Municipal Public Service Industries

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When an industry is owned and operated by a pri- vate corporation the cost of the service to users and taxpayers is Hmited and fully included in the price paid for it. Users and taxpayers, as such, are not interested in the details of cost of construction, gen- eral expenses, fixed charges, operating expenses and maintenance. Their interest begins and ends in all considerations which explain the price they pay for the service and furnish a basis for establishing the reasonableness of that price
.... The people are right in demanding that services shall be rendered in the best manner known that has been made commercially practicable, and at the lowest fairly profitable price. In determining these points the representatives of I * Extracts from a paper read before the ' ' National Conference of Mayors and Councilmen, " Columbus, Ohio, September 28-30 — October i, 1897.
COST OF SERVICE. 171 the people, whether mayors or municipalities, or mem- bers of city councils, governors of states, or members of legislatures, can have no better guide than the facts of experience.


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