The semi-weekly messenger., 1907-09-13

E1ndnCC
Great interest is Delng mahileS'0''
nv the citizens OF Wilmington IL LIE
water works question and the pro-
oraes of the negotiations Wnlc1 nave
heen carried on between the CITY anu
the officials of the Clarendon Water
works Company, for the purchase Oh
their plant, has DteE tOiiI"e- w.,
lively interest and discussion.
The impression seems to De gen
eral that the board Of aldermen a;eeu
wisely at the meeting on Montay
night in not taking any decisive &C
ton. but again referring the matter TO
a ioiDt meeting of the two city boaras
and it is hoped that with the presence
of Mr.. ]. L. Ludlow, the city's expert
at that meeting additional facts ana
figures can be given which Will re-
suit in a successful elimination to
the negotiations. The city is not
large enough to support two water
companies and the best interests OF
all partiec would seem to lie in the
purchase of the existing plant by the
city at an adequate and reasonable
price and the extension and improve
ment of this plant to meet the grow
ing needs of the city.
The reading of the full text OF the
report made to the WaterWOrks com
mittee of the board Of aldermen p5
Engineer Ludlow, following his eX
haustive and thorough examination U
the local plant at their request, wa
listened to with interest. After
thorough discussion of all subjects IL
connection with the matter ana
statement of reasons and argument
by which he arrived at the CONCLUSION
on which he bases his estlmate46ps
the value of the plant, under Che fol-
& conditions, Mr.. Ludlow pafations:
Fowine estimates arcost of the pre-
4~rhe replace~property new, to be
sent PLAN s2o2,9s4.S5.
Tho Ga lion No. THE present value
- the physical plant and property
Citations due to age and use, to be the
sum of $165, ,453.37."
Valuation No. 3.-Valuaton No. 1
plus the net value of the business es-
tablished as going concern value"
the sum OF 1882, 2,5O9S5, (The sum of
$17,O564S is considered to be the pre-
sent cost value Of the business of the
company or the saving that would
accrue to the city by buying the bus
mess rather than build it,
''Voluation No. 3-Valuation No.
plus the present net value of the
prospective earnings of the prant dur
ing the four full years remaining tC
the life of the franchise and contract
with the city, the sum of s19S, ,431, 81
Valuation No. 4-Valuation No.
plus the present net value of the pros
pective earnings of the plant during
the four full years remaining to the
life of the franchise and contract with
the city the sum of s215,4S7.S5.
Valuation No. 5-The commercial
value of the plant, property ant
business based upon the presen
earning capacity, the sum of s257,
100000.
valuation No 6-Valuation No.
plus the present value of estimated
prospective earnings during the re
manning four years to the life Of tn
franchise and contract, and minus tn
estimated denreciation d,rjnc +b
same period of the investment con
sidered necessary to properly improv
the plant and continue the bushes
and revenue, the sum Of $253, ,594.43.
ITO determine the utility value 0
the plant, property and bushes
should the city purchase and enlarg
and improve it and establish ne7
intake and source of supply the sur
of $4,000 should be deducted from eac
of the above valuations.
In concluding his report Mr.. Lud
low says: J.
$50 far as the plant and propert
of the company are concerned I an
satisfied that taken as a whole it
In good condition and is well up t.
the average of such works.
THAT it is well adapted to exten
sions. and improvements to develo,
ss~more complete and extensive cit,
plant with small amount of loss O,
useless material is a conclusion tha
must be drawn from my investigation
and SfuS7v and that tho infornefc a,