352.5 STREET LIGHTING IN ST. LOUIS REP O R T OF THE LIGHTING COMMITTEE OF THE CIVIC LEAGUE 1 9 0 8 THE CIVIC LEAGUE OF ST. LOUIS ST. LOUIS, MO. Junction of Lindell Boulevard and McPherson Avenue, St. Louis. ^60 Street Lighting in St. Louis. 3 So^.^5 \C\ Statement of the Executive Board To the Citizens of St. Louis : — More than a year ago the Executive Board of the Civic League appointed a committee “to investigate and report upon the most de- sirable and economical form and method of lighting the streets and alleys of the city.” We were fortunate in securing for service on that committee men who were well equipped both by experience and training to furnish the most reliable recommendations for the proper solution of this question. They were J. L. Van Ornum, Chairman, Professor and Head of the Civil Engineering Department, Washington University; E. L. Adreon, Vice-President and General Manager of the American Brake Company, who for eight years served as Comptroller of the city; Joseph D. Bascom, of the firm of Broderick & Bascom Rope Company; Tres- cott F. Chaplin, attorney; John J. Lichter, mechanical engineer; A. S. Langsdorf, Professor and Head of the Electrical Engineering Depart- ment, Washington University. This committee is equipped to pass judg- ment, not only upon the engineering problems involved, but also upon the financial and legal points at issue. The committee has studied the question from every point of view and its conclusions are expressed in the accompanying report, which we heartily approve and submit to the people of St. Louis for their information. The committee deserves the commendation of the entire city for the time and labor given freely to this careful and scientific analysis of the lighting problem. EXECUTIVE BOARD. Mayo Fesler, Secretary. H. T. S. McPtieeters N. A. McMillan Edward C. Eliot Geo. C. Hitchcock J. H. Gundlach Dr. M. B. Clopton Geo. D. Markham N. Davis, President J. L. Hornsby B. J. Taussig Henry T. Kent J. Lawrence Mauran Chas. Rebstock Chas. A. Stix Francis A. Drew May, 1908. 4 Street Lighting in St. Louis. Statement of the Lighting Committee To the Executive Board of the Civic League: Gentlemen: — Your committee to whom was referred the question of street lighting in St. Louis, with the request that we investigate and report upon the most desirable and economical form and method of lighting, begs leave to submit the following report, containing the conclusions which have the unanimous approval of the committee. During the investigation, begun more than a year ago, we have consulted all of the literature available on the subject, including the lighting reports from the various cities, government reports, discussions on the question of municipal ownership, magazine articles, and the exhaustive report of the National Civic Federation on the “Municipal and Private Operation of Public Utilities,” which contains the most recent data on municipal lighting plants in American and English cities. We framed a list of questions which were sent to the Supervisor of Lighting in each of the first twenty cities in the United States, re- questing accurate and detailed information on practically every phase of the problem. We have carefully reviewed the history of street lighting in St. Louis and as far as possible examined the facts relative to the rights of existing corporations and the laws, both state and municipal, controlling them. From these sources your committee has drawn its conclusions, which are here set forth in detail, and also summarized in the brief state- ment in the opening pages. We submit this report with the hope that it will assist in some measure at least, in solving the lighting question in St. Louis far enough in advance of the expiration of the present contracts as to enable the city to secure for the future the best form and method of lighting and at a minimum cost. Respectfully submitted, LIGHTING COMMITTEE, J. L. Van Ornum, Chairman. Teescott F. Chaplin E. L. Adreon A. S. Langsdorf Joseph D. Bascom John J. Lighter Central Avenue, Rio de Janiero — A Suggestion for the Lighting of Twelfth Street. 6 Street Lighting in St. Louis. Summary of Conclusions I. The present contracts for street lighting expire August 31, 1910. II. Definite arrangements for the lighting of the streets should be made far enough in advance of that date to secure the best system of lighting and insure the best terms to the city. III. The committee believes that for the present at least the residential section of the city should be lighted by gas and the business section by electricity. IV. The present cost of electricity of $97.50 per arc lamp per year and $19.65 per incandescent lamp per year, and of gas at approximately $27.00 per mantle lamp per year, is unreasonably high and should be materially reduced. V. Three possible ways of securing a reduction in the cost of electricity. A. By constructing a municipal plant. B. By encouraging competition. C. By regulating and controlling prices. ?- A. A Municipal Plant: 1. The total cost of operating a municipal plant, if operated in a business like manner, would be approximately 2 y 2 cents per kilowatt hour, or about $69.00 per arc lamp per year, and about $17.00 per incandescent lamp per year. 2. But the danger of partisan politics in the management and operation of the plant, which tends to reduce its efficiency and increase its cost, indicates the inadvisability of municipal ownership except as a last resort. 3. Municipal ownership in the place of public franchise grants merely transfers the danger of political mismanage- ment from the legislative body, which grants the franchise, to the administrative officials appointed by the legislative body to operate the plant. 4. The economy of municipal operation and control has not yet been proven in this country — only two of the first ten cities, Chicago and Detroit, have attempted it. The ex- perience of these two cities is not such as to warrant the statement that a municipal plant would be more economical than contract lighting. Street Lighting in St. Louis. 7 5. In the opinion of the Committee the conditions at the present time are unfavorable for the construction and operation of a municipal electric lighting plant for the lighting of the streets of the city; and it believes this function should not be undertaken by the municipality if reasonable rates and efficient service can be secured from private companies. However, the city should reserve the right to construct its own plant. B. Competition : 1. The duplication of investment and equipment, the damage to the pavement, and the injury to the appearance of the city, make competition wasteful, ultimately add to the price paid by the consumer, and finally induce public lighting corporations to merge. 2. The company which supplies commercial lighting can supply public lighting at a minimum cost to the city, because: (a) Every increase in the demand for service means a decrease in the cost of production. (&) An electrical plant, primarily for street lighting, cannot be operated economically since its daily out- put is small and it is under full load for less than half the time. A commercial plant is under a more nearly uniform load during the twenty-four hours of the day. (c) A private company can take immediate advantage of inventions and improvements for reducing the cost of production. Municipal plants, as is shown by experience, seldom keep pace with modern and im- proved methods. 3. Your committee is of the opinion* that a resort to com- petition, while it might assist in reducing exorbitant rates temporarily, is only a makeshift; and that permanently satisfactory results and a minimum cost for lighting can- not be secured by competition. C. Regulation and Control of Existing and Future Companies : 1. The Enabling Act of 1907 gives the city full power and authority to fix and determine a reasonable rate both for gas and electricity, and to provide and enforce fines for the violation thereof. Street Lighting in St. Louis. 2. A Public Utilities Commission, composed of competent and trustworthy business and technical men, should be provided immediately by ordinance, with such powers as are prescribed by the Enabling Act. VI. Payment for electricity and gas should be based upon metered service — the maximum cost per lamp per year being fixed by ordinance. VII. No contract should be made for gas or electric lighting covering a long period of years, and it should contain provisions for frequent readjustment of rates and a clause enabling the city, at intervals, to require the substitution of new and more efficient styles of lamps. Only in this way can the public reap the advantage of the rapid reduction being made in the cost of gas and electric light as a result of new inventions and improvements. VIII. A uniform system of efficient and ornamental lighting should be established, especially for the business streets, of the city. (a) In the business partion electroliers or arc lamps of uniform style should be adopted and so spaced as to brilliantly illuminate the streets by night and make them attractive by day. (ft) In the residential portion it may be deemed advisable to supplement the present gas lights with arc lights at street intersections in order to secure adequate illumination. IX. In all of the conclusions reached, the committee is unanimously of the opinion that a definite and reasonable regulation and control of prices and service, determined by a Public Utilities Commission, per- manently established by ordinance under recent statute, is funda- mentally essential. Street Lighting in St. Louis. 9 History of Street Lighting in St. Louis Public lighting of the streets of Saint Louis begins with the year 1836, when Ordinance No. 306 was passed authorizing the Mayor to contract with the Saint Louis Gas Work Company for lighting the city under an exclusive contract, for a term of twenty-five years. The illuminant was specified to be carburetted hydrogen gas, the city obli- gating itself to furnish “as much water from the water works of the city as shall be necessary for carrying on the operations of generating and purifying the gas * * * * providing that the quantity of water to be thus taken shall not exceed one hundred gallons a day.’’ The city agreed to pay the Saint Louis Gas Work Company “one cent for each cubic foot of gas consumed by the street lamps of the city,” and gas mains and lights were required to be installed on Water and First Streets before November first, 1836. The city retained the right to purchase the gas plant at the end of the twenty-five years under a fixed arrangement; failing which, the exclusive privilege of the com- pany was to be extended an additional twenty-five years. Many Ordinances Passed In the succeeding seventy years, more than one hundred ordinances, dealing with the lighting of streets, have been passed, the earlier ones relating only to the company already mentioned, but under its usual designation of “The Saint Louis Gas Light Company;” and later ordi- nances were passed concerning other companies that entered the field as the exclusive privilege became forfeited, as the city extended its limits or as the franchise lapsed. In 1841, the city of Saint Louis became a stock holder in the Saint Louis Gas Light Company to the extent of five hundred shares, the ordinance requiring this action being passed over the Mayor’s veto. This city ownership of stock continued for nearly fifty years; for, in 1889, the Municipal Assembly authorized and directed the sale of “one hundred and ninety-nine shares of the capital stock of the Saint Louis Gas Light Company at a sum not less than four hundred dollars per share.” In 1841 the streets were lighted as far west as Seventh Street, and in 1850, as far as Sixteenth Street. Serious attempts were made to purchase the property of the com- pany mentioned, particularly in 1864. On June 25th of that year an ordinance directed the Mayor to notify the Saint Louis Gas Light Com- pany that it was the intention to purchase its property at the expira- tion of the specified twenty-five years. After official consideration of the proposition for a number of weeks, during which the City Assembly seemed to favor the purchase and the executive department to oppose 10 Street Lighting in St. Louis. it (the City Counsellor meanwhile giving his opinion that, under com- plications that had arisen, the purchase could not be legally effected), the matter was finally settled adversely by the Mayor vetoing an ordi- nance providing definitely for such purchase. In 1865, the city contracted with the Saint Louis Gas Lighting Company to light the streets of the city at “actual cost thereof,” the cost to include “dividends not exceeding eight per cent per annum” and all expense of operation, repairs and extension, except the cost of new mains or lamps, which were made special assessments upon property fronting upon the proposed improvement. This contract was to expire in 1890, and was affected in some of its provisions by statutes involving a considerable measure of state supervision. In 1866, a city gas inspector was authorized at a salary of $2000 per annum, and fees, out of which he was to pay all the expenses of his office. Among his duties was the inspection and reading of gas meters; meters lacking such seal allowed the householder to avoid all payment for gas consumed. In 1870, the salary was reduced to $300 per annum, the fee of fifty cents for inspection of gas or apparatus under mistaken complaint still remaining in force. In 1873, this salary was again changed, this time to $3000 per annum, without fees. In 1889, Ordinance No. 15105 authorized a Supervisor of City Lighting, at a salary of $2500 per annum, with a clerk and inspectors at a salary of $1200 per year, each. Territory Divided Between Two Companies In 1873, a contract was made with the Laclede Gas Light Com- pany, the Saint Louis Gas Light Company assenting, to engage in the making and selling of gas in the northern part of the city, northward from the buildings fronting on the southern line of Washington Avenue to the extreme limits of the city. This contract was to expire in 1890, and the company was to receive $30.00 per lamp per annum for gas for lighting the streets and $7.00 each additional for cleaning, lighting, extinguishing, and keeping the street lamps in repair; and $3.25 per thousand cubic feet from private consumers, with reduction in price to $3.10 per thousand if the price of coal for making gas should be reduced from thirty cents to twenty-five cents per bushel; if the price of coal should become twenty cents per bushel, the maximum charge to private consumers was to be $3.00 per thousand cubic feet. Under ordinances passed in 1874 and 1875, the city contracted with the Carondelet Gas Light Company “for the lighting of the southern portion of the city of St. Louis,” at the rates mentioned in the pre- ceding paragraph. The territory affected by this contract was in the extended city limits, south of Keokuk Street. Gasoline for Street Lighting In 1880, the city began the lighting, by gasoline lamps under direct control of the Board of Public Improvements, of relatively small outly- ing areas of new territory, added by the extension of the city limits, Street Lighting in St. Louis. 11 where contract lighting did not extend. In 1882, a contract was made with the Ohio Valley Street Lighting Company of Cincinnati to light with gasoline the greater part of this extended western territory of the city. This contract was to be in force for five years, but was amended in 1884 to expire in 1890, as was the case with all the street lighting contracts then in force. The price fixed upon was $28.00 per lamp per year, and the contracting company agreed to pay the city $6.00 per lamp for the posts, burners, etc., that had been erected by the city in the territory to be occupied by this company. In 1886, an ordinance became a law granting to the Saint Louis Gas Light Company until the year 1920 privileges of laying and main- taining gas pipes and mains, etc., from Keokuk Street to Washington Avenue, and from the Mississippi River to the western limits of the city. The exclusive and valuable privileges granted to the same com- pany by the ordinance of 1873 were to definitely and specifically termi- nate January 1, 1890. The price to private consumers was to be not more than $1.25 per thousand cubic feet furnished, and if required it agreed to light the streets in its territory at an annual cost to the city of $20.00 per lamp. In the same year, a similar ordinance cov- ering the whole area of the city of St. Louis was passed in favor of the Saint Louis Gas, Fuel and Power Company, also permitting sale of its contract privileges. Municipal Lighting Considered In 1888, the second serious consideration of the advisability of direct municipal lighting of the city streets was authorized by Ordinance No. 14604, which provided for a commission to negotiate a lease of the Laclede Gas Light Company and the Saint Louis Gas Light Company. No definite results followed this movement, for there seems to have been repeated the division of opinion upon the advisability of the propo- sition that characterized the question a quarter of a century before. After five months of controversy over the proposition, the commission reported that, before making any recommendation, “it is essential that the opinion of the Municipal Assembly shall be taken on the main proposition, namely, is it desirable that the city of Saint Louis shall enter on the business of manufacturing and selling gas for illuminating, heat and power purposes on and after January 1, 1890, provided satis- factory terms for the acquisition of the gas property can be made.” This report was referred to another committee; and after various vicis- situdes the project slept. Lighting by Electricity In 1890, the lighting of the streets by electricity was begun. The number of lights in operation, during the year previous for the light- ing of the city streets, was as follows: 12 Street Lighting in St. Louis. Gas lamps of the Laclede Gas Light Co 8,018 Gas lamps of the Carondelet Gas Light Co 691 Gasoline lamps , 933 9,642 The disappearance of the Saint Louis Gas Light Company from the table above is explained by its absorption by the Laclede Company. The gas lighting contracts of the city expired January 1, 1890; as new contracts had not been made for the lighting of the streets the old rates for gas lamps were continued temporarily. The lighting of the northern part of the city was contracted for by the Laclede Gas Light Company, and that of the southern section of the city by the Missouri (later the Missouri Edison) Electric Light and Power Com- pany, both contracts to expire January 1, 1900. Under these contracts, the streets were lighted by arc lights and the alleys by incandescent elec- tric lights. At the expiration of the above contracts, the usual failure to have lighting of the streets adequately considered in its various aspects, in time for carrying into effect such conclusions as might be reached, was again encountered; in fact the situation was so serious that the greater part of the city was in darkness for more than a month. The street lighting contracts expired on January 1st, 1900, and consequently on Monday night all alleys, parks and public buildings from Washington Avenue to Keokuk Street, and from the river to the western limits of the city, were in darkness except for the Insane Asylum, the Super- intendent of which paid $75.00 out of his own pocket for a continuance of its lighting for one week. The other city institutions made use of candles, coal oil lamps, lanterns, etc., for illuminating purposes. On January 3d, a public-spirited citizen agreed to pay the cost of the electric lighting of the City Hospital; and later, others responded in a similar way. On January 4th, a fire was caused in Engine House No. 6, by an accident to an oil lamp. The fact that the streets still were lighted by arc lights was due to a ruling of the City Counsellor that that particular contract did not expire until April 30, 1900. A daily paper on January 2, 1900, contains the following: “The Municipal Assembly and the Mayor, which alone have the power under the City Charter to avert the crisis that has come upon Saint Louis, have known for the full term of their offices that the time of the expiration of the electric lighting contracts was approaching, yet they have taken no action toward averting it. * * * * In nearly half of the city the public buildings are practically in dark- ness, the alleys are in complete darkness and are rendezvous that thieves and thugs can safely seek; the parks are in total dark- ness. * * * * The fire engine houses are in at least partial darkness, and to that extent the efficiency of the department on which depends the safety of millions of dollars’ worth of property is impaired; the eleemosynary institutions are forced to the use of candles and coal oil lamps. * * * * There is no par- ticular reason for the incandescent lighting in the district north of Street Lighting in St. Louis. 13 Washington Avenue, except that the Laclede Gas Light Company, which holds the contract, decided to continue the service, and run the risk of getting paid for it.” Serious Delay in Passing Ordinances The facts seem to be that, not only were general street lighting ordinances delayed until too late, but special (temporary) lighting bills sent to the City Assembly by the Board of Public Improvements, to prevent the impending danger of darkness, remained in the Assembly from November 17, 1899, to January 5, 1900, before securing action; on the latter date they were killed by adverse vote. These rejected bills provided for a short time continuance of the previous contracts at pre- vious rates. On January 7th, three new temporary lighting bills, of similar im- port to those rejected, were introduced. Daily mass-meetings of citizens were held, increasing in fervor, and plans were adopted to make very plain the attitude and opinion of the citizens concerning the conditions •existing at the time. On January 16th, the greatly desired temporary lighting bills were passed and signed by the Mayor. Bids were then asked for, and finally, on February 2nd, contracts were signed for again lighting the city until September 1, 1900; and the lights were turned on that evening. Present Contracts Expire in 1910 The present contracts provide for the electric lighting of the central portion of the city by the Union Electric Light and Power Company, and the lighting of the remainder of the streets by incandescent gas mantles by the Welsbach Street Lighting Company of America, as authorized by Ordinances, Nos. 19892, 19913 and 19915. These con- tracts will expire September 1, 1910. In April, 1907, there were in use for the contract lighting 1082 arc lamps, costing the city about $97.50 per lamp per year; 4538 incandescent lamps, costing about $19.65 each, per year; and 17079 (gas) mantle lamps, costing the city nearly $27.00 per lamp per year. The Laclede Gas Light Company and the Union Electric Light and Power Company are the only private corporations at present extensively furnishing gas or electricity in Saint Louis for public or private use; and these two companies are practically one and the same — the stock in both being controlled by the same stockholders. This brief sketch of the history of street lighting in St. Louis is given to show that the problem is growing more and more complicated as the city expands, and that every effort should be made to determine definitely months in advance of the expiration of present contracts, what policy the city will adopt for the future — whether the city will do its own lighting or whether it should continue for the present, at least, to light the streets and public buildings by contract. 14 Street Lighting in St. Louis. Ownership and Operation of Lighting Plant (Private or Municipal.) In the examination of the best method of lighting to be adopted by the city of St. Louis the first question to be determined is, shall the city construct and operate its own plant or shall the work be done under contract by a private company. Certain well established facts as to the nature of the work must be kept in mind in the consideration of this question. Street Lighting a Natural Monopoly I. Street lighting is a municipal function of a distinctly public character. It is not one which can be left to the whims of the indi- vidual citizens nor to the business acumen of lighting corporations. The use of the streets for wires, poles and conduits; the interference of these wires with the work of the fire department; the necessity of some uniformity in the style of lamp posts and fixtures, and also in the kind and amount of lighting, makes it an undertaking which the municipality itself must either perform or regulate and control. II. Street lighting, cannot, in the long run, be secured at a mini- mum cost to the city, by competition. The division of the work between two or more companies means a duplication of equipment and invest- ment, a corresponding increase in maintenance charges which ren- ders it economically wasteful; and economic waste means higher charges for light. Economy in lighting is increased not by competition and division, but by cooperation and concentration. Competition may, as a corrective measure, secure the reduction of an exorbitant price to a reasonable one, temporarily; but the economic waste involved in the duplication of the plant will inevitably bring the total cost, for a period of years, to a figure higher than is necessary, in order to repay the extra outlay for duplication. The history of competing gas and electric public service corporations in this city, as well as in all other cities, goes to show that gradually they have become merged into one for the simple reason that public lighting is a form of service which will not admit of competition. Where, however, regulation of rates, to prevent extortionate charges, is available, through a Public Utilities Commission, it surely is wise thus to secure reasonable rates, rather than to subject a city to losses and inconveniences involved in duplicating plants. An apparent ex- ception to this principle occurs when the competition involves some principle so relatively novel as to be practically revolutionary in char- acter. For example, if it proves feasible to bring natural gas to the city, its cost for illuminating the residential portion of the city may be so much less than the cost of producing artificial gas for this pur- Street Lighting in St. Louis. 15 pose that a competitive franchise of this character may be a very wise procedure, both in the interest of street lighting and of the private use of gas. III. Street lighting, both gas and electricity, are subject to the law of increasing returns: i. e., every expansion of the plant and its equipment and every increase in the demand for service means a de- crease in the cost of production. Hence, one source of supply and one system of distribution means a minimum cost of light to the con- sumer. These generally accepted principles as to the nature of the under- taking make it clear that the functions of street lighting is non-com- petitive in character, and one which the municipal government itself must either perform or carefully regulate and control. Advantages and Disadvantages of Municipal Ownership The question of the advisability of installing a municipal lighting plant is a complex one. In a general way the arguments for and against the public ownership and operation of public utilities apply to the case in question. Earnest advocates of such ownership have many arguments and examples with which to fortify their position; and op- ponents of public ownership also strongly maintain their convictions by forceful reasoning and pertinent example. The advocates of municipal ownership and operation of public light- ing advance three main arguments to prove their case, namely: a. Municipal ownership and operation will remove from the field of municipal politics the corrupt influence of a franchise holding cor- poration. b. It will expand the civic conscience and increase the interest of the citizens in municipal affairs. c. It will reduce the cost of the service and at the same time in- crease its quality. No Advantages Politically Politically considered, there is no advantage in municipal owner- ship. Its disadvantages may amount to nothing, or may be considerable, or even very serious. These dangers are of two kinds: that of the cor- ruption of the management of such a public utility to the extent of a partial or complete control of the votes of employes; or that of external pressure on the management by influential politicians, such as inducing' the appointment of their adherents to comfortable berths or (as stated to have occurred in the Philadelphia Gas case), refusing as members of the city council to appropriate funds for necessary repairs and improve- ments for the apparent purpose of securing a lease of the discredited works for themselves or friends. So strongly does the danger of such possible results appeal to some that they consider them fatal. If the political advantages of municipal ownership are at best nega- tive and the dangers are sometimes very positive and serious, it is 16 Street Lighting in St. Louis. also equally evident that the alternative, that is, private ownership of public utilities, does not at all insure the political integrity of public officials; it merely changes the lines of attack from the administrative officials of the municipal plant to legislative officials in whose hands is the power of voting franchises or privileges, or imposing restrictions and penalties. Rather is there a greater danger of periodic bargaining and bribery which, though probably more easily detected and punished, is so insidious and radical in its deplorable effects on republican insti- tutions that many consider them really “destructive of political purity, democracy, and free institutions.” The possible danger of control of votes for a party in power is greater in the municipally owned plant, but the safeguarding of the integrity of public officers can claim no de- cided advantage for either system Ox ownership. However, it would appear that the essence of the discussion on this point would reduce itself to the question whether the public can, in the long run, more safely trust to the fidelity of the executive officers of the municipal plant, or to that of its legislative officers concerned with legislation affecting the private corporation. In either case integrity must exist. Every one must admit that there is a certain civic interest created and developed where a city owns and operates successfully one or more of its own public utilities. This results more particularly from the successful operation of such utilities as the street railways, water supply and gas supply, those which affect intimately the daily comfort and convenience of the inhabitants. The citizen is constantly reminded of the advantages which come from their proper management, but with street lighting, important as it is to the social and economic welfare of the city, he is reminded of its importance only when he finds himself in darkness or unprotected from the attacks of street ruffians. In the recent investigations of the National Civic Federation into the ownership and operation of the electric lighting plants in American and European cities, the committee found in Chicago and Detroit, the only large cities which own and operate their own lighting plants, that the interest is at best only passive and the attitudes of the public press is one of indifference. Civic Interest Depends Upon Successful Operation The arousing of a healthy civic interest through the operation of public utilities is wholly dependent upon the successful operation of the utility in question. This presupposes an already existing interest on the part of the citizens sufficient to insure at least a safe and business- like control of the municipal plant; which means the appointment of employees who can and will operate it with approximately the same de- gree of care and skill as if it belonged to a private company. This interest is usually present in the municipal operation of those utilities which affect primarily the public health but, as has been pointed out, public lighting does not fall in this group of utilities. Hence, men are likely to be appointed to office because of their political affiliations and with little thought as to their skill and training in this particular Street Lighting in St. Louis. 17 field of work. The successful operation of a lighting plant requires men with more than usual technical skill and training. Such men are not, as a rule, secured for municipal work because of the political influences at work and because the salaries are usually so low that they furnish no inducement to highly trained men to leave the em- ployment of private companies in order to enter the uncertain field of municipal public service. Opinion of an Unprejudiced Committee. The report of the Committee of the National Civic Federation on the ownership and operation of public utilities in American and English cities, the most representative and conclusive report on this subject yet published, says on this point: “Our investigations teach us that no municipal operation is likely to be highly successful that does not provide for: First — An executive manager with full responsibility, holding his position during good behavior. Second — Exclusion of political influence and personal favoritism from the management of the undertaking.” “We wish to bring to your consideration the danger here in the United States of turning over these public utilities to the present gov- ernment of some of our cities. Some, we know, are well governed and the situation on the whole seems to be improving, but they are not up to the government of British cities. We found in England and Scot- land a high type of municipal government which is the result of many years of struggle and improvement. Business men seem to take a pride in serving as city councilors and aldermen, and the government of such cities as Glasgow, Manchester, Birmingham and others includes many of the best citizens of the city. These conditions are distinctly favorable to municipal operation.” “In the United States, as is well known, there are many cities not in such a favorable condition. It is charged that the political activity of public service corporations has in many instances been responsible for the unwillingness or inability of American cities to secure a higher type of public service. This charge we believe to be true. However, there seems to be an idea with many people that the mere taking by the city of all its public utilities for municipal operation will at once result in ideal government through the very necessity of putting honest and competent citizens in charge. While an increase in the number and importance of municipal functions may have a tendency to induce men of a higher type to become public officials, we do not believe this of itself will accomplish municipal reform. We are unable to recom- mend municipal ownership as a political panacea.” Will Municipal Ownership Pay? Whatever may be the political and social conditions which make municipal ownership doubtful, the decisive consideration is the economic one — “Will municipal lighting pay?” Under proper regulation and em- 18 Street Lighting in St. Louis. ploying correct details, that kind of ownership of a public service is best for a city which gives it the better service for the same cost, or an equal service at a lesser cost. We are confronted at once with the fact that of the first fifteen cities in the United States only two have tried the experiment of municipal ownership and operation of street lighting, and this has been confined to electricity. The two cities are Chicago and Detroit. A number of cities of less than 50,000 inhabitants have experimented more or less successfully with municipal lighting, but the conditions in a city of 50,000 people are so totally different from those of a city of 500,000 or 700,000 that any attempt to determine policies for a large city on the experiences of cities of less than one-tenth its population is certain to prove futile. Smaller cities can more logically undertake municipal ownership of lighting plants because the people are in closer touch with the government of the city and the officials are known to every one; while in a larger city not only do the people not come in contact with the officials, but the question of lighting is so big and so complicated that the average citizen finds it almost impossible to gain an accurate knowledge of the facts and conditions. British Experience No Criterion Reference is made repeatedly to the successful financial experience of British cities in the municipal ownership and operation of street lighting plants. Sixty-five per cent of the British cities are performing this service economically and satisfactorily and the reports show that, on the whole, these cities are not only getting better service for a less cost, but the condition of the laborers, both as regards salaries and hours, is better than in plants owned and operated by private corpora- tions. But, as has been pointed out, we can not with any degree of fair- ness or accuracy use the successful experience of English cities for examples of what American cities can do in substituting municipal own- ership for private ownership. The political and social conditions and the municipal ideals of those cities are so radically different from our own that tables of comparative statistics would be wholly un- reliable as furnishing a basis for a similar policy in this city. The National Civic Federation report says further on this point: “Finally, not only must it be borne in mind that the social and political conditions which characterize the two countries (England and the United States) find expression in their private and public systems, but we consider the difference in the nature of the two peoples which cause them to adopt different ideas and views as to the expediency of certain things. In other words a measure of success in the municipal management of public utilities in England should not he regarded as necessarily indicating that the municipal management of the same utili- ties in this country would he followed by a like measure of success. Conditions are quite different in the two countries.” It would seem, therefore, that for purposes of comparison we must be limited to the experience of the two cities in this country, Chicago Street Lighting in St. Louis. 19 and Detroit, which have adopted the policy of municipal ownership and operation of electric lighting plants. Here, again, we are confronted with the difficulty of getting at the real gross cost to these cities for the service. In spite of the fact that the annual reports from the officers in charge of these plants are supposed to state cold facts and give every detail of expense connected with the operation of the plants, a careful examination of the books and accounts by expert accountants show that these officers are advocates of a cause rather than disinterested compilers of statistics. Fortunately, however, we are not compelled to rely upon the figures as given by these officials, but can go directly to the reports of the public accountants. Items of Cost to be Included The chief items which should be included in any true estimate of the gross cost of supplying lights to a city are as follows: I. Operating Cost. — This covers not only the cost of generation but of distribution, and includes such items as fuel, water, oil, wages, salaries, rent, maintenance, repairs, etc. Salaries should include a proportionate share of the expense of whatever departments of the city government are charged with any portion of the management of the plant. If the accounts are kept by the Comptroller’s department, then a fair pro- portion of the expense of that office should be charged to operating ex- penses. If the plant occupies a part of a public building used for other purposes, then a fair proportion of the rent of that building should be charged to operating expenses. In short, whatever supplies or services the electric plant received from any other department of the city gov- ernment should be included in the expense of operation. II. Depreciation. — This cost must be considered on apparatus, build- ing, lines, lamps, and every thing which has to do with the production and distribution of electricity, with the exception of the land on which the building is located. The question of depreciation is one on which there is always a great variety of opinions. If it were merely the question of duplicating worn out machinery the percentage of depre- ciation could easily be estimated, but in the electrical business it is not the simple wearing out of the machinery that causes depreciation. It is the progress of the art of electric lighting and the rapid changes which are constantly being made in electrical devices and equipment. So rapid has this progress been that what was modern equipment ten years ago is now largely scrap. Scarcely a piece of machinery ten years old but what must be discarded in favor of a more efficient and economical substitute. III. Interest on the Investment. — This should be estimated on the basis of the average rate of interest paid on the bonds of the city. IV. Sinking Fund. — The portion of revenue set aside each year to retire the bonds issued to build or purchase the plant. 20 Street Lighting in St. Louis. V. Taxes. — An amount equivalent to the sum which the city loses, if it, instead of the private company, owns and operates the plant. VI. Insurance. — An annual premium on an amount sufficient to re- place the plant were it destroyed by fire. These items have all been included in the recent report of the National Civic Federation in its exhaustive investigation of the De- troit and Chicago plants. The report of Marwick, Mitchell & Co., char- tered accountants, who were employed to make the investigation into the financial affairs of the electric light plants can, we think, be accepted as the most trustworthy report yet issued on the actual cost to these cities of the lighting of their streets. Chicago A condensed summary of their report on Chicago is herewith at- tached : CHICAGO MUNICIPAL ELECTRIC LIGHT WORKS. I. A summary of expenditures to December 31, 1905, including cost of land, construction of plants and extension of system: 1. Cost of construction and equipment of the plants and extension of the system $2,288,665.77 2. Land 79,340.74 3. Total capital expenditure $2,368,006.51 From which deduct: — (a) Estimated value of Throop street plant and land sold in 1892 $103,890.28 (b) Depreciation (being amount necessary to reduce the book value of the plant to the appraised value stated by en- gineers) 941,610.65 (c) Depreciation in value of land 6,798.40 $1,052,299.33 4. Appraised value as at Dec. 31, 1905... $1,315,707.18 II. A summary of the cost of operation from 1888 to December 31, 1905, including taxes, depreciation, insurance, water, rent, salaries, wages, etc. Street Lighting in St. Louis. 21 Cost Per Arc Lamp Per Annum Cost of Opera- Average Number tion (Exclusive of Year of Interest.) Arc Lamps. Exclusive of Interest. Including Com- pound Interest at 4 per cent per annum on Capital Invested. 1888 $ 16,732.29 192 $ 87.15 $101.83 1889 59,304.61 297 199.68 238.33 1890 116,824.79 900 129.61 155.19 1891 173,434.33 993 174.76 207.28 1892 176,365.24 1,102 160.04 192.17 1893 183,081.00 1,112 164.64 196.97 1894 175,589.10 1,108 158.47 194.06 1905 185,772.52 1,116 166.46 205.86 1896 188,441.07 1,254 150.27 188.39 1897 174,560.91 1,438 121.39 156.99 1898 187,393.73 1,710 109.00 142.76 1899 246,051.06 2,893 85.32 109.04 1900 355,629.32 3,867 91.96 112.53 1901 366,763.85 4,305 85.19 101.24 1902 362,177.93 4,508 80.34 99.28 1903 379,283.15 4,827 78.57 98.78 1904 390,144.44 5,034 77.60 106.45 1905 491,006.52 5,743 85.49 100.06 Total cost of operation. $4, 228, 555. 86 42,399 $ 99.73 $124.32 III. A summary of the number of lamps rented from private corporations from 1890 to December 31, 1905, and the average cost per light. Year 1890 1891 1892 1898 1894 1895 1896 1897 1898 1899 1900 1901 1902 1903 1904 1905 Average Number of Lamps. 93 166 174 184 203 524 480 492 515 529 665 671 600 611 656 643 Average Cost per Lamp per annum. $177.95 174.33 174.63 155.62 137.38 103.38 113.28 113.23 109.10 103.28 102.84 101.58 102.66 102.82 102.92 102.52 IV. A comparison of the cost to the city by municipal operation and the cost if all the lamps had been rented from a private corporation under the rates at which a portion were rented: 22 Street Lighting in St. Louis. Cost of construction Cost of Operation (1888-1905) Amount with Simple Interest, 4 per cent. $2,264,116.23 4,228,555.86 Amount with Compouud Interest. $2,264,116.23 4,228,555.86 Total Less depreciation of plant $6,492,672.09 941,610.65 $6,492,672.09 941,610.65 Interest on cost of construction and operation, less depreciation $1,635,480.27 $2,034,008.52 Less appraised value of plant, Dec., $7,186,541.81 ’05 1,315,707.18 $7,585,069.96 1,315,707.18 Total cost of municipal operation- Dec. 31, 1905 -1888— $5,870,834.63 $6,269,362.78 Probable cost if rented (based on the average cost per lamp paid in the past for rented lights) $4,744,550.20 Interest thereon 1,133,299.18 Total cost (1888 — Dec. 31, 1905) of lights, if rented $5,877,849.38 $6,104,440.82 On the basis of simple interest the estimated net saving to the city by operating its own plant would be ($5,877,849.38 — $5,870,834.63) $7,014.75. On the basis of compound interest, the estimated loss to the city by operating its own plant would be ($6,269,362.78 — $6,104,440.82) $164,921.96, or stated in tabulated form: — $4,744,550.20 1,359,890.62 OPERATING COST WITH SIMPLE INTEREST (4%) Gain to the city $ Loss to the city $ 164,921.96 Total Cost. $5,870,834.63 5,877,849.38 per Year. $138.46 138.63 $ 7,014.75 $ 0.17 UND INTEREST. $6,269,362.78 $147.87 6,104,440.82 143.98 $ 164,921.96 $ 3.86 Detroit The Detroit public lighting plant was established in 1895 and placed under the control of a non-partisan commission appointed by the Mayor and approved by the Council. A bond issue of $800,000 was authorized by the state and approved by the people. The original investment for land, building and equipment was $655,508.90. The records for the eleven years, 1895-1906, show that the entire amount appropriated by the Council and paid out by the city on account of the lighting plant was as follows: Street Lighting in St. Louis. 23 Original investment 1895 1896 1897 1898 1899 1900 1901 1902 1903 1904 1905 1906 Total investment Total, operating and maintenance Operation. $ 125,603.27 124.255.00 121,000.00 56.000. 00 95.000. 00 96.000. 00 98.000. 00 103.975.00 117.917.00 122,246.15 121,380.41 126,971.63 $1,308,358.44 $605,508.90 Investment. Included in 1897 Included in 1897 $123,713.83 60,923.00 23,657.74 14,284.53 23,566.83 80,577.37 37,992.09 63,903.97 91,523.48 66,857.24 $587,000.08 $1,192,508.98 1,308,358.44 Grand total paid by city for lighting $2,500,867.42 The accountants for the National Civic Federation Committee found the books of the Detroit Lighting Commission well kept and satisfactory in the main, but the following items were not included in the financial returns and charged to operating expense: taxes, insurance, rental, interest on bonds, sinking fund, and charges for the services of city officials, other than those directly employed in the lighting department. Furthermore, depreciation was estimated at only 3%, which the accountants considered too low. In 1905, the cost of operation, accord- ing to the Detroit Commission’s report, was $121,380.41. To this the accountants added taxes, which a private company would pay, of $8,705, or $2.51 per arc light, and depreciation of $42,818.72 or $12.39 per arc light, making a total cost of operation that year, aside from interest, $172,904.13. This, together with interest on the entire investment at 4%, makes a total cost per arc light, $62.83 per annum. The Lighting Commission of Syracuse, New York, which visited Detroit during the summer of 1907 and investigated the plant in detail, reported, in part, as follows: “Your Commission formed the impression that the Detroit plant is well managed and found evidence that the service rendered is satis- factory. Testimony of citizens not identified with the management of the plant and our own observations of conditions in the central portion of the city indicate that the streets of the city of Detroit are fairly well lighted.” “The report of the Detroit Public Lighting Commission is particu- larly complete and explicit, but there are certain features of the accounts, which, in the judgment of your Commission, should be modified. The most important of these is the matter of depreciation. The total in- vestment for the entire plant is given as $1,192,508.98. Depreciation for the year ending June 30, 1906, is given as follows: 24 Street Lighting in St. Louis. Depreciation on discarded equipment $ 9,025.25 Depreciation on the present entire investment value of $930,557.99 at an average of 3 per cent 27,916.74 “The discrepancy between the total investment and the amount on which depreciation is charged for the year ending June 30, 1906, is presumably due to discarded equipment previously charged off. It ap- pears, however, that an average depreciation of only 3 per centum is altogether too low for such a plant, notwithstanding that land and conduits are included in this depreciation.” “The following assumed depreciation rates are believed to be quite conservative and are probably low, all things considered, but we assign them as fairly reasonable. The values are those of the total invest- ment to June 30, 1906. Conduits Total Investment. $ 128,217.69 Assumed Rate Depreciation. 2% Amount of Depreciation $ 2,564.35 Cables 95,548.53 5 4,777.43 Real estate (land) 64,377.12 0 Building and wharf . 114,337.24 3 3,430.11 Lines and poles . 237,335.39 7 16,613.48 Towers and lamp posts. . . . , . 109,948.65 5 5,497.43 Electric plant, incandescent, 37,648.07 10 3,764.81 Electric plant, arc 93,797.15 10 9,379.71 Steam plant 158,620.13 8 12,689.61 Railway track and scales.. 10,982.31 5 549.11 Machine shop 8,226.27 10 822.63 Arc lamps and switches .... . 100,596.01 10 10,059.60 Belle Isle Plant 32,874.42 10 3,287.44 Total .$1,192,508.98 $73,435.71 “This depreciation is equivalent to over 6.15 per cent of the total investment of $1,192,508.98. The depreciation at this rate upon the investment, as per the official report, for the year ending June 30, 1906, or upon $930,557.99, would be $57,346.56, or $29,429.82 in excess of the depreciation as computed would be $57,346.82 in excess of the deprecia- tion as computed on the three per cent basis. Apportioning this addi- tional depreciation between arc and incandescent in the same ratio as total cost is apportioned in the Detroit report, the additional deprecia- tion chargeable to arc lighting becomes $23,605.00. The average number of arc lights operated during the year was 3,080; therefore, this additional depreciation would add $7.67 per arc lamp per year; raising the gross figure from $54.39 to $62.06 per lamp per year.” “With a reasonable charge for legal services, rebates which might be obtained from a contracting corporation for interruption of service, over- head expense and various other items which, in an ordinary commercial enterprise would be charged against the business, the gross cost per arc lamp per year would be considerably higher than this amount.” “Considering the fact that Detroit has more than twice the popula- tion of Syracuse and that it has more than twice the number of arc Street Lighting in St. Louis. 25 lamps in street service, that coal is somewhat cheaper in Detroit, that the total number of hours scheduled per lamp is somewhat less than Syracuse and that the Detroit management is fully as efficient as could be reasonably expected in Syracuse, the above analysis dobs not indi- cate that Syracuse could now secure cheaper lighting for its streets from a municipal plant than under its existing contract rates.” Cost in Other Cities Leaving out of account any additional items which the Syracuse Commission claims should be included in the Detroit cost. it is inter- esting to compare the rates of the city of Detroit under municipal own- ership with tne rates paid by some of the larger cities. particularly those in the same section of the country. ARC LAMPS. incandescent lamps. CITIES. Number. Cost per Yr. Watts Number. Cost per .Lamp. per Lamp. per Year. New York . . . . . 13,972 $ 90.00 325 4,588 $22.50 100.00 450 Philadelphia . . . 11,414 99. GU 480 2,346 .07y 2 kw. St. Louis.... . . . 1,15U 97.50 285 4,500 19.05 Hoston . . . 3,781 124.10 480 Cleveland . . . . . 1,757 G7.92 Buffalo . . . 2,85(5 *5G.OO 450 **75.00 450 Cincinnati . .... 5,522 *G0.00 300 **72.00 300 Baltimore . . . . . 1,949 G7.49 450 rittsburg ... .... 3,279 70.00 27.50 Wasnington . . . 1,121 85.00 500 1,073 20.00 .Detroit . . . 3,374 G2.83 14,590 ^Overhead. ** Underground. City engineer Edwin A. Fisher of Rochester, New York, found that the average cost of arc lights in 29 cities witn over 100,000 innaoitants is $8(5.18 per lamp per year. The consideration of the question, “will municipal lighting pay,” and an appeal to the actual experience of cities which have operated municipal plants and whose conditions are comparable to those of St. Louis, furnishes no satisfactory answer to the question. Detroit has succeeded in reducing the cost considerably below the average paid by the first twenty-nine cities in America but not so iow as some. Chicago, under the most favorable interpretation of the figures, was able in 1905, to produce arc lights for $85.49 per year, which was 69 cents less than the above average, but considerably more than the contract prices paid by Cleveland, Buffalo, Cincinnati, Baltimore and Pittsburg. The opinion of the committee is that, judging from the results of the experience of these two cities, the question, “will municipal lighting pay,” cannot be answered in the affirmative. The committee requested two of its members, Prof. Langsdorf and Mr. Lichter, both electrical engineers, and well acquainted with the engi- neering problems involved, to furnish estimates on the cost of con- struction and operation of a municipal lighting plant for St. Louis. Their report is embodied in the following section. 26 Street Lighting in St. Louis. A Municipal Lighting Plant Cost of Construction and Operation. At the present time the lighting of the city of St. Louis is done partly by contract and partly by the city itself, the contract lighting, however, constituting by far the larger amount of the total. The distribution of lighting between the two systems is shown by the following table: Contract Lighting. Street arc lamps (about) 1,150 Alley incandescent lamps (about) . . 800 Public buildings, 16 c. p. incandescent 3,800 Gas mantle lamps (about) 18,000 Municipal Lighting. Equivalent load of 16 c. p. incandescent lamps 13,216 The power for the municipal lighting is supplied by four plants lo- cated, respectively, at the Water Works, the Insane Asylum, the new City Hospital, and the New City Hall. These plants have, respectively, equiv- alent connected loads of 1698, 2195, 1400 and 7923 16 c. p. incandescent lamps. Estimating 50 watts per lamp, these figures represent a total con- nected load of 661 kilowatts, or an equivalent station load of 750 kw., assuming an efficiency of 85 per cent. But inasmuch as the total con- nected load is made up of both lamps and motors, the actual station load will never be as great as this figure, and it is probable that the maximum load at any one time will never exceed 300 kw., or 40 per cent of the con- nected load. The great bulk of the city lighting is required for the streets and alleys, parks and public places. It is this lighting, together with that of some of the public buildings (mainly police and fire department stations) that is now supplied by contract, and it is effected by electricity and gas. The “electric” district is bounded on the west by Jefferson Avenue, from Cass Avenue to Chouteau Avenue, and extends northwardly east of Eleventh Street to Bremen Avenue and southwardly east of Seventh Street to Arsenal Street; within this district the streets are lighted by arc lamps and the alleys by 32 c. p. incandescent lamps. The remainder of the city, north and south of Keokuk Street, is lighted by gas mantle lamps. A Choice of Three Systems In determining upon a system of lighting for the entire city it be- comes a question whether the lighting shall be done wholly by electricity or by electricity and gas in combination. And in either case, whether resort shall be had to a municipal plant, an exclusive contract system, or a mixture of the two. It is obviously absurd to contemplate a municipal gas plant for street lighting alone; and it is likewise unnecessary for the Street Lighting in St. Louis. 27 present purpose to consider the case of gas lighting by contract and electric lighting by a municipal plant, for the reason that such an electrical plant would he too small. (In this connection it may be pointed out that the contract price for gas lighting is at the present time in the neigh- borhood of 70 or 75 per cent of the total.) Hence the above alternatives reduce to the following: (1) Contract system, electric lighting only. (2) Contract system, electricity and gas in combination. (3) Municipal plant, electric lighting only. It is the opinion of the committee that, under existing conditions, either the first or the second of these three alternatives is preferable to the third, provided, of course, that a contract can be drawn with prop- erly safeguarded conditions and at a reasonable price. While it is true that the public service corporations now in the field have a practical monopoly, it is still true that they possess adequate equipment for the required service, and that they can profitably undertake the work at a price at least as low as a municipal plant could meet. Again, it is possible that the city, if it were to build a municipal plant, could not secure per- mission to use existing conduits and pole lines, so that an unsightly multi- plication of pole lines and wires would result in the districts where such unsightliness is least desirable. In addition, an electrical plant for street illumination only (or for the greater part) can not be operated econom- ically on the basis of cost per kilowatt hour, because such a plant is under full load for less than half the time, and is practically idle during the remaining time. The fixed charges, however, run on all the time, so that when they are distributed over the working time they are somewhat more than twice as great as in a plant operating 24 hours per day. This increased cost per kilowatt hour is somewhat reduced by reason of the fact that a lighting plant for street illumination is running under conditions of maximum efficiency when actually in use, so that the actual operating cost is less tnan in a plant having a smaller “load factor,” that is, furnishing a continuous but fluctuating service. The only remedy for this defect of discontinuous load is to secure a “day load” for the munici- pal plant, and this can only be done by entering the field in competition with private companies. Estimated Cost of Construction It is, nevertheless, desirable to know the probable cost of construct- ing and operating a municipal plant for the sake of comparison with the present cost to the city as fixed by contracts now in force. This matter has been carefully investigated by Mr. Thomas B. Carter, formerly Super- visor of City Lighting, and by Messrs. Holman and Laird, consulting engineers. Mr. Carter’s report was submitted to the Board of Public Im- provements on November 27, 1906, and that of Messrs. Holman and Laird on March 30, 1907. The latter report is in the nature of a review of the former. The estimates of total cost as published in the two reports are practically the same, that of Mr. Carter being $2,523,200, and Holman and Laird’s $2,552,000. Both estimates are based on a system of arc and incan- 28 Street Lighting in St. Louis. descent lighting; arc lamps for the streets and incandescent lamps for the alleys, parks and public buildings. The type of arc light recommended is the 7.5 ampere series enclosed alternating lamp, taking 480 watts at the arc, and 80 c. p. series incandescent lamps for the alleys. The average spacing of the arc lamps is figured at 400 feet, and that of the alley lamps at 300 feet. According to Messrs. Holman and Laird, the former are to be dis- tributed over 600 miles of the total 900 miles of streets and the latter over 200 miles of the 350 miles of alleys. This allows for the probable extensions of street and alley improvements for a few years to come, as well as of considerably more lighting than is now done, and these spacings conform to average practice. The total number of street lamps is therefore — Arcs, 400 feet apart, 13.2 per mile, 600 miles 7,920 Incandescents (30 c. p.), 300 feet apart, 17.6 per mile, 200 miles 3,520 Allowing in addition 2,000 30 c. p. lamps for parks and public places and 20,000 16 c. p. incandescent lamps for buildings (instead of the present 17,000), the total connected load “at the lamps’’ will be — 7,920 arcs, taking 500 watts each 3,960 kw. 5,520 30 c. p. lamps, taking 81 watts each 447 “ 20,000 16 c. p. lamps, taking 50 watts each 1,000 “ Total 5,407 The actual maximum working load will, however, be less than this, on account of the fact that the building load will never be on in full when the street lamps are running — i. e., at night. The actual maximum load at the lamps may be estimated by assuming that the maximum building load will be 25 per cent of the connected load, or 250 kw. Hence the maximum load at the lamps is — 7,920 arcs 3,960 kw. 5,520 30 c. p. incandescents 447 “ 20,000 16 c. p. incandescents 250 “ 4,657 “ Assuming an average efficiency of distribution of 82 per cent, the station load will then be 5,680 kw., or with reserve allowance, say 6,000 kw. This margin is, however, somewhat small for the reason that the plant would be carrying a practically steady load and would therefore be de- signed with a few large generating units rather than a multiplicity of small ones; a breakdown of one unit would, therefore, be fatal to con- tinuous service unless the station capacity were made about 7,000 kw. Since the estimates of Mr. Carter were made, additional improvements in the “underground” district have been made, and more are about to be started. It is probable, therefore, that his estimate of $275,000 for conduits (raised to $285,000 by Messrs. Holman and Laird) is too low. Probably a safe estimate of the total cost, including the increased cost of 1,000 kw. additional equipment, would be $2,750,000. It has been assumed by the committee that the detailed estimates of costs of circuits, lamps, buildings, etc., as determined in the reports above Street Lighting in St. Louis. 29 referred to are correct. It is needless to say that a complete estimate on our part would involve an amount of work out of all proportion to the value of the result, and even were such work undertaken it could not be pushed to completion without having at hand all data concerning routes of pole lines, conduits, etc., in the possession of city officials. Estimated Cost of Operation The present time is an awkward one for deciding upon the particular types of electric lamps to be recommended. The art of electric lighting is at present in a state of exceedingly rapid development, and it is not un- likely that the advances of the next year will render obsolete types of lamps now in common use. Several types of “luminous” or “flaming” arc lamps, of much higher efficiency than the carbon arc, and giving a better distribution of lignt than the latter, are already on the market; difficulties have arisen in their operation, but it is altogether probable that they will be successfully overcome as experience accumulates. Some of these luminous arcs are in use, but data as to their operation are not obtainable. Similarly, the advent of the tungsten and other metallic filament lamps promise a much more economical small unit of light. The so-called “metallized” filament lamp has been here figured upon; it consumes 2.7 watts per c. p. instead of 3.5 as in the old style carbon lamps. The tungsten lamp for series street lighting has a specific consumption of something over one watt per candle, or about twice the efficiency of the metallized filament lamp, but there is little data con- cerning its actual performance in such service. With regard to a possible choice between direct and alternating current arc lamps, the latter are thought to be preferable. The direct current arc has the characteristic of throwing its strongest light down- ward at an angle of about 45 degrees with the horizontal, though this is modified by the enclosing globes. The alternating current lamp throws a much larger part of the light in the horizontal direction, and is, there- fore, better suited for securing uniform illumination. The cost of operating the lamps may be estimated as follows, assuming the use of 7.5 ampere series arc lamps consuming 500 watts each, and of 30 c. p. series incandescent lamps taking 81 watts each. Assuming an efficiency of distribution ot 80 per cent for the arcs and series incandescent lamps, the total station output will be — Kw. Hours. 7,920 arcs, 500 watts each, 4,100 hours per year 20,300,000 5,520 incandescents (30 c. p.), 81 watts each, 4,100 hours per year 2,040,000 20,000 incandescents (16 c. p.), 50 watts each, 4,100 hours per year 1,600,000 Total 23,940,000 or, approximately, 25,000,000 kw.-hours per annum. In a plant of this size, conveniently located for the delivery of coal and for obtaining an adequate water supply, it should be possible to produce power at a cost of 0.6 cents per kw.-hour at the switchboard, resulting in an annual operating cost of — 25,000,000x.006 $150,000 30 Street Lighting in St. Louis. Allowing interest at the rate of 4 per cent, and depreciation at 8 per cent, the fixed annual charge due to these items will be (on an invest- ment of $2,750,000: 2,750,000x.l2 $330,000 Administration, expenses of distribution, insurance and repairs will add approximately $125,000 more, so that the total annual cost will be about $605,000, or at the rate of 2.42 cents per kw. hour. It will probably be safer to put this figure at 2 y 2 cents per kw. hour. The cost per arc per annum is then, assuming 80 per cent efficiency, 500 watts at the lamp— f-. 80 x hours at 2 y 2 cents per kw.-hour $64.06 Carbons, trimming, cleaning, etc 5.00 Total $69.06 The cost for a 30 c. p. incandescent lamp, taking 81 watts at the lamp, is: .UxH%%x .025 $10.38 Renewals, maintenance, repairs, etc. (about) 6.00 $16.38 The present cost of arc lighting is at the rate of $23.77 per 1000 lamp hours, or approximately $97.50 per lamp per annum; the rate for incan- descent alley lamps is $4.79 per 1000 lamp hours, or approximately $19.65 per lamp per annum. It must be considered in connection with the figures for arc lamps that the estimate of $69.06 is for a 7.5 ampere lamp (consuming 480 watts at the arc), while the contract price of $97.50 is for a 4.4 ampere lamp (consuming about 285 watts at the arc). Lighting in Residential Districts If the present system of using gas and electricity be retained, there is little doubt that the average intensity of illuminating in the resi- dential districts should be increased. Strangers in the city often com- ment on the dimness of our street lighting. The lamps serve more as markers along the way than as a means of securing protection from nigiit prowlers. In many places the average illumination is low, and the minimum is very low, falling to 0.01 foot-candles or less. (A foot-candle is the intensity of light due to a standard candle at a distance of one foot). To afford the equivalent of even dim moonlight the intensity should be at least twice this figure; a minimum of 0.01 foot-candle can be obtained by placing common candles along the curb about 25 feet apart. A proper minimum is at least 0.03 foot-candles. Gas lighting as against arc lighting of residence districts has the advantage that the units of light are smaller and can be more closely spaced, thereby giving a better average distribution of light — the intensity of the units being relatively small, they can be placed low so as to avoid High Electric Lamps — Gas Lamps Under Trees — A Suggestion for Residential Districts. 32 Street Lighting in St. Louis. producing the heavy shadows cast by trees as in the case of arc lamps. But the present cost per gas mantle lamp, about $27.00 per year, is much too high. As an illustration of the amount of the excess, the experience of the city of Cleveland may be cited which in 1904 undertook the oper- ation of its gas lamps, paying the gas company at the rate of 75 cents per 1000 cubic feet of gas consumed. The cost per lamp per year was then reduced from $22 (the original contract price) to $12.56 in 1904, $13.44 in 1905, and $13.17 in 1906. The lamps in this case were of the Wels- bach incandescent type giving about 55 candle-power, on substantially the same as those in use in St. Louis. Each of these lamps consumes gas at the rate of about 3 cubic feet per hour, and is in operation 4,150 hours per year, representing an annual consumption of 12,450 cubic feet, which at the rate of $1.00 per thousand, represents a value of $12.45; main- tenance charges, including supplies, extinguishing, lighting, etc., will amount to from $6.75 to $7.00 per annum; so that the total is between $19.20 ana $19.45. The charge to the city for the operation of such a lamp should not exceed $20.00 per year. Street Lighting in St. Louis. 33 Three Solutions Municipal Ownership, Competition or Regulation. The estimates in the preceding paragraphs show conclusively that a municipal plant, if constructed and operated economically, would light the streets, public grounds and buildings of the city, at a cost per lamp per year considerably below the present contract price. But this is assuming that the plant would be managed and operated with the same degree of skill as is a private plant. In view of the fact, however, that our city has not yet definitely adopted the policy of appointing men to office because of their fitness for the particular position, that skilled service and long tenure of office are the exception rather than the rule, and that the experience of other cities goes to show that municipalities almost invariably pay more for supplies than do private companies, the city, we believe, can hardly expect to furnish its own light at the price indicated in the three estimates of Mr. Carter, Messrs. Holman and Laird, and Messrs. Langsdorf and Lichter. The present price, $97.50, which the city is paying for arc lamps, is too high as is shown by the figures above quoted and is impliedly admitted in the statement of the manager of the Union Electric Company to the Mayor, in which he says that the company can furnish equivalent lights in the future at a considerably lower price than the city is now paying. Competition Not the Solution It has been suggested and strongly advocated that the only way to secure the lowest price for public lighting is to open the field to com- petition. We are of the opinion that it is wholly inadvisable to grant at this time a franchise to another lighting company for the purpose of reducing the cost of lighting by competition. As was pointed out in the opening paragraphs, street lighting is a function which can not be regu- lated to the best interests of the city by competition. The cost of dupli- cating the equipment, the damage to the streets, the disposition toward over-capitalization on the part of the franchise-holding corporations, makes competition costly, and this added expense, must be paid for out of the taxes paid by the people. Furthermore, the almost inevitable tendency of competing companies in this form of public service to merge, as has been the experience in this city, indicate that competition will not permanently solve the lighting question. The only competitor which should be permitted in the field is the city itself, and the municipality shoulu not enter the field until it has thoroughly tested its power to regulate and control this public utility. Ample Power to Regulate Under the Enabling Act passed by the Legislature in May, 1907, the city has full power and authority to determine and fix a reasonable rate for lighting both by electricity and gas, and the statute gives the city the right to examine the books of existing corporations for the 34 Street Lighting in St. Louis. purpose of ascertaining what is a reasonable rate. The main provisions of the act, as far as relates to street lighting, are: “Any * * corporation * * engaged in furnishing gas, steam, or electricity under franchises granted by the state or any of the cities thereof * * is hereby required to charge no more for the services of such utilities than such rates as shall be fixed from time to time, by ordinance * * and all cities * * are hereby granted power and authority to fix the rates * * and to provide and enforce fines and penalties for the violation thereof, and to change the rates, by ordinance, from time to time, as often as may be deemed necessary: Provided, how- ever, that such rates must be reasonable and shall not be changed oftener than once every two years.” “Any such city * * may, by ordinance, provide for and establish a committee or a commission to make investigation into all facts and matter touching the establishing of such just and reasonable rates of charges, * * to require and enforce the production of books and papers, and to compel the attendance of witnesses.” Under the provisions of this law the city can, by ordinance, provide for the appointment of a commission to make the necessary investigations to determine what is a reasonable rate. If the regulations under this law prove ineffective in securing reasonable terms to the city, then the only recourse is a municipal plant. But municipal operation should not be undertaken until the power to regulate and control has been thoroughly tested. Short Term Contract and Metered Service If the city succeeds in securing reasonable rates for the lighting of the streets, the contract should not be made for a long term of years. While a long term contract might make possible a slightly lower rate for a few years, it is sure to prove unprofitable to the city in the long run. The art of electric lighting both as concerns the generation and receiving equipment is m a state of exceedingly rapid development, so that the cost of producing the light is being greatly reduced. This increased economy in generating power coupled with the advance in the efficiency of electric lamps, both arc and incandescent, have reduced the cost of commercial lighting in the past ten years fully 40 per cent; and these reduc- tions are only indications of further economies in the near future, some of which are already in sight. The city can not reap the advantage of these new methods, these advances in the efficiency of electric lamps, and the new inventions that are sure to be made in the next decade if a long-term contract, calling for a certain type and make of lamps, and of a specified candle power, is entered into with a private corporation. Furthermore, metered service should be provided for in any contract. It will permit a change to a more efficient type of lamp (when proved desirable) without necessitating a new contract to cover new conditions of current supply and will prevent the usual loss to the city through the arbitrary and very uncertain “candle-power” rating. This metering of electric current is now frequently done by public lighting companies for their own information. It is a practical proposition, as has been proven in Boston which has for a number of years required such measurements. Street Lighting in St. Louis. 35 Illumination and Street Fixtures In view of the recent agitation for better illumination in the down- town district of this city and the general movement in American cities not only for better lighting but for ornamental poles and electroliers, your committee deemed it wise to add to this report some of the suggestions along this line which have come to them in the course of this in- vestigation. The need for more brilliant illumination of our business streets is admitted by all, and no one denies that well lighted streets distinctly affect the social and moral conditions in a city. It has been said that one street lamp is as effective as five policemen. Social workers in the crowded sections of the city bear testimony to the fact that filth and Unnecessary Duplication of Poles. immorality decrease as the amount of light increases, and that well lighted streets improve the moral tone of even the most vicious neigh- borhoods. Electroliers on South Broadway, Los Angeles. Street Lighting in St. Louis. 37 Furthermore, a well lighted business district makes a city attractive not only to residents out also to strangers and travelers. No form of improvement leaves a more favorable impression on the visitor than the bright, cheerful glare of many street lights. American cities are beginning to appreciate this and in some of them a well defined and uniform system has been adopted, insuring not only plenty of illumination at night but ornamental poles and electroliers which will add to the appearance of the street during the day. Artistic Lighting in Los Angeles Los Angeles, Cal., one of the first cities to give special attention to this feature of improvement, has put into operation a uniform style over 5.8 miles of its streets. The city electrician, Mr. R. H. Manahan, thus describes it: “The first lighting by incandescnet lamps on ornamental posts in our business streets was taken up by tne merchants and property owners on Broadway, working under their organization known as the Broadway Improvement Association. The Association, by means of subscriptions from property owners and merchants along the street, raised funds for installing 135 cast-iron ornamental posts. These posts are located at about 120-foot intervals along each side of the street and originally contained an aggregate of 384 candle-power in twelve 32 candle-power incandescent lamps. This would be equivalent to nearly thirty-seven 450- watt arc lamps per block, there being twelve posts per block on this particular street.” “The cost of lighting these posts was assumed by the city, and, as one can readily see from the above comparison, was a very expensive method when considered apart from its advertising and artistic features; and, in view of other streets asking for the same improvement, the experiment was tried on reducing the aggregate candle-power one-half, with very satisfactory results both financially and from the standpoint of illumination, the general effect looking down the street being practically the same.” “Owing to the difficulty which the Broadway Association had in securing subscriptions from all the property owners on the street, an act was passed at the next session of the State Legislature enabling property owners along any street to institute proceedings for improvement of this character. Upon favorable action by the City Council an assess- ment was formed, upon which the cost of the improvement was levied in the same manner as is done in ordinary street improvement work. The three other principal streets upon which ornamental posts are now installed used the assessment method, and it has been very satisfactory in operation. “We have two general types of posts, the four-arm and the six-arm, with 16-inch and 18-inch top globes. The six-arm post is the one adopted by the Broadway Association, and the present arrangement of lamps con- sists of three 32 candle-power lamps in the 18-inch top globes and one 16 candle-power lamp in each of the 8-inch enclosing frosted globes. The tDouble Arc Light Post — Detroit. tDouble Arc Light Post — Rochester, N. Y. *Double Arc Light Post — New York fArc Light Post — Hamilton Fish Park, New York. *Electrolier — Fifth Avenue, New York. *Single Arc Light Post New York. ^Courtesy of J. L. Mott Iron Works, N. Y. fCourtesy of Municipal Journal and Engineer 40 Street Lighting in St. Louis. four-arm post used on the other streets contains three 8 candle-power lamps in each 12-inch globe on the arms and three 32 candle-power lamps in the 16-inch top globe. “Provision has been made on the later posts, erected for extra circuit wires, so that they may be used for decorative lights strung along or across the streets. The connections to these posts were installed by the respective lighting companies at their own cost; having underground conduits already in the street, they simply ran the necessary service wires from their manholes to the posts at a nominal expense. “Lighting hours for these posts vary according to conditions. On the main business streets all posts are lighted until midnight, and after midnight two posts at each street intersection. In the semi-residence sec- tion, all posts are lighted until 10 o’clock and the balance until 12 or later, as desired by the property owners. “In the following tabulated form I have shown the extent and original cost of installing the posts, including globes and necessary wires to the base of the post, at which point the lighting companies connect their service wires; also the total cost and cost per front foot for current for one year: ORNAMENTAL POSTS. Street ^ Hill, 8,445 Broadway, 7,125 Spring, 5,750 Main, 9,420 No. of Posts. 164 135 132 163 Candle Pow- Total Candle er per Post. Power. 192 31,500 192 25,900 192 25,300 192 31,300 Cost of In- stallation. $17,294.00 14.000. 00 14,628.00 19.000. 00 Cost per Front Foot. $0.94 1.00 1.06 1.10 Cost per Post. $105.25 103.00 110.00 116.00 Totals, 5.8 miles , 594 192 114,000 $64,922.00 COST OF LIGHTING OF ORNAMENTAL POSTS. Street. Rate per K. W. Hour. Yearly Cost. Cost per Front Foot. Hill . . . . 3% cts. $ 9,200.00 $0.50 Broadway . ... 3 % “ 7,780.00 .556 Spring . . ... 3% “ 7,625.00 .65 Main . . . .... 3% “ 9,810.00 .568 Totals .... 33/ 4 “ $31,562.50 “The entire maintenance of the posts is made a part of the company’s contract, this including all necessary repairs to wiring, broken globes and renewal of lamps and necessary cleaning and washing of the enclosed frosted globes.” St. Paul St. Paul, Minn., has adopted a similar post for her main business street. The St. Paul Gas Light Company took the initiative — worked up an interest among business men and induced the property owners to furnish the electrolier, and the tenant to pay for the light. Sixty-five Combination Light and Trolley Pole — Frankfort, Germany. Electrolier in Market Place — Dresden, Germany. Electrolier — St. Paul. 42 Street Lighting in St. Louis. posts have been erected and fifty-four more contracted for. The cost per standard installed and ready for lighting is $100.00. The total cost of maintenance and lighting is approximately $100 per post per year, the company charging five cents per kw. hour. This uniform system with posts 100 feet apart has added much to the appearance of the street with- out seriously detracting from window displays. Other Cities The same style of post has been installed by a few of the merchants on Washington Avenue, St. Louis. Denver has worked out a uniform system for Sixteenth Street along a somewhat different line. Here the standards are designed to serve not only for ornamental light posts but also as support for trolley wires and feed wires. The poles are placed about 90 feet apart, on each side of the street. The lamps are alternating current enclosed arcs of 110 volts, 6.6 amperes in opal globes; the outer one only being used so as to present a single line vista down the street. Eleven blocks are thus lighted by the Denver Gas & Electric Company at a uniform cost of $60 per lamp. The expense is borne by the city. The total cost of equipping the street was approximately $16,000. The system has proven to be so satisfactory that the merchants on other down-town streets are urging the city to extend the new lighting scheme to other principal streets. Rochester, New York, has effected a similar combination of electric light and trolley pole. Main Street, with its ornamental posts about 100 feet apart, makes a very brilliant and attractive appearance at night. D. H. Burnham, the well-known architect, has prepared a design for Market Street, San Francisco, which also serves for both the trolley pole and the lamp standard. The design is somewhat similar to the posts in the center of some of the Paris boulevards, except that the poles will be necessarily much higher in order to serve as trolley poles. The difficulty with the combination post of the San Francisco type is that it throws the light so high above the street as to be of little effect. Denver has avoided this by placing the lights lower down on brackets. Most of the European cities use the tall standards for the electric lights, but have in addition the gas lamps along the curb under the trees. This combination of gas and electric lights is especially desirable in residential districts. Some of the continental cities obviate the necessity of trolley poles on business streets by attaching the trolley wires to adjoining buildings. Feed wires are uniformly placed underground. We are convinced that the time has come when St. Louis should adopt a comprehensive and uniform system for lighting her business streets. Whatever design of standard is adopted — whether the com- bination trolley and light pole or the electrolier with incandescent clusters — it should be more artistic than the present standards; it should be uniform for all of the main business streets and the lights should be frequent enough to furnish illumination sufficient to make the business section of the city attractive at night. Efficient and artistic illumination is a commercial asset of considerable importance to any city. Sixteenth Street, Denver — Electric Light and Trolley Post Combined Designed for Market Street, San Francisco. Trolley and Lamp Post Combined.