A NEW ENTERPRISE.

Dominion, Volume 5, Issue 1395, 22 March 1912, Page 7

A NEW ENTERPRISE.

TRAMWAY -ADVERTISING. COUNCIL TAKES CONTROL. QUESTIONS ASKKO. A.iwoiinm.MHinlioii nude In Hi- Cil.v Council Uy iU Tviimw.iy t'linintilli'C h>-l nii'hl nns' In Ilii! i'll'tl ilmt llw contract for mlverlisim; in trainnir-s ",»• leriniiiuted. rreoiiiim-mVd by I In- Triiiuwny Hoard Of Managcnien: iili'd (In- city .-olioltor. . A niiim-illnr: "WhiH i< I lie ronton "I Ciiii'l they curry il. out:-" •rim Depulv-Mavor (Mr. .1. Nnillrt: "They iin. practically inukiiij; a Sui\\uv of il, mid Iho TOiiiiHill;'i> lliiiik it very much easier for tin; council to carry it on itCouncillor lliirbor. "I iindfrMnnd Ihrrn are bimilMiiiMi lor Ihk Il: is u very curt way to bring n thing ilmvn. tonniiiarlm; a contract, which whs Io bring tho oily ui .tiWlll «. y<iir. An. we in-iiiK l«-.iiil for Ihe advertising lit present done in Iho curs?" Tho Doniily-Mnyor: "Ye--." Councillor Cohen: "If \vi< lire Io tin tins we inislil lose iiny contnu-t. (Councillor Ilimlinnrsli: Hour, hear.) Hoenuso a man is losing money, ivvo wo going I" l>'t him ° Councillor llindiuarsh said dial: ho understood Hint. I hero was a rrpnrl to tin; effect Hint il would lie hotter business to ilo as sugge.sleil in Iho remit- Ilinii Io I'oquiro Iho forfeiture of tl'.e lioml. Tramway Board's Report. Tho Hopitty-Mayov: "I Iliink we hail k<l lev defer this mailer lill we hear this report. I would not like it Io lie read in public." Councillor Hotelier: "Why not? Uy all means lot us have Iho report while. Iho press reporters lire, here." (Hear, hear.) The-report was ran! us follows:— On February 111 Iho engineer and mummer (Mr. Stuart Riohardsnu) reported to tho Tramways Coininille" l.hitt .Messrs. Lucas Urowne, the advert isin;; contractors, had sent in a loiter asking to be relieved of their contract, their reason for doing .-o being Hip dilneulty they fonnil in obt<iini;ig advertisements. The position as it (hen stood was:— (1) Tho advertisements seoureil by tho contractors amounted to MVI for tho first year; J£% for the second year; ±'Xi for the third year: nnd !eil)7 for the fourth year; making a total of .filjOS. (2) Under the contract they liad cnntracteil to bring in a gro.-s revenue of .tIBOO for the. first your; cKIWU for the second year; iii'-ul XilOO for t tho third year. (3) On the first year's advertisements already secured the corporation would receive a (jross revenue of J!(ilS by September 30, 1912. The contractors would thus huve to make up a considerable fhortago for that period. (I) The iiiiiouut guarautwd by •Jlesm-s. .lack-on and Co. v.as 0:500. ]f this were called up. the small amount of business likely to be done by the contractors would make the Corporation returns insignificant in the second and third years of the contract. (j) A termination of the contract would lcavo the council in a better

position, fur on the total busings secured by tho roritraelors CtljDS), commissions amounting to .£'S7 have been paid, lea-vim,' .CIJ2I worth of advertisement payable to tho department free of commission. Apart from this tin . Corporation would bo in a position to call for frfsh tc-ndors for ailvertiMnj; on tho spaces left vacant, nnd any receipts obtained from thn now coiitrnct would lie additional to the s:im of ,fcU2l. The onjrineer therefore recominemled tho termination of the contract by mutual consent, rplievinj: the Riiarnntor, but subject to the completion of tho iulve.rtisiiiß si»«s already in hiuid to complolc the secured advertisements, and thut no further coinmit.Mon he nuyable. On March 15 Mr. W. H. Morton (chairman of the Tramway Board) wroto to the Tramtvav Committeo as follows:—' , ] e.m directed by the 'I'ramway Bosril of Jfnnajteiiient to inform you that nftur careful consideration they are of opinion that the ndvertisinj cuutract with Messrs. Lwas Browne should Ijb tcrmiimteil in accordunco viitli the reconimoiulation of tho Electrical Engineer, dated , Ifllh ultimo." Report Adopted. Tho letter added that it was further recommended that Mr. Simeon, of tho tramway staff, be appointed a canvasser for advertisements for three mouths. When the report had been read one of the councillors remarked: "That, makes the position very clear." The recommendation of the committee wsa adopted without further comment.