Daily capital journal. (Salem, Oregon) 1903-1919, 1910-03-29
The Report in Full.


To the Honorable Mayor and Com
mon Council of the City of Salem,
Oregon:
We, the undersigned special COM
mittee to whom was referred the mat
ter of negotiating with Salem Water
Company for the purpose of obtain
ing an offer to purchase the proper
ty of that company, beg leave to re-
port that, after several months ne
gotiations, we have secured from
the company an offer in writing,
which we annex and make part of
this report. While we regret our in
ability to make a lower price, new
ertheless, in our opinion, the offer
ought to be carefully considered by
the council, and, in our judgment,
accepted subject, however to the
action being ratified by vote of the
electors, which, in our judgment,
should be obtained at as early date
as possible. Respectfully submitted.
The COmpanys Offer.
To John A. Carson, Chairman, Cid
con Stolz and Isadore Greenbaum,
the committee appointed by the
Mayor and Common Council of the
City of Salem to confer with the
Salem Water Company concerning
the price which the Salem Water
COmDany will take for its water
plant. g
Gentlemen
We trust that the whole of the fol-
lowing will be taken by your honor
10 committee in the spirit in which
it is submitted On our part we are
making it in a spirit of concession,
and in an effort honestly to meet
public sentiment. Almost nine
months ago we were requested to
submit our property to the appraise-
ment of a committee of engineers.
We readily consented to this, not
wishing in any way to oppose what
the people of our city thought would
tend to its development.
Our stockholders feel and know
that ii is not a desirable time to sell
their water plant. They foresee large
& evelopment for Salem and conse-
Quently increasing revenues for their
property. They know the long strug-
Gle il has been in the past to meer
uublic sentiment in the conduct OF
'Neir business. and at the same time
to get some small return upon the in
vestment. sale at this time, under
the present conditions, means that
they will get no reward for the years
of poor business and unfavorable re-
turns during which they gave the
best service to the city which it was
possible for them to furnish. Should
the sale be made now IL will deprive
them of the profits which should be-
gin to accrue with the rapid develop
ment of the city. The stockholders
of this company recognize, however,
that they are furnishing a public
utility and are, in a large measure,
subordinate to the wishes of the
community, and the price we now
make upon the plant is for the ac-
ceptance by the city of Salem only.
and for this period of time and open
only for so long as is reasonably
necessary for the city TO take proper
action to consummate the purchase,
and is not a genera offer of sale,
After several meetings with your
committee. and after having given
the matter careful consideration,
from our viewpoint and from the
viewpoint of the city of Salem, we
see the following alternatives:
First-The possibility Of the mu-
nicipality bringing in a gravity water
supply.
Second-The possibility Of the
municipality desiring to continue the
present pumping system. but TO
change the source of supply from the
present gravel bar to some other
point.
Under the tirst condition il would
not be necessary for the city 10 ac-
quire permanently the water power