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WEDNESDAY, OCTOBER 1
Boat Injunction Hearing Probably Be Completed Wednesday Afternoon
Argument of Defense
Beard and Plaintiff
Begins Final Statement
Ben E. Pierce Makes Appeal That Injunction Not Be
Granted—Court Asked to Give Broad Construction
to Powers of the City
Concluding his argument in the
case of Bowdre Phinizy, Landon
Thomas and George R. Stearns,
versus the mayor and city council
of Augusta, et al„ wherein the de
fendants are sought by injunction
from purchasing a boat to be ope
rated on the Savannah river, Ben
E. Pierce of counsel for the city
ngg3gj||||j M jB
DEMAND
pint
Over 100,000 people have
testified that TANLAC
has relieved them of:
Stomach Trouble,
Indigestion,
Heartburn,
Palpitation,
Rheumatism,
Mal-Nutrition,
Sleeplessness,
Nervousness,
Loss of Appetite,
Loss of Weight,
Torpid Liver or
Constipation.
“Ask Anyone Who Has
Taken TANLAC"
For Sale By All Ge*4 Druggist*
TAN LAC
jO pillion Bottles Sold
45,000 Oppendiclfis
Operations By 1 Doctor
German Doctor Retires After 32 Years Week
D Joseph Rotter, a noted German
specialist, has retired after perform
ing 45.000 operations for appendicitis,
according to newspaper reports.
A Treacherous Disease.
Appendicitis attacks at any moment
even persons seemingly in good health.
Usually, however, it is preceded by
stomach or bowel trouble. When
there is an uneasy feeling in the abdo
men. appendicitis can be guarded
against in the same way in which one
guards against the spread of throat
infection—because appendicitis Is an
infection in the intestines spreading to
the appendix. In case of sore throat,
further trouble may often be prevent
ed by using an antiseptic wash or
gargle to fight the germs and a laxa
tive to carry off the poisons from the
body. Just so, one can fight the In
testinal germs and guard against ap
pendicitis—but instead of an antisep
tic for the throat, an INTESTINAL
antiseptic is needed.
Intestinal Antiseptic.
There is now offered to the public
a liquid prewritten having the
DOUBLE action of an Intestinal an
tiseptic and a complete system clean
ser. This preparation, known as Ad
lertka. arts as follows:
It tends to eliminate or destroy
harmful germs snd colon bacili In
the Intestinal canal, thus guarding
against appendicitis and other dis
eases having their start here.
It cleans out BOTH upper and
lower bowel and removes foul matter
which poisoned the system for
months. It brings out all gases, thus
immediately relieving pressure on the
heart. Tt Is astonish’ng the great
A REMINDER
Herald subscribers who are moving this season
should give their “MOVING FROM” address as
well as their “MOVING TO” address.
Phone the delivery STATION from which your
Herald was or is being delivered from—
Central Office, Herald Bldg., Phone 2036.
Station No. 2, Eve Street, Phone 25
Station No. 1, Kollock Street, Phone 2336
Summerville & Monte Sano Delivery, Phone 25
North Augu»ta Delivery, Phone 2036
Wednesday morning in superior
court asked Judge A. L. Franklin
not to restrain the city from pur
chasing a boat that is to be used
for municipal purposes, because It
would be a benefit to the citizens of
Augusta, thus bringing th/fe pro
posed action of city council within
the pale of the general welfare
clause of the city's charter, which,
according to the view of Mr.
Pierce, is within the legislative
scope of that body.
The hearing is expected to be
completed this afternoon.
Discussing the financial feature
of the proposed transaction, Mr.
Pierce took the position that the
tax, paving and sidewalk and other
executions held by the city to the
extent of $74,000 are equivalent to
that much money in the city treas
ury, and further, in order for the
city to negotiate for a boat it is
not necessary for it to actually
have the money, or, as it has been
expressed, "have the money on the
wood."
USES THE CANAL
AS AN EXAMPLE
The case of the city was largely
based on the case of Frederick
versus The City Council of Augus
ta, reported in the fifth reports of
the supreme court of Georgia,
where it was held that the city
could not be restrained from col
lection of taxes on assessments
that had to do with the purchase ot
the canal. Mr. Pierce contended
that if the city had a right to go
without its incorporated limits at
that time to secure the canal and
bring water into it from the bavan
nali river, which was done for the
welfare of the city, and from which
money is put into the city treas
ury, that it also has a right to pur
chase a boat for municipal pur
poses.
Mr. Pierce told the court that the
testimony of Mayor Julian Smith,
to the effect that the boat would
be used for municipal purposes,
has not been disputed, and asked
the court to take this into con
sideration in making up its opinion
in the premises. Replying, Judge
Franklin told Mr. Pierce that he
understood that the boat was to bo
purchased for the purpose of haul
ing freight for the city and to
establish water rates on freight
for Augusta. Mr. Pierce said that
the railroads can not any more cut
their rates to an extent that would
put the boat line out of business,
and that all money saved because
of the operation of a boat would
be of a benefit to the people of Au
gusta.
The position was taken by Mr.
Pierce, that in the event that it
should be found that the boat
could legally haul freight for oth
ers than the city, it would result
in putting money in the city treas
ury, as is being done by the own
ing and operation of the canal.
Attention of th e court was called
to the case where the city of
Philadelphia owns boats for keep
ing its harbor free of ice in the
winter time and when these boats
arg not used for this purpose they
are used for tug boats in handling
amount of poisonous matter Adlerika
draws from the intestinal canal —mat-
ter you never thought was in your
system- Try tt rigot arter a natural
movement and notice how much
MORE foul matter It brings out which
was poisoning you. In slight dis
orders, such as occasional constipa
tion. sour stomach, gas on the sto
mach or sick headache, one spoonful
Adlerika ALWAYS brings relief. A
longer treatment, however, Is neces
sary in cases of obstinate constipa
tion and long standing stomach trou
ble, preferably under direction of your
physician.
Reports from Physicians.
"I have found nothing in my 50
years' practice to excel Adlerika."
(Signed) Dr. James Weaver.
"I congratulate you on the good ef
fect from Adlerika since I prescribed
it.” (Signed) Dr. 1,. Danglois.
"I use Adlerika tn alt bowel eases.
Some require only one dose." (Sign
ed) Dr. F. M. P. (Name withheld by
request).
"Adlerika Is the best In my entire
.97 years' experience." (Signed) Dr. G.
Eggers.
"Cannot describe awful IMPURI
TIES eliminated from my system (by
Adlerika). Feel better than for 20
years." (Signed) J. E. Puckett.
Adlerika Is » big surprise to people
who have used only ordinary bowel
and stomach medicines, because of its
quick, pleasant arid COMPLETE nr.
tlnn. It Is sold by leading druggists
everywhere.
Send for free hook about appen
dicitis. Adlerika Co., Dept. A. H ,
St, Paul, Minn—Adv.
ships in the harbor for which the
city is paid.
Cases were cited where the
state of Colorado assisted in digging
a tunnel under the continental di
vide. In this instance the rail
ways were financially unable to
handle the project, and because it
was for the benefit for the people
of that state, the courts held that
the action of the state was legal.
The case where the county of Du
val, Florida, dredged the St. Johns
river was cited.
USED CANAL BOAT
FOR HAULING GRAVEL.
Among the many things that a
city can spend money for as cited
by Mr. Pierce are for manufactur
ing purposes, building schools, pub
lic halls, securing pure water and
other things. He cited the case
where the city of Augusta uses a
boat on the canal for hauling gravel.
Mr. Pierce called the attention ot
the court to a decision wherein it
was held that a ferry is a moving
highway and that a municipally
owned boat for municipal purposes
would occupy the same position, in
his opinion, the Savannah river is a
highway, he said.
Augusta faces a situation today
that it has never faoed before in its
htstory. Mr. Pierce said, and it is
that of placing navigation of the
avannah river that will mean the
saving of from 20 to 25 per cent of
freight handled into and out of the
city. In answering a question from
the court about a decision bearing
directly on the question at issue,
Mr. Pierce said that he could not
do that, but asked the court to give
a broad construction to the pow
ers of the city charter and in mak
ing up its decision to look to the
future rather than to the past.
Although the primary purpose of
purchasing a boat is strictly for
hauling freight for the city ot Au
gusta, and only for others if such
can be legally done, Mr. Pierce ask
ed the court to consider only the
primary purpose for which the city
wished to buy a boat. The latter,
he said, would flow as a natural
result, rather than a primary ob
jective. He said that the city was
not seeking to enter into the busi
ness of the commercial world, but
to do business for itself.
It was pointed out by Mr. Pierce
that the courts will not interfere
when a legislative body is trying to
function within its legal sphere,
and that whether buying a boat is
a sound economic question or not,
is not a question to be considered,
but whether city council is within
its right in doing such.
Alt.nough the charter of the city
of Augusta does not specifically
designate that the city shall mo
torize its fire department, it has
such a power and docs exercise it,
it was pointed out and that the
purchase of a boat for municipal
purposes Is an act of public bene
it that Is proper for the city coun
cil to legisulate on.
A great many decisions w r ero
cited by Mr. Pierce.
Bryan Cumming. for the plain
tiff. was making the concluding ar
gument at 2:15.
WEATHER COLDEST
FOR OCTORER FIRST
IN MANY SEASONS
Wednesday morning was one of
the coolest ever experienced in the
southeast so early in the season,
according to Wednesday morning's
report of the local U. S. weather bu
reau. The temperature at Augusta
tell Tuesday nig:ht as low as 45 de
grees, going still lower at other
points.
A continuation of Tuesday's and
Wednesday’s fair weathe" is also
piomised in the report cf Wednes
day morning, which says: “Fair
and continued coo) tonight; Thurs
day. fair, slight warmer. ’
Weather conditions over the
country in general are described by
K. D. Emigh, meteorologist of the
bureau, as follows:
‘TI is morning was one of the
eoo.rst ever experienced so early in
the season in the southeastern
prition of the country, the tempera
ture falling to 40 degrees at At
lanta, below 40 degrees ir. moun
tain sections and 42 degrees at
Huron
“Lit'le rainfall is reported tx
cept in northeastern areas."
GOOD PROGRAM
Promised For Thursday at
Lions Club
The Lions Club holds ’!•; weekly
luncheon at the Hotel Richmond
Thursday afternoon at 2:15. The
entertainment committtee has
promised a good program and Sec
retary Kd Danforth has reminded
them that the September commit
tee has set a high mark to shoot
at.
Lion Ed Taft is slated to give the
attendance prize.
The board of directors of the club
will meet in the assembly rooms of
the Board of Commerce Wednes
day afternoon at 5 o’clock, when a
number of important matters will
bo tawen up.
RELEASED ON BOND
J. T. Glaze Will Face City
Court
J. T. Glaze, white man arrested
several days ago and charges of
attempted burglary lodged against
him, was released Tuesday on bond
for his appearance at the next term
of city court.
Glaze is the man charged hy
Juvenile court officials and city de
tectives with inducing two small
white boys to steal.
9TH STREET PAVING
Got Under Way on Wednes
day Morning
Work on the paving or resurfac
ing of Ninth street was bogun
Wednssday morning. Ths square
at the Intersection of Ninth and
Ellis streets was the starting point.
The street is being paved with as
bestophalt and W. F. Bowe, Jr„ it
the contractor.
First Class Hair Cut
Hotel Richmond Berber Shop
Another Carload of
Bumpers Just Received
sl* and $29 »7 AC
Values ..
HERSEY TIRE CO.,lre.
620 Broad St. Phone 284
THE AUGUSTA HERALD. AUGUSTA, GA.
Official Transcript of the Testimony
By Mayor In Boat Injunction Case
Following is an official transcript
of the testimony of Mayor Julian
M. Smith, taken before Judge A.
H. Franklin on Monday in tho in
junction proceedings of Thomas &
Stearns, Handon Thomas, and
Bowdre Phinizy vs. City Council
of Augusta:
Julian M. Smith, being first duly
sworn, testified as follows:
DIRECT EXAMINATION
By Mr. Bryan Cumming:
Question. Mr. Smith, you are
the present mayor of tho city of
Augusta?
Answer. Yes, sir.
Q. Y’ou are one of the party de
fendants in this case?
A. Y'es.
Q. And have made your answer
und tho answer or your fellow de
fendants here to this petition, in
which you undertake to show from
what sources of revenue the city
could provide money to make a
purchase of tho boat as recom
mended by the finance committee
if the finance committee's action
should he adopted by city council?
A. Y’ es.
Q, Now, as 1 understand this an
swer, the city council of Augusta,
in the early part of the year, in
accordance with its ordinances, had
an assessment made of all the
property in the city, and also in
the early part of the year levied a
tax, an ad valorem tax on all that
property for raising the revenue to
meet the needs of the city during
the current and fiscal year of 1924?
That is correct, is it not?
A. The budget was made up at
the beginning of the year. A list
of all the city’s property was not
included in thnt budget, only the
estimated incomes from the sev
eral different departments und tho
rate, baaed on the present city di-
K °q.' i don't know that that abso
lutely answers my question: What
1 want to find out is, in the early
part of the year 1924 there was the
usual and customary assessment of
all the property of the citizens of
the city of Augusta; that is done
every year, and isn't a tax digest
made up from that?
A. The city owns a great deal
of property—
Q. I am coming to that: 1 want
to know in the first part of tho
year 1924, didn't the city in accord
ance with its ordinary practices,
and in accordance with its ordi
nances, have an assessment made
of all the property of the citizens
of Augusta?
A. They had of course the di
gest, but in making up the budget,
I am trying to get at it now, wo
estfma te what the income would be
from certain bills and tax fl fas
that we had on the hooks.
Q. Won't you answer me thi.;
simple question: Didn't the city of
Augusta in the early part of the
year, in accordance with its regular
practice, and in accordance with its
by-laws, have an assessment made
of all the taxable property inside
the city?
A. Of all the taxable property
it did.
Q. After that was done didn't
the city levy an ad valorem tax
upon that property for the purpose
of raising funds lor the city's needs
during the fiscal year 1924?
A. Yes; the tax rate was made
on the digest.
Q. That was in April last?
A. Yes.
Q. That is the only ad valorem
tax digest that the city has made
this year or expects to make?
A. Y'es.
Q. I understand in addition to
the funds raised from thnt ad va
lorem tax the city has other
sources of income?
A. Yes.
Q. So in the early part of the
year the city estimated what it was
going to get from that ad valorem
tax, and also estimating what it
was going to get from other
sources, undertook to form a
budget, as you call It and appropri
ated that expected revenue to dif
ferent municipal needs?
A. Yes.
Q. That appropriation as set
out in your bill amounted within
about SI,OOO of your estimated
revenue?
A, That is correct. I don't want
to lose sight of the fact, though,
Mr. Cumming. that a good portion
of that revenue was only estimated,
and it Is possible, and it happens
very often, that the income from
the city really amounts to more
than the amount that we figured
we had at the first of the year; I
think that will he true this year.
Q. Some times it is leas?
A. Not very often less.
Q But as far as you estimated,
as far as you now know the esti
mate, the tax to be raised, the In
come to be obtained, consumes all
the appropriations?
A. Of course the estimated
amount was appropriated the first
of the year, but I say It is hard to
determine, you can not tell what
you arc going to raise, because a
good deal of the revenue is esti
mated and you can not tell until
the windup what you really are
going to get.
Q. Now, you have undertaken to
say in this answer that there were
certain assets in the possession of
the city, which In your opinion, or
in the opinion of those who were
making answer, you state could be
made available to purchase a boat,
something like $70,000?
A. Yes.
Q. Y'ou said It was certain tax
executions?
A. Yes.
Q. What kind of tax executions
were those?
A. A great big portion of that
was ad valorem tax, some involved
fi fas.
Q, Were those that were issued
for ad valorem taxes were they for
taxes accruing on rest estate or
for taxes accruing on personally?
A. The proportion of the per
sonalty to the realty is about one
third.
Q. About one-third?
A. Yes, sir; so on that basis
about two-thirds of this tax would
be on real estate.
Q. Now you say one-third grows
out of personality; is that on taxes
for the current year 1924, err for
toxes from previous years?
A. That Is the way the digest
has been running for several years.
Q. In other words, those execu
tions on the personality are execu
tions issued for taxes several years
ago?
A. Well, last year some.
Q. Home tho year prior to that?
A. Yes, sir; the further back you
go the arnnller the amount.
Q. Being on personalty it Is very
problematical as to whether they
can be collected?
A I think If you were to handle
it vigorously vou could collect from
80 to 90 per cent, of It.
Q As a matter of fact It has
not been handled vigorously lately?
A. It hse been cleaned up con
siderably; the amount carried over
this year is less than tt has been
in some ten or fifteen years.
Q. Tho executions which grew
out of taxes, or based on taxes
growing out of realty, are they for
the current calendar year, based
on taxes for the current calendar
year or previous years?
A. 1 would say that that was
on previous years.
Q. And to realize on those, if
the property could be found, they
would have to be levied, advertised
and sold?. That is true, is it not?
A. Not necessarily; some times
when you start a proceedings of
that kind [t comes in.
Q. Home limes it does and some
times you have to go to the utter
limit on it ? A. Occasionally you
do, though in a great majority of
instances you do not have to go
that far.
Q. What proportion of those tax
executions ate for special improve
ments, like street paving, sewers or
curbing, and things of thnt kind?
A. I think about ten or fifteen per
cent of it, as well as I remember,
hut I would like to see the figures
to he correct; the figures will
speak for themselves.
Q. Have you the figures here
that you can refer to tn any book?
A. I have here a memorandum of
it: these are the comptroller's fig
ures. The amount of the $74,000,
which is for curbing and sidewalk,
is $10,767.
Q. Isn't it true that under an or
dinance of the city of Augusta the
persons against whom those exe
cutions are issued, and the prop
erty against which they are issued,
have several years in which to pay
It up? A. Yes; they have that
right.
Q. From three to five years? A.
No; 1 think the first payment is due
when the hill is rendered, and then
they have four years in which to
pay the remainder.
Q. Five installments to cover »
period of four years? A. Yes.
Q. Do these executions amount
ing to some SIO,OOO, the defendants
in them would have four years from
tho date of the execution in which
to pay them up? A. Very often
when it gets into this shape though
it is largely because the tlrst pay
ment has not been made. Of
course, when the first payment is
not met within the time then the
whole bill becomes due and pay
able.
Q. As a matter of practice,
thougn, they are permitted if they
come across promptly, to pay it
within the four year period? A.
That is not the law.
Q. 1 know, but as matter of prac
tice? A. Not necessarily.
Q But as a matter of practice,
if they exercise reasonable prompt
ness that is done? A. That is done
in some cases. Very often when it,
works into that shape you ask the
party to pay all of it and he knows
that is the law and you get a good
deal of it collected, not all of it.
Q. Of that $74,000 of tax execu
tions, are any of them pledged to
secure a loan for the city? A. No.
Q. Are any of the paving execu
tions, or the special Improvement
executions, amounting to something
over SIO,OOO, are they pledged to se
cure any debt? A. No.
Q. If your answer under tho head
of exhibit “C" there is given esti
mated Income for 1924, and among
those estimated incomes are cur
rent taxes, $244,565.50, and other
taxes $20,000. Now, isn't thnt $20,-
000 that you estimate to come in
embraced in that $74,00u? A. No,
sir; at the present tlrno the $74,000
on the books now Is vary probably
the net amounts outstanding, which
has not been paid, and the $20,000
estimated Income from that amount
was very probably from a larger
amount than this.
Q. Under that same exhibit you
have "Extraordinary Income and
Appropriations," and under the col
umn "income” you liavo got Interest
$469,131. I must confess 1 don't
understand that. Whore docs the
city get interest a* coming to that
amount? A. I would have to sco
that statement. The Income for In
terest why, the $469,000 *s what we
laisrd to pay Interest and sinking
fund, and for retiring any bonds
that we may have to retire during
the year. We have to raise that
amount, and of course to make the
budget balance have to charge it
on both sides.
Q, Now as a matter of fact that
469.000 is a part of that total of
$886,000, which you estimated
would come In in tho ycur? It le
not In addition to it, it is part of it?
A. Well, the tax rate Is divided Into
three classes; you have to assess
now to take care of tho principal
and interest and sinking fund, and
that is where this income is from.
Q. In other words, that $489,000 Is
not Iri addition to the $868,000,
which is given as the total of your
estimated Income, but It consti
tutes a part of the $888,000? A.
That is correct.
Q. I am not clear yet about this
Item you have down here as in
terest, You have in paragraph 3,
it is on page 5, you are responding
to questions propounded in plain
tiffs amendment, und you say In
that the tax digest for the city
amounts to $48,913,000, and that the
rate is 1.80 per thousand, and that
would raise $860,435. Now. In ex
hibit "C” the sum total of your es
timated income Is put down at
$888,049.10. An a matter of fact In
this exhibit "C” on top of the sec
ond page of it you have established
income to cover $244,665, yet In an
swer to paragraph three you eay
you are going to get In $888,000?
A. On Incomes from all the depart
ments, all the sources of revenue.
This Is Just simply a budget here.
Q. In answer to paragraph three
you nay that your assessment Is SB,-
000,000, and that your rate In 1.80,
and the income from that is SBBB,-
000, and thnt will show that is cor
rect? A. Yes, sir.
Q. And exhibit "C,” when you go
to put there your estimated Income,
vou put down an estimate to come.
In from taxes only $244,000. Isn't I
that explained by this: That under
the extraordinary Income you have
that item Interest. $489,111, that is
really no additional income, but
that Is part of that total of the
taxes received from the ad valo
tem tax, and being added to the
$244,000 makes the total amount of
the »d valorem tax? A. The ex
traordinary Income and appropria
tions are fixed; the total amount
levied for all purposes for the
amount stated here, the SBBB,OOO.
Q. Now, we will pass on for the
time being. You naturally as exec
utive head of the city of Augusta
have been much Interested In this
action for operation of a boat on
the Havannah river? That Is true
is It not? A. I am, very much; I
think it would be the very best
thing the city could do to build up
the city and to bring the larger di
gest and bring more people here 1
don't know of any one thing better
you could do to do that than to
bring a hoat on the Savannah riv
er.
Q I understand you are very
much Interested in It. A. From tha
city » standpoint.
Q. Y'ou are naturally only look
ing at it from the city's standpoint,
as you are mayor.
Q. Is it your understanding if a
boat was purchased in accordance
with this resolution, that it will bo
used as a common carrier of freight,
not only for the municipal corpora
tion owning the property, hut for
any other shippers of freight that
may desire to patronize it? A. My
first interest representing tho city
is for the city to have a boat for its
own purposes. The city of Augus
ta in the last two years in its pav
ing program has handled a million
tons of freight.
Q. —That is all in your answer?
No, sir; 1 don’t think this part of
it is in the answer. The paving ma
terial has amounted to one million
tons in the last two yeni'H, and the
City of Augusta has various other
supplies to haul, and needs a boat
for its own personal benefit. It is*
true that the outside proposition
bus been discussed, but thnt has
not been in my mind. My principle
idea in supporting the boat line is
for the city to handle it» own freight
and be handlad at a lowar price,
we can eave money, and any de
velopment that may come on ac
count of having water transporta
tion would enlarge your city, en
large the city digeet, and will les
sen the tax on the people living
Here now, and I think it ie the only
practical thing to do; I am fully
convinced of that.
Q. —Please answer my question:
'lsn’t it in contemplation, as far as
you understand, that Ibis hoat will
act as a. common carrier of freight
for the public generally?
A. —Well, If the city had a boat
Q. —Please just answer my ques
tion?
A.—lt may be to tho city's ad
vantage for it to carry outside
freight, but the particular reason
tha city ia after it is for tho city's
own benefit: that ia why I am
aupporting it.
Q. —You are not prepared to say
one way or the other whether that
would follow as a necessary result
of this plan, or that boat would
become a common carrier of freight
for anyone desiring to ship?
A.—lt might be to the city’s ad
vantage to do that.
Q. —I am asking whether it is in
contemplation that it be done?
A.—No, sir. Council does not in
tend to exceed its legal rights and
we are not going to do that.
Q. —But you do contemplate
buying a boat and using the city’s
money to buy a boat?
A.—We contemplate securing a
boat or barge, or boats or barges in
tho interest of ths City of Augusta
itself, for hauling ita material.
Q. —That Is to bo operated on the
Savannah river between Augusta
and Savannah and way stations?
A. —It may go to Norfolk. Jack
sonville or Miami.
Q.—Any place that could be
reached from Augusta by water?
A. —That would be an independ
ent carrier; if we got the channel
here that would be a matter for
the independent carriers.
Q. —I am asking about the city’s
boat: Y'ou contemplate operating
that between Augusta and Savan
nah on the Savannah river, and way
stations?
A.- You rou’dn't haul the city's
material from Savannah unless you
ran it to Savannah.
Q. —l want to bring it down to
the point?
A -F thought I had answered that
question.
Q. —You enlij it would bo operat
ed on the Savannah river. You
know the Savannah river Is 300
miles long, und I want to know if
tt was to the advantage of the city,
the city could buy It for Its own
use and advantage, and It seems
to me they would have tho right to
operato It wherever they thought
best to benefit the city.
Q. —Tha city as a municipal corpo
ration would have no freight to
transport away from Augusta?
A.—Thor# would be some.
Q. —Almost negligible?
A.— Yes, sirj it woi>!d be almost
negligible.
Q. —Mr. Smith, Is it not true that
Jhe city council of Augusta,
through you as its mayor, or some
of Its other agents, have already
been negotiating for the purchnso
of a boat or barge?
A.—We have only asked for bids
on blue prints that we have had
secured, but as fur ns anything
tangible is concerned there has
nothing been done whatever.
Q. —Have you gotten any bids on
the kind of boat you desire?
A.—Yes, sir; we have blue prints
and estlmntes. Well, we have not
had blue prints, we have not gono
that far.
Q.—You have had bids?
A. —Not in the way of bids, Just
for the Information of the com
mittee. The city has never asked
for bids.
Q. —Has any tentative contract
been entered Into?
A.— There has not.
Q. —But has any been submitted
either by the city or by others to
the city?
A. —There have been no plans
submitted from any source what
ever.
Q. —No contract?
A. —No contract whatever.
Q. —Hubmitted with a view of
having It executed?
A.—No, sir.
I
CROSB EXAMINATION
By Mr. W. M. Howard, Attorney
for the City
Q. —You were asked about, an
Hern that, appears on that exhibit
"C" of $244,000, on top of pnge two
of that exhibit, appropriations con
tinued for 1924, you have here, the
first Item Is "Taxes Current, $244,-
586.50"? Now, how do you arrive
at that figure? Isn’t that 6 per
cent, on your digest?
A. —That Is correct j the law al
lows us to assess five mills for
current expenses. That is five
mills.
Q. Now, your next Hem going to
make up this total of $887,376.64, Is
marked taxes and that Hem Is $20,-
000? A. Yes, sir.
Q. Is thst or not an estimate of
what would be collected or proba
bly collected of taxes due and un
paid? A. Yes.
Q. The next l(em Is "J'enalty
Taxes on Taxes," and that Hem Is
ss,ooo—whet is that? A. That Is
the penalty for non-payment.
Q. And that is the proper esti
mate for that? A. Yes, sir.
Q The next item Is "Traffic Bu
reau?” A, That is an appropria
tion.
Q. Now then your Tourist (‘amp,
Is thnt an appropriation? A. No,
sir: that Is an income.
Q. The next item Is Tourist
Camp *soo, that is Income? A
Yes, sir.
First Class Hs!r Cut
Hotel Richmond Berber Shop.
Q. The water works operation is
$187,000? A. Yes. sir.
Q. That is the estimated income
of $888,049? A. Yes.
Q. Now, as a matter of fact, those
figures will not give you that sum.
will they? The $244,000, etc., and
that added to the previous estimate
income makes your total estimated
income of $888,000? A. Y’es.
Q. And the total appropriations
of that specific, income $887,000, or
wlithin a SI,OOO approximately less
than the estimated income? A.
Yes, sir.
Q. These items of tax executions
for taxes and for curbing and for
sowers, they are unpaid, which you
set down in your answer as amount
ing to approximately $74,000? A.
That Includes everything, taxes,
curbing and side walk.
Q. Now, I understand you to say
that no part of that $74,000, cover
ing those three items, has included
in it the $20,000 appearing as taxes
unpaid and appropriated for the
year 1924? A. I would say not.
Q. None of that is? A. No. sir.
Q. Are those particular assets de
rived from those three sources ap
propriated to any other obligations
or debt or current expenditures for
the city of Augusta? A. No. sir.
Q. It is not? A. No, sir.
Q. You were asked, Mr. Smith,
and liavo you any reason to believe,
nr have you any knowledge, und
from that knowledge and opinion
that that amount to be derived from
those three last named sources is
not collectable? A. I have not.
Q. From everything that you
know it is collectable? A. Yes,
sir; we carry it as collectable,
Q. You know nothing to the con
trary? A. No, sir.
Q. You were asked whether it
was in contemplation for the city
council to use its hoat in tho trans
portation of freight for persons or
corporations other than the city
council of Augusta. I will ask you
whether or not the city council 1«
advised and in accepting that ad
vice, stands on its legal right to buy
and use a boat, is limited to the
city's purpose as a city? A. It is.
Q. 1 ask you whether or not you
were also advised that, if it wero
profitable tor the city to use
that hoat in the transporta
tion of freight for other per
sons not interfering with the use
of it whether or not that could be
legully done? A. If it could be
legally done I would sny the city
ought to do It and would do it.
Q. —You were asked whether or
not the city's use for a boat for
the transportation of freight would
not he confined to Imports and that
its exports would he materially
negligible, and you answered that
the exports would he negligible,
consisting simply of the city's
freight?
A.-—Yes, sir.
q,—i nsk you whether or not if
(hern Is no transportation on the
river, the Savannah river. If tha
river as a channel for commerce is
no longer In use, because there ura
no boats upon it- I ask you what
etfect thnt fact would have on the
rail rates on freight coming Into
Augusta and moving out of Au
gusta?
MR. CUMMING: I won't under
take to argue the point, Yout
Honor, hut I don’t wish to be cut
off from any of my legal rights,
and we wish to object to that testi
mony on the ground that It is Ir
relevant. We don't consider tho
question is before Your Honor to
determine whether or not as an
economic proposition this may or
may not be desirable to do. The
thing we came hero to discuss is
whether It Is a legal thing for tha
city to do. Therefore, I think any
consequences it may or may not
hnvo upon freight, rates, any ques
tion of the desirability of It from
an economic point of view Is Ir
relevant and I wish to put In my
objection nnd Insist on It. Prob
ably my argument will cover It, hut
I rim now making the objection and
insist on it.
COURT: I will let it In on the
theory that If the city of Augusta
lias freight to haul and could haul
It over a boat linn or over the river,
or by the river, and that It being a
navigable stream and had no boats
on which to haul It, then under the
ruling of the Inter State Com
merce Commission they would be
charged the railroad straight rail
rate instead of having a water
rate, and I let it on the theory
that it would tend to Illustrate
Hie fact the benefit of a boat
would be to the Interest of the city
of Augusta.
MR HOWARD:
y.--What then would he your an
swer to that? As a matter of fact
does the absence of actual and con
tinuous navigation of the river be
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tween Savannah and Augusta have
any effect on the rail ratds charg
ed to shippers, the city included, by
rail, all rail?
A. —Always the difference in wa
ter haul and rail haul is from 20 to
25 per cent, and the city of Au
gusta would save on the material
It hauled by this boat approximate
ly, I will say from 20 to 25 per
cent, in the freight.
Q. —Now then, does the fact that
there is actual and continuous na
vigation of the river between Sa
vanah and Augusta—
MR. CUMMING: I don’t wish to
get to my feet, Your Honor, to ob
ject to each question, but I wish it
understood that I am objecting to
all of these questions on that gen
eral line.
COURT: It Is understood that
counsel is objecting to each and all
of these questions touching these
railroad rates or freight rates that
would be obtained if they had a
boat line.
Q. —Now then, Is it a matter of
fact that without actual and con
tinuous navigation of the river be
tween Savannah and Augusta, by
bouts or vessels carrying freight
that the rail rate in and out of Au
gusta by all railroads entering it is
higher than those rates for similar
commodities to similar destina
tions, are greater in the absence of
navigation than they are with navi
gation?
A. —Of course the freight rate
structure and arrangement is a
question that has been and is be
fore the ountry now, ns I under
stand it. I may not he correct in
this, but as 1 understand it, the
tall rates which will go Into ef
fect —as a mutter of fact the rail
rates are all up in the air, water
rates will assure better freight
rail raes.
Q.— Speaking of the past, leaving
out any speculative feature of any
dealing with the future, speaking
of the past, is there in your ex
perience a higher rate by rail or by
water at non competitive points?
A. —Yes, sir; all of my past ex
perience, and the history up to this
time of Augusta freight rates is
that on account of our river trans
portation that tho City of Augusta
has benefltted on every pound of
material it brought in here, regard
less of whether it was by rail or
by water.
Q. —Is it not a, fact that the
practice of the railroads has been
where there was water transporta
tion on the river to Augusta to sur
prise there normally high rate to
the Igat rate and it was made equal
for Iho same thing and same class
of commodities?
A. —Vos, sir.
Q. —And that difference amount*
to something like 20 or 25 per cent?
A.—lt is certainly that much, and
very probably more.
Q. —That applies to rate* In every
direction?
A. —Yes, sir; on every article that
conic* in here, whether by rail or
water. N
Q. —It the city of Augusta had
need to *hlp hero for it* municipal
purposes say 1,000 tons of freight,
but the shipping pointof that greight
was inland, somewhere in the
northeast or southeast, or what not,
not coming over the water route,
■would the City of Augusta get the
benefit of that water rate?
A. —It has gotten the benefit of
It.
Q. —If In abecnce of water trans
portation on the river the effect
has been or will bn to fix a rail
rate higher than the water rate,
and If tinder the condition trans
portation was restored on the river
by the city purchasing and operat
ing a boat in its own interest, would
or not the city get the benefit of
the competitive or water rate, al
though it did not make that actual
shipment by boat, but received It
by rail?
A.—lt would.
Q. —It would not then be neces
sary for the city In order to make
the saving In freight to ship all of
It* freight, no matter what its ori
gin of shipment, was toi ship It all
by boat?
A.—No, sir; It would not bo
necessary to ship it all by boat in
order to got the benefit of tho
water rate, but would get it any
way.
fContinuod on Back TVigel
& SUMMER COLDS I
L CHENEYS J
■^XPECTOKANT