The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1909-02-02
FIGHT A HARD ONE
Corporations COntesting Every
Section Of Utilities Bill.
John C. Nicholson Representing
Lighting Companies.
MYERS ON GRIDIRON.
Insisted He Is Not Opposed to
Commission.
Details the Only Thing That
He Opposes.


favoring an idea of legislation and
favoring an attempt to carry out tbs
idea in practical form by the enactment
of law, was evidenced at the hearing
held before the senate judiciary COM
mittee relative to the public utilities
bill. Like the guests who were bidder
to attend the wedding feast of the rich
mans son, as related in the Scriptures
nearly all the representatives of public
utilities who spoke concerning the bill
favored it, but-they offered excuses.
Some of the excuses offered, however
appeared to impress the members OF
the committee as worthy of very care
full consideration, and no doubt, a num-
Der of the notifications suggested tc
the judiciary committee by the cor
poration interests will be deemed
worthy of adoption.
Mr.. John c. Nicholson, who has been
successfully prosecuting a claim for the
state of Kansas, before the federal au-
thorities at Washington, D. c., and who
is interested in the electric lighting
company at Newton Kan, was invited
to state his views on the bill at the be-
ginning of the afternoon session. He
declared at the outset that he favors !
public utilities bill; however, he did not
want the city councils to have any
thing to do with granting franchises
ordering better service or extension OF
lines ETC. He thought such matters
should be left entirely to the commit
tee. He opposed the provision allow
ing treble the amount of damages
really sustained by anyone by reason
of any unlawful act of the corporation.
Mr.. Nicholson also objected to the
provisions in section 20, providing for
granting an indeterminate permit or
franchise to such public service cor
porations as surrender their existing
franchises. He held that if the law
were declared unconstitutional the
company would be left without any
franchise and that it would have given
lieved if some provision were made to
prevent that contingency, most of the
public utilities would voluntarily take
advantage of the indetermlnate permit
and give up their present franchises.
During the discussion of this point
Mr.. Thos F. Doran, of the Topeka cleo
trio railway and Edison lighting COM
pany was given permission to express
his views He declared that even if the
corporation were willing to give up its
contract with the city, the city councils
might object to abrogating the contract
and might not desire to be deprived of
the benefits and therefore the state law
could not be extended to such corpora
lions. Mr. L. z. Myers, of the same
company, agreed with Mr.. Doran.
Senators Hamilton and Ganse. how
ever, held differently. They believed
that the city councils are only agents
are willing to surrender their fran
chises the state has authority to release
them by legislative enactment.
Mr.. Nicholson, continuing his discus
sion of the bill, thought telegraph
company ought to be included in the
act and also that in case of malicious
complaints being made the commission
should have authority to assess the
costs of investigation upon the com
plainant.
''Mr. Nicholon, what demand has
there been, according to your know
ledge, among the people of the small
err cities, for such legislation as is pro-
posed in this BILL" asked Senator
Price.
so far as know" replied Mr..
tent demand for any change from the
present law. Mcpherson recently
from a private corporation and anoth
er town bought the waterworks, but
I don't think there is any public clam
or for this law"
'How will such law affect gas and
waterworks companies and conSum-
ers?'' asked the chairman of the COM
mittee.
II do not believe it will have much
effect on them" was the reply. None
or not many of the public utilities in
the smaller places are bonded, or are
'watered' or are showing fictitious in
debtedness. Some perhaps are not
giving very good service, possibly be-
cause they are not making much
money. Others are putting their pro-
fits back into improvements. Many of
the smaller cities could not buy over
the private concerns. So far as the
consumer is concerned I don't believe
this law will make any difference to
him"
Little Watered Stock.
In response to questions of Senator
Hamilton, Mr.. Nicholson said that the
smaller corporations were not in the
habit of watering their capital stock
out of all proportions to actual CAPT
tai He saw nothing in the proposed
law to prevent legitimate promotion
of enterprises.
'why is it, in your opinion" asked
Senator Carey, that the interurban
lines have not been built? They have
been talked about for years ?"
81 think they have not been built
because the promoters considerd they
would not pay" replied Mr.. NichoI-
son.
What is the real vice in this bill
that would alarm apita1-would be
regarded as dangerous by capitalists
investments ?" asked
Chairman Price.
ST think if the measure were chang
ed so that corporations would not lose
their franchise rights in the event the
law is declared unconstitutional, and
if provision is made so that the COM
mission cannot reduce rates so that
investors can get only a small rate of
the most serious objections
to the bill will be removed said Mr..
Nicholson.
No Water Says Myers.
Mr.. L. E. Myers, of the local rail-
way and lighting company was the
next speaker. Among other things he
said:
"Our properties here-the railway
and the electric lighting company,
have no water in them. We have
been increasing the value of the prop
erty right along and personally
think I can speak for our company
we have no fear of this bill in respect
to investigation or publicity. We
would be for it If we felt we could
hlHt mix rn-iHI 10,