February S, 1908





RECORD  AND  GUIDE





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Copyrighted,




1907,   by




The  Record




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r-n.















Vol.




LXXXL









FEBRUARY 8,




190S.














No.




2082.





INDEX TO DEPARTMENTS.
Advertising Section.

Page                                                 Page

Cement   ......................xii   Lumber   .....................xiii

Clay   Products   ................xlv   Machinery    ..................Iv

Consulting   Engineers   ..........x   Metal    Work.................ix

Contractors   and   Builders......iii   Quick Job  Directory..........vii

Electrical   Interests    ...........x   Real   Estate...................v

Fireprooflng    ..................li   Roofers   &   Roofing   Materials.xii

Granite   .......................xv   Stono    .......................xv

Iron   and  Steel..................xl  Wood   Products   ..............xiii

THE outlook seems to be encouraging for some liberal
and liberating rapid transit legislation during tiie
present session of the Legislature. The local autliorities are
all in favor of such action; and they can depend upon the
support of Governor Hughes aud a large section of public
opinion. Much as one may prefer a rapid transit system
constructed with the city's money and leased only for a short
term, every caudid man must recognize that conditions are
utterly unfavorable to such a policy. In any event the city's
resources must be carefully husbanded. Even if it obtains
the power to issue an indefinite amount of stock for transit
purposes, that power should not be used until New York is
again in a position to borrow money at 3 ^ per cent. Under
the circumstances the most economical and progressive line
of action will be to offer private capital sufficient inducements
to build the additional subways, which are at present our
crying local need. Just how much the city will have to offer
in order to attract private capital is a doubtful question, but
there can be no doubt about one aspect of the matter:
The Legislature should not tie the hands of the Public Ser¬
vice Commisston to leasing subways for any fixed term of
years. There would be no objection to establishing a maxi¬
mum period of 5 0 years with one renewal of twenty-nve
years; but within this limitation the Commission should be
permitted to secure the best possible terms for the city. It
is tolerably certain that a lease of 'forty years, with one re¬
newal of half that period, would be sufficient to attract the
support of private capital; and in case transit corporations
were not subject to such drastic supervision, there can be no
.doubt that such terms would mean a handsome margin of
profit for the lessees. The dubious element in the situation
is the attitude which financiers will adopt toward the in¬
vestment of many millions of dollars in railway enterprises
over which they do not retain effectual control. In any event,
however, tbe attempt to secure such support must be made,
and if the city is obliged to offer private capital larger in¬
ducements because of the existence of the Public Service
Commission, that condition must be accepted with the others.
In any event the subways must be built,
—-----—«-------------•

IN case the Legislature does untie the hands of the Public
Service Commissioners, it is much to be hoped that they
will use their additional power in a liberal and flexible man¬
ner. They should announce their willingness to open nego¬
tiations with any corporation, new or old, that is prepared
to build desirable subways; and they should seek to start the
construction as soon as possible of at least two new longi¬
tudinal routes. But in opening such negotiations, it should
certainly give the first chance to the owners of the existing
subway. The Interborough Company should get the flrst
chance, not because the city owes to Mr, Belmont any special
consideration, but because the city's own interest demands
a policy of this kind. The convenience of its inhabitants and
the prosperity of its business will be best served in case any
new subways are constructed as extensions of or in connec¬





tion with the existing subway. This is the only way an
organic, well-articulated and thoroughly efficient system of
underground transit can be created, and the policy of calling
in a competing corporation should be followed only in case
fair terms cannot be obtained from the Interborough Com¬
pany. Other things being equal the Interborough Company
should be given tlie preference, so that the whole subway
system can be operated as in Paris with such excellent re¬
sults, as a unit. Only in case the Interborough Company
cannot raise the money for additional subways, or in case
better terms can be obtained from some other corporation,
should the Commission establish a competitive system. ' If
it is objected that the Commission is not free to negotiate in
this manner, the answer is that such negotiations can be
conducted without any violation of the law. Once the Public
Service Commission is assured that the Interborough Com¬
pany can raise the money and will offer fair terms it can
lay out routes which are substantially extensions of the exist¬
ing subway, and over which the Interborough Company will
have, becayse of its existing lease, a prior claim. On the
other hand, it can, in case negotiations with the Interborough
Company fail, lay out an independent system which will be
capable of efficient operation. In the end it may be forced,
in order to-stimulate competition, to follow the example of
the old commission and lay out alternate routes, either or
both of which can be constructed according to the results of
the bidding.





SOMETHING may be expected to follow quickly from the
communication which Comptroller Metz has this week
addressed to the Governor of the State upon the methods
pursued in this city when private property is taken for
public uses. For years the general thought has been that
the system is too rudimentary, and too dependent upon the
old idea of the unselfish devotion of the citizen to the welfare
of the state, for meeting tbe complex conditions tbat arise
in a metropolitan city. The proceedings have most often
been spun out to great length, the expenses have been ex¬
cessive, and owners have been deprived of payments for an
unreasonable length of time. On the part of the' city au¬
thorities it bas been observed that the dilated fees of the
commissioners were only a small extravagance compared with
the interest charges that have resulted when cases involving
large awards have been carried along for several years. In
one case, where only ten parcels in one plot are under dis¬
cussion, the condemnation proceedings are now in their fourth
year, and the city is paying interest at six per cent, on
$820,000. To appraise a school site requires sometimes as
many as.fifty or sixty sittings of the commissioners, and it
is said that they generally determine the award by the simple
process of splitting the difference between the extravagant
estimates of the claimants and the inadequate valuations of
the city's experts, and with little or no regard to the value
placed on the property by the Department of Taxes and As¬
sessments, or by the appraisers in the Department of Finance.
It must be conceded that the claimants seldom have cause to
complain of the amount of the awards, which is some con¬
solation for having to wait a long time for their money. In
small towns where condemnation proceedings are of infre¬
quent occurrence, aud where the essential facts in any given
case are patent to all, the system which is being abused here
is possibly reasonably efficacious; and the difficulty is pre¬
sented of obtaining legislation from the State under such
circumstances. The particular request which Mr. Metz makes
at this juncture is for the appointment of a special commis¬
sion to investigate, and to devise a better system;
but the Comptroller's own thought seems to be that a per¬
manent court or commission to appraise benefits and dam¬
ages is the only solution. To achieve this would require a
constitutional amendment, but solely in the interests of New
York City, and it is a question how the electors in the rest
of the State would regard it, and what the attitude of the
judges of the Supreme Court would be. As it is the present
province of this court to appoint the commissioners in con¬
demnation pi'oceedings and to pass upon their reports, it
might  be a good  policy  to  secure their  cooperation in  this

movement.

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SINCE the Parker fire insurance companies have followed
a very conservative policy in accepting new risks in the
congested district, and it is noteworthy that they are bring¬
ing strong influence to bear in favor of the introduction of
automatic sprinklers, and are taking larger lines when these
are present. Later opinion in this quarter holds that the
loss by the fire would not have been a quarter of the amount
if the fire department equipment had been in a passable con-