Period covered:

TABLE 30

3

3

October

3

3

10

December September | October 1, October 1, October 31,

*See "Meter rates for Water Works," chapter xviii, by Hazen, 1918.

sentative meter rates, typical of existing rates in American Cities, are shown in "Meter Rates for Water Works." Many of these rates have been replaced or increased since these diagrams were published, but they will serve to give a good idea of the wide divergence and unreasonableness of many existing rates and of the advantages of rates in the standard form of the Association. In studying any particular problem it is very helpful to make corresponding diagrams of present and proposed rates. In plotting service charge rates in diagram form, also certain minimum type rates, it is necessary to assume certain size meters for stated quantities.

Statistics of consumption in six completely metered systems are shown in table 30. Data of great interest are noted and a helpful form of arrangement of data in studying rate problems is indicated.

3

* Allen Hazen, Meter Rates for Water Works, J. Wiley and Sons, Inc., 1918.

CHAPTER XXI

PRICE TRENDS AND THE FINANCIAL STATUS OF WATER WORKS

IN THE UNITED STATES

Barring the railroads the water works of this country were the first of the great public utilities. They were the first of the noncompetitive utilities, antedating the other important ones of this group the telephone, gas, electric light, traction and power companies.

It is a singular fact, however, that the water works of the country, the purveyors of one of the necessities, not only of industry, but of life itself, should have had a chequered financial career.

The majority of the water works in the United States were built in the last quarter of the last century, a few of the plants serving the older and larger cities having been established prior thereto. The exploitation of water works building and operation, as a source of profit, occurred in the late eighties and early nineties, and at the latter time several important failures, due to lack of financial sagacity, had a serious retarding influence upon development.

The state of the art advanced rapidly.

The serious menace of water-borne typhoid was effectively checked by the introduction and development first of long sedimentation, then slow sand, and finally rapid mechanical filtration, with the use of chemicals for coagulation. Then followed the development of chlorination and a general advance in standards of purity and attractiveness, consideration being given not only to the safety of the water and low bacterial content, but to its freedom from turbidity, odor and color, and to its softness.

In 1905, or thereabouts, following the period of rapid development of the general public utility field, the making of large loans for betterments in anticipation of the future, with some abusethough less than generally thought-there resulted the appointment in many states of the public utility commissions created to regulate the financial operations of public utilities and to reduce the rapidly multiplying litigation in this field facing the State and Federal courts.