DIVISION OF TREES AND PARKING

To: The Budget Officer, District of Columbia.

MARCH 26, 1947.

In compliance with your telephone request to this office, the following information is furnished relative to funds expended for personal services for the fiscal years 1937 to date and to the number of employees carried on our rolls:

1938: Decrease in per diem pay rolls due to resignations and dismissals of employees. Decrease in annual pay rolls due to the resignation of Chief Clerk, CAF-5, and of one SP-4 foreman, on December 6, 1937, and May 23, 1938, respectively.

1939: Decrease in per diem pay rolls due to resignations and dismissals of employees and rehiring at later dates. Increase in annual pay rolls due to appointment of Chief Clerk, CAF-5, on September 12, 1938, and appointment of one SP-4 foreman on September 1, 1938. Also one clerk, CAF-2, was transferred to another department and another CAF-2 clerk was employed in his place at a later date.

1940: Increase in per diem pay rolls due to employment of additional laborers. Increase in annual pay rolls due to the appointment of one CAF-2 clerk to fill a

vacancy.

1941: Increase in per diem pay rolls due to employment of additional laborers. Decrease in annual pay rolls due to transfer of Chief Clerk, CAF-5, and the granting of military leave to one CAF-3 clerk.

1942: Increase in per diem pay rolls due to employment of additional laborers and administrative increases. Increase in annual pay rolls due to appointment or one CAF-3 clerk to replace the clerk granted military leave the previous year and Mead-Ramspeck raises to one superintendent, one assistant superintendent, one inspector and five foremen.

1943: Decrease in per diem pay rolls due to many employees entering military service plus the dismissal of many new employees whose services were not satisfactory. Increase in annual pay roll due to Mead-Ramspeck raises and the employment of one clerk, CAF-3, to replace one clerk, CAF-2, who was granted military leave of absence.

1944: Decrease in per diem pay rolls due to reduced number of employees caused by the entry of many employees into the military service and essential war work. Decrease in annual pay rolls due to retirement of one assistant superintendent and resignation of one SP-4 foreman.

1945: Decrease in per diem pay rolls due to reduced number of employees. Increase in annual pay rolls due to appointment of one assistant superintendent to fill a vacancy and also one SP-4 foreman. Also Meade-Mamspeck raises.

1946: Increase in per diem pay rolls due to the employment of additional laborers and the return from military service of many former employees. Increase in annual pay rolls due to return from military service as one clerk, CAF-2, promoted to CAF-3, and employment of one SP-4 foreman to fill a vacancy. Also Mead-Ramspeck raises.

1947: The apparent increase in both per diem and annual pay rolls for the fiscal year 1947 is due in most part to the Federal pay raises which went into effect the first of the fiscal year. Also Mead-Ramspeck raises and promotions. In the case of per diem employees, many new men have been hired to replace old employees who have retired and also men have been added to fill existing

vacancies.

JOHN W. BATSON,

Superintendent, Trees and Parking, District of Columbia.

DISTRICT OF COLUMBIA WATER SYSTEM, WASHINGTON AQUEDUCT, WATER SUPPLY DIVISION-RÉSUMÉ OF OPERATIONS, 1937 AND 1947

The increase in expenditures was a direct consequence of growth in population, increase in living costs, and prices of materials, power, and chemicals. The cost per million gallons of water only advanced 30 percent,and the number of em ployees per million gallons of water decreased 21 percent. The work involves 24-hour-per-day operation of the water-supply facilities for 365 days per year. Night-time differential and holiday overtime pay at 10 percent and doubletime, ! respectively, must be paid, as well as provision for additional employees required on account of the 40-hour week. The average daily quantity of water supplied in 1937 was 100,000,000 gallons and in 1946 was 155,000,000 gallons. The maximum day in 1944 required 200,175,000 gallons.

The above data indicate an adequately operated water supply division, with a reduced manpower use per unit of production, in the face of a universal increase in all categories of expenditures and a tremendous increase in population during the 11-year period.

Except for a 20,000,000-gallon concrete reservoir constructed in 1941-42 for $689,000, replacements and betterments of facilities ranged from $63,000 to $264,000 per year between 1939 and 1944. Various parts of the supply division are now 85, 67, 42, and 20 years old, respectively. In recent years certain replacements and betterments of these works have become imperative and are being executed because of deterioration, obsolescence, inadequacy, or in conjunction with the comprehensive program for the expansion of the water-supply system as submitted to Congress and printed in House Document No. 480, Seventy-ninth Congress, second session.

Representative replacements and betterments include increase in plant capacity of McMillan filters of 25,000,000 gallons per day at rather nominal cost, aqueduct conduit repairs, equalizer loop pipe at McMillan, mechanical sand-washing equip ment, electric substation additions, improved acid storage, new underdrains and surface wash on rapid sand filters, and the installation of a 36-inch automatic cone valve at a filtered-water reservoir.

Capital outlays include a 1,000-horsepower pump to increase flow through the Washington city tunnel by 50,000,000 gallons per day, three new 75,000,000gallon-daily pumps replacing three 50,000,000-gallon-daily units, advertisement

for construction of a large flocculation and sedimentation basin, and utility relocations for the new construction.

Contract plans and specifications have been prepared or are approaching completion for a 30,000,000-gallon clear-water basin, six new filters totaling 24,000,000-gallon capacity, a 450,000,000-gallon-daily pumping station, a 21⁄2-mile 48-inch diameter high-service transmission pipe line, a 40,000,000-gallon filteredwater reservoir, circulation facilities in existing filtered-water reservoirs.

If the demands for water that now exist and those that will continue to increase in the future are to be properly satisfied, the funds provided since 1937 and those requested for fiscal year 1948 are fully justified. The funds for 1948 should be made available as requested so that safe operation may continue and new facilities provided before higher demands occur.

ANALYSIS OF ANNUAL COST OF OPERATING THE SUPPLY DIVISION OF THE DISTRICT OF COLUMBIA WATER SYSTEM FOR THE FISCAL YEARS 1937 AND 1947

Washington District Corps of Enginers, March 17, 1947

The annual cost of the collecting, processing, purifying, and pumping operations to furnish consumers with a potable and safe water, at any particular time, depends upon many factors of which two important ones are the population served and the level of the general commodity, labor, and cost of living indexes then obtaining.

A tabulation of various items of expense for labor, materials, power, and nonpersonal costs for the fiscal years from 1937 through and including the budget estimates for the fiscal year 1947, shows a gradual increase, each year to date, in over-all annual expenditures. Among the several components of cost and production there is a considerable variation. Over many of the factors the operating agency has no control, as for example, increase in population; amount of water consumed; cost of chemicals; power, and increase in wages authorized by the Congress.

From the tabulations, that were prepared, there have been selected certain significant factors for which there has been given the percentage of change occurring between 1937 and 1947. These follow immediately below:

1. Population served:

1937, Washington Aqueduct, (estimate).

1947, Washington Aqueduct, (estimate). 1947, Board of Trade, (estimate) __. Percent increase:

Washington Aqueduct

Board of Trade___.

2. Water supplied, gallons:

1937
1947

Percent increase__

3. Chemical costs per million gallons:

1937
1947

Percent increase..

4. Power costs:

$81, 300

$174, 700

115

$2.22

$3.05

37

$1,662

$2,620

57

In connection with the variable elements referred to in the foregoing, it is deemed proper to comment upon a few components of cost and production which otherwise would be obscured.

During the war years beginning with 1941 when the population of the District of Columbia soared to unprecedented heights, the water supply system successfully met all demands made upon it. This however, was not accomplished without some increase in operating costs, but limited capital expenditures only were involved. In order that the McMillan filter plant could turn out increased amounts of water to meet the needs of the wartime popuation, not only more water had to be pumped to the plant but more intensive cleaning operations on the sand beds were necessary. This required more mechanical equipment, more labor, additional chemical teratment, and more power. As a consequence, with only minor improvement expenditures, the plant capacity was increased 25,000,000 gallons per day through rather moderate increased operating costs.

In the last few years, a greatly improved quality of water has been produced with a definite reduction in taste and odor troubles through the application of modern treatment practices. This required not only the so-called superchlorination to burn out deleterious substances, but the application thereafter of sulfur dioxide to maintain standard chlorine residuals in the distribution system. The chemicals have added to operation costs but have aided in producing a safer and superior product.

Another factor increasing costs is that of a decreasing amount of Governmentgenerated power. All surplus water over the city demand is passed to the Dalecarlia hydroelectric station and all power thus generated reduces the amount that must be purchased annually. As the consumption increases with the growth in population, less and less surplus water is available to generate Government power. Where $50,000 to $65,000 was thus saved in past years, the savings after the fiscal year 1947 is estimated at only $25,000 In subsequent years this saving will substantially disappear as only intermittent operation during the winter months, when consumption is low, will be possible.

In the field of wages the war situation and its aftermath have created pronounced changes all in an upward direction. The 48-hour week was eliminated. requiring more employees for Saturday and Sunday operation of this day-in and day-out utility. A 10-percent night differential involving parts of two shifts of operators was imposed and double pay on holidays were all authorized by the Congress.

The cost of living index of the Department of Labor for wage earners and lowsalaried workers averaged 102.2 in 1937 and in January 1947 the index was 153, or an increase of 52 percent during this 11-year period. The Engineering

News-Record construction cost index (base 1913=100) by which the change in materials and labor is gaged at any particular time, was 225 in 1937 and in March 1947 was 391, an increase of 74 percent.

All supplies, materials, and equipment used for operating and maintenance purposes or requiring replacement by reason of ordinary wear and tear have, in many cases, practically doubled in cost in recent years. Parts and replacement items unobtainable during the war period, required excessive and uneconomical repair expenses to continue them in service.

In connection with any examination of water system costs due consideration should be given to the distinction between operating costs and capital outlay or improvements when reviewing supply division costs. Operating costs in general are a function of the water demand coupled with material and labor costs, while capital improvements are a function of plant capacity to meet immediate and future requirements of the water system consumers. The need and costs of the capital improvements which must be undertaken to keep pace with the increasing demand for water by reason of population growth is fully presented in House document 480, Seventy-ninth Congress, second session, entitled "Adequate Future Water Supply for the District of Columbia and Metropolitan Area," which was prepared pursuant to a directive from the Congress.

In summary, several pertinent facts stand out with respect to the increases in cost of operation over those obtaining in previous years. Notwithstanding the many special conditions that have been noted, it is apparent that with an increase in population of 51 to 54 percent in the 11-year period, and an increase of 57 percent in the quantity of water supplied, the increase in the cost of producing a million gallons of finished water has only increased by 30 percent. At the same time with an average increase of 57 percent in the wage per employee, it has been possible to reduce the number of employees required to produce a billion gallons of water by 21 percent

It is considered that the above-noted statistics and other figures indicate an efficiently operated water supply division, producing an improved quality of water, at a unit cost below the increased costs obtaining in comparable water systems and those generally obtaining in commercial and industrial establishments.

་

1 Represents third quarter, fiscal year 1947, substituted for fiscal year 1946. This quarter was chosen as it represents only a skeleton force of the pay roll necessary in the initial stage of the reorganization of the District of Columbia National Guard. This does not include personnel to operate the National Guard Armory that will be necessary subsequent to the vacating by the FBI in the near future.

Beginning with the fiscal year 1942 a reduction in force was necessary due to the ordering of the District of Columbia National Guard in Federal service in 1941 and subsequent transfer of other personnel.

In 1943, 1944, and 1945 a skeleton force was necessary to maintain the activities of this headquarters.