. This
charge could be so fixed that it would
be reasonable to both the public and
the owner.
In this way franchise which is in
favor of the public at the time of it's
granting would not become burden
some later in its experience.
At the same time there would be
no unreasonable uncertainty about the
investment of capital.
A franchise so constructed that it
would hold the same relation to the
public under any condition could be
made almost without Limitation. so far
as time is concerned.
This is one reason why capital to-
day is fighting shy Of investments de-
pending upon franchises. or If 1t is
seeking such investments is exacting
such tribute that It savors very much
OF robbery.
4 The life Of the franchise is limited
and once the investments are made
there is no assurance that the right