The San Francisco call., 1908-04-10
SPRING VALLEY
STILL DEFIANT
Supervisors Admit That They
Seek Water From Sources
in the Sierras
While Manson Is After Hetch
Hetchy Rights the Company
Plans to Fight

The board of supervisors will take
no further step toward the solution of
the water problem until it hears from
City Engineer Marsden Manson, who
has gone to Washington to secure the
rights to the Hetch Hetchy sources. It
had been intended to keep Manson $
mission a secret but several members
of the board admitted yesterday that he
had been dispatched to the national
capital for the purpose stated. Mayor
Taylor was displeased at the publicity
given the plans of the administration
ct this time and declined to discuss the
intentions of the present city govern
menS in regard to the water question.
Admissions were freely made among
members Of the board yesterday that
they had turned their. attention to-
ward the Sierra supply. One supervisor
said that had Spring Valley set q price
within S1,0oo,000 or 100000 of the
S24, 100000 valuation placed on the
plant by the city experts the munich
pality would have taken immediate ac-
tion looking to the purchase of the sys-
tenn. The figures prepared by former
City Engineer c. e. Grunsky place the
cost of the Tuolumne system at s39,-
100000. Members of the board said
yesterday that they recognized that 1t
would require a number of years to
bring the Sierra supply into San Fran
cisco, but asserted their belief that q
thorough investigation of the matter
should be begun at this time.
sPECULATORS AT WORK
There is a feeling in the board that
a speculative interest is at work in
Spring Valley and that the company
could raise the funds for the necessary
improvements If 1t were not deferred
by faction which is endeavoring to
force higher rates from the city.
In accordance with the announce
ment of Captain A. H. Payson, presi-
dent Of the company, Spring Valley is
prepared to fight to the bitter end. An
important issue will come to a head in
a few days, when the company files It's
suit asking for permanent Injunction
to restrain the city from enforcing the
rates of 1903. 1904, 1905 and 1907. This
will bring to a climax the controversy
of years between the city and the COM
pany. In the petition asking for the
permanent injunction the company will
appraise its plant at s45. 100000 and will
ask the court to allow per cent in
come on the investment.
WILL APPEAL. TO COURTS
An answer will be presented by the
city attorney, and the entire question
of rates will be thrashed out once more
In the courts. Asrecent decision of the
supreme court of Pennsylvania is
counted upon by the Spring Valley com
pany to aid its contention. In declar-
ing the cent railroad law unconstitu-
tional the Pennsylvania court held that
IL was not necessary to show that the
rate was confscatory, adding that it
was contrary to the spirit of the con-
stitution If it reduced the revenue of
the railroad below a reasonable figure
and thus tended toward confiscation.
The Spring Valley officials gave no
intimation yesterday of any change in
their position.
The next move is up to the super
visors, and it will be made in few
days when the board fixes the rates for
the year. If the Spring Valley objects
to the schedule, which it has already
stated it will. another appeal will be
made to the courts.