Butler v. Karb

Citations

• 96 Ohio St. (N.S.) 472

Syllabus

<p>Municipal corporations — Authority to establish lighting plant, etc. —•Exercise of discretionary power—Court may not interfere, when — Section 3616, General Code—Failure of council to adopt schedule of rates—Unjust discrimination by administrative officers—May be enjoined by courts, when—Municipal law.</p> <p>1. Municipalities of thel state are authorized to establish, maintain and operate lighting, power and heating plants and furnish the municipality and the inhabitants thereof light, power and heat. The powers thus conferred are proprietary in their character and in the management and operation of such plant municipal officials are permitted wide discretion. Courts are without authority to interfere therewith upon complaint merely that the capacity of the plant is overtaxed and streets of the municipality are insufficiently lighted by reason of furnishing current to private consumers, and that the rates charged for current are inadequate to meet.the cost of production and transmission thereof.</p> <p>2. But where the council of any such municipality fails to adopt and usé a system or schedule of rates for current furnished private consumers as contemplated by Section 3616, General Code, but leaves the matter of rates to the administrative officers of the municipality, who arbitrarily fix and determine the rates in each case, and in so doing unjustly discriminate between citizens in the matter of rates and service, such action constitutes an abuse of corporate power which may be restrained by the court upon suit instituted by the city solicitor, or by a taxpayer if the city solicitor refuses upon written request to bring suit.</p>