BURLINGTON HAS FINE 35 YEAR PUBLIC PLANT RECORD

Burlington Has Fine 35 Year Public Plant Record $456,000 Plant Paid For Entirely Out Of Earnings Burlington, la.—"We believe that this occasion is a proper time to remind the citizens of...

...That statement was issued by the city light department of Burlington during the recent observance of the 35th birthday of the city's electric light and power plant, which has been giving electric service to Burlington since its establishment in 1905 by Mayor James E. Burke...
...The plant is debt free, that is, has no bonded debt at the present time...
...The department has supplied free street lighting to the entire city since 1933...
...The department has paid for itself entirely out of earnings...
...1939, there were 124 such major licenses in force...
...4. Surveys ith a view to assur the country an adequate antt nomical power supply...
...But although certain inadequate and unsatisfactory attempts were made in the following years to encourage and regulate water power development It was not until 1920 that the federal government adopted any consistent policy for dealing with It...
...WASHINGTON, D. C—"Damnable to the utmost" were the words used by Lambert McAllister, Feferal Power commission counsel in describin™ practices of Associated Gas and Electric system's holding and service companies at the end of a four-year investigation by the FPC...
...With the assistance of the entire citizenry of Burlington our rates could even at present be materially reduced...
...How It Began History of power control: When water-power projects first made their appearance in this country around 1890 it was recognized in a general way that the federal government should exercise some sort of regulation over them...
...The department has been of inestimable value to the city during the severest years of the depression by aiding other departments and preventing an increase in taxes by taking care of the larger share of the city's bonded debt (bonds issued for the city hall, central fire station, junior high school, memorial auditorium, etc...
...These news items reflect the importance of the Federal Power commission in exposing at least some of the worst "abuses" of the electric power monopolies...
...Signed by F. H. King, plant superintendent, and H. H. Miller...
...Burlington Has Fine 35 Year Public Plant Record $456,000 Plant Paid For Entirely Out Of Earnings Burlington, la.—"We believe that this occasion is a proper time to remind the citizens of Burlington that they have one of the most valuable assets that a municipality can possess—their own municipally operated and controlled electric light department...
...2. Regulation of wholesale rates for power and natural gas in interstate commerce, outside the jurisdiction of state regulatory bodies...
...Power Body Is Important Aid To Consumers Vital Role Is Played by U. S. Commission in Power Field By LABOR RESEARCH ASSN...
...From 1920 to 1932 the principal activity of the FPC was the issuance of licenses and permits to power projects...
...This department has assets of $456,955 and has paid for itself entirely out of earnings without one penny cost to the taxpayers...
...The FPC has been a useful instrument of the people in checking these corporate giants...
...agreed to the so-called "Washington Plan" which brought about a drastic reduction in electric rates in the capital city and made provision for more reductions in the future...
...The federal water power act of that year not only created the Federal Power commission, with regulatory authority over water-power projects throughout the country...
...This electric plant is exclusively the property of the people of Burlington...
...A few days later the head of this now bankrupt billion-dollar electric holding company pyramid, Howard C. Hopson, was indicted on 19 counts charging him with having defrauded the giant utility system of 20 million dollars...
...In any event the profits from the City Light department stay In Burlington for the use of all the people of Burlington...
...These have been useful to the public in squeezing some of the Inflation out of the filial bases used in setting electric ratcs consumers...
...It provided also an appropriation for a survey for a possible power project on the Potomac river...
...The depavli.ient is attempting to bring down electric rates om fast as possible without curtailing th» above services which the department at present renders to the community at large...
...Then during the first New Deal administration it undertook surveys of power resources and electric rates throughout the country...
...We could substantially Increase and Improve our present street lighting if additional business is obtained...
...Under the law as amended in 1935 the main activities of the commission are as follows: 1. Encouragement of orderly development of the country's water power resources under federal licenses assuring some protection of the public Interest...
...The City Light department has adopted a policy of improving the appearance of our city streets by placing a portion of our overhead construction underground each year Our department does not exist for profit, but for general community welfare in electric servico and rates as well as in other means of improving our city...
...3. Setting up of uniform systems of accounts for power companies subject to Its Jurisdiction...
...In 1935 its duties were extended, and although the Tennessee Valley author-ityity was exempted from FPC Jurisdiction the development of the TVA was in accordance with the policies earlier adopted by the FPC...
...A number of events combined to stimulate federal action in 1920, among them the high cost of electric power in the District of Columbia...
...As of June 30...
...In the meantime the electric-power industry had grown into an essentially mopolistic business...
...This congressional threat to go into the power business was not withdrawn until 1923 when the privately owned Potomac Electric Power Co...
...This part, important as it Is, is overlooked by many wo-pic...
...J. E. Lanou, and Tho las W. Parkhill, electric light commissioners, the statement declares: "As every citizen of Burlington Is a part-owner of the City Light department, let us review at this time the record of the plant and what it has meant to the citizens of Burlington...
...The $200,000 bonds issued for construction of the plant were completely paid off by the department out of its own earnings in 1927...
...For ex in 1939 the commission inves 116 flood control projects atential source of power...
...Our city streets enn be made much more attractive if our flnanres allow us to adhere to th's policy of extending on mounted lighting and underground construction...
...This street lighting formerly cost the city approximately $28,000 per year...
...The department has given to the city an average of $71,483 per year in cash for the past twelve and one-half years for the sinking fund for payment of Uie city's general bonds, or a total of $893,539 for this period which has been an Important factor in preventing tax increases in our city...

Vol. 10 • June 1940 • No. 24


 
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