New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-07-21

that are considered By the conterrees N
be verv conservative, that any clnulalt
deficits in its preferred allowance Vot-u
be DISCHARGED within eight years nom the
beginning II operation, ana thar me cllLu
lativs deficiencies IN the Guys car'Elu M
account would Re discharged IN I'VE ySs-s
more. thus bringing the city WITHIN w.
teen years 70 the point al which u Vouio
derive a annual prolt 49,.
The confsrrees M recomTn1enaaat,.i o,ia.
the proposed revised basis for settlernenI
with the marlborough COMPANY ne dc-
cepted have IN mind also the tact tnet
the indirect benefits 70 the CITY "oul1 &c
70 -tlv n EXCESS of the direct return rom
trs share N the revenues Of operation ne
r,reeidevr % the Department of axes sHl
Agsessrn Arts informs thu con'rNtLNe Llel
within Eve or ten years following ne ope...
ing Of the new transit lines 70 operatlon
+sTa-Ie values will increase fully S5Hc"n
nm nevond the estimates the departn1eh,
has previously furnished. A. me rae ~
10 1,ra-ent annual tax this Tould net
n7ora thar e m go annually IN taxation
This consideration alone. n the judgment
~ the ronferrees tusti1es any FISK Lle'
construction Of any OF the lines en-
a., the cor7rrehensive rlan the conferrees
report proposal
There u-era cheers from The INTERIOR
orgr.s frie-dF when the Mayor had fin
,=hed gentlemen vow must rot forget
yourselves" SAID the MAYOR. rapp'nE on
the desk
Mitchell Gives H,z Objections.
President Mitchell then voiced hts op-
roS,tior r. the marlborough PROPOSE
ton. 10 handed a long statement 70 the
eecreta~v r. he made part ~ the record
and gave IT, out Tor publication. but his
,e,,,s rlse we're much more brief In the
statement he took Ut in detail his ohtec-
tons 20 tho proposed Ter cent guaran-
tee and other terms suggested b. the
1nterborouEh. He summed up his objec-
tons as follows.
To sum I'D. 1 am opposed 70 the present
Because It guarantees 70 the company 100
per cent ar irs present nAf earnlnes
throughout the term ~ the contract. which
i= moro than -he conpany's present lease
| Is reasonably worth 20 day N view ~ the
/ competition which the company would have
| 70 face provided that II did not obtain q
| Franchise for any Of the new subwavs
Because n guarantees 70 The company ?
! compound interest. that r. 70 say, interest
I on a fund created 70 make good interest
and prnft under the plan Tot pIHisreIllIal
payment
Because even that excessive net proft e
! the COMPANY. assured under this plan, Will
! be reckoned upon an minated statement OF
| the cor1psnvs investment IN construction.
n
| duA % Inc Inclusion q 81 oo1 FOR the
| BROOKLYN extension and other lesser items.
/ Because under the plan proposed u
/ would require congestion greater than that
! IN me present subway N order that the
/ city might ever get q pront upon Us share
! OF the investment. ana even then would
! not receive such profit until a remote Pc
Rod Of tine. 1854 n We assume a conges-
/ ton only slightly greater than thar IN the
! present subway. and 1929 u We sssuns
! Complete saturation, which would repra-
| cent crowding % per cent greater than
| exists to-day
| Because this offer requires z separate sc
/ counting basis and separate method II de-
! rerruiniri- revenue and operating expenses
! together with a separate guarantee by The
] citv against loss IN the case OF all future
! extensions constructed hv the city. but not
| accepted by the company The company
| VIII he able 70 bring all future extensions
within the crerafion ~ this guarantee by
the simple eTpedisnt II refusing 70 operate
them.
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