The Columbus dispatch. (Columbus, Miss.) 19??-1922, 1919-08-20
MUNICIPAL OWNER
SHIP Is FAVORED
LOCAL AND NATIONAL
OPINION VEERING To-
/ WARD PUBLIC OWN.
ERSHIP.
ACUTE PROBLEMS
Many Believe That Ownership
of Light and Traction
Franchise is Solution.

Sentiment, national and local, in
favor of public ownership of all pub
lie utilities is rapidly crystalizing. A
number of strong reasons are infiu-
encing the change, conspicuous among
these being President Wilson's ideal
ism that the people should share
organically in all industry, as well as
the view that all public utilities
should be operated solely in the in
terest of the people. The changing
sentiment results also from the con-
sciousness that private ownership
and operation of public franchises
has failed utterly and entirely and
the people are seeking to see public
utilities placed upon a basis where
private profit shall be squeezed out
and all public service shall be admin
istered solely in the interest of the
people. Another large factor in de-
termining the outcome of these pub
lie questions is the opinion of experts
before the Federal Electric Commits
sion, studying these problems. Uni
formly it has condemned private
ownership and recommended public
ownership and operation as the rem
edy for all the ills that municipalities
are heir to-
Locally, the problem has been
brought to the fore by the acute
problems facing our city in street
paving, in the electrifcation of
the water plant, in the high rates for
power and light service here, made
necessary by war conditions. and in
the crisis whichs the local company
is facing as result Of al these
things. The f6car company admits
that it is in critical condition; the
council seems undecided as to what
course to pursue with it and public
opinion is widely at VARIANCE as to
what is best for the community. Mu-
nicipal ownership Of all these fran
chises has come forwsrd as one so
hutton of all the conditions confront
ing the city.
That the people here may under
stand it is necessary to inform them
that the electric franchise here and
the car line franchise are not the
same. They are two separate rights
the present company holds and the
car line franchise can be surrendered
without the electric franchise. Should
the company elect to throw up its
traction franchise, it would still be
in control Of the light franchise here. |
This would serve to estop private
capital from invading the local field,
but it would not prevent the city !
from establishing its own plant. |
There are a number of citizens here !
owning bonds of the local company
and their investments are entitled to (
some consideration in this matter
The local company is bonded, it rs
understood, at 1922, 900, admittedly |
far in excess of its value, with the
disproportion reduced now on account |
Of the high price of all materials and
equipment entering into its construc-
tion. Its stock has been valueless,
since its exploitation, save for the
control it gives to its owners. II
the local company would default in
the payment Of the interest on its
bonded indebtedness the company
would be thrown in the hands of
receiver and sold and the city could
acquire it for something like its
worth and then the people here worh
own all their public utilities, water,
gas. electric lights and ear lines
To give one an idea of the cost to
the people of the city for electric
service 1t Is only necessary to emu
merate some Of the items of expense
IN the operation OF the local plant
which they are compelled to pay.
First, through the electrical and gas
and car fares they pay the indebted
ness on the bonds of the company.
amounting to $17,52O annually, and
TO this must be added the cost Of
materials and supplies, up-keep. office
force and salaries of head officials
etc. There is no way Of arriving at
the gross amount paid by the people
Of this city for all kinds of service
to the company, but if the correct
amount could be secured II is believed
that II would run around forty thou
sand dollars Forty thousand dol