Daily Arizona silver belt., 1909-02-03
ROOSEVELT POWER ! CONTRACT FORMS MONOPOLY so CHARGED IN MEMORIAL IN PRODUCED IN LEGIsLATURE
 BY DE soUSA BIS PROFITS FOR PURCHASER MEASURE PRODUCES SENSATION AND UNsAvoRY SCANDAL
 IS PREDICTED

Sousa, the militant democratic membe
 of the assembly from Maricopa, explod
 ed the long simmering Roosevelt dan
 sensation when he introduced memor
 ial to President Roosevelt, Hon. Marcus
 Smith and both houses of congress
 calling for congressional investigation
 of the contract entered into in l90,
 by the secretary of the interior and th.
 Phoenix Gas & Electric Lighting com
 pany, wherein the corporation is giver
 practical monopoly of the 50,000 horse
 power developed by the Roosevelt dam
 the cost of which acts as mortgage on every farm under water in the Salt
 River Valley, and belonging to any
 member of the Water Users association
 The introduction of the memorial
 caused no comment in the house and
 was passed by q unanimous vote with. out roll call is the council, however.
 the memorial barely escaped being laid
 over, Finley of Pima. Goodrich of Co chise, Hampton of Graham. and Norton of Yuma, joining with Breen and Day,
 republicans, to lay on the table for one day When the vote reached Pres ident Hunt he promptly made it tie by voting negative, and the memorial went to A strict party vote on final pas sage. Only Breen and Day voted in the negative, and according to their own followers did poor piece of party pol. itics in doing SO
 Briefly stated, the memorial recites that in the year 1907 the reclamation service, on tho part of the United States government, entered into certain con tract with the Pacific Gas & Electric company, of Phoenix, related to the sale of eIectric power to be generated in the future at the Roosevelt dam under the following terms, contained in Article 9 of said contract, towit:
 Article ?. That party of the first part (the government further agrees while serving to the party of the secord part (Pacifc Gas X Electric Company under the terms of this contract, 10 re- frain from entering into a general re- tail of power to customers in the City of Phoenix, or furnishing power to any one to be sold or retailed, provided, how ever, that the party of the first part shall have the right to sell or lease power in the City of Phoenix at any time in blocks of from 100 to 500 xii. Dwats and over to be used for manu- featuring industries, water works or plants.
 The memorial proceeds: 'And where as said clause in said contracts creates a monopoly in favor of said Pacific Gas ( Electric company, relieving them from competition and allowing .aenl charge consumers in the city prices For electric light and power controlled and governed only by their desire and therefore, be it
 Resolved: By the Twenty fifth legislative assembly of the territory of Arizona that We earnestly and respect fully petition and request the sens and house of representatives of the United States in congress assembled to ,all upon the secretary of the interior 70 produce said contract and all cores and papers relating thereto, md to investigate said contract and f, upon investigation, it appears that aid contract is unjust, illegal and ere tive of monopoly, that proper pro ,eedings be brought for the abrogation md annulment of the same.'
 No measure introduced SO far during he present legislative session has oc- the interest aroused by the De ,ousa memorial. It brought to a eli max scandal which has been brewing Or over year, and which now prom ses to be threshed out at Washington. t is charged that the secretary of the interior is selling to the Pacific Gas Electric company power generated at he Roosevelt dam for one and one-half ents per 100 kilowatts and that in turn | he corporation, absolutely entre2ched 1 y the government, is charging the peo {, ,le twenty cents for the identical ser ice. Practically the only expense un- Ter which the company has been was l or the stringing of about thirty miles f wire. The cost of the dam acts as
 tax on every acre of cultivated land ! n the Salt River Valley, organized un- Ter the name of the Water Users asso- iation. The kernel of the scandal is hat the contract was enacted in secret y the agents. of the government and fficers of the Water Users association, f which Governor Kibbey is said to e the attorney. This contract was in orce one year before it was generally | by the farmers themselves. | The contract is said to be in violation