Los Angeles herald., 1910-05-28
WORKNOT To HALT
ON THE AQUEDUCT
Water Department Comes to the
Rescue with Addition to
Sinking Fund Help
100000 TO USE MONTHLY
Proposed Building at Fifth and
Olive to Wait for More
Flush Times
100000 TO USE MONTHLY

An arrangement was made yesterday
whereby more funds will be available
Tor aqueduct construction purposes in
addition to the large sum set aside
py the city from It's sinking fund. The
water department will provide large
sum also, and the work will go on
with little less energy than hae MARRIED
the remarkable nrojact i'm ~ +h;s
time. '-i'
W. }. Washburn, chairman Of the
hnance committee of the city council.
arrived home from New York yester-
day' conhdent that although the bond
market In the east is in an unsatis-
Factory condition, Los Angeles great
aqueduct project will not be delayed.
Mr Washburn, William Mulholland
ana w. b. Mathews went to New York
city when it became evident that the
rapid progress made on the aqueduct
would necessitate the raising of more
money ahead of the time at which the
purchasers had agreed to pay another
installment The city's representatives
sought to persuade the bond buyers
to pay the next installment ahead of
time, but could not.
However, the work is to go on with
scarcely diminished energy, for the city
will take $890,0 out of it's sinking
fund and put it in the aqueduct fund,
and at a conference held yesterday ar
rangements were made whereby the
water department will provide funds
also. From these two sources sufficient
money will be available-about 100000
each month-to carry on the work un-
til the next installment of the pur-
chase price on the bonds is due.
MONEY is TIGHT
The aqueduct project is now about a
year in advance of the original esti-
mate. Mr.. Washburn stated to The
Herald yesterday that the bond mar
ket at present is very slow In New
York on account of the tremendous
and increasing demand for funds from
all parts of the country.
"The city of Philadelphia" said Mr..
Washburn, attempted to float a lot
of bonds recently in New York and
failed and various big corporations are
after ready money which cannot be
supplied at this time of the year. We
were assured that later in the year
money would be more plentiful and
that possibly Los Angeles could be
accommodated to the limit We had
figured on having the aqueduct COM
pleted by 1912, one year earlier thar
was originally planned, but IL the casf
is not available, of course the worl
will be retarded few months. How
ever we may be able to secure the
funds desired to crowd the construc-
ton enterprise, in which event the
water will be ready in 1912. If not, il
will surely be available during 1913, as
originally planned.
Throughout the east" added Mr.
Washburn "there is every evidence
of prosperity in industrial enterprises
and in building, and immense sums are
required to handle the big propositions
Demand for money in New York comes
from every quarter of the country"
WILL POSTPONE BUILDING
William Mulholland. who was with
Mr.. Washburn in New York and ar,
rived home a day ahead of him, saio
Yesterday that the water department
had agreed to repay to the aqueduc
fund $125,000, advanced some time age
for the construction Of reservoirs in th'
San Fernando valley. work which was
done under the direction of the watel
department and for which the Watel
department should have paid. Th'
money was merely loaned to the de
nartment out of the aqueduct funds
lust as money previously had beel
loaned by the water department to th'
aoueduct. To make possible It's repay
ment Immediately the board OF waite
commissioners, following conference
with the aqueduct board yesterud'
morning, decided to postpone tenn
porarily work upon the building wnlcl
the board purposes to erect at flItl
and Olive streets.
w r. Mathews still is in the eas
negotiating with the bond buyers. 1t
possible that he will succeed in In
ducing them to pay for another blocl
of the bonds before contract time, il
which case work on the aqueduct vii
he pushed forward with the same rap
ldity attained in the past. In an
event. however, the aqueduct VIII D.
ready for use by 1913, the date origin
allv fixed for its completion.
lust at present Mr.. Mathews Is Il
washington on work connected witt
the Chaffee land litigation but he ex
meets to return to New York within
few days and resume his efforts in tn
financial district.