Little Falls herald. [volume] (Little Falls, Morrison County, Minn.) 1889-1950, 1913-08-22


,appli LEGATIONS for the issuing 81 stocks
and bonds. Such provision 10 not only
beneficial to- the taxpayer and con-
sumner but to the purchaser Of securi-
ties AZ well as the utility corporation
itself. 34.s.
Unnecessary Duplication.An.
other important economic result Of
state regulation is the elimination Of,
waste by preventing the unnecessary
duplication Of utility plants and equip.
8ment. am q firm believer in compe-
tition, but when such competition re-
suits in the construction of utility
plants and equipment far beyond the
possible needs of the community
served, such competition compels the
public to support institutions that are
not necessary. An unwarranted tax is
imposed upon the public at large and
the enterprise usually brings finan-
cial ruin to the investors. The COM
mission should have authority upon
investigation to order increased facili-
ties and equipment, whenever neces.
sary, and to authorize other utility
corporations to enter the field in order
that the people may have adequate
service without paying excessive
rates, but where the community can
not support another plant, the COM
mission must have authority to refuse
Its installation. If in the interest Of
economy and good service, it should
be Of advantage to the municipality
to own and operate any particular
utility, such municipality should have
the right to acquire the same, paying
therefor it's actual value and no more.
3. Municipal Regulation Too Ex-
pensive.-1ntelligent regulation of pub.
lie utilities requires very high order
of engineering, accounting and sta
tistical skill. Every one engaged in
expert service must have scientific
knowledge of utility organization,
management and operation in all its
departments. The commission must
have line of trusty and capable ex-
perts to whom the most technical
and scientific problems can be re-
ferred for investigation and report.
Such experts must have a wide range
Of experience, be familiar with utili-
ties problems in every section of the
state, and have a thorough under
standing of industrial and commercial
conditions generally. In addition
thereto, they must be of unquestioned
integrity, free from local influence or
prejudice I'D actuated only by the
highest sense of justice and equity.
The cost of such experts and the
necessary mechanical equipment Is
prohibitive to all municipalities in
this state with the exception only OF
Minneapolis, st. Paul and Duluth.
will gladly concede that these large
cities can afford this great expense
but granting that, why should the
taxpayers of those cities pay for
three sets of expects and equipment
| when one set is not only sufficient
but can serve all the cities better?
The question is unanswerable. The
very object of regulation is to secure
| the best possible service at the low
est cost to the consumer, and the un
necessary duplication Of regulating
authorities is not only a great eco
nomic waste but also a needless d.
vision of responsibility which neces'
sarily, must result in a proportionate
inefficient service. -...,~"g..>
4. Using Equipment in Common
Finally, there is much equipment that
can be used by several utilities il
common. In the construction of un
derground conduits and mains through
the streets as many public utilities a.
by the nature of the service can op
crate together should cooperate il
! the cost of construction and the use
of common equipment. There is NJ
valid reason why three or four diff
ferent sets of telephone or telegraph
POLES should disagure and obstruc
our public highways and the com
munity at large be made to pay. fol
such unnecessary duplication o
equipment STAGE nearly all of tn,
public utilities are inter-municipal, i
follows that ahere must be a stat,
commission vested with full autho1it,
to order SUCH common use of equip
ment after tue investigation and t.
apportion the pro rata cost thsreo
among those benefited.
lal. UNIFORMITY.
I. AeeouEting.-In order to secur
the highest standard of efficiency AM
economy, 1t is absolutely essential It
have comparative statistics SHOWN,
the operation and experiences of tn
various utility plants throughout ths
state as we'll as other states. TheN
must, therefore, be established uni
form system of accounting. Such saf
counting SHOULD show in detail ,th,
financial and operating experience .
every plant. Under the present Hya
TEN It Is impossible for one plant ID
benefit by the experience Of the other
becau<a there Ia no uniform system a