Cooperation in Irrigation 269 



of Southern California, the value of gravity water now 

 exceeds its original capitalization and varies more than the 

 value of pumped water. It reaches $2500 per miner's inch 

 in some localities. Small shares of stock are convenient 

 and require less dealing in fractional shares. If the capital 

 stock be divided in shares of par value $10 each, then in the 

 case of pumped water at $1000 per miner's inch, each share 

 entitles the holder to the use of one-hundredth part of a 

 miner's inch ; and if a miner's inch serves eight acres, the 

 stockholder with a ten-acre orchard will have one hundred 

 and twenty-five shares. 



"It is not necessary that the number of shares to the 

 acre be specified, for there are other ways to encourage the 

 economical use of water, but it is recommended that the 

 water or the shares representing water rights be made ap- 

 purtenant to the land to be irrigated by the system and 

 to the adjacent lands. The adjacent lands are included 

 only because water may sometimes be used more economi- 

 cally than is expected, in which case some of the shares may 

 be transferred to land joining the original tract and the 

 service of the company extended without increasing water 

 supply or capital stock. There is a disadvantage in a 

 member owning more shares than necessary for the irri- 

 gation of his land, as the stock is assessed for the mainte- 

 nance of the system, and this together with the provision 

 for appurtenance prevents speculation in stock. Where 

 there is no indebtedness, assessments need not be levied 

 annually but only as required by new works, extensions, 

 or special repairs. A water rental or charge just sufficient 

 to meet the ordinary or operating expenses is consistent 

 with the stated purpose of a mutual or non-profit company, 



