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About The Sunday Oregonian. (Portland, Ore.) 1881-current | View Entire Issue (June 3, 1917)
THE SUNDAY OREGOXIAX, PORTLAND, JUNE 3, 1917. 17 DALY WATER POLICY DECLARED UNSOUND Claims of Economy Made by Candidate for Mayoralty Are Refuted by Experts. SINKING FUND INADEQUATE Revenue Xot Sufficient to Pay for Operating Cost and Provide for Renewal of Plant Finan cial Collapse Abead. TTUe campaign claims of City Com missioner Daly that his four years' ad ministration of the City Water Bureau has been one of economies and "savings Is nailed as fiction by expert account ants who have just completed an ex haustive study of the financial reports of the Water Bureau. The report of the accountants show conclusively that not only are Air. Daly's claims without foundation but that his policies, which to an appear ances have been for political rather than business Dumoses. have placed the Water - Bureau on unsound, ground financially, reducing it front Its self- upportlng basis of 1912 to a non-self-sustaining basis in 1916, with apparent financial stress in prospect. Figures of the accountants have been taken from Mr. Daly's official reports. They show in brief that the percentage f operating and maintenance expense of the Water Bureau in 1916 was the same as In 1912, being 26.6 per cent of the total revenue In both years. Margin of Profit Narrow. It Is shown also that revenues have Been so reduced as to give the Water Bureau a surplus of only 10.7 per cent In 1916 to take care of the replacement of the system, while In 1912 the surplus was 30 per cent. The 30 per cent sur plus would amply take care of all de preciation. The 10.7 per cent surplus will not. On the present Daly basis, the accountants show that the Water . Bureau could not avoid the financial rocks in 1937, when it will face $760. 000 In matured bonds with 1174.770.19 on hand to retire them. In 1912 the bureau was on sound ground and the danger was not there. The revenue from the sale of water In 1912 was $778,013.55; the expenses of operation and maintenance $207,666.56, or 26.6 per cent of the revenue. Inter est on bonds amounted to $230,000, or 29.6 per cent of the revenue. Sinking fund payment amounted to $108,000, or 18.9 per cent of the revenue, making a total of $545,666.56, or 70 per cent of the total revenue received from the sale of water. This left an excess of rev enue from the sale of water over ex penses of $232,346.99, or 30 per cent of the total revenue. Contrast la Marked. In 1916, under Mr. Daly's administra tion, the total revenue from the sale of water was $754,176.10. Expenses of operation and maintenance, $200,963.89, or 26.6 per cent of the revenue; interest on bonds, $326,510, or 43.3 per cent of the revenue; sinking fund payment, $146,380, or 19.4 per cent of the revenue, making a total expense of $673,853.89, or 89.3 per cent of the revenue. This leaves an excess of revenue from the sale of water over the expenses of $80, S23.21 This excess is only 10.7 per cent of the total revenue as compared with 80 per cent in 1912. The city charter provides that, a suf ficient amount must be charged for the ale of water to take care of all i per suing expenses. Interest on bonds and a sum of not less than 2 per cent of the total outstanding water bonds to create a sinking fund for the retirement of bonds when they come due. Bonds can only be issued for extension work, but there is no provision for replacements by the issuance of bonds. Consequently there must also be derived from the ale of water a sufficient amount to re place the water system when it becomes worn out. Sinking Funds Necessary. Assuming that the water system will last 100 years, 1 per cent of the total value of the system would have to be set aside as a fund to renew the present aystem, so that the Water Bureau would be Belf-sustainlng. The total value of the water system November 30, 1916, was approximately $13,900,000, 1 per ent of which would be $139,000. Charg ing this against the revenue derived from the sale of water, a deficit of 158, 677.79 would be created', conclusively showing that In 1916 the Water Bureau was not self-sustaining. The total value of the system In. 1912 was $10,186,952, and charging 1 per cent or this amount, or $101,869, against the revenue, a surplus of $130,477.99 would be left, showing that in 1912 on the same premises the Water Bureau was aelf -sustaining. An indication of what the Water Bu reau is coming to under the Daly regime is shown in black and white by a study of the sinking fund figures. Collapse Is Forecast. Assuming that It will be possible to invest practically all the funds held in the sinking fund in Investments which can be bought at par and pay 6 per oeni interest, there will be a sufficient amount in the sinking fund July 1, 1923, to take care of the redemDtlon of the $2,200,000 bond Issue falling due on that date. The bond Issues falling due on ana up to October 1. 1936. can be re deemed, but on March 1, 1937. a bond Issue amounting to $500,000 has to be retired with only $174,770 la the sink ing fund for the redemption. November 1, 1937, there will be another Issue of Z50,ooo due with nothing In the sink ing fund; In 1988, up to November 80. $589,000 become due, with no funds In the sinking fundi for the retirement. xne sinking fund created for the re tirement of bonds becoming due subse quent to 1935 will have to be used to retire bonds coming due In 1921, 1923, ana Any business man at all far-sighted oouia see tne conditions and make pro vision for them. There is no way of getting around the fact that as the policy and practice now stands the city win nave ou,ihju bonds to redeem with no mouey available to care for them How wtU this be met? By direct taxa tion, or howT Mr. Daly will not be there then. In all probability, so "he should worry." SEVERAL SEEKING DIVORCE X Wifo of Convict Among Those Want ing Separation. Frank E. Boothe Is eervine- a five. Tear sentence In the Federal peniten tiary at McNeil Island, avers Ora Boothe In asking for a divorce. She charges her husband with cruelly and declares that he was sent to prison be cause of his alleged cruel treatment of nor. sue asks lor the custody of minor son. Edwin Mayor began his cruel treat ment of Anna Mayor one week after they were married, she says In her di vorce Dili med yesterday. They were married in 1912. .Otto and JLeone Skofatad were mar- ried at Salem in 1912 and have two small children. Despite the fact that Otto has been a good provider and dutiful husband, he says Leone has turned to one James Hook, who Is named as co-respondent-Pearl Bissell alleges that John beat her at frequent intervals since her marriage to him In 1915. She wants a divorce on the grounds of crueltv. Irene Coade says that Montague has been extremely cruel in his treatment of her. They were married in 1908 and have one child. PERMITS GIVEN 500 ALIENS Many Unnaturalized Germans Ask to Enter Barred Zone to Work. Applications of unnaturalized Ger mans for entry within the barred zone about the Armory exceeded 500 'when the United States Marshal's office closed last night. Throughout the week the force worked incessantly in receiving and ex amining applicants, with a waiting line always stretched along the anteroom and corridor. Applicants were required to submit three photographs, a detailed account of prior employment, the names of witnesses who vouched! for them, and the indorsement of employers, if em ployed. - Of the many applicants the great number were laboring men, who find It necessary to pass through the Armory COMMISSIONER DALY'S RECORD IN BRIEF. Promoted plans for municipal lighting plant which experts official ly reported would have cost double what he estimated and would have been extravagant, unfeasible and physical failure. Insisted on lighting bond measure going on ballot in spite of these facts as shown by experts, including one of his own selection. Resorted to every means legal and otherwise to Install water meters after voters overwhelmingly voted against them. Conceived plan of dumping garbage in gulches and brought about conditions in Marquam Gulch in South Portland that caused an upris ing. Pledged himself to policy of "strictest law enforcement" when he announced candidacy for Mayor, the day after voting against revoca tion of license of Jitney driver convicted of seven offenses in police court. Ignored vote of people ordering regulation of jitneys and resorted to every means to turn Jitneys loose without regulation. Because of unfair jitney dealings was officially relieved of Jitney control by Mayor Albee In the first and only Instance in which Mayor Albee has exercised his right to shift Commissioners and departments. Voted to allow tuberculosis sanitarium In Sellwood over vehement protest of residents of that section. Held up by technical objections a move on the part of the Council to protect tourists from overcharging and other misdealings by Jit ney and for-hire car drivers. Claimed big saving in street cleaning cost. "Saving" was due to cutting down on street cleaning and not cleaning crosswalks in resi dence districts. Allowed snow to accumulate during Winter of 1916 until sudden thaw made business district a sea of Icy slush. This was part of the street-cleaning "saving." Adopted policy of not installing fire hydrants on newly built mains In order to show "economy" in water service. Bitter complaints now heard In various districts because of no fire protection. Issued campaign statement to show $1,000,000 saving in water bu reau. "Saving" was due to failure to spend money for new construc tion because new construction was not needed, city having been well covered. Claimed as part of water meter 'fight that city was facing water shortage and curtailment of use was necessary by use of meters. Mil lions of gallons of water are still running into the sewers daily. Inaugurated scheme making property owners responsible for water used by tenants, which policy has made water bureau a verit able beehive of complaining users. To make showing, reduced water rates In 1914 and two months later sold $460,000 worth of 20-year bonds to make up the deficit needed to construct new mains. In two years both before and after people voted against meters, ex pended $10,751 for meters. Indorsed in official pamphlet at last election the vicious single tax measure proposed by ultra radicals. Water bureau policies source of all kinds of bitter complaints from public area to reach their places of employ ment. Many of those applying wore the American colors in their coat lapels. Masons to Bury W. C. . Ileaney. Funeral services for the late Will iam C. Heaney, formerly Worshipful Master of Albert Pike Lodge, No. 162, Ancient, Free and Accepted Masons, will be held tomorrow morning at 10 o'clock from Bolman's undertaking es tablishment. Interment will be in Rlv ervlew Cemetery. The lodge will con duct the funeral services. Parent-Teacher Association to Picnic The Sunnyslde Parent-Teacher Asso ciation will picnic In Laurelhurst Park Thursday, June 7. At the noon hour teachers, retiring and incoming offi cers, are to be guests of honor. After lunch a short programme will be given and plans for the coming year's work formulated. Read The Oregonlan classified ads. SHALL PT1 T" DALY'S ECONOMY IS JUST ' PLAIN NEGLECT Campaign Claims of Saving Explained by Streets Once Kept In Good Shape. OFFICE DEAF TO PLAINTS Residents ot University Park, Ports . mouth and Other East Side Dis tricts Declare Personal Rea sons Were Only Explanation. Campaign claims have been made by Commissioner Daly that he has saved a large amount of money by economical methods In the street cleaning bureau. Those disagreeing with that statement have declared that the reduction of street cleaning cost' has been due to neglect of "the work. One evidence of the neglect of street cleaning was cited in case of Dr. D. T. Summervllle, who, with others of the University Park and Portsmouth dis tricts, have complained bitterly against crosswalks not having been cleaned of mud, a work formerly performed by the bureau. Another evidence of the claims Is presented In a statement addressed to the public by East Siders and signed by Xj. M. Marcellus, 383 Benton street; Alexandrina Maxwell and Jean Max well, of 878 Benton; Mrs. Katrina Southard, 235 Broadway, and E. Dalton, 382 Benton. Letter Addressed to Public. The communication read? as follows: To citizens of Portland, this letter Is ad dressed : In the hope that it may show certain officials are persistently misleading the publlo for political advancement. In the - last few days there has appeared the statement, issued by the office of Com- Tyipii WE PERMIT On Thursday, May 24, 1917, the Central Labor Council, with City Commissioner Will Daly (now candidate for Mayor) present, voted and took active steps to bring about a great strike in the shipbuilding and steel industries for the purpose of forcing the Willamette Iron & Steel Works to abandon its present policy of open shop and become a strictly union shop. The plan contemplates a general strike all up and down the Coast in all industries allied to steel making and shipbuilding. You can readily understand what this will mean. x City Commissioner Daly was present; he did not protest ; he acquiesced in the general plan. He is a member of a local union and of the Central Labor Council. Do we want a man so strongly partisan as Daly as Mayor of Portland? Shall he appoint the chief of police, judge and city (Paid Advertisement. W. mlssloner Daly, that In spite of lower cost, the efficiency of the department of stre.t cleaning- has been raised. How this can be said Is not shown. We wish here only to relate our experiences. East Broadway, Ross street and Benton, In the vicinity of Broadway, have for the past three years been subject to daily In creasing traffic. Broadway, until last year, was macadamized only and not hard-surfaced. Streets Previously Oiled. Previous to the time when Daly took hold, macadamized streets In that neighborhood, as In many others, were occasionally oiled and spnnRied at least once each day. In many districts oftener Although called to the personal atten tion of Mr. Daly many times, the answers which were given the complainants were far from satisfactory and no reasons further than personal ones were advanced for not sprinkling these streets as they had been In other yeara Further, to show the spirit In which his office worked (this two years before elec tion time) Mr. Daly's secretary or soma one In his office, not only gave no satisfac tion to these taxpayers, but became abusive In the language used. For thres Summers mothers In that neigh borhood have broken their backs trying to keep their houses clean, because Daly, to establish an undeserved reputation for econ omy, concentrated the work of the street department on the paved downtown section where expense of cleaning Is slight, and Ignored the rights of the multitude of dwell ers In the unpaved streets. Neglect Charged by Residents. It Is a positive fact that while some neighborhoods had their mecadamixed mum THIS TO BE Wake attorney, who shall handle the cases arising out of this strike? Do you realize what that means? The employes of the Willamette Iron & - Steel Company (and of other allied indus tries) are satisfied with their working con ditions, hours, wages, etc They are not asking for the strike. This is to compel them to unionize. Do you desire to see our new industry demoralized? Our country is crying out for ships. Sixty ships, with a total value of $48,000,000, to be built at 16 yards, are being contracted for here. Shall we under go a series of strikes and boycotts, like Eng land, before we arouse enough patriotism to respond tothe demands of our country? This is a serious matter. If you are op posed to throttling the best interests of Portland, vote against Daly. A. Ross, 1210 East Gllsaa St.) FOR COMMISSIONER filling to give both sides a complete hearing. EVERETT AMES Loyal supporter of the commission form of government. JOHN F. DALY Brings to the office executive ability FLETCHER LINN Record of civic service in unpaid positions is long and distin guished. WILLIAM T. FOSTER Exceptionally able, and deserves indorsement by re-election; R. L. SABIN Work on the Industrial Welfare Commission has made me be lieve in him. Mrs. l. gee Service in Public Library fits him for direction of city affairs; MARY FRANCES ISOM The candidate who knows no "ism." ISAAC SWETT Exemplifies the type in which I have the fullest confidence. JONAH B. WISE Refuses to be swayed from his sense of right by friendship or prejudice. dr. t. l eliot UNITE ON AN EXPERIENCED MAN Richard W. Montague, Mrs. A. C Newill, Mrs. L. Gee, Mrs. A. F. Flegel, Arthur M. Churchill, James B. Holbrook, James B. Kerr, E. B. MacNaughton, Isaac Swett, for Brewster Campaign Committee, 89 Fourth Street. . (Paid Advt) streets oiled, no oil or water-wagon of any kind passed over Broadway In two years, and numerous cases of disease which doc tors traced directly to the filth and dust created by Daly's inefficiency were recorded In that period along these neglected streets. While Portland's hard-surfaced streets may be as clean as they ever ware, there, nevertheless, are still many hundred miles of macadam and dirt streets In Portland, and we feel that as we get no dlacount on our taxes for that predicament, we need and should have the service by the street-cleaning department that we had before Daly went Into office. This Is the sentiment of the majority of the dwellers In the district affected, and this statement seems only fair In the fare of the greater efficiency claimed by the street-cleaning department and air. Daly. 30 ARE IN H0SPITAL UNIT Dr. John- G. Strohm Organizing First-Class Field Corps. A first-class field hospital corps will be that from Portland now being organ ized by Dr. John O. Strohm, if plans along that line succeed. Dr. Strohm has been called upon by the War Depart ment to organize the corps for early service abroad; and the work ot organ ization Is progressing rapidly. The quota for the organization is 80 men. Thirty men have enlisted and other applications are betner considered. lissi si DONE? Enlistments will be from men nurses, medical students and men Interested in first aid and emergency surgery work. Also the organization is in need now of cooks and hospital attendants. Quar ters for recruiting have been opened at 602 Medical building". Itosarians Continue Drills. Participation of the Royal Rosarlans Yom iMter Imes ; - In S Minutes - Vulcanixe perfect, permanent patch on your inner tube in five minutes. Anywhere, anytime I In the wind, rain or snow. Thousands of motorists doing it with the Shaler 5 Minute Vulcanizer. Over 100.000 sold in 60 daps No cement, gasoline, acid or flame. A combustible disc furnishes the heat. The disc is la a metal container with the rubber patch on the other side. You simply clamp the container over the puncture and light the combustible with a match or lighted cigar or cigarette stub. It creates just the right amount of heat to vulcanise a perfect patch, stronger than the tuba itself. 3 jHjE- 5-Mimite No chance to over-cure. No chance to scorch the tube surrounding the patch. A clamp, 12 patches and 12 heat units neatly boxed that's all there Is to the complete outfit. Carry it with you right in your tool bos. You're always ready to repair a puncture anywhere on the road la five minutes. COMPLETE WITH 12 PATCHES AND HEAT UNITS AT ALL DEALERS Tee earn buy additional heat units and you need these at 75 cents per dosen. ORDER TO DAT! Oct a Shale S-MInute Vulcanlser. Complete outnt only el 50. See your Staler. If he Is not yet supplied send direst to ns.ctvlaff dealers ai C A. SHALER COMPANY Slm Mmnmfmcttrrwrm 7 Fourth St. Waupun, Wis. tf Wmrtd'm OlJmmt mnJLmr, res Mmkmrm if in the coming Rose Festival will be dis cussed by the membership at a mee-tlns; at noon tomorrow In the breakfast room of the Oregron Hotel. The Rosarlan drills are being- held each Thursday at the Y. M. C A. at 5 P. M.. and the drill team will be one of the features In every pageant of the Fes tival. Baker will be Mayor. Adv. Vulcanizer You save yourself worry. Yon save yourself money. You make your tubes last longer. You keep them out of the repair shop. Why bother any more with make shift "stock-on" patches r Why keep on buying new tubes when you can get extra service out of your old tubes by repairing them with a Shaler 3-Minuta Vulcanizer. $fI50 9 A