Willmar tribune. [volume] (Willmar, Minn.) 1895-1931, 1917-07-18

ally speaking, current is sold based
upon fixed charge for the maximum
load, known as a service charge, to
which is added the energy charge
which usually starts at two cents (2c)
per XVIII and grades down to as low
as &c per XVIII. These rates, how
ever, figure much higher than the
straight XVIII basis upon which we
have made our proposition and such
rates are also quite misleading, and
it is possible that the party giving
your Commission this information has
given the energy charge only without
the service charge.
If desired, we will, during the life
of our contract, care for your power
plant as it now exists at our expense
We have proposed furnishing your
city with all the current you may need
delivered at your switchboard at 1900
volts at the following rates:
XVIII per month
First 10000 at 4 cents per XVIII
Next 10000 at 81 cents per XVIII
Next 5000 at cents per XVIII
Next 5000 at 21k cents per XVIII
Next 5000 at ~ cents per XVIII
Next 5000 at 2 cents per XVIII
Next 10000 at 1.9 cents per XVIII
Next 10000 at 1885 cents per XVIII
Next 10000 at 1.S cents per XVIII
All above at. ~ cents per XVIII
Based on your present consumption
of 475270 XVIII per year, your average
rate will be $1,000 per XVIII, but your
Commission has failed to take into
consideration this important factor
that on your average monthly con.
sumption of say 10000 XVIII the
charge for the last 5000 XVIII is only
&c per XVIII; that all current in ex.
cess Of 10000 XVIII per month is pur.
chased at from 1.9c per XVIII down to
INC which means that your average
rate will be reduced largely as your
consumption is increased. If we own
ed your electric plant, know we could
more than ad0uble your consumption
in less than three years. When this
is done your average rate will be very
low. With the low cost of the in.
creased consumption there is no doubt
but that within a very short time a
large number of your citizens will use
electric ranges for cooking, and var.
ious other devices, which means big
saving as compared with the cost OF
coal and wood for fuel. . The city is
also assured Of unlimited power and
the expense of adding to your plant
yearly will be discontinued. I note
that last year. alone $2O2499 went
into new additions and betterments for
the plant.
live make contract with your city
we propose putting Willmar onto our
direct trunk line, so-called, which will
extend from our St. Cloud dam direct
ly into your power plant at Willmar,
and all other lines will be taken of
from this line.
have stated verbally to your body
that If desired you are at liberty to
call In outside and Independent aud
itors who are to be chartered account
ants, familiar with the public utility
business, to advise you definitely, once
and for all, whether the above pates
which we have named are correct or
not and this production cost is fair
and equitable, and to that end have
personally offered and agreed to pay
the entire expense of such audit. The
auditors must be at liberty to call
upon q competent engineer for the
purpose Of arriving at the depreciation
charge, which expense I will also pay.
In this connection will add, how
ever: Il believe that when your Com
mission reads this letter and reviews
the above figures, coupled with that
part OF our proposition relating to fut-
ure service in the boiler and general
ing room, they viii agree with me and
.advisalthat our figures are absolutely
fair, q,1itahle and correct; TINS, do
sinosa1Eay this ppnecessaFy az:
pen1esssa1gnNs6Ssifz there tn 81 4y
doubt In the ninds Of YOUR COMMITS
ton. m ~ laoeed fnr you q =.