Arizona republican., 1910-11-29

guidance of the council, and is not a
 bond election or a binding election. eX-
 cept that the council has chosen to be
 so bound. It has reached conclusion
 favorable to the proposition named,
 but does not want to tie the city up
 without the consent of the taxpayers.
 In the meantime the city attorney
 has been instructed to prepare the
 necessary papers for presentation to congress immediately on its converting
 asking that august body for permis-
 sion to use d portion of the bonds voted
 for sewer construction in the purchase of the present sewer system as unit of the greater system to be completed
 by the city. In the meantime MT.
 Lack has agreed in the event or an af-
 firmative vote of the people. 10 with draw his suit against the city, now pending in the district court.
 In the conference last night Mir. Lack made several propositions. the one above being regarded by the cOun- cil as the most favorable one. They were inclined to accept it, according to those present. with the approval Of the people. for these reasons: That it will hasten very much the providing of the city with an adequate sewer. lack of which is believed to be retarding muni- cipal development in many ways; if compromise is not made with MT. Lack it will probably take two years to set tie the lawsuit. which would be an eX- pensive delay. even if the city won the suit
 It has been cOntended by consider able number of people that the present sewer is not worth $60,000. The coun- cilmen were convinced that if the mat ter were left to arbitration the city would probably have to pay more than that for it. IL was shown to thelr that the company made sl2 GOO on it's investment during the last year, or 20 per cent on a S6O,o0O investment: that that is 25 per cent more than it made the preceding year and that the property is rapidly in- creasing in value to the owner; that it is a doubtful question if the sewer could be built as cheaply now as when the present one was constructed, and lnefG WAS tkiutIltt " N''N council that the property has not de- teriorated. so that the property at first cost would be worth more today bv considerable than when it was built
 The councilmen therefore believed that even if $60,000 is more than the sewer is actually worth at an appraised valuation. when the cost to this city In health and business and litigation for two years is taken into consideration and added to what might be regarded as a fair price by the most conserva- tive. it would be brought up perhaps to more than the price asked.
 still another matter for considera- ton. amounting to cash item or CT haps sIO.OO0 in round numbers was brought up in the conference That Is that if the city proceeds to sell lts ..,ver nonds before statehood they will command q premium of possibly $lO,- ooo and draw 4h per cent interest whereas by comparison per cent bond after statehood. it was stated ,ould not be marketed perhaps al par ,r least not more than par. WhY the honds will be worth less uhueI statehood than now is accounted .or in part by the fact mat II sold now they are authorized by the Tinted states congress and Will be the ,ardesr thing in the world for the citN -o over repudiate should il desire to' and therefore gilt edge and apsoiuteE ,,re investment for bond buyers IL is ,aid there are other reasons that Were not axnlained. and that there IS no need for it for the bond buyers all as'H' .o the fact. whatever the reasons may be.
 Afte, this showing the councilmen oet night announced their approval or he plsn personally. but recoshizns
 hat it is a question lnNolNlhe leal of money and one the peopie ar nuch interested in they decided lo S''' m election and put it up to the peopIe .or an expression of thelr will. II the ,ote should be negative the couhch ,yill drop the matter.
 One other fact has been used eS- ansivelv as an argument against pu! DO tbe nresent system. and that IS mat . is not deep enough to dram lhe ,rildings with deep basements. rms he councilmen decided was not Naiiu
 roument The gentlemen sald they Iad been informed by authorizes the! ,ad confidence in that owing to ..ie ,igh water plane in this Vaile!' u"e ,,,ino of n new system deep enough vain the present and future deep oase- oents by gravity. would be very eA ensiye undertaking; would cost a lo' f money merely to accommodate ie" ,uildings which the councilmen believe nav be equally as well provided for oy
 nnnirp at a comparatively slight eX- .orse as two or three of the deeper ,,i,dinzs now are. The excessive cost f a deeper sewer they do not believe