The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1909-06-03
kenosha Gas & Electric co. Sur.
lenders Franchise to City and
Accepts lndeterminate Permit
IN HANDS OF COMMISSION
Competing Company Will be Forced to
Secure Consent of Railroad Com
mission Before City CAP
Grant franchise

| John I. Beggs of Milwaukee, who
has been given credit for being one of
the shrewdest business men in the
country, has given to the city Of Ke-
nosha an example Of his business
acumen which may have the result of
undoing much that has been done by
the Common Council of the city to Sc
cure competition in the lighting bust
ness in Kenosha and which may force
the city to again advertise for bids
for the lighting of the streets Of the
city.
The officials of the Kenosha Gas and
Electric Company, Of which Beggs is
the controlling factor, have filed with
the city clerk formal surrender Of the
franchise which the city granted to
the company more than twelve years
ago and has announced that it has
Registered with the Wisconsin Railroad
Commission under the public utilities
act. In lieu of the franchise which
has been held by the company and
under which it was doing business in
Kenosha the company accepts from the
state an indeterminate permit and the
future business of the company will be
1nder the direct supervision of the
Railroad Commission Of the state.
The action Of the company came as
surprise to every one and as body
blow to the Kenosha Electric Railway
Company now seeking a franchise to do
commercial and street lighting in Ke-
nosha
| The franchise Of the Railway Com
pany was to have been acted on at
the next meeting of the Council, but
it is claimed by attorneys that the
action of the Kenosha Gas and Elec-
trio Company in putting itself under
the protection of the State Railroad
| Commission may make it impossible for
without the consent of the State Com
mission. To get this consent it will
be necessary for the railway company
| to secure a certificate of convenience
and necessity and this will demand
considerable time. The attorneys for
the Kenosha Gas and Electric Com
pany insist that the Council has no
power to act in the matter and this
view seems to be held by other attor-
neys in the city. The game of the
Beggs interest is a decidedly clever one
and it may prove a winning one.
The company has not surrendered it's
franchise to sell gas in Kenosha, but
| it is said that this matter is now under
consideration and that it is very prob
able that such surrender will be made
within few days. Kenosha is to
mark the start in the surrender of all
of the franchises held by the various
companies in which John l. Beggs is
the controlling factor. It is SAID that
the Milwaukee light and traction ex-
pert is convinced that the Railroad
Commission is a fair body of men and
cnar he prefers to have his companies
under the supervision of the Commits
sion rather than at the mercy of the
Common Councils of cities in the state.
The public utilities act is designed
to protect both the people and the
companies engaged in the sale of light
and other public utilities and many
companies in different cities of the
state have surrendered their franchises
IN order to secure the protection
thrown about them by the act. The
officials of the Kenosha company claim
that they had been considering the
plan for some time and that their ac-
ton at this time was not prompted
by any desire to eliminate competition
| by forcing the Kenosha Electric Rail
way Company to get certificate from
the State Commission. They admit,
however, that they feel that their in
terests will be safer in the hands of
the Railroad Commission than in the
hands of the Common Council of Ke-
nosha.
The attorneys hold that this action
will have an effect on the contract
!
already let to the Kenosha Electric
Railway Company for the lighting of
the streets indirectly on account of the
fact that the company will have to
secure a franchise before they can full
fill this contract. The old company
has been preparing for this coup for
weeks and has filed new schedules of
rates for al its business with the
State Commission in anticipation of
such an action.
In case the Austin excise bill be-
comas q II " the citv will baxyo RI ~; 10