Arizona republican., 1898-07-23

has been discussed so much in the vari- ous sections of the United States. that actual statistics in connection with this subject matter will be more forci- ble than mere wordy arguments. Such statistics no doubt clearly demonstrate the causes which produced a gradual change of water works from private to public ownership.
 "The Manual of American Water Works states that including 1891 there are total of 2037 works, of which 43 per cent are under public, and 57 per cent under private administration. A grouping upon geographical sections of the country show that sections that are new and slow in their develop nent, or have been greatly retarded long time, have the largest percentage of private works; as Montana, Ne vada, with no public works, and ali of the southern states but Georgia with 50 per cent or more of private works While in numbers the private works are ahead, the showing is sharp ly reversed when population is con sidered, SOP per cent of the total pop ulation served by water works being supplied by public works. The groups referred to are as follows: New Eng land states, 67-7 per cent public, S2.3 private: middle states. 7S.8 public, 212 private; south Atlantic states. 55.5 public, 44.5 private; south central states. 17.7 public, S2.3 private: north central states, 7S.0 public, 22.0 private; northwestern states, 46.S public. 53.2 private; southwestern states, 445 pub lie, 54.5 private; Pacific states, PAP public, 75.S private; total United States. 66.2 public, 33.S private; Can ada, S1.5 public, 1S.5 private.
 "A change of eighty-three works from private to public has taken place within the period including 1891.
 From the foregoing review it un doubtedly seems that public wOi Ks gain on private with the general pros perity of the country. In connection with this it is interesting to know that | only twelve of the fifty largest cities of the United States are now supplied wholly by private companies. with San Francisco heading the list. Twenty nine out of the fifty were once sup piled by private companies.
 ''In the ten years prior to 1891 pro Eoters and parent companies, how ever, have been active in constructing private works, one parent company controls nearly forty private works, another some twenty-five or thirty anc ses eral others from two to ten or thereabouts
 From the above it will be seen that water system of any size has shown itself to be one of the most complete Of natural monopolies and almost de- fies competition.
 Statistics on revenue and profit on water works, whether public or pri- v2te, are not easy of access; the only reliable information in this respect can be obtained from public works and as these are operated purely fol the public good in order to supply Water at minimum cost. without . thought of profit, this gross revenue is at least from 1U to 30 per cent less a: compared to those of private enter prises.
 Even at these figures the compar- ison between the revenue derived iron
 water works and railway bonds O.
 stocks, has been shown ln favor of tn
 former as is to AS. The difference
 is, however, that there is very Httl
 water in the public water works cap
 ltaI account, while there is a gOOl
 deal in the railway capital account
 iuc pTlFdle WOTkS Ol LOS Angeles
 Cal. now about to be changed to mu
 nicipal ownership, have been value
 at $1,900,O00; the total revenue de
 rived by the water company was S439
 97l, the yearly expenses for mainte
 nance, etc, was about s100,000, leavin
 a yearly profit altogether out of pro
 portion with the capital invested. N
 doubt an incontrovertibie argument i
 fa1 or of municipal ownership"