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The following persons spoke in favor of the franchise applica- tion approval: John S. Pickrell, President, Southwestern Mutual Water Co. Kenneth Lee, Secretary-Treasurer, Southwestern Mutual Water Co. Ken Ballinger, 2417 West Occidental Street Paul Robles, 2518 W. Stanford Street The proponents stated that the company has two good wells producing good water that the stockholders don't want to give up because financially the company is not able to put in new mains; that the company can improve the fire hydrants; that a 5 - 10 year franchise would be adequate; that all 220 stockholders are opposed to replacement by the City system; and that the area has recently incurred an indebtedness as a result of a street improvement assessment, and that any additional assessment would be a hardship. Mr. Paul C. Dunn, 2502 West Occidental, spoke against approval of the franchise application, and in favor of the area being taken into the City water system, because of muddy water, poor water pressure and inadequate fire protection. Councilman Griset's motion, seconded by Councilman Evans, to approve the franchise application for a period of five years, failed on the following roll call vote: AYES: Griset, Evans NOES: Ward, Patterson, Yamamoto, Garthe, Markel ABSENT: None On motion of Councilman Ward, and carried, with Councilmen Council: seconded by Councilman Garthe Griset and Evans dissenting, 1) Requested the Southwestern Mutual Water Company to present a plan approved by the shareholders for the improvement of the water system with an adequate financing scheme by May 1, 1974; and 2) Stipulated that if such plan is not forthcoming, the franchise application would be deemed denied effective May 1, 1974, and staff was instructed thereafter to initiate proceedings for an assessment to provide a City system for the health, safety, and welfare of the citizens of the area. (81:CA 12; CA 130) SENATE BILL 2747 Mayor Patterson reported MINIMUM WAGE LEGISLATION on the dilemma facing Senators Tunney and Cranston in voting on the Dent Amendment to S.B. 2747, and explained that they had voted against it because a "yes" vote would have excluded firemen from the minimum wage law entirely; consequently the law, including the overtime provision, was referred to the Senate Conference Committee, and there is still a good possibility that an alternative to the time and one-half provision, as it pertains to firemen, can be worked out. Mayor Patterson was authorized to communicate further with Senators Tunney and Cranston in pursuit of an alternative that would still give City support to the minimum wage law, on the unanimously approved motion of Councilman Griset, seconded by Councilman Garthe. (82:CA 50.1; CA 50.2a) CITY COUNCIL MINUTES 103 MARCH 18, 1974