The Edna Herald (Edna, Tex.), Vol. 50, No. 27, Ed. 1 Thursday, May 3, 1956 Page: 13 of 37
thirty seven pages : ill. ; page 22 x 17 in. Digitized from 35 mm. microfilm.View a full description of this newspaper.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
/ r
-*
if!
THURSDAY, MAY 3, 1956
THE EDNA HERALD
Sactian 1 — Pi|« $
Why 95% of the Cities in Texas
Want No Part of "Government-ln-Business
/.
The most recent published report of the Gas Utilities
Division of the Railroad Commission of Texas lists
836 towns, and villages in the state with natural gas
service. ^ et oi>ly/t2.. . barely 5rr ... only one.out of
twenty ... of these communities has a municipally-
owned gas utility. Why?
Voted Down Emphatically
One obvious answer might
be that most city governments
are unwilling to gamble with
the safety and general welfare
of their citizens.
Another might be that
voters have trooped to the polls
in convincing numbers in the
past decade to turn thumbs down on “government-
in-business.'’ Only two months ago. citizens of Mon-
ahans defeated a gas system revenue bond proposal
2 to 1. West Orange voters rejected a gas.bond issue
4 to 1 last November. Supporters of a city-owned
gas system were on the losing end of a 2 to 1 vote in
the Columbus bond election 18 months ago. Before
that, bond issues for city-owned gas systems lost out
2\ 5 to 1 in Alvin. 3 to 1 in Deer Park. 17 to 1 in Angle-
ton, and 11 to 1 in Port Arthur.
To the Promoters Go the Profits
Defeats like these haven’t discouraged the out-
side engineering firms and bond brokers who make
a business of rushing in to promote and encourage
hasty action by City Councils, whose own interest in
<&',
the communities they serve’ may be genuine and
sincere.
Despite what the promoters say. a gas system
under city-ownership is not all milk and honey, as
many communities who started out with the same
rosy predictions you hear today in Edna Have dis-
covered recently.
"Government-in-Business” Buries Its Mistakes
Now. it isn't easy to got at
the fa’cts when you start look-
t ing into municipally-owned gas
/ systems. “Cawernmont-in-husi-
ness” makes no reports to the v
Railroad Commission as pri-
vate utilities must. Since it pays
no taxes, it is not*required to
make periodic inventories of its property to estab-
lish tax valuation. Because it is not responsible to
any regulatory body in the matter of its rates, a
municipal gas utility need not lay open its hooks and
accounts to justify rate increases. It may follow any
accounting method it chooses, and present its oper-
ating and revenue figures in any way that looks,
best. Make no mistake about it '‘governmew in
business” can hide anything about itself it wants to
hide? Too, no one (if he can help it) will stand up in
public and say he has done a bad job, especially
when he thinks it is difficult to prove he hasn’t.
Still, we believe, there are some facts which
ought to be balanced against the glowing reports
you’ve heard about “numerous other” cities in the
gas business.
These communities are examples:
The Bay City Plant a Gift
wig
ft
- Ij
g4 jJM
Obviously one of
the “close cities” re-
ferred to by the Edna
City Council in sup-
. port of the gas bond
proposal, Ray City
assumed ownership
of its "gas utility 18 years ago without
uoirw into debt by so much as a single
penny! The existing system was pur-
chased with his own.money by an indi-
vidual and presented to the city as a
gift. Rav (’itv Gas Co. ljas made money
because 'it started wfth no investment
whatever, owed no one the big annual
paviheuts on principal and interest that
Edna would have to pay. To put it
another- way, Bay City started out for
$800,000 less than Edna will require to
go into the gas business. That could he
the difference between profit and loss.
Robstown Bought at Pre-War , Prices
Robstown was the other city cited
by the Edna City Council as an example
foe pdna voters to follow. Robstown
was able to buv out its existing gas and
electric systems over 15 years ago when
prices were low and with the reported
aid of a JAVA money grant from the
Federal government. The original bond
issue for financing the Robstown Gas
System was just $62,000, or $238,000
less than the amount required to dupli-
cate under City ownership Edna’s pres-
A
ent efficient gas system. Robstown is
in tig midst of a highly industrialized
area immediately adjacent to booming
Corpus Christi. ft is also surrounded
by gas. fields, but even in the midst of
plenty the city re-
quires the posting of
a surety bond by the
s u ]) p 1 i e r i n t h e
amount of $25,000.
The bonding company
was United States
Trust and Guaranty Company, which
has been’ shut down bv the State of
Texas and which appears to be insol-
vent. This was the company whose fail-
ure rocked” the state not long ago.
Surely Robstown customers flow must
be wondering about the status of the
“guarantee” on their gas supply. Inci-
dentally, in spite of the profits claimed
by the municipal utilities in Robstown,
the city tax rate there is 50c per $100
higher than it is right now in Edna!
Brownwood's Rates Raised 89%
Ac cording t o
Brownwood’s own
newspapers, the city-
owned gas plant is
operating at a.loss,,
and rates recently
were raised 89% !
Brownwood’s gas supply still is uncer-
tain, even after spending an additional
$250,000 in 1953 to connect up to a new
3
1
source of supply. The- money was raised
through tax bonds, and every minim un
water customer lias to pay over $9.00 a
year to prop up the-city’-' ga- system,
Magnolia Park (Houston) Leakage
Costs $80,000 a Year
This municipal system-was the
‘subject1 af an art ire in the Houston
Chronicle on. March 19th of this- year.
These are direct quotes: “It I Magnolia’'
-Ua-rk i is a marvelous, e'xan pie of gov-
ernment ownership of a utility . . . NV
bo'dy at G.ity Hall know- just what j ho
gas plant it Worth . . .
No .money was set
aside out of earnings
—as a private com-
pany would do— to
improve the plant.
For years it ran
down. In recent years the city spent
$265,000 in an effort to improve it. But
it still loses 40/1 of its gas from leakage
. . . (The city utilities director) said the
gas lost by leakage last year amounted
to about $80,000. It would .cost $375,000
to replace the leaky mains, he estimates
.. ..Meanwhile, of cour e-, son sbody else
has to pay the* taxes which w ould he
paid by this plant if it.wen* privately '
owned. And the tax sawing is dissi-
bated in the' form of gas escaping from
leaky mains.” Still more recently the
Mayor o-f Houston recommended that
the city gas system be sold to a free
enterprise utility.
It isn’t surprising that you haven’t been told these facts. It’s a
safe bet that the out-of-town promoters who do know have neg-
lected to include these case histories in their reports and surveys.
/ Don’t let "government-in-business” take over in Edna!
VOTE [x] AGAINST THE $300,000 GAS BOND ISSUE!
HOUSTON NATURAL GAS SYSTEM
NEWS FROM
CORDELE
FRED GOPPERT
TGuu-iu. SI. i 'W •. H ' "TS" TVIt'K
home after » pen-ding a few days t
reeuperatms from a U’ujth'ituiiiy
Nay .-, In s .'lad to got- ■iHtfUf and
stall stepping! again
Mr and Mrs John Brunner
and .lean of Houston spent the
weekend with her inuUler. Mrs
,1 \V I .at km and her Ol other,
Floyd's family of Cordele ie
eently ■
Mi .,:;11 Mi,- i Joi.-dd i, iadilis
of thi' Army Signal Chirps are
visiting his urnle-lunl.wife. Mr.
and Mrs A F MullullSan and j
other it lends in Cordele.
Mr and Mi Co o Murphy of j
Houston railed.■!oi a passport as
they drove through on their way
to Mi Murphy s' brother, Holar
Watson add' wife recently
Mrs i 'has Slu-feik of Coi dele
ami son and wife of Port Lava-
ca visited m Rosenbci g a short
time ago.
.Mi - l., A. .\a,,.i- Mrs Sena
Clieiu y and the Ho. - made a trip
to A agktttu and points northwest
reeeiitly .
A i,i . oi; ,,| I,at.i h> l a show
or for Mrs tony hubenka of
Cordeie in loin.i a few days ago.
She received many pretty and
Useful tilings a! that tune
If a certain I dgi worth tobacco
Pipe Stnokcr that lives m Hous-
ton don't stop next turn- through
we re gonna'.’’brow up a Cordele
rigid 'block
dt and Alt, Ifeuh.ii Cor-
nelius and family ot Lolita visit
ed. her aunt, 'Mrs .1 it h'.ew
and other relatives m Cordele
the past Sunday.
file i\an l-'ei,iici - ol
v dir at < hack hone - al t.
to liuxtun end I 'ails a 1
v. :i d iviaim- him attended
one of them (juaatei lior,<- sales'
where' 1 li'ey sell lltciit by the
pound, and not at- any render j
iui.> plhlit price:*.
Mission Services arc being held
at the Sanit Josepur Catholic j
( hni eh in i oi dele lid . cek by
All are invited
Fenner-
i a trip
nr they
Simon*
Insurance Agency
Where Insurance is Not
• Side Line"
1 .aMauve BlTlg phone 2W2
Dr. \V. E. Moore
*’ CHIROPRACTOR *
3211 K .Main
Hours 9 to 5
Saturdays 9 to 12
Phone 2431
*1. .
David C. Whitlow
ATTORNEY AT LAW
(iffjee in Courthouse
KONA
TKX M,
which are
! - also a
gather -Vluyi
! to at I end tin
at-i 30 p. ill
morning serviee
A1: ip.nl. Ivic i i a cl JiiV h.ubeH I
ka of .Sehuh nbur.g iU I ,(he
'\l!”i - Slirfi ■' n , la t 1 inday
Mr and Mrs Fog 'I lioriipson of j
1IIiinible Mi a ,e in l ordele ,
visited them ov ei 'the . weekend. !
l .-. ..l it i, working w.itn an 'Oil 1
Drilling t o.
Mr and Mrs 11 II !’>-.eee of j
taina, the VV lie and I at l- i.d-si 1
a postina.slei s roiivi.-iitnm , in 1
Brazoria Hast Sunday. it, .e... - :
well attended and enjoy’d n> a!
jlaigi: crowd. j
i Mr! and Mrs. Anton Hub » <
j rnolotvd to LaVaca County oi • > .
| combined business and plea- - ,
i trip f eently.
j Tony Kubeuka ami i pen
' day. in ■ Austin a -den l t i ue ,
\Ve* .carefully lolled liie
ib/w uti aad locked Ute.iiooi
He U i lit by. the t know v. ...at •
‘ id e i- I might- ■1
| but so tar have sh)ipe,l pa ,
j eaeii ltrue I was in that locality j,
i!tlh r Ji oul -
’ Hid Hollis Miller of Coril a .
| stopped in while looking : - 1
Millie ot torse here rich f.u
Ji-is that need,thru servo
V\ i a*lend’d -a >trppt t ■ - j
I hdna Cate Monday night u. e !
; wa put on by A e l.d By lie.- I
I amount oi filed chicken that wan j
| consumed I'd say that they at
j lea t acted like a bunch of Metlio j
'di: is . Hardeman Staples recciv-
led a inn v. a tell lor his Ini]
| years of service with The lie
,,110 as d'.u A .1 Sow del s fui -
years, t. appy -Staph -, the iu; ■
et liditor also sp ike oi -to
length of time he dVvTii'.d
paper, One thing about C
w.-.s that lie was always
pftin in his stand' on i *
tact to read lilt* Herald
n ail what Capps stood foi
.tile guests ami 1 he iiorai i
a long and useful place m
' county
It won t be long hr fore
conventions start. There I
i> won't he much of a ti
as usual Then alter ti.
and elections are over ti.'
be a logoi iiollui'ing how
turn out Well, talks,
don’t take pail m these
then you can't blame in i
yourself it you arc not .*•
with Uie way things turn
as you really think best i
Help keep America grc.
you need no apology
MILTON L. COBB
ATTORNEY AT LAW
General Practice
Office Lee Bldg. — Over Tatum'*
Edna i— Texa*
E. T. ROSE----------—r~
Real Estate Investment*
Acreage — City Property
Minerals
Edna, Texas
Cullen B, Vance
LAWYER
1 hcai re Budding
KUNA- - TKX AS
W. T. McNeil
ATTORNEY AT LAW
2u<; .V |- i iJiin St
KUNA ...... 1 I. s iS
Jas. H. Fenner
REGISTERED ACCOUNTANT
i»u. i Vanc-e Callaway Vaace
VANCE & VANCE
ATTORNEYS AT-LAW
Ifose Bldg - Next to Post Office
t: 1J N.A IFXAS
Edna Abstract Co.
ABSTRACTS OF TITLE
Schade & Vance
INSURANCE
Hose Bldg Xi xf ,to Post Office)
Duckett & Duckett
LAWYERS
to
me
a Office.
X AS
INSURANCE
Of-
• needs tex
. m ’ ’ Jce Cherry
Hi.! where your
•ap'pfeeiated
P-
iesi fieri'
.• 3302
4820
Joe Cherry, Agency
JIB
or y«.
WELCOME,
Subscribers
NEW SUBSCRIBERS
Mary iicaid. Oanado
I ( Mij ,’iy. J.oi:>;i
.. \ii!or Sta'.inoha. fH’'-i
i A Kit-'- ,.i I. i s.i ■<
Tracy Woodruff, Vknde
ADDRESS CHANGES. ■
i' i, I’un.i- Star liouti
U'
Va'
William N. Patman
Attorney at I^tw
Office Next To Tax Office
Ganado, Texas
sn
EARING AID
BATfERIES
-cm AU MAKES Of HtAtMO AM
HoaruiQ a• d m—t* wiH
l««ra mol »« *o» carry « eo»pt«»
1-^ ot WorV** b^ftorloo. a a —
I.i^vgol oo<ooiQr> » ofeOMo t*illo,loo MO
"Wd <o roodi' oMrvoo. vua am WaoM*
met aa, -mil ol yowr
or«. happy to offmr tkh
ttmtftl*tm battery tmrvkm f*r 0m
mriNOMl W aid ammt.
FAIRES DRUG CO.
’i , -
Upcoming Pages
Here’s what’s next.
Search Inside
This issue can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Newspaper.
Evans, Chester. The Edna Herald (Edna, Tex.), Vol. 50, No. 27, Ed. 1 Thursday, May 3, 1956, newspaper, May 3, 1956; Edna, Texas. (https://texashistory.unt.edu/ark:/67531/metapth763506/m1/13/: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting Jackson County Memorial Library.