Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-12-19
UTILITY INTERESTS
0. K. BOULDER DAM
Proviso Made That Govern
ment Shall Stay Out of
Water Power Business.
BY DAVID LAWRENCE.

THE utiiity interests Of the country
are not going to oppose the construc-
ton of Boulder Dam. They viii,
however, oppose any collateral prof.
ect which involves Government oper-
alton of water power.
This statement Of policy was con-
veyed to the Secretary of the In
terior. Hubert Work. today by Philip
II. Gadsden. chairman Of the execu-
tive committee of the National Ctli-
ity Associations which represents the
electric. gas and street railway in
dustries.
.oThe utility interests most en-
phatically favor flood control on the
Colorado and all other rivers OF this
country" wrote Mr.. Gadsden, and
believe in the construction Of a dam
at Boulder If necessary for That pur-
pose. All richt-minded people realize
the transcendent Importance OF pro-
tecting our citizens against the
menace Of flood waters. They do
not believe, however, that the Gov
eminent should go into the competi-
tive business Of selling electricity at
Boulder Dam or anywhere else.
L. s. Competition Opposed.
Mr.. Gadsden says that any measure
designed to control floods or for irri
cation or reclamation should be passed
and the Governments obligation to
the people discharged without estab-
fishing the Government in any kind
of competing business" or upon any
condition requiring the Government to
get its money back. No such principle,
he adds, has been applied to the sums
already expended on rivers and har-
bors-that is, the Government has
made the expenditure without looking
on il as a money-making or revenue
getting project.
This outline Of policy is significant
because for many months the friends
of Boulder Dam have been insisting
that the utility interests We're attempt
ing by lobbying and otherwise to de-
feat the construction of Boulder Dam.
1t is true that several public utility
men have expressed the opinion that
the high dam on the Colorado WASH t
necessary for food prevention, and
that if the friends of flood control
were really tent on that object and
not forcing the Government into the
power business they would select the
lower dam which involves less ex-
pense.
The ramifcations of the fight have
extended into seven States touching
the Colorado River, and even now
there is no agreement among them
as to the way the water shall be
used.
Utilities State Position.
The utility interests are going to
oppose any provision of the bill which
does not provide for the leasing to
private owners of any water-power
developed on the various dams built
to prevent foods. They contend the
Federal Power Commission should
handle these questions as it is doing
on other rivers.
The action of the utility men in
sures the passage Of some bill at this
session Of Congress provided flood
control doesn't get tangled up in the
merits of public and private operation,
subject which would involve long
debate.
Coincidentally, Senator Walsh of
Montana, Democrat, is pressing for an
investigation not only of the financing
of public utility companies, but their
expenditures to influence public opin-
ion on the subject of municipal and
Government ownership.
Altogether the public utility bust
ness viii be much in the limelight dur
ing the present session of Congress.
fCoDYright. 1927