California’s Oil Boom.

Hokitika Guardian, 10 February 1923, Page 4

California’s Oil Boom.

TAXLESS CITIES MOOTED! SAN FRANCISCO, Jan. 12. An extraordinary oil boom has seized Southern California, and wildcatting on an enormous scale is occurring in the floating of nil companies, and so great have the discoveries of fuel oil become that the hitherto exclusive and fashionable city of Long Beach, near Los Angeles, lias become the centre of a remarkable scramble for possession of wondruusly rich territory saturated with phenomenal yields of the magic oil. Originally Long Beach was a quiet little town settled by well-to-do people desiring quietude, and for some years the city fathers frowned upon any degree of expansion of the township’s boundaries. They wanted to enjoy their existence devoid of the usual rush of an American city, ami when .hey purchased a large region of land on Signal Hill for a ridiculously low figure, some of the leading citizens charged the city fathers with rcekless(v masting the public moneys. Then one of the enterprising oil companies with which Southern California abounds suddenly appeared on the scene, ami made n tempting offer to the municipality lor a permit to explore the Signal Hill vicinity. After considerable negotiating, the Long Reach niltlioriiies accepted rile otier. and when immense supplies of oil were brought to the surface the city obtained a large addition to their annual exchequer through mvalties. Other lands were leased on tiie same basis and now 'be city has over .'im.OttO dollars in Hetreasury irnin ibis source of royalties, with promise of next year’s production adding over a million dollars to the overloaded treasury. The city fathers have announced their inability to know what to do with their new wealth, and students of the situation have variously advised the erection of a civic cent re on a lavish scale or the foundation ol a tunning system whereby the city may lie ranked as a taxless city.