The influence of the Los Angeles “oligarchy” on the governance of the municipal water department (1902-1930): a business like any other or a public service?

Fionn Mackillop (1)

1 LATTS - Laboratoire Techniques, Territoires et Sociétés

The municipalization of the water service in Los Angeles, in 1902, was the result of a (mostly implicit) compromise between the political, social and economic elites of the city: the economic elite (the « oligarchy ») accepted the idea of municipalizing the water service, and helped the Progressive politicians and citizens to put an end to the franchise of the private LA City Water Co, a corporation obsessed with financial profitability: a return of « 100 cents for every dollar invested » was how William Perry, the CEO, used to sum up his company's activity, and this very often led to under-investment and the construction of a network of relatively modest scope and efficiency. The « oligarchy » accepted to partake in the municipalization on the condition that the water service remain a « healthy business proposition », self-sustainable as far as investments and operating costs were concerned. Moreover, the oligarchy benefited hugely from the public investments that were made, for instance through land speculation in once-desert lands now made inhabitable thanks to giant water infrastructures (such as the 300-mile-long Owens Valley aqueduct, completed in 1913). The idea of making profits was part of the reason why the business class accepted to infringe upon the dogma of free enterprise in Los Angeles. On the other hand, the Progressives, faithful to the motto of one of the leading figures of the movement, President Theodore Roosevelt, were aiming to achieve « the greatest good for the greatest number », in other words spread out the water service as much as possible, foster widespread access : they had a social and even a moral agenda (e.g. « civilizing » Mexican and African-American populations of the city through access to networked services), and were also trying to increase LA's political influence in Southern California (through compulsory annexation of territories wishing to benefit from LA's water projects, for instance). These conflicting views of what the municipal system should be and how it should operate were both present, from the start, and both exerted influence on the governance of the company and water network planning in LA.

Mots clés: water; power; networks; urban regime; Los Angeles; Owens Valley; Aqueduct; Water policy; Southern California

Domaines: Architecture, aménagement de l'espace; Histoire

Fionn Mackillop. The influence of the Los Angeles “oligarchy” on the governance of the municipal water department (1902-1930): a business like any other or a public service?. Business History Conference Online, 2004, 2, http://www.thebhc.org/publications/BEHonline/2004/beh2004.html. ⟨hal-00195980⟩