The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1913-03-05

cation by the commission for cause.
In Sec 100 of the bill it is set out that
where a municipality seeks TO buy
public utility the utility must sell to
the city at the value and according to
the terms and conditions fixed by the
commission. This provision is subject
of course, to hearing and appeals pro-
vided.
There is a provision also to the eff
feet that in the event the new law is
found to be invalid, or is annulled, the
utilities going under the indeterminate
license system shall receive back the
grants of franchises they have surren-
dered, and continue thereafter under
those old grants, provided, that in
such case no returned franchise shall
run for less than five years.
Under the plain declaration of the
which contain any term interfering
with the existence of rival public
utility are against public policy" and
the law amends such franchises in
such manner as to permit any city to
grant permit to a second utility con-
Germ.
Up to July /, 1915, any existing pub
lie utility may surrender it's present
franchise to the clerk of it's municipal
ity, and receive in exchange therefor
an indeterminate permit provided for
by the new law. The acceptance of an
indeterminate permit carries with 1t
the utility company's consent to flu
ture purchase of it's plant by the NUM-
cipality under the supervision of the
commission. 1t also accepts conditions
as to revocation of the permit by the
commission for cause.
1t is provided under the law that
municipality owning a utility plant
must obtain the approval of the COM
mission before disposing of the plant
1t describes the proceedings necessary
to the acquisition of a utility by a
city.
In the matter of rates and charges
the new law defines unjust, unreasona-
BILE and unlawful charges. In Sec. is
a provision which would prevent a
company now operating under a reg
ulatory franchise from charging more
than the maximum rate fixed in such
existing franchise, even though the
rate-fixing franchise be surrendered
and a new indeterminate license be
taken. This provision says
Nothing in this act contained shall
authorize any public utility during the
remainder of the term of any grant or
franchise under which it may be act
ing at the thine this act takes effect,
ito charge for any service in such
grant or franchise contracted, exceed
ing the maximum rate or rates there
for, if any, that may be fixed in such
grant or franchise"
Provides For interchange.
One provision of the new law would
require telephone companies to make
physical connections for interchange
of business under the eye of the COM
where companies disagree as
to terms.
Important among the provisions of
the new law is its attempt to solve the
stock-watering problem. In the first
place the law provides for uniform
bookkeeping, reports to the commits
sion by the utilities for examinations
and for surveillance.
1t is provided that stock shall be is
sued at a discount or at a premium
only with the approval Of the commits
sion, and that where sold at discount
the commission shall make a record of
the fact and shall give the matter such
publicity as it deems necessary. There
is provision to prevent the issuing
of bonds at less than rs cents on the /
dollar but in the case of bonds author |
lied, but not issued before Feb. 1, 1913, |
it is provided that the bonds may be
issued as low as Sc cents on the dollar. |
Must Obtain Certificates.
Under the law the public utility
wishing ito issue stocks or bonds must |
obtain certificate ofauthority from |
the commission to enable it to make
the issue. The certificate will set out |
the amount and character of the issue |
and the purposes of the issue and the /
service or property to be acquired |
therefor. |
Receive $4,000 Year.
Commissioners on the Indiana Pub |
lie Service Commission are to get So |
900 a year. A general counsel, who is |
to serve the commission and the Gov |
ernor jointly, is to have $4,000 a year |
A secretary is to have $500 year !,
and a clerk is listed at $4,000 a year |
The commissioners will give bond of |
$4,000 each. |
With the advice and consent of the !
Governor, the commission is authori- |
zed to appoint counsel or attorneys, |
engineers, examiners, experts, clerks, |
and other assistants and |
to fix their compensation. The COM /
mission is to organize within thirty |
days after the law goes into effect, the |
dating May 1. 1913. The |
is to select its secretary !