The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1912-01-18
A Resolution of Protest Pre-
sented by William Dudley
Foulke Was Unanimously
Approved Of.
GAS CONTRACT NOT
READY FOR ACTION
The Time to Renew a Con-
tract Is When 1t Expires,
Not Long Period in Ad-
vance of That Time.

At. a meeting yesterday of the Bu-
reau of Municipal Research, at which
Fettis A. Reid presided, protest was
offered by William Dudley Foulke on
the method of the board of works in
franchise matters in pri-
vate session and it was unanimously
concurred in. This protest follows:
A Protest Entered.
The Bureau of Municipal Research
desires to enter solemn protest to
the city government against the con-
sideration at this time of the appli-
cation made by the Light, Heat and
Power company for an" extension of
twenty-five years in the franchise from
the city. This is not the time to con-
slider any such proposition. The pre-.
sent franchise has still over three
years to run and the slight reduction
in rates offered for this long extension
is not sufficient consideration for tie
ing the city up in twenty-five years
tract of this kind is when it expires.
and not at long period in advance
of that time. A public service corpora
ton becomes much more amenable
to reason when its rights to use the
streets of the city and to extract from
our citizens a most unreasonable rate
for gas is approaching an immediate
tAr inc h a1r>e
in the past relations between the
Light, Heat and Power company and
the city of Richmond to Justify any
special favor on our part or any early
consideration of their claims. Their
former rates for electricity were SO
extortionate that when the city con-
structed its plant it was able at once
to reduce by more than twenty per
cent the charge for lighting at the
crossings. besides making large reduc-
tions to private consumers of elec-
tricity. But it has continued its ex-
tortionate rates in regard to the gas
supply. Through it's superintendent
at this place it promised an early con.
sideration of reduction when it bought
the plant of the Natural Gas company.
Yet these were not given. At the pre-.
sent it is demanding and receiving 81
thousand for gas which could be fur.
nished at reasonable profit for lit
tie over 20 cents.
Attempting Too Much.
The consideration of this proposed
franchise before the water works fran
chise has been settled would indicate
disposition on the part of the city
government to take up two difficult
public service propositions before they
have been able to settle one.
1t is in just such a way as this, by
application for new contracts far
ahead of the expiration of old ones, by
secret meetings of the board of works
and others, not exposed to the scrutiny
of the people, and sometimes by
means far more discreditable and
even corrupt, that public corporations
of this kind succeed in binding uE
cities for long terms by unconscion
able contracts. If the negotiations are
continued, the people should have the
fullest knowledge of every step taken
at every point, and. in some way, the
questions ought to be submitted. t6
them for their approval. .,.
1t is possible that law will sooI
be passed by the legislature that ques
tions like these must be submitted tG
the1people before adoption, and thai
public Utilities Commission will bt
appointed (which will decide, aftel
hearing testimony of experts, what Ii
a proper rate to be charged and what
are the proper conditions Of q fran
chise like this. By making the cor
tract now we anticipate all such pro
visions for the protection Of the public
to give to the Light, Heat and Power
company the benefit Of every contin
gency. A contract ought not to ruI
for twenty-five years, which is nov
the extreme limit Of the law. it ought
to terminate At an earlier period OF
better stifl II ought to be indetermi
nate with the right of revocation a
any time upon due notica-
Constructive Franchise.
A constructive franchise polio,
must provide:
| 1-Adequate and continuous serv
ice, and standard quality.
2-The permanent upkeep Of tn.
property at the practicable maximum
of efficiency. ..
3-Extensions of service as needed
| 4EReasonabIe and uniform rates, t.
provide an adequate return upon thu
capital invested
Unity in operation, subject Il
public supervision and also for tn.
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