Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1917-03-09

Were you representing the state
them" inquired Rep. Baxter.
Il was in a private capacity getting
information for my book" replied Mr..
Bolton, who is the author of a book,
Power for Profit"
Reason Against Change
rs there any reason, Mr.. Bolton,
why a municipal plant cannot be OPP
Grated as successfully as privately
owned plant" Rep. Baxter persisted.
There is i fundamental reason; you
can never borrow enough to give your
self free capital"
IF you need more capital why not
borrow more money!" asked Rep. Bax-
ter.
1.-THE limit would be reached" insist
ed Mr.. Bolton, when the money could
not be borrowed on debenture bonds.
Mr.. Baxter inquired if the Province
of Ontario did not borrow without
mortgage and Mr.. Bolton replied that
the electric bonds were debenture
bonds.
! Mr.. Bolton expressed the opinion
that the State Of Maine might find de-
benture bonds necessary for such a
purpose which brought forth from SEN
ator Davies the statement, you don't
know the State of Maine as we know
! her" at which everybody laughed.
| Keep Dearth of Dexter asked if the Ca
madam commission was doing business at
| loss and if so how much they had to
raise their charges to operate at a profit
Mr. Bolton said they were selling Niagara
power at $40 per horsepower which cost
! them S25.44 to produce.
At this point Rep. Bussabarger of Lu-
bee asked if the Seattle plant was a sue
cess or a failure. II have admitted that
it was a success" replied Mr.. Bolton
'but have told you how that was done
| can do business that way any day,
! gaily remarked Mr.. Bolton as, waving
! his hand to Rep. Bussabarger, he quickly
took his seat.
| The next witness for the remonstrants
was p. w. Sothman, an expert electrical
engineer from New York of Is years ex-
perence He was with the Ontario hy-
dro-electric commission from 1906 to 1912
! he said, and left it because he could not
obtain financial data upon which to base
the cost of power.
Mr. Sothman said other reasons for
| leaving the commission were because in
correct reports were put out, allegine
to come from him. and for the reason
that the commission sold power &c less
! than it could be produced and gave the
/ selling figures as his. He would not
stand for lies.
Return to Private Ownership
Questioning by Mr.. Carter and men,
bers of the committee brought forth the
statements that he had no objection to
municipal ownership, but that the ten
! dency was, he found in Europe where
it had been most tried to return TO pri-
waite ownership. He had visited Europe
to investigate concerning cheap electric
! ity for farmers use and came back sat
| isfed that power engines were better fer
| the Canadian sections. doing the work at
! about one-third the cost of electricity.
Said that if in charge of the hydro
electric, on his own terms. but not at the
| present prices. That would have to be
fixed by the cost of production. He also
explained that owing to the way large
blocks of mower are sold that larger
price sometime works out to be the low
est, so many and diversified are the
| phases of the electrical current question.
| Counsel Carter read from a report of
an investigation of the commission, which
he said had taken week to secure from
Ontario, owing to the disappearance of
| almost the entire edition, showing that
thousands of dollars had been paid the
( commission by the Unitarian government.
of which no trace could be found. He
said the government auditor had for
wears been unable to get at the papers
/ and bills in order to audit the affairs and
that no auditing was done from 1906 to
1915, and that was unsatisfactory. on ac-
| count of the facts stated.
| He said that the reports and the actual
accounts and facts were at a wide va
rance and Government Auditor Clancy
! could find no reason.
| Explaining why he was going at length
| into the report of the condition of the
tydro-electric, Mr.. Carter said it was to
show how unsuitable the Canadian sys-
tenn would be for Maine and that the
proposed commission bill was drawn al
most exactly along the lines Of the Ca
madam measure. With the great differ
ence in conditions and our laws, it abso-
lutely would not fit in this State.
In six years time. 1t is shown that
over 100000 had been given it by
the government and absolutely no trace
of it could be found as to where it had
been spent. 1t was a game of making
political success and fine showing
! to the people and for that purpose they
have juggled the accounts.
Mr.. Yates stated in answer to ques-
tions about the accounts and no book
keeping that the commission now had a
standard system and had been obliged
since 1911 to observe it strictly, the
government having oversight and maxi
ing frequent inspections.
Certain letters to Mr.. Sothman. which
had been read by Mr.. Carter to show
how the accounts differed from the re-