The Bemidji daily pioneer. [volume] (Bemidji, Minn.) 1904-1971, 1913-04-19
Reduction to $1.35 if Bills are Paid
By the Tenth Of the Month City
Can Buy Property at Any Time. "
WILL PAY GROSS EARNINGS TAX
Two Per Cent Offered Until Output
Reaches 100000 Feet Then
is Raised to Three. ~

Bemidji will have a gas plant
operating within nine months if the
council and E. E. Collins, representa-
tive of eastern capitalists, can agree
on the terms of a franchise. The
plant will make gas which can be
used for cooking, heating, light and
power. Mr.. Collins is in Bemidji to-
da and will submit his proposition to
the. council at a meeting Monday
night. s. :-.s..-.s. ...--ss
The franchise which will be offer
ed to the council contains the follow
ing terms: ".s-~
/. The franchise is to run for
twenty-five years. .-'
2. The gas is to be not less than
eighteen candle power and to- test
600 British thermal units for heat.
Gross Income Tax. u
3. The company is to pay it's gen.
eral taxes and in addition two per
cent per year on it's gross income I'M
til it produces 100000 feet Of gas
per year and three per cent after that
output is reached. - .....s..
4. Price is fixed at $3.50 per
thousand feet maximum with a re-
duction to,$1.35 if bills. are paid be-
fore the tenth of the month. The
council is given the right to regulate
the price at the end of each five eyars.
II the company is dissatisfied with
the new rate, the company agrees to
arbitrate instead of taking the mat
ter into the courts. At no time can
the rate be made more than $3.50.
s 5. No. charge will be made for
meters but fifty cents per month will
be charged where the gas consumed
does not cost that much. ~
City Can Buy Any Time.
6. The city will have the right to
buy the plant any time it decides on
municipal ownership. In fixing the
price, the gas company and city each
select one arbitrator and the two
third. The city need not buy at the
arbitrated price if it does not so wish.
Z. A tester will be maintained in
the city hall SO that the city can test
the gas at any time.
8. The company offers nothing
for the franchise but in case the city
buys the plant, the franchise is not
to be considered an asset of itself.
Two Miles of Mains.
8. The company agrees to have
the plant in operation within nine
months and will lay not less than two
miles of mains the first year. Mains
will be laid in alleys and streets
ttunnelled. Additional mains can be
ordered by the council upon petition
of property owners and If the CON-
pany refuses to install them the
council can do the building and the
cost becomes charge against the
company.
In addition, Mr.. Collins says that
the company will be organized local.
.ly with local men on its directorate
and as officers although the controll-
ing interest will remain with the men
who are backing him. The same pro-
position which will be submitted here
has been accepted by Little Falls.
Brainerd's council is debating a
franchise which calls for q maximum
of $1.35 for gas with $1.25 II paid
by the tenth. The difference In the
rate, Mr.. Collins says, is caused by.
the difference in the size Of the cities.
Citizens Will Watch Franchise.
business men were approached by
Continued q lat 80