Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1915-03-15
PUBLIC HEARING TONIGHT
ON Gas LEASING OFFER
Public Utilities Committee to Begin
Second Investigation in Two
Years.
CHARTER PROVES III
PUZZLING
Provides That "Proposition" Must BE
Approved by Voters, Without Ex-
planning Whether or Not Term
Means Detailed Offer.

For the second time in the space of
two years the Council Committee on
Public Buildings. Properties and Utili-
ties Will address itself tonight to tho
question OF leasing the municipal gas
plant. In September. 1913. it took up
consideration of the question for tho
| first time. After several hearings the
| matter was permitted to rest and the
| proposition died on the committee
docket with the election and organiZa-
! ton OF the new Council
Although Il subcommittee has already
! held one hearing on the offer of the
Southern Gas ana Electric Corporation
OF Baltimore, there was no attempt to
go into the matter In detail 1t was de-
cided by the subcommittee, after hear
ing from President Francis T. Homer
! of the Baltimore company. to turn the
whole matter over to the full commit
tee, and recommendation was accord
ingly made to this effect
RIVAL. BIDDERS WILL.
SUBMIT PROPOSITIONS
since the hearing by the subcommit-
tee the leasing proposition has assumed
broader scope. At that time the only
applicant for tho lease was the South
crn Gas and Electric Corporation. It
now appears that there Will be rival
Tor the privilege. humphreys
u Miller, of New York, have informed
the committee that before any leasing
plan is agreed upon they should like
the opportunity of submitting a bid.
indicating, even. that they are prepared
To submit Il more liberal offer than has
so far been made by the Southern Gas
and Electric Corporation.
Competition from a third source was
indicated last week when David NJ.
Newbold, Jr., of Baltimore. came to
Richmond for the purpose OF looking
into the gas leasing situation on behalf
Of New York investors. Mr. Newbold
Will attend to-night's hearing. although
II is understood that he will for the
present make no formal proposition TO
the committee.
Humphreys & Miller, Inc, have been
notified that the Public Utilities Com
mittce VIII open Tonight it's investign-
ton OF the gas leasing proposition, and
it is expected, Will have Il representative
on the scene. They have expressed their
preference for Withholding their offer
until the city shall. by vote of the
people, decide definitely whether the
Gas Works are to be leased.
CHARTER PROVISION
APPEARS EoUIvOCAL
The suggestion of Humphreys & Mil
Ter that the city decide first whether or
not IL will lease the works and then, IL
! Il lease is approved, invite bids pro-
sunably for the purpose OF awarding
the lease to the highest responsible bid
der. appears fraught with difficulties.
To begin with. the whole matter OF APP
prevail by the voters is complicated by
Il charter provision which many regard
as eauivocal. The charter reads:
There shall be no lease or sale OF
the city gas. water or electric works,
unless the proposition shall first be
submitted TO the voters OF the city Of
Richmond. ut some regular election,
ana received In favor thereof ma jor-
ity OF all the votes east at such cleo
ton"
Whether this means that the voters
must approve a particular PROPOSE
ton" in which the terms of the lease
are set forth specifically, or that they
shall merely pass upon the simple
questions of lease or no lease. without
reference TO term. is an open ques-
ton. Mayor Ainslie has expressed the
belief that the charter provision on this
point is capable of widely differing IN
depreciation.
INTERPRETATION WILL HAVE
SIGNIFiCA BEARING
= The question Is one OF unusual mo-
ment. If il Is held that the voters
must pass on the detailed leasing of
fer II Will become the duty OF the coun-
Gil to go thoroughly into the leasing
question and, after an investigation of
every offer, in the event that a lease
is decided upon, TO frame and pass an
ordinance providing for n lease in
which every detail as to rental, division
or profits. etc. is set FORTH prior to
submitting the proposition to the peo-
pie. Then the completed ordinance
would he submitted to a pleblscite for
approval or rejection.
If 1t is held that the charter proyi-
sion means that the voters are to pass
merely upon the question Of n lease as
n matter Of policy or principle, the
Councils work will be. for the pres
ent ut least, considerably simplificd
There will be no necessity for ad
justinE every detail Of possible
lease before securing an expression OF
the people.
In It's application to the Council tho
Southern Gas and Electric Corporation
which has done the pioneer work in
paving the way for an agitation OF tho
leasing question. asks that the matter
be submitted to the people. a citation
from tho petition submitted by II on
February ]. reads:
I'VE fully understand that the only
question that can he determined by YOU
AT this time is whether the matter of
! leasing the municipal gas works shall
or shall not be submitted to the pco-
pie of Richmond, but apprehend that
YOU would not he inclined to vote in
! favor Of doing so unless satisfied that
III the event of the citizens of Rich
mond authorizing n lease. n proposi-
ton of substantial merit would he
forthcoming"
The hearing tonight will attract -
large and Interested gathering. Re-
sides representatives OF the priy,to
companies who are seeking the lease.
thcre VIII be present the Gas Depart
ment authorities. representatives from
D n n 4 rn ISpo,