Agricultural and Industrial Education Division. Lewis A. Wilson.

PROCLAMATION BY THE GOVERNOR

Relative to the Third Liberty Loan

Governor Charles S. Whitman, on the 6th day of April, 1918, issued the following proclamation to the people of the State of New York in relation to subscriptions to the Third Liberty Loan:

New York's pride is the pride of things done. Her leadership is no more due to her great wealth or her large population than to the patriotism of her citizens and the uses to which her wealth is put. In every war in which this country has engaged, she has shown a spirit of sacrifice that has made her pre-eminent among the States.

In this war New York has outdone her own history.

Over 175,000 of her citizens have gone into the fighting forces of the country.

To the Red Cross, our citizens have given over $30,000,000. One-third of the two previous Liberty Loans, or $2,457,832,100, was subscribed within this State.

On the battlefields of France, the Frontier of Civilization, our men are to-day fighting that this country may endure as a great nation. They are fighting for us. On us is the sacred obligation to meet sacrifice with sacrifice.

I call on every citizen of this State to do his duty, and by subscribing to the Third Liberty Loan, prove to the men at the front that we are doing our part in the world fight against savagery.

Given under my hand and the Privy Seal of the State at the [L. S.] Capitol in the City of Albany this 6th day of April, in the year of our Lord 1918.

By the Governor:

WM. A. ORR,

(Signed) CHARLES S. WHITMAN.

Secretary to the Governor.

STATE DEPT. REPT.- Vol. 15 1

COURT OF CLAIMS

CHARLES N. BULGER, DAVID F. COSTELLO and NELSON P. BONNEY, as Trustees in Bankruptcy of the BATTLE ISLAND PAPER COMPANY, v. STATE OF NEW YORK

No. 1174-A

(Dated February 6, 1918)

Claim arising from the appropriation of lands in the town of Hannibal, Oswego county.

Title of claimants to the property in question-how acquired.

Effect of the appropriation by the State both upon the property taken and upon claimants' remaining property.

Method of arriving at the amount of damage caused by action of the State. Interest on award - to what date figured-counterclaim of State allowed.

The lands taken by the State are part of lot No. 46 in the township of Hannibal, and lie along the Oswego river. In 1791 the State granted to Lieutenant Philip Conine two tracts or lots of land including the lands herein appropriated. This grant carried title to the center of the Oswego river. By mesne conveyances certain of the lands within the Conine patent came into the ownership of Samuel R. Beardsley and in 1901 the Battle Island Paper Company succeeded to the title of all the land, premises and rights owned by Beardsley. The interest in the bed of the Oswego river opposite and adjacent to the premises conveyed to the said company also became the property of the company.

In 1828 the State, in connection with the construction of the Oswego canal, built a wooden dam extending from the east shore of the river to Starch Factory island, and also constructed a navigable by-pass extending around Braddock's rapids and said dam, northerly through the upland on the easterly side of the Oswego river for about two miles where it again entered the river, and a guard lock near the entrance of said by-pass in the vicinity of the said dam for raising and lowering boats from one level to another. The dam under discussion was maintained until about 1867, when it was superseded by a stone dam. This latter dam extended across the river from shore to shore with bulkhead openings immediately above and adjacent to a saw mill on the westerly side of the river. One opening was 19.80 feet and the other 18.92 feet wide, and there were two openings of substantially the same dimensions in the east bulkhead of the dam.

The Battle Island Paper Company was incorporated in 1901 and in that year and the following year purchased about twenty acres of land

2

on the east side of and adjacent to the Oswego river in the town of Volney, Oswego county, N. Y., a short distance up the river from the location of the hydraulic power property hereinafter mentioned, for the purpose of erecting and operating thereon a large plant for the manufacture of sulphite pulp, and the property on the westerly side of the river at the location of the Battle Island dam was acquired about this time for the purpose of developing and using the water power appurtenant to such property for the operation of the proposed sulphite mill. The company actually constructed and equipped such a mill in the town of Volney and also constructed an hydraulic power plant and erected a power house at one end of said stone dam immediately below the bulkhead openings at the westerly or southerly end of said dam. The company also installed generators and other electrical equipment and appliances at the said power house and a transmission line therefrom to the sulphite mill for the purpose of manufacturing and transmitting electric power for the operation of such mill and equipped said mill with electric motors and other appliances and equipment for using such power in operating the mill. New and enlarged steel bulkheads were constructed in connection with the building of the said power house in place of those theretofore existing in the said stone dam. The State paid a portion of the cost of constructing such bulkheads.

From the time of the completion of the said mill and power plant down to the time of the appropriation on or about the 25th day of July, 1912, of the lands and premises upon which said hydraulic power plant was situated, the Battle Island Paper Company operated the said mill in the production of sulphite pulp, using the power developed at the said hydraulic power plant transmitted as aforesaid for the operation of a portion of said mill.

By such appropriation the company was permanently deprived of the use and enjoyment of the water power and water power rights appurtenant to the said property of the company on the westerly or southerly side of the Oswego river. On the 25th day of May, 1914, the company, by a decree of the District Court of the United States in and for the northern district of New York, was declared a bankrupt. The claimants, on the 10th day of July, 1914, were duly appointed trustees of the estate of the said company, thus succeeding as such trustees to all the property and assets of the company including all rights, claims, demands and causes of action against the State of New York, including the claim now before the court, as of the date of adjudication of bankruptcy. The Board of Claims of the State of New York on October 6, 1914, made an order whereby the claim theretofore filed by the company was continued in the name of the present claimants as trustees in bankruptcy.

Upon hearing and considering the claims of the respective parties and personal view of the premises in question, held, that the claimants had been damaged by the appropriation of their property by the State in the sum of $149,350. This sum was arrived at by adding to the market value of the power house property the consequential damages to the transmission line and the installing of change of equipment at