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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (Feb. 12, 1905)
THE OMAHA DAILY DEE: SUNDAY. 'FEBRUARY 12. 1903. It 4 H DISCUSSION OF WATER BILL Stenographic Report of Hearing Before Senate Committee. WEAK POINTS OF PROPOSED LEGISLATION History ( Omaha Water 1'lant and nf the Ktpt Leading- to Its Acquisition by the City. At a meeting held by the senate commit tee on cities at 4 p. m. February S. Present: Senators Saunders, chairman; Hughes, Jackson, Mockrttt and Oihsnn. Mr. Baundera The committee are all pres ent and ready to hear any suggestions by partita Interested In regard to H. It. No. 8. the bill for the erection and purchase of water works In metropolitan cltlca. which la In the hand of thla committer for con sideration. Mr. Rosewater It seems to mo that the gentlemen here present representing the affirmative should first tell us. In a brief way, the reason why the legislature of Ne braska should enact this law. It la so ex traordinary In Ha acope, so different from any legislation that has ever been at tempted In thla or any other state, that they might to be able to present very cogent reaaona why It should be recommended, and I will then be grateful to have you hear me present my reaaona why thla legislation shoulj not be enacted. Mr. Saunders This bill Is before us, hav ing; passed one branch of the leglslture, and It seems to me that tho question here rhould be why we should not concur In tho taag ot the bill as brought over from the house. Mr. Rosewater Tle custom In all parlia mentary bodies la that one house paya no .attention to what the other house has done. Each house Is presumed to consider from the outset every measure that comes before It. The fact that It hna passed the other house Is no argument as to why It nhould pass this body. The object of having It pass two separata legislative bodies Is to have It considered and discussed so that each may be a check upon the other, other wise one parliamentary body would be suffi cient. In this committee this Is an original ritll just as much as If It had neVer been "heard of In the house. Anything that this committee does Is original within lts?If, ex cept In giving it precedence over bills that have not been passed by that body. In the nature of things this bill Is original with this commttteo Just as much as If It had never been In the other house, and the friends or sdvocates of that measure should he ready to present their reasons why this legislation should be enacted, and as soon they have done that I will endeavor to , "how why It should not be enacted; then. If they ee fit, they can ask me any ques ' tlona in response to any assertions thut I shall make that they consider erroneous, and after thoy have made their arguments It Is for the committee to decide for Itself how far the arguments preponderate In favor of nr against the passage of the bill. Opponents Mast Speak First. Mr. Saunders The committee Is here to listen to whatever might be said. Wo are wlUng to hear from anyone. Mr, Howell The people of Omaha have Jong dealred to own their water plant. The object of this bill Is that the city of Omaha may purchase the same. Its measures are stated clearly and If there are any objec tions which might be urged to the acquisi tion of the water plnnt or any measure such as is proposed, expediting process, I am sure that I, for one, who have long been Interested In this matter, would like to hear those objection. . Mr. Rosewater In order that the time of the committee might not he wasted In wait ing and holding back, I will point to a few reasons why, this legislation Is not de msnded and never should have been con templated. Mr. Chairman and Gentlemen: The ac quisition of the water works by the city i of Omaha Is already an ussured fart, un less unforeseen and unsurmountable ob stacles shall prevent. In a letter, dated August 28, 1904. signed R. B. Howell, the citizens of Omaha are Riven to understand that this Is the situa tion. Mr. Howell says "the question of the purchase of the water plant by the city has been settled. The city has elected to acqulro the plant under the terma of the contract with the water company. Apprais ers have been appointed and the appraise ment is proceeding. Therefore, municipal ownership Is not a question at Issue' at this time. That has been settled." If, as my friend said six months ago, municipal ownerahlp of water works has been settled, I do not know what has transpired to unsettle it since that time. The only thing that has unsettled It, so far as I know, Is the possible declaration of the supreme court of Nebraska that the law enacted for the benefit of the gentleman, for his appointment as water commissioner is. unconstitutional and void. He Is eminently correct when he says that the question of ownership hus been settled. lurehaso Practically Accomplished. Mr.' Howell Did you not begin proceed ings to prevent the purchase yourself In the supreme court? Mr. Rosearater No, those proceedings were not begun to prevent the purchase, but to stop you people from drawing a salary that you are not earning. Mr. Howell You Just stated to thla com- if 1 The burnished plum age of the peacock-, owes its brilliancy cod splendor to a health ful condition. Let the bird be sickly, and the plumage droops and grows doll. There is no execution in na ture to the rule that beanty depends on health. Women who see their beauty Waning rarely associate the external change, With failure of the womanly health. They do not understand the close rela tion of the general physical health to the health of the delicate womanly or ganism, until after being cured of wont nly diseases by the use of Dr. Pierce's Favorite Prescription they find the color returning to the cheek and the flesh to the body. Farorite Prescription " establishes regularity; dries weakening drains, heals inflammation and ulceration and cures female weakness. Several years ago I was ery poottr." wrttee Mrs. My Relley. of Sylvia. Kan., "ao went I could hardly walk actus the toot, and at timet euflered severely. 1 took two bottles of lr. Itarcc a Favorite Prescription end got well and hardy valued twelve pound la two month and waa 111 picture of health. Your medicine bv cured lu. Almost everybody I meet lay, you look o much lettw than you bar tor several yean , jrou look well now.' "Favorite Prescription" makes weak women strong, sick women well. Ac cept no substitute for the medicine which works wonders for weak womenv Ir. Pierce's Pleasant Pellets are a lady's laxative. Nothing equals theta toe f enUcaces sad Ihorougti&o, mlttee thst this purchase wss an ac complished fact, unless It failed from the action brought by you In the supreme court? Mr. Rosewater I said nothing of the kind. I said unless it meets with some unsurmountable obstacle. Its passage by the legislature of 19C3 had no more to do with the contract under which we are now taking the worka than It had to do with the acts of congress In ly). or any other year. The history of the works la fairly well known, I think, to some members of your committee. In 1R0 the representatives of the Holly Water Works company, Inrvporated In New Tork state, came to Omaha and corruptly pro cured from the city council an ordinance granting them a perpetual and exclusive franchise for the erection of water works In Omaha. That measure was opposed by lending citizen of our city, who applied for relief to the courts, nnd after a pro tracted fight, after the company hud laid about five mllea of mains, we defeated them at every point and literally drove them out of tho city. The question was then submitted In a form which Is em bodied In the three ordinances that con stitute tiie contract of the present com pany. The Holly company wanted an exclusive franchise. Any company, or In dividual, that wps willing to bid was given to understand that they could have a limited hut not exclusive franchise under the conditions embodied In the ordinance and based upon plans made by an eminent hydraulic engineer, Mr. J. I). Cooke. In other words, that proposals would be re ceived and the best bidder, under the con ditions named, and under the restrictions provided In the ordinances, would be awarded the contract. Later on, I am going to show that the contract so en tered Into was In conformity with the statutes authorizing the mayor and coun cil to make that kind of a contract, and that under that contract, made originally In July, 181, and conaummated on Septem ber 4, mi, the American Water Works company, successors to a man Ly the name of Lock, who hud the original contract, became empowered to establish, maintain and operate water works in the city of Omaha for ap eriod of twenty-five years from the date of the completion of the works. Remember that September 4, 18.SJ, waa the date of the beginning of the con tract, and Its expiration will be on Sep tember 4, 198; but, there was also, In that contract, this clause, that twenty years from the date thereof, namely twenty years from the completion of the works, the city of Omaha should have the right to acquire the works by purchaso through arbitration; the city to appoint one1 appraiser and the water company an other, and the two to choosa the third. Under that contract and In conformity with its provisions, the city Is now negotiating the purchase of the works. The act passed by tho legislature In 1903 was an unprece dented piece of legislation. Nobody had ever before heard thut any srlte had Issued a mandate to n community, or even the smallest hamlet, that It must embark or invest in any particular enter prise, or mortgage itself for the acquisition of any public utility. , Question of Home Itole. From time Immemorial, lnce free gov ernment was established In this country, communities have ocen allowed to decide and legislate for themselves as to whether or not they should assume a debt for any public Improvement, but here was a com pulsory purchase bill introduced under falso pretenses; introduced under the pre text that the citizens of Omaha were de prived of their rights and privileges by corrupt public officials, who had banded themselves together to prevent the acquisi tion of the water works, which the people dealred, and to the possession of which they were Justly entitled; and that In order that the peoplo of Omaha might have the benefit of cheaper water rates through municipal ownership and control of the water works. It became Imperative for the legislature to enact a compulsory law. In other words, a mandate to the mayor and council to proceed at once, Inatantcr, you might say, to exercise the powers granted by the charter for the acquisition of those works. It was charged then, and has been since charged by Mr. Howell In his open letter, that the water worka company had deter mined to obstruct and prevent the pur chase of these works and was using all the means In its power to accomplish that result, and that, Incidentally, tho opposi tion made by The Omaha Bee to the en actment ot this law was only a part of the program of the water company to obstruct the acquisition of the plant. I regret very much to be compelled to de nounce this charge as an Imposition the rankest that has ever been attempted upon any legislative body. In the first place, under the contract be tween the city of Omaha and the water company, the city had no right to begin the appraisement for the purchase of the works before September 4, 19u3, and yet a compulsory purchase bill was Introduced by Mr. Howell In the senate In January, 1908. That bill waa an attempt to compel the city council of Omaha to do a thing that It had no legal right to do under the pretext that It had been derelict la the performance of Ita duty, The contract between the city and the water works company expressly provided that after twenty years from the date of the ao ceptance and completion of the works and I have the dooumenta hem so that any one can see them the city would have the right to purchase the works, but on May a, 1U03, five months before the council had any right to take the official stepa, the council, under Inspiration of the same In fluence that haa Impelled Mr. Howell to try to get this bill through under the inspiration and, in my belief, at the Insti gation of the water company the council named the arbitrator to represent the city of Omaha In the appraisement. Water ( ouipauy Not Obstructing. Let me cull attention to this fact also, that under the Howell law tho water com pany was not obliged to appoint Its ap praiser until thirty days thereafter thatls. thirty daya aftei September 4, 1903, which would have been October 4, l&cw, but the ap praiser for tho water works was appointed almost Instantly 011 the heels of the ap pointment inude by the city eurly In tho month of May. Does that show that the water company waa.trying; to obstruct the purchase? On the contrary, don't it show that a scheme had been concocted to unload the water works upon the city of Omaha at high-water mark llgures? The price of iron watei plpo In isw waa L8 per ton; when the Howell bill was being railroaded through the last legislature, the price had Increased to $34 and 137 per ton. The prices of machinery and labor had also ad vanced In like proportion, and that waa one of the reaaona why tho water company waa anxious to a. Ill There la the animus for the original bill to unload those worka on the community at a time when the plant would be appraised at the highest price. This scheme did not meet the slightest obstruction, but, on the contrary, every thing waa done to g reuse the wheels, lu the house of representatives the same bill, word for word, wus Introduced on the same day by a gentleman who waa then em ployed by the Omaha Htreet railway, which Is owned largely by eastern stockholders who are also owners of bonds and stocks In the water company. Simultaneously the bill passed the house and senate. There was not a soul In either house or In the lobby to oppose. It. 'J'hobe of you who have been In the rapltul and have watched the progress of legislation, have you ever known of a bill offensive or Inimical to a public utility corporation or a railroad corporation to puts without tho slightest opposition? At the time the tirst Howell bill passed, Mr. Hunt. -tho political manager of the water works, was off in California and not DEUIY & SHOE FlffiD TUBE CIHPAQY, 1110-17 Farnam St. RETIRING FROM BUSINESS This Is not going to be a prolonged sale. Farnam street building tor rent or sale, possession to be given March I. Our Harney St. building has been leased to and is now oo cupiedby F. P. Klrkendall 6 Co. Think what this means, to close out this vast stock by March 1st. Furniture bargains here that cannot be duplicated. Many articles being sold less than manufacturer's cost of production. Every piece of furniture greatly reduced in price. It will be well wxth your time to come and see for yourself the bargains that are here be your own judge -WE ARE POSITIVELY GOING OUT OF THE FURNITURE BUSINESS and all goods are priced regardless of cost to make selling and choosing easy. Note some of the bar gains. , i i i i r i Parlor Tables 1 l.l.no Mahogany Inlaid Top Tar lor Table, turned and O PA fluted legs OiJU $18.00 Vornls Martin Parlor Ta ble, oval top, French f C An shape logs UUU $45.00 Mahogany. Inlaid Table, handsome design, beautlfnl Inlaid work, oral ( ffl JU.UU toy , . . $12.00 (n.cii Oak Tailor Table, round top. carved with under shelf, at $10.00 Golden Oak rnrlor Table, top 28 Inches In diameter, for $4.00 Mahogany Finish Parlor Table, carved rlni, polished linUli, for $18.00 Mahogany Table, large pattern top, French design, baud polished, for $14.75 Golden Oak Oval Top Parlor Table, pedestal center, for $14.50 Golden Oak redestal, heavy, massive design, for $7.25 Golden Onk Pedestal, twist post design, round top, for $24.00 Mahogany Pedestal, round top, round venter fO (J A post, very choice IO.JU $30.00 Mahogany Pedestal, very unique design, claw feet 8.00 5.00 2.75 11.50 9.00 9.00 5.50 22.00 ' Mission Chairs and R.ockers. $18.00 Antwerp Oak Leather Scat Settee, pretty pat- O CIV tern, for HS.OU $10.00 Arm Chair, Antwerp onk, leather seat, 50 (19.00 High. Back Arm Chair, leather seat Antwerp oak, QQ J31.G0 Morris Chair, weathered oak, Spanlxh leather seat, 51 fiCi and back, for ..J $30.00 leather Cushion Seut and Back Weathered Oak y 4 f( Rocker, for .VJ $-9.00 Weathered Onk Arm Chair, cushion seat and back, Of ffi Spanish leather, for (.W $9.00 Arm Chair, wood seat, weathered oak, f. 7E for XM.Mt $17.60 Weathered Oak Hall or Den Lamp. 12.00 $11.00 Weathered Oak Table with drawer, has shaped top, JT for .' $U.OO Weathered Oak Table, oblong with writing desk eve attachment, for 11,10 u ri : 1 rooms vi ick.no. We have a large select line of Morris Chairs from tho cheaper to the bent, all go In this closing out sale at greauy prices. reduced Go-Carts. Anyone in need of a Go-Cart will tlnd bargains here and a great variety to choose from. The Bavtng Is almost half. Dining Room Furniture Regular Price. Closing Out Trice. $2i'o Flemish Dining Room Suite, consisting of sideboard, with large mirror, square top table and six spring leather K1f S seat chairs, for , q I Il 20T.00 Antwerp Oak Dining Room Suite-, sideboard, round CR7 top table, china closet and seven leather seat chairs pi-g MG2.00 Mahogany Dining Room Suite, sideboard, china t17fl closet, round top table, six side and one arm chair M'ulu J75 00 Oolden Oak Buffet, large mirror, choice carv- ttf f Ing, for 'uu M6-00 Golden Oak Buffet, elegant pattern 30.00 M4 00 Golden Oak Buffet. 32.00 185U $'.'9.00 Mahogany Dining Table, fluted legs, for ..: $3.60 box frame golden oak Dining Chairs, cane seat, for . $3 25 Rattan High Chair with table tray for $19.50 Golden Oak Round Top Table, IS. 50 $lut.00 Golden Oak Dining Table, round top, S feet In yt ff diameter, for J.MJ $02.00 Antwerp Oak China Closet, new designs. 30,00 $00.00 set of seven mahogany Dining Chairs, consisting fX'X OO of one arm and six aide chairs JJ.Jr 250 Children's Furniture 1.75 $2.75 Wood Seat High Chair, golden oak Ilnlsh with O OH tray ,XJV' $5.00 Golden Oak High Chair, cane scat with tabic ff tray, for U.yVJ $2.00 High Chair with tray, cane seat, ( OB for a.J $4 00 Child's Rattan Rocker with arms, O 7R for $5.60 Misses' Rattan Rocker, full roll arms and buck, 1 Ef for $1.60 Child's Rocker, wood sent and arms, QQ $1.0( Child's Nursery Choir, wood. Tfic for g $2.60 Child's Wood Rocker with arms, embossed back, gQ $1.25 Child's Rocker, cum; scat with arms, OUC $1.00 Child's Rocker, wood scat with arms, TOC for Ladies Desks and Music Cabinets $8.60 Mahogany Finish Ladles' Desk, carved lid with fi OJt drawer, for $8.00 Muhognny Finish Desk, French legs, fitted with E W large drawer $20.00 I!ird's-Kve Maple Desk, finished all around, pretty CO pattern, large size, for ' $jo.00 Mahogany Desk with under shelf, largo drawer, 2S OO tine interior, for -.vv $27.60 Inlaid Music Cabinet, very pretty design, 22.00 $31.00 Mahogany ' Music' Cabinet,' plu In design, 25 00 for aawr.w $12.50 Golden Oak Music Cabinet, carved drawer at top, y for $11.50 Blrd's-Kye Maple Music Cabinet, (2 Qf) for $6.60 Golden Oak Music Cabinet, for k " Office Furniture Hundreds of bargains In Office Stools, Settees, Desks and Ta bles. Anj'one In need of office furniture of any kind should see us beforo making their selection. Rockers Regulal Price. Closing Out Price. $i.00 solid oak golden finish Rocker, largo stse, with arms, best 7 fW make A .JJ $13.50 Oolden Oak Rocker, t( (( low back. carved $32 00 Large leather Rocker, full up holstered, with golden Of Oil oak frame A3,J3 $0.00 Golden Oak Arm Rocker, full quarter aawed and E I'C. pel she 1 0 $11.50 Arm Chair, golden oak. fine for living room or (4 Kf) library $8.W Mahogany Finish Rocker. nih aeat anna polished 4.75 $0.(10 MuhogatVy Finish ' Rot li.r. with arms, wood aeat, finely 1 7R finished - " $26 50 Solid Mahogany Rocker, with arms, carved back OC fifl splendid bargain V. KVJ $1.00 Mahogany Rocker, plain rich design, handsomely O ry(E polished l AJ $10.00 Mahogany Arm Chair, carved panel 7 5S back M $11.00 Mahogany High Back Invalid Rocker, twist spin- "J QQ dies In back and under arms $24.00 Oolden Oak Rocker, with arms, leather aeat U fjfj 7.50 and back. $U.r Katun Chair, large slie, with $.00 Rattan Rocker 7 Cfl I ! Rattan Settee. f 1 .Clll . m . w 1 fnnrv rtpntirn . roll back and arms.. $7.00 Rattan Corner or Reception Chair arm 5.50 with Parlor Furniture $10.75 Mahogany spring seat tapestry upholstered Parlor S Oft Side Chair O.XIVM $9.60 Mahogany Parlor Side Chair, upholstered seat and A Cf) back .OV $40.(i0 Five-Piece Parlor Suite, tapestry upholstered. Of flfl mahogany Ilnlsh frame .J.JJ $6.00 Tapestry Seat Oak Rockera with and without 2 2 arms .at $10.60 Blrd'a-eye Maple Rockers, with arms and silk fi Ef upholstered seat..' $16.ii0 Mahogany Parlor Chair, line tapestry f f( seat $17.50 Solid Mahogany Arm Parlor Chair, ilk damask Q QQ $36.00 Mahogany Parlor Arm Chair, in muslin, to bo up- 2ft ftft holstered In gooda to suit v.w $16.00 Roman Chair, with arms, upholstered g QQ $36.00 Golden Oak ' Frame Arni' Chairtapestry seat and "y RO hack, very comfortable Y. $22.(0 Mahogany Arm Chair, silk damask 12.00 gPHt aaa.w $76.00 Mahogany Davenport Sofa. In -muslin, to be up- Ef f)ft bolstered to Pult $50.00 Flemish Oak Davenport Sofa, hand carved, 25 00 upholstered In Bokhara cloth ' " " $50.00 Flemish Oak Davenport Sofa, hand carved, 2Q.OO 11, hiphimi. i.viu. Bric-a.-Brac J5.00 Ixmwelaa Ware O Ef I $2.60 Iouwelsa Ware Vase f OE Vnse, pitcher shape mi.OXf small neat pattern I,t' $7.26 Louwelsa Ware Vase, large, Just the thing for long O fiCl stem flowers. u,uu $11.60 Louwolsa, Ware Stein. $18.75 Iouwelsa Ware Tsnkard. SSI .5.75 I p1er?ee: .h.an.(,".m.e 9. 38 All bronie figures, statuary nf all kinds, steins and brlc-a-brao go at exactly ONE-HALF their marked price. Lawn & Summer Furniture We have a very large stock of lawn and porch furniture, all of which gucB In this sale at big reductions varying up to 75. Iron Beds A very Jarge stock from which to make aelectlons, and prices In many Instances leas than manufacturers' cost. a "soul appeurcd here to say a word against the bill. They might ak. "Why did you not appear?" and I answer, Blmply because I did not believe that the legislature would seriously think of passing a law of that character. Congress might with the samo propriety pass a. law compelling Ne braska to purchase all the railroads In this state at a value flxed by , three ap praisers, no matter what the price, regard less of whether the people desired to make the purchase or not. Suppose congress should follow up such a law by authorizing the president of the United States to ap point a board of control to buy all the rail roads of Nebraska, manage them after they were acquired and Impose upon Nebruska a colossal bonded debt without submitting the question for their consent or upproval? That would be an unheard of proceeding, and yetthat is virtually proposed here now. This bill deprives our citizens of their most cherished right of home rule, it la very different from a legislative act au thorizing the governor to appoint a police commission for Omaha. In that Instance the atate Is exercising its police powers ana h. nnurta have held that this can be done becauae the state executive Is responsible for the maintenance of law and order. Question of Water Rntes, We all wnnt cheaper water. The water rates at Omaha are higher than they should be and I am probably paying more money for water In one month than all the gentle tlemen of thla board pay In many years. I do not know even whether they all are pay ing water rates. They say the city haa a right to reduce the water rate now charged. Last fall Mr. Howell had a resolution passed by the water board asking the mayor and council to reduce the water rates to private consumers. An ordinance reducing water ratee would have had about as much effect as the pope'a bull against the comet. The water company would slm, ply have procured a restraining order from the federal court. Some of these gentlemen maintain that it can be done, but I challenge them to show how It can be' done, under the condi tion that prevailed when Omaha made the contract under which the city 'of Omaha la now negotiating the purchase of the plant. When this contract was entered Into the rates for water were made part of the contract. They were lnaerted In the propoaal under which the bids for the erection of the waterworks were made. If Mr. Howell believed that tho council and mayor have the right to do this now, why did not he advocate it ten years ago, when the rates were just as high and ex cessive? He wrote a pamphlet on the water works question ten yettrs ago, and I have it right here. He made a great many declarations and rec ommendations. Some of them are now shown to be ridiculous and soino danger ous, but he did not advocate that tha water rates should be changed by the city council. There Is Just one case that has gone to the supreme court ot the United States with reference to changing the water rates, and that la the Freeport case. In 18K1 Nathan Bhelton of Omaha secured a franchise to erect water works in Free port, III., modeled on the lines of the Omaha contract except that the water rates 'were somewhat higher. Freeport was to pay $1U a year for (Ire hydrants, while Omaha contracted for $S4 a year. At the end of about ten years the mayor and council of Freeport got Into a quarrel with the water company that had acquired the Bhelton franchise and cut the water rates In the middle, claiming that the contract rate was than unreasonable and hud been unreason able, when It waa first made. The water company appealed to the Illinois courts, which upheld the action of the Freeport municipal authorities. The case was car ried up to the supreme court of the United States and that court affirmed the Judg ment of the Illinois court, five to four. The four Justices of the supreme court, Brewer, Brown, Feekbam and White, held thut the abrogation of the contract was In violation of the constitution and the other Ave Jus tices held that abrogation of the contract would have been unconaltutional but fo,' the Illinois statute thst authorised clUti to regulate water rates whenever they wore deemed to be unreasonably excessive. In other words, all tho Judges of the supreme court agreed that a contract Ib Inviolable unless there is a statute authorizing a divergence. In this case the majority of the court held that It was tho business of Nathan Shclton and his associates to know the Illinois laws In force 'when the con tract was mado and govern themselves ac cordingly. Contract Is Inviolable. How about the Omaha contract? If you will look into the statutes of Nebraska relating to cities of the first class that was the class of Omaha at tho time this contract was made the statutes of 1879 und ISA, and they were the two years preceding the making of this contract, you will find this: Tho mayor and council of any city of the first class may enter into any contract with any other person, association or corporation for the erec tion, establishment, maitenunco or ope ration of -waterworks on audi terms us may be mutually agreed on." That has been complied with. It wna mutually agreed between the mayor und council at that time and the water company Just what tho terms should be und they were Inserted in the contract, and the city at torney of Omaha officially pointed out that fact. Although we have been paying too high water rates for years and years nobody advocated or attempted to reduce the water rates until Mr. Howell was about to be a candidate for office. It was easy to pass the resolution, but what of It? The com pany's attorney would simply apply to the federal court and get an order restraining the city council from Interfering with the contract rates and the city would have had to pay for the water at the contract rate and pay the costs beside. Mr. Howell seems to differ radically with men who are familiar with equities and believe when you make an agreement you must stand by it. In 1199 he wrote this pamphlet In which he maintained tl.at: First The water company has 110 fran chise or contract with the clly. Second The securities of the water com pany are unmarketable, for the rexson that there la a cloud upon the title of hs property, and no one wants to buy a law suit. Third The city is master of the situa tion. It can grant the company a new franchise and contract, or not, as It sees fit, and dictate terms thereof as to water rates, hydrant rentals and the minimum amount of bonded Indebtedness which the company can assume. The taxpayers of Omaha have long beon complaining that the water rates and hydrant rentals of the water company are exceasive and much higher than the rates and rentals charged In other cities. Some Water Works History. The city did attempt to repudiate and what ground had it? The original con tract awarded to Locke and. his uuslgiis had been transferred to the American Water company and that company 1 was forced Into bankruptcy and into the hands of a receiver. Mr. Howell's contention was that the present water compuny, organ ized under the laws of Maine, which bought the water works on foreclosure at public sale, did not acquire the right to operate the works. That waa a great prop oaltlon. An attempt at repudiation and confiscation. At Mr. Howell's instance the city refused to pay hydrant rental. The company appealed to tho federal court, and that court decreed that when the com pany bought the water works It bought a going property; It bought the right to sup ply water 10 tho citizens of Omaha, and that right could not be taken sway by the city council. Under the samo Inspiration, Mr. Howell, In thut act of 19u3, deliberately omitted from the bill the provision to pay hydrant rental from the tax levy, and what hap pened next? The federal court iaaued a mandate compelling the city to levy the tax and pay the costs, as they did In the former suit; and now a man with sui-h loose notions about vested rights and rights of contract comes beta gad asks you to enact a law worse, If anything, than that kind of repudiation. Mr. Howell claims the water' company la opposing this bill. How comes it that their general superin tendent Is far away from the state at this time? Why have they not Interposed the slightest objection to the new bill? Why do we need this additional legislation. I favor a water board to control the waterworks as much as anybody, when we have waterworks to operate, but 1 do not think It would be necessary or even deslr ablo to have a board of six. I believe that three men who would be willing to give their time to the supervision of our water works can do Just as well as six men. But I de not think the time has come for foist ing a salaried water board on us. If I were a member of this body I should favor a substitute that when the water bond propo sition is submitted to the people a proposi tion to elect a water board to manage the works when the same were acquired should go with It, but vhy put In a wattfr board months nnd perhaps years before the ac quisition of the plant? Mr. Mockett-Uuder what conditions were the city to start In to acquire the works nt the end of the twenty years? How was the initiative to be taken? Mr. Rosewater The council and mayor were to puss a resolution declaring that It had become necessary to acquire the works and they were to designate an expert engi neer to act as arbitrator for the city. Mr. Mockett It was not necessary to submit that to tho people? Cart Before the Horse. Mr. Rosewater No, they got the cart be fore the horse. They had these appraisers appointed before the law required or au thorized it. They appointed them In May when under the contract they need not have been appointed until after September. There Is no good reason why we should have a waterworks board drawing a salsry and doing nothing, when we have no water works. The snug I am afraid of la this, the appraisers have no right to take Into con sideration the value of the franchise. They must simply appralBe the plant. The wator company now supplies South Omaha. That Is en outside corporation, and while the olty of Omaha has the right, under this charter to go ten miles outside of Its limits to con demn property for waterworks, It cannot purchase the works of South Omaha with out allowing for the franchise. That has been the position of the waterworks up to date. They want the works assessed as a whole, including South Omaha and sur rounding villages. When we come to the appraisement the question will be, How are we going to acquire the South Omaha plant and not allow for the franchise? Last Bummer while the appraisement was In progress the city council of South Omaha extended the water company's contract five years beyond the term at which It will ex pire In Omaha, viz: 1913. That will be con sidered a valuable asset by the water com pany and naturally the question will arise whether the city of Omaha In Issuing bonds for the purchase shall include a sufficient amount of bonds to pay for this franchise In South Omaha. That la a perplexing question and one that may give us a great deal of trouble. I cannot see why the leg islature should dabble with this question at all. The appraisement Is progressing and it doe not require legislation to' consum mate the purchase. The bill before you provides that the water board shall have the same salary continuously that they are now drawing; then cornea thla: They shall have exclusive and paramount power to make, modify and terminate on behalf of such city all contracts for the supply of water to such city for domestic, public and fire purposes. It don't say a word about submitting that question to the people, as they had it In the preceding law. I do not wish to reflect upon the Integrity of these gtntlemtn, but It Is asking too much to say the people have so much confidence in you that they cheerfully abdicate to you their right to extend this contract for fifty yns. and do It In star clmraber, without any record. Here la another provision: They shall have the sole power and authority to act on behalf of the city In all matters apper taining thereto, Including the appointment of appraisers wherever required. I do not know what they Intended to appraise, but It looks like the South Omaha matter. They ask the power of eminent domain snd want to exercise that, and they ask the power to call elections In the city of Omaha to submit bond propositions at any time at either general or special elections. Thoy ask the power to sue and be sued, to em ploy attorneys and carry on substantially a government within the government, with out being responsible to anybody. Have you ever heard of such a drastic law? A city government conducting the affairs of 100,000 people Is restricted In tho matter of expending money, but here are four gentle men who want to take charge and create a debt of five, six or seven millions, and nobody else shall have a word to aay. They will do Just aa they please; no re straining force anywhere. And yet we are told that that Is the legitimate thing and must be done to protect the city. I do not know against what. The right of em inent domain surely will not be exercised by the city, even If it Is exercised by the mayor and council to the detriment of any body. . ' (Concluded tomorrow.) MORLEY TALKS OF HIS VISIT English Statesman Refers In Address to Affairs In I nlted States LONDON, Feb. 11. (Special Cablegram to The Bee.) John Morley Is always Inter esting when he turns the fine edge of his Intellect to some other use than chopping wood for the polltloal furnace. He did this to a considerable extent this week, when he addressed his constituents . at Brechin. He haa lately returned from a two months' tour In Canada and the United States, and he gave his audience the benefit of his observations and Im pressions, without pretending to have got to the bottom of the numerous problems presented by the vigorous life of the two ; communities. He found In the United I States, apparently with surprise, genuine ! friendship and esteem for Great Britain, i Mr. Morley, who was received with cheers, said that he expected that prob ably In three or four months he might be in the position of presenting himself once more as a candidate for re-election. He had never spent two more Interesting and stimulating months than during his re cent visit thrtugh Canada and the United States. He would not pretend that in so ahort a time he had got to the bottom of any of the great problems to be met with In those regions. He was In Amer ica at the time of the presidential elec tion, and this suggested to him a brief sketch which he gave ot the difference of government systems In Great Britain and In the United States. A good deal was sometimes said about what was called the outrageous corruption of American mu nicipal bodies. Thst was very lamentable, so far as It existed, but a country could not be In such a bad way when It could be said that the recent candidates for the presidency had each given proof positive of entire probity. Integrity and willingness to sacrifice any personal alnui and Interests rather than surrender what they conceived to be sound principle. He was not going to despair of democracy because people Justly pointed out faults In the working of the system of the United States. It was true that our Amerlcun kinsfolk had a confidence In things working themselves out which, perhaps, dangerously approach to fatalism. They had confidence In their own common sense, shrewdness, right feeling, and eventually the Issue usuully Justified that confidence. It waa Interesting to htm In America to find himself In a country where there was no established church, but there was no country where religion was more' genuine or more earnest The common schools of America were practically confined to secu lar Instruction, yet nowhere In the world was religious knowledge more general. The United States was a country without the untold blessings of a hereditary House of Ixirds, ytt there was no country In the world, so far as he knew, where th rights of property were safer. Ono of the great questions which the democracy of the United States had before them was the re latione between capital and labor. An Im portant, responsible and well-Informed American gentleman had told him that the laws of Great Britain In respect to trade combinations wore more favorable to such combinations than the laws of Amerliau The people there would fight out the tre mendous battle under1 conditions quite dif ferent from those under which It had been fought In England. Another serious, sug gestive nnd apparently almost insoluble problom In the United States was the enor mous multiplication and gradual advance northward of the freed black population of tho south. If that movement went on there might at tho end of this century be a population of something like 70,000,000 or HO.000,000 of colored people in the United States. That was the retribution that fol lowed wrong. What did It come from? Africans were brought Into the southern staus exploiting land much as Chinese were now being brought Into South Africa to work the mines. People might have to wait fifty or a hundred years before heaven sent In the bill, but what sort of eventual harvest could be expected when the foun dations of a state were laid upon an In ferior clvlllzatiun? Great Britain Is by the Importation of Chinese labor changing the baae and foundation of Its state In South Africa. Some day the white mon there would have to pay the penalty of folly or wrong now being perpetrated. He had ex pected to find In tho .United States a good deal of Indifference 'to the friendship of Great BrltRln, but he found that the peoplo unmistakably viewed the British people with both esteem and friendship. That feeling could only be endangered by setting up a scientific tariff and discriminating against the United States. Great Britain owed the most friendly feeling of the United States largely to ha fact that thirty years ago a great liberal leader, with tho liberal party behind him, aubmltted to arbitration a burning dispute between America nnd Great Britain. Can ada abounded In Interesting questions with many undercurrent which cropped cut be fore he had scarcely realized It. Nothing strtiek one more among the population of that great province than the fervor with which the British section gloried lrr connec tion with Great Britain or the contentment with which tho French and Catholic section slso accepted the same generous rule. There was In the Dominion a community of which Great Britain might well be proud and aa to whose future It was bound to en tertain, as he himself did entertain the most sanguine hopes. No doubt the public here were getting rather tired of the fiscal question and he considered It wan practically argued out already for the next election, 'but what was the attitude of America and Canada? The plane of their arguments was a different one from that presented In Great Britain. The people of Great Britain are arguing whether they should do better or worse In protected bonds, while In the United States people were arguing how It was possible to disentangle themselves from such bonds without Injustice to vested Interests or die locating the established trada machinery. There, waa a powerful undercurrent run ning In the United States In favor of a gradual revision and modlficatfon of their tariff. The revolt against high protective tariffs was there growing too strong to be long resisted. The people should certainly think twice or thrice before' they estab lished a system which America found It u uncommonly difficult to get rid of. Wltte's Hon. Not Searched. ST. PETERSBURG. Feb. ll.-There la not the slightest truth in the report printed In the Irmlon Dally Mall today to the effect thut the first act of the new minister of the Interior, M. Bouligan. on arriving In St. Petersburg on Friday, was to have the residence of M. Wltte searched by the police, who removed a niaaa of documents for examination. If you huve anything tc trade advertise It In the For Exchange column of The He want ad &a