The globe-independent. (Hagerstown, Md.) 1943-19??, 1947-11-20

Although almost a week has
passed since r. Paul Smith, presi-
dent of the Potomac Edison Com
pany, advised Mayor Sweeney of
his company's desire to terminate
negotiations for a proposed tie-in
between PIE and the Municipal
Light Plant-negotiations started by
the Mayor and Council and the
Board of Street Commissioners and
not by PE-no action has as yet
been taken by the Mayor and Coun-
Gil
The Mayor, in an interview with
the editor of the Globe-Independent
on Tuesday afternoon, stated that
he was still hopeful that the Coun-
Gil would approve the original con-
tract offered by the Company, but
he would not commit himself as
to when he intended calling a meet
ing to take action on the matter.
Mr.. Smith, in his letter to the
Mayor, gave a frank and complete
statement of why his company be-
lieved that Gin the interest of both
the City and the Potomac Edison
Company that these negotiations be
terminated" and in a full-page adj
vertisement that will be found in
our advertising columns, his COM
pany presents its side of the ques-
ton to the public.
Mr.. Smiths letter follows:
November ID, 1947
Honorable Richard H. Sweeney
Mayor-City of Hagerstown
Hagerstown, Maryland.
Dear Mayor Sweeney:
If this letter seems to be in con
siderable detail it is because / feel
it necessary to make my position as
head of The Potomac Edison Com
pany, clearly understood.
This past February your munich
pal authorities laid before us the
situation existing at the Municipal
Light Plant and pictured it as be-
ing extremely serious Investiga-
ton by our own engineers CON
firmed the position of the munich
pal engineers.
We we're then asked if we would
consider a plan for connecting the
facilities Of our system with those
of the Municipal Light Plant as the
most simple and logical means of
meeting the Citys problem. To this
request we agreed.
The next step was the preparation
of an agreement as to the terms and
conditions under which this so
called lifeline" connection would
become operative. And please keep
in mind that all of this was done
at the request of the city authorities
and involved no initiative on our
! part
Our policy in these negotiations
has been to be as liberal as possible
in order to avoid any reason for the
accusation that we might be taking
advantage of the situation in which
the City found itself. My personal
statement to my associates in the
preparation of this agreement was
Make sure it is so favorable that
there can be nothing left to ask for"
This agreement was prepared in
such form as to meet all the prob
lens of the Municipal Plant, to pro-
tect its customers under all circum-
stances and to make it possible for
the City to do anything it desired,
with or to its own plant. It pro-
vided for ample electricity in case
of breakdown; it would permit
the removal Of a generating unit for
modernization or rebuilding. It
would assure protection during an
expansion program. In short it was
so prepared as to leave the City free
to follow any course it desired, safe
in the knowledge that its present
and future customers would have
an ample power supply.
This agreement was most thor
oughly studied by the City's engin-
GERS, the Citizens Committee, a
Committee of our leading business
men, members of the Manufacturers
Association, and the Chamber of
Commerce, and in every instance
the answer was the same ''The con-
tract is fair and reasonable"
Despite all this work, care and
effort the proposal became subject
to so much prejudice and emotion
that the business aspects have pref
ty completely disappeared
From many statements made by
thinking business men it would APP
pear that the attitude of the City has
pretty well crystallized in the belief
that it does not want to do business
with our Company at all if there is