Imperial Valley press., 1910-11-05

that company in refusing to apply the | Mexican rentals to the system.
 MT. Haines-"You gave notice to the valley companies that you would not regard their contracts, and yet you respect the Mexican contract Why?
 Col. Holabird-"Because if I should abrogate the contract with the Mex ican company, that company could de- nard payment for water at the bound ary at fifty cents an acre foot and believe that is just what it would do 1 l respect that contract in order to protect the settlers of Imperial Valley"
 The matter of certain rentals re- ceived by w. J. DOran and not turned over to the receiver was brought up and Col. Holabird said that if Doran continued to refuse to pay over the money, he should ask the permission of the court to bring suit for it against the Southern Pacific.
 Concerning water stock held by the c. D. Co.,, Col. Holabird said no water stock came into his hands with the property of the company except some 1000 shares of No. SIS stock. All the rest had been turned over to a trustee. MT. Eshleman intimated that 1 No. S's stock was left in the c. D. Co.'S hands because it was not assessable there but could be assessed ill the hands of an assignee.
 The general effect of the disclosures made in the hearing was to confirm the impression that the Southern Pa cific's law department started some- thing that did not work out as ex- ! rected, and that the receiver had been ! left without aid or guidance to extri- I cate the c. D. Go. from a muddle as 1 best he could. He was evidently be- l tween the devil and the deep sea.
 Rockwoods Views.
 C. R. Redwood, former president of the c. D. Go. and it's chief engineer up to 1906, was called as an expert and presented an estimate of what he deemed the necessary expenses for the l next twelve months to safeguard the 1 sy3tem The receivers estimate for re- | pairs and new structures was $176000 MT Redwood thought $41 ,000 would be sufficient. He had cut out repairs at Sharps heading, the proposed new structure at five gates and several other large items. He declared that 1 the headgate at Sharp's, which he built seven years ago, is in good con- | CFDiOn and safe for another seven ! years. All of the structure below water, he said, is in perfect condition, and $500 would make all the repairs required above water. There was no p.-ysical reason, he said, for removal of the weir dam, as it would be swept out by high water, but as the war de- partment requires it's removal, he had i allowed $1,000 for that work. Con corning the relations between the c. D. Go. and the Mexican company, Mr. Rockwood testified that during his connection with the system the revenues of the Mexican company were all turned over to the c. D. Co., and the Mexican company was not consulted with reference to operation and maintenance of the canals.
 MT. Redwood said the dredging of the canal below the gate would avert all danger of shortage of water, and one dredge could do the work He saw no reason for operating the sec ond dredge at all, and he condemned the plan of deepening and straighten- ing the Alamo channel at various points below the railroad bridge. He allowed for four months possible ope- ration of dredge in the intake, but doubted that the work would be re- quired during the next nine months, as the intake is now clear
 MT, Redwood said he did not be- lieve the Alamo channel could be used always as main canal to conduct water from the gate to Sharps. Structures to control the flow of the water would have to be installed eventually.
 MT. Rockwood's estimate of the probable revenues of the c. D. Co. for the coming year, based upon an eX- pected increase of twenty per cent in the use of water, including certificates for 1000 issued by the receiver and yet unsod, was $329, ,540. His esti- mate of operating and maintenance expenses was the same as the receiy- CT s,$l6000O and of extraordinary eX- penses S4l ,000, making a total of $2Ol,O00, which would leave an excess of revenue of $l2S,000 If the figures are correct of course no increase of rates is necessary.
 Supt Carberry of No. l. who made an examination of the system with Engineers Redwood and Finkle last month. agreed with Rockwood as to the condition of structures and the amount of repair work required.
 Engineer Finkle said he would ad- wise removal of the weir because of possible danger to leYees in the flood season. If the canal should be ] dredged, it would not be necessary to