Daily capital journal. (Salem, Oregon) 1903-1919, 1914-12-16
SUMMER AMI ALBERT
LAKES ARE LEASED
Continued from page one.)


Continued from page one.)
solid salts and sodium to be mined
from the beds of the lakes after the
water is exhausted and the mineral
contents extracted, that of tae success
full bidder, Mr.. Moore, and that of the
Oregon Soda & Potash Mining assoeia-
ton, of which II. S. Wallace, of Port
land, is the head and principal pro-
motor.
Failed to Tender Check.
Because the latter company did not
tender the required check for $4,000
as guarantee of good faith, made a
condition by the board for the award
of the contract of lease, and did not
otherwise comply with the specifiea-
tions or terms of the advertisement for
bids, and because the bid was submit
ted upon tine assumption that the state
was not the owner of the lakes in ques-
tion, the board was forced 20 accept h
the bid of Mr.. Moore which complied
with the terms of the lease and adver-
tiscment for bids in every respect. Mr..
Moore IS tender of a certified check for
| $4,000 will be held by the board un-
ill tine lease is finally consummated 4
and a good and sufficient hOnd for
1925, 900 is furnished to be held as a
guarantee of the state S minimum share
of the profits of the venture. The lease
is given by tine board and accepted by |
the lessons subject to its ratification
or rejection by the next legislature.
Mr.. Moore's BID provides for the pay /
ment to the state of so cents per ton
fec every ton of potassium salts ex-
tracted; 10 cents per ton for sodium !
salts and % cents per ton for all other
salts, while that of Mr.. Wallace was
SO per ton for potassium salts, cents
per Ton for sodium salts and 80 cents
per ton for all other salts extracted.
Mr.. Moore guarantees an annual in
come of $4,000 to the state during the
life Of the lease, payable annually from
the time of the signing Of the lease
and Mr.. Wallace offered an estimated
income of $4,000 per year upon a ton
mage basis, but the latter's s bid was
, in no wise secured by certified check
or surety bond, Notwithstanding the
bmrd made the conditions plain at
Mondays meeting, and the assurances
of Mr.. Wallace tnat his bid was in all
respects in conformity to the condi-
tons and terms of the lease.
A Lively Little Scrap.
[ The discussion which followed the
= opening and comparison of the bids de-
. yelopcd into sharp coloquy between
Govunor West and Mr., Wallace and
his associates, among whom was d, N.
, Mclnturif OF this city, and in which
r Attorney {. A. Shepherd, Of Portland,
/ counsel for Mr. Moore, took hand.
. Messrs. Wallace and Mcnturff main
{ tanned that tncy were not aware that
. a check deposit was required and state.
), ed chat they were informed by Counsel
+. Shepherd for Mr. Moore that it was
} not their intention to submit check,
. which statement was refuted by Mr.,
shepherd, who then retalated by stat.
ing that Mr., Wallace and his represen-
, tatives had been after Mr.. Moore for
- a long time trying to get him to buy
= them off. This was strongly denied
Il by Mr., Wallace, who maintained his
y sincerity in the matter, and asked for
+, further time in which to supply the nee
a essary check deposit, but this proposi'
~ tion was not considered fair to Mr.
n Moore, nasmuch MS all Of the condi'
Il tions were perfectly understood by all
i concerned and he had plenty Of time Ia
DO 80 If he had wanted to.
Proposition Indefinite.
n Mr.. Wallace has submitted numerou,
n. osition Secretary Olcott pointed out
x. that there was only cue thing for tn.
le board to do and that wns to recogniz,
,r the only bona fide bid submitted, that
ID of Mr.. Moore, aud award the leasC
X. subject to the approval Of the legis
=. lature, and upon Mr. Moore's agree
ts ment to the conditions the board sC
" acted and the meeting adjourned
in Mr.. Walacel has submitted numerou
Il. propositions to the board in the pas
Is but they were all of such vague an,
intangible nature that the board coul,
not do business with him. and the ma
~ ture and conditions Of ais bid sub
~ mitttd yesterday was such that tn
oe board declared IL was satisfied that al
o.. Mr.. Wallace desired was 20 tie up an
es delay matters until his ussoiato
" NuNll ill' NlOU wv lhhN NtNN NnuN
ny the mining laws Of the government
ed Governor West pointed ont that NJ
ey Wallace's offer Of t3 per ton for IN
et potassium salts products Of the lax,
Tor was matter Of no consequence b.
cause there was only enough potas
in the lakes TO show n trace in III
ed analysis and that this bid might iui
ms rs well nave been $50 per ton 20 II
ne as the state 3 interests are concerned,
ru. Mr.. Moore announced after the NEE
Ice ing that II was his intention TO get
In work immcdiaely upm the deyclopmel
pp. Of the mineral resources Of the lake
'1c be established upon the lower De
md chutes river for the operation Of n
ma aud that he would begin constuctit
,ck work Immediately upon the signing
be. the lease The waters Of the lakes wi
be pipcd for distance Of over q
miles, from the lakes to the Columb
roo river, whore the extracting plant VI
ma be constructed aud where the cUnpal
ine' win act the benefit Of competitive ri
rn. and water rates for It's products Il
,nt the first 90 miles the water will ha'
no to he pumped, power to be general,