El Paso herald. (El Paso, Tex.) 1901-1931, 1910-06-18
THE WATER QUESTION.
Ell Paso. Texas, June Is.
Editor FL PasO Herald:

Ell Paso. Texas, June Is.
Editor El PasO Herald:
Following your usual liberal policy
you invited the citizens to make use OF
your columns for the discussion of the
water question, and I had hoped that
somebody, we'll qualified, would have
taken the trouble to explain the mat
ter of municipal ownership in detail
so that every taxpayer at least might
know what 1T really involves. for ii IS
not always that IT is all that it Is
cracked up to be.
I and a good many others have an
idea that somebody is trying TO hide a
niger" in the wOodpile in this case
And when you speak Of the "over-
whelming" majority in the last cleo
ton It sounds like you are trying to
be sarcastic. To US that last election
looks worthless. only % percent Of the
voters, very small majority, took the
trouble to file their votes. You have
said that out of this 25 percent, nearly
all were taxpayers, but I think you are
mistaken about that believe that most
of those that voted were water paying
renters, and they naturally voted
against increasing the rates" For the
question has been placed before the
people in such a way as TO lead them
TO believe that city ownership would
leave the old rate in force. And I think
here Is where you have TO look for a
niger" According to Gov Sayers's
report, which is good authority, neither
the company, nor the city, nor anybody
else can furnish the mesa water with
out increasing the rates. and If any
body hopes that city plant is going
to give him cheaper water, he will get
fooled.
But let US suppose that city owner
ship is really the most desirable thing
at the present time. then let US stop
and do a little figuring, and see where
we get off.
The water company is thoroughly dis
gusted with It's investment and expert
ence in Ell PaSO and is anxious TO sell
out on the following terms:
1t wants in city banks the amount OF
$3.50. 600. and the city must take over
their debt $477,0O0; total, 1927. 600. and
the city must pay the expense Of the re-
ceivership besides
Now. e great many taxpayers are
asking how are we going TO do thisI
1915. goo worth Of bonds instead Of the
s450.0G0 that the company asks That is
because the city will then be up TO the
very limit Of its credit and hence the
balance. $4,000, must be provided for in
cash or other satisfactory collateral
Well and good. II the city can do this.
then il can take over the waterworks-
But then it viii also have tied itself
up pretty eight
Then the next and all important ques-
tion viii BE-: With all our resources ex-
hausted for some time to come. how are
we going 10 make the extensions and
improvements needed TO get the pure
mesa water? According TO Gov Sayers's
report, this viii require nearly a half
million dollars additional for iu1medi-
ate use Where are we going to get Il?
Or is the idea to merely acquire the
water plant now. and then let Us keep
on drinking that foul " ats water for
two or three years more until the citys
finances will warrant the improve
ments? 1 have been told that the
profits of the plant could be used for
the improvements, but so far there has
been no profits, and in the governors
report it is estimated that the 70 per
cent increase in rates, after paying 5
percent interest on the bonds, and ? per-
cent for the sinking fund and all oper-
ating expenses would probably leave
about 10 percent profit on the stock.
which is less than 100000 so that n
the city adopts the same increase the
annual earnings would be less than 800.
900, and from that amount would have
to be deducted the taxes which the COM
pany Is paying. amounting to about
$4,000; that would leave in round fig
ures about $4,000 year for extensions
Now. how far would that go. where a
half million is required at once to make
the plant fully up to date.
So where do we get Off
Some people think that the expenses
of the works will De less under city
ownership. but il is a well known fact
everywhere that properly managed pri-
vate plants can be run cheaper
II city ownership at the present time
is going to stop all other improve
ments in the city and probably add to
the now heavy taxes. would it not be
Continued on Page SevenO