A Special Meeting of the City Council was held this. \evening at the above named hour; present His Wore.hip =ta

Transcription

1 EVENNG s.0 o oock S.E S S 0 N COUNCL CHAMBER, CTY HALL, August 9th, 92. A Speca Meetng of the Cty Counc was hed ths. \evenng at the above named hour; present Hs Wore.hp =ta. \ayor Parker a.nd Adermen Cowe, Wh tma.n, Aokhurst,. \Fnay, Kurphy, Sanford, Bssett, Regan, Schaffner, Cameron, Gudford, Soanon, Rtche, Power, Mason and.godwn. \ The Counc was summoned to oonsder Hydro-Eectrc Power. \ LST OF HEADLNES. (For the purpose of ready reference the st of papers submtted and the st of other headnes are a ~noorporated n one. schedue at the end of the meetng). \.. t DAYLGHT SAVP TJ,@ \ Joved by Aderman Power seoonded by Aderman Jason! that Hs Worshp the Mayor be requested to announce n the newspapers that the so oaed Dayght Savng Tme \under whch the Cty has been operatng snce May 5th,. \ \92 w oease at mdnght on SUnday September 4th,92 when \ a. munopa. oooks w be a.d.vanoed one hour and. \from whoh tme a ovo actvtes w be reguated \by AtartO standard Tms. Moton pa.seed unanmousy. Koved by Aderman Godwn seconded by Aderman CoWe \that reports from the Commttee on Works re Tenders for ourbs a.nd. Gutters and re Street Pavng Repars be now. pon dered. Moton passed. CURBS AND GUTTERS TENDERS Read reports commttee on works a.nd Assstant Cty Engneer re tenders for curbs and Gutters. -:

2 ., August 9th, 92. O ty Works Offce, H Hafax~ N.s. August 9th,9S. -~{ ; ~o the Cty Counc. aen t emen: _.;.! The attaohed report of the Cty Engneer recomm endng acceptanoe of tender of Stockey Constructon Oo. :for concrete curb and gutter was approved and recommended ;to Counc ~or adopton at a meetng of tha Works Commttee hed ths day... A.F. esservey, Cerk of Works. t t {;t 0 ty Engneer a Off oe,,,. t~ : Hafax, N.s. August 9th,92.~ ~~~ :r.w. ~ w. Doane, Esq,.,.\ :.: Cty Enfneer, ~~,, 0 Y W; # ~!Dear Sr:.- ~.:.. beg to report that n response to an advertse W ment for ourb and gutter two tenders were rece:lved as ~: fo ows:~!~;: Concrete Curb Concrete Settng. Settng ~V:. & Gutter wth- Curb & Grante Grante For ~~; out bars. Gutter wth bars Ourb Gutter Overhau f~ per Ln. Ft Per Ln. Ft Per Ln. ft Per L. ft.per ou.,::j.,,,(~ Stockey Oon~ ~ struot on Oo. $.50 $.75 $.50 $.50 $.25 fj! N.Dasckano ~ & Son *~~ t s recommended. that the Stoakey Constructon f~,oo., beng the owest be aooepted. ~~: H.. Johnston, Assstant Cty Engneer. Koved by Aderman God.wn seconded. by Aderman Rtche that sad reporte be adopted. Moton passed. STREET PAVNG REPRS. Read reports Commttee on Works and Assstant Cty ;Engneer re Tenders for Street Pavng ~epara... ~,,.. ~ ~, ~J, : ~ :. :-. F ~.;~ 0 ty Works Offoe, ~. Hafax, N.s. August 9th,9~ f~,._;the O ty Co~no. ~ :Qen t emen :- ~~ At a meetng of the Works: Commttee hed ths f!,qa.y the attached report of the 0 ty Engneer reoommendng ~~ :aooeptanoe of the tender of the Canadan Btumnous Pavng ~:ru ;Oorporaton Ltd. for repars to. paved streets, was approved. j;~ and recommended for adopton..t~ A.F. Messervey, ~ Cerk of Works. ~ ~,,,,., :! ~.\; ::::~~ ~. ~}. sr:. ~r r.., t.~ ~ ~~. :::,,., ~j,.,t.., ;>., n,; }\ /f ~; ~~r ~!~.a-: A,, r~; ( "~ fo ~J ~ t:. f~... d,,f. e" ;,j,.; " \ft f\! ~:: ~! ~.!4 t

3 ... ~.:. f ; \. <( y.,,.,,, August 9th, 92. j F.w.w. Doane, Esq., ; Cty Engneer c t Y Dear Sr:-..,. Tenders were receved from the Canadan Btumnous Pavng Corporaton Ltd., and the Fraser Pavng and. Constructon Oo. Ltd., for reparng and renewng the surfact of pavtd streets.. A comparson of the tenders shows that the tender of the Canadan Btumnous Pavng Corporaton Ltd., s the owest, and s recommended for acceptance.! \.. H.w. Johnston, Assstant Cty Engneer. Canadan Bt.Pav~g Fraser Pavng & stmated Corporaton Ltd, Constructon Co. Ltd. enttes Rate Amount Rate Amount 2 top bnder under 50 sq. yda. 860 $3.35 $2,aa.oo $ ; top bnder.. over 50 sq~ Y!a , ,, top under 507fc.ta.. 3~ , : top over 50,q.yds , $4, $5, Moved by Aderman Rtche seoonced by Aderman Godwn that sad reports be adopted.. j M~ved n amendment by Aderman Murphy seconded by!aderman Scanon that the reports be refe.rred back to the... J.. ;commttee on Works and that sad ~_ornmttee make arran&e ments to do the work tsef by days work. The amendment s wthdrawn. The or gna moton s put and passed. HYDRO ELECTRC POWER Read mnutes of a meetng h~d August 8th, 92 Speca Commttee on Hydro Eectrc Power n whch a :ncorporated a ~~orty report of sad Commttee. A meetng of the Speca Commttee on Hydro Eectrc :was hed as; nght n the Mayor a Of foe, the foowng ;members beng present; Hs Worshp the Mayor, Charman, ;Adermen Rtche, Whtman, Regan, M.urphy,,. Godwn. Oty :Engneer Doane, Assstant Cty.Engneer.Johnston, Oty :sootor Be, Oty Eeotroan Durng,, Mr. P. Ooptt. Aderman Godwn, Actng Seoretary

4 August 9th, 92..! The Secretary was asked to read the foowng corr- t espondenoe. between Aderman.J. w. Regan and Mr...T. Mao :~r: re th,, Charman of the Board of Pubc Uttes as ::( foows:~ Hafax, N.S. Juy 20th,,92e. Ur R. T. Ma.o re th, t~ Charman Board. of Commssoners,, :jr~ Pubc Uttes, ~~:.... Technca Coese,Sprng Garden Rd. " )}. jdear Srs:~.,.n the event of the o ty of Hafax undertakng the operatng of tramway nes or the dstrbuton of t eectro energy for ght and power, kndy advse f the O ty.. w be free.\ to fx rates hours and. freq_uenoy of.,servce, makng extensons etc., wthout the approva of!the Board of Commssoners of Pubc Uttes. n short, w munopa.operaton n regard to!rates, servce, etc, be n any respect dfferent from prvate company operaton! n vew of the present dscusson n Hafax a cear repy w be apprecated. John W. Regan. * * Aderman John W. Regan, Board of Oommssoners of Pubc ~ ~ ; Uttes, Hafax, N,S. ~ Juy 22nd, 92. O/o Canadan nvestors, Ltd.. ),:.. 0 t Y. ft!dear Sr:~ ~ your etter dated 20th nst. receved ths morn- : ng and n repy to your enqury have by drecton to. ~Qf.! say that by Secton 2 (a) of the Pubo Uttes Act; any ~~ O ty, ncorporated t.own or munopa ty "that now or here- ;. aftert owns or maytownf, topherated, matnage otr contro any.:..;:~.:.;. :!pan or equ pmen. or e pro uc on, ransm as on, de~, yery or furnshng heat, ght, water or power, ether t ~ dreoty or ndreoty to or for the pubc" s defned.~f~j to be a pubc utty and as to rates and servce, s. J.! theref<;>re subject to the reguato ry provsons of the Act,. W~ the same as a prvate corporaton, furnshng smar t;~ servce. There appears to. be no egsaton exceptng the \~, Cty of Hafax, or any other Muncpa corporaton oper- ~~! atng a pubc utty n the Provnce from the reguatory!h provsons of the Pubc Uttes Act, and n the abenoe -;; j of suoh egsaton, have by drecton further to say W that n the event mentoned n your etter the 0 ty of Ha-,n: fax woud be _subject to smar reguatons. as other mun- ; cpa and prvate utty undertakngs. ~ L, B. Tayor, ~: Seoretary, t,f; After some dsousson t was moved. by Aderman ""Rtche[~ that the Commttee reoortrnend to Counc that the Cty of j Hafax take over the Hydro Power Deveopment. Ths moton { was ae oonded by Aderman Murphy.. Before the moton was put.:j jthe secretary was asked to read the_ Resouton embod.ed n ;~ the Mnutes of Oouno June 6th, 92 page 60 as foows: ~ ~ \~ tt-. ;~~ ~;,.4 J j\f ~r ~,~ :}~ :. ~~ ~~;.}; :f.,, r.~,,., ~~; t;.- t..~~,~ ~ ~\ t~ ;?~!.~~. T ~ ~ J;\, ~(:: frj ~t. f ;. ~.: ft *: t: M d _ ~!~ ~! "A!

5 August 9th, 92. -:.,. ~ ; Aderman Regan submts the foowng amendment:.~. RESOLVED the hydr~: queston be referred to a Oomm ttee.~; consstng of the Works Commttee and Tramway Fares Comm- [ ttee to mme~atey oonfer wth the Loca Government, and.; w th the Tramway Company as to the reaton of the Hydro fr: queston to a satsfaotory settement of the kndred matters ~t of tramway fares,. eectrc ght and power rates, street ~ :Pavng and pavng tgaton and endeavour to ascertan on.~~: jwhat. terms and under what measure of contro of rates the.!.; tramway company w.undertake to dstrbuton of the hydro; :::t: the sad Commttee to report to.counc wth the east ~~; possbe. deay and tha~ pendng such acton under ths?!resouton that the Power Commsson be respectfuy request-t ed to not concude any contract wth any prvate company. r~: \Wth respect to Hydro Eeotro dstrbuton n Hafax. }.. The amendment s moved by Aderman Regan and seconded M!by Aderman Power. ;f Moved by Aderman Murphy seconded by Aderman Scanon!that both the orgna resouton and the amendment be ~ Jreferred to the Commttee on Works for further report. :ff.!aderman Murphys moton s put and ost. Aderman Regans ~! [amendment s ;ut and passed. ~~ ; ~ ~ ~ * The fu report was then read and moved as an amendment by Aderman Regan seconced by Aderman Whtman.. Hafax, August 8th,92e To Members of the Cty Counc.,. Your Speca Hydro-eectrc Commttee was apponted ~!by resouton of Counc June 6th. as foows: ~ : RESOLVED the Hydro queston be referred to a Oomm ttee fr consstng of the Works Commttee and Tramway Fares Comm- ~ :ttee to mmedatey confer wth the Looa Goverxµnent and t~\ w th the Tramway Company as to ~he reaton of the hydro ~:;; q,ueston to a satsfactory settement of the knd.red matters,.. ~!of tramway fares, eeotro ght and power rates, street. ~ pavng and pavng.tgaton and endeavour to ascertan on.~~!what terms and. under what measure of contro of rates the :! tramway company w undertake the detr buton of the hydro;;~ :!the sad oomm ttee to report to Couno wth the east poss- f~. * be deay and that pendng such acton under ths resou- ~!ton that the Power Commsson be respectfuy requested to ;~!not concude any contra.ct wth any prvate company wth t\!respect to Hydro-Eectrc dat.:ttbu.ton n Hafax!\ ( Your Commttee have gone fuy nto the matter. They,~~ jhad!. an nta conference at whoh the Premer, Honorabe :~~!Mr. Murray presd d. There were present representatves!~!of Nova Scota Power Commsson and Nova Scota Tramways ~J and Power Co. Ltd., and members of Legsature represent- ~ ng Hafax County. A genera exohange of vews took paoe ~: n whoh the. Premer took an actve part. ~ Your Commttee had oonfere~ces wt~ Nova S9ota Power % Commsson and. wth Nova Soota Tramways and Power Co. Ltd..!~!foowng whch a number of questons n wrtng were ~ submtted. These have been pubshed.. f~ The repy from the Nova Soota Power Commsson empbas- :~ zes severa ponts n regard to the St. Margaret s Bay ~ {t. ~. ~\,:,t~.,!{t~,,( ( ~ ~f ;~.!!~~?, f ~. ; t ~t ~.f.\.~j ~

6 -;./~.. ;! August 9th, 92., ".~: hydr~ eectrc deve_opment whch can be brefy summar- ~\ xed ~{ The Commsson does not thnk t advsabe to con {r! sder a ~horter contract than thrty years. f J; The.Commsson does not favor a esser prce than ::~!$200,000 per annum by omttng snkng fund.. ~ %.. The Commsson w se es s than the tota estmat ; ed deveopment of 0,000,000 K.W.H. at proportonate coat~! The. Commsson, cannot guarantee amount of power to ~~: be devered.. r The Commsson have decded that n the deveopment t~"!of the st. Ma~gar.ets Bay Power, they are actng n the J~: ;capacty of a trustee for the pubc and. the tte to the /;); jproperty shoud. be. retaned for the pub~o. -f.. r.. ~ ~. Sev~ra ponts n the Companys etter. are concsey :t presented as foows:..... ~~ The Companys power house cost ast year was $32, ooo; ~ :average.prce of coa was $8.0 per ton and 7, \~ ;X.W.H. were produced. The. power house cost per K.W.H. was J: ;.89 excudng taxes.; nterest charges an: deprecaton. ~. The Company offers to dstrbute. the.hyd.r. eeotro t?f current at oost. A rates for ght and power to be r~!determned by. Board of Pubc Uttes based U)on an n""* ~dependent vauaton of oompp,nf s physca.property. to be ~;!made by sad Board.. ~.. SUoh rates to be fxed wthout reference to the Com!anyts captazaton of ssued aeour tes or to earnngs W or. property of other departments of the company other than.! ght. and power... ~;: ~ The. Company proposes a reduced rate to enabe oonsum- :~~ ;ers to use eectrca appances wthout the expense of ~.separate wrng servce. ~ k,;!. The Company woud pre fer the O ty to undertake ts ~f :own street ghtng and woud furnsh current at cost prce ~ same: as. charged by the Power Commsson.. ff, As an aternatve the Company woud nsta a modern ~.: : street ghtng system to compy wth Q tyts specfcatons t{ and operate same for ten years at.. t.o.o~~j.th the prveges.-?t; to the. Cty to take. same over a~ any tfe at cost prce. ::~ ess depreoa.ton.. ~ ~ The Company desres to go a.head wth street pavng next : year f fnances can be arranged and suggests a moderate ~,!annua pavng program for a perod of years rather than a ft\ arge pavng program n one year. : ~ ;. The Company consders a contract for a suppy of ;~ : ) hydro eectrc power for twenty-fve years s necessary J to gve the stabty to do new fnancng..t. The Company beeve they can dstrbute hydro-eectrc ~ current more cheapy than the 0 ty. ~. Your Oomm ttee oas attenton to correspondence between Nova-Scota Power Commsson and the Nova Scota ~[; f Tramways and Power oo. Ths oorrespondenoe ndcated the ;.purpose of the Nova Soota Power Commsson to see that t :the hydro eeotro current s dstrbuted to consumers at [~ : 0 ost by the agenoy whoh oan best perform ths servce...(;~!letters of the Tramway Oo. to the Power Commsson expan {~!n deta bow the Oompany determnes ts oosts. ;~ Your Oomm ttee begs to report that B *86 ~oh. ~was ntroduced. at the as~ sesson of the egsature was rn passed. n a greaty amended form, Ths b provded that f~.any money due to any muncpaty for eeotroa power or..,._ 39 _..,. : f\:

7 . n Augqst 9th; 92. energy supped to any person, frm, comp.any, corporate body or commsson shoud be the frst ohange oh such companys property and assets n prorty to a pror ens or encumbrances. n the, b as passed ths pror~ ty s mted to a perod not exceedng nnety days and n event of defaut after one mont the munopa.ty s authorzed to out off the eectrca suppy. a etter from the Board of Commssoners of Pubc Uttes your commttee s nformed that n the event of the Cty under~akng the dstrbuton of the!hydro eectrc current, the rates to consumers w be reguated by the Board n the same manner as f a company...!dstrbuted the current. ~;.!. A etter from the Cty Soctor nforms the Oomm ttee f~ that the Nova Scota Tramways and. Power Co. n respect to j;.: ghtng and power rates, are now under the jursdcton ~ of the Board of Commssoners of Pubc Uttes. İ. The. Cty Eectrcan wt.th wh om was assocated the ate %!Cty Eectrcan P.R. Cop tt, estmates that a new street. ~~ ghtng equpment and d.atr buton system for power and J ghtng w cost $, 86, 360 and that t w take a :t: :mnmum of tweve months to nsta. ~ Your Oomm ttee s of opnon that the present cost ~;: of construotonof a new dstrbuton system and the pro~ ;{ vson of & takng. fund therefor woud ncrease the rate ~; at whop ght. and power shoud be furnshed. to consumers. ~: :n vew of ths and of the tme and arge amount of money!;. whoh woud be nvoved n the constructon of the new :\, system, your oomm ttee s of. the opnon that the cty s ~~; not n a good poston to under the dstrbut:ton of the t~:!hydro eectrc current and therefore s not abe to gve ;~:; consumers the owest possbe rates. :~~. n vew of the decson of the Nova Sopt& Power ~ Commsson to keep the tte to the St. Margareta Bay J 7dro efctro deveopment as trustee for the pubc, and }:! n vew of the fact that the rates for the sae of the ~: current to ght. and power users w be fxed on stat-- ~] :utory prncpes by the Board of Commssoners of Pubc (! ut tes, no matter by whom the current s dstrbuted, ;::!Your Commttee s of opnon t woud be n the best nter- ~ eats of the Cty and of consumers of ght and power that! the Power Commsson shoud arrange for the dstr bu t on?: hydro eectrc to consumers at oost wth the partcuars ~ of, oost to be ceary defned and provson made for a ~r:,.!revew of rates a stated ntervas. Your Commttee s : of the opnon the Tramway o ompany s probaby n the best ~{! pos t on to dstrbute the current at the east expense. ~t Your Oomm ttee po!ts out that a drect arrangenent.t! as above from the Power Commsson to a dstrbutor woud :_t!reeve the CLty of the capta obgaton whch woud be ~ entaed., and for whch there woud be no a.dd t ona bene- ;~! ft or greater oontro, f the 0 ty entered nto a thrty ;t year contract wth the Power Commsson at $200,000, per ~ jyear~ tota $6, and were then obged to bud a f;, new dstrbuton system or aooept suoh terms and securty ~ as mght be avaabe from some other agency to dstrbute ~ the current.,, Your commttee oonsd.e~~ t~t t the ~~a. s~ota. Power Commsson s naturay n e es pos on o arrange ;~ m!for the dstrbuton of the ourrent at coat; and aso ;~J\!that the oost of producton and. the terms of any contract.}!for dstrbuton shoud be subjeot to the Board of Pubc ~ tut tes W

8 Your commttee consders that.the ony prudent course for the Oty s to m~ntan an ndependent poston as a!consumer and not to become entanged fnancay wth. e.ther the producer or dstrbutor, and be free to take!fuest advantage of the benefts of the Pubc Uttes ~ct to the end that eectrc energy may be dstrbuted to!ctzens at oost.....your Commttee s nformed t w take two months to construct a man ne from the reoe vng staton at. jthe Arm nto the Cty and about sx months tme to nsta ~ modern street ghtng system and t s advsabe there- ~ore that a prompt decson n ths matter be now made. Jrurthe:J.:more the Nova. Scota Power Commsson have request ed a decson n ten days. DATED HAL~FAX AUGUST Sth,92. ~fred Whtman,! John E. Godwn#! t Before the amendment jfrom Ade;-man Murphy were jutons.. John w. Regan,.s. Parker. * was put the foowng reports read together wth hs reso- f,{ Hafax, N.s. August 8th, 92~ ~; \ t!to Hs. Worshp the Mayor, ~ :and Members 0 ty Counc. ~!... Hydro - Eectrc Deveopmen~ ~; :. Reazng that the decson whch we are now caed ~~;!on to make respectng ths Hydro Eectrc Deveopment :means so much to the future of ths Cty and sharng the z :grave responsbty restng on nd v dua members of ~~ :counc n dsposng of same, take the berty as one ~::!member of the speca oomm ttee apponted to nvestgate ~~~!ths queston, of submttng for your consderaton certan :; defn te concuson reached.. The probem whch we are endeavourng to work out, ;;,;} has. been materay added to by the fact that compcated ;~ ~reports and statements havng no drect bearng on the $ subjeot, have been aowed to enter n. Ths matter can be paced before our o t zens n suoh shape that the.y a ~! oan.ceary understand t. t s smpy a queston of ~!doars and cents and personay do not propose to be d.ragged nto any by ways n ts dscusson. Strpped of :f.!a the frnge and trmmngs whcp now surround t the :). twhoe thng gets down to an answer to the foowng e ~: ; very.(s)mpe questt~ons; tnam ey. f u""".f.,.,.,_ d.. ~ ;. ow can ue o zens o ~ ax.r assure.0.. :.:! obtanng eectrca energy for ther house or domestc a: : ghtng at prces n the neghborhood of one-haf of :} what they are now payng. n other words at 3 to 6 cents ~ for what they are now payng 8 to 9. :~ [ (2) How can they be assured of.ther store or commerc- ~ a ghtng at roughy one thrd of what they are at A!present payng? n other words from 2 to 4 cents as aganat ther present 7 to 8.. _ r:! ( 3) How oa.n the O ty of Ha.fa.x offer power for n- :! duatra purposes at proes rangng from to 3 cents~ :~ ~dependent on the quantty used, as aganst 3 to 7 now!pad? ,,,,.,.... h \,.. -..; " : ;: ~j o :,): ~~.,,,. J~ ~ ~ j ~ \! ~:,f;,( "t.!: J.f :!;." ~\ t

9 ; ~ August 9th, 92~ We must not permt ourseves to be msed by dsjcussng the queston of street ghtng of purey power rates. The whoe purpo.ae of t.hs hycro eectrc pocy WaB t.hat the peope.of ths provnce shoud secure these.necessary_ servces at prces whch have been found poss!be by deveopments of a smar nature n other parts.,we must therefore, see that the rates for both domestc and commerca purpos~s are suoh as to encourage a more! genera and generous use for these servces... The matter cannot be dsposed of on ts merts by any dscusson confned to the queston of dstrbuton!whc,h wh.e mportan~ s. secondary to the rea ssue and notwthstandng a the wdey dfferent statements on jtbs matter of dstrbuton,, am qut~ confdent that. \t can be worked out, not ony wthout fnanca rst \to the Qty, but n a manner whch w cause tte n :oonvenence and w serve to sov.e for a tme t~e pro!bems wh.ch have so ong surrounded our pubc utty servces..! n ord.r., to assst f possbe n the proper ds \ousson of ths somewhat compcated st.uaton, am!pacng before you n condensed form portons of the \varous reports on whch my concusons are based. \have every respect for those whose vew s mar dffer as!to the best method of meetng ths stuaton bµ.t after ;v~wng t from every possbe ange) oan see no other way to safeguard the C ty s future except. for the Cty to take o,ver ths entre deveopment,, nsta ts own!dstrbuton system and offer the current to our ctzens!at prces whch n my opnon t s mpossbe for them to \secure through any other channe.. therefore, ask your carefu consderaton to the ;attached resoutons and reports. -. John Murphy. *. Deductons from Report of J J. Jeffery Eectroa ;j JEngneer. Hydro Commsson of Onta.ro. (). That the de~eopment at st. Margaret a Bay s we ~!!desgned, the storage dams, ~tatons and transmsson :.!nes of most modern type and that taken a around. the :f :power servce therefrom s n every way as reabe as J:[!from the most modern steam nstaaton.~!(2). That baaed on the usua methods of runoff and ran-.!fa reoord.s the storage suppy as cacuated s as ; :aoourate as can be obtaned... ~ (3), That the cost of nstaaton compares ~avoraby J [wth smar deveopments esewhere and that consderng t \the perod durng wboh oonstructon was carred on, no ~~ cr tcsm oan be made on ths porton of pant t (4). That baaed. on the Nova sc ota Power Commssons pro-. : posa to dever ths current to sub staton at North ~ ;west Art at a prce of $200,000 per year for a quantty estmated sghty over 20,000,000 k.w.h. or cent per :~ x.w. pus the Cty n a poston tob supbpty oudrbvarousth :~ servces at ower prces than oan e 0 a ne y any 0 er t ~ fc~}! 8 shoud the O ty of Ha.fa.x unde:take the nst an... ~ton of a compete dstrbuton system to take oare of f;.!..,.,. },,., - ~ p,;.~.~.... ( t~ ~~j ~ :: t~f... ~! _r ~. ) ~\. :\:! j..,.,,,,~;..,... ~.. t~.:,:! :~ ;,t~ ".~... ~;; ~:: ~~ ~~: ~ j :;~; : ~ ~. ;~{ ~ :, t~ \. t; ~r"t... J : :~j :~~ ~~,

10 August 9th, 92. ~ jthe tota oa~ao ty of ths pant noudng ghtng, power : and a streej ghtng nstaaton, t woud make neoess } B:rY a capta expendture of $ n ths oonneoton t w be we to note that after operatng for some r thng ke tw~nty fve year.a the Nova Scota Tramway ony ::. oam a oap ta nyestment of $850, 000 n ther whoe ds- ~ trbuton sys~em. Conseqenty, at the.outset the Cty? joan undoubtedy nsta suffcent capao ty for ther re f: qurements at a proe anywhere bet~een $450,000. to $ ~!and ad.d tons oan be made to same as the oad, n budng. ;;!UP demand~. f (6). Shoud the. Cty decde to take over ths deveopment, { ;dever and se t d~eot to.ts users, they coud out ;.! ~he proes whch are now beng pad. to, at east one haf :!Of those how ohanged. n other words th~statement means ~ that ght and ~ower users who pad the Nova Scota Tram t somethng ke 625, 000 for the otrrent used by them ~;! shoud obtan the.same sup~y at roughy $300, coo. a ~f drect savng of more than $300, 00.0 on these servoes. f. ; The.above concusons are such: that n the dsposa W ; of ths c~eston they cannot be gnored. Comng to our S.. O ty recommended by Sr Adam Beck for the purpose of sub ~~:!mttng a report on ths matter and havng so wde an. f experence n probems of a ke oharacter, t s far to );. as$ume that Mr. Jeffery woud hod hs professona re- t, putat6n too hgh to end hs name to any statement whoh. ~ ~;,. he coud.not back up and fee confdent that n the J jt~ ds cusson of ths queston every consderaton w be ;; gven to hs report. : t John Murphy. :~ : To Hs Worshp the Mayor }~, and Members of Counc. :{~ Pos t on of Nova Soota Tramway and Power \) Company. ~ t s neoessary to the fu and free dscusson of 9 ths subject that the condton and atttude of the Nova ~: Scota Tramway & Power be part of same. Personay ; ; have endeavoured to approach the matter. n such a manner.\ as to dea fary wth a the nteresta.).nvoved. The :~ poston taken by those actng for the Company has made ~. t dffcut to do so. Those of us who have been n more t ; or ess cose touoh wth the Company s method~ durng the.! past ten years cannot very we forget the!reatment whoh (. ; ths Cty has had at ther hands and t s unfortunate n ~, : deang wth the present stuaton that they found. t t : mpossbe to treat.wth the O ty a.ong more defnte ~ : nes..:f. ( One thng s cear that the Company has determned t: that under no croumstanoes w t pace tsef on reoord. ;,~ as to what t w:. do wth respect to rates, e~her for ~: ghtng or ppwer purposes. The grounds.ad.vanoed for ths ~ poston are unsound and serve to ndoate a aok of.~ appreoa.ton of the stuaton confrontng the OOmpany. No ~ d.oubt.,~ they hope to secure the oontro of ths hydro deveop-t ment end trust to methods whoh n the past have proven ~ so suooessfu n the varous probems Wth whoh ths O ty :} has been nvoved. wth them. They probaby expect by the ~ manpuaton and nfaton of vaues on ther pant, to. ~ contnue to oha.rge ther present rates to domestc a.nd ~ \: j ;~;\!\ C; ~.. t

11 ~st 9th, oodmeroa. ghtng and to ha.nd to the o tzens}of. Hafax as a sop some sght reduotone to power users \couped w t.h what mght be taken as an attraot ve pro.made to r.eaze. that they have put t over the Cty for?os ton for. our stre.et ghtng. he Company shoud be the et tme: and f they hope to protect and preserve the eg.tma;e capta nvestment whch they have n these \uttes here, they m~at adopt more frank and busness ke methods n deang wth t~s ptobem. Ths Counc, h the C ty a nte~ests shoud nsst,that before any negotatons between the Tra:n co. and the Power Commsson take defnte shape that thejva.ua- ~.: ton whch.s.now bt9ng made o.f th:ls Oompany s pant.and ~ aasets be competed. Past experenoe wth ths Company ~ c,9es not, encourage the hope of very generous treatment at ~;!thber hands. They have repeatedy dta~egarded ther, U!(). ~gat ons to the 0 ty, tme after me breakng ther / ;-: bndng oontraota wthout so muoh as consutng wth us ~ and fo~.. these reasons t s not unfa r.to. ask that t be t:: kbown, as far as possbe befor~hand., just where we ft # ;Wth them. For ;easons set out, therefore ask that a resouton be foharded. to the Nova. Soota power 00- ~ sson requestng that they do not oonmt themseves to ths Company unt a proper and bndng arrangement wth f~ respect ~o rates has been entered nto. ~;... John -.. Murphy.,.,.Resouton. to Charman and.. Metbes Hydro Commsst,on. : Negbtat ons between Nova Scota Tram Co. and Nova t. Scota Hydro eornmeson.....referrng to recent comrnunoatons passed and to oopes of the oorrespond~nce between your Commsson and the Nova Scota Tramway we deem t ad.v sabe n the 0 ty\a!nterests to ask that before these negotatons are brought to. any concuson that your Commsson nsst that the :vauaton, whch s now beng made of ths Companys pant be competed and that defnte rate to.domesto, comrner oa,. and power users based on such Vauaton be made part of any.contract whch may ater be entered nto wth the Nova Scota Tram co. We therefore, Paoe wth you the foowng resouton:... "RESOLVED that before any agreement s entered nto w th respect to the St. Margaret s Bay Hydro Deveopment, the, vauaton whch s now beng made of the pant and ".~. : assets of the Nova Scota Tramways & Pow~r Company eo!\!separate ts varous departments thertheby makfnfg ~atasbe the workng out of prc?per ~ates for.er d eren t :servces AND BE T FURTHER RESOLVED THAT n vew of the nter-. t ests whoh ths Cty has at stake your Oommsaon permt us to dsouss wth you suoh vauaton a,n~ rates before a ;!contract s entered nto". consderaton dsousson then took paoe n whoh practoay a members payed t~er part. At the ooncuson of the Meetng the Amendment of Aderman Regan. K!.,t~ f\ f, -,:. ) f.; 8t,,, \ }r!-~.~) t.\ ~" ~~ t~~ d, f t;\ {j ~~, z.; : t:,\ ~. ~, n ~ ~ {: ~ : t j, f

12 AugU;st 9tha 92. ; \and Aderman Whtm4n was put before the Meetng the foow. ng votng. for; Adermen Regan, Whtman, Godwn, Hs Worshp f the Mayor., ;Aganst: Adermen R tohe, Murphy.! The Mayor decares the moton oa~red but n dong so!stated that a oopy of a the reports together wth the.~ Unutes of ths meetng woud be paoed before eaoh. member ~,!Of Counc for the meetng of the 9th nstant. ~, Meetng adjourned at 0.30 p.m. f! ~ John E. Godwn, r Secretary. f \ ~ The foowng documents reatng to the subject are ;read by tte and ad upon the tabe by Hs Worshp the!.. :. Letter Nova Scota Power Commsson Juy th, 92 to Hs Worsh~p,the Mayor. \. Letter. Nova Scota Power Commsson August 6th,92.!to Hs Worshp the Mayor.!. Report J.J. Jeffery, Hydro Eectrc Engneer, Toronto ;August. 8th, 92 addressed to The!r~nng Ma :V. Letter Nova Scota Tramways and Power Oo. L td,, :August ath, 92 to Hs Worshp the Mayor coverng answers t :to.questons submtted by Adermen Regan and Murphy. v. Letter Power Commsson August Oth, 92 coverng.!copes of etters passed between the Tramway Company and!!the Power Commsson Juy 2at, 92, Juy 23rd.92, August ~,h,92 a.rd August 8th, 92. { ~V. Letter Power Commsson to the Mayor August 2th,92. f f ;V. Report to the Mayor August Bth.92 from G.H. Durng : ~ ~!0 ty Eeotroa.n and P,R. Cop tt, Ex a. ty «.e btca. ~ v.oertfed oopy of Chapter 66 of the Acts of 92 re. {!x. Deveopment of Eectrca Energy from Water Power Letter August 3th 92 Aderman Regan to the Mayor, Report Oty Soctor to the Mayor August 5th,92. x. Letter Tramway Company to the Mayor August 5th;.92 }. x. Report Oty Eeotroan to the Mayor August Sth,92. _._. 397 e-f- :.... ;;.!! ( t 7\, : J ~, ~.: : J ~; ~ J t.t t:,, ~ M ~. ;;; ~.~, ",;.;) t!j., r, ~.. ~\ :! :: " ~! ~ ~!! ~.~.~ ~ ~ ~ ~ ~.,

13 August. 9.~h, ~.B X Lttter Aderman Murphy August 8th, to the Mayor!! and Oounc. XV. j ayor! xv. Letter Aderman Murphy August 8th, 92 to the and Counc. Letter Aderman.Murphy August 8th, 92 to the!mayor and Counc. XV. Draft of resouton prepared by Aderman Murphy. j XV Letter Trades and Labor Counc August 3th, 92,. The Nova Scota Power Commsson,t Hafax, N.S. Juy th, 92. ~: ~ ~ Hs Worshp Mayor Parker. t- ~ S r :- Re. St,, :Margarets J\&Y Deveopmen:t Y ~ )t : am na:druoted by the Charman of the Nova Scota {~ : \Power Commsson to acknowedge recept of yours of the 29th ut a\ to say that hs absence from the O ty for jt j a. few days. has deayed an earer repy. { \ T.Pe Commsson has experenoed some dffouty n ~ satsfactory nterpretng the preo ae meanng of your!\: request. t has had no forma or offca notce of any ~: unanmous or other resouton of the Cty Counc that ~! the resouton of your Counc adopted on the 20th of ~\ j May to the efftot that t s not ad v sabe for the O ty b!of Hafax to enter nto any contract wth the Power ~! Commsson and advse that the Power Commsson shoud ~: make arrangements wth any concern wng to dstrbute ~ \the current to the users of eectrcty" has been n any ~: respect reconsdered or reopened; nor s t at a appar- ~ ent that the resouton ad.opte_d by your Counc on the t : 6th of June ast, except by possbe mpcaton, took ~! nto consder.aton the exstence of the Commsson as a ~!party to the proposed oonferenoe wth the Loca Govern- ~:. 9ent and the Tram Company; and. except by oourtesy.. the! :Commsson dd not understand that t was a party to sad ~conference. There s nothng n the resouton to whch ~! you refer and a. oopy of whoh yt:u have been good enough to transn t wth your etter, ndcatng that a speca {! commttee of the Cty Counc had been apponted to, confer wth the Nova Scota Power Commsson upon the partcuar subject matter of your etter. ~ For these reasons, the Commsson & s at some ds t;! advantage n propery a.ppreoatng whether your request. t:t7 For the purpose of furnshng the Cty Counc through!!you, wth addtona and more detaed nformaton respect-\ ng the ntroducton" de very, cost etc. tof 0 eectroa :energy deveoped at ~t. Marga.ret s Bay to he ty of \ \Hafax n response to the request of the Cty 9ouno ~! adopted on the 27th of November 99~ or 2nd.. for the purpose of provdng auoh nformaton to the ~ speoa Commttee to whch you aude ookng to a. gener- :a settement of a outstandng matters oonoernng the! Tram company a.nd. n reaton to the hydro-eeotro deve- : opment " ~, f r,,. : (~ j ~ ~ f f.. t,.:

14 " August 9th, 92. f the atter,j.qu w, am sure apprecate that!.the objects are too g~nera.and nvove probems that.~re not g~rmane to. the mmedate subject matter of ths correspondence as the Commsson n the dscharge of ts duty understands t... f the former, the Commsson s of the opnon! that ~ WO\d have f~c tated negotatons.and resuj. t ed n a cearer apprecaton of the outsandng dff-, out~s f any9 f. your etter had contaned some n-! t.mat~.on what wqud be ~he atttude of the Cty Counc f the few mportant pdnts whoh you nfer are not! covered" n prevous.correspondence to the entre. sat \ s~aoton of your speca comm ttee are covered, Ste~ an.ntmatc?n woud obvousy remove these negotatons! from.the ream of mere dscusson and afford the Comm : ~sson-some.assurance.that a practca proposa.was. beng. practcay dscussed....the Commsson wth a respect submt that n ts! vew a the ponts suggested n the. quttstons you have now submtted have been prevousyooveredby,etters. ;to the Cty Counc from the Commsson and ths faotjncreases the dffcuty that confronts the Commsson! n oeary apprecatng ether the objeots.of the. etter or the deas that prompt~d t,... The Commsson s we aware of the varous efforts jon the part of the Cty of Hafax, to secure an adequate suppy o.f eectrca energy and. ths was one of the con-! sderatmons n nducng the Commsson to undertake as jts. frst extensve deveopment, that the st. Margaret!s!Bay to suppy prmary the Cty of Hafax. Other seotons of the Provnce were desrous of securng eec (trc& energy at an eary date, and the.oommsaon n!vew of ~he dffcutee surroundng a suppy of eec!trca. energy to the Cty.of Hafax, mght we have \drected ts attenton esewhere.... As a resut of ts nves tgatons, the Commsson s convnced that the best nterests of the 0 ty of Hafax!woud beserved not by the operaton of a snge hydro!eectrc or other deveopment for the Cty.of Ha~ax!aone,.but by suppyng the Cty.wth eectrc energy from ~ system of nte~conne.cted genera.tng statons. n so far as the st. Margarets Bay deveopment s coneerned,!n a.probabty for some tme to come, the.: greater!part of the output of ths deveopment w be oonsumed jwthn the Cty of Hafax, athough the Commsson.!aready has requests for eectrca energy from ths de \veopment to suppy sectons of the Provnce outsde of the Cty of Hafax. As the Commsson sees t, therefore, the mmedate.\probem for the Oty s consderaton and decson, s not that of takng over ~he whoe output of the St. Mar!garet"s Bay deveopment, but of decdng a.a to the ds-.!tr buton, w thn ts OW?- muncpa m~ ts, of at;ch eec!trca energy as may be supped to ~ from whate.ver!source. Ths observaton may possby assst n a more oompete and correct nterpretaton of the nformaton :whch the Commsson gves hereunder, n repy to the ue st ons contaned n yours of the 29th ut ~ Q Foowng your oonferenoe on Frday we shoud ke t~ know. f the Cty takes over the output of the ~ydro!deveopment paced. a.t a. proe to cover entre. oost snk ~n fund, eto., f.the property w be vested n the Oty, tgthe oornpeton of the contra.ct perod or pero.d.s. a

15 Augy.st 9th, 92. A. As aready ex.paned,, the Commsson w have ous- tomers outsde the Cty of Hafax, for eeotrda energy from. the St. Margarets Bay deveopment,, who w be pay ng a part. of the tota charges of suppyng energy from.,. ths d~veopment ncudng snkng fund. The basc prn-. ope of the Commsson~s whoe operatons,,. n ao far as ~: ts reatons wth munopa tes are oonoerned,, s that ;,~ the varous mubopa tes served by the Commsson are >: the owners.of deveopment carred out by the Commsson,, ;; far. whom the Commsson acts. as trustee. The.equty of?; each. mµnopaty served s,, of course,, de~ermned by the c a~ount of the snkng fund or other payment a made by the ~espeotve e.geaton under whch the Power Commsson. ~: operates,, and whch provdes for servce at cost to the :! muncpates. When snkng fund payments are no ong- ~ er necessary,, the munopa tes, secure ther power at a f~ correspondngy ess cost. f any more forma vestng. ~ of the equty estabshed n the~ st. Marga.ret s Bay ~; \ or other deveopments of the oom?psson by snkng fund payments on the part of the muncpaty of the O ty of.f. ~ Hafax shoud be requred, t oan no doubt be arranged. ~ ~ The above questons t s submtted s to a ntents )): and purpos.es. the same as that asked. by you n your etter J. to me of the 24th of February ast and to whch the char- ~. \man "of the Commsson reped on the 7th of March as t\ fbows:~. ~. "The prope.rty woud contnuea to be vested. n the ;:; Commsson n trust. f t s possbe to conveve that ~: by the payment of a snkng fund extendng over 30 years ;: the orgna nvestment had been retred, and that no ~ Jrepa.oements, eto., had been made n the meantme, ths ~: opnon mght be atered. The. resut however woud be ~,equay.ea.tsfaotory to the Cty, because the costs woud ~!"annuay. ~ecome ess and ess" Cause 7 of the proposed. agreement submtted to the.cty Counc s consstent!!: wth ths vew and the Commsson s st of the same ~ opnon and beg to confrm the same. f 2.Q. n my pa.st oorr&spondenoe wth your Commsson twas generay understood a.s a.n estmate, that the ooat of.the fu deveopment to the Cty woud be $200, ~). per year.for 30 years, subject possbr to sght adjust-!~ ment up or down from year to year, based on actua cost. of operaton, the reoords or whch w be "Open to the ~ nspecton of the Cty. Pease 6onfrm ths.. 2.A. The estmated eee tota annua charges aganst the.j present St. Margare~s Bay deveopment are herewth oon- ~:. frmed at $200,000.oo. The oost of eeotrca energy. "! to the 0 ty of Hafax from ths deveopment under the ~!proposed arrangement, woud be a proportonate part of ~ ths tota annua charge baaed on the reaton of the r mnount of eectrca energy taken by the 0 ty of Hafax to the tota amount supped from the st. Margaret ts Bay [!deveopment to a customers r 3.Q. We understand that the foregong fgures of $200,000. epresentng tota oost snkng fund eto. s estmated to oover the devery at the Arm staton of twenty mon to!twenty two mon k.w.h. Ths s no doubt a oose est~!mate based on your engneerng reports. t woud assst our detberatons f your aornmsson wou~ go ~tber!than an es:bmate and. gve us a defnte a.esuranoe of the!mnmum quantty to be devered at the Arm Staton. ; ~

16 August 9th, 92. Pease state what mnmwn quantty you oan guarantee. A.. t s not physcay possby to gve any other guar~ an tee of the capacty of the St. Margaret s Bay.deveop-." )ent tha~ to o te 5 years" run-off measurements and 50 years{; d.a.y ranfa. records n the vcnty of Hafax. The, ~[; most recent computatons of the Commsson supported by :.r:: th~ opnons and advce Of hydro eectrc engneers of \(~ recognzed a ty, gve the oapac ty of the present n ~w. staaton at St. Margarets Bay devered at the Reoe v /j ng.staton n Hafax, as 20, 830, 000 k.w.h. per year as ~9 a mnmum, or 8,,560, h.p. wth the oapaoty of the compete ~~~ deveopme~~ on the same bass as 30,90,000 k.w.h. per t U!Aa. W.,-~. h~;. <~ 4.Q. t has been suggested by a number of o tzens that ~~ the ~Cty as a corporaton, mght not requre the entre t~ deyeopment, and that the muncpaty shoud ony take ~ a mted amount of energy. Kndy dea wth ths as an :;\j; aternatve arrangement to that of the Oty takng the,,~~ whoe of the deveopment and state n such.ca.se what.;~ woud be the proe per k.w.h. or on the bass of h.p. per. - year.. :xw A. Secton 34 of the ttpower Commsson Aot" provdes.\;;~,that a munopat havng a contract wth the Commsson ~: for a suppy of eectrca energy sha pay the oost of ~ suoh power or energy that the oontrac sha so provde. :f The same secton detas what terns the Comm.sson may ::\~\ ncude to fxead cost. t s mpossbe therefore, under r~ tbe t~rms of the Aot. for the Commsson to dea wth the ~~~.. Cty otherwse than on the bass of cost ony. f,, however, a muncpaty shoud state what defn~ :~ te amount of power st woud requre and what t woud j) \undertak~ to pay for, the Commsson coud gve a prce ~ ~. per kowatt hour or. on the bass of horsepower per year ~~~! or the bass specfed n the defnte request. \ ~~:! 5.Q. Sup:Pose the Cty shou a.ooept the a. terna.tve pro- t, poston just mentoned, to but eectrca energy from the :y oommsson at a prce per ~;SJ.or k.w.h. the proporton ~.. ate part ~. of the wh~e oost of $200, r~~ A, 6 Yes.. ~: ~.Q. W the Oormnsson fa.voura.by consder makng a ~ three or fve year oontraot wth the O ty for the whoe ::; power wth the opton of the O ty ex~ndng same for the ~~. baance of 30 years? " ; A. n vew of the provson of the Power Commsson ::~ Act, whereby any part of the oost of power supped to a ;~ munopa ty may be deferred for a perod of three years, " and of the requrements of the egsaton tha.t power : w be dever.ad at cost n any case, there does not f~ seem to be anyadvantage n makng a short term contra.ct... a.s suggested, a.nd suoh a.n a.rra.ngement woud probaby ony :j ba. ve the e ff eot of perpetua. tng ds t:rlbed oond t ons a.s f; to the Oty s eeotroa. suppy. The Commsson s open ~ to consder ths matt~r further, but ts own opnon s as expressed herewth. 7 Q f for any reason, the Commsson s not ~be to a r;e ~.avent of the Cty takng the whoe output for t~rty years -to vest the property n the Cty at the oompeton of the perod, woud the Commsson oonsder seourng an amendment of the Power Aot, authorzng a oontraot at an annua proe wth the snkng fund emn~ ated d

17 , August 9th, A. T.he Commsson do~s not consder that under any cr~ oumstances or to any customers, whether muncpa or!prvate, that t shoud se power at a oost whoh woud not provde a snkng fund ~o retre the nt.a capta nvestment over a perod of 30 years. t shoud be ponted out n ths. connect :.on that the Commsson s n a dfferent poston ~han a prvate corporaton, who normay have permanent. share capta, more or ess pad up,.and n theo~y, f not n faot have a perpetua nssue, and.. fnan9ed entrey by bonds or debent.ures, vestme:q.t n ;he_r property$. The Commsson has no stock and t woud:. see~ to be entrey out of the queston for the Commsson not to provde for the retrement of these securtes.. ).....! n.. an. event the Commsson as suoh coud gve no undertakng that any amendment to the Act, however desr- abe, coud be secured at ts nstance. That s abvousy a matter for the Legsature. : The Commsson trusts that the respectve answers :above w cover the pont.desred by your speca Comm : ttee. f t has faed n ths respect t s smpy :because t has unntentonay faed to apprecate the!true meanng of the questons and not because o~ any.!desre to wt.hhod. nformaton or dsguse the rea st~!uaton as we know t, t agan d.esres to rete~ate on. ts behaf t.s wngness to franky and fuy dscus s w th the.cty any phase of. ths.mportant matter that w ead t.o as compete an und.~rstandng of every phase of!the stuaton as s po~abe. The Commsson has aways jm&.ntaned. and st mantans that. n so far as the :cty of Hafax n ts efforts to ava.tsef of the ;provsons of.part 2 of the Power Commsson Act s oon!oerned, auoh nformaton was yours by r~ght.and t was.!ts duty to fµrnsh the saµe to the best of ts mted : ab:. ty and wth unmted oand.our.!. Let me at the same tme respectfuy submt. that the deberate acton of t}.e O ty Couno on the 20th. of May ast, to whch the ~p ommsson has above referrj ed, creates a condton that was not antopated. Whe therefore, the O.ommsson s wng to gve and oon-. adera t to be ts duty t.o gve a avaabe nformaton!possbe., so that the ctzens at arge coud not ms understand ts atttude and. be advsed of the. respeot ve!steps ta.ken n these negotatons t must be ceary!understd>md that the Commsson has not and w not, n vew of the offca atttude of the Oty Counc, re-! fran from takng such acton of an aternatve nature.as may n ts judgment be necessary and east prejudc a to the very consderabe responsbtes wh,oh t has asswned.... Ths etter, am nstructed by the Commsson to advse, must be so nterpreted.. R.G. MacKay, per M.w. Secretary. * *. The Nova Scota Power Hafax, N.s. August John s. Parker, Esq., : Mayor, Oty of Hafax.. near Mr. Mayor: }:e St_, Margarett s Eay Deveopme,nt. have the honor to acknowedge recept of your reoent favors, ntma~ng that the subjeot matter of ~ 4Q2 ~

18 ! August. 9 th, s2. my etter to you of the tb of Juy ast woud be taken nto eary O?nsderaton. by the Cty Counc, and we w~ud.~~ advsed aocordngy of ts defnte acton.. beg agan to repeat what stated n my etter to you of the :th of Juy ast, that owng to the aoton of the Cty Counc of the 20th. of Maj ast, a condton,had.. been created that was not ant cpated; and beg ag~n to,repeat that, on account of ths acton, the Qommsson <td-not and does not fee warranted n not takng other aternat~e steps to provde a market for t~e eectrca energy, the resut of ts deveopment at St. Margarets Bay.. n the meantme, n order that there may be no msunderstandng~ the Conunsson has entered nto other n~gotato~s, and for ts own protecton, and to protect the Provnoe t deems t necessary to contnue these negot~t.ona, uness we receve some express and satsfactory. ntmaton from your Counc that the Resouton Qf t~e 20th of May w be rescnded, and the stuaton that exsted pror to that date s contnued. Whst \the Commsson entertan~ ths vew,,.and thnk t the pubc nterests they ar~ justfed n the. course they.are now pursung,, t s not unmndfu of the faot that ~~de~ the terms of the Resouton of the Cty Counc adopted. on the 6th of June ast, the Power Commsson was requ6ted not to oonoude any oontraot wth any pr vate Company wth respect to hydro\ eectrc dstr bu t on n Hafax". t s scarcey reasonabe to expect that the Comm-, \sson can much onger deay defnte negotatons of!an aternatve mature. t s most mportant th~t these jnegotatons be oonouded. uch a stage n our negot atons has now been reached. n vew, however, of your reoent etters and the request n the Resouton of the \Cty of Hafax on the 6th of June ast, the Commsson!s.of the.opnon that the tme has arrved when some def~nte announcement shoud be made by your Cty Oounm, on behaf of the Cty of Hafax as to whether the acton jqf your Cty Oouno on the 20th of May ast w or w!not be reconsdered; and f reconsdered, upon what terms :n so far as the proposed. oontraot wth the Power Comm-.!sson s concerned?.. n vew of the fac~ that neary two months have now eapsed snce the Cty Counc suggeste~ tb~t The oomrnsson do not oonoude a contract mther than wth tne Cty of Hafax, thnk you w apprecate that!ths request s, under the croumstanoes, fuy justfed. jn any event, the matter s of suffoent.pubo mport (anoe to suggest to you that f any good reasons oan be gven why the Commsson shoud not oonoude a QOntract wth any partes other than the Cty of Hafax, these \reasons shoud now be speofoa.y stated. Otherwse, the Oommsson oan ony oome to one of two oonousons,!that unnecessary deays are beng mposed ~p&n t, or \that the Oty Oouno s unwng to rescnd ther Reso \ton of the 20th of May ast, n whoh event, t s but!far to suggest that the Power Commsson.s n no way responsbe for ths deay, and, rurther, t w be JfUY ~stfed n ta.kng any a.oton t consders neoessary to oonoud.e a oontraot wth other part es. have therefore, the honor to suggest that ths matter be b~ought to the mmedat~ attenton of the Oty :oouno, and tha.t a. prompt a.nd eary repy be subm tte4 to the Commsson. R.H. Mackay~ Secretary

19 August 9th, 92.. ~. Toronto, August 8th, 92. ~ Th8 Everng Ma, Hafax, Canada.. r=. Gentt=Jmen: - ;}~; n vstng.. Hafa,x at your request, t was :w: ntended that shoud gve the tax payers of your 0 ty a. fu expanaton of t~e manner n whch hydro power s.~. j~strbuted at cost to muncpates n ths provnce fa by the. Hydro-Eectrc Power Commsson of Ontaro. Snce ~. how~ver, you have asked for suggestons aong certan {~ defnte nes n Qonr.ect on wth the power s tua t on n :t.: Hafax, w~ attempt to gve you n a genera way ;~ Sggestons n connecton wth your: power probem, based ~~ on our experences n _Ontaro, ~~ You have suggested that my report shoud foow [f the questons as set out n your paper of June 22nd, and ff. w attempt to answer the questons whch you have st~ ] ed n t,h r order.. ;~. You have requested a report n connecton wth. ~} jthe deveopment a,t St. Margarets Bay, and n ths regard?~~ j woud ~dvse that... whe have not gone nto a the ;r~ detas n connecton wth the desgn of the pant, am n a poston to express an opnon that the Pant has :: (t~: ::,::!been we desgned and oonstruoted aong modern nes..f!the storage ~a, generatng statons and transmsson :~;~!nes are of the most modern type~ and consdered as a ;r~ )whoe, the St.,Margarets Bay deveopment shoud g ve the ~!Cty of Hafax a very reabe power servce n faot.~~; qute as reabe as coud be obtaned from the most ~!modern steam ~a.nt. The water suppy has been oheoked ~ by run-off records taken accuratey over a perod of!fve y~ars, and as the ranfa records for the dstrc t : ~ jof Hafax are avaabe for the past ffty years, t \. ~~:...:: ~s reasonabe to suppose that the fgures used n ca- :~ joua tng the amount.of storage water avaabe are as ; aocurate as coud be desred. ;~t The tqta cost of the pant, ncudng the joost of the transmsson ne,. accordng. to ~gures ob ; ~; taned. from the Nova Scota Power Commsson w be -;~ approxmatey $, aoo, whch wth a pant oapt\oty :\ of 0, 700 horse-p.ower shows th~ cost of generated. power ~ ~t!to be $50.00 p~r horsepower. Ths fgure s very ~!reasona be when the hgh oost of matera and abor s.f~:.!taken nto consderaton..; The Nova Soota Power Commsson have stated that the estmated annua costs for generatng power at!the St. ~rgaret s Bay pant w be approxmatey $ Ths fsure has been checked, and beeve jthsamount w take oare of a operatng costs and,a nterest and snkng fund charged on the nvestment! as recured by egsaton. : The answer to queston No. 5 depends upon!whether the cty purchases company s pant for the ds tr bu t on of ght and. po.wer or con:bnucts ts own sys~em and operates t n oompatton wth the company. f the Muncpaty were to purchase the Com-! an a pant, under the present condtons of operaton. ~he rates coud be reduced at east 25 per cent., a4 from the companys own fgures the ~evenue from the Power and!tght system of the Tramways Company for the past two r \!r

20 Augµ.st 9th, 92.!years was at east 25 per cent n excess of the aotua, cost of operaton,.~ after makng due aowanme for a" ;:!proporton of the bond nterest whch shoud be charge- \ abe to the Power and Lght Department, n " Assumng that the Power Commsson made a contract k! on the -bass of a the annua and operatng coats n :t}; connecton wth the St. Margarets Bay Deveopment to :~;; be ncuded ach year n the prce at whch power woud W be sod to the Muncpaty:, a reducton of approxmatey ~ 5 per.oent n ght and power bs ooud be ma.de for f preaent condtons,. ncudng the cost of the steam pant. W When the. oan. ncreased to the fu oapao ty of the t~ St Margaret s Bay Deveopment~ the present rates coud :f,;. be reduced approxmatey 35 per cent mmedatey,. and up :~ to a tota of about 50 per cent wthn the next two or ~ three years as the oad s ncreased. f! When consderng the utmate cost to the consumer, ~ t w be nterestng to note that the Cty of St. J} Thomas,., wth a popuaton of 8,000 buys power at a rate ~~ of $24.00~ per horse-power per year abd re-ses power to ~ the oons~ers at an average proe of approxmatey $20.00 ~;: per horse-power per year;. dd>mestc ghtng at an aver-. ([ a.ge of 2.9 per kowatt hour a.nd oommero& ghtng a.t ~ an average of.9. per kowatt hour. k. The-cty.of Wndsor, wth a popuaton of approxmate- :~w y 35, 000 and supped over a transmss.on ne 240 mes f n. ength,. buys power at a rate of $36.00 per horse-power b per year a.nd re-ses to power customers a.t an average { prce of app~oxmatey $25.00 per horse-power per year;.~~, domesto ghtng at an average of 3.9 per kowatt hour!: and commerca ghtng at 3 per kowatt hour. :~ j An entre new system oonstruoted to take oare of the & Companys present oad and ncudng a so.. a -new street ~:! ghtng system woud oost approxmatey $850,000. ~f wou4 estmate that f a new system were oonstructed to operate n competon wth the present!tramways Company!system at east 75 pe~ cent of the oonswners woud be taken over by the.cty system at a oap ta expendture of about $700,000.00, And.on ths bass the rates coµd be reduced at east 50 per oent beow those at present used by the!company n the sae of ght and power to the Oostomers! n the Munopa ty,\. The answer to qµeston No. 6 has been party deat!wth n-repy to your prevous cuestons,. but woud say that f the power probem whch you ha~e before you jwere n connecton wth :&A.a Utty ocated n a Cty n Toronto, woud undoq.btedy recommend that the Cty! purchase the pant of the oca Company and operate t under a Commsson, t beng assumed however, that the property of the Compa~y coud be purchased at a proper physca vauaton. f satsfactory arrangements oannot be made for the purohase of the property of the Company at a proper physoa va\8.ton, t woud be n the nterests of the Muncpaty to construct ts own system and dstrbute İ, 0 na oost bass the pubcy owned power. The varous Hydro s,atems n the Muncpates n. ontaro are operated by commssons, some eected n the!same manner as Oounoors~ no o~unoor beng permtted to be aso a Commssoner..! n arger Ctes the Commsson oonests of three members, one of whom s apponted by the Muncpa Oouno