The Birmingham age-herald., 1911-11-04
WANT METERS AS A BASIS FOR ANY CONTRACT CHANGE Water Officials and C0m- missi0ners Are Still
 Negotiating TEXT OF CONTRACT
 IS GIVEN IN FULL President Lynn Thinks City Will Ulti- mately Own Plant, But Says
 Many Details Will Have
 to Be Worked Out

IL is understood that A. M ("Berto Lynn, president of the Birmingham Wa terworks company, has intimated rather strongly to the commissioners that the cnly way his company would consider 2 reduction of the local water rates would be by arranging meters for the residents of Greater Birmingham. thus in a meas ure regulating the enormous waste or water here.
 No conference was yesterday held be- tween the officials of the city and the water company, but it is gathered other meetings will be held when the commits sioners digest some information given them by MT. Lynn.
 It is said that MT. Lynn suggested that the city take list of 1000 houses without meters and the same number outside of old Birmingham with meters and ascertain exactly how much waste water is sup piled by the company to Birmingham con- surners.
 It was given out that the company in- formed the commission that the plant here was very much larger than this city needed. and that one thing must be con oiucFeu III ally QeNldtioll llOlil tio piS ent contract, and that is to arrange some way whereby the company would have charge of regulating the waste water in thls city That method. it is taken, can only be taken care of by the installation of meters.
 All the residents of those municipali- ties absorbed by Birmingham have me- ters. Their water rent is very much less than that of the citizens in the precincts of cid Birmingham. All water service here is under meters excepting the resi- dence section in old Birmingham. The business houses, factories and other con suners have meters installed. The commissioners are looking into the situation as to the meter proposition, and while absolutely nothing of a definite character has been done, there Is expect ed to be other conferences regarding the trouble the waterworks company is un- derstood to be facing in the executive ses- sions held in the presidents office at the city hall.
 | President Lynn says without hesitation | that it is his opinion that the city will | eventually own this water organization However, he is of the opinion that the I most serious study should be given the matter before it is undertaken by the city. He is personally in favor of munich pal ownership, and says: "I know how serious a matter it is for a city to take over these companies, as I have been I through several trades of this kind.'' As for tho contract the city holds with | the company, the Birmingham Water works company feels assured that it is abso.uteIy binding. The contract does not expire until January, 1920. The contract was made May 3l, 1888. by A. o. Lane. mayor of Birmingham, and President Caldwell of the water company. When W. Nj. Drennen went into office as mayor the subject of cheaper water was up and he sponsored an ordinance through the countil lowering the present rates. The company then owned by another crowd than now has charge. secured a tempor- ary injunction before John c. Carmichael, then chancellor here. On January g, 1899, Chancellor Carmichael rendered decision resting the points now disputed in the ne- gotiations. That injunction was made final and the company was never bothered until the present dispute It is said the company now owning the local plant con sidered the purchase only after that de- csion. believing that the rights here were then safe.
 The commissioners, it is gathered, be lieve the contract has expired. Section fl says "Be it further ordained, that when the waterworks herein provided for ere completed it shall be obligatory on said city to use the hydrants of said water company and to pay for same as hereinbefore provided for during period of 90 years.'
 The commissioners are said to hold that the contract has expired and the com- pany may now be purchased Section 19, however, says:
 That at the expiration of this contract. and at each recurring period of 10 years thereafter, the said mayor and aldermen of Birmingham may, if 1t is so desired. purchase the said waterworks herein pro- vided for. And if the said waterworks company and the city of Birmingham cannot agree upon a price thereof, then it shall be referred to two disinterested and competent persons, one to be selected by the said city and the other by the said waterworks company, and if these