Los Angeles herald., 1909-05-05
WATERCOMPANY
DODGES QUERIES
IN WATER PROBE
ATTEMPT TO GET VALUATION
Is ALLURE
SAY EXPENSIVE PLANT MAKES
HIGH CHARGE NECESSARY
Improvement Association Attorney in
Wordy Tilt with Corporation At
torney on Admissibility Of
Testimony



the Union Hollywood Water company,
as petitioned by patrons of the COM
pany living outside tine corporate linz
its of Hollywood will be bitterly con-
tested, was evidenced from the all-day
session before the board Of supervisors
yesterday in the court house. The ses-
sion adjourned at o'clock to resume
deliberations Thursday morning at $3.50
O'clock.
The session was devoted yesterday
to an attempt to secure d valuation
of the water company's property. Al
the morning session Andrew G.. Parks,
representing the petitioners, made
demand upon the officers of the COM
pany for a specific and detailed enum-
GRAFTON of the value of the plant and
equipment of the company. This in
formation was refused on advice OF
Sheldon Borden, counsel for the water
company The result was a tedious
session, when the attorneys for the
petitioners endeavored 10 obtain piece
meal the facts from various witnesses.
G. o. Clark, representative of the
West Ivanhoe Improvement assoela-
ton proved a valuable witness for the
petitioners and gave detailed account
of his investigation of the affairs OF
other water companies, with the plan
of establishing the fact that the Holly
wood company was charging higher
water rates and providing poorer serv-
ice.
Attempts Of Attorney Borden to
shake the statements of Mr.. Clark
were unavailing and he gave an ac-
count of his Investigations which
showed that companies in Whittier,
San Gabriel, Alhambra and Santa Ana
were providing their patrons with
water at less rates than charged by
the Hollywood company.
President on Stand
c. J. Heyler, president of the Holly
wood company, and Otis E. Wern, sec
rotary, were on the witness stand dur
ing the morning, but little information
favorable to the petitioners was elicit
ed from their examination. The stand
taken by the water company is that
the value of their plant and their ex-
penditures in providing water neces-
state a higher water rate. The attempt
to establish a valuation for the plant
was not concluded and experts will be
called to testify at the adjourned hear
ing Thursday morning.
From the testimony of Secretary
Wern it was shown that the assess
ment of the companys property as de-
tailed by Mr.. Wern and the county
assessors did not agree, the witness
claiming that the value set by the as
SCISSORS was less than his opinion in
the matter warranted. Some of the
petitions entered with the board of
supervisors ask that the rates be low
cred from the present minimum of
ST. so and others petition the establish
ment of a minimum rate of SLIPS. The
company desires to maintain nat
rate of 81.
The contention of the lawyers for
the petitioners was that the officers
of the water company were initiating
their valuation of their system outside
of the city limits of Hollywood.
An argument arose over the fact
that a rate established by the super
vsors would not be satisfactorily re-
ceived at the Soldiers home at Saw
telle, which is supplied with water by
the Hollywood company
According to the figures presented
by the company its system consists
of 1856 miles. 119 miles of which is out
side the corporate limits of Hollywood. |
Say Conditions Vary
In reply to the statements of Mr..
Clark that other adjacent cities are
supplied with water at a cheaper rate,
the Hollywood company defended its
position by stating that existing con-
dltions are not similar and that it costs
more for them to supply water than
other companies more favorably sit
that the Hollywood company could pay
large salaries to their officers, afford
poor service and still be unable to
compete with other companies. His
idea was that if the company could
not manage to control its business
economically and meet competition
the users of water should not be made
to suffer.
Mr. Clark caused general laughter
when he remarked that it was doubt
less policy for the Hollywood company
TO make their calculation as high as
possible at the present time, as its
value would rapidly depreciate when
the river project was completed
J. P. Fleming, one of the petition
ers, testified to the poor service he was
given and stated that the company de-
sired 40 cents a foot for piping his
land, which he could supply himself
for about 20 or % cents foot.
G, M. Batten, plumber, was called
to testify in regard to the present valu-
alton of the Hollywood company, but
stated that he could not give an opinion
as to the present value of the entire
plant.
At this point a spirited argument
took place between Mr. Park and AT
torney Borden. Mr.. Para stated that
arrangements had been made for an
expert witness, but that he had been
unable to appear and asked the su-
pervisors to wait until such expert tes-
timony could be introduced. He stated
that otherwise the cause of the petit
TONERS would be weakened and he de-
sired that the attempts of the company
to exaggerate its real value be dis
proved. Attorney Borden. for the COM
pany, argued against such move.
Clash Over Witness
Mr.. Park declared that his expert
witnesses would not occupy much time
Attorney Borden retorted by saying
that judging from the present session
they would require two or three days
in which to state their grounds. At
torney Park caused a ripple of laughter
by stating that his experts would be
truthful and could give their testimony
quickly. He further stated that if it
had not been for the water company in
refusing to acknowledge a specific cal
culation of its property the session
would have been finished long before.
Chairman Nellis of the supervisors said
that it was DESTROYS that both sides
have a fair chance of presenting their
to adjourn until the petitioners could
introduce experts who would be quail
ned to state the present value of the
Hollywood company. inasmuch as the
contention Of the company was that
its reason for high rates was its higher
valuation. Adjournment was taken
until $3.50 o'clock Thursday morning.
Attorneys Park and Frank w. HOvey
are representing the water consumers