Graham guardian., 1921-06-03

would carry at any time, day or night,
was not as great as is now the ordinary
day load, we will see that the criticisms
made are not founded on real merit.
But be that as it may, if the engines
will not do the work, engines must be
secured that will do it. In any event,
it will be necessary to add another unit
| to the plant to secure continuous serv-
ice that is satisfactory. We direct
/ your attention to these facts. because
/ they should be known and understood.
/ What these improvements will cost we
/ do not attempt to estimate. They will,
| of course, depend on the extent of the
| Improvement. But the cost will be
spread over considerable length of
| time, and we believe that by careful
: businesshke management the plant
will pay considerable part of the cost.
/ What we wish to show you is the
| COST of the entire plant to date, its
I VALUE as determined by the records
and fixed by the Corporation Commits
sion, and finally to suggest some meth
DDS whereby it can be saved to the
/ town.
Few people realize the cost of a
public utility. No doubt you have heard
many expressions of opinion by persons
who, if they knew all they told, would
be big consulting engineers for great
construction projects. What we are
stating to you is taken from the records
of the company, and these records are
open to your inspection. The water
plant has cost to date of December 81,
| l62O. the sum of $98. .959. so. We have
no accurate data as to the cost of the
! light plant, but on that date it was re-
turned to the Corporation Commission
with value of $52, 77l.Sl, less de-
probation. Hence, its cost would have
been considerable more. On that date
the physical valuation of the plant was
returned at SITS, ,0l0. 81. from which
was deducted depreciation of $43,-
454. .56, leaving a net physical valuation
1 of Sl34, $50. SO. These are not putfer's
! figures or inflated values placed for the
purposes of sale, but are figures care
| fully scrutinized by the accountants of
I the Corporation Commission and must
I be supported by the books and accounts
/ of the company. At the present high
price of pipe supplies, of machinery,
aud distribution supplies, wire and
other commodities, THIS PLANT
! CANNOT BE REPLACED SHORT
OF One Hundred Fifty Thousand Dol
lars. Will some of our self-appoipted,
consulting engineers figure it out%
No doubt considerable money has
been spent in experimentation that
gave little result. Possibly some spent
| foolishly. Perhaps great deal of
money has been raised which went into
organization cost. promoters profits,
and other costs that added nothing to,
the value of the plant. But these
figures are the cost that has actually
gone into the plant and added to its
ualue.
Let us next consider the cost of op-
Grafton and the revenue derived from
the plant during the past twelve months.
We DO not attempt to go back of that
date, but the records are open to any
one who wishes to do so. During the
eight months from April, 1920. to No
vember, 1920, the total cost of opera
ton was Sl4, l74.35 and the revenue
$40, 5l3.49, leaving profit of Sc, 339. Ia.
/ Under the present receiver, the last
four months, from December, 1920, to
! March, 1921. inclusive. shows a total
cost of operation of $6.9O3.0l and a
total revenue of I,l4S.02, leaving a
profit balance of $4,2i5 OIL, or nearly
81 100 per month. We give you these
figures for the purpose of showing you
that the concern is under careful man
agement can be made TO pay good
return ON The investment required to
keep it in operation. The expenditures
during the first eight months of 1920
show many items which might possibly
have been avoided, possibly some items
not part of legitimate expense of op.
eration. With these matters and with
the question Of where the money has
gone we are not concerned. That is
past and done. The months under the
receiver have been exceptionally heavy
months. Litigation, necessarily added
/ equipment, and other unusual contin-
/ gencies have added to the cost. But
the receivership has demonstrated be-
yond doubt that the concern can be
made to pay. 1t is not "Get-Rich-
Quick Wallingford" scheme. but is a
! proposition that with careful manages
ment and cooperation. shaGld yield a
good, safe return on the investment.
With the foregoing statements in
mind. we offer the following suggestions
as TO the disposal of the property:
| First, we believe the TO y N
SHOULD OWN THE PLANT. We
do not make this statement for the
purpose of boosting bond issue or of
attempting to persuade the taxpayers
to incur debt which the future must
pay. For bonds are like notes, there
comes a due date upon them, and in
terest eats up lot of the profit. But
we believe the town can make the
plant pay for itself. 1t can cut down
considerable of the overhead expense,
free the plant from taxation. and
from the control of the State Corpora
tion Commission, makes the town the
adjuster Of rates and the conservator
OF the service, and on the whole we be-
lieve tends to better understanding
and greater salts on the part Of
the consumers, than any individually
or corporation-Owned utility could do
We, therefore, believe that the first
step should be to secure the expression
of opinion of the qualified electors oi
the town upon the question. If, aftei
careful consideration, the electors dc
not approve the acquisition of the plan
by the town, we suggest,
Second, there are enough men o.
means in Stafford and vicinity to supply
the money required to buy the plant a
the time of its sale under execution
and make it "A locally owned concern,
We are satisfied that a careful in
vestigation will show such persons tina
the investment will yield return great