Bisbee daily review., 1908-04-24
RECLAMATION
 SERVICE HAS
 STIRRED RIOT
Commercial Club of Phoenix Gets After Secretary of the Interior Garfield With Sharp Telegram.


 April F, before they had learned tha
 the reclamation service had entered
 into a binding contract with the Pa
 citic Gas and Electric company
 granting them monopoly of the pow
 CT generated by the Roosevelt reser
 Voir, and still supposing that there
 was nothing but an agreement in ex istence, the board of trade and ths
 Maricopa commercial club sent the
 following telegram to Secretary oi the Interior Garfield:
 We, representing the city govern ment of Phoenix, its commercial m terests and it's taxpayers as well as the farmers of this valley, only learned today of the existence of au agreement between the reclamation 1 service and the local electric lighting company, whereby an exclusive agree ment for electricity for lighting bur. poses was granted such company at a nominal rate. We protest against the execution of any contract under this | agreement as contrary to public poIi- | cy, and would ask thst no further ac- ton be taken until the public of Phoe- nix and the Salt river valley can be heard. This telegram is authorized at a joint meeting"
 If the Pacific Gas and Electric com pany, which under a written contract entered into on July 10, 1907, with En- gineer L. c. Hill of the reclamation ] service, holds a monopoly of the DOW CT generated from the Roosevelt res eryolr, refuses to enter into a writ ten agreement with the city council of Phoenix and the farmers of the va tf, fs1, fCh all purposes at fair and just rates, the Maricopa board of trade and the Maricopa commercial club will take legal steps to invalidate the contract made between Hill for the reclama- tion seryice and Manager F. H. En- sign of the Pacific Gas and Electric company.
 Plans to save the power of the Roosevelt reservoir to the people in- stead of its being monopolized were completed al joint meeting this morning of the directors of the board of trade and the Maricopa club, in a session which at times was stormy as the result of opposition that was made to the public being informed of what was taking place.
 To carry the matter before the city council and ask that body to re quire the Pacific Gas and Electric company to enter into a written con- tract to fix scale of prices, the JoInCI meeting appointed a committee con- sisting ofhC. W. Mckee, Louis Melczer, c. H. Davidson, Frank Leeper, F. A. Jones and Charles Korrick
 This committee will lay the whole matter before the city council. point ing out to them the need of immed- lately taking steps to prevent the Pacific company getting this valley in the grip of monopoly that will for the coming ten years retard it's de- velopment and deny the property own CTS, the fruits of their labor. They will ask the council to pass an ordi- nance fixing rates of public utilities.
 If the city council refuses to take any action, the committee will then employ attorneys and lay the matterl before Secretary of the Interior Gar field. and if he cannot or will not act, the validity of the contract between the reclamation service and the Pa citic company will be attacked on the ground that it is in restraint of com petition and in violation of the Sher- Ean antitrust law Il
 Several days ago Traffic Manager Jones of the comercial club had his attention called to the purpose of the government to give the Pacific com pany a monopoly of the power from the Roosevelt dam. He informed the members of the club and the board of trade and the result was to call a meeting of the directors last Friday.
 Fourteen members of the two clubs went to the reclamation service ana there heard read ts them an agree ment for a contract entered into be- tween Hill and Ensign on June 2Z, 1903, selling the power to the Pacific company for a period of ten years from 1907. No mention was made al that tune of the existence of a con, tract.
 Not until this morning did the joint directors learn that a contract had been signed. 1t being supposed that there was nothing more than an agreement. This was based on promise made some time ago that no contract would be made until short ly before the reclamation service wasl ready to deliver the peoples power.
 When the joint meeting learned that there was actually a contract they realized that acton must be prompt, and that the protest sent Sec, retary GarneId under the suposition that there was nothing more than an agreement could not serve any pur- pose, TOT the harm had already been done.
 At the meeting held last night, Dis trict Attorney Bu.IIrd and City Attor- ney Prescott were both present. the former advising that in his opinion the agreement between Hill and En- sign is in restraint of competition and that if taken into the courts it would be nullified under the Sherman anti trust law. Prescott's advice was that if the Pacific company refuses to en- ter into any agreement with the city, the city council can pass an ordinance fixing the price of gas, electric light and electric power, appointing in ad- dition an inspector.
 Governor Ki5bey, attorney for the Water Users association, was pres ent at the meetings last night and this morning He expressed an opin- ion that Engineer Hill should be heard before anything was done, but when District Attorney Bullard point ed out that no harm could be done Hill by taking the matter before the |