The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1922-03-10
UTILITIES CONCERN
CENTER PLANNED
oWAToNNA HOPING TO BE
MADE MAIN POINT
Object of Southern Minnesota
Gas and Electric Company Now
Having Headquarters At Albert
Lea; Mankato Men Are Inter
ested in This Enterprise; Would
Extend Its Activities.

Owatonna, March 6.-Owatonna
may become the center and head
quarters for a large public utilities
company. operating in Southern Min
nesota, if plans discussed at meet
ing OF business men and councilmen
materialize. The discussion sets at
rest the rumors that the Public Ser
vice Operating Company has been
sold to the Southern Minnesota Gas
and Electric Company of Albert Lea,
whch nave been current for several
weeks.
The Northwest Utilities Company
which at present has two offices, one
In Mankato and the other in Spring
valley, is seeking to purchase the
Owatonna plant, and If the deal is
consummated Owatonna will be the
headquarters for system which al
ready numbers twenty one towns and
is rapidly growing. The manager W.
Il. Smith, was here and outlined his
plans TO group of local men
The announcement places two com
panies on the market for the Public
Service Operating company property,
as the Albert Lea company is still ne
gotladng. according to reports. II has
been understood that the deal = is
practically completed. but it is said
That a number of important details
remain TO be settled. Officials of the
Albert Lea company declared over
the telephone that the deal has not
been closed. The present gas fran
cnlse has about four years to run and
the electric franchise about three. ac-
cordlng to c. j. Servatius, city clerk.
headquarters In owatonna
Mr.. Smith discussed in detail what
the plans of the company are. Oper-
Lung at present In two divisions. the
eastern with Spring Valley as head
quarters and the western with Man.
kato as central point. the plan is +,
tie up divisions by a central system.
Wnlch VIII serve as headquarters for
the company and distributing point
Tor power TO all towns In the system
owatonna is almost exactly in the
center of the system, and for thus
reason ideally located for the pur
pose. The present plant is such that
u can be used under the new plans.
although several improvements will
be necessary, according to Mr.. Smith
Inc distributing system will have 10
pc practically rebuilt, he believes
and changes in the power house will
improve the service to a great ex-
tent. The heating system will be
maintained. -"
Bringing the company here will
mean the addition of half a dozen
viz uidAdSCI. engineer ana
other officials of the firm, and will
also mean payroll of from Is to q
men, according to Mr.. Smith. DIVA
tonna banks will handle the funds of
the entire organization. and Ovation
ma will get the benefit of being the
headquarters for large corporation
IT Means Local Power
emphasis was laid in the discussion
On the fact that by selling the p. 6.
~ 10 the Albert Lea firm will mean
mat Owatonna becomes a subsidiary
70 tnat company, dependent on that
CITY ana receiving its power by means
OF hlghl1nes." The recent s1eet storm
gave proof or the dangers of being
dependent on other cities, as many
towns in southern Minnesota were
without power for days as a result OF
the storm VI
Mr.. Smith made no promise of nine
story hotels or fine office buildings
as Albert Lea is planning, but pro
missed that his company's plans would
be to give the best Of service at the
lowest price possible The Northwes1
oullties company would be a booster
Tor Owatonna, whereas the Southern
Minnesota company Is an Albert Lea
corporation, interested In the devel-
opment of Albert Lea.
W. ID. Willard. cashier OF the First
National bank in Mankato. member
Oh the state board of education. and
wen known here. is president of fhe
Northwest company. 1t is a Mime.
SOFA owned corporation, according to
Mr.. Smith, well established and fl
nanced. .