Imperial Valley press., 1922-11-09


IL, Southside and Eastide water
companies. This leaves but three,
Nos. and 9 and South Alamo.
Directors of mutual water cOmpan-
les of Imperial Valley have informally
agreed to accept a pro rata reduction
in the purchase price of their bonds Ill
case the S5,000000 bond issue is not
enough to purchase all of the stock of
the companies and are preparing GER
titled statements to be sent to the
state bond certification commission.
Decision to accept the terms, with
little doubt but that they would not
be enforced, was made at Il meeting
late yesterday of the directors of the
mutuals with the directors of the I'M
perial Irrigation District. When Pres
ident j. s. Nickerson and Secretary F.
II. McIver and Attorney j. Stewart
Ross met with the commission last
Monday in San Francisco they We're
Informed that the commission would
not approve the bonds unless it had
certified copies of proposed resolu-
ton, which it offered, signed by the
directors of the various mutual water
companies The local officers will re-
turn to San Francisco tomorrow with
the certified copies and meet the state
board again Monday in a special ses-
sion for the purpose.
Farmers of Imperial Valley will not
get pay for their stock i'll the mutual
until all transactions have
been completed. Quicker action on the
part of the mutual directors is all that
could speed up the final turning over
of funds, it is said at the district
office. Some mutuals are nearly ready
to receive money for their stock while
others have taken only the first steps.
Form of Resolution
The following is the resolution which
has been agreed upon by the mutual
the name of Imperial
Water Company No. /, used merely as
an example;
"Resolved, that Imperial Water
Company No. |, hereby agrees that in
the event of the aggregate of the en-
tire value of the properties of all the
water companies within the Imperial
irrigation District exceeding the pro-
.eeds of the sale of the $5,OO0,O0O
bonds issued set aside for the purchase
IF said systems and properties, to-wit:
"a, 725 900, it will accept such pro rata
reduction of the entire amount that
may be found due this company for its
irrigation system, and other properties.
''Be it further resolved, that in or
Ter to secure the Imperial Irrigation
District from paying out to tins or
my other company more that ITS pro
;ata of said proceeds of said bond
issue, this company hereby consents
md agrees that said district retain 10
per cent of said amount set forth in
jhe conveyance of the irrigation canal
system of this company to the district
lnti it shall be ascertained whether or
not the appraised value of the other
of this and all other of the
mutual water companies shall exceed
the balance of said $4,725,O0O avail
able.
''It is further agreed that If the
aggregate of the appraised value of
said other properties of all of said
companies together with the aggregate
of the values set forth III the deeds
If convcyances of the systems of each
If said companies to the district
amounts to more than said $4,72o,0Oo
the aggregate of the entire amount to
be paid each company shall be reduced
in an amount sufficient to meet the
deficit in the rate so that the aggre-
gate value of all properties of each
company is to the aggregate total value
Of all properties of all companies.
"Be it further resolved that at this
time the Imperial Irrigation District
be requested to endeavor to obtain the
authorization of the California Bond
Commission to pay to this
company 80 per cent of the amount set
forth in the deed of conveyance of the
irrigation system of the company TO
the district, the balance of 10 per cent
and the amount found due this COM
pany for its machinery, equipment and
other appraised property TO be paid MS
when the amounts therefore are fixed
and available under the terms of the
resolution.