Page:The Wisconsin idea (IA cu31924032449252).pdf/93

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THE REGULATION OF BUSINESS
69

In discussing this matter Senator Hatton has the following to say:—


"While the state has the power to absolutely control all public service corporations, it is well to bear in mind that local municipal government, in so far as practicable, is the true policy to pursue and wise state supervision, when dealing with public utilities situated within the corporate limits of cities, will emphasize this principle rather than ignore or override it. The initiative in all local public utility matters should remain with the local authorities. The right to review and regulate should be assumed and exercised by the state.

"There is an intermediate field between absolute control and dictation by the state and absolute municipal control and dictation by the city council. This intermediate field is the proper sphere for the activities of the state commission in regulating the public service utilities situated wholly within the limits of cities. The commission will then occupy the position of a disinterested tribunal rendering expert service, doing that which is not practicable for the local authorities to do, such as valuation of plant, uniform accounting, reviewing and acting as arbitrators in matters of rates and in all other disputed matters arising between the municipalities and the public service corporations.

"Thus the commission becomes an efficient aid to local control. It enlists active public interest through publicity, thus bringing to bear upon the subject the powerful controlling influence of intelligent public opinion. It renders assistance to local authorities by furnishing reliable data for use in dealing with the utility corporations direct, or in legal contest with it in the courts."


Professor John H. Gray, a recognized authority on such subjects, has said:—