Five Mile Beach weekly journal., 1921-01-14

commissioned to read personally to
them the findings of said committee.
The report set forth that the committee
had ''gone over every phase of the local
gas situation" "From actual figures
taken from the com pany's books" the
report went on to say, sit was very
conclusively shown that the plant for
several years has been operate 1 at a
decided loss to its stockholders The
deficit 10 1918 amounted to approx
ma1ely $4,000; in 1919 to 1900, and
the 1920 results will apparently show a
loss of between $4,000 and $50, OOO."
"In 1912 the plant was valued at
1921, 726. rs, at which time it was taken
over by the present Company. There
has been expended. in addition, up to
December 31st, 1918, the sun of $I18,-
829.3a, making a total capital invest
ment of $440, 500. 09, according to the
report made to the Public Utilities
Commission as of December 81st, 1919"
1.-THE COMMITTEES has considered three
principal points in connection with this
subject:
"Q) Probability of present con pany
to give adequate service, through DO b
winter and summer seasons.
"(2) Possibility of present company
Financing required addition 10 plaut i'll
order to take care of new customers.
"(8) In event of first two items being
unfavorable, the possibility OF the city
purchasing and Operating the plant
with a loss.
"The third point was discussed from
every angle, with the result that your
committee can lot see any possible
chance OF the city taking over The plant
and operating it on a paying bass, if
the ca pital investment is to be anything
like $48O, 900, the price at which it is
offered,
This conclusion was reached when
bonds and the annual payment Of ma
turing bonds would amount to $44 800,
without any consideration of the addi-
tional moneys required for The necessary
additions to the plant and extensions
to the system. The sum of $4,000 is
the best that can be realized annually
at present rates from the operation Of
the plant. Thus a deficit Of about
$50, 900 would result for the city to pay.
"Under existing conditions your
committee can see no method at the
present time of taking the gas plant
over. And inasmuch as the company
has signified it's intention of operating
the plant to the best of its ability, we
would recommend your careful con-
sideration to any proposition that would
enable the three municipalities on the
Five Mile Beach to lend financial aid
to the company, either by increased
rates for municipal service or by some
sort of temporary subsidy IF the laws
of the state will permit of such action
until such time a the present abnormal
cost of everything entering into gas
manufacture shall return to normal
conditions"
The committee was con- posed as fol-
lows: Robert ]. Kay, Albert d. Austin,
Adolph B. Andersen, g. g. Eldredge
and q. A. Norton.
The committee eliminated from any
cipal points. The chairman stated that
1t was absolutely i'm po-sible for the
present com pany or any other company
that might be formed to finance any
additions, engagements or improve
ments. Hence the only hope of relief
lies In the directions outlined by the
committee in the discussion of the
"3d principal point"
After the reports on the gas situation
had been read, the mayor made a mo-
ton that it be published in both home
papers, the JOURNAL and~the Sun
Tribune. He said everybody was anx-
iously awaiting the information aud
recommendations of this committee
and he felt that the widest publicity
should be given TO the results so Tar
arrived at. Bright seconded the motion,
and it looked as II the motion would
go through, but no! The street COM
missioner objected to the JOURNAL be-
ing paid for printing the report. He
insisted that the Sun-Tribune alone be
paid for giving this knowledge to
"some Of the people," Bright immed-
lately weakened aud failed to support
the motion he had seconded. ut is
only another instance to my mind"
said a certain person after the meeting,
''of how completely the Revenue Dr.
rector is under the domination OF the
Director Of Streets. He reminds me