El Paso herald. (El Paso, Tex.) 1901-1931, 1910-04-26

Repair ana replacement OI
small wrought iron mains. 10000
Repair of cast iron mains,
valves and valve boxes. 100000
Repair and inspection of fire
hydrants ... $4,000
Taxes - 100000
Total operating expenses. s1S7, $4,000
Investment Expenses.
Bonds. $1,000, 900, 5 percent
interest and ? percent sink
ing fund, percent ....$ 100000
Stocks. 100000. percent
interest and percent, de
probation. 10 percent 100000
Total Investment expenses. 1920, 10000
Operating expenses $137, $500
Investment expenses -. 120, 900. 90
Total annual expenses. s257, $4,000
Dow r. Gwinn, taking ss77, OOO-the
price at which the company proposed
to sell the property to the city-as a
basis. and $50, 444-47, exclusive Of taxes.
as the operating expenses for the year
ending February %. 1910, and allowing
2 percent for depreciation on s977, 000.
which amounts to s19,5O0, and also 10
percent on the investment, which
amounts to $1,000, estimates s212. 681-47
as the total cost Of production to the
company for the year named. The es-
timated pumping was 966,242.000 gal
Ions of which 796, $4,000 gallons were
accounted for-being a loss of 26.6 per-
cent. He finds that to pay this cost OF
production ii would require an average
rate of 26.6 cents per thousand gallons.
Ctr, 372-373) This should be the aver
age cost for 1000 gallons, but the low
est rate should not be less than figure
that would bring the average to 26-6
cents per 1000 gallons It is his opinion
that the city Of FL PaSo and its resi-
dents should pay as much as in Pitts
burg, where the rate is so cents per
1000 gallons. with 10 cents off for
users of 5000 gallons per month. The
lowest rate to charge is 8 cents to large
users like railroads.
Improvements necessary
Estimating the present plant at 81
100000, and expanding and improving it
at an additional cost of s460,00O. he
says that it would then be capable of
delivering 100000 gallons per day from
the mesa, and should earn $4,000 per
annum in order TO pay operating ex-
penses plus percent for depreciation
plus s percent for interest and profit,
which will be a sufficient return on a
S1,500,0OO investment This would re-
quire a minimum monthly rate of $1.25
emitting consumer to $500 gallons per
Ions to apply until the rate OF consump-
,tfon exceeds 10000 gallons per month,
then 12-5 cents per 1000 gallons to apply
to the excess
Robert W. Hunt & Co., on a valuation
OF S1,211, 556, estimate at 10 percent
s121,155; renewals, s14.53S; and for op-
Grating expense, 725, 600. 900 gallons at
.0S514. the further sum of s61726, ag-
gregating s197,419.
The act of April I, 1906 (Texas)-
with the limitation that the rates fixed
by the jury or court, must be sufficient
10 yield the company not less than 10
percent upon the investment. but to
continue in force only three yeareap-
plies, it is thought only to cases where
the city council invokes the aid of a
court against extortionate and unrea-
sonable rates charged by a public utiI-
ity corporation.
Present Value.
The present value, and also its value
after the additional expenditure of s442-
$40, having been determined, il is next
IN order to ascertain the amount that
VIII be required to pay operating and
depreciating expenses. including taxes.
interest and sinking funds on bonds and
n reasonable compensation to the own
ers. 1t will be seen from the mana gers
statement based On an investment OF
81 100000. that he estimates SI373SO an
naaliy Tor operating expenses and taxes
an increase of s33S46 over the last
preceding year; though, according TO
MI Kdersted, who has appeared before
the master as an experienced expert
and at the instance of the company. the
viii not increase in proportion
to the amount of water delivered and
that the Increase in cost Will NOT be
in attendance, but in fuel, assuming
that price of fuel to remain I'm the
FIXTURE If lie
That it may be seen wherein the in
creases are made, the following state
ment OF the operating expenses for the
last preceding year is given:
Statement OF earnings and expenses
for the year ending February 2S. 1910:
Receipts.
Water rents, consumers .s121,7046I
Miscellaneous earnings 49,. 217.5O
Operating
Pumping Expenses:
Repairs of building and fixtures. 8
Repairs of equipment
Labor ........
Lubricating oils
Fuel oil and coal.
supplies
Filtering plant supplies ..
Auxiliary pump Getty p. P.) .
Altura pump station; operating 49,.
Distributing system:
Repairs of mains Z
Repairs of reservoir. .......
Repairs of wells.
Repairs of meters
Repairs of service lines.
Repairs of buildings and fixtures. -.
Street paving expenses ......
{ Altura pump station. repair mains.
Altura pump station, repairs meters
and service