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First Annual Message of Archibald Johnston, 1918 [continued]
The water is filtered (this operation is also under State supervision). NEVERTHELESS, THE SOURCE IS CONTAMINATED. The sulphur mine drainage and the washings and culm dirt from the breakers, discolor and contaminate the water. The pollution by sewage and manufactural wastes, though checked, is nevertheless bound to be on the increase as the valley develops. This is evidenced by the fact that the Water Company (in an endeavor to supply good water) has within a year been compelled to almost double the capacity of its filter plant. Storm drainage from the streets and alleys of populated areas in itself constitutes an added and an unavoidable source of contamination.
Privately vs. Municipally Owned Water Works. One important difference between a privately owned and a municipally owned public water works is, that the former is considered in the light of an investment upon which the fixed interest and other charges must of necessity be earned at not less (let us assume) than the legal rate of interest. Hence the water company must consider extensions and improvement of plant and service in the light of probable returns on capital investment, otherwise bankruptcy might result; but a municipality, owning its own water works system, may elect at any time, on the score of public policy, to make extensions and betterments and distribute the cost by general taxation. The facilities and SERVICE ARE PARAMOUNT in the latter case, while in the former, they MAY be subordinate.
There exists enabling legislation under which the city may acquire the water works or erect its own system and finance the proposition outside of the constitutional limit of indebtedness.
The inhabitants are in need of a better water works and a purer source of supply at the present time, and this need will grow with the community. However, if the city now owned the existing plant, in my opinion it would not be a sound financial policy for Bethlehem to undertake to secure a different
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