Show M N I 1 RUMORS CURRENT ABOUT DEAL ARE reports Ite ports ome come ito me that the fon con tract maile made in salt lake ilke city last lastick aek between lie tween the town and the blue sit it irrl co Is not a binding liin dins contract be cause it ft expressly states that it is Is not I 1 and further that if the town operates a waater and light and power system ithac it will not be able to reduce the rates As to the contract the only clause which could possibly lie be construed ed as intimating that tile the instrument ins trume 11 t Is not absolutely binding is no 5 herein quoted in substance tile the azree ment binds alie ithe pa parties artles as follows I 1 the company sells I 1 second foot of water from five fire sources for I 1 2 the company agrees to deliver to the town upon demand the water and light s stems as soon as the US gov ov ern merit makes said loan to the lown 3 the town agrees agree to pay ff the company iS with fth interest at 4 on or before five years from date of delivery le livery of the system and such lucli add monal sums as the officials will permit for materials such as pipe wire poles ete etc 4 any of the foot of water not used js a granted to tle the kompany om pany ti 5 completely quoted itji is 1 re that this agreement is tentative and that a more formal he be tween ye tile lo parties artles will in tle the near fu ture lie be executed by alie parties the president of 0 tho the havin re calved authority irom from his board of directors to enter eater into tle the agreement and the president of the town hai ins ing received like authority C town agrees to convey bad back to the company the water right it the federal loan is not completed in a reas enable time 7 7 4 the company reserves the right to accept or reject prices offered ofTe offe reil reI it for material mater lil etc delhery of water right to the town is agreed in no I 1 to lie made within v ten alays and the preliminary clauses set out the fact thit that the company I 1 desires le sires to sell and chajt the town wants ants to buy the water light mater bals etc as indicated and that the town has an all application made to the government for a loan of regarding the contract not being binding on the company it may be realized that lera graph r does not make the agreement signed in by the presidents of the two tw corpora carpon a eions a matter that Is merely an op lional affair no complete job could be made in isac by the officials and tile the ovre ement slimed signed there after sev eral da ani a of waiting could be only pre the word tentative in law all as I 1 understand las ft application here makes the agreement asre ement the on which the final instruments of the corporations both requiring s signing and the corpor alte seals and a attests gions is properly used and may not destroy the binding lAnding effects efferts of tie the agree ment is As to rumors reaching me that it if the town gets the dyste systems ms it will not be able to lower the rates present recent years of operations of the company the revenue received above operating ope ratin crts ants insures good profit the town board lower rates and nd adequate equate service sen ice will insure much greater use without much increase in cost of operation and it further believes that a i new would tor for at least fifteen years henrs re quire little y a pa and V this Is important unimportant an item in vie C corn om banys cost of operations under these conditions it seems to me that 31 monticello may ply olt the S G bofto less the Z SO 0 percent which gunj un der the IWA project it would eive ns as ft a gitt gift and the if the com coin pany may now pay about 6 percent net on n its water licht anil and power paver bus iness on a base of i and also maintain its system without assessment to stockholders as appears pears s evident from reports filed bilth tile the etite of utah the town tonn should lie able tri pay more on a principal no greater sr eater new and rende renderings ren derins liet lel ter service because lie couse it would have more patronage nase and render letter better service tor for ihlen people are willing to pay hence st ft my duty to make thee statements personally as is pres I 1 ident blent of tile town board let the peo pie be the cudse jud 0 o signed chas A burr |