The Colorado statesman., 1909-12-25

ty-five thousand (s75,OOO) a year to
the city.
Six CO. full fare tickets and ten (10)
children's half fare tickets will be
sold, respectively, for 25 cents by the
conductors. The city is given the
right to purchase the system at the
end of ten Q0), fifteen Q5) and
twenty (20) years, respectively, for
its actual cost plus 10 per cent bo-
nus. In case the city purchases it
shall assume and pay any outstanding
bonded Indebtedness up to the amount
of such purchase price. This makes
gardless of the purchase by the city,
and in case of such purchase gives
them the benefit of the added guaran-
tee of the city.
these terms, excepting the $4,000 a
month payment above stated.
When these matters are presented
t. the taxpaying electors in the course
|
proposition. they will undoubtedly Sc
lect that which gives them the lowest
fare and the greatest payment into
the city treasury.
The new company will have the
backing of the local capitalists in
Denver, as well as the support of the
more prominent and influential news
papers having the widest circulation
The franchise application of the
new company not only covers the new
lines referred to above, but also pro
vides that upon the expiration, lapse
o. forfeiture of any of the franchises
now held by the old company or upon
the abandonment or nonuse of any oi
its lines, the new company shall have
the immediate right to enter upon all
such streets so Abandoned, or upon
which such franchises have expired or
hereafter expire. AS a result, if this
franchise is granted to the new COM
pany it will be but short time when
it will come into possession of prac'
tically all the streets now occupied by
the old company, since some of the
franchises of the old company, in the
opinion of lawyers, have already ex-
pired, and others expire from year to
year until 1912, when all will have eX-
pired with the exception of two or
three fractional lines.
The possibilities, therefore, are open
for profit by those who back the new
company.
Ffrst-The possibility of building a
new line, or a material portion there
of, and the forcing of the old company
to sell out it's holdings by reason OF
losing it's franchise rights upon the
streets through the lapse of the pres
ent existing franchises.
Second-The possibility of selling at
handsome figure the new franchise
to the old company, to be taken over
and exercised under the strict terms
of the new franchise.
This latter phase of the situation is
rently reported in Wall street that the
old company has arranged for floating
s25 200, 900 of bonds as soon as it can
get a new franchise, and as its plant
is not worth over $6,OO0,000, and when
fully completed with all the proposed
extensions will not be worth over IS,
OOO, 900 or $9,OOO,OOO, the stake played
for by the old company will thus be
seen to be so large that it cannot well
afford not to make terms, either by
sale of it's plant to the new company
O.. by purchase of the new company's
franchise, in case one shall be OBJ
tanned.
With these two possibilities in view
there can be no question of cleaning
up from 81 100000 to s5,OO0,O00 in case
the new company secures it's franchise
as applied for.
In order to carry on this fight before
the people it is necessary to inspire
them with confidence that the appli-