The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1918-02-22
Dillon's Request for 100000


Dillon's Request for 100000
The appropriation of 100000 which Superin-
tendent Dillon of the Municipal light plant wants
for extensions challenges the careful study OF the
city council and board of public works.
The prosperous condition Of the utility is not
questioned, but the ACCESSIBILITY of spending
100000 for extensions and improvements asks
for deliberate counsel. Owners of privately
owned plant would hesitate long and accumulate
wealth of data pertaining to the Improvement
before they advanced 100000 in war times.
Neither would they rely entirely on the judgment
of one man.
An accurate survey of present and prospec-
tive business is the basis on which all cacula-
tions regarding the future capacity OF the plant
must rest. This survey must be made accurate
ly and enter into both the practical and theore-
teal aspects Of the problem.
The sum of 100000 is large sum Of money
to spend now, even if the earnings of the plant
indicate that the proposed Indebtedness can be
paid off within reasonably short time. The cost
of machinery has advanced enormously in this
period of initiation, giving certainty to the infer
ence that 100000 will not buy now what it could
have bought two years ago or what it might buy
three years hence.
Only the most pressing necessity warrants the
expenditure of 100000 for machinery in these
days. Only thorough investigation will show
how necessary the need for this new machinery
is. The data presented by Superintendent Dillon
is not sufficiently elaborate to warrant the con-
clusion that an imperative need for extension ex-
lists.
Extension of electric power and service to
neighborng towns is fraught with grave danger,
The taxpayers of Richmond originally establish
ed the Municipal plant to supply the consumers
and the city with cheap power and light. The
primary scope did not include service to outlying
towns. When the policy OF supplying few
towns with current was initiated taxpayers were
under the impression that surplus of electricity
generated at the plant was being disposed of ad-
vantageously No one believed that the city
would invest in new and expensive machinery to
supply our neighboring cities with utility
through company owned by local man.
The Municipal light plant should restrict its
functions to the local needs. If other towns
want the use of an electric utility, it stands to
reason that tax payers in those towns should raise
money for the investment represented by a
plant Richmond taxpayers ought not to be COM
PEELED to invest part of 100000 for extensions
that are of little benefit to them directly but are
in reality, of great financial benefit to the tax
payers of other cities.
The efficiency of the plant must be kept at
the top notch to serve Richmond patrons. Money
must not be sunk into the plant for the benefit of
others.
The argument that the taxpayers will not pay
for these extensions because they will be paid
out of the earnings of the plant is speeious
Every dollar of profit made at the plant belongs
to the taxpayers of Richmond, for they were the
original investors. Hence, every dollar of profit
derived from the plant but diverted from the tax
PAYERS for the use of extensions that benefit
citizens of other cities is dollar taken from the
pockets of the Richmond taxpayers.
OF course, earnings Of the plant cannot be di
verified to the consumers here in the form of divi-
dends. But these earnings can be used to reduce
the indebtedness of the plant.
We believe the correct policy Of the superin-
tendent should be the paying of Of all the
Indebtedness by an efficient management
of the utility, and not an extension of the plant
TO help other communities through the medium
Of a local company that buys the current at the
Municipal light plant and then sells it to other
towns