The labor world. [volume] (Duluth, Minn.) 1896-current, 1915-01-09

The city has a gas and water. plant
only 1871 per cent of which was built
with the proceeds of bond issues.
The other 2s.3 pei: cent of the plant
has been built and paid for from tho
surplus earnings of the plant. 81
The $S5,800.00, which it is pro-
posed to spend for the building Of.
the first unit of the proposed plant
does NOT come out of bond issue.
The $100,000.00 bond issue Of July,
1918 was used for the purpose Tor
which it was issued or rather the sun
Of $S5, 100000 was used for this pur.l
pose, and 320,0OO.O0 of this bond isIfI
sue has been paid off or retiredHl
The statement that no bonds havill
been paid is therefore false. iN|
Looks Into The Future.
.:A sinking fund, or sinking fund.-
monies, investedain the plant Itself
has been provided for which will
Tires hinder the present arranees-s
every bond as It becomes due with
the exception of $275,0o0. 90 which
will come due as part Of a bond issuos
maturing in 1928. But the earning
capacity Of the plant is increasing sos
rapidly. that this amount of $275.-
100000 will be covered by the in-
creased earnings by that time.
The present surplus earnings OF
the gas and water department will
in 1914, after retiring every dol
lar of Indebtedness, leave surplus Of
over one and a half million dollars,
provided the present rates are main
tanned. =,
ss42
Earnings Pay for Extensions.
The renewals and extensions of the
entire plant are now being made out
of the earnings of the department..
and it will NOT be necessary to issue
any additional bonds for hat pur-
pose. 'sa:.a, Fl?
There is no immediate necessity
for paralleling the force main ats
the present time. It is in first class
condition, the only section which
showed deterioration having already
been parallelled. .~
All reservoirs that will be required
the present year are provided for, and
the money is on hand with which to-
do the work. Z -. -,
The estimate of the cost of the first
unit Of the proposed plant was made.
not by "a little coterie of power In
famed individuals but by two Of the
best electrical engineers in the United
States, men whose regulations are
nation wide. and who are now en-
gagged in the colossal task of putting
a valuation on all the public utilities
of the city of Washington, D. G. They
also made the estimate Of the cost OF
the entire plant, and the estimate is,
NOT one million dollars, but less than
$70o,000.oo and, with the present low
cost Of materials, nearer $600,O00.Oo
than $500. 100000. s s
Dent Fear Competition.
The city will NOT be going into ]
competition with itself in building
the West Duluth unit, or in building
any of the other units, any more than
the private company in Superior Is IN
competition with itself, for that com
pany controls the gas, water, and
electric light plants Of that city.
If the people at West Duluth, OF i:
anywhere else in the city can light
their houses cheaper with electricitysl
than with gas, it Is to their advantaEos
to do so. That is what municipals
plant is for. for the convenience Of
Its customers and not to pile up pro-
fits for its stockholders. ,ss
The rejection of the Duluth Edt-
sons six-cent ordinances will meanss
simply this: that the people refuse TO-
accept or sign a contract that w1G
drawn up entirely by the attorncyss
Of the Duluth Edison Electric com
pany, q contract in the making a.
which the people, Of Duluth were nee
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