The Birmingham age-herald., 1912-06-02
To the Honorable Board of Commissioners of the City
 of Birmingham

Gentlemen--On the 10th of April your honorable board entered into an agree ment with the Peoples Telephone com pany, permitting said company to sur render its franchise, discontinue its service in the city of Birmingham, and to sell its physical properties. It was frankly admitted by those parties in terested In the deal, and their attor ney, that they had received some as- surances from the Southern Bell Tele phone and Telegraph company that said company, If permitted. would pur- chase said physical properties, but l do not recall that any definite price was ever mentioned although the par ties interested. and their attorney, in- sisted that they were taking your hon. orable board into their full confidence.
 Since your action in the premises, however. 1t Is openly talked upon the streets, in fact 1t has been averred in a bill in court, and not denied, that a huge sum of money, to-wir, $500,000. has been deposited in trust, or other wise posted by the Bell company, to be paid over to the parties engineering the deal upon a successful consumma- tion thereof.
 presume your honorable board is familiar with the terms of the fran chise under which said Peoples com pany operates it's system in Birming ndIn trust, however, It WILL DOI De gratutitous to call your attention to the 7th paragraph thereof, which reads in part as follows.
 Now, therefore If the said Claypool or his successors or assigns shall by any agreement transfer, pool. or sale of stock, or by any device whatever dis pose of said franchise. or any interest therein to any competing company whereby the telephone rates would be r.4~ .tzz t.~.x- .g,~a.a i. +I,4 franchise shall become null and void, and all poles, wires, conduits, ex- changes and other appliances used by said Claypool his associates and as- signs, under the terms of thls contract and ordinance, shall be forfeited to the Mayor and Board of Aldermen of Bir- mingham, as stiupated damages for failure to carry out and perform the agreements herein contained.
 The Mayor and Board of Aldermen in granting this franchise, in their wis dom, no doubt anticipated that the time would come when the Southern Bell company would feel the rancor of sub- stantial competition, and would set about to destroy. This clause was, therefore, incorporated in the franchise that succeeding administrations might dictate the terms of probable consoli- dation.
 
 mingham Is hopelessly in debt; your constant appeal has been for more revenue; you have discharged scores of helpless and hopeless employees grown old in the good service of the city, and you have Justified your ac- tions with the said refrain. increasing deficit" sta
 In the teeth of these conditions, therefore. your generosity toward the parties engineering the deal your mag nanimity toward the Bell company, have started the rank and file to talk ing about you They want to be shown a few things
 How has the city of Birmingham, or the people of Birmingham been bene- fitted by this deal? Have they been re- membered in this last will and testa- ment you so adroitly helped to write? Have you not by a subterfuge and sham violated the city S contract, the solemn inhibition of your states con | stitution you are sworn to uphold? Has not the city of Birmingham been made a party to a bungling fiasco by which the syndicate. unloaded less than $loo,- 900 worth of physical properties for S600,000? Have you not lost to the city the annual taxes and the annual license you would have collected from the Peo- ples company? Have you not surren- dered the service rendered free to the city under said franchise? Have you not left the city of Birmingham an open field, and the people of Birming- 1 ham a helpless prey 10 the tender mercy of the Bell company?
 1 And what did you get in return? l am advised that you are even now ne- gotlating to buy back the poles that might have reverted to the city under the terms of the above franchise. All | thai you seem to have saved rom the wreckage is wee small bond for s5o0o | for 5000 outraged subscribers to pick damages out of, and 15o,oo0 citizens to rally around and exclaim. Long live the} commission,"
 &entlemen of the commission. in my humble opinion you have made a blander. The people of Birmingham have never yet voted out a competitor in public service, or gift to a menopo- lly, Remember the election on the sale of the waterworkss system that is a burden to the city. Remember the lighting contract election, during which campaign, one of your honorable board stumped the city from East Lake to Vivian. Put your ear to the ground, gentlemen. Your honorable board is on thin ice. Respectfully,
 1 t*s JOHN F. WILLIAMS.