The gazette-times. [volume] (Heppner, Or.) 1912-1925, 1919-08-07
MR.. GATES REPLIES
To OUR EDITORIAL
Company's President Thinks ".
Were Unfair In Telling What He
Had Already Acknowledged.

The following letter, which will be
of interest to the people of Heppner,
now that the water issue Is up for
settlement, was received the first of
the week by The Gazette-Times from
II. V. Gates, president of the Heppne.
Light & Water Company. 1t Is In an
swer to our editorial of last week en-
titled "A time for Action"
Editor Gazette-Times,
Heppner, Oregon.
Dear Sir:
Your editorial Time for Action
in issue of July 31st. refers to the
Light & Water Company and myself
In very uncomplimentary terms,
which not corrected works both a
permanent injury. So permit me to
offer few facts.
THE water plant has, since the be-
ginning been a losing investment,
its revenues never equalling the ex-
penses. The light plant paid divi
dends and made up the water deficit
until about seven years ago, when all
dividends ceased, and since 1914 both
plants have been operated at loss;
the public service commission finding
that during the year 1917 the water
plant lost us $4950. The stockhold-
ers have been loaning money to the
company until It's Indebtedness to
them amounts to $4,000 and all in
terest to date has been defaulted.
"Our contract with the city is that
all water must come from deep wells.
not Willow creek or any other source.
To drive a deep we'll and equip 1t
costs us about $4,000 each. 1t cost
the city $4,000 to drive the first we'll
and no equipment. Our present sup
ply of water is. and always has been,
sufficient for domestic use. The
shortage is during irrigation season.
To overcome that shortage would re-
quire two additional wells, giving a
total capacity OF 10000 gallons per
day, costing $4,000, producing rev.
enue of $500 with operating expenses
OF $500, creating a deficit of $1,000
and the use and depreciation on s12.-
600 for each irrigation season, thus
multiplying our loss.
I'VE instituted a 24-hour electric
service, which has increased our loss
es. We can cease to operate that ser
vice at any time and when consider
ing such a course we have, on the
ground of inconvenience to users OF
Day Juice and the odium to the city,
continued the service at sacrifice to
ourselves. We have just agreed to
dispose Of the water plant to the city
at a loss Of $4,000. To build the plant
today would cost $4,000, and we
had invested in it, $4,000 We have
been loosers in the flood for $40, 900,
In the fire for $4,000, have always re-
sponded to all demands for public
good, individual or city. We have
made proposals which would have
brought Willow creek water to the
city without any expense to the city
and without any increased cost to
users. We made a proposal to sell
water works to the city and erect
100000 hotel. | think our hanging
on with continuing losses deserves
something more than condemnation
At least we have shown more public
spirit than any other in the city, II
not please point them out that we
may give credit.
Willow creek is the only possible
practical solution of a water supply.
Whoever brings it in must strain
their finances to the limit Of endur-
ance. Had we increased the cost of
the water works by drilling more
wells, it would have increased the f.