The San Francisco call., 1908-05-18
SUPERVISORS ARE
SORELY PUZZLED
How to Go About Accepting
Hetch Hetc1y Grant Has
Them Guessing

With the United States government
offer Of Lake Eleanor and Hetch Hetchy
water rights within the grasp Of the
city. and anticipating a report from
City Engineer Manson at today's meet
ing OF the board OF supervisors covering
the whole Sierra water supply negotia-
tious. the boards special water com
mittee spent hours in q conference yes
terdaN considering the water problem
Neither Chairman Johnston nor Su-
perEisors Murphy. Jennings or Pollok
had seen Manson, and in consequence
the al afternoon conference took up
the comparatively minor matter of fix
ing next years water rates. instead Of
the main proposition now put squsrely
Up 10 The city by the federal grant
Chairman Johnston said. however. that
no water rate bill would be presented
today. The committee members ex-
pressed a desire 10 hear fully from
Manson in regard 10 the federal gov
ernment's offers and stipuiations and
were reserved in regard 10 the next
steps 10 be taken until receiving his
report
MUST FRAME ORDINANCE
Chief Clerk Behan and the four COM
mitteemen canvassed the water rate
matter and the committee viii en-
desyor 10 present an ordinance, prob
ably next week
Al the close of yesterdays confer
ence the supervisors pointed out that.
according 10 the charter. the next step
is mandatory
The section on the requirement Of
public utilities expressly lays down the
law that before submitting 10 the peo-
pie any bond issue proposition for the
construction or acquisition Of 4 pro-
posed utility. the board shall solicit
and consider" offers from privately
owned utilities supplying the public
necessity IN question This makes
mandatory that the board shall by for
nal resolution ask the Spring Valley
company 10 make a tender TO the city
Of its properties used and usabie for
water supply. and shall consider" the
tender made
Since the committee is already pos
sessed Of President Payson's offer of
tie total plant for s32.ooo.0oo. or OF
the plant with the Lake Merced lands
withheld for s2s, ,oo0.0 600. and mis- assur-
ances that the directors viii not coun-
sci the stock holders ever TO sell for
any less sums, the supervisors do not
anticipate that Spring Valley IS likely
10 make an offer acceptable 10 the
city.
DIFFERENCE OF s7.S0o,oOo
The city engineers estimate Of s25,-
600. 600 or $1,000. 600 less than the CON-
panys demand. is regarded by the
supervisors as q very fair one, and
they have little hope of coming to-
gether with the company on the propo-
sitiOu.
This being 50, the question whetheT
F the board. Oh receiving an offer from
an existing public utility which il
deems excessive, may discard the same
and proceed with its submission 10 the
people OF new project such as the
Sierra one. IS concerning the minds OF
the committee. Yesterday the point
was not clear whether or not the man
darory consideration" required for the
offer made by an existing public utility
presumed and implied that such con-
sideration should be put UP 10 the
people.
II the supervisors may reject an un-
tenable bid directly the matter is sim
pie II the company's offer must be
submitted TO the people. II may take
the form OF an alternative bond issue
IN either case the boards next step
toward acquiring q Sierra water sup
ply VIII be 10 ask the Spring Valley
" hat il VIII take for its plant