New-York tribune., 1911-02-15
NEW OFFER FOR SUBWAYS
ENGINEERS Make Proposition Tor
a Five-Borough Project.
ASK FOR NO CITY MONEY
Municipal Credit Required only
for Extensions to Queens ana
Richmond, if Constructed.

Josenh Coccavaio and Marshall W.
Brown. engineers. Of No % wall street
can, an offer for the construction and
operation Of five-borough independent
city controlled subway system to the fuo-
lie Service Commission Yesterday None or
the city's borrowing capacity Is TO oe
drawn upon under the financial plan SUD
rnitted. the city being called upon only 10
Furnish land and easements as required TOT
construction. except for extensions ho'
included in the tri-borough plan, FLUSHING
70 Jamaica and Staten Island.
The scheme Of financing involves the is
.uance By a constructing and opera'n'H
company OF preferred stock. upon "hlcn
cumulative dividends ~ per cent are 10
ne paid for the four years estimated TO DE
required for construction OF the first group
of subways 10 be known as Class A. ana
for the first year OF operation There
after cumulative dividends OF 10 per cent
ere 10 be paid. This preferred stock may
fe ACQUIRED by the city after ten years or
cneration at par, and q decreasing price
annually thereafter. until the price becomes
8, share in the fortieth year of opera
,ion the stock reverting TO the city upon
the completion Of forty years of operation
The projectors point out that the city may
buy This preferred stock with money Sc
curod by bonds which. being sef-sustain-
irc would not be included in the debt
limit.
Dividends on preferred stock during con-
sjructiCn would be charged 10 cost. as
would interest on bonds. if any were issued
20 bonds are 10 be issued, however. Com
mon stool, to an amount not exceeding 10
),nr cent Of .he par value Of the preferred
stoc6 is 10 Lc issued. receiving non-cumu-
'lauvc dividends. as earned. TO the same
extent as the preferred stock. Money for
.orcration is 10 Dc borrowed and repaid ont
o. receipts. the remainder OF which after
providing for cost Of operation, improve
mcnts and dividends is TO so TO the city.
'rhe projectors suggested that the COM
Jany have a hoard Of fourteen directors
CONSISTING, OF soven men elected by the
holders Of common stock. the Mayor. the
COnt~oi,e. the President Of the Board OF
Aldermen. tho chairman Of the Public
Service CommssiCu, the presidents Of the
{ amber Of Commerce and the Merchants
Association. and the president Of either
The Manufacturers Association or the Real
Estate Board OF Brokers.
The oIer covers FIVE borouGhs in four
sclasscs. class 4 includes routes TO be
CONSTRUCTED. equipped and operated by tho
tcompany Glass 3 routes TO be operated
after construction II: the city. Class G,
additional routes. to Nbe constructed wholly
ior I'm part under the same terms as those
iin Glass A. and Glass - subways construct
ed as under construction by the city, for
which the company makes an ofer for
operation on terms later TO be settled
class \ includes the Broadway-Lexing-
ton avenue subway. extending from l3Sth
street south to the Battery; the Jerome
avenue and Westchester avenue exten-
,ions: the Lafayette avenue subway,
Brooklyn: the extensions Of the Fourth
avenue subway. Brooklyn, 10 Fort Hamil-
,on and Coney Island; connection with
1he Centre street bridge loop. and con-
peCtion with the Broadway Lexington ave
nue. route. making possible the operation Of
trains over the greensboro Bridge.
Glass y takes in an extension from La
1ayette Avenue ana Broadway. Brooklyn.
10 Jamaica; an extension from the Fourth
eyenrc subway 20 the Borough or Rich
,ncnG 10y tunnelrg the Narrows; an ex-
,ensi,n from Bushwick avenue. Brooklyn.
through Stuyvcsant and Utica avenues, and
an extension from the Thomson avenue end
o. tho greensboro Bridge through Wood
.ida. TInEurst and Corona TO Flushing.
class = is confined TO the Seventh avenue
route. Manhattan. with connection with
The Fourth avenue subway. Brooklyn. and
.uurs along 18TH street and Broadway. in
Manhattan
C.:es d comprises the Fourth avenue
sis,Jav. Eow under construction. and a
',ar1 n the subway bridge loop, connect
jnc tho East River bridges
The projectors q the plan estimate that
Inc total cost OF the construction and equip
Iuert of the routes Cf Class y will APP
)rcyimate slOc,C0O.Ooo
The system a. projecacd, will ne so com
,,.-crcusi.e as t. reach all five boroughs
10. r Gye-ccrt fare, and also make pos
sill. future connections 10 parts Of the
city not included under the present plan.
The projectors st no time limit for ac-
lion on their proposition by the commits
sion but say that in the event Of favor
sl,e consideration they Will be ready tc
satisfy the commission o' their ability 10
JiiGl any contract entered into.
They made no statement giving hint as
tu tLcir Gaancial hackers or 10 show that
.t.ey had money enough behind them 10
.srr: out contract