In a number of cases, private operation of an existing government operation may result in a reduction in monthly water bills. Private water companies are constantly working with state and federal officials to ensure that all standards are maintained and that drinking water is clean and safe. The companies also help the local economy by paying state gross receipts, property and other business taxes. These taxes assist in the support of community services and facilities. Private and investor-owned water systems provide the professionalism, staff training and advanced technology required to operate water systems under today's stringent water quality standards.
Private companies are well-positioned to address proposed water quality regulations.
The acquisition of a municipally owned water system by an investor-owned water utility will most likely result in lower costs for materials, employee benefits, insurance and administration. Nationwide affiliations and mass purchasing power may result in significant savings in the cost of items such as fire hydrants, valves, pipes and meters. This benefits thousands of customers who previously did not have water service, or were receiving an unacceptable quality of water. It also provides fire protection capabilities for many customers who previously had no connection to an adequate water supply. A private water system is a utility where the physical assets are owned by an individual or group of individual shareholders.