Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1909-01-21
ROOSEVELT
VET0Es BILL
PRESIDENT DECLARES ELECTRIC
COMPANIES ARE FORMING
WATER POWER MONOPOLY.
SCORES ATTEMPT At GRAB
Corporations, Unless Stopped, Says
Roosevelt, Will Tighten Grip on
PubIic-Vetoes a James River
(Mo.) Dam Bill.

Washington, Jan. 16.-Taking the
James River, in Stone County, Mis-
souri,, as his text, President Roosevelt
Friday sent to congress a message
criticising its conduct and disclosing
what he calls the operations OF the
electric companies to obtain a mo
nopoly of the developed water power
of the nation.
Describing the scheme as greater than
the Oil Trust, he says: THE people OF
the country are threatened by a mo-
nopoly far more powerful, because IN lar
closer touch with their domestic and IN
dustrial life. than anything known IN our
experience"
= The message accompanies the Presi-
dents refuse. to approve a bill granting
perpetual rights to William ii.
to construct a dam on the James River
and divert its waters to create electric
power. He vetoes the bill because 1t
does not limit the grant to at least fifty
years and provide that the government
shall make a reasonable charge Tor the
grant.
Such requirements. he declares, should
be made in the James River grant and
in all other water power grants to pre-
vent the water power monopoly from
being established without any power In
the federal government to control 1t.
Reopens Fierce Fight.
The message reopens a fight which
waged fiercely between President Roose-
welt and Congress last winter AT that
time he vetoed several water power
bills for the same reasons he gives for
his present action.
The Senate Committee on Commerce
disagreed with him then and presented
a long legal argument calling the Presi-
1Aotis YNplioxy 60 pnU lnna rtupap ami
contending that the Federal Government
had no authority to impose a charge
for water rights privileges.
Regarding the committees action the
President in his message says:
when the public welfare is involved
Congress should resolve any reasonable
doubt as to its legislative power in
favor of the people and against the seek
ers for a special privilege"
Describing the water-power monopoly
which he says threatens the country, the
President says in part:
Information collected by the Bureau
of Corporations shows that eleven large
concerns, of which the General Electric
Company and the Westinghouse Electric
and Manufacturing Company are the most
important, now hold water-power in
stallations and advantageous power sites
a~ggregating $50. 600 horsepower, where
the control of these concerns is practice
ally admitted. This is over II per cent
u the lOtdl ueNelOpeu water power OI
the country.
Interests Now Intrenched.
Further evidence of a very strong ma
ture as to additional inter-corporate re-
%lations, furnished by the bureau, leads
me to the conclusion that this total
should be increased to "a per cent; n
still other evidence, though less conclu-
sive, nevertheless affords reasonable
ground for charging this estimate by 9
per cent additional.
In other words, it Is probable that
these II corporations directly or indi-
rectly control developed water power
and advantageous power sites equal to
more than a third of all the developed
water power in the entire country.
'Chis astonishing consolidation has
taken place practically within the last
five years.
The movement is still in its infancy,
and unless it is controlled the history of
the oil industry will be repeated in the
hydro-electric power industry, with re-
suits far more oppressive and disastrous
for the people. 1t is true that the great
bulk of our potential water power is as
yet undeveloped, but the sites which are
now controlled by combinations are those
which offer the greatest advantages and
therefore hold a strategic position.
Corporations Are uEited.
The great corporations are acting
with foresight. s%ingleness of purpose,
and Vigor to control the water powers of
the country. They pay no attention to
state boundaries and are not Interested
in the constitutional law affecting navi-
gable streams except as it affords what
has been aptly called a twilight zone,'
where they may find a convenient refuge
from any regulation whatever by the
public, whether through the national cr
state governments.
1T is significant that they are oppos-,
Ing the control of water power on the
Desplaines River by the State of Illinois
with equal vigor and with like argu-
ments to those with which they oppose
the National Government pursuing the
policy l advocate,
Their attitude is the same with refer
ence to their projects upon the mountain
streams of the West. where the juris-
diction of the Federal Government as
the owner of the public lands n nts-
tional forests is not open to question.
They are demanding legislation for
unconditional grants in perpetuity of
lands for reservoirs, conduits. power
houses and transmission lines to replace
the existing statute which authorizes the
Dent to impose conditions to protect the
public when any permit is issued.
Sees Hand in Congress.
Several bills for that purpose are now
pending in both houses, among them the
bill, S. 6S26, to subject lands owned or
held by the United States to condemna-
ton in the state courts, and the bills.
Il. r. 1886 and S. 2661. respectively. ia
grant locations and rights Of way for
electric and other power purposes
through the public lands and reserva-
tons of the United States.
These bills were either drafted by
representatives Of the power companies.
or are similar in effect to those thus
drafted.
o tine other hand, the administra-
ton proposes that authority be given to
issue power permits for a term not to
exceed fifty years, irrevocabie except for
breach OF condition. THIS provision to
prevent revocation would remove tho
only valid ground of objection to the act
of 1901. which expressly makes all per
mits revocable at discretion
The Presidents Ultlmatum.
The President says he will sign no
water-power bill which does not contain
provisions making the grant an option
which must be used within a reasonable
time, naming an official who shall annul
the grant If 1t Is not used In accordance
with the terms named in the law, nam
ing an official to see that the person OBJ
tanning the grant produce the maximum
amount OF navigation and power. speci-
Tying a license charge small at the ont
set, but adjustable so as to retain CON
troll OF the water power for the public
specifying a definite time when the grant
shali expire and providing that proof
that the perso9 holding the water right
is in a conspiracy in restraint of trsd
shall act as a forfeiture of his rights
President-elect Taft, as Secretary NJ
War, strongly supported President
Roosevelt In this policy, which was frst
outlined last winter.
There was a recrudescence in tba
house OF representatives Of the con-