The Detroit times., 1910-03-17
D. j. R. NOT WORTH
100000 TO CITY
Barefoot Report Shows Deductiocs
From Appraisal To Be Made al
~
Event of Purchase.

There will be a lull of day or more
before any further moves are made
IN the traction settlement neSotla
tons. Chairman HARPER. OF the coun'
Gil committee on franchises. states
tina, he will cell meeting OF that
committee 10 consider the committee
of fifty ordinance just ms soon as he
can he assured that either President
Hutchins or General Manager Brooks.
Of the d. u. r., will be present. The
former is out OF the city and Brooks
Is iii at home
Ii was stated, Wednesday. at the
committee OF nifty headquarters that
meeting OF that committee TO pass
on the Bancroft and Adams appraisals
will be held later in the week, but the
date has not been chosen.
Clyde l. Webster and Or. j. III. Car
stems will explain the committee or
fifty ordinance at the luncheon OF the
Wholesalers and Manufacturers asso'
citation in the Hotel Cadillac next We'd
nesday.
The Bancroft report, at last complet-
ed after IA year OF work, Is accompan-
led by a letter signed by Joseph Boye".
Il. A. Burch, Fred G. Hees, ID. w.
Simons. W w. Mcmahon, Louis r..
Geist and w w. Hannah, in which
some interesting deductions from the
total OF the appraisal are explained.
Briefly. the committee states that,
while the physical property OF the ID.
u. r. within the city. used for traction
purposes is worth Sll,12l,724 as a
going concern. this valuation Is de-
pendent entirely upon the successful
termination of negotiations for re-
newal OF franchises lnstrinsically,
the ID. u. X. property is worth much
less.
This appraisal was made of the
property OF the d. l.. Il. as q going
concern In its present condition. under
the superstition that present traction
relations are 10 continue. says the
letter OF the committee Should no
settlement be arrived al satisfactory
To the city of Detroit, then your com
mittee submits that this appraisal be
reduced In the following items AMI
amounts:
"a Real estate occupied by the
power plant; (b) Power plants, $1.2l9,
050sS. tc) stock. supplies and mate
rails employed and used in .he repair
of the inierurban cars. should be re-
duced 100000 Id overhead charges
or cost of organization. reduction or
$l024.3l0 te) under franchises $685.,
900 would be eliminated.
Should II become necessary for the
city To take over this PROPERTY the
purchase should be made on an equit-
able basis Of value which your com.
mittee believes has been accurately
determined" concludes the letter.
This list OF deductions shows that
the ID. L. r.. for purposes of municipal
ownership purchase. is worth TO the
city somewhat less than $4,000 900
although as going concern with
grants 10 be removed. IL Is worth four
millions more.
In giving reasons for making these
deductions, the committee shows that
the ID. Y. r. does not produce electric
current as cheaply as electricity can
be purchased from the Detroit Edison
Co. IL also calls attention 10 the fact
that certain OF the franchise values
depend upon the continuance of fran
chise rights on connected portions OF
the same route. that the wiping out
OF the expired franchises does away
with this added franchise value OF the
UHtAplItu pOTllouS, anu ftisO wipes Oul
the matter OF overhead costs which
go with the franchises.
Enginee' Frederick Il. Barcrof:
stated, Wednesday, that he had been
misunderstood az to the matter OF lie.
lending his report before the commit
tee OF fifty or the common council.
He has not refused To back up his re-
port. but waits 20 be given a chance
10 support his findings Systematically.
The report shows the able editing
OF Norman Flowers AMI Edward e..
Dunbar. VINO attended to getting IL In
form. II was checked through eighi
different times 10 make sure that no
error crept in. The book contains
many illustrations, plans and sketches.
a plat is shown OF every piece OF real
estate used in the operation OF the
line. Drawings appear OF every typo
OF roadbed and rail construction and
photographs of each type of car. The
trackage is arranged by streets. and
the cost figured to the minutest de-
tail. There are Il number of explana
tory chapters on overhead charges,
franchises and such separate studies