Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-03-18

WI Az Ihc pubic press ana Inc CHI"
zens were invited to buy their stock.
| concluded that companies of that
kind should pay a tax for the pri-
vilege of exercising their franchise.
The next question was how to
| bring this about. You can't find in
| the State House any record of the
owners OF these hydroelectric COM
+ panies. You can't go into any Office
in the State House and find a list Of
! the stockholders. So l put in a pro-
! vision that each year, between April
l and 10, the treasurer of the COM
pany should make a return to- the
! Secretary OF State showing the
amount of capital stock, common
and preferred, and a complete list
of the stockholders.
! Il then provided for the payment
of an excise tax. The first question
was how much this tax should be
/ and In this / received no assistance
: from the public service corporations.
! They gave me no suggestions and I
! asked for none. 1 felt 1 was loyal
! enough myself II could get the in
formation.
! Il felt that the tax should be on
I the kilowatt hour. I want you gen.
tlemen of the committee to under
stand, and these gentlemen who have
come here apparently to oppose the
doing of public duty, that there is
nothing OF venom in this. 1t Is an
effort on my part to make some con-
structive contribution to this session
of the legislature.
II then discovered that tax on the
/ killowatt hour possibly was not fair
. because there Is a difference in the
! method Of selling power. Some COM
! panies sell by wholesale and retail
and some all by wholesale. 1t is a
curious fact that they sell to the
| smallest consumer at the largest
price.
He told the committee that the av-
erage net income in Maine for cleo
| tricity was IN mills per killowatt
| hour. He found that there was a
great discrepance or difference in the
| incomes of these various companies.
| The Black Stream Electric Co. in
! 1924 sold 10000 XVIII. and had an in
| come Of s4,530,67 The Turner Light
| and Power Co. had an income of $10,-
| 592.43 and disposed Of S6,043 XVIII.
From these figures It ran into the
millions. AS result he had provid-
| ed new draft Of the bill under the
prvisions of which companies having
| incomes of $4,000 or less were ex-
empt from the provisions Of this
measure.
Rep. Wing said that he did not
want to be u derstood as saying that
these companies did not pay a tax.
They did. They paid where the
| buildings and equipment We're locat-
ed, but unlike other public utilities in
Maine they were paying no franchise
tax. 1t might be argued to the COM
mittee that If this tax were to be
placed upon them 1t would be pa ssed
| on to the cosumer. but the committee
4, should remember that no rate could
be made and imposed upon the con-
sumer without the consent OF the
public utilities commission.
Do you know what the total valua-
ton of the railroads are, including
rolling stock and other property
which escapes taxation? inquired
Edward F. Merrill. representing the
Central Maine Power Co.
| No more than I do of the electric
companies, was the reply.
Represents Turner Light G. Power Co.
| George G. Weber Of Auburn, presi-
dent of the Turner Light and Power
Co, said that while his company was
exempt from the provisions OF the
bill. by the new draft, he did feel
that he knew something about cleo
trio business in Maine. He said that
| these companies We're obliged to file
the names of ten largest stockholders
with the public utilities commission.
He had no brief for the Central
Maine Power or any other company,
but was present to speak as citizen
of Maine. He recalled the movement
a year ago when shoe factories Of
Auburn talked Of going west. AS a
result real estate deprecated rs per
cent. 1t would take years to over
come this. Mills We're talking of go
| Ing south and he knew positively Of
| one Auburn shoe concern which had
| been offered 100000 cash, the gift of
/ a factory and tax exemption for five
years If they would move to a west
! ern city.
! At this time the Central Maine
! Power Co. was planning a big devel-
! opment on the Androscoggin river
! about Lewiston. If it went through he
| believed it would mean a popula ton
! of 100000 for Lewiston and Auburn
within the next ten years. II hold
| no brief for Walter Wyman." said
| Col. Weber. "but I say God give
more power to him and the men like
him"
| He referred to the work which
Scott Libby did in the building up
of Lewiston and Auburn by develop
| ing hydro electric plants and con-
structing the Portland Lewiston cleo
rrc road. and said that all the time
/ Mr.. Libby was working for his city
aud state his neighbors were doing
| all they could to make it difficult for
+, him.
II ask YOU Mr.. Chairman. how
nanv Of the Maine savings hank Of
| hcials are advising their depositors
! to buy Central Maine Power at 1912"
said Col. Webber. adding: "They say
that the General Electric Co. Is in
terested in these companies. know
not whether they are or not. but I
! say If any of our Maine companies
! have learned the road to the trea SUI
w Of that concern let us all help
! them"
President Wyman Of Central Maine
Power Company
Walter S Wyman. Of Augusta,
president of the Central Maine Pow
or Co. trustees Of bankruptcy OF
ithe Cushnoc Paper Co. and associat-
! cd with other industries. said his
OF the act. "As you probably know
| this company does most OF its own
| financing" he said. 1--WE have sold
nine million dollars worth Of pre-
| ferred stock to the citizens of Maine,
| practically all of them. by our
| agents. There has been a tremen-
dous effort to get list Of owners
| in order that this stock could be
| traded out. as 1t has been sometimes
| for worthless securities or by delib-
crate Misrepresentation. 1t is not
good for the investor, the company
or the community 10 have possess
ion of this list Of upwards of 10000
| names.
1.-The ten largest holders OF the