The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-12-11
MUNICIPAL OWNERSHIP DEAR.
ARTHUR III. GRANT TALKS TO THE
UNITY CLUB OF MONTCLAIR.
Why Enterprises Conducted by Orlclals
Are Inferior 10 These Conducted by
Private Persons Employees Collected
for Political, Not BuslnesSlIke. Reasons.

Why Enterprises Conducted by Oficials
Are Inferior 10 These Conducted by
Private Persons Employees Collected
for Political, Not BuslnesSllke Reasons.
MoNrCLAIR, y. j., Dec. 1O.-"The Failure
of Socialistic Methods in City Government"
was the subject Of a lecture delivered be-
fore rho Unity Club of Montclsir tonight
by Arthur II. Grant Of New York. He is
the editor Of a publication known as Con-
corning Municipal Ownership and was
formerly n citizen of this place.
Mr.. Grant opened his address by an ar
raignment of his own delinquency as a
public official Of Montclair. At the time
the Carnegie library was built he was a
member of the library board. He there
fore invited comparison between the public
library and the church in which ne was
! speaking. The library committee was
composed Of leading citizens elected with
out political prejudice, with the sole idea
that they were the best fitted men in Mont
clair to look after the interests Of the reading
public.
The public library was erected at a cost
more than twice as great as that OF the
| church and the results we're used 10 vindi-
cate Mr.. Grants contention that private
enterprise is superior to the best intentions
of a public official.
Here is a public plant, said he, the
public library in which there is no machinery,
no complicated equipment, with the sim
plest problems of construction. Yet had
il not been for the accidental knowledge
of some of the members of the board, the
public library would have been as inefficient
in interior arrangements as it is anachronis-
tic from an architectural standpoint.
ION the other hand, the church next door
put up a building almost perfect in interior
arrangements and unique in its structural
beauty. This result was attained at less
than half the cost of the public library.
In spite of the denial of t~horoughgoing
Socialists. the ownership and or GRAFTON by
cities Of traction, telephone, gas, electric
light and water works is socialistic, in that
it substitutes collectivism for private enter
prise. The success or failure of such 80
~cialistic Methods must be determined by a
comparison as to cost and results with
similar service performed by private enter
prise. Such a comparison shows almost,
if not quite, without exception that for
equally good service the cost is increased
by municipal ownership. As a matter Of
fact, the service is usually inferior, in spite
of this increased cost.
"Inferiority Of service" he said, lis due
chiefly TO the collecting OF municipal en-
, ployees for political reasons instead Of
for their fitness for the work required. the
short emu of Office Of the higher officials
and their ignorance OF the details of the
work which they are expected to super
wise and direct and the lack Of the incentive
OF personal gain from the commercial
success OF the undertaking"
AS the political future Of these higher
officials depends upon keeping prices down
they do not scruple 10 attain this result by
allowing the works TO deteriorate without
making adequate allowance for deprecia-
ton. Thew fail to adopt improved ma
chinery and APPLIANCES, while by skilful
bookkeeping they throw upon the tax list
much Of the cost of renewals under the
guise Of extensions, together with the
charges for interest on bonds, for legal
and accounting servic es. for damages and
street repairs, in fact everything that can
p possibly he shifted to other accounts.
This has resulted in a material increase
in taxation and consequently in rents and
other prices, thus forcing the citizen who
does not uss electricity for example, to pay
part Of the cost Of supplying those who do.
On the other hand opportunities for graft
are multiplied and it becomes easily DOS
sible for the INSCRIPTIONS officeholder to
intrench himself in power by making I'M
wa rrantable concessions to the depart nent
EN- ployces.
an this way" argued the speaker, ~boss
rule il perpetuated and Democratic govern !
ment is supplanted by q bureaucracy which, |
because Of the large number Of employees,
is well nigh im~pregnable.
"The increased taxes and rents resulting
from this municipal ownership put at a
commercial disadvantage the manufacturers
in cities where this form of socialism is
prevalent, and make necessary either a
removal 10 some other locality or the
reduction Of wages of their en-
ployees to compensate for the in
crease in their cost items, 50 thai
while city employees may receive higher
wages than they could under private ownar-
ship, in the long run the money 10 pay this
increase comes out of the pockets of the
wage earncrs h are not thus favored.
II is this last consideration which perhaps
more than any other caused the recent re-
volt against municipal ownership in Lon
DON
Mr.. Grant gave numerous examples of
cities in this country and In Europe to Illus
trate the various defects Of the system and
stated that claims of success were without
foundation in fact and were made possible
only by a system of bookkeeping that
would be regarded as criminal il adopted
by business firms or oorporationS !