New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-05-17
ELSBERG BILL NOW LAW
SIGNED BY GOVERNOR.
AHOrs Separate Contracts for Sub
sUay Building and Operation.
EBy telegraph 20 The tribunal


Albany May 16-The Elsberg Rapid Transit
biu. designed 10 rescue New York City from the
transit monopoly as TO the building and opera
tion OF future subways. became law this even
ang by the signature OF Governor Higgins. The
principles Of the new law. in other bills. were
defeated IN three previous legislatures in spite
% the ardent advocacy OF every civic and re-
form organization in New York City. and the
present bill narrowly escaped defeat in the Sem
ate Of the last Legislature IN battle from
which It emerged victorious but marred some
what by the vicious blows Of the traction inter
ests.
Competition IN bidding for subway contracts
and the operation Of lines. when built, is the
keynote OF this measure. Against this conpeti-
tion the present traction people fought bitterly
IN the years when the bill was under considera-
ton. and in this fight they were helped more or
less by the Rapid Transit Commission and its
counsel, as was true this year. These men be-
iieved their guardianship was enough for the
city, but against this opinion was demand for
the bill from many classes
The bill Is modified greatly from the form in
which Senator Elsberg presented st four years
ago. Il is extremely technical and, briefly, pro-
vides for the advertising for contracts sepa-
rately for constructing. equpping and operating
future subways, and the granting OF contracts
separately for any part Of the procedure. unless
the Board OF Estimate deems it wise 20 let the
contracts jointly. in which case the Rapid
Transit Commission is empowered TO use its
discretion.
PROVISIONS OF NEW Law.
The city under this new law may If neces-
sary build its future subways, equip them and.
Il after that no bidder for the operating fran
chise is obtainable on advantageous terms. op-
crate them also. While it never the inten-
aGV IN hau ha of
plunge into municipal ownership OF a public
utility in shat fashion this clause Of the bill was
demanded as a club over the heads Of the trac-
tion trust" Operating terms also are cut down
greatly Il the bidder for operation equips the
road at his own expense he may operate it for
twenty years, with privilege Of renewing his
contract for an additional twenty, a possible
term OF sorty years instead Of the seventy five
granted under the old law. while IL the city
equips the new subway the contractor for
operation may have only a ten year term with
a ten year renewal This shortening Of the life
OF the franchises is OF the important feat
ures OF the new law.
Full provision is made for the construction of
Pipe galleries for gas and water mains and other
conduits in all future subways, thus doing away
with the conduit monopoly. One Of the biggest
fights OF previous years was over this pipe gal
gery feature The Rapid Transit Commission
may grant no more perpetual franchises. and the
character OF that body itself is changed In the
provision that hereafter vacancies Will be filled
by the Mayor instead Of by the commission
Itself
There is pending before the Governor another
Elsberg bill supplemental 10 the one just ap-
proved. 1t provides that full notice Of advertise
nent for bids for future subways and the lay
fng out OF routes must be given sufficiently lone
before action is taken 10 allow any body OF citl-
gems TO meet 70 discuss the advantages OF the
proposal.