Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1914-07-25
HIGH finance IN
The KEOkUK DAM?
Rainey Charges That II Was
Not Meant Primarily as
Power Project.
ASSERTS LAW is BROKEN
Manner of Handling Water Injurious
to Navigation and Railroads
Are Benefited.

Washington. d. c.. July 25.-During
debate on the AdamsOn dam bill in
the house yesterday, Representative
Rainey OF Illinois severely arraigned
the builders of the KeOkuk power dam
because of the methods they have
pursued in financing their project
Mr.. Rainey said the Keokuk dam
now stands as the greatest Mississippi
bubble on record. and he predicted IL
the government did not take hand
IN its regulation. the people who are
being forced to buy power from it win
be charged millions in excess OF what
they should pay.
With reference, to the Adsmson bill
which has been condemned by con-
servationists, Mr.. Ra.ney said IL was
framed up on the testimony of Hugh
L. Cooper, builder of the Keokuk dam,
and ]. w Sheffield of Alabama, both
OF whom are regarded as among the
greatest hydraulic engineers in the
country. but both of whom, he said,
look upon the question OF power deyel-
cpment only from the capGtalistic side.
Charges Law Violation.
This company said Mr.. Rainey.
referring 10 the concern. which built
the Keokuk dam, SIS violating the fed
eral law and has violated every law
OF the states where # is operating. In
order TO facilitate capitalization OF the
company they paid dividends on the
stock even before the. dam was COM
pleted. before a wheel was turning.
"a proper water power policy, a
-,
prevented this Mississippi bubble, and
mere never was in fact or in fiction
a Mississippi river bubble equal ito
this, dam.
fEhe government assigned an engi-
neer' and had him live at Keokuk to
oversee the work. The statementtwas
made4 and the government never scon-
trsd5ct ed It that It was possible tn de-
velop- i 90. 900 horsepower in this sriver
wner "a he dam was to be built.
9Th En- went down TO St LOUIS and
markeisad 10000 horsepower at lit
tie oversl million dollars per yearr. and
they con inued their successful efforts
TO, fnance the building OF this dam.
STOP Flow by Night.
AT the ,present time they are pro-
posing to is sue a little over 81 100000
OF bonds. nd when they have done
that it wiII- mean that there are SAT-
900 900 word : of bonds and securities
there upon (which the pespie WITHIN
the power "a ne sre~eXpected; sto pay
rates large e. sngh to assure .3proper
dividens and. interest.
They obtahled permission Sof the
war Department. to impound iiwater..
that is, stop thts flow in theY night
time. in order a. enable this COM
psny to develop as much power as
possible in the di ~ time We knew
nothing about this in thisicoun4-y7 I'M
til they advertised the fact in,tEng-
land"
Mr.. Rainey asserssd that the war
department had no, power to author
ize the stoppage Oft the. Mississipfpi's
flow at night FueLh ermore,, he charg-
ed that the refusal Or the company to
let the water through at night pre-
vented navigation of the river att that
time.
Answering questionss by Mr. Fow-
Ter o, Illinois, Mr.. Rafney seid IL the
policy which permitted. the coiistruc-
ton of the Kees1uk DAM together with
its methods OF financsering and~opera-
ton, is continued. II will forever take
from the people control Of the power
utilities. Also. he said IT would bar
all water competition for railroads.
He charged that the Adarnsoni bill per-
petuates the policy.
The wheat acreage m 1913 through