The herald and news. (Newberry S.C.) 1903-1937, February 10, 1911, Page TWO, Image 2

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SOUTHERN POWER CO AND COUNCIL COULDN'T AGREE (Continued from page one). present. Executive Session. Council held an executive session, and then the newspaper men were in-! Tited in. Council then determined its course, and then Commission Spear man was called in, and the matter I discussed with him. After council had finally agreed as to its course Messrs. Taylor and Milmow, the representa tives of the Power company, were in vted in, and -were told of council's, aetion. President Hunt came in to the meeting, but Presidents Summer and Wright did not attend. Full Council Present. 7ere were present at the meeting Mayor Iangford, Alderman Earhardt, Alderman Lominack, Alderman Sum wer, Alderman Rodelsperger and Ald erman Goree-a full council. The Xaximpm Rate. Mr. Earhardt moved that a maxi mum Tate be required in the fran ebise, said rate to be agreed upon by sepresentatives of the company and council. The motion was seconded by Mr. Rpdelspierger. Mr. Earhardt ex pained his position. He said he was 'ot wanting to stand in the way of progres, and his desire was to do' tht which was best for the city, as he saw it. He said the members of eouncil were present to represent the .ity and. not their individual prefer ences. He wanted to see the Power company In Nwberry, but at the same time council ought to sLiee that the eltizens and tx-payers were protect ed. If the Power company were al lowed to come in without a maximum rate, it would be only a question of time until they would garbie, up the eity plant, and then if there was no maximum rate the city would be at the company's mercy. Mr. Earhardt's motion was carried without dissenting vote, Aldermen Earhardt, Lominack, Summer, Rod elspergeir and Goree voting in the af firmative. For Arbitration., Alderman Summer moved that in ease the company wouldn't accept the maximum rate proviso that a proposi tion be submitted to them for arbi-I 'tration a? any time they might see fit 'bd raisie the price above the present price, council to. select one member of the arbitrationi boaid, the company -to select one, and the two selected to , select the third. Aldgman Laminack seconded Alderman Sum.mer's motion, 'but after discussion, the motion rest ed on the minutes without being put to a vote. Alderman Earbardt said that he! stood fiat-footed for a maximum rate. Alderman Summer suggested then that in case the maximum rate pro viso shdalid be turned down1lthat they give the franchise with the proviso~ th4t the rates should nieyer be placed any higher than are fixed in cities of like size and similary situated. City Attorney Blease said the fact that this provision was in the Green-: ville franchise, and possibly in others, night be the reason the company so * strenuously opposed a maximum rate here. Wanted Them Here. Alderman Lominack thought some means ought to be dtevised to let the' e company in. Alderman Summer said he was un decided whether the arbitration clause or the Greenvilie franchise clause would ibe 'better. Under the Greenville franchise clause Newberry would have the help of other cities and towns in 'this State. Alderman Earhardt said that be cause Union, Chester and Greenville had thrownm no safeguards around the franchise was no reason Newberry should .put itself in the power of the* company. City Attorney Blease was asked if: he had heard anything from any other towns. He said the city attorney of Greeniville had written him that the company had not been operating in that city long enough to determine how the franchise would work,' and: .the city attorney of Chester had writ ten him there had been no comn plaints. Commissioner Spearman. Alderman Earhardt asked Mr. Spearman if the whole thing were thrown on him to decide, "would you vote, or could lyou conscientiously vote, to let thlem in, without a maxi -mum rate?" "Personally I would not let them in' without some restrictions," said Mr. Spearman. Mr. Spearman said he wouldn't pull the bridle off. The city had a plant worth $150,000, on which it owed 887.000, having about $20,000 in the sinking fund to apply to the S107,000 debt, therefore leaving a net deht on the town of 887,000 for the water. light and sewer system. He thought the town could get rid of it at cost. But if the Power company. wcre allowed to come in without some restrictions the greater part of the eie-'ic plant would be worthless to, y -"'-an said no town icAo charged less than Newberry. Alderman Earhardt urged his maxi mum rate, believing the Power com pany might bluff for awhile, but that it would come in. Alderman Goree also believed it was coming and thought best to have the maximum rate. Mr. Spearman said he wanted it un derstood that he was anxious for the Power company to come in. Under the proper restrictions he believed it would be to the advantage of the town. City Attorney Blease said the course to pursue was the maximum rate idea. For All Stations in City. Alderman Earhardt moved: "That all plants or stations for the distribu tion of :power witbin the limits of the town of Newberry shall be placed within the town of Newberry." The motion was seconded by Alderman Rodelsperger, and on a vote Aldermen Earhardt, Lominack, Summer, Rodels perger and Goree votled in the affirma tive, there being no negative vote. Alderman Summer suggested a pro vision that if the company should re fuse to furnish power to consumers for a certain length of time that the franchise should be void. There was some discussion of this, but it was decided that it was unnecessary. No Re-sale. Alderman Smmer movied "that the Southern Power company shall not sell ,power to any one in any quantity for resale or distribution so long as the present city plant is in operation by the city." It was urged that <this was for the, protection of the city pow"er plant that, while the franchise proposed provided that power should not be sold in quantities less than 100 horse power that this power might be re sold, especially in viw of the Parr Eunter franchise. Alderman Rodels perger seconded the motion, but it was killed; only Alderman Sumrer voting .in the affirmative, and Alder men Earhardt, Lominack and Goree voting in the negative. Later, however, ;he motion was reconsidered, and car ried. Alderman -Summer said some yne migb+ buy this franchise and the Dity plant would have to go out of business. Didn't Want to Blan ket it on a Sum mer's Day. Alderman noiniack said let it go, i it couldn't stand the :pressure. Cit ttorney Blease said, if you have I orse you want to sell you 'have to ay it is a good one, and if it was de ired to s(e'1l the city plant it would e better to sell it rather than have it put out of busi.ness, and 'have these re ~trictions until it could be sold. Ald 1man Summer said that was his posi .ion-that he wanted to take care of he city's property until some dis-. osition could be mad.e of it. Mr. spearman said the city couldn't manu ~acture power in competition with muning water. In response 'to a1 luestion be said it would cost abo;ut. 1,500O to connect the city plant with the Power company. He asked if Tierman Lominack was dissatisfied ith the price he was paying for- cur-' rent. Alderman Lominack said all uring last summe,r whenever hie used mily 30 or 35 cents worth of light he' was charged 50 cents, but if it went o 51 cents they didn't fail to collect that one cent. Mr. Spearm.an sia'id the ost of resading each metre was the sae. Alderman Summer suggested that some people might pay rent for store rooms and not sell any goods, mdn there was a running fire of dis cussion and comment. The motion1 ws then put and carried, by addingI :his proviso to Seiction 6, Alderman Goree seconding the motion and all the aldermen votinig for it, except lderman Ear'hardt, who voted in the ag'ative. Alderman Earhardt's Position. When this motion was killed at the i--ne it -was first offered, and prior to t reconsideration and 'adoption, Aid-. rman Earhardt took the consistent position that, having fixed a maxi .um rate, Section 6 of the franchise ught to be strickgn out and the comn pany allowed to furnish power in any quantity it desired, and to any persons or corporations it de'sired. He s'aid t.nless this were done, nobody would: be benefited except the cotton mills. Alderman Summer said it would mean he breaking up of the power plant, and what was this use to take money. out of one pocket and put it ina other. City Attorney Blease said zouncil had better go slow, sell thel power plant first, and then 'strike that out Alderman Goree had seconded Alderman Earhardt's motion, but Alderman Earhardt was the onely onm voting in the affirmative, the four oth er aldermen voting against the mo Mr. Earhardt's position was entire It consistent, in connection with a maxmhum rate. be urging that if a maximum rato should govern, th-en the cilizens should all alike receive the benefits, and were editled to the cheapest powie-r they could secure. The Power company would not have accepted these conditions, however. Council having decided its corse, Messrs. Travlnr Milmow were in vited in. and th e three propositions upon which council had determined were read to them. Mr. Taylor said: Power Company's Position. "It is unnecessary for me to argue; it, I take it, because you, gentlemlen have made up your minds. I do not mean this offensively, because I dol not think it necessary. In the first place, we do a very large business, as you know. We have our lines cov ering a distance of 1,300 miles, driving 2,200,000 spindles. We are furnish ing power to light fifty towns and ci ties in North Carolina. The legisla ture of South Carolina has recently passed an act giving the public ser vice commission of South Carolina the right to regulate our rates. We are perfectly willing to live under them, but if we had -masters in every town, each one fixing different rates, we could not do it. It is out of the ques tion. That disposes of that. Would Put Stations in City. "As to locating our sub-stations in side your limits, if we are granted our standard form of franchise, I say to you we will do it. I say that in the presence of witnesses, and say that in order that it may be an inducement for you to grant us a franchise, so if we were not to do it the franchise would be null and void on account of fraud. And we are not going around making fraudulent representations. If you gentlemen think we are that type you ought inot to grant us a franchise under any circumstances. -Would Agree to Re-Sale Clause. "As to that last clause, that is ab solutely unnecessary, because that lies within your power. 'No man can dis tribute pow;er for light and heat in this city without the consent of this town Cbuncil. Then why put it in our ontract, when it is within your pow er? It doesn't do any good. If you will pardon me for saying so, it is af vain thing to put in." The 'mayor explained that there was a franchise outstanding. Mr. Taylor said if council wanted to provide that his company should not sel to the owniers of that franchise, that would be sstisfactory. But, said the mayor, they could sell the franchise to same -one else. So far as that was concerned, said NIr. Taylor, if that was the only diif erence he wouLld waive that and con sent for it to 'go in. Mayor Langford 'told Mr. Taylor that he thought 'the whole council wanted the Southern Power company to come in anud be welcome. Newberry Attractive, But-. "What I say is not said in a narrow, pcayunish spirit," said Mr. Taylor. 'We would like 'very much to do :busi aess in Newberry. It 'is a town that' we feel has prospects. We feel that blhere is a future in front of it. But, s much as we would like to come in, ve can't disturb the equilibrium of a system like we hy'e just for the pur pose of doing business in Newberry. It i a busines proposition with us out and-out. The business that we pro pose doing in Newberry is not such a' busings, it seems to me, that the city: council would concern itself with se riously. We are limited to contracts! above 100 horsepower. When you be-1 g.in to make power in 100 horse quan tities steam is a live and active com petitor, and the men -who take it in 100 horse-power quantities :are usual - ly men of affairs who can take care1 of themselves. But, over and above and beyond all that, you heave a pub lic service conmmission of expierts to fix the rates if they become exorbi t'nt They never can become exorbi tant because of 'the constant comfpeti tion of steam, 'which is continually in creas.ing in efficiency year b~y year, and so stands as a check to us if we were disposed to 'put op 'our price. Anid so it seems to ane-not arguing the question with you, 'or begging you to do otherwise-it is a question the city would not seriously concern it self with, when there are all these checks. If you gentlemen do not want us in town there are no hard feelings. We would be delighted to come here.: But. :is attractive as Newberry is, it. is not sufficiently attractive for us to disrupt the equilibrium of a system we have spent years and millions in building up, and that clause would simply open up to us the gap for Pan dorn's box of evils, which I could not describe to you in a speech of hours. It is impossible, gen.tlemen." 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