The times. [volume] (Richmond, Va.) 1890-1903, 1897-08-29
Municipal Government in England and the
United States,


Editor Of The Times:
Slr,-Permit me to resume discussion OF
this question interrupted By other claims
on my attention. In my last communica-
ton on the subject l instituted comparison
between the management Of the gas
works in this city and those OF Hudders-
Held, in England, and demonstrated
think. concluslYely that here the WORKS are
carried on at u loss to the Taxpayers
OF the city. although gas Is sold for twice
the price that is charged in Hudders-
field. l propose in this article 10 compare
the cost and management OF the water
works supplying the two places. AT the
outset / would say that | am confronted
with a similar difficulty to that which
met me in dealing with the gas works.
The city authorities here publish no ac-
counts which disclose what the capital
expenditure has been on the water works
and IL is therefore impossible TO say
what part OF the city debt has been in
Cured for water works purposes and
what ought TO be charged against the
revenue derived flom the WORKS for in
terest and sinking fund. The only course
open to me is to take the figures OF the
Finance Committee placing a value on
the works and assume this 10 be their
cost.
In the accounts published by the Hud-
dersfield corporation, and, in fact, all
corporate authorities in England, II IS
made perfectly plain TO any one exactly
what has been the outlay on any puDhc
works and under what authority such
outlay has been made and what has been
the cost OF raising the money 50 expended
and under what terms 1t Is 10 be repaid.
This ought TO be insisted upon here. IL
Is the only correct system. "A reference
10 the accounts disclosing these Facts
I'm the Huddersheld year book shows that
the corporate authorities purchased from
the private company owning the WORKS
at the time OF the incorporation OF the
town their property for the sum OF os,6o3
pounds or s2g33l5, and that they have
since expended on these particular works
in extensions and improvements the sum
Of 1870 pounds or $3.50. In addition TO
this outlay they have constructed or are
now constructing, new works TO meet
the requirements Of the town; not only
now, but for at least a generation 10
come, which have cost, or VIII nave cost
when the work is completed, Whlcn Is
now nearly the case. the additional sum
or 1,0l3,0l3 pounds. or $685.
making the total outlay On water
works capital account s. 1850.
This Is a large sum ior town
OF 10000 inhabitants TO have spent on
one undertaking, but no one there denies
the wisdom and expedency OF the out
lay, and the accounts show that IL is
profitable investment. 1t has been made
in the construction OF a series Of enor-
nous reservoirs, really lakes, In the high
land almost mountain land) some seven
TO ten miles outside the city. These res
ervoirs are at an elevation OF about 800
feet above the level OF the highest por-
ton Of the town, and the water therefore
flows by graVitatiOn into every part or
the city and the pressure on the mains
is so great that water can be thrown over
the highest buildings without the need or
a fire engine. The first cost Of construc-
ton OF works Of this character is neces-
sarly large. The massive entertainments
must be OF undOubted strength and secur-
ity. When, however, once properly con-
structed such works are practically good
for hundreds OF years and the annual
cost OF maintenance and repairs Is re-
duced TO a minimum. So fully Is this real
lied in England that Parliament allows
local authorities 100 years within which
10 repay loans raised for making water
works OF this character, and this Is the
period within which the Huddersfleld
loans for water works purposes are TO be
paid. Such a lengthy period reduces the
amount required 10 be set aside every
year for sinking fund 10 very small
sum, and loans OF this permanent char
acter 90 we'll secured as are the city
and town loans OF most English towns are
readily taken at a very low rate - inter-
est. For n large part OF the 100000 bor-
rOwed by Huddersheld for the water
works only two and one-hat per cent
interest is paid, other part Is carrying
interest at two and three-fourth per cent,
a part at three per cent and small part
at three and one-half and four per cent.
The four per cent loans were those made
when the original works were purchased
by the corporation. and this comparatively
high rate OF interest was one OF the IN
ducements held out 10 the owners 10
bring about a sale. They accepted the
sum offered on condition that the corpora
ton would pay four per cent interest
chase money as the owners did not desire
10 have paid in cash. The supply OF water
secured by this outlay is so large and
so constant that not only are the inhab-
ltants OF the town supplied with II at
very low rates for domestic consumption
but millions OF gallons are supplied FOR
manufacturing purposes, cheaper than the