Red Lodge daily news combined with Carbon County news., 1933-09-06
SOME FIGURES ON A
CITY POWER SYSTEM

Estimates of the cost of building a new electric power
system in Red Lodge, to replace the present u~nsatisfac-
tory service and system of the N. w. [. company, have
been submitted to the Beartooth Boosters club by engin-
GERS who recently made a survey of this city. The amount
of the liberal estimate is surprisingly low, in view of the
ease with which this city could finance the project, and
in view of the temporary and permanent benefits to be
derived.
The total amount required, according to the prelimin-
airy estimate for construction of the new system, would
be $50,92950-this figure including cost of materials,
construction tools and machinery, and payroll expenses.
For poles, the cost is estimated at $1,450. Insulators,
cross arms, and other devices on the poles would cost
$1,654. Transformers could be installed for $4,000. The
cost of the wire and wire holders is estimated at $3.50.
For miscellaneous metering and regulating equipment,
$11,675 would be Sufficient. Construction tools, including
one truck, and freight costs on materials, are estimated
at $4,000.
The largest item in the estimate is that of labor for the
actual construction, to which $4,000 would be devoted.
This expenditure would directly benefit workers in this
community. while, of course, the purchase of materials
would benefit workers and manufacturers elsewhere.
That the city needs a new lighting system, that its con-
struction would be a forward step in the development of
the community, are facts too obvious to be argued. The
question in most minds seems to be, how the city can fl
nance such a plan, or whether it can afford to build the.
necessary system. In answer to that question, we give.
this example:
Last week the Billings school board applied to the NRA
" a. Odu " PfOOtOOO lOI improvements Il DulluIuSS. III
application being but one of % that had been submitted
to the state NRA board from Montana cities. Figures cit
ed by the school board showed that the project would
raise their school levy but 16 mills, or an increase of less
than So on property of assessed valuation of $4,000.
AT about the same time, the Eastern Montana Normal
school filed application for a loan of $250,O00, bringing
the total of loans applied for by two institutions in Bill
lings alone to $650,0O0.
Will the city Of Red Lodge hesitate in asking for $780,
929, a sum that is trifling in comparison to others that
will be secured by other cities? Rather, can the city af-
ford to remain asleep, when it has the opportunity of a
century to improve itself?
in Billings and other places, and a loan to the city of Red
Lodge for a power system, would be that the Red Lodge
loan could be made entirely self liquidating. Taxpayers
would not have to pay for the project. Electric power
could be furnished to Red Lodge consumers at rates low
er than the present tariffs of the N. w. l., and the system
could still show a profit that would repay the loan, and
leave a huge surplus in the city treasury.
Secured by a bond issue (Which might easily be sold to
the RFC) the capital sum of a loan from the NRA would
be obtained through the gift clause of the recovery act,
which ~stipulates that 30 per cent of funds spent for labor
and materials may be refunded to the borrower, as a do
nation. This means that more than $4,000 would be made
available for maintenance and operation costs of the new
power system cost that public utilities impose on the
consumer, but which might be spared the consumers of
the city-owned system.
At the next meeting of the Red Lodge city council this
proposition will be presented, and the councilmen will bel
asked to submit the plan to the voters in a special cleo
ton. 1t the project is approved by the people, n~egotia-
lions with the government will be started immediately
and within 60 days from that time it is possible that men
can be put to work digging post holes.
This is not a pipe dream. 1t can be done. Shall we do it,
II