Report of Rochester Milk Survey by the Committee on Public Safety of the Common Council Report of Rochester Milk Survey by the Committee on Public Safety of the Common Council Charles E. North, M.D., Director December, 1919 GENERAL INTRODUCTION In response to a widespread demand on the part of many of the citizens of Rochester for an official investigation of the high cost of milk, and the recognition by the city officials that the cost of milk had greatly increased in recent months, the Common Council of the City of Roch- ester planned to conduct a milk survey in accordance with the following resolution : City Clerk's Office, City Hall, Rochester, N. Y, July 10, 1919. To Whom It May Concern : I Hereby Certify, That at a session of the Common Council of the City of Rochester, held in the City Hall on Tuesday, 'April 22, 1919, an ordinance was adopted, of which the following is a true copy ; and that at the time said ordinance was adopted the Common Council of said City consisted of twenty-four members. By ALD. HART — Be it ordained by the Common Council of the City of Rochester as follows : Section 1. The Committee on Public Safety of the Common Council is hereby authorized and directed to investigate and inquire into the distribution of milk used in the City of Rochester and the sanitary conditions surrounding the same and the cost thereof ; and as to the expediency of the purchase and distribution by the city of all milk used in the city; and as to the expediency and expense of any other method designed to secure the control by the city of the distribution of milk; and into the production of milk used in the City of Rochester and the sanitary conditions surrounding the same and the cost thereof ; and as to the expediency and expense of the production by the city on municipally owned farms of all milk used in the city; and to report to the Common Council the result of its investigation with such recommendations concerning the same as it deems proper. Sec. 2. The employment of one or more experts to assist said Committee in its investigation is hereby authorized, such employment to be without competition, at a compensation to be fixed by the Board of Estimate and Apportionment, and it is hereby declared to be impracticable to procure the services of such experts by com- petitive contract. Sec. 3. This ordinance shall take effect immediately. Adopted by the following vote: Ayes — Aldermen Catiley, Ward, Hart, Somers, Friedler, Rosenberg, Messinger, Kane, Steelsmith, Carroll, Chilson, Cook, Russell, O'Neil, Bareham, Stanley, Rap- pleye, Morgan, Hoffman, DePotter, Dentinger, Hannahs, Ruppel. — 23. Nays — None. And I further certify that said ordinance was submitted to His Honor, the Mayor of said City of Rochester, by whom the same was approved. Attest: JOSEPH A. CRANE, City Clerk. The present director of this survey was employed by the City of Rochester to organize and conduct a milk survey, beginning on July 8th, 1919. >^i SQRVEY OF THE CITY OF ROCHESTER : : •: :'• : V.: : : 4. SURVEY OF MILK SURVEYS In order that the proposed survey might be planned in a manner that would insure results of the most practical value to the city, con- sideration was first given to the work performed in previous milk sur- veys. All of these include plans of organization, subjects of study, and recommendations which are contributions to the plans for the Rochester Survey and a brief consideration of them will form the best possible introduction to the present Rochester Survey. The list of these surveys is as follows : Date 1911-12 1915 Place Rochester, N. Y. Detroit, Mich. 1916-17 New York State 1917 1917 1917 1917 1917 1919 1919 1919 1919 1919 Berkeley, Cal. New York City New England Pennsylvania, Maryland, Delaware Canada New York State Spokane, Wash. Winnipeg, Man. New York City New York State 1919 New York State Auspices Private U. S. Dept of Agriculture New York State Senate and Assembly University of California Mayor's Committee on Milk Boston Chamber of Commerce Governors' Tri-State Commission Food Controller Council of Farms and Markets Chamber of Commerce City Council Private Governor's Commission on High Cost of Living New York State Recon- struction Commission - (Committee on Food Pro- duction and Distribution) Directed by Dr. John R. Williams C. E. Clement and G. P. Warber Senator Wicks Elwood Mead Dr. Charles E. North, Chairman R. W. Bird, Chairman Dr. A. G. Gilbert, Secretary Dr. Clyde L. King, Chairman P. B. Tustin, Chairman W. A. Dana, Chairman J. K. McCormack, Chairman R. D. Hughes I. G. Jennings Martin H. Glynn and John H. Finley Thomas V. Patterson, Chairman Herschel H. Jones, Secretary 1911-12, Rochester, N. Y. ("The Economic Problems of Milk Dis- tribution in their Relation to the Public Health," by Dr. John R. Williams. Transactions of the Fifteenth International Congress on Hygiene and Demography, Washington, D. C, 1912.) The studies in this survey were confined strictly to the City of Rochester, and were conducted entirely under the auspices of Dr. John R. Williams, of Rochester, at his own private expense. The time con- sumed in the investigation was over one year and a half, and a number of investigators were employed by Dr. Williams. Not only because this survey deals particularly with the City of Rochester, which is the sub- ject of the main survey in our own report, but also because it was the first and by far the most comprehensive survey yet made of the cost of milk distribution and the unnecessary expenses connected with the same it is desirable to consider the material in this report in some detail It MILK SURVEY OF THE CITY OF ^ROCHESTER ,V;5. will also be interesting to compare the conditions prevailing! byl*fyl* yrith the conditions prevailing in 1919. The first branch of Dr. Williams' study in Rochester consisted of a house to house canvass in 15 sections of the city, each containing from 100 to 700 homes. In all about 5,000, or about one-tenth of the homes in the city were visited. The results of this investigation are given in the table below : MILK. £$RVEY OF THE CITY OF ROCHESTER | • ;. " 'isoipas SuiXjddns ui '.jaunqujsip ^u'asajd S3ijj\r c/> w 2 < Sa H a o ffi to o M g O § •uoipas SutXjddns ui PABJ; p|noM. aajnqujsip DUO •uoipas ui sja;nqujsip jo Xq pdi|ddns sauioq jo jaqumjyj •s;jBnb £ •sjjunb Xjrep pasn afliux jo ^unouiy •SJB3X 5 japun •ajdood jo •saujoq jo vq ^t ; c\j t^ t>. TJ- u-j 10 1>. rj- ' fT) ,_! r-i IO ^H CO -H r-H 00 -(MOOrt • • -OOO\ ^nCMCM .mt-H»-i • • 'T-TO r-H CM C\J T- < CVJ r-l T-H OS} CQ r-iT-4i-ovj-)r^(NjcX3Lnr^rvir^iorocMC^ VO CO CO CO .-H ^H r-l VO CO O\ >-H CNlt^O\ lOCSJ '^^ CO (Sj vo ONOOr^ON \O 00 CNJ CO CSJ T-^ ro vO Csi to ro ^.^ fO i~^ ON 00 ^°* ^" (\) Tj" f^*> r—* T— iCOT-HONi-HCNlCMTl- 00 00 1^ vO tv. oO C\l \O "^ ON •— i m 10 t— i og o O t>« "^ •— " t^ 1-1 Tf ro ON ON rh 10 bo ' • a • .-bo « : : .y : bo bo c ^ i f.g'g| « : .6 .0 £.E g . u . . s =j b-i odfe MILK SURVEY OF THE CITY OF ROCHESTER 7 Attention is called to the fact that the proportion of children under 5 years of age is greater among the poor than among the well-to-do, and that the use of store milk and condensed milk is confined largely to the laboring classes, which, it is suggested, is due to lack of refrigerators or ice. The most interesting part of this table shows the large number of milkmen going into each district. In section No. 4, 273 homes are sup- plied by 27 distributers travelling more than 25 miles, whereas one dealer could render the same service travelling not more than 2.6 miles. In section No. 8 are 57 distributers travelling over 30 miles supplying 363 homes, which could be served by one distributer travelling 1.7 miles. The report points out the great wastefulness of the present system of distribu- tion, due to duplication. Another important branch of this investigation consisted of a study of the cost of distribution. Information was secured from 173 dis- tributers. Almost all, excepting half a dozen, had no accounting system, and approximate costs were arrived at by enquiry into the businesses. The results of this enquiry are shown in the following table : B MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 2 TABLE SHOWING THE TOTAL ACCOUNTING OF MILK DISTRIBUTERS IN ROCHESTER, GROUPED ACCORDING TO THE VOLUME OF BUSINESS DONE Schedules. Distributers selling daily— *c3 g JL g|j O in co Not more 1 ISOquar 21 E O £ From 301 1 1,000 quarl 1,000 quart or more. Distributers number 25 2,887 129 101 21,368 2,411 44 17,180 3,415 3 8,900 6,000 173 50,335 11,947 \Iillc retail quarts • • . Milk wholesale quarts Total milk sold quarts .... 3,016 29 34 26 199 1,885 23,799 133 160 137 1,053 13,915 20,599 99 101 92 616 9,490 14,900 95 65 50 641 9,800 62,314 356 360 305 2,509 35,090 Men employed number Horses employed number \Vagons employed number Length of route miles . . . Customers number Value milk- room equipment $2,407 8,815 $17,295 45,105 $16,750 28,495 $38,450 25,035 96,700 $76,902 107,450 96,700 Value horses and wagons Value real estate Total investment $11,222 $6.17 8.92 4.35 25.30 5.60 7.38 $62,400 $ 34.17 42.25 36.59 152.50 48.95 77.36 $44,245 $ 25.16 39.03 28.55 101.00 74.20 74.89 $160,185 $ 45.15 17.20 14.55 100.00 193.06 21.00 $278,052 $ 110.65 107.40 84.04 378.80 321.81 180.63 Interest, depreciation on investment. . Cost of coal and ice Milk shrinkage waste, etc Maintenance horse and wagon Daily wages labor Cost of bottles $57.72 128.71 $392.82 999.55 $342.83 880.44 $390.98 886.40 $1,184.35 2,895.10 \mount paid producer Total cost to distributer $186.43 $213.31 1.00 6.75 $1,392.37 $1,535.05 138.26 60.84 $1,223.27 $1,254.67 195.87 106.20 $1,277.38 $628.00 314.50 67.51 $4,079.45 $3,685.03 548.63 241.50 Milk receipts retail . • Milk receipts wholesale . . . Cream receipts . . $220.06 $37.59 3.96 $1,734.15 $341.78 $1,556.74 $333.47 $1,366.01 $78.58 $4,876.% $791.42 Labor loss MILK SURVEY OF THE CITY OF ROCHESTER 9 The report points out that the above tabulation indicates that most of the milk distributers make only a very meagre living, in many cases the income being much less than that of laborers and unskilled mechanics. The third branch of this investigation consisted in a most unique experiment to determine the cost of distribution under a single service system. It was assumed that an ideal delivery system would consist of one truck and a crew of men supplying one section of the city. Accord- ingly, an electric truck was furnished by an electric vehicle company having a capacity of 1,000 pounds. In place of milk, several pigs of lead which equalled in weight a load of milk were carried. Besides a driver there were two clerks supplied with apparatus for accurately measuring distance and time. There were two men who carried fictitious bottles of milk from the truck into the homes. Each was equipped with a steel basket similar to that used by milkmen containing 2 quarts and 3 pint milk bottles filled with water. Literature relating to the pure milk movement was deposited in the milk boxes of each house in place of milk, and notations made regarding conditions at the house which would equal in time the labor performed by the present milk peddlers. Each stop made by the truck was timed with a stop watch, and recorded. The distance travelled was measured by an odometer, and confirmed by map measure- ments. Each operation by the delivery men was measured and recorded upward of 200 time's. Previous to the experiment a number of ordinary milkmen were timed without their knowledge to secure an average of the time occupied by them in going from the wagon to the house and return to it again. This experiment in milk delivery was conducted in the well- to-do district and again in one of the crowded sections of a poor district. The results of this experiment are recorded in the table on next page. 10 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 3 TABLE^EXPERIMENT IN MILK DISTRIBUTION Streets. Baden, Catherine, , Vienna, Morris, etc. Barrington, Dartmouth, Westmin- ster Road. Rutgers. 248 202 154 248 52 23 Total families visited in section number 604 11 593 1.3 785 1.6 1.7 30 78 H. m. s. 46 200 34 45 1 25 15 359 297 52 3 1,077 2.5 2.4 38 67 H. m. s. 62 200 40 2 1 19 15 Houses having milk boxes number . . Houses having no millc boxes number ... Average amount milk used daily in homes Quarts Total amount milk used daily in section Quarts Total length streets in section miles . Distance travelled by truck in section miles Distance travelled by present peddlers in supplying sec- tion miles Stops made by truck number Average time required to go from truck to each two houses leave milk and return to truck Total time of experiment Total time truck was in motion Total time truck was standing still In the first, or well-to-do section, the truck travelled 2.4 miles to supply milk which the regular milkmen were supplying in this territory by driving 38 miles. In the poorer section, the experimental truck trav- elled 1.7 miles to make deliveries which were being made by the local milkmen with a travel of 30 miles for the same work. In the well-to-do district where families used an average of 3 quarts each it was estimated that 1,077 quarts of milk could have been distributed in 2 hours, while in the poorer district where the families used 1.3 quarts, it was estimated that in 2 hours the experimental truck could deliver 785 quarts. These figures represent the work of men physically untrained for active work. As a result of the experiment, the author concluded that 1 truck drawn by 2 horses and manned by 3 men could deliver an average of 3,200 quarts of milk in 1 working day. As an example of the economy under this ideal system compared with the waste under the old system, the author quotes a number of instances in various districts of the city, among which is the following: MILK SURVEY OF THE CITY OF ROCHESTER 11 TABLE No. 4. UNDER PRESENT SYSTEM UNDER MODEL SYSTEM 29 men at $1 16 per day $33.63 3 men at $2.50 per day $750 34 horses and 26 wagons, ance . . mainten- 2600 4 horses daily maintenance 500 1 truck maintenance ... 25 Total $59.63 1 motor truck part of day 200 Superintendence 600 Total . . .$2075 After quoting several other instances, the author compares the pres- ent cost of distribution for the entire city of Rochester with the proposed cost of distribution under a model system of distribution : TABLE No. 5 UNDER PRESENT SYSTEM 356 men, and in many cases their fam- ilies. 380 horses. 305 wagons. 2,509+ miles travel. $76,600 invested in milk-room equip- ments. '$108,000 invested in horses and wagons. $2,000 present daily cost of distribution. $720,000 yearly cost of distribution. UNDER MODEL SYSTEM 90 men. 50 horses. 25 horse-drawn trucks. 300 miles travel. 75,000 equipment for sanitary plant. >30,750 equipment of horses and trucks. 1600 estimated daily cost of distribution. 5220,000 estimated yearly cost of distri- bution. and comes to the following conclusions : "There is little question that if the milk supply of Rochester were to be dis- tributed by one agency properly organized and equipped, a saving to consumers of at least $500,000 yearly could be effected." In order to bring more vividly before the minds of the readers the enormous waste of the competitive system of distribution, the author ap- pends a series of illustrations showing the number of milk wagons at present engaged in distribution in the several districts of the city, and makes the following suggestion : "The City of Rochester owns its water works, collects its own ashes, operates an incinerating plant for the sorting and disposal of garbage and controls the col- lection of its garbage. All of these activities bear an important relation to the public health, but none the less does milk. Why, therefore, should not cities con- trol their own milk supplies to the end that the people may have pure, wholesome milk at the same minimum cost?" One example of these illustrations is given on the opposite page: 12 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 6 MILK SURVEY OF THE CITY OF ROCHESTER 13 1915, Detroit, Mich. (U. S. Department of Agriculture, Bulletin No. 639. "The Market Milk Business of Detroit, Mich., in 1915," by C. E. Clement and C. P. Warbor.) The data was collected during the months of September and October, 1915. The methods of enquiry consisted of an examination of the dealers' books and an inspection of the business. The subjects covered included : Statistics of the supply, cost of col- lection in the country, cost of handling in country stations, investment in the country, freight, investment in city plants, investment in delivery equipment, average daily sales, cost of handling in city plants, cost of delivery labor, cost of delivery expense, loss on surplus. This report is most interesting because of numerous tables showing the different costs. It points out that previous to the adoption bv the City of Detroit of a milk pasteurizing ordinance there were 158 retail dealers, and three months after passing of the ordinance there were only 68 plants in which milk was prepared for distribution. The chief recommendations are that country plants be standardized in building and equipment, and that there is economy in the sale of milk from city stores. 1916-1917, New York State. (New York State Assembly Commit- tee; Senator Chas. W. Wicks, Chairman.) This survey occupied a period of about six months under an appro- priation of $25,000. Methods of enquiry included: Public hearings, at which witnesses were examined representing dealers, producers, and consumers; exam- ination of dealers' books by expert cost accountants, and of producers' accounts. Subjects covered included especially the milk supply of New York City; the statistics of the supply; investment in the country; freight; investment in city plants ; investment in delivery ; average daily sales ; cost of handling, labor ; cost of delivery, other expenses ; loss on surplus ; and also a study of dairy farm costs, including cost of labor, cost of feed, other farm expense ; and prices charged consumers. Figures were obtained from all of the larger milk companies in New York City, and from many dairy farms. The report shows that the in- crease in cow population in New York State has failed to keep pace with the increase in human population. The Committee concludes that: "During a period of several years the dairy farmer, laboring industriously and thriftily as he might, was not able to secure such reasonable price from the sale of dairy products in this State as to earn a fair labor and invested capital return. The Committee is constrained to believe that the average dairyman is as thrifty and 14 MILK SURVEY OF THE CITY OF ROCHESTER efficient in his chosen pursuit as the average man in other walks of life. We doubt if there is any group of men in any corresponding industry so well informed as to their craft, so keenly interested in its progress, and so eager for success as the dairy farmers of the State of New York." The Committee's investigations included dairy farms producing milk for the City of Rochester, and milk companies distributing milk in the City of Rochester. The conclusions of this Committee regarding distribution are ex- pressed as follows: "UNNECESSARY COSTS OF DISTRIBUTION" "This business is conducted on an extremely competitive basis. * * * A large part of the cost arises from the bitter competition existing in the distribution of the product * * * An army of solicitors and sales agents are main- tained * * * Overhead charges attributable to this work amount to an alarming sum * * * It is customary to refer to the fact that four or six or ten milk wagons and milk drivers visit the same block * but this ignores the really greater expense of the silent army of retainers * * * Not only do we find in single blocks these wagons and horses, but on the same block six solicitors ; six route superintendents ; six staffs of clerks and bookkeepers. The distribution of milk is a public service which, to be put upon an economic basis, requires public regulation to the end that all unnecessary services even of a com- petitive kind may be eliminated." "DISTRIBUTION OF MILK SHOULD BE A REGULATED PUBLIC SERVICE" "It is safe to assert that the consumers in the City of New York pay several millions of dollars annually for the privilege of having all the numerous purveyors of this necessity of life engage in attempts to serve him * * * A milk supply is as much a daily necessity and even more so than gas or electricity." "It certainly seems as if the dairymen of this State and the distributers with their invested capital, and the consumer, should co-operate to the end that these unnecessary competitive wastes be eliminated and the dairymen's milk brought to the consumer at the lowest possible expense." "The investigations of the Committee lead to the conclusions that under the present competitive system it takes almost as many men to bring the dairymen's milk to the consumer as there are dairymen engaged in the production of milk with all their employees. This is the result of the purely competitive basis upon which the business is handled. Three or four milk stations are being maintained with a separate force of employees to collect or receive the dairymen's milk at many points where one well equipped station with a competent force could do all the collecting at one-fifth the present expense. This unnecessary duplication of service follows with all its attendant overhead and capital investment from the country milk station until the bottle of milk is finally deposited at the consumer's door. A large part of this, in the judgment of this Committee, could and should be eliminated. * * * The only solution possible is to limit and leave only those in the field which the service actually requires. This is just as obvious in the case of milk as it is in gas or any other daily necessity supplied in small quantity to the consumer. "It is believed by the Committee that a State Department * * * should be created to provide ways and means * * * to consolidate this service, not only MILK SURVEY OF THE CITY OF ROCHESTER IS in New York, but in every city of the State, to the end that the expense thereof be reduced to a minimum * * * The dairymen of the State, ignoring and dis- regarding the law has so organized as to protect his own interests * * * Those who contend that these matters had best be regulated by the law of supply and demand pay no heed to the evident situation that the law of supply and demand has absolutely ceased to operate. " THE MILK TRUST " "There is no milk trust controlling the purchase and sale of market milk in the City of Buffalo. There is none in Rochester; there is none in Syracuse; there is none in Utica; there is none in Albany; nor in any city between Albany and New York, nor in any town or village of the State. There is no milk trust controlling the purchase and sale of milk in the City of New York. Instead there is sharp and bitter competition, so far as the records of this Committee discloses, in each and every one of the places. There are four stations in many places where one could collect the milk. There are four outfits of station managers and employees in many places where one could do the work. Every intelligent person who has ever discussed the question concedes that there are four horses and wagons, four or five or six groups of solicitors ; four or five or six separate organizations and overhead charges duplicating work that one of each could well perform. "There is too much capital already invested in the business * * * Here, then is the waste and the loss * * * Instead of introducing more expensive com- petitors in the field to waste more money of the consumer, the State should endeavor by judicious legislation, to permit the elimination of all unnecessary investments both of labor and capital and effectively control the business operations of the remainder." 1917, Berkeley, Cal. (University of California, College of Agricul- ture, Circular No. 175. "Progress Report on the Production and Dis- tribution of Milk," by Elwood Mead.) The information in this survey was obtained during the months of June and July, 1917. The methods of enquiry consisted in the mailing of questionnaires to producers and dealers, and an inspection of the dealers' milk factories and of dairy farms. The subjects of enquiry included: Statistics of the supply (of the cities of San Francisco, Oakland, Berkeley, Alameda, and Richmond) ; average daily sales; losses on surplus; dairy farm costs; cost of labor, feed, other farm expense; prices paid to farmer; prices charged con- sumers. The conclusions of this survey are : "(1) The distributers service at present is badly organized, and there is in many cases a serious waste of labor and money which ought to be corrected; (2) Duplication of pasteurizing plants in a needless addition to distribution costs." Under recommendation the report states : 16 MILK SURVEY OF THE CITY OF ROCHESTER "(1) What is needed is comprehensive and expert public oversight that will study the needs of a city as a whole and co-ordinate the work of producers and distributers so as to eliminate inefficiency and waste, and insure prices based on the value of the services rendered ; (2) What is needed in San Francisco Bay cities is the creation of some expert authority to study whether the present location of our dairying districts makes possible the provision of a milk supply as cheaply as it could be furnished from some other district or districts where land is cheaper even if farther removed. (3) The economies of distribution should be studied, not to determine in what direction the distributers have failed, but what could be saved by a carefully planned distributing system which would eliminate duplication of routes, needless pasteur- izing plants, and overhead charges." 1917, New York City. (Report of Mayor's Committee on Milk; Dr. Charles E. North, Chairman.) Methods of enquiry included : Public hearings of dealers, producers, consumers; examination of dealers' books by expert cost accountants; examination of dairy farm costs by cost accountants ; questionnaires to dealers, producers and consumers ; field work by farm inspectors on farm costs ; by city inspectors in house to house canvass. Subjects of enquiry included : Statistics of New York City supply ; cost of freight ; dairy farm costs, including the cost of labor, cost of feed, other farm expenses; country hauling; prices received by the farmer; milk dealers' costs, including investment in the country; investment in the city; average daily sales; cost of handling, labor; cost of handling, other expenses; cost of delivery, labor; cost of delivery, other expenses; loss on surplus. The house to house canvass covered 2,200 homes by 250 investiga- tors, including a population of 12,439 people, showing the milk consumed by children of different ages and by adults. This survey included studies of the cost of production on dairy farms in all the states shipping milk to New York City, and on the city end of the line a careful study of the cost of distribution of milk in quart bottles from retail wagons, of the sale of bottled milk from grocery stores and milk stores, and the sale of wholesale milk in cans. The investigation gave much consideration to the food value of milk and received the testi- mony of the leading authorities on this subject. The conclusions of this survey were : price's1' Milk ^ thC m°St ValUablC and thC °heaPeSt °f human foods even at Present 2. For drinking purposes New York City now uses only about 700000 am duly The aty should use about 2,000,000 quarts daily for drfnking in anneal dYet Is JOStu°£I?l!Ik Pr°ductlon at Present P"ces is 7 cents per quart and he prices asked by the Dairymen's League are justified. 4. The cost of distribution as shown by the dealers' accounts is justified and not large enough to prevent business losses. MILK SURVEY OF THE CITY OF ROCHESTER 17 5. The cost of production can be reduced by (a) eliminating low-producing cows. (b) collective hauling of milk. (c) collective buying of grain. 6. The cost of distribution can be reduced by abolishing competition and duplication through centralizing the distributing system into a single company or public service corporation." 1917, New England. (Boston Chamber of Commerce. "The Milk Question in New England," R. W. Bird, Chairman; Dr. A. C. Gilbert, Secretary.) The methods of enquiry included an audit of the dealers' books by expert cost accountants, and the examination of dairy farm costs by farm inspectors. The subject of enquiry included: Freight, the cost of handling, the cost of labor, and factory cost, loss on surplus, and dairy farm costs, in- cluding labor, feed, other farm expense ; country hauling, and a statement of prices received by the dairy farmer. The Committee's recommendations include: "1. That the farmers through their association or community groups establish their own delivery system from the farms to the railroad shipping station, and wherever possible own their own receiving stations at the railroad. 2. The question of surplus (milk) is one of the most aggravating causes for the high price of milk to the consumer. The farmer should study this condition carefully and endeavor to bring his cows to a producing state in a more uniform manner than at the present time, because if he does not the loss due to surplus must ultimately be borne by those who produce it and not by the consumers as at present." The recommendations to milk dealers include among the others : "That early morning deliveries be discontinued and that all deliveries be made by daylight; That all bottles be charged for, and credited when returned; The use of a standard blank bottle." The Committee confesses its inability to express an opinion on the subject of co-operative or centralized milk delivery. 1917, Pennsylvania, Maryland, Delaware. (Report of the Governor's Tri-State Commission ; Bulletin No. 287 ; Pennsylvania State Department of Agriculture, Dr. Clyde L. King, Chairman.) Methods of enquiry included: Public hearings, at which appeared witnesses representing dealers, and consumers; questionnaires addressed to dealers and producers. The subjects covered included: Statistics of the milk supply of Philadelphia, Pa., Wilmington, Del., and Baltimore, Md. ; the cost of handling at country milk stations; freight: delivery charges, labor; de- 18 MILK SURVEY OF THE CITY OF ROCHESTER livery charges, expenses ; and the cost of milk production on dairy farms, including labor, feed, other expenses ; and country hauling. The report gives consideration to the food value of milk and the sani- tary character of milk, and also to the surplus problem. It includes many tables and diagrams of great interest to students of this subject. Among the most important conclusions and recommendations are the following: "On costs of production, the Committee recommends: (1) Keeping only high producing cows; (2) Co-operative methods of hauling milk." Under distribution the chief recommendations are that: "Milk distributive plants be hereafter regarded as quasi public businesses, and subject to governmental regulation; The cost per quart for pasteurizing milk, including the investment for plant and operating costs, decreases with increase in the size of the plant and in the amount of milk handled. There are economies in route service certainly up to the point as heavy as one vehicle can serve. Herein lies the greatest economy in large scale service. There is much saving in overhead charges. The public is interested in the milk distribution business as a public utility not only because of the economies in large scale distribution, but also because competi- tion, as in railways and other public utilities, is ruinous if real, and worthless as a price protector to farmer and consumer if unreal. The price of milk is as vital, certainly, as the charges for common carriers, or for electricity, or gas, or street railways. The sanitary safety of milk is certainly as vital as, if not more vital than, the sanitary safety of water. The price for milk depends largely upon the economies in production and milk distribution. Milk is a food that is absolutely requisite for babies and growing children. We have given careful consideration to the alternatives to recognizing the milk business as a quasi public business. Among these alternatives are : (1) Public ownership of pasteurizing plants in order to give equality of eco- nomic opportunity to the small dealers ; (2) Co-operative retail delivery by dairymen; (3) Public ownership of the milk distributing plants ; and (4) Farmers' stations within the city for co-operative wholesale milk delivery." The subject is summarized by the statement that : "The Commission recommends that the milk distribution business be regarded as a public utility." 1917, Canada. (Report of the Milk Committee Appointed by the Food Controller for Canada to Investigate Milk Supplies for Urban Municipalities; Ottawa; November 24, 1917. P. B. Tustin, Chairman.) Methods of enquiry included public hearings of witnesses represent- ing dealers and producers, and questionnaires addressed to dealers and producers. The preliminary statement by the Food Controller says : MILK SURVEY OF THE CITY OF ROCHESTER 19 "Although any action taken by the Food Controller must necessarily be limited to the period of the War Measures Act, the Committee's recommendations have in view more than temporary relief from the excessive spread between the prices paid to the producer and the prices charged to the consumer. The report is being given widespread circulation in the hope that thereby a permanent solution may be found of the problem of reducing the high cost of distributing milk." The subjects of enquiry included: The cost of milk production, farm labor, cow feed, and other expenses ; the use qf milk in by-products ; the food value of milk; the spread in various cities; bottle losses, and possible savings. The report also contains a statement of the experience of the City of Regina, Sask., in consolidating the milk business. The conclusions and recommendations of this report are, in brief, as follows : "(1) That the price of milk paid to producers generally has not been found to be exorbitant, taking into consideration all existing circumstances ; (2) It has been proved successfully that milk and all its products, including skim milk, are the cheapest forms of animal foods on the market today, and that the price of milk has not increased to the same extent as have the prices of other food. (3) The producer received for his milk delivered at the city dairy an average price of from 6c to 8c per quart, while the retail consumer is paying from lOc to 13c per quart This difference, commonly called "the distributers' spread," varies, according to the evidence submitted, from 2.75c to 6.50c per quart. (4.) That this excessive "spread" or difference between the producers' price and the consumers' price is caused chiefly by the excessive number of distributers, and that it varies in about the same ratio as the number of distributers. (5) In Ottawa, where one dairy handles about 75% of the milk, the spread is only 3.25c per quart, while in Toronto where there are about 90 distributers it is 5.25c." The report estimates possible savings as follows : Excess dairy costs .25c per quart delivery costs .75 " " bottle loss costs.. .125 " " Total 1.125c ' and on this basis an annual saving of over $1,500,000.00 could be effected in city distribution in Canada. The second chapter of the report contains recommendations for the reorganization and unification of the business of milk distribution. The principal recommendations are as follows : "(1) We recommend that the distributers' "spread", or the difference between the price paid for milk delivered at the city dairy and the price charged to the consumer, be fixed on a basis of reasonable costs of distribution as shown by the evidence submitted." 20 MILK SURVEY OF THE CITY OF ROCHESTER Following the suggestion that the Dominion be divided into zones, the report states : "We recommend that based upon present conditions the following maximum spreads be fixed, and made effective December 1, 1917, subject to reduction when conditions warrant: British Columbia 5.25c per quart Alberta ..'. 5.25c ' Saskatchewan and Manitoba 5.25c Ontario and Quebec S.OOc ' Maritime Provinces S.OOc ' In Ottawa, a city of 100,000 population, 75% of the business was shown to be in the hands of one distributing firm, which operates on a spread of 3.25c per quart. This illustrates the advantages to be obtained by the single unit delivery system. * * * The manager of the firm stated that under a single delivery system, he could reduce the "spread" to 3c. We recommend that where the Provincial Committee decides that economic waste could be eliminated or reduced by reorganization, such reorganization should be carried out by three competent men as local commissioners, selected by and coming under the approval of the proper authorities; one representing producers; one representing distributers ; one representing consumers. The local commission thus constituted should proceed to reorganize and consolidate the milk business." The following plan is suggested for the reorganization and consolidation : "1. The most efficient plants and equipment should be selected; 2. The property comprised in the consolidation should be appraised by two valuators, one appointed by the Food Controller, and one appointed by the owner. The results of such proposed reorganization would be: (1) A reduction in price to consumers; (2) One management, one bookkeeping system, reduction in overhead charges, release of a large number of men; (3) Saving in charges for supplies in large quantities, including producers' supplies ; (4) More sanitary quality of milk; * (5) A great saving in heavy expenditures for the prevention of the spread of tuberculosis resulting from the absolute prohibition of the sale of milk from cows that have not been tested and found free from tuberculosis, unless it was safe- guarded by pasteurization ; (6) Infant mortality would be reduced; (7) Typhoid and other preventable diseases would be reduced; (8) Inspection and control of the milk supply by municipal authorities greatly facilitated." 1919, New York State. (Report submitted to the Legislature of New York State at Albany, April 18, 1919, under the title : "Preliminary Report of the Council of Farms and Markets of its Investigation of the Cost of Production and Distribution of Milk in New York State." W. A. Dana, Chairman.) Methods of enquiry included : Public hearings of witnesses repre- senting producers and dealers; examination of dealers' books by cost accountants ; questionnaires addressed to producers and dealers. MILK SURVEY OF THE CITY OF ROCHESTER 21 The subjects of enquiry included : A study of the milk supply of the cities of Glens Falls, Syracuse, Utica, Binghamton, Poughkeepsie, Middleton, Watertown, Albany, Olean, Batavia, Lockwood and James- town, N. Y. In some cities complete information was obtained. In other cities, partial information. Complete records and costs of milk production were secured from thirty representative agricultural regions surrounding Syracuse, Canton, Middletown, Binghamton, Watertown, Utica, Poughkeepsie; including cost of feed, labor, and other dairy costs. Statistics of the cost of distribution from 26 distributers in Utica, Syracuse, Binghamton, Batavia, Lockport, Watertown, Middletown, Jamestown, Poughkeepsie, were obtained, including the cost of operating milk plants and milk delivery systems. The conclusions and recommendations of this report, briefly, are as follows: "(1) The Council is firmly of the opinion * * * that the producers gen- erally have not been making any large profits; (2) That in nearly every city there are too many dealers and that there is a large duplication of routes, several wagons serving customers in the same block; (3) The problem of surplus has also been an acute one ; (4) That the overhead on account of an expensive plant and a large amount of capital is so great that no company, even though handling practically all of the milk of the city, could show a large profit with such an overhead; (5) That the entire system of distribution in the up-State cities should in some way be made more efficient. (6) It has been advised that * * * the cost of distribution in Philadelphia has been reduced to approximately 4.5c ; (7) That in the City of Ottawa it has been reduced to about 3.5c; (8) The evidence indicates that the spread of about 5c per quart between the cost of milk at the city distributing plant and the prices received for retail milk would cover the cost of bottling and distribution in these cities under present con- ditions. 1919, Spokane, Wash. (Report presented to the President of the Chamber of Commerce by a special Committee called "The Milk Com- mittee appointed by the Chamber of Commerce," dated April 25, 1919.) Methods of enquiry included: Questionnaires addressed to pro- ducers and dealers; field work, including inspections of the producers' and dealers' businesses. Subjects of enquiry included: Statistics of the supply of Spokane; losses on surplus milk; per capita consumption; food value of milk; milk prices compared with other food; and the cost of production and of distribution. The conclusions and recommendations include the following: 22 MILK SURVEY OF THE CITY OF ROCHESTER "We conclude that the producers as a class are losing money in their dairy activities at the present time * * * that they have not as a class been making an adequate return for the investment, risk, and work necessary to produce milk, and that they are entitled to a better price than they are now receiving if production and the dairy industry are properly encouraged ; That we find many of the producers unskilled in the proper handling of the herd, using cows which have no place in the dairy herd, using unintelligent feeding methods, quite a few without any knowledge of cost accounting; We conclude that the consumer has not a sufficiently full knowledge of the value of milk as a food and its positive necessity especially for the younger genera- tions * * * and that the price of milk has been increased less during the war period than any other food product. We conclude that in the distribution of milk the distributer has made no more than a modest profit, and we believe the distributers are not making any unusual or improper profit in the spread between the price they pay to the producer and the price at which they sell to the consumer. We find most of the large distributers with side lines of activity which we believe are profitable, such as making ice cream and butter. If any relief is to be had, it must be through the concentration of agencies. It occurs to us that the overhead cost of maintaining so many agencies is the chief contributing cause of the cost to the ultimate consumer. It has been suggested that a municipal plant be installed * * * but we be- lieve that this would not bring the results hoped for on account of the peculiar nature of the business. Neither de we believe that any organization by the producers through which they will market their milk direct will be successful. Some members of your Committee have believed that the situation could be met by licensing by the city a monopoly in the hands of private capital * * * retaining the power through the city commissioners of audit, and control of prices and profits, as well as of methods and expenses. Should such a monopoly be desired by the public (which should be consulted before any definite plan is adopted) we believe that in justice to all present vested interests, those particular distributers who were forced to discontinue should not suffer loss, but their properties should be paid for at a sound and solvent price, either through the monopoly thus created, or by direct tax, as it would not seem fair to confiscate their properties or their business without a reasonable payment. * * * If the city reserves the licensing power; the absolute control of all milk and of milk products sold in the city ; the control of a proper and fair profit which the monopoly would be allowed to make ; requires frequent reports and also makes frequent audits of accounting of such monopoly; we believe the very best results could be obtained, for both the producers and the consumers, in economy and in qualities. The prices could be changed as conditions changed. The monopoly distributer should be allowed to make a stipulated return on his investment * * * and the consumer should in such case feel that he was getting as much as his money should buy without any unusual or unfair middle-man's profit. The objection to this plan which seems fatal is tjiat the public, in our judg- ment, would not be willing to allow such a monopolistic distributer a fair profit for his investment, energies and efforts, and would attempt to confine him to a rate of 7% or, perhaps, 8% on his invested capital, with only modest salaries, and in this way would destroy the initiative, as private capital does not ordinarily like to go into a hazardous business where the possibilities of profit are so limited. MILK SURVEY OF THE CITY OF ROCHESTER 23 If private capital could be obtained from sufficiently public spirited individuals to be and remain indifferent as to profits above a nominal rate, such a plan could be worked out." 1919, Winnipeg, Can. (Report made to the Mayor and Common Council of the City of Winnipeg, dated April 8, 1919, by L. D. Hughes.) Methods of enquiry: These were limited to an inspection of the dealers' business and accounts. The subjects of enquiry included: Statistics of the supply; dealers' investment in plant and buildings; cost of handling; cost of delivery; average daily sales; loss on surplus; sanitation of dairy farms and milk dealers' plants. The report recommends that a commission of three members be ap- pointed to act as a city milk commission, one member to be elected by the producers, one to be elected by the Winnipeg Trades and Labor Council, and one elected by the Greater Winnipeg Board of Trade. In addition, one member of the City Council, and one member of the City Health Department should be appointed ex-officio members, and attend all meet- ings of the commission. The duties of the commission would be to ap- point a manager for the municipal milk plant, and to set the price of milk paid to the producer and the price paid by the consumers from time to time. The summary and conclusions of the report include the following: "In my opinion the only way in which the City of Winnipeg can enter into the retail milk business in a manner satisfactory to the city, the producers, and consumers of milk, is to obtain a monopoly of the business within the limits of the City of Winnipeg. "I would therefore recommend that the City of Winnipeg purchase the milk businesses of the existing companies. "The following out of this plan would enable the city to erect the most modern type of building on the continent. The annual saving effected by following the above plan would be $230,348.00." The report then discusses the suitability of existing plants, and pre- sents figures showing the capital invested by two of the largest companies, and a tabulation showing present costs of distribution, and annual savings to be effected by the monopoly, and also the estimated cost of building and equipping a new municipal milk plant. It concludes as follows : " * * * the milk consumers will be able to obtain pure milk at the lowest possible price. Infant mortality would be reduced. Tuberculosis, typhoid, infant diarrhoea, and other communicable diseases * * * would be reduced to a minimum. The impetus given the dairy business as a result of the producers having a voic& in the setting of prices * * * would build up a prosperous dairy com- munity surrounding the city. 24 MILK SURVEY OF THE CITY OF ROCHESTER Inspection by officers of the department of health would be greatly facilitated, as all milk coming to one plant before being retailed to consumers could be thor- oughly inspected." 1919, New York City. ("A Study of the New York City Milk Problem," published by the National Civic Federation, by I. G. Jennings.) Methods of enquiry : Questionnaires to dealers. Subjects of enquiry : Prosecution of milk dealers by New York City Department of Health ; inefficiencies of production ; profitable and non- profitable cows; volume of milk produced on dairy farms; inefficiencies in the delivery of milk; country hauling; city retail delivery; sanitary control; bacterial tests; payment of premiums to the producer; country laboratories ; regulation by state commissions ; legal status of a state com- mission ; public ownership of the milk industry. This, report suggests the appointment of a state commission and municipal ownership of the milk business, and submits evidence indicating that a state commission could be appointed under the police powers of the state with such legal powers as would permit the licensing and regulation of the milk industry, and the fixing of prices ; and that municipal owner- ship also could be made legal under the state constitution. The greater part of the report is devoted to a detailed discussion of legality of a state milk commission and of municipal ownership. The author quotes authori- ties and precedents and apparently establishes satisfactory legal authority for the institutions mentioned. 1919, New York State. In a report published August 25, 1919, en- titled, "Preliminary Statement of the Commissioners appointed by Governor Smith to report to him in the matter of the High Cost of Living," signed by Martin H. Glynn, late Governor of the State of New York, and Dr. John H. Finley, Commissioner of Education, being special commissioners appointed by the Governor, the Commissioners devote the main body of the report to the milk problem. They point out the numerous investigations which have been made, and say: "Despite all these investigations, the price of milk has rapidly risen since 1916, and from present indications it is likely to go still higher during the coming winter." The report calls attention to the variation in prices in different cities, although the prices paid to the producers are approximately the same, and especially that the price of milk in Philadelphia is 2 cents a quart cheaper than in New York City. Regarding the importance of milk to the community, the Commis- sioners say : MILK SURVEY OF THE CITY OF ROCHESTER 25 "If milk were a mere commodity without which human beings might live in health and vigor, the State of course would have little concern in this transac- tions, but since in every community there are many persons, especially children, mothers, and invalids, for whom it is as much a necessity of life as a supply of pure water, the State has not only a rightful reason for enquiry as to whether there are exorbitant profits in its sale, but a compelling reason for interfering if there are." Their recommendations include the following : "We further recommend that you require all district attorneys of the State of New York, as you have already required the district attorney of New York County, to give immediate and most diligent attention to any violation of existing laws within their respective districts." "We are disposed to put the emphasis for the present on bringing about such open co-operation between dealers and consumers as will insure a fair price. To that end we recommend, therefore, that you cause to be appointed first of all in New York City a fair milk price committee consisting of nine members: The State Commissioner of Health, the New York City Commissioner of Health, the New York City Commissioner of Markets, three members tq be named by the Governor of the State, three members to be named by the Mayor of the City of New York. We further recommend that you follow this plan in the formation of the milk committees in other cities of the State, upon the request of the local officials. "If this plan should, however, be found ineffective in. securing fair prices, we would then be prepared to recommend * * * the following as the nucleus of a tentative legislative program for placing the distribution of milk on a public utility basis. "1. That there be created a State Milk Commission to regulate the milk dis- tribution business in cities of the first and second class. 2. That all milk distributers in cities of the first and second class be required to secure a license from the proposed Commission, and such Commission be author- ized to refuse a license to any distributer who can not establish proof that the business he proposes to conduct is of public interest. 3. That the proposed Commission be given full power to regulate the rates which shall be charged on milk for the service rendered by the distributing agencies, and to limit the profits of such agencies to what it may deem to be a fair and rea- sonable return on the investment. 4. That the proposed Commission be given full authority to require the in- stallation of uniform cost accounting systems by all distributing agencies in first and second class cities, and to inspect and audit such accounts at any time. 5. That the Commission aid and assist all municipalities desiring to establish municipally owned distribution of milk and act as an advisory board and be in position to recommend the most effective method to be used in establishing muni- cipal distribution of milk, including the acquisition of privately owned distributing systems. 6. That all the muncipalities of the State be authorized to acquire and operate milk distributing systems within their boundaries when such acquisition and opera- tion are approved by this Commission. 7. That the proposed Commission promote co-operation between the produc- ing and distributing elements of the milk industry; that it make from time to time investigation of the cost of producing milk, and publish for the information of the 26 MILK SURVEY OF THE CITY OF ROCHESTER public data as to volume and cost of production in this State ; that it conduct educa- tional campaigns for promoting the wider use of milk as a food and co-operate with municipal health departments and other agencies in making special studies of the needs for the greater use of milk in the feeding of children. 8. That the Commission make special study of the problem of providing milk at a minimum cost to the children of the poorer sections of the larger cities, and co-operate with the municipal departments of health in providing milk for the feeding of infants at the lowest possible cost. 9. That the Commission co-operate with the New York City Department of Health to make a special study of the conditions under which loose milk is sold in the city, and endeavor to eliminate all possible danger of contamination of milk sold in this manner. 10. That the proposed Commission be empowered to revoke a dealer's license for due cause after public hearing and after due notice in writing. 11. That any municipality in addition to cities of the first and second class may by formal action of the governing body of the municipality place themselves under the jurisdiction of this Commission." 1919, New York State. The Reconstruction Commission of the State of New York was appointed by Governor Alfred E. Smith on January 21, 1919. It consists of thirty-six members, representing all of the large cities of the State of New York; these are divided into two general com- mittees, and nine special committees dealing with the various public prob- lems and readjustments following war conditions. Among these is a Committee on Food Production and Distribution, consisting of ten members, of which Mr. Thomas V. Patterson of New York City is chairman. This Committee have given much study to the milk problem, and drawn up a draft of recommendations to the Governor for state legislation, which is as follows : "1. That the distribution of milk be considered a public utility to be controlled and regulated as such. 2. That legislation be enacted authorizing the formation of trade associations and consolidation of food businesses, subject to public control as our other public utilities of the State. 3. That all dealers in cities of the first and second class be required to secure a license and that the regulating authority be authorized to refuse a license to a dealer who cannot establish proof that the business he proposes is to be conducted in the public interest. 4. That the regulating authority have the power after a public hearing and proper notice in writing to revoke a dealer's license for due cause. 5. That the provisions of the law at present relating to licensing in this in- dustry be amended to avoid conflict. 6. That the regulating authority be given full power to regulate the rates which shall be charged in the sale of milk for the service rendered by the distribut- ing agencies and to limit the profits of such agencies to what it may deem to be a fair and reasonable net return on the investment. 7. That the regulating authority be empowered to regulate the methods of handling all milk and that it be its duty to recommend whatever measures are necessary to accomplish economies, mechanical or otherwise. MILK SURVEY OF THE CITY OF ROCHESTER 27 8. That municipalities be authorized to acquire and operate milk distributing systems within their boundaries when such operation is approved by the regulating authority. 9. That the regulating authority be empowered to apportion territory for dis- tribution among competing companies when such apportionment would result in greater economy. 10. That municipalities other than those of the first and second class may, by formal action of the governing body of the municipality, place themselves under the jurisdiction of the regulating authority. 11. That the regulating authority maintain offices in each of the cities under its jurisdiction in order to carry out its functions effectively." PLAN AND SCOPE OF THE ROCHESTER SURVEY METHODS OF ENQUIRY. These methods included the following : (1) PUBLIC HEARINGS. Public hearings of witnesses representing milk producers, milk con- sumers, and the investigators employed by the survey. ("Twenty-two hearings in all were held, covering the period from July 8th to December 1st.) The stenographer's notes and exhibits were used as material in preparing this report. (2) EXAMINATION OF BOOKS OF DEALERS. (The accounts of five of the largest dealers and 15 of the small dealers were examined by the expert cost accountants employed by the survey. Accounts of only four of the large dealers were sufficiently ac- curate to justify detailed tabulation. All of the others were so incom- plete that they could be used only as a basis of estimate.) (3) QUESTIONNAIRES. Questionnaires were sent to the following : (a) To milk dealers on hauling and freight. (b) To milk dealers on the volume of milk purchased and sold. (c) To milk dealers on valuation of properties. (d) To milk producers on country hauling. (e) To milk dealers of all large cities in the United States and Canada on spreads, as well as prices and quantity of milk pasteurized. (f) To health officers of all large cities for milk statistics and milk regulations. (g) To health officers of all' cities in New York State on prevalence of human tuberculosis. (h) To institutions in Rochester on milk purchased and milk used. (4) FIELD WORK. (a) Inspection of milk dealer's business; volume of business transacted; volume of work for each operation; number of men employed; number of hours of labor. 28 MILK SURVEY OF THE CITY OF ROCHESTER (b) Inspection of dairy farms to determine farm costs; personal interviews with producers with notes on annual costs of production. (c) Sanitary inspection of dealers' milk plants in city. (d) Sanitary inspection of dairy farms in the country. (e) House to house canvass in the city to determine quantity of milk used, and uses of milk by consumers. (f) Weighing and measuring of school children to determine under- nourishment. (g) Inspection of costs of distribution in the City of Ottawa, Canada, (h) Inspection of the costs of distribution in the City of Philadelphia, (i) Inspection of costs of distribution in the City of Baltimore. (j) Inspection of operation of Price Fixing Commission in the City of Detroit. (5) SPECIAL STUDIES. (a) Work performed by previous milk surveys and by milk commissions. (b) Work performed by the Rochester Health Department and of Rochester milk regulations compared with milk regulations of other cities. (c) Infant milk depots. (d) Undernourishment in school children, and dispensing of milk, and school lunches. II SUBJECTS OF ENQUIRY The subjects of enquiry in their order are as follows : 1. General Introduction. (a) Resolution by Common Council of April 22, 1919, authorizii milk survey. (b) A survey of previous milk surveys; their organization, scope,' recom- mendations, and results. (c) Plan of present milk survey, its organization and scope. 2. Statistics of the Rochester milk supply. (a) Producers. * (b) Dealers. (c) Milk sales. 3. House to house canvass to determine milk used by consumers. 4. Weight and height of school children to determine percentage and degree of undernourishment. 5. Milk supply of institutions to determine per capita consumption. 6. Food value of milk for children and adults; commercial value and public health value compared with other foods. 7. Relation of milk to infant mortality. 8. Cost of producing Rochester milk. (a) Inspection of Rochester farms. (b) Cost accounts for total supply. (c) " small producing cows. (d) " large producing cows. (e) " " " small herds. (f) " " " large herds. (g) " " producers in different sections. 9. Cost of hauling and freight. (a) Country hauling by farmers. (b) Freight to Rochester; by truck or wagon; by trolley; by railroad. (c) Trucking in Rochester to milk plants. 10. Cost of distribution. (a) Report on dealers' cost accounts from books. (b) Labor costs obtained by inspectors of plants. (c) Plant charges obtained by inspectors. (d) Costs for large dealers. (e) Costs for small dealers. (f) Total cost for the city. 11. Appraisal of investment by Rochester milk dealers. (a) In land. (b) In buildings. (c) In machinery. (d) In delivery equipment. 30 MILK SURVEY OF THE CITY OF ROCHESTER 12. Control of milk supply by Rochester Health Department. (a) Reports of work performed by Department of Health for ten years. (b) Rochester milk regulations. (c) Milk regulations of other cities compared with regulations of Rochester. (d) Tuberculosis. 13. Sanitary condition of Rochester milk supply. (a) Report of sanitary inspection of dairy farms. (b) " " " " milk dealers' city plants. (c) " " " " milk stores. (d) Report of bacterial tests on Rochester milk supply. 14. Pasteurization. (a) The adoption of pasteurization in the United States and elsewhere. (b) Attitude of authorities towards pasteurization. (c) Necessity for pasteurization in Rochester. ORGANIZATION OF THE WORKING FORCE Committee on Public Safety of the Common Council. Director of public hearings. Director of the survey. Supervisor of dairy farms inspection. Four dairy farm inspectors. Supervisor of inspection of city milk plants. Four city milk inspectors. Certified accountant on dealers' cost accounts. Three assistant cost accountants. Supervisor of house to house canvass. One hundred and fifty volunteer workers on house to house canvass. Supervisor of weighing and measuring school children. Twelve public health nurses. Bacteriologist. Supervisor of statistical tabulations. Two assistant statisticians. One secretary and six stenographers and clerks. Ill STATISTICS OF THE ROCHESTER MILK SUPPLY Information as to the number of persons engaged in the different branches of the milk industry of Rochester, the volume of business which is transacted daily, and other general facts regarding the business were obtained from a number of sources. The list of milk dealers was obtained from the Department of Health, and also the number of dairy farms. From the dealers themselves figures were obtained as to the number of quarts of milk received daily, and the number of quarts sold through different channels of trade. The numbers of employees, horses and wagons, were obtained by personal inspection of the factories by inspectors in the employ of the survey. According to the records of the Health Department, there are 745 dairy farms sup- plying the City of Rochester. .From the dealers' own statements as to the number of producers from whom they purchase milk, the inspectors obtained the figure 779. The information obtained from these sources is shown in Table No. 7. TABLE NO. 7 STATISTICS OF ROCHESTER MILK SUPPLY Total number of dealers ... 136 Quarts received daily 82,075 Total daily sales 77,579 Daily sales — Bottled milk retail 57,305 Quarts " —Bottled milk wholesale 11,386 " " —Can milk wholesale 8,888 " M Ik received by motor truck 24,985 " " wagon .' 3,018 " " railroad 48,163 " " trolley 5,909 Number of proprietors 137 Number of employees 299 Number of wagons 207 Number of automobiles 71 Number of horses Number of dairy farmers Quarts of pasteurized milk .' . . . 44,110 Per cent, of pasteurized milk 57% Number of dealers handling 500 quarts or less 101 Per cent, of supply handled by them 34.2% Number of dealers handling 500 to 1,000 quarts 23 Per cent, of supply handled by them 19.2% Number of dealers handling 1,000 quarts or more 11 Per cent, of supply handled by them 46.7% Number of pasteurizing plants 24 Number of dealers producing own milk 16 The dealers furnishing milk for Rochester may be divided into three groups, according to the quantity of milk sold by them; the first group containing dealers selling less than 500 quarts daily ; the second group of 32 MILK SURVEY OF THE CITY OF ROCHESTER dealers selling from 501 to 1,000 quarts daily; and the third group of dealers selling over 1,000 quarts daily. The number of dealers in each group of those selling raw milk and pasteurized milk, and the quantity of raw and pasteurized milk sold by them is shown in Table No. 8. TABLE No. 8 RAW MILK AND PASTEURIZED MILK if 3 1 § °* P fe < 3]j " "0,2 ti o 8 &* j* ~3 tu o M-l ">x 11 ll < •ag &* MH O OMH .J fli gi u8 feJS PL) JU if K •S-8 . W *J n $ 1 | < Under 20 20 to 24 $16.17 21.58 26.48 32.77 47.18 56.08 174 237 236 218 144 86 235 $10.38 12.81 14.43 15.62 15.59 19.97 16.79 64.2% 59.4% 54.5% 47.7% 33.0% 35.6% $ .90 1.12 1.36 . 1.46 1.47 1.87 1.57 5.6% 5.2% 5.1% 4.5% 3.1% 3.3% 8.7% 8.7% 9.4% 9.3% 9.4% 9.4% 94% 25 to 29 30 to 39 40 to 49 50 and over Income not given . . MILK SURVEY OF THE CITY OF ROCHESTER 37 Figures in Table No. 11 show that the families with smaller incomes spent a larger percentage of the income for food than the families with larger incomes, and that families with small incomes also spent a larger percentage of their incomes for milk than families with larger incomes. The percentage of the total food expense spent for milk does not show so great a difference. Families with incomes under $20.00 seem to spend a slightly smaller amount of their food money for milk than families with incomes above $20.00. The figures in the last column show this. The relation of the quantity of milk to the number of children in a family is the most important item in this special inquiry. The total num- ber of quarts used per day in each of the income groups and the quarts used by children, are given in Table No. 12. TABLE No. 12 SUMMARY OF FAMILY QUESTIONNAIRE RELATION OF INCOME TO AMOUNT OF MILK USED bo bo 0 ^ - Per Week. IP! tjft •*-* *o< !3d VtH QJ ^ r=5 Income 3^ £ £ fc o;Q CXI. § VG — O^&H 3 O 1 u, c C T3 £ 01 d _C/2H_) . o "u v |-1 ."ti Q< o i-< 85 Steak, Lean 40 2 52 Eggs, 8 at 75c per doz. . Vc? Milk, i4c qt-i Pt ::: & ~g Professor M. J. Rosenau of Harvard University, states that the value of milk is as follows: 2 large eggs, A glass of milk is about equal to . a large serving of lean meat, 2 moderate-sized potatoes, 5 tablespoonfuls of cooked cereal, 3 tablespoonfuls of boiled rice, or 2 slices of bread. MILK SURVEY OF THE CITY OF ROCHESTER 69 In testifying before the Mayor's Committee on Milk, New York, 1917, Dr. L. Emmett Holt, one of the leading specialists in children's diseases, stated as follows: "For infants during the first year, a quart of milk a day is necessary. For the second year, a pint and a half. There is no food as economical at present prices for the nutrition of infants as milk. * * * The habit of giving tea and coffee to young children is positively injurious. For children between the ages of two and six years, the daily ration of milk should be one pint per day as a minimum. "Dr. Lucas, of Berlin, found very greatly increased susceptibility to tubercu- losis as a result of under-feeding particularly among children. I should think that .after six years of age up to twelve or thirteen years, a pint of milk a day ought to be allowed to all children." Professor Graham Lusk of Cornell University, in his testimony (before the same Committee), said: "We cannot expect a good community dietary if that community uses less than one-half quart of milk per capita per day. Unless there was that amount of milk, the dietary would be seriously one-sided. The milk has exceptional value as a food for growth due to the so-called vitamines. * * * It is the most important single food for adults. It is more economical to produce than meat. A man confined to a bread and meat diet will show deficiencies, while a man confined to a corres- ponding bread and milk diet will go on indefinitely. * * * A vegetable diet will always be improved by an addition of milk. If it was a question of one or the other, I think it important that a man have milk rather than meat." Professor Graham Lusk of Cornell University, in his testimony (before the same Committee), said: "No family of five should buy meat until they have bought at least three quarts of milk. Milk contains not only protein of animal origin, but also a very valuable fat which has specific properties for growth. It also contains in aqueous solution, materials which prevent the development of beri-beri and pellagra. Milk is the cheapest form of protein you can get. It is the most complete and sufficient food that can be had. Around the dairy farms centers the proper nutrition of a nation." If the quantity of milk recommended by Professor Sherman and Lusk were used by the consumers of Rochester, the city would consume the following amounts daily : Quantity Age. Population. Per Person. Total. Under 1 year 9,854 1 quart 9,854 quarts 1 to 6 years 65,720 */4 " 49,290 7 to 16 years 70,119 # * 35,059 Over 16 years 144,307 Y4 " 36,076 290,000 130,279 " The present average supply is estimated at 90,000 quarts of milk daily. The figures in the above table indicate therefore that the children 70 MILK SURVEY OF THE CITY OF ROCHESTER and adults of Rochester should use at least 40,000 quarts more milk than they now consume. The milk recommended for children under one year if not consumed directly by the child should be consumed by nursing mothers if the child is to receive proper nourishment. The latest re- searches of Professor McCollum, as testified to by him, indicate that every person can consume daily one quart of milk or its equivalent in other dairy products to the advantage of their health and strength. These other products refer to butter, cheese, condensed milk, cream, etc. If Rochester should follow the advice of Professor McCollum it would therefore consume daily 290,000 quarts of milk, or its equivalent in dairy products. Dr. John R. Williams of Rochester, in his testimony at a public hearing held in the City Hall on August 13, 1919, made the following statements regarding the food value of milk : I would like to introduce a photograph here in evidence, if accept- able, showing the value of milk for children. I have here a photograph of six children ; three of them have been fed or liked milk and were fed liberally on milk from early infancy right up to the present time; the other three were not fed on milk, they took a dislike for it and were not encouraged to use milk, and the result is that the children not fed on milk show a lack of vitality and a lack of growth, which was very strongly absent with milk- fed children. The parents of the children who were fed on milk are smaller than those of the children not fed on milk and these children are the same age by pairs. I found a larg'e number of children were using condensed milk in my study of conditions in Rochester. I appealed to the wholesale groc- ers of Rochester and they were able to tell me — there was practically no condensed milk imported into Rochester by jobbers that practically all the condensed milk sold here was sold through wholesale grocers, and they gave me access to their figures, and they told me that condensed milk was sold in Rochester to the extent of two million cans a year, and I found a large number of people were using condensed milk. Q. What do you say about the use of condensed milk, doctor ? A. I think it is much inferior to cow's milk. Q. In process, it is sweetened? A. Yes, I think its food value is much inferior; I think it lacks the essential properties of growth production. VII RELATION OF MILK TO INFANT MORTALITY Much has been written upon this subject, 'and the literature is so full of material prepared by the leading medical and public health ex- perts of the world that the subject is familiar to everyone who has given any attention to the relation of public milk supplies to the public health. The authorities are unanimous in agreeing that there is a close rela- tionship between infant mortality and the quality of the milk used by any city. It will be sufficient for the purposes of this Survey to quote the testimony of Mr. John H. Larson, Secretary of the New York Milk Committee, who, because of his position and the work of that committee, has for a number of years given special attention to this subject : JOHN H. LARSON, produced as a witness on behalf of the Committee, first being duly sworn, examined by Dr. North, testified : Q. Mr. Larson, will you state briefly your previous experience in connection with milk investigations and your present position ? A. I am the Secretary of the New York Milk Committee and have been connected with that organization since 1912. Q. Will you state what that organization is? A. It is an organization to promote the welfare of children in New York City and throughout the country by encouraging a safe milk supply for the children, and other methods of preventing infant mortality. Q. Will you state briefly what that organization has done since you have occupied the position of Secretary, before and since? A. I think I better begin at the beginning. The New York Milk Committee was originally organized because the milk supply of New York City was not deemed fit for infant feeding, for the feeding of infants who were not breast fed. The primary object was to educate the public to demand a supply that, was safe for their children. In order to do this we started two things; one was the infant milk stations in New York City; they were conducted up until and including 1911, when they were taken over by the city. Q. Are those stations still operating? A. Yes, the City of New York is operating sixty of them today. Q. They are still selling milk in bottles to the mothers of those babies ? A. Yes. Q. How much less does that milk cost than the milk delivered to the home? A. Two cents less than Grade A pasteurized delivered to the home, or ten cents less than certified. 72 MILK SURVEY OF THE CITY OF ROCHESTER Q. Do you know whether that milk has been sold from these stores at a loss ? A. The milk stations ? Q. Yes. A. No, it has not. Q. Is it not true that the city pays part of that expense? A. * * * the milk is dispensed in each milk station for which the city pays the rent. Q. The city pays the rent of the stores ? A. All the overhead charges. Q. For light and heat? A. Yes. Q. And janitor services? A. Yes. ,| Q. Then these charges are contributed by the city? A. The city contributes to the expense of dispensing that milk in order that it may have an inducement to get the mother to come to the station ; it is a paying proposition for Father Knickerbocker. By Mr. Fuller: Q. All these expenses are paid by the city ? A. I do not believe that the company loses money on its contract. Q. The point is here ; the city pays certain overhead charges ? A. No. The city has its milk station and it tells the milk companies of New York City, "We want milk dispensed at these stations; what is your bid for dispensing it, Grade A pasteurized milk?" And the com- pany send in their bid; one of the companies gets the contract, and the city says, "We put at your disposal this station to dispense your milk; we will not charge you any rent, -or for light or heat or janitor service ; the reason we do that is having milk on sale in the station for the babies is an inducement for the mother to come to the station for instructions for the infants." Q. What does the company furnish milk for? A. Fifteen cents at the present time. By Dr. North: Q. They charge fifteen cents also, do they not, to the mothers ? A. It is not delivered at the station ; it is delivered to the mother at the station. Q. The mother pays fifteen cents a quart? A. Yes. Q. Do you know what it would cost if the station charges were added to that, to sell it through those stores? A. No, I do not. MILK SURVEY OF THE CITY OF ROCHESTER 73 Q. Have you got figures to show what it cost the city to operate those stations? A. I have got figures to show what the station operation costs, yes, but they are grouped ; do you want that now ? Q. Perhaps we might as well have it now as long as you are on that subject? A. Let me give you this first, getting back to the cost of the milk to the mothers; in 1911, 1912, 1913, 1914, 1915 and 1916, it was 8 cents a quart. Mr. Pierce: Grade A pasteurized? Witness: Yes. In 1917 it started with 9 cents, 9^, 10^, 12 and 12 J^.' In 1918 it started with 13>^ ; went down to 12, 12^, 13, 15 and 16. In 1919 it started with 14 cents, and today it is 15 cents a quart. Q. Those changes were due to changes in the market price of milk? A. Yes. Q. What did the New York Milk Committee, which you represent, have to do with the establishment of these stations ? A. They started the milk station experiment in New York City. Q. How many stations did they establish of their own? A. Thirty-one. Q. Before the city took them over? A. Yes, and they added to them since until now they have sixty. Q. About how many babies a da,y are fed at these stations? A. In 1918 there were 46,182 indWidual babies. By Mr. Pierce: / Q. A quart to a child? A- In 1918 there were 5,815,425 quarts of milk dispensed. Q. Have you analyzed that to show what is given to a child ? A. Per capita daily? No, I have not; it does not mean that each one of those babies had a quart of milk a day during the year, but there were that many individual babies registered at the stations. By Dr. North: O. Do these stations operate the year around? A. They do, yes. Q. Are they so located that children in any part of the city can get milk there ? A. No, I would not say that; they are located according to the need of the community. If you have a community where there are ten children that need milk stations very badly you would not prefer that community in locating a station to a community that had a thousand 74 MILK SURVEY OF THE CITY OF ROCHESTER children needing it very badly. Milk stations favor congested sections where the baby population need milk station service. Q. That is, the stations are located in the most congested districts? A. Yes, in those congested districts the milk stations are always within walking distance of any mother in the district. Q. Now, were the Milk Committee's expectations realized in the establishment of these stations by any marked effect on infant mortality? A. Yes, they- were. Q. Suppose you go into that very fully ? A. Perhaps we can cover that very briefly by giving the infant mor- tality rate. The rate in New York City for 1906-1910, that is before the milk station period, was 135.8; that is, out of every thousand babies 135 died under one year of age; 1911-1915, you recall that the milk station drive was in 1911, the infant mortality rate was 102.2 per thou- sand; in 1916 it was 93.1 ; in 1917, 88.8; in 1918, 917. The milk stations in New York City have helped reduce the infant mortality rate since 1910 from 135 to 91. By Mr. Pierce: Q. How much do these stations cost the city per year ? A. The milk stations today are costing the city, each station in round numbers, $3,000 a year; that includes nursing, cleaning, medical and immediate supervision, but does not include the pro rata distribution of the Health Commissioner's salary nor the salary of the Chief Director of the Bureau of Child Hygiene. By Mr. North: Q. Is that the average cost? A. $3,000.00 is the average cost. A station of two hundred babies can get along with one nurse and a part time doctor; a station of six hundred babies will require a nurse, two assistant nurses and a doctor, that has at least two or three clinics a week. Q. The salaries of those nurses and doctors are all paid by the city? A. Yes. Q. Are they open all day or only in the morning ? A. They are generally open only in the morning and the nurses are out in the field visiting mothers and babies in the afternoon, until late in the afternoon when they come to the station and fill out their records Q. Do the mothers bring the babies to the stations ? A. Yes, for the baby clinics. Q. Have you got a compilation showing the work that has been performed by these stations and the number of babies that have been taken care of by each station? A. I have a very complete cost sheet here of our 31 stations; of course, that does not apply today except in proportion as to what costs MILK SURVEY OF THE CITY OF ROCHESTER 75 were at that time. I think for the benefit of the record it might be well to put in, that during September, 1911, our 31 stations cost $9,227.35. It does not show here the number- of babies, but the number of babies were 31,128, I think, something like that, but the cost per baby was .0634, that is, it is six and one-third cents a day was the actual cost to us. Q. To take care of one baby? A. One baby for one day. Q. Is there any way in New York City that the infants and chil- dren can get milk as cheaply as they can get it at the milk station? A. No, there is not. Q. There is no way? A. No. Q. They are getting the cheapest milk there that they can get of that grade ? A. For the quality. May I add there that the charge is sometimes made that the milk dealers are killing the babies because of the high price of milk. My personal opinion Is that milk dealers killed the babies of New York City when they were selling milk at 4 cents a quart. Dur- ing those times the infant mortality rate was over 200 per thousand. Q. How do you account for that ? A. That milk cannot be produced and sold and delivered to the consumer in a sanitary character and was not so sold and delivered when milk retailed at four cents a quart. The result was that milk contributed, because of its unsanitary character, to the high infant mortality rate. New York City has the best, or as good a milk supply as any other city in the world, and has the least infant mortality rate of any large city in the world. It is all because of the fact that the people of New York City have been educated to realize the value of a safe milk supply for infants' feeding. Q. You consider the quality of the milk has got to be taken into consideration in feeding infants and children as well as the price? A. I think the quality of the milk comes far before the price. Price has nothing to do with it if the quality is not there. Q. What kind of milk were the people buying for their infants and children before these stations were established ? A. Milk that would not to-day, according to all the recommenda- tions of the National Commission on Milk Standards, come up to Grade C pasteurized. Q. The lowest grade of milk sold in the city ? A. Yes. Q. Where were they getting it ? A. There were a lot of small dealers in the city, a lot of dairy 76 MILK SURVEY OF THE CITY OF ROCHESTER farmers surrounding the city hauling their milk in, or in most cases the producer was the milk dealer as well. Q. Was this milk delivered to the homes of the people or did they go to the stores to get it? A. They went to the stores to get it. Q. Does New York City permit the sale of dipped milk at the present time? A. Unfortunately, yes. Q. Is that dispensed in grocery stores ? A. Yes. Q. Has the Milk Committee disapproved of the distribution or dis- pensing of dipped milk? A. We disapprove of the dispensing of dipped milk. Milk cannot be safely handled except in a single container. Q. Has the Milk Committee any evidence that the children that have been fed upon dipped milk from grocery stores are any worse off than those that have been given bottled milk from the infant milk sta- tions, or that have been fed upon good bottled milk? A. I have not just the figures with me, Dr. North, but my impres- sion is that the baby death rate among the babies fed at our milk stations on Homer milk was 57 per cent, lower than the baby death rate through- out our city fed on good and bad milk. Q. Has the Milk Committee in its work taken into consideration the records made by other investigators in New York of the mortality of children fed on loose dipped milk from grocery stores as compared with the mortality of children fed on good bottled milk, for example, such work as was done by Dr. Park and Dr. Holt? A. Yes, it has those records. Q. Now, will you tell us something about the effect or influence on infant mortality of this system of infant feeding. I think you have some mortality records to show us there, of the results of infant feeding? A. In 1913, 54.8% of the babies at the milk stations were breast fed. In 1918, 67% were breast fed. In 1913, 19.6% of the babies were mixed fed. In 1918, 17% were mixed fed. In 1913, 25.5% were bottle fed. In 1918, 16% were bottle fed. It shows that the educational propa- ganda for the benefit of the mother, through the milk station, has induced the mothers of New York to increasingly nurse their babies at the breast, and the mixed feeding percentage of mothers has decreased, and the bottle fed percentage of mothers has decreased. Now, what is the pur- pose of that? In our work we found that of the babies registered at our stations who died, 6.5% were breast fed, that is, the infant mortality rate per thousand -breast fed babies registered at our stations was 65; MILK SURVEY OF THE CITY OF ROCHESTER 77 that is, this much out of a thousand, or 11 out of two thousand died. Of the mixed fed babies, 24.2 per thousand died. Of the babies that were bottle fed, 30.7 per thousand died. Your mortality problem limits itself to the infant that is artificially fed. The ratio— do you want this put in record ? Q. Yes, sir? A. The ratio of deaths of these three groups of feeding are as follows: For every breast fed baby, four mixed fed babies die; for every breast fed baby, I mean, every breast fed baby that dies, four mixed fed babies die ; for every breast fed baby that dies, five bottle fed babies die. You have ten babies who die ; one of them is breast fed ; four are breast and bottle fed, and five are bottle fed. If any community will realize and understand that fact, that in itself will do a whole lot to pre- vent this unnecessary loss of infant life. Q. Do these stations sell milk for the mothers themselves to drink ? A. They do. I am under the impression that a very great per centage of the milk supply that goes through the stations in New York City goes to the mother rather than the baby. Q. Do you consider that the establishment of those infant milk sta- tions in New York City is a success? A. I do. Q. And do you think that every city should have such stations? A. The problem is a problem of ignorance. Infant mortality per se is not a milk station problem. Milk stations will prevent unnecessary loss of infant life more quickly than any other agent that can be used. As I said before, you have got to have that milk as a bait to get the op- portunity to educate the mother in the care of her infant and herself. Q. Supposing you consider the milk as a commodity offered for sale to the mothers of infants in the congested districts, would you say that the City of New York is justified in paying the cost to maintain these stations so that this milk can be sold at the lowest price to the in- fants and mothers ? A. I would, yes. Q. You think the city is justified in paying that charge ? A. I think it is a mighty good investment for a city. Q. Now, can you show us something about the mortality under one month ? A. The actual condition is this: This chart shows what happens to one thousand expectant mothers in New York City. Assuming that you have a thousand mothers that are pregnant and you have control of them until one year after the birth of their babies, this is your result: Out of that thousand, 4.7 mothers die from causes due to pregnancy and 78 MILK SURVEY OF THE CITY OF ROCHESTER confinement ; 43.4 of those mothers give birth to still born babies, their babies are dead before they are born; 35.2 of those mothers lose their live born babies through death during the first month of birth. Ignoring the fact that five of the mothers die and take your potential baby lives from conception until one month after birth and you divide them into three groups of those who die ; one-third are born dead ; the second third die during the first month after birth, and the last third die during the remaining eleven months of the first year. Two-thirds of those potential lives are gone before there is any possible chance of them availing them- selves of the milk station machinery. That is for New York City. Mr. Pierce: That is, two-thirds of those who die? The Witness: Yes. Q. Then in our figures that we have been considering on infant mortality which has been the cause for this milk agitation, two-thirds of the children who die have no relation at all to the milk agitation ? A. Not in the least. Q. They die before the end of the first month? A. They do. Q. Then, only one-third of the number of children that have been quoted so often as the reason for the milk agitation really have anything to do with the milk supply? A. Just one-third, yes. Q. Now, have you some more figures on that point? A. I have the same figures for the City of Rochester that I have just quoted for New York City. This is from the vital statistics of Rochester for 1917: Out of one thousand expectant mothers in Roch- ester that year, 4.6 died from causes due to pregnancy and confinement : 39.0 gave birth to dead babies ; 40.9 lost their babies through death during the first month after birth. You have the grouping in three groups, the same here as in New York City. In New York City the line goes down gradually from the second month down ; in Rochester it does not do that ; the second month is lower than the third month, and the fourth month is lower than the third or fifth month; this is pro-rated from the sixth month on, because my figures do not have the exact distribution, but it shows graphically what the situation is. Q. That is to say, in Rochester one- third of the babies who die under one year of age are babies who would be affected by the milk supply ? A. Yes. Q. And two-thirds are not affected? % A. Are not affected. A. The problem, then, in infant mortality does not concern itself MILK SURVEY OF THE CITY OF ROCHESTER 79 only with that last and third group of babies that die; it concerns itself far more with the two previous groups. The New York Milk Committee realized that fact when it started the milk stations in New York City, but it also realized that it could not go back so far as to reach with medical nursing and care the expectant mother unless it had the milk station with its milk as a bait for getting the mother with the baby. That was the third group. Consequently, in connection with the milk stations we started a program of providing pre-natal care for expectant mothers ; the mother took the milk, brought the baby to the milk station and the nurse found out she was pregnant and she would get her registered as an expectant mother and she would be provided with care during hen pregnancy and for one month after her confinement. That is the outline of the work. What did that work accomplish? It means that the group of mothers which now, I think, run between seven and ten thousand on our records, it means that the maternal deaths of our mothers receiving pre-natal care, show a reduction of 69 per cent, over maternal deaths throughout the city as well. Q. That is the mothers' who patronize those stations? A. Yes, and who receive pre-natal care. It means that the records show a reduction of 22 per cent, in still births; it shows a reduction of 28% in the deaths under one month. All told, it caused a redaction of maternal deaths of 69 per cent. ; of still born babies, 22 per cent. ; of deaths under one month of 28 per cent. The position occupied by the City of Rochester among American cities in the number of infants under one year of age who die annually has often been thought to be a position of leadership ; that is to say, that Rochester, if not at the top, is near the top of the list because of the ex- ceedingly small death rate of children under one year. Because of this impression, it will be useful to refer to the annual report of the New York Milk Committee which shows the infant death rate, under one year, in all of the large cities of the United States. In their report of the figures for the calendar year 1918, the position occupied by the principal American cities and the death rate of infants under one year is shown. Extracts from this report, showing exactly the position which Rochester now occupies, are given in the tabulation below, which shows that Rochester is 54th in the list of cities from which statistics were compiled for 1918 by the New York Milk Committee : 80 MILK SURVEY OF THE CITY OF ROCHESTER INFANT MORTALITY STATISTICS For the Year 1918 Deaths Per 1,000 Infants City. Under 1 Year of Age. 1. Brookline, Mass. . . : 35.4 2. Madison, Wis 38.1 3. Pasadena, Cal 43.8 4. East Orange, N. J 53.0 5. Berkeley, Cal 56.5 6. San Francisco, Cal 57.2 7. Maiden, Mass 60.2 8. Everett, Mass 61.6 9: Alameda, Cal 62.2 10. Salt Lake City, Utah 63.3 11. Boise, Ohio 63.4 12. Seattle, Wash 63.4 13. Chelsea, Mass. : 65.8 14. Newport, R. I 65.8 15. Newton, Mass 66.6 16. Quincy, Mass 67.2 17. Lima, Ohio v 69.2 18. Grand Rapids, Mich 70.8 19. Portland, Ore 71.7 20. Evansville, 111 72.2 21. Reno, Nev. 72.3 22. Minneapolis, Minn 72.3 23. Oakland, Cal 72.7 24. Haverhill, Masss 73.0 25. Mt. Vernon, N. Y 73.6 26. San Jose, Cal 76.5 27. Lynn, Mass 76.8 28. Canton, Ohio /. . . 77.0 29. Los Angeles, Cal 77.4 30. Decatur, 111 78.1 31. Fort Wayne, Ind 78.7 32. Spokane, Wash 79.4 33. Joplin, Mo r 80.6 34. Wichita, Kan 81.3 35. Lincoln, Neb 81.8 36. Stamford, Conn 82.8 37. Concord, N. H 834 38. Poughkeepsie, N. Y 83 8 39. Dayton, Ohio 84 0 40. Duluth, Minn 86X) 41. Galveston, Tex 86^1 42. St. Paul, Minn 864 43. Jamestown, N. Y 86.6 44. Amsterdam, N. Y 35.9 45. Quincy, 111 87*0 46. Springfield, Ohio 87 2 47. Peoria, 111 89 3 48. New Haven, Conn ...*!!! 89 5 49. Jackson, Mich on'? 50. San Diego, Cal .!!!!! * !! 91 5 51. Sacramento, Cal 01 'A 52. New York, N. Y ...'.'.*.'. 91 7 53. Harrisburg, Pa v . . 02 1 54. Rochester, N. Y 934 VIII COST OF PRODUCING ROCHESTER MILK The determination of the cost of milk production presents many serious difficulties. The majority of dairy farmers do not keep cost accounts. On the other hand, there is no class of business men who carries so many business transactions in his head, or can give more accurately from memory the history of financial transactions than the dairy farmer. The different sizes of dairy farms, the different condi- tions of location and soil, the methods of feeding, sizes of herds, amount of labor employed, vary to so great a degree that the figures for each farm differ to a considerable extent from the figures obtained from other farms in the list. An entire year's accounting must be obtained from each farm investigated if the figures are to fairly represent the average cost, for the reason that seasonal changes greatly affect volume of milk pro- duced and the cost of feed. In approaching the organization of this work, it was recognized that consideration should be given to the methods of investigation previously used. It was believed by the Director of the Survey that the best insur- ance that could be given to the correctness of the methods adopted for the present inquiry would be obtained through consultation with Professor G. F. Warren, Professor of Farm Management, at Cornell University, because he is recognized as the highest authority in this country on farm economics. At the request of the Director of the Survey, Professor Warren came to Rochester and furnished copies of the report blanks used by him in his own inquiries of the cost of milk production. He also designated some of his own assistants to furnish further advice on this subject. H. E. Babcock, State Director of Farm Bureaus, volunteered to secure for the Director of the Survey men who had been engaged in country farm bureau work and had had extensive experience in compiling farm cost accounts. As a result of this co-operation, four inspectors were employed who could qualify in an unusual manner for work of this character. These men were in the field for an average period of nine weeks, and during that entire time were engaged in making detailed studies in consultation with dairy farmers as to their cost items. The preparation of the report blanks used by them was done after consultation with E. G. Misner, Professor of Farm Management at Cornell University, who assisted in preparing a modification of former report blanks adapted especially to the work proposed. Mr. C. P. Clark, who had had considerable experience in supervising investigations of cost accounts and statistical work, was made supervisor of the entire investigation of the cost of milk production. 82 MILK SURVEY OF THE CITY OF ROCHESTER It is believed consequently that the methods of obtaining the in- formation, and the personnel of the investigating staff, was as reliable as it was possible to obtain for such a survey as this. During the period of nine weeks when the men were in the field, they visited every dairy district from which Rochester obtains its milk supply. The number of districts visited and the number of dairy farms in each are shown in the table below : District. Number of Farms. Bliss 24 Wayne and Livingston Counties 33 Monroe County 84 Total ' . 141 The general summary of the information obtained from these farms is given in 'Table No. 23 : TABLE No. 23 GENERAL DATA FROM 141 FARMS Number of farms 141 Number of cows 2,314 Total milk produced (pounds) 14,654,115 Total milk sold wholesale (pounds) 14,060,306 Total milk sold wholesale (quarts) 6,539,677 Percent of Rochester supply furnished by 141 farms 21% (Based on average consumption of 85,000 quarts per day.) Total expenses ., $659,958.06 Returns other than wholesale milk 69,911.36 Net costs $590,046.70 Total receipts for wholesale milk 471,729.10 Total loss $118,317.60 Acres per farm 131 Value per acre $158 Acres of pasture per farm 28 Value of pasture per acre $73 Average number of cows 16.4 Value of cows per head $126 Production per cow (pounds) 6,333 It is believed that the location of the farms was such that they fairly represent the character of the farms supplying milk to the City of Roch- ester. Information obtained from the milk distributors and from the Department of Health indicate that the number of dairy farms supply- ing Rochester milk varies from 700 to 800. The best figure obtainable by this survey is 778 dairy farms. The 141 farms from which cost accounts were obtained are believed to be a sufficient number to furnish accurately figures showing the cost of producing milk on the entire list of farms, because they were not MILK SURVEY OF THE CITY OF ROCHESTER 83 only located in every dairy district, but represented every type of dairy farm, large and small. The farms were not selected, but were taken just as they came on the roads on which the inspectors traveled. The cost of milk production on all of the farms has been compiled, and the figures added together to show the cost of producing milk per 100 pounds and per quart. This summary is given in Table No. 24: TABLE No. 24 SUMMARY OF COSTS OF PRODUCTION ON 141 FARMS May 1, 1918, to May 1, 1919 Per Cwt. Per Qt. Depreciation on cows 0756 .00163 Interest on cows at 6% 1241 .00267 Grain and other concentrates 1.0721 .02305 Succulent feed 6805 .01463 Hay and other dry forage 6048 .01300 Total feed except pasture 2.3574 .05068 Interest on feed and supplies at 6% 0417 .00090 Pasture 2424 .00521 Bedding 1651 .00355 Human labor 1.2116 .02605 Horse labor 0975 .00210 Use of buildings 1422 .00306 Use of equipment 0791 .00170 Bull service .0351 .00075 Miscellaneous costs 1219 .00262 Total cost 4.6937 .10092 Returns except wholesale milk 4972 .01069 Net cost (difference) 4.1965 .09023 Price received 3.3550 -07214 LOSS .8415 .01809 The significance of Table No. 24 is that the actual cost on all of the 141 farms visited for producing 100 pounds of milk was $4.19, or $ .09 per quart. The price received for this milk during the year was only $3.35 per 100 pounds, or $ .072 per quart, showing a net loss to these 141 milk producers of $ .84 per 100 pounds, or $ .018 per quart. The figures in this summary are obtained from the details in the report blanks and can be best understood by arranging these details in a number of ways, indicated by the tabulations which follow. In Table No. 25 is shown the total quantity of feed and of labor required by each cow per year, and per 100 pounds of milk : 84 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 25 QUANTITY OF FEED AND LABOR REQUIRED Per Cow. Per Cwt. of Milk. Grain and other concentrates 2,635 Ibs. 41.6 Ibs. Succulent feed 10,493 Ibs. 165.7 Ibs. Hay and other dry forage 3,769 Ibs. 59.5 Ibs. Human labor 211 hrs. 3.33 hrs. The number of cows on the farms, their value at the beginning of the year, May 1st, 1918, and the number of cows purchased, the heifers that became cows, and the value at the end of the year are shown in Table No. 26: TABLE No. 26 INVENTORIES, PURCHASES AND SALES OF COWS BEGINNING OF YEAR Number Price Total Value Cows on hand May 1, 1918 2,282 $123.21 $281,160 Cows purchased 673 120.05 80,792 Heifers that became cows 124 101.98 12,645 Total $374,597 END OF YEAR Number Price Total Value Cows on hand May 1, 1919 2,306 $130.21 $300,275 Cows sold 737 86.06 63,427 Cows died 34 Cow hides 22 11.84 260.50 Total $363,962.50 Value at beginning of year, plus purchases, plus heifers that became cows $374,597.00 Value at end of year, plus sales 363,962.50 Depreciation (difference) $ 10,634.50 Average inventory of cows — Number 2,314 Average inventory of cows — Total value $290,841 .00 Value per head 125.69 From these figures it appears that the depreciation was $10,634.50 on all the farms for -the year covered by the inquiry. This depreciation is the amount of money required for replacement, or to make up for losses through the sale or death of animals, and the cost of keeping the herds up to their full production. The inventory showed an average of 2,314 cows, and the value placed on these animals by the owners was $290,841.00, or $125.69 per head. These figures differ from the total value at the beginning and at the end of the year because of the shifting of cows during the year, and because of the buying of fresh cows and the selling of dry ones. MILK SURVEY OF THE CITY OF ROCHESTER 85 From a business standpoint it is of some interest to know the amount of money invested in land and buildings on these farms. The number of acres used for dairy purposes cannot be accurately separated from the total number of acres in the farms, therefore, the total acres in these farms is the figure given. The investment in land and buildings is shown in Table No. 27: TABLE No. 27 INVESTMENT IN LAND, BUILDINGS, ETC. Acres in farms 185155 Average value per acre $158 Total value of farms s $2,926,828 Acres of pasture 3 499 5 Value of pasture per acre '$73 Total value of pasture $254 025 Acres of pasture rented in addition to the above '470 Value of buildings used by cattle $290,058 Value of equipment used by cows 41, '956.23 Value of average feed and supplies on hand for cows. . 97,652 The totals of the amount of grain and other concentrates fed are shown in Table No. 28: TABLE No. 28 GRAIN AND OTHER CONCENTRATES Per Cent, of Total Price Total Amount Pounds. Per Ton. Value. Home grown grain 19% 1,176,094 $45.02 $28,240.06 Wet brewers' grain (reduced to dry basis) 17% 1,024,159 24.65 12,623.80 Other purchased grains 64% 3,898,253 56.38 109,883.15 Total 6,098,506 $49.44 $150,747.01 It is important to note that 19% of the grain used was home grown. The price per ton on the home grown grain was based on the market price of such grains, less the cost of marketing. The wet brewers' grains were used to an unusual extent on some of these farms. The quantity was reduced to a dry basis in order that the amount and price might be fairly compared with the other grains fed. The low cost per ton of these brewers' grains is offset to a considerable extent by the increased cost of hauling over the cost of hauling other purchased grains. In re- ducing the wet grains to dry grains, the basis used was 65 Ibs. of wet grains per bushel, and % Ib. of dry matter to each Ib. of wet grains. The estimates obtained for succulent feeds, hay and other dry forage, were based on the quantities used according to the best recollec- tions of the producers, and on the prices per ton at which these products are commonly rated. The figures for succulent feed are given in Table No. 29, and for hay and other dry forage in Table No. 30 : 86 MILK SURVEY OF THE CITY OF ROCHESTER Corn silage Soiling crops, roots, etc, TABLE No. 29 SUCCULENT FEED Per Cent, of Total Amount. Tons. 83% 10,066 17% 2,074 Total 12,140 Price Per Ton. $8.11 6.79 $7.88 TABLE No. 30 HAY AND OTHER DRY FORAGE Hay and Alfalfa Corn Stover Straw, Bean Pods, etc, Total.. Per Cent, of Total Amount. ... 76% 17% 7% Tons. 3,328 741 292 Price Per Ton. $22.78 8.88 9.08 4,361 $19.50 Total Value. $81,596.00 14,077.00 $95,673.00 Total Value. $75,803.68 6,578.50 2,650.50 $85,032.68 The labor of the operator or owner and other unpaid labor is charged on the basis of the estimates furnished by the operators. The figures for paid labor are made up from the actual wages paid plus the cost of board, and the number of hours the labor was employed. The rates per hour, when one considers the wages paid in other lines of industry, are certainly not too high. As a matter of fact, the average loss sustained of $ .8415 per 100 pounds subtracted from the total labor charge of $1^116 in Table No. 24 shows that all the labor actually received after paying all other costs was only $ .11 per hour for their labor instead of $ .349 as charged in Table No. 31 : TABLE No. 31 HUMAN LABOR Operator : . Per Cent, of Total Labor. 51% Hours. 246909 Other unpaid labor 13% 65443 Paid labor 36% 176134 Rate Per Hour. $ .416 .280 .281 Total Value. $102,606.44 18,338.03 49,413.52 Total 488,486 $ .349 $170,357.99 The total value of the operators' labor, as shown in Table No. 9, was $102,606.44. The value of the other unpaid labor was $18,338.03, making a total for unpaid labor of $120,944.47. The total losses as shown in Table No. 23, were $118,317.60. This assumes that all labor was paid. If the unpaid labor amounting to $120,944.47 was not included in the ex- penses, it would leave to the farmer a profit of $2,626.87 to apply to the wages of the unpaid labor. The number of hours the unpaid labor was employed was 312,352, as shown in Table No. 31. If only $2,626.87 was available to pay for this, the unpaid labor actually received $ .0084 per MILK SURVEY OF THE CITY OF ROCHESTER 87 hour, or less than Ic per hour. If the labor of the farmer's wife and children was not charged for, and all of the $2,626.87 above other ex- penses, including paid labor, remained for the operators themselves, each operator would have received $ .0106 per hour for his own labor. TABLE No. 32 RETURNS EXCEPT MILK SOLD WHOLESALE Amount. Price. Value. Appreciation on Cows Milk used by Families 160,223 qts. $.071 $11,374.82 Milk Retailed, used for butter and fed to stock 118,869 qts. .070 8,268.43 Manure recovered 20,612 tons 1.77 36,429.00 Feed bags . . . . 627.00 Calves born (value at birth) 1,831 7.22 13,211.75 Total $69,911.00 Table No. 32 shows the receipts from other sources than milk. If there were appreciation or increased value in cows it would appear in this list of items. It is set down as one of the items, but no figures are placed opposite this item, for the reason that there was no appreciation on the farms as a whole. The milk used by the farmers' families is charged for at the average League price for the year. The slight difference between this figure and the figure actually received, as shown in Table No. 24, is more than made up by the cost of hauling milk to the shipping station for the milk which was shipped from" the farm. Some small quantities of milk were retailed by farmers themselves, and these amounts are included in the receipts. The producing territory was divided into three regions because the character of the farms semed to indicate a natural division of this kind. The more important points of difference between the character of the farms in these regions is shown in Table No. 33. TABLE No. 33 COMPARISON OF CONDITIONS IN THREE DAIRY DISTRICTS Farms Dairy Cows Acres Value Acres of Value Region. Visited Per Farm, of Land. Per Acre. Pasture. Acre. Kiss, N. Y. . . . 24 15.8 180.3 $ 54.00 60 $32.00 Wayne and Livingston Counties . 33 22 179.2 134.00 33 86.00 Monroe County 84 14.3 98.5 197.00 17 109.00 The farms located in the Bliss regions are for the most part devoted to milk production, having comparatively small sources of income outside of the income from milk. The farms in Monroe County are many of them engaged in the production of apples and other fruit as well as general farm crops and are located near enough to the City of Rochester to make it convenient to haul considerable quantities of wet brewers' MILK SURVEY OF THE CITY OF ROCHESTER grains from Rochester to the farm. The differences in the cost of pro- ducing milk in these three regions are shown in Table No. 34, and in Tables Nos. 35 and 36 are shown the quantities of feed and labor per cow and per 100 pounds of milk in each of these three regions. TABLE No. 34 COMPARISON OF COSTS OF PRODUCTION BY REGIONS Wayne and Monroe Bliss. Livingston Counties. County. Number of Farms 24 33 84 Summary of Costs Per Cwt. of Milk : Depreciation, on Cows $ .0785 $ .0715 $ .0772 Interest on Cows at 6% 1806 .1247 .1 135 Grain and other Concentrates 1.2054 .8919 1.1411 Succulent Feed 4143 .7295 .7040 Hay and other Dry Forage 1.0608 .5383 .5553 Total Feed except Pasture $2.6805 $2.1597 $2.4004 Interest on Feed and Supplies at 6% . .0424 .0439 0404 Pasture 3207 .2395 .2295 Bedding. 1165 .1576 .1780 Human Labor 1.5391 1.0624 1.2287 Horse Labor 1471 .0684 .1034 Use of Buildings 1589 .1207 .1503 Use of Equipment 0713 .0710 .0847 Bull Service 0907 .0367 .0241 Miscellaneous Costs .1331 .0943 .1342 Total Cost 5.5594 4.2504 4.7644 Returns except Whilesale Milk, per cwt. . .6799 :4561 .4849 Net Cost (Difference) 4.8795 3.7943 4.2795 Price received per Cwt. Milk 2.9093 3.3963 3.4157 Loss per Cwt. Milk 1.9702 .3980 ~£638 Production per Cow (pounds) 4334 6053 7133 TABLE No. 35 QUANTITIES OF FEED AND LABOR PER COW Wayne and Monroe ~ . , . Bliss. Livingston Counties. County. Gram and other concentrates 1,833 Ibs. 1,867 Ibs. 3 356 Ibs Succulent Feed 4,673 Ibs. 11,949 Ibs. 11 441 Ibs' Hay and other Dry Forage 4,707 Ibs. 3,346 Ibs. 3,731 Ibs! Human Labor 178 hrs. 183 hrs. 239 hrs. TABLE No. 36 QUANTITIES OF FEED AND LABOR PER 100 LBS. MILK t Wayne and Monroe r . . . Bliss. Livingston Counties. County. Gram and other concentrates 42.3 Ibs. 30.8 Ibs 470 Ibs Succulent Feed . . . . . 107.8 Ibs. 197.4 Ibs. 160.4 Ibs Hay and other dry forage 108.6 Ibs. 55.3 Ibs. 52.3 Ibs. Human Labor 4.10 hrs. 3.03 hrs. 3.35 hrs. MILK SURVEY OF THE CITY OF ROCHESTER 89 It has often been pointed out in the past that large producing cows produce milk more cheaply than small producing cows. It was recognized that one of the most important branches of the study of milk production should aim to bring out this difference. There- fore, all of the farms have been classified according to the volume of milk which they produced per cow each year, from less than 4,000 Ibs. per cow to more than 9,000 pounds per year. Their average production, the number of farms in each group, the average number of cows per farm and the cost of. production per 100 pounds and per quart of milk, are all shown in Table No. 37 : TABLE No. 37 EFFECT OF PRODUCTION PER COW ON COST OF PRODUCTION Group. Average Pounds. 4000 or under 2841 Farms. 9 16 27 39 23 15 12 Per Farm. Per Cwt. Per Qt. 17.8 $7.103 $0.1527 18.4 4.884 .1050 17.9 4.365 .0939 16.3 4.024 .0865 14.6 4.011 .0862 17.3 3.715 .0799 12.1 3.898 .0838 4001 - 5000 4674 S001 - 6000 5446 6001 - 7000 6472 7001 - 8000 7487 8001 - 9000 8326 Over 9000 . 9751 It is obvious, that as in past investigations of this kind, the small producing cows produce milk at a much greater expense than the large producing cows. Thus, in the last column, it is to be noted that farms having cows producing an average of less than 4,000 pounds per year, produce milk at a cost of more than 15 cents per quart, while farms having cows producing an average between 8,000 and 9,000 pounds a year, pro- duce milk at a cost of about 8 cents. Cows producing over 9,000 pounds per year, apparently produce milk at a slightly higher cost than cows be- tween 8,000 and 9,000 pounds. This irregularity is a circumstance which may be due to unusual irregularity in costs, or to the fact that there were too few farms in the last group. In Table No. 38 is shown the relation of the production per cow to the hours of human labor and to the cost of labor : TABLE No. 38 RELATION OF PRODUCTION PER COW TO LABOR HOURS OF HUMAN LABOR Production Per PerlOOLbs. Rate . Rate Per Cow. Cow Milk. Charged. Received. 4000 or under 170 6.0 $0.363 -W%>\ 4001 - 5000 ! 192 4.1 .361 5001-6000 196 3.6 .347 + .085 6001-7000 213 3.3 .330 + .137 7001.8000 233 3.1 .349 .152 8001 - 9000 221 2.6 Over 9000 ... 266 2.7 .387 + .232 90 MILK SURVEY OF THE CITY OF ROCHESTER In Table No. 38 it is to be noted that the number of hours of human labor per cow increases gradually with the increase in the volume of milk produced. This is because of the length of time required to milk large producing cows, and because the feeding and other services require more time for large producing cows than for small producing cows. The use of brewers' grains on the farms with larger producing cows required more time for the hauling of grain. On the other hand, when these hours of labor are compared with the quantity of milk produced, the opposite condition is true. It is seen from Column No. 3 that the hours of labor per 100 pounds of milk are very much larger with small producing cows than the hours of labor per 100 pounds of milk for the large producing cows. In shoct, less labor is required in connection with the production of the same quantity of milk from large producing cows than small pro- ducing cows. In the last two columns it will be noticed that the rate charged for the human labor was nearly the same for all cows ; but that the rate re- ceived increased from a loss of 29 cents per hour to a maximum gain of 25.3 cents. While this did not pay the cost of the labor, yet the last column shows that the increase in the volume of milk produced per cow brought in a much larger labor income. The quantity of feed required to produce 100 pounds of milk is shown for each of the same groups of farms producing from less than 4,000 to over 9,000 pounds per cow annually, in Table No. 39 : TABLE No. 39 RELATION OF PRODUCTION PER COW TO FEEDING POUNDS OF GRAIN POUNDS SUCCULENT FEED POUNDS DRY FORAGE Production Per Per IOC libs. Per. PerlOOlbs. Per PerlOOlbs. Per Cow. Cow. Milk. Cow. Milk. Cow. Milk. 4000 or under 1381 48.6 5194 1828 4738 1668 4001-5000 1661 35.5 7087 5L6 4752 017 5001-6000 2023 37.1 11285 2072 3199 587 6001-7000 2480 38.3 11263 174.0 3410 527 7001-8000 3250 43.6 10657 143.1 4074 547 8001-9000 4342 52.1 12880 154.7 3548 426 9001 and over 4245 43.5 12578 129.0 3874 397 Table No. 39 shows clearly that while the pounds of grain per cow increases with increased production, the pounds of grain per 100 pounds of milk are approximately the same. The pounds of succulent feed also increase gradually with the production per cow; but decrease per 100 pounds of milk produced. The pounds of dry forage per cow diminish with an increase in production and also to a much larger extent diminish per 100 pounds of milk. The number of cows in each of these groups and • the quantity of milk produced by them as well as the percentage of the total milk sold to the City of Rochester in each group is shown in Table No. 40: MILK SURVEY OF THE CITY OF ROCHESTER 91 TABLE No. 40 PRODUCTION PER COW AND THE TOTAL MILK SUPPLY Production Number of Total Number Milk Sold Per Cent, of Per Cow. Cows in Group, of Cows. Wholesale. Total Milk Sold. 4000 or under 160 6.9% 419,182 Qts. 3.0% 4001 - 5000 294 12.7% 1,306,895 Qts. 9.3% 5001 - 6000 483 20.9% 2,509,025 Qts. 17.8% 6001 - 7000 637 27.5% 3,967,796 Qts. 28.2% 7001 - 8000 336 14.5% 2,417,615 Qts. 17.2% 8001-9000 259 11.2% 2,070,025 Qts. 14.7% Over 9000 145 6.3% 1,369,768 Qts. 9.7% From Table No. 40 it appears that 28.2 per cent, of all the milk supply of Rochester is furnished by cows producing between 6,000 and 7,000 pounds of milk yearly and that this is the largest group both in respect to farms and in respect to cows producing milk for Rochester. One of the influences which is a most important factor in the cost of milk production and which has not received the recognition that it deserves, is the number of cows in a dairy herd. The volume of milk produced by each cow has been given an immense amount of study by dairy colleges and dairy farmers. On the other hand, it has been com- monly assumed that cows of small production would be unprofitable, re- gardless of the number of such animals in a dairy herd. It must be recognized that the "boarder" cows, or cows producing less milk than will pay their expense, are always a loss. On the other hand, the number of cows in a herd, by increasing the volume of milk produced, reduce to a great extent the cost of the milk, correspondingly reduces the loss on such boarder cows. The effect of the number of cows on the cost of production is shown in Table No. 41 : TABLE No. 41 EFFECT OF NUMBER OF COWS ON COST OF PRODUCTION NUMBER OF Cows. Number Production COST OF PRODUCTION. Group. Average. of Farms. Per Cow. Per Cwt. Per Qt. Under 10 7.7 24 6,635 $5.22 $0.112 10 - 14 11.9 44 6,846 4.41 - .095 15 - 19 16.1 36 6,507 4.14 .089 20 - 29 22.6 27 6,080 4.20 .090 30 or over 41.6 10 5,682 3.47 .075 From the above table it appears that there were 24 dairy farms hav- ing herds averaging 7.7 cows, and that these individual cows produced an average of 6,635 pounds per year at a cost of $5.22 per 100 pounds or 11.2 cents per quart. Contrasted with this, on 10 farms averaging 41.6 cows, producing only 5,882 pounds each, the cost of milk production was only $3.47 per 100 pounds, or 7.5 cents per quart. The effect of the number of cows on labor, buildings and equipment cost is shown in Table No. 42 : 92 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 42 EFFECT OF NUMBER OF COWS ON LABOR, BUILDING AND EQUIPMENT COSTS Hours Rate Building Equipment Number Hours. Per Cwt. Rate Received Cost Cost of Cows. Per Cow. Milk. Charged. Per Hour. Per Cow. Per Cow. Under 10 276 4.16 .368 —.067 $14.68 $5.10 10 - 14 246 3.60 .359 —.074 10.15 6.19 15 - 19 217 3.33 .362 —.139 9.70 4.60 20 - 29 194 3.19 .336 —.080 7.61 4.79 30 or over 155 2.72 .310 —.293 4.09 3.23 From Table No. 42 it is clear that the number of hours of labor per cow is greatly diminished by increasing the number of cows in a herd, thus reducing the labor cost. The number of hours of labor per 100 pounds of milk is also diminished to a marked degree with an increase in the number of cows per herd. While the receipts for labor per hour are greatly increased, the cost of buildings per cow and the cost of equip- ment per cow are greatly diminished by an increase in the number of cows. This simply means that increase in the volume of business result- ing from large herds reduces all of the costs. The number of cows contained in each of the herds of different sizes and their percentage of the total, the quantity of milk produced by the herds of different sizes and its percentage of the total, are shown in Table No. 43 : TABLE No. 43 NUMBER OF COWS AND TOTAL MILK SUPPLY Per Cent, of Number Number of Total Number Total Milk Per Cent. Total of Cows. Cows in Group. of Cows. Sold Wholesale. Wholesale Milk. Under 10 184 8% 1,130,058 Ibs. 8% 10 - 14. ... 524 23% 3,417,332 Ibs. 24% 15 - 19. ... 579 25% 3,632,938 Ibs. 26% 20 - 29. ... 611 26% 3,581,400 Ibs. 26% 30 or over 416 18% 2,298,578 Ibs. 16% A review of the figures shown in Tables Nos. 37, 40 and 41 indicates that if the dairy herds averaging less than 5,000 pounds of milk per cow were eliminated, it would eliminate 12.3 per cent, of the supply and milk which now costs from 10 to 15 cents per quart to produce. If all herds with less than 10 cows were eliminated, it would remove 8 per cent, of the supply and milk now costing 11.2 cents per quart to produce. HEARINGS ON THE COST OF PRODUCTION In determining the cost of production for Rochester one branch of the investigation had to do with the securing of information from wit- nesses regarding the cost of production on dairy farms operated by them. \ MILK SURVEY OF THE CITY OF ROCHESTER 93 These witnesses were dairy farmers producing milk for the City of Rochester, who were selected by the local officers of the producers' or- ganization, known as the Dairymen's League. The object in permitting the Dairymen's League to select their own witnesses was in order that they might present their own case to the Survey in their own manner and from their own point of view. The possibility of their purposely choosing witnesses who would testify to costs higher than the average cost of Roch- ester producers was fully recognized. For this reason the director of the Survey was prepared to receive these costs only on the basis of the producers' own selection, with the understanding that so far as the Sur- vey was concerned its main dependence would be placed upon producers' costs secured through the Survey's own investigators. This testimony of these witnesses in so far as it referred to special cost items and the total cost of producing milk on their farms, is given in part below. This testimony is not given in full as much of it had to do with discussions not directly concerned with cost items. Portions of the testimony which are abstracted were the portions of greatest importance to the Survey. % FREEMAN GILMORE, produced as a witness on behalf of the Dairy- men's League, first being duly sworn, examined by Mr. Fuller, testified: Q. You live where ? A. I live in the Town of York. Q. And what is your business ? A. Farming. (Q. And how many cows do you keep ? A. From 45 to 50. Q. And your milk is sold where ? A. In Rochester. Q. And it is shipped in, is it? A. Yes, sir. Q. You made some figures as to the cost of production, have you not? »A. Yes, sir. Q. How large is your farm ? A. 433 acres. I might state right here that the farm is divided by a highway, and that the dairy barns are on one side by themselves, and our dwelling house and horse barns, etc., are on the other side of the road. Q. How much do the oats total ? A. $312.50. Q. Cotton seed meal ? A. $61.80. Now, then there was 12,024 pounds there, $211.01, that was not bought in car load lots but at a local mill, but the price was 94 MILK SURVEY OF THE CITY OF ROCHESTER the wholesale price. And then I bought a bran substitute, 27,760 pounds at $33.00, total $459.04. Then we bought 25,700 pounds of oil meal at $51.50 and that came to $663.93. Might add we hauled the above feed, $78.00. Now, then, I fed in hay, the following: 75 tons at $18.00, $1,350.00, and there was 288 tons of ensilage, which I estimated at its feeding value, $6.00, $1,628.00; and then 30 tons of straw at $5.00, $150.00. Now then, the total hours of labor spent on the cows; one man I paid $60.00 a month and boarded him, and I put it in at $900.00. There is another man I paid $780.00, and one man milked mornings, $109.50. Now, then, I had another charge of a man, $600.00, I have had every morning to see that the milk is properly cooled and looked after. There is a rent of land for pasture purposes ; I estimate that it would take 3 acres for a cow, $15.00 an acre, makes a total of $700.00. I have aver- aged taxes on the entire farm and I figured, I think, $1.13 an acre, and that is $158.20. Q. That is charged to the cattle ? A. Yes. Now, then, in the use of the dairy buildings; there is 3 silos and the dairy house, cattle barn, hay and grain barn, and an ice house, and a shed for sawdust. I estimate the value of that at $10,000.00, about 6 per cent, interest on it, $600.00, and a depreciation of 4 per cent., $400.00. The insurance on it for 3 years is $165.00; that makes an aver- age of $55.00 a year. I have a list here of equipment: 57 eight gallon cans; 4 five gallon cans; 8 pails, $1.25, $10.00; milk wagons, $110.00; 3 shovels, $1.75 each, $5.25; 1 shovel at $1.00; 3 brooms, etc. I put the total depreciation on that at $201.33. Q. What did you put the total value ? A. $604.00. Then I had an investment in cows of 48 cows at $150.00 each, figures $7,200.00; the interest on them at 6 per cent, is $432.00 and the depreciation less the salvage is $1,152; and one bull at $150.00, and charged interest on him at $9.00; on the water supply, which consists of tile and pipe lines and derrick and wind-mill, gas engine, engine house, hydrants, etc. I estimated the cost of and placed them at $1,700.00, and the interest at $102.00; depreciation at 7 per cent., $112.00; gasoline, 55 gallons at 15^4- There is a slight discrepancy on that be- cause I estimated that about 70 per cent, of the water supply went to the barn ; as a matter of fact, I think 90 per cent, of that went to the cow barn; it did not alter the figures materially, but I have not seen these figures until this afternoon, going over them a second time; but the water supply for the entire farm, I figured it at 70 per cent ; I think that is a low estimate. Now, under miscellaneous, there was, insurance on cows, $2,000.00, $12.00; salt, $18.00; lanterns, 6 lanterns, $7.50; hot water heater, $15.00; I figured the interest and depreciation at $4.40; 7 MILK SURVEY OF THE CITY OF ROCHESTER 95 cords wood, $56.00 ; $9.30 for cleanser powder, and fly spray, $10.00, and lime $10.50, and the cooling tank and drinking trough, $85.00, 10 per cent, $8.50; sawdust, $65.00; depreciation, $20.00; 31^ tons of ice, $118.13; freight on ice, $45.33; hauling ice, $42.00; total, $404.94. Q. Your next item is for your windmill and tank, etc.? A. Yes. Q. And you figure your interest and depreciation on that at $160.00? A. 70 per cent, on the water supply would make that $160.00. Q. And that makes a total expenditure of how much ? A. $12,305.48. Q. Now, your credit on here is what ? A. 420 tons of manure at $1.00 a ton, $420.00; and 43 calves at $7.00, $301.00. Q. And you produced how many pounds of milk? A. 279,078 pounds. Qi And that is approximately 5,600 pounds per cow? A. Approximately. Q. How much do you figure your milk cost you ? A. Four dollars and a fraction. Q. Around $4.30? A. Around there. Q. Have you calculated anything for your own service? , A. Yes. Q. How much? A. $600.00. I figure my time is worth more than that. Q. About how much would that be an hour? A. I cannot tell you how much. Q. 'Would it be thirty cents an hour? A. For a year ? Q. Yes, on an average right straight through? A. About two dollars a day, would it not ? Q. About a ten-hour day? A. I ought to be worth two dollars a day, I think. PHELPS HOPKINS, produced as a witness, first being duly sworn, examined by Mr. Fuller, testified : Q. Mr. Hopkins, you reside where? . * A. Pittsford. Q. What is your business? A. Farmer. Q. And you have been engaged in that business all your life ? A. Why, no, I lived on a farm all my life. 96 MILK SURVEY OF THE CITY OF ROCHESTER Q. Will you describe your farm? A. 220 acres, general farming; about 35 acres of woodland; about eight acres pasture, and the rest of the farm is used in growing wheat, silage, corn, some potatoes, oats and some barley, and last year I aver- aged thirty-two cows. Q. About what is the value of your farm, Mr. Hopkins, per acre? A. About $200.00. Q. And that is located how far from Rochester? A. Five miles and a half from the city line, Cobb's Hill. Q. You ship your milk into Rochester how ? A. By trucks, automobile trucks. Q. You have kept some accounts as to the cost of the production of milk, have you ? A. Yes. Q. And you have brought here in court your books showing your accounting system? A. Yes. Q. Will you describe how you kept those accounts ? A. Yes. At the first of the year all the books start, March 15, 1918. Q. Your fiscal year ends the 15th of March. A. Yes. We take an inventory of everything on the farm at the beginning of the year, including everything on the farm, horses, cattle, equipment; all equipment is listed in detail; the same with individual animals ; all food on hand, hay, straw, silage, are all inventoried at their either appraised value or what they are worth on the market. Q. Are you a Cornell man ? A. Yes. Q. What course? A. Two years special course. Q. And you may also state the method in which you keep your accounts during the year? A. Yes, I will. A separate book; two different books are used,^a ledger and labor book. The ledger is composed of different industries on the farm, such as crops and cattle and a lot of smaller industries, pumping water, etc. The labor book is composed of the same industries practically and the labor each day is written up ; how much time is spent on labor, man hours and horse hours. Also, a chore sheet is kept, which is time spent on the chores. Then at the end of the next year, the books are closed once a year, labor is computed by hours, the cost per hour; the total charge against labor, including board as well as the cash and rent of tenant house, and all those things enter into it and a charge of MILK SURVEY OF THE CITY OF ROCHESTER 97 labor against it and labor is computed, cost per hour and charged to various enterprises. The same way with horse labor and then the in- ventories are balanced up and a new set of books started. That is in general the practice of the books. Q. And you start in again after the end of the fiscal year? A. Yes. Q. Now, have you made for me computations in reference to the production of milk? A. I have. Q. And you say, your year begins and ends on the 15th of March? A. Yes. Q. Your computation then runs on quantities from the 15th of March, 1918, to the 15th of March, 1919? A. Yes. Q. What was your total cost? A. $8,961.51. Q. What were your total credits? A. $7,936.26. Q. And what was your net cost of milk? A. $4.20 per hundred. Q. That was your cost? A. That is not last year's figures ; those are present prices. Q. I mean, present prices, what was it? A. $4.20. Q. How many pounds of milk did you produce? A. 188,960. IX COST OF COUNTRY HAULING Each day a large amount of labor on the part of dairy farmers and horses is expended in hauling milk from the farms to the point of ship- ment. For the purpose of securing information as to the number of men and horses employed in this work, and the points from which milk is shipped, a form of questionnaire was prepared and mailed to all of the 778 dairy farms producing milk for Rochester. Replies were received by mail from 276 producers, from which the following information was obtained : Number of producers 276 Producers' own wagon to railroad platform 163 Producers' own wagon to Rochester 10 By truck with other farmers to railroad platform 6 By truck with other farmers to Rochester 64 By dealers' truck to Rochester 13 Shipping to Rochester by rail 119 Shipping to Rochester by trolley 68 Amount of milk produced daily 35,565 Qts. Amount of milk received from producers' own wagon to railroad plat- form 22,799 " Amount of milk received by producers' own wagon to Rochester 1,492 Amount of milk received by truck with other producers to railroad platform 767 Amount of milk received by truck with other producers to Rochester. . 7,313 Amount of milk received by dealers' trucks to Rochester 1,630 ' Amount of milk received by railroad to Rochester 17,420 ' Amount of milk received by trolley to Rochester 7,710 ' Amount of milk delivered by producers living on trolley line (18 men) 1,564 ' Although all of the 778 producers did not reply to the questionnaire, the replies received from 276 of them were from every dairy district, and it is believed that these replies were sufficient in number and suffi- ciently well distributed to furnish a fair estimate as to the labor per- formed in the handling of milk from the dairy farms to the point of ship- ment. It will be noted from the table that 163 producers hauled milk in their own wagons to the railroad platform, either the steam railroad or the trolley railroad, while 10 producers hauled milk from their farms directly into the City of Rochester, and 6 producers hauled milk to the railroad platform with other farmers. The number of trucks hauling milk to Rochester owned by farmers or owned by dealers was not ob- tained. It is therefore not possible to form an estimate as to whether these trucks were fully loaded, or whether they represented less than a full load. If we give attention especially to the hauling of milk on the country end of the line by the farmers themselves from the reports of the inspectors, it is estimated that the average distance traveled by each farmer is 2 miles, and that the length of time required for taking milk out of his milk house, loading it onto his wagon, hitching up his horse, MILK SURVEY OF THE CITY OF ROCHESTER 99 driving to the shipping point, delivering his milk, securing his empty cans, returning to the farm and unhitching his horse, is a total of 1^ •hours. This estimate would apply to the 163 farmers hauling milk in their own wagons to the railroad platform. It would also apply to the 10 farmers hauling milk directly to Rochester, if we eliminate the length of time spent in hauling milk within the city limits. It is fair to assume of the 6 farmers hauling milk jointly not more than 3 wagons would be employed, and therefore only 3 of these farmers would be engaged at one time. This would make a total of 176 farmers out of the 276 from whom reports were received who were engaged daily in hauling milk from their farms to the shipping point. The value of labor per man hour is estimated at $ .349, and horse labor $ .194, which are the average rates on the 141 farms on which cost of production records were obtained. This makes $ .543 per hour for 1 man and 1 horse. For \y2 hours, the cost is $ .814. If we multiply this by 176 farmers, the daily cost is $143.26 under the present system of hauling. If we assume that the same proportion of farmers are hauling milk in the entire list a,, in the list reporting, it would mean that, out of the total 778 farmers, there are 496 who haul their own milk, and if we apply the same costs, the daily cost is $403.74. It is recognized that from a business standpoint the most economical system of hauling is a co-operative system. Under this arrangement large trucks travel on the main roads capable of carrying not less than 30 cans each, and some of them carry much larger loads than this. The dairy farmers living on side roads, or whose houses are located on lane- ways back from the main road, find it necessary to hitch up a horse and carry the milk by wagon to the main road. The farmers living directly on the main road may carry their cans by hand to the platform. Such a system as this has been adopted on a large scale by many dairy districts. It is estimated that a fair allowance for the average time required to take milk out of the milk house and carry it to the main road and re- turn with empty cans would be one-half hour to each farmer. If we use the same cost for man and horse, this would amount to $ .271 per half hour. Applying this to the 176 farmers reported as hauling milk would make their daily costs for carrying milk from the milk house to the main road, $47.75. Applying the same figure to the total number of farmers estimated hauling, which is 496, would make the daily cost of carrying milk to the main road $134.56. The cost of trucking on the main road in the dairy districts where this is performed is charged for at the rate of ^c per quart of milk. Applying this charge to the milk handled by the 176 farmers reporting would make the daily cost of trucking on the main road $62.64. If we 100 MILK SURVEY OF THE CITY OF ROCHESTER assume that the same proportion of milk was carried by the 496 farmers estimated as hauling, the daily cost of trucking on the main road for their milk would be $176.53. This would make the total cost under a co-operative system for the 276 farmers reporting $110.39, and for the 496 estimated as hauling, $311.09, showing a total daily saving over the present individual system for the 176 farmers reporting of $32.87, or $11,997.55 yearly. The savings under the trucking system for the 496 farmers estimated as hauling would be daily $92.65, or yearly $33.817.25. It is recognized that these figures are only estimates and therefore not necessarily a close statement of what actually could be done under the co-operative system. It is also recognized that the geography of the dairy districts will determine to a large extent whether a co-operative trucking system on main roads can be installed to advantage. It is a fact, however, that in every dairy, district there are main roads reaching from the remotest farm to the point of shipment, and there are but few of them where it would not be possible for a wagon starting from the re- motest point to pick up milk from side roads and from lane- ways so that by the time it reached the shipping point it would be carrying a full load. On the return journey this same wagon can leave at the entrance of the side roads and lane- ways the empty cans which it received from the shipping point. Every investigation made of the business of country hauling has shown that in most dairy districts there are excessive numbers of wagons and horses being used by the dairy farmers for this purpose, the cost of which must be charged by them in the price demanded for milk. Here seems to be one of the branches of the producers' business which would lend itself to a decided economy if, through a local committee, the terri- tory could be districted and a trucking system established which would provide for full loads rather than the small number of cans now carried per wagon. The milk produced by the 176 farmers hauling their own milk was 25,058 quarts, or about 143 quarts per farm, which is 3^2 40-quart cans, or 4% 32-quart cans, so that these farmers were actually carrying be- tween 3 and 4 cans each. The average 2-horse farmers' wagon can carry at least 30 cans, while trucks adapted for the purpose can carry between 40 and 50 cans; consequently, instead of the 176 farmers daily hauling milk to the shipping point, the same milk could be hauled in less than 20 trucks. If we assume the milk produced by the 496 farmers estimated as hauling from the entire producing territory is in the same, proportion, instead of 496 wagons and horses and men the same milk could be hauled on less than 56 trucks. MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 44 Present cost Cost to main road Trucking on main road, milk Farmers Reporting. 276 176 Total Farmers. 778 496 $143.26 $403.74 Total estimated cost. Total daily saving. . . Total yearly saving $11,997.55 47.75 62.64 134.56 176.53 $110.39 $311.09 $32.87 $92.65 1,997.55 $33,817.25 101 X DEALERS' DISTRIBUTION COSTS The center of the milk problem in all cities is considered to be the cost of milk distribution. While there are some economies which could be secured through better business methods in the production of milk by the dairy farmer, it is well recognized that these are difficult to estab- lish and would require a considerable number of years. On the other hand, the inhabitants of every large city and the public officials are carrying on their agitation on the high cost of milk, prin- cipally with the thought in mind that the cost of distribution is excessive and that through some reorganization in the industry, or perhaps through municipal control or ownership, these costs can be greatly reduced. In approaching this problem in this survey, a new method of in- vestigation was planned. In all previous surveys the main dependence for the investigators into the cost of milk distribution has been the work of expert cost accountants who have devoted the greater part of their time to the examination of the dealers' books and the checking up of vouchers with book entries to determine whether these entries were cor- rect or not. * The reports handed in as a result of the work of the expert account- ants have, in every survey where this work has been done, presented to the investigators only a financial statement which the books themselves contained. Such financial statements are unsatisfactory in two respects. In the first place, the methods of bookkeeping in the milk industry have never been standardized. Consequently the financial statements taken from dealers' books rarely correspond. For this reason, even though the financial statements may be correct, it is impossible to make accurate comparison of cost items between one milk company and another milk company. The second and more serious cause for dissatisfaction with such figures is that they in no way reveal to the investigators what are the reasons or causes for these expenses, or whether the expenses are justi- fied. Consequently, in all surveys whose main dependence has been placed on the work of auditors, it has been impossible for the directors of such surveys to draw conclusions or to make recommendations based on any accurate knowledge of expense items, or to state whether such expense items are justified or whether they could be reduced. In order to overcome these difficulties in this Survey, a new plan was inaugurated which consisted in a study of the conduct of the busi- ness itself outside of the dealers' books. These studies were made by MILK SURVEY OF THE CITY OF ROCHESTER 103 inspectors in the employ of the Survey, who personally visited all of the large milk companies in the City of Rochester and a considerable number of the small dealers and, by personal observation of the work performed in these milk plants, took notes of each operation, the number of em- ployees, the time occupied and the cost of performing every branch of the business. The dealers' books were not neglected, as expert accountants were employed to take a statement from the dealers' books, chiefly for the reason that the factory charges or expenses outside of labor charges could not be obtained by inspection. The expert accountants employed by the survey were unable to find in the City of Rochester, however, more than four dealers who kept books in such a manner that the accounts could be relied upon. They visited 15 of the small milk dealers but were unable to secure figures from them which were sufficiently reliable to justify a report. The new plan pursued in this survey consisted, in short, of making a careful study of the conduct of the business itself as the main depend- ence, rather than to place dependence upon an examination of the dealers' books. In making these inspections of the milk factories, it was necessary to standardize the work by drawing up report blanks which could be used by each inspector so that the reports handed in would be uniform and also comprehensive. The points observed in connection with the con- duct of the business included : (1) The total units of operation, such for example as the quantity of milk received, the quantity of milk bottled, the number of bottles washed, the number of cans washed, etc. (2) The number of persons employed in each operation. (3) The total number of hours of labor. (4) The wage rate per man hour. (5) The total cost of the operation. (6) The unit cost of the operation, for example, the cost per quart for milk received, the cost per bottle for bottles washed/ the cost per can of cans washed. There were more than 36 different operations examined in this way in these different milk factories. In addition to the examination of the milk business of the dealers of Rochester in this manner, similar examinations were made of the largest milk business in the City of Ottawa, Canada ; of the largest busi- ness in the City of Philadelphia, Pa., and of the largest milk companies in the City of Baltimore. 104 MILK SURVEY OF THE CITY OF ROCHESTER The reasons for the conducting of these examinations in these other cities were because it would be of great value in judging of the efficiency of the work in Rochetser to be able to make comparisons between the total costs and the individual cost items in Rochester and similar cost items of other cities, and also because in the cities of Ottawa and Phil- adelphia economies have been instituted which might point the way toward the adoption of similar economies in Rochester. In assembling all of the facts and figures accumulated by the in- spectors and the cost accountants, it is recognized that the tabulation of these results could be drawn up in a number of different ways. The chief object which must be kept in mind in putting together these figures is the total cost for the City of Rochester. This means that the milk business of the City of Rochester must be looked upon as a unit. The inhabitants of the city are not particularly interested in the business of any individual dealer but in the business of the city as a whole. There- fore, the object of the tabulations which have been made has been to get together under a single head all of the different cost items for all of the dealers in the city so that a single simple statement can be made showing what the total milk supply for the entire city costs and what each of the different branches of expense connected with this supply costs. In order to accomplish this, the figures must be assembled first for the individual dealers. This was done on a series of cards or report blanks on file in the office of the survey. It has not been thought neces- sary to present the individual costs of each individual dealer separately. In order, however, to secure an accurate statement for the entire city, it has been necessary that the costs of each dealer should be set down in some form and the best method seemed to be to divide the dealers into three groups for this purpose: the first group being dealers handling 500 quarts of milk or less; the second group dealers handling from 501 to 1,000 quarts; and the third group dealers handling over 1,000 quarts. Before presenting these tabulations one other consideration is de- sirable. The cost of labor naturally belongs in a separate division from the cost of supplies and other plant expenses. Labor, being the human element in the business, lends itself to reorganization and business effi- ciency more easily than the purchase of supplies or other plant charges. Consequently, in this work, labor is separately considered and the payroll and salaries have all been studied from the standpoint of the labor per- formed as a separate problem. In Table No. 45 are presented the labor costs for the first group of milk dealers, handling 500 quarts or less. MILK SURVEY OF THE CITY OF ROCHESTER 105 jy ££ J6 Wholesa Bottled. 5 :23?$g :£ : :^2S^^8 :8Sq 0_ — 'LOCDO ' "«— < oooot^oooooooo^o oo 3 coONCOlx>cO'-HCO • •— i CM >-O tx ON CO -OOO ' T^" CD vO ^* OO t^ fx • vO ^-^ 00 CO CM *-"* • OO r"H ^ Q< t ,_ T to ^1 vd >-< ^ CMLOLOLO i-HOCMCM CMto T-H COCMCO^H LOLO\OCM •sjnoij • vq oo o oo^ tx • ON oo CMLoC^r-J^pcoK 'CNCMvO o\'t< LO ' 10 ON Tf Tj- r-H IO •ss9j jo -s;b QOS Sin -AI9D9J SJ9[B9p JOJ jo s;iun LO O vQ Q Tf r-H CM OO vO "^ CM vO ^O O • l^- CM O r-( -^ 10 LO CD gg tx t— i CO O CO CM -O '00 CM ON rT_T^_Tod'r-rvO~ON CNffO . CO CM CMCM CM II C jo ;iun ' ^^^; pj;o£ 2^ i O vOON »— i OO tr> LO i— i « vO i tx CM »— ' «— i LO • ON < "to"cM" O", unoq CM • LO t^ Tf \O rt* vO -CMO • ON O •— ' •— ! LO fx . ON •— < T^-LOCOCO fO^t- • ON O COTt' •sjnoi| LOO .QLOOOLOO • LO CM CM NO • -^ tx LO LO CM O • *"•» ^ i— i co ONLOCDO'\O'CM' ON CMCM COT-" •U9ui jo S "o^'a^'&jQ 5 CX.S o o* o* o* "S4 "S* cr'o' JO i co oq^CM^Lo^Lo ' r oTr-^LO O" 1-^co vO,< ONLO ONOO ^ co^oC . . « : c . Oc/}UO 00 t^ • O *— ' rf ro -^- ON Tf to ON -tx • -tovOONCMto .^-T-I * " * OfOO Tt- i— i »— i O 00 t co"t> Csj* ^-< tx t— i CVJ od c> ^ 06 od od o *o " 'odooododod ..... t^ oc fx tx tx r^ oo o r^t^txt^tx CM O\ tx -vQ -O S SJS £ OO tx 00 T-H rf- fx o\ -CM • \O O "^ tx O vO '^CX) -ON t-H vO ro t< »— < ON CM' *O 'O'-HCJO'-^vd 'Oto *\c5 CM t>» CM CM ?O \O vO ^ CM CM t— i CM CO vO vO 00 •CM^O\001-r5friLr5O\ ' • •— ' O ON CO •— ' CM t^. to • i— , O CM • T+- NO " " R • (3JJOAY jo ;mn ' ON CM OOOCcONOOfO -ON • CV) vC ro 00 ON ON to \O ^t" >— ' •— ' u") • tx OQ • »— i OOCMONOO CM »— i O 00 f*5 NO CM OOOO ON r— ^ OO CM ON ON 00 CO ?-H to f-H C*^ 00 tx 00 CM ••— ' •O'-HONt^OO -OO - NO -CM • »— i CM ON NO ^ ON -OON - LO "^t" tOOOONTTtOtO »— 1 OO rj- rrT^trTto" i— • •— i O NO^tCM i— ' tNO «-< unotj fr5T^-\OOO-^i'Tt'tr5 -(\1 -t^tOvOOCOON 'CO V> • *-* co NO NO ~ CM NO t^ -O -r^Ot^t^TfOO -t^CM • rf Tf- f*^ CO Tl- -^ TT CO Tj- Tf to -^- Tj- ^- ^ rJ-tO xo •sjnoi| cJ^'-icoTfr-i o rx CMco'otoocr IOCM ^HCO'~''~''~I ^^ ^ CM »-H i— < »— ' «-HCO ONT-Ht-xOOOCOCM -00 -t-^CMO r-HfXJ.— (CM CM • CM • «— 1 1— IT— 1 jo X2 cra'a'crcT'CT'o'a1 o'o' a1 O to NO O l^ rj- CO OO CM O ON 00 t^ CO NO OO •-< CM to iS CM to 00 ON T+- 0 ^ CM O tx NO t^ t^ CM OO tvJrxSoo oo ^»-i co^^i^to^^ "l^ ^H f^oo trr^H"*i~t^rvo"co"'to"co" co'i^ cvf bfi - S " •'^OrtSrtOOcj'U^'-'rt^ tQuarts bo 108 MILK SURVEY OF THE CITY OF ROCHESTER In Table No. 46 are given similar labor costs for the group of milk dealers handling 501 to 1,000 quarts. A comparison of the costs of the different operations of this group with the dealers of the previous group is interesting; for example, in this group milk receiving costs .5 of a mill as compared with .7 in the previous group; washing a bottle 1.4 mills as compared with 2.1 in the previous group; washings can costs 1 cent and 6 mills as compared with 2 cents in the previous group, etc. Table No. 46 also shows the costs for the entire group and the costs for retail bottled milk, wholesale bottled milk and wholesale canned milk. MILK SURVEY OF THE CITY OF ROCHESTER 109 Whoesae Cans. sj -to • OO CM CO CM :S CM ,-! u-<\oT}-tO ' O CO a d ho Bot OOvQ ONOtoONOOr^tOt-Hiot^OOO OO to CO CO ^" T-H CO T-H ON t^ NO CM CO tO CM «— i T— < vQ to • CO co NO T-H * co O CO 00 ^1-OONOONp ' •sjnoq 00 CO^oqcOCMio ,Tt-\O vO«0 vd lOTfocJO^t^vdoONCOCMOO CO ON to 00 CM m r-M T-H ON CM t>s \O -^ LOONOcO1""1 TJ"'— ' ^-c CO «— ' CO »— ' CO T-I •dnojS jo jmn \C 00 CO>O CM* -H CM CO CM CO r-i «— ( \OONT— it^TJ- vO T— ( ^OOt^^HiO to •- jo ;mn ;SOD c> <^ f— ^ f— ^ ON 00 ON CO > (~> T-H • \O to t^x CO \O ^" O^ to Ti' ^^ l^ CO ON r-H CM T-H Tf CO CO T-H r-t t>» «— i ON O rj- 10 Tj- vQ ^^ f^» »— < 00 CM ^O ^ r—t LOONi-OOO'-OT— i.— 'TJ-vOcoCM'^t' vO cMCM co T-JT-H CM co^i'OM't^ CMT->COO-^- ONCMtOCM«—i vO ON T—I O O «— ' CO 00 t^ CMOOCO-^-T— OOt^vOtOOOCMu-) ON t^ CMOOCO-^-T— OOt^vOtOOOCMu-) T— CO ON OO to CO CM t^> T-. CO CO CO O Tf •jnoq JDd T— i to ON O\ t^CM CM &£ £ vO II 00 O l^ CM C5 OO T-H t^ to \O ON ' 00 O \O t^ ^t t^ fO i ^ ^ CM co -^ vq ro i rfOOtOr—O CMO to co^OOONOOvOCMCOtoOO^tOO OO ^ (\] r_< CO T-H CO T-H ON CM T-H T-H CMCO T-H jo lli tft to m in inj^ (nincotntninincn^intnc/itoin 'n ON co ON ON CM \Q "^1" co e~? co T— * ON NO ON co ^? vO ON vO NO ^O vO -Q"to'CM*'NO"'-r co" T-H^co^^r^vO"^^1^^ CO~NO"O"''-H"'CM"' co" UP Q 110 MILK SURVEY OF THE CITY OF ROCHESTER In the Table No. 47 are presented the costs for the dealers handling over 1,000 quarts. It is most interesting to compare the costs of these three groups of dealers, item by item, and also to compare the costs for the different classes of milk. The object, however, of putting together the figures in this way is not limited to the interest attaching itself to these comparisons, but the main object is to pave the way for getting together the costs for the entire city which will be assembled in tabulations later on. While the Survey has decided not to present the individual costs of all milk dealers in the City of Rochester for the purposes of comparison, it is thought desirable that the costs of a few of the companies should be presented. Consequently, in Table No. 48 are presented the costs for 4 of the large milk companies of Rochester and also for a large milk com- pany in Philadelphia and in Ottawa, Canada. MILK SURVEY OF THE CITY OF ROCHESTER 111 TABLE NO. 48 UNIT LABOR COSTS Labor Charges Operation. 101 Retail 132 Retail 47 | Retail | 301 Retail 320 Retail 119 Whole- sale 1 Milk receiving 000436 .000267 .00043426 .00031906 00073668 000533 2 Bottle washing .... .000582 .000538 .00208991 00055966 00108370 000400 3 Can washing . . 000349 '.000350 .00024330 00017808 00017677 000800 4. Apparatus washing . . 5 Pasteurizing .000271 000280 .000281 000196 .00068870 .00058858 .00012505 00009670 .00028645 00005935 .000400 000?67 6 Cooling 00002523 000267 7. Bottling and Capping. 8. Can filling .000931 000079 .000609 000080 .00168480 00046136 .00046858 00002971 .00123760 00001898 .000267 000533 9. Driving retail route. . 10. Driving wholesale . . . 11. Driving R. R. to plant 12 Stable .016962 .001651 .001071 .000984 .015935 .000900 .000163 .001138 .01909000 .00127200 .000839 .00778920 .00252836 .00075458 .00101694 .01800644 .00039759 00096669 .000307 .002300 .000800 000133 13 Garage .000450 .000284 00011609 00019873 000267 14 Engine room 000794 .000750 .00044077 00080171 00083911 000400 15. Refrigerating plant . . 16 Plant protection .000200 .00002902 .00003907 .000133 17 Experimental .00019967 .00027550 18 Office force .002399 .001750 .00206119 .00071302 .00299860 .001530 19 Collectors .001201 .000892 .004775 .000600 20. Superintendence 21. Storage and loading.. 22 Refrigerator .003179 .00191696 .00041972 .00009377 .00065046 .00047762 .00090749 00024784 .002200 23. Trucking to branches 24 Route returns , •• •• .00122896 00016575 25 Miscellaneous .001000 .00152515 .00017278 .00025793 26 Tin shop .00018750 27 Laundry .00004196 28 Sales counter .00032873 29 \Vagon painting .00019498 30 Plant painter .000356 .00007522 31 Carpenter .00011921 32 Creamery . ... 33 Butter room 34 Specialties 35 Canvassers 001830 002732 36 Blacksmith Sub Total 029829 029034 04157193 .01664244 .03155445 .012137 Administration salaries . . .007683 .006517 .00153 | .00038696 j .002237 Grand Total .037512 .035551 .04310193 | .01702940 .014374 In Table No. 48 are plants Nos. 101, 132, 47 and 119, all Rochester milk companies, and plant 301 which is an Ottawa milk company, and plant No. 302 a Philadelphia milk company. A study of these figures shows some remarkable differences ; for example, under the head of "Can Washing" it is obvious that the Ottawa company and the Philadelphia company, which both have approximately the same charges, are washing cans by the use of apparatus at an expenditure of labor which makes these prices much less costly than the prices of can washing by any of the companies in the City of Rochester. 112 MILK SURVEY OF THE CITY OF ROCHESTER Under the head of "Pasteurizing," the cost of pasteurizing by the Ottawa milk company and the Philadelphia milk company is far lower than the cost of pasteurizing by any of the Rochester milk companies. Under the head of "Driving Retail Routes," the cost for the City of Ottawa is far lower than the cost for any of the other companies in the list excepting plant No. 1 19, a Rochester company which has practically no retail. business. Under the head of "Office Force" is a most remarkable series of costs. In this instance the cost of office force for the Ottawa milk com- pany is so much lower than the costs for any of the other companies that one would think the figure must be mistaken. It is, however, entirely correct and due to the establishment of a most efficient system of book- keeping by the Ottawa milk company. The costs in the three groups of dealers appearing in the three prev- ious tabulations have been assembled together in order to get the total cost per quart for retail bottled, wholesale bottled and wholesale canned milk for the entire City of Rochester. These costs have been obtained by putting together the costs of all of the dealers in the above group and dividing these costs by the amount of milk sold in each class. These results are shown in Table No. 49. MILK SURVEY OF THE CITY OF ROCHESTER 113 TABLE NO. 49 DISTRIBUTION OF LABOR COSTS PER QUART FOR RETAIL BOTTLED. WHOLESALE BOTTLED AND WHOLESALE CANNED MILK FOR ROCHESTER— BASED ON SALES. TOTALS FOR ROCHESTER. OPERATION. Retail bottled. (57,305 qts.) N «8 !| '3 o« Wholesale bottled. (11,386 qts.) 8.S «S Ji *3 cr Wholesale canned (8,888 qts.) bj |1 |i c cr Milk receiving $ 3731 0006511 $ 736 0006464 $ 551 0006199 Bottle washing 10673 0018624 2082 0018289 Can washing Apparatus washing Pasteurizing 33.09 41.95 28.61 .0005774 .0007320 .0004992 6.48 8.25 6.17 .0005692 .0007247 .0005420 8.12 5.58 5.06 .0009135 .0006278 .0005693 Cooling 21.34 .0003724 3.93 .0003452 1.02 .0001147 Bottling and capping. . . Can filling ... 94.38 450 .0016469 0000785 18.45 .93 .0016206 .0000817 2.85 .0003207 Driving retail routes . . Do. wholesale routes. Do. R. R. to plant Stable 712.58 45.78 60.49 .0124348 .0007988 .0010555 68.27 8.96 11.57 .0059970 .0007870 .0010163 33.17 6.60 9.08 .0037320 .0007426 .0010216 Garage . ... 22.99 .0004011 4.42 .0003883 2.85 .0003206 Engine room 2985 0005208 6.17 .0005420 6.09 .0006852 Refrigeration plant . . . Plant protection Office force 9.67 2.74 82.75 .0001687 .0000478 .0014440 2.01 .55 16.31 .0001766 .0000483 .0014327 1.88 .88 16.73 .0002115 .0000990 .0018823 Collectors . . 13864 .0024193 26.92 .0023647 16.77 .0018868 Superintendence 32.44 .0005661 6.47 .0005683 10.47 .0011779 Miscellaneous 16.80 .0002932 3.51 .0003083 4.57 .0005141 Canvassers 1607 0002804 3.20 .0002811 5.18 .0005828 Administration salaries. 76.63 .0013372 15.28 .0013422 24.73 .0027824 Totals $1,615.34 .0281493 $246.03 .0215720 $167.14 .0187113 It must be borne in mind that the charges in this table are strictly limited to labor charges and include no other expenses. At the bottom of each column is given the total. Thus, for example, it will be noted that the total labor costs for the work performed in handling retail bottled milk is a little more than 2 cents and 8 mills per quart ; the total cost for handling wholesale bottled milk is somewhat more than 2 cents and 1 mill per quart, while the handling of wholesale milk in cans is more than 1 cent and 8 mills per quart. The total costs for all classes of milk and for all three groups of dealers shown in the previous tabulations have been assembled together in one table for the purpose of showing the total amount /of milk handled, bottles washed, cans washed, apparatus washed, milk pasteurized, cooled and bottled, the number of cans filled, the amount of milk delivered at retail and at wholesale, the amount of milk received from the railroads, 114 MILK SURVEY OF THE CITY OF ROCHESTER etc., for the entire city. In short, all operations of all dealers have been assembled together and treated as if the city were conducting the milk business under a single head. Also all of the employees at present en- gaged in the business have been put together and all of the hours expended by them in their labor. The cost of each operation and the wages paid to the employees per hour and the total costs for the city also appear in this table. These figures are all assembled in Table No. 50. TABLE No. 50 CITY TOTALS FOR UNIT OF LABOR INVOLVED IN EACH OPERATION OPERATION VI •4-> N ii h & Number of employees. Number of man hours. 1_ 1 C rt s i_ » SI 3* Alilk receiving 82,075 quarts 88,784 bottles 3,879 cans 82,075 quarts 44,160 " 33,266 " 83,503 bottles 638 cans 57,305 quarts 11,386 qts. bottled 1 8,888 qts. in cans J 54,072 quarts 69,630 " 45,802 " 55,194 " 26,129 " 15,000 " 56,687 82,075 20,236 17,187 12,836 23,836 173 215 156 182 37 118 224 17 304 179 93 110 59 44 23 2 72 186 8 21 8 i 8 113.9 333.0 125.0 130.5 79.7 64.3 286.9 20.8 1544.5 224.5 138.8 195.9 60.8 93.9 29.8 16.0! 297.01 415.2 73.01 69.51 48.3 721 267 31 629 554 517 291 31 37 90 390 355 753 588 877 938 191 198 277 247 266 nini .0006114 .0014366 .0122944 .0006796 .0009022 .0007903 .0013512 .0129781 .0124349 .0050035 .0011344 .0011653 .0007607 .0007629 .0005190 .0002780 .0020426 .0022215 .0024402 .0014476 .0019048 .0048934 stration $.441 .383 .382 .427 .500 .409 .393 .398 .461 .452 .442 .414 .498 .448 .455 .261 .390 .439 .676 .358 .506 438 ? 50.18 127.55 47.69 55.78 39.84 26.29 112.83 8.28 712.58 101.44 61.34 81.14 30.26 42.11 13.56 4.17 115.79 182.33 49.38 24.88 24.45 116.64 Bottle washing Can washing Apparatus washing .... Pasteurizing & Cooling. Cooling Bottling and capping. . . Can filling Retail delivery Wholesale delivery .... Driving R. R. to plant. . Stable Garage Engine room Refrigerator Plant protection Office force Collectors Superintendence Miscellaneous Canvassers Administration Salaries Total 4361.3 ept adi $2029.51 Average rate exc In Table No. 50, in column No. 5, appears the cost per quart of milk received, the cost per bottle for bottles washed, the cost per can for cans washed, etc., throughout the entire list, each unit cost representing the cost of performing the operation for each of the items included in such operation. In column No. 7 appears the entire costs of the labor performed in Rochester for one day, showing that the daily payroll for all of the MILK SURVEY OF THE CITY OF ROCHESTER 115 people employed in the milk business amounts to $2,029.51. In this table, for example, also appears the cost of bottle washing under present condi- tions, which is $127.55; the cost of washing milk cans, $47.69; the cost of pasteurizing, $39.84; the cost of bottling and capping, $112.83; the cost of delivering milk at retail, $712.58, for one day. This is the cost of labor only, the other cost items appearing in later tabulations. It has often been alleged that the cost of performing the work of milk distribution is smaller for the small dealer than it is for the large dealer, and therefore that it is an advantage to any city to have its milk distributed by small dealers rather than by large dealers because it is more economical. In this survey it has been believed that the city would expect to re- ceive information on this particular point and, for this reason, the figures for the cost of doing business for dealers handling 500 quarts or less, for dealers handling 501 to 1,000 quarts, and for dealers handling from 1,000 upwards, have been separately tabulated for the entire operations per- • formed by these dealers so far as their labor is concerned ; for example, : dealers handling under 500 quarts furnish to the City of Rochester a total of 23,006 quarts of milk daily, while dealers handling from 501 to 1,000 quarts handle a total of 15,786 quarts daily. The balance of the milk supply, amounting to 38,283 quarts, is handled by dealers whose business is in excess of 1,000 quarts a day. For these three groups of dealers the figures have been tabulated in I a new form by using the number of quarts of milk received by each group as a divisor. The cost of performing each of the labor operations by each of these groups of dealers has been divided by the number of quarts of milk received by each group. In this way the unit cost per quart for performing each operation has been based on the number of quarts handled by each group. These figures are shown in Table No. 51. 116 MILK SURVEY OF THE CITY OF ROCHESTER TABLE NO. 51 UNIT COST OF LABOR DETERMINED ON BASIS OF QUARTS OF MILK RECEIVED ON ONE DAY OPERATION. •d '£% o"- G> ^ to ^* "gi E>™ *d #"fe o<£ §t/i ^*0- 3S§ i— ILO S~ c/r •g? 3-o M 3 » |3 rt <*3 o °^ •d "o I £ "o" VO t^. I d 3 O IH be £ c/i O u •d «H'*> a| «i CJ +J •s| p^ ft I U (U a .*-» C/5 6 kl as !! ~| y A 3 O U bo 1 "{ft 6 Jj S.| fs O ^-i VH •ti rt S s P ^ 11 ^ rt :-&6 o a ^ o IS T3 n > > O ^ o ,_ Company. in ts, for hester c centrali itralized :ompanies cooling only 3StS . , $24,137.45 2,723.40 zed sy syste stem m $21,414.05 (*Cooling charge where no pasteurizing is done.) If we apply these figures to the volume of milk mentioned at the Rochester rate of .50 per man hour, the present cost for companies both pasteurizing and cooling amounts to $14,541.60 per year, and for the companies cooling only $9,595.85 per year, or a total of $24,137.45 per year for the quantity of milk reported. Under a centralized system milk can be pasteurized by large sized machinery. The manufacturing com- panies many of them build machines capable of pasteurizing 12,000 Ibs. of milk per hour, which is at the rate of more than 5,500 quarts per hour. It will be noted in the table that one large company handling 64,800 quarts daily pasteurizes at the rate of 6,480 quarts per hour. Assuming under a centralized system that Rochester could pasteurize milk with ap- paratus which would handle 5,500 quarts per hour the cost would be .000091 per quart, or $2,723.40 per year. In presenting these figures it is necessary to bear in mind that in the tabulation above only 47,373 quarts MILK SURVEY OF THE CITY OF ROCHESTER 123 were pasteurized out of a total of 82,075 quarts received by the City of Rochester at the time these figures were obtained. This is 57% of the entire Rochester supply, therefore the costs for pasteurizing milk are costs representing the pasteurization of only 57%, and would be much larger annually if all of the milk of Rochester were pasteurized by the present system. In presenting figures for the centralized system we are assuming that the entire Rochester supply of 82,075 quarts is pasteurized by modern apparatus. The saving per quart under the methods used in the centralized sys- tem as compared with the present Rochester methods of pasteurizing is .000750. The annual saving by the adoption of the centralized method over the present costs for milk which is both pasteurized and cooled and for the milk which is cooled only is $21,404.05. If a pasteurizing ordi- nance were put in force in Rochester without any effort to centralize the business, and the same pasteurizing costs which exist at present were ap- plied to the entire supply the total cost for pasteurizing under present conditions by the present methods would be $25,192.00 yearly. BOTTLING AND CAPPING The figures presented ' for bottling and capping include all of the Rochester milk companies which are bottling milk, both in quart bottles and in pint bottles. The total number of bottles which are filled daily, both quarts and pints, is 83,503. For this work there are employed in Rochester 224 persons for a period of 286.9 hours, who bottle and cap bottles at the rate of 291 per hour at a cost of .001351 per bottle, or $41,182.95 yearly. A comparison of these figures with the figures ob- tained from other companies is shown in Table No. 57. TABLE NO. 57 BOTTLING AND CAPPING Number of Company. o 5 "c !-c 3 O 11 H £ |l « £ oj 1 . 15,229 13,540 4,650 90,000 7,690 8,320 83,503 46,034 >sts 13 10 4 21 6 4 224 6 75 53 12 192 24 12.5 286.9 56.5 203 255.4 387.5 375 320.4 665.6 291 814.7 .001430 .001184 .000701 .000799 .001089 .000585 .001351 .000438 .001351 .000561 .000790 Yearly Cost $41,182.95 17,111.55 2 3 .... 4 .. 5 ... 6 . . 7-R Av 8 Present Rochester cc Rochester Costs unde Savings under cer r centralized s itralized systen vstem n $24,071.40 124 MILK SURVEY OF THE CITY OF ROCHESTER It will be noted in the column entitled "Bottles per Man Hour," in Table No. 57, that the number of bottles filled and capped in Rochester is considerably lower than the number for 5 of the milk companies in the list. By the use of a proper type of machinery and proper arrangement for bringing bottles to the machine and taking them away, the work can be done most rapidly and efficiently. By such methods it will be noted that one company fills and caps bottles at the rate of 814.7 per man hour and another at the rate of 665.6 per man hour. If we assume that a fair estimate for Rochester would be 700 bottles per man hour, the cost of capping and bottling would be .000561 per bottle, or $17,111.55 per year. This would mean a saving on the cost of each bottle of .000790, and a yearly saving of $24,071.40. CAN FILLING The figures obtained from the companies given in Table No. 58 on can filling are incomplete. Complete figures were secured from only 4 companies in addition to the average for the City of Rochester. The total number of cans filled in the City of Rochester each day is 638. In this work there are 17 men employed for a total period of 20.8 hours at the rate of 31 cans per man hour, and at a cost of .012978 per can, and a yearly cost of $3,022.20. TABLE NO. 58 CAN FILLING Number of Company. lH t/5 31 £" ll 2% <3e i_ ts 1 1 1 2 17 1 2 4 5 2 20.8 3 43 46 31 40 .005725 .007505 .012978 .010578 .012978 .008844 Yearly Cost $3,022.20 2,059.61 2 . 3 . 4 5 7-R, Av 8 Present Rochester cos Rochester costs under Savings under cen centralized sy tralized systen stem i .004134 $ 962.59 If we assume that cans can be filled at the rate of 45 per man hour, and use the Rochester wage scale of .398, under a centralized system the cost of filling 1 can would be .008844, which gives an annual cost of $2,059.61. This shows a saving in the filling of 1 can of .004134, and an annual saving of $962.59. MILK SURVEY OF THE CITY OF ROCHESTER 125 DRIVING RETAIL ROUTES AND WHOLESALE ROUTES Much difficulty is always encountered in drawing up a statement of the cost of milk delivery, for the reason that some milk companies con- duct a business almost wholly composed of retail milk, others a business in which both retail and wholesale trade are factors, and others a busi- ness which is practicaly limited to the wholesale trade. In the matter of delivery wagons, some companies divide their business so that retail milk is carried entirely by retail wagons, while wholesale milk is carried by wholesale wagons. Other companies, on the other hand, carry all classes of milk on the same wagons and conduct what is called a mixed delivery system. In order to arrive at a fair estimate of the cost of milk delivery, therefore, it is necessary to take into consideration these differ- ent methods of delivery. Some of the companies which are delivering milk at the lowest cost use the mixed delivery system, carrying all classes of milk on the same wagons. In the City of Rochester the milk com- panies represent all of the types of delivery above mentioned. A comparison of the cost of delivery in Rochester with the cost of delivery by the other companies in the list is shown in Table No. 59. 126 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 59 DRIVING RETAIL AND WHOLESALE ROUTES Number of Company. «-M 0 £^£ 1-1 H3 rt5 a*2! O Number of Drivers. d rt . it y g| £ C u «J ^ 0 jl C/5 ttfl "E rt s% a ^ .J u O VH c/5 SA «i ^j Company. •2'§ ft ^ 3 j2 c §S a rt ^_, 3 a fc H a L) 1 20,417 4 .000127 2 16056 4 000234 3 4346 4 000157 4 65800 55 44 000275 5 6 7-R Av 8 43070 2 18 .000199 Yearly Cost Present Rochester cost .00000 .00000 Cost under centralized system .000081 $2,080.00 Additional expense .000081 $2.080.00 The cost of the operation of laboratories is difficult to standardize, for the reason that the amount of work depends greatly on local condi- tions, and how much experimental work the management of the milk plant desires to carry out. In the plants listed in Table No. 63 it can be seen that the first three plants employ four laboratory workers each, while plant No. 8 employs only two such workers. Under a centralized system it is clear that only one laboratory would be necessary. A fair basis for the testing of the milk supply of Rochester under such a centralized sys- tem would be two laboratory workers, working a total of 16 man hours at a cost of .41' per hour. This would be a cost of .000081 per quart, or $2,080.00. OFFICE FORCE Only a small number of the milk companies in the City of Rochester make any attempt to keep books. The cost accountants employed by the Survey found only four companies who kept books by methods sufficiently accurate to justify the use of the figures as a basis for the costs reported by them. The bookkeepers employed by these companies and the small amount of bookkeeping done by a number of the other companies in- cluded a total volume of business of 56,687 quarts of milk. The total number of persons employed in keeping such accounts for Rochester is 72, working for a period of 297 man hours, at the rate of 191 quarts of milk per man hour, and at a cost of .002042 per quart. Included in these 72 persons are about 47 who work on an average of about two hours per day on their milk accounts. The bookkeepers employed by all of the com- panies, including Rochester, and the work performed is shown in Table No. 64. 134 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 64 OFFICE FORCE c/5 jj Number of * *OJ !-, O e oS . S.W !-> ^J Company. 5 " J3 g1 ^_ 3 "tl rt ft rt rtpS y SK go 0 » . H a 0 1 20,417 31 144.6 141 .002944 2 16056 70 120 133 .003307 3 4346 § 41 106 003508 4 65800 si 370 177 002998 5 9,000 s 42.5 212 .002399 6 8,000 6 440 182 .001750 7-R Av 56687 7? 297.0 191 .002043 8 43070 Q 81.0 532 .000713 Yearly Cost Present Rochester costs 002043 $42,263.35 Rochester costs under centralized system .... .000780 23,366.75 Savings under centralized system .001263 $18,896.60 The present cost of the bookkeeping which is being done is $42,263.35 per year. An inspection of the work performed by the companies in Table No. 64 shows a most remarkable difference between the cost of bookkeeping in company No. 8, and the cost in all of the other com- panies. This low cost might be attributed to a difference in wage scales if one overlooked the number of bookkeepers employed, but an inspection of the table shows that plant No. 8 employs only nine bookkeepers to keep accounts for 43,070 quarts of milk, which is at the rate of 532 quarts per man hour. No other company in the list employs so small a number of bookkeepers for the volume of milk. It might also be as- sumed that the books of company No. 8 were not properly kept. This, however, is answered by an inspection of the costs in all other depart- ments of the business. A review of the tabulations will show that in the majority of the labor costs plant No. 8 has lower costs than the other companies, and this is convincing evidence that the business in plant No. 8 is well managed. The real reason for the low cost of bookkeeping in plant No. 8 is in the system of accounting which has been adopted. There is such a thing as too much bookkeeping and too much detail in the accounts which are kept of the milk business. What is required is to keep only such accounts as will furnish to the management the information necessary for administering the business in the most efficient manner. This seems to have been accomplished to a remarkable degree in the business of com- pany No. 8, consequently with such results in mind it seems proper to assume as a basis for a centralized system such a system of bookkeeping MILK SURVEY OF THE CITY OF ROCHESTER 135 as this. It is therefore assumed that under a centralized system for Roch- eter the number of employees in an accounting system of the same kind would work at the rate of 500 quarts per man hour. Applying the Roch- ester wage scale for bookkeepers of .390 per hour would make the cost per quart for the entire milk supply of Rochester for bookkeeping .000780 per quart, and the yearly cost $23,36675. This would result in a saving of .001263 per quart/and $18,896.60 per year. In considering these savings it must be remembered that under the centralized system the costs suggested would provide an adequate book- keeping system for the entire milk supply of Rochester of 82,075 quarts, while the present costs for the city are applied to only 56,687 quarts. The extension of the bookkeeping system to the entire supply, therefore, in- cludes an expense which is not provided for by the present system. On the other hand, the economies under the centralized system are so great that they would show the savings indicated. The actual number of book- keepers necessary under the centralized system would be 24, working seven hours daily. COLLECTORS One of the most important items of expense in milk distribution consists in the labor of collecting money from milk consumers. The ma- jority of milk consumers pay cash for milk at least once a week. This cash is collected in most instances by the milk drivers. Among the larger companies, however, a few special collectors are employed for this pur- pose. In securing information from the Rochester companies regarding the cost of distribution, the number of hours spent by the milk drivers and by these special collectors and the cost were estimated independently of the cost of driving retail and wholesale routes. For the 82,075 quarts of milk received daily, the number of men engaged in collecting money from the reports obtained was 186. It seems probable, however, that all of the men engaged in driving both retail and wholesale routes at times take part in the work of milk collection. The men reported as doing this work were engaged for a period of 415.2 man hours daily which is at the rate of 128 quarts per man hour at a cost per quart of .002221 per quart. In assuming the yearly cost Sun- days are omitted as it is assumed that the collectors do not make a business of collection on Sundays. On this basis the yearly cost is $57,069.29. Under a centralized system the reduction in the cost of milk collections would depend chiefly on the reduction in the number of milk wagons and milk drivers. In the table on driving retail and wholesale routes it is estimated that the milk supply of Rochester could be delivered with 139 wagons as against the 278 wagons now used. A comparison of the cost of milk collection and of the work performed in this department of the 136 MILK SURVEY OF THE CITY OF ROCHESTER business by the companies whose figures have been used in previous tables appears in Table No. 65. TABLE No. 65 i COLLECTORS 9 <+* v a IN Number of Company. cn'o k"§, S 2 £> C i^t! ( t: £ *G £ — " o t! a3 2 rt r£ C pq K 03^ I^O a » H 0 U 1 2 3 4,346 2 6 724 .000657 4 5 9000 3 255 353 001210 6 8000 2 170 471 000892 7-R Av 82075 186 4152 198 002221 8 Yearly Cost Present Rochester costs .002221 $57,069.29 Rochester costs under centralized system .001110 28,534.64 Savings under centralized svstem .001110 $28,534.64 From Table No. 65 it is to be noted that four of the companies em- ploy no collectors. In these cases the entire work of milk collection is performed by the milk drivers themselves, the expense of collecting being included in the drivers' wages. Company No. 8, which is the most effi- cient company in the list, employs no milk collectors, the wage scale for milk drivers being no higher than the wage scale for milk drivers in Rochester. In order to stimulate milk collection, part of the wages of the drivers consists of premiums paid on the amount of money collected. Under such conditions it would not be necessary under a centralized system to add any expense above the drivers' wage scale for milk collec- tion. In order, however, to make the estimate of cost under a centralized system a liberal one, it will be assumed that all of the drivers of the 139 delivery wagons under the centralized system receive additional com- pensation above their wages in premiums for milk collection, and since the number of wagons is exactly one-half the present number employed by the City of Rochester, a fair basis for the cost of milk collection would be one-half of the present cost. This would amount to .001110 per quart, and an annual cost of $28,534.64. This would result in a saving of .001110 per quart, and an annual saving of $28,534.64 on this item. SUPERINTENDENCE As a special item of milk delivery expense there has been separated from the other items the cost of superintendence. This refers to the em- MILK SURVEY OF THE CITY OF ROCHESTER 137 ployment of men who are not members of the administrative staff, but who are in charge of such operations as pasteurizing and other plant operations, livery stable, wagon house, and other departments of the business. Their salaries do not come under the head of ordinary labor or of administrative salaries. In the City of Rochester the majority of milk dealers do not employ such men; only four of the larger milk com- panies have them on their pay roll. The number of quarts of milk repre- sented by these companies is 20,236 quarts. The number of man hours which these superintendents work is 73 daily, representing 277 quarts per man hour, at a cost of .002440 per quart. The yearly cost is $18,023.70. Under a centralized system the number of superintendents necessary would be reduced because the departments over which they exercised their authority would be centralized. It is estimated that not more than four superinendents would be required. Work of superintendents has been tabulated in Table No. 66. TABLE No. 66 SUPERINTENDENCE Number of Company. Milk Received. Number of Employees. C/5 J_ 3 o H d ClJ 2 i-,' J-i 3 » *n 03 US •sS Yearly cost. ~d || '> o3 a3 3 cr -tJ «H gt Yearly savings. Milk receiving .000647 .001644 .000615 .000719 .000513 .000339 .001454 .000107 .010493 .000791 .001436 .000717 .000054 .001492 .002016 .000636 000321 $ 18,315.70 46,555.75 17,406.85 20,359.70 14,541.60 9,595.85 41,182.95 3,022.20 297,117.30 22,389.10 40,661.00 20,319.55 1,522.45 42,263.35 57,069.29 18,023.70 9,081.20 8,924.25 42,573.60 .000467 .000626 .000299 .000226 .000096 .000604 .000073 .006572 .000308 .000918 .000590 .000054 .000073 .000825 .001008 .000368 .000249 .000706 $ 13,211.20 17,730.76 8,450.76 6,395.90 2,723.40 17,111.55 2,059.61 186,078.53 8,723.44 26,003.00 16,714.08 1,522.45 2,080.00 23,366.75 28,534.65 10,428.05 7,056.18 20,000.00 .000180 .001018 .000316 .000493 .000756 .000850 .000034 .003921 .000483 .000518 .000127 *.000073 .000667 .001008 .000268 .000072 .000315 .000797 $ 5,104.50 28,824.99 8,956.09 13,963.80 21,414.05 24,071.40 962.59 111,038.77 13,665.66 14,658.00 3,605.47 *2,080.00 18,896.60 28,534.64 7,595.65 2,025.02 8,924.25 22,573.60 Bottle washing Can washing Apparatus washing Pasteurizing and cooling. Cooling Bottling and capping . . . Can filling Driving, retail and whole- sale routes Hauling from railroad to plant Stable and garage Engine room and refrig- eration plant Plant protection Experimental Office force Collectors ... . Superintendence . . ^Miscellaneous Canvassers .000315 .001503 Officers Totals .025812 $730,925.39 .014062 $398,190.31 .011750 $332,735.08 Net. *Increase expense. In Table No. 71 have been assembled together all of the operations performed by the milk dealers of the City of Rochester under the pres- ent system, the cost per quart and the cost per year. Compared with this in the same table is shown the estimated cost of each of these operations per quart under the centralized system and the yearly cost. In the last two columns are stated the total estimated savings result- ing from the establishment of the centralized system. For labor alone it MILK SURVEY OF THE CITY OF ROCHESTER 143 is to be noted that the saving would amount to .00175 per quart, and an annual saving of $332,735.08 for labor. This would result from the sub- stitution of a centralized system working under such business conditions as already exist in the milk industry. This Survey presents this figure not as a matter of guess work; but as a figure which has been arrived at from close study, and comparison with the conditions actually existing in the milk industry to-day, which can be imitated by the milk industry of the City of Rochester. EXPENSES EXCLUSIVE OF LABOR In attempting to secure a statement of the plant or factory charges, it was found impossible to secure exact figures through the work of the inspectors since these charges, for the main part, consisted of supplies, articles purchased, such fixed charges as taxes, interest, insurance, etc. Among the principal articles purchased were included glass* bottles, milk cans, horse feed, coal, etc. For these items the main dependence was placed on bookkeepers or cost accountants. An expert firm of cost accountants was employed who secured figures from four of the large milk dealers of the city whose books were kept in a manner which made these figures sufficiently reliable to justify a report. These figures have been assembled together and averaged in order to secure a statement of factory .charges which would fairly repre^ sent the average of all of these four large companies. They have been divided into figures for the retail business and for the wholesale business. These averages are presented in Table No. 72. 144 MILK SURVEY OF THE CITY OF ROCHESTER TABLE NO. 72 UNIT PLANT CHARGES BASED ON COSTS OF BIG DEALERS Retail unit. Wholesale unit. FACTORY. Factory supplies 000756 .000215 Light and power 001630 .000824 Coal 000663 .000276 Water .000109 .000045 DELIVERY. Hay and grain 004012 .000828 Blacksmithing 000929 .000194 Repairs to rolling stock 001065 .000222 Barn expense .000144 .000034 Ice 000152 .000127 Bottles 002720 .000739 Cans 000187 .000947 Caps .• 000459 ..000100 Cases 000446 .000118 OFFICE. Advertising 000558 Printing 000485 .000026 Carfares 000166 Postage .000149 .000161 Telephone 000227 .000135 FIXED CHARGES. Taxes 000854 .000673 Insurance 000661 .000419 Interest 000735 .000242 Allowances 001525 .000165 Stationery 000419 .000254 Depreciation on — Buildings 000823 .000547 Rolling stock 001113 .000622 Machinery and equipment 001252 .001219 Furniture and fixtures 000082 .000041 Repairs to buildings 001027 .000451 Accounts charged off 000896 .000106 Sundries 001424 .001020 Rent .000141 Total . .025668 .012267 Item .012267 represents the unit cost of plant charges for wholesale bottled milk. Substracting .000957 which represents bottle, caps and case charges, gives the figure .011310 which is the unit plant cost for wholesale can milk. All of the plants of the small dealers were visited by the inspectors and many attempts made to secure a statement of the expenditures by small dealers for supplies and other expenses independent of labor costs. It was found impossible, however, to secure from these men figures of sufficient accuracy to justify an independent report. Consequently, the MILK SURVEY OF THE CITY OF ROCHESTER 145 figures for factory costs, excepting labor, for the entire city, have been based on the figures obtained from the four large dealers above men- tioned. Using these figures as a basis for estimate and applying them to the milk supply furnished to the city for the three classes of milk — retail bottled milk, wholesale bottled milk, and wholesale canned milk, gives the results indicated in Table No. 73. TABLE NO. 73 ONE DAY'S TOTAL FACTORY COSTS EXCEPTING LABOR, FOR ALL MILK FIGURED ON BASIS OF BIG DEALERS' COSTS. Retail — Bottle Unit Plant Cost Per Quarts. Quart Sold. 57305 X 025668 — $1 470 90 Wholesale— Bottle 11386 X 012267 = 13967 Wholesale — Can 8888 X .011310 = 10052 $1,711.09 From Table No. 73 it appears that the daily costs of supplies and other expenses for retail bottled milk is $1,470.90; for wholesale bottled milk, $139.67, and for wholesale canned milk, $100.52, making a total daily cost for the city of $1,711.09. POSSIBLE REDUCTIONS IN FACTORY CHARGES (EXCEPT LABOR) Just how much the factory expenses would be reduced by central- izing the business is not easy to estimate. One must form a mental pic- ture of the present conditions in Rochester by taking into account the fact that 136 milk dealers are engaged in buying all of the supplies for their business. The majority of these purchase supplies at retail and, consequently, at prices much higher than the prices which are paid by the very large dealers who buy at wholesale. In addition to this it must be remembered that where there are 136 factories there is an enormous duplication so that the number of articles required is much greater ; for example, where milk is bottled each factory has its own bottle filling machine. As stated in a previous part of the report, there are 25 pasteurizing machines operated in Rochester. All of the equipment necessary for the washing of bottles and cans, for the care of horses, is duplicated in these factories. Consequently in purchas- ing supplies these purchases are constantly duplicated. As one method of measuring the reduction in these factories three items of expense have been selected. The first of these is heat, light and power. It is obvious that there would be great economy if all of the coal 146 MILK SURVEY OF THE CITY OF ROCHESTER consumed in the 136 factories were centralized in one or two large fac- tories. The reduction in steam boilers and in power plants would be so great that one would expect a great reduction in coal consumption. As a means of forming an estimate on this branch of the business, the present costs of light, heat and power for all of the companies in the list we have been using is presented in Table No. 74. TABLE NO. 74 HEAT, LIGHT AND POWER Number of Company. i_I rt ^ 8> •e * rt »- 3 % a* o u, O rt 0 > £ «H p i » j_< 03 O 3 0 gi I* 1 . 6,419,255 5,539,240 1,265,820 2,678,005 1,754,212 28,316,335 12,364,485 nt system . . $30,326 18,829 4,831 4,523 5,046 52,244 23,412 .004724 .003399 .003816 .001689 .002876 .001845 .001893 .001845 .001500 Yearly Cost $52,244 42,474 2 3 4 5 6 7-R Av 8 Rochester cost under prese Rochester cost under cent Savings under centralized ralized syste svstem m .000345 $ 9,770 In Table No. 74 it appears that Rochester is now spending $52,244 yearly for light, heat and power, at the rate of .001845 per quart. One company in the list is doing this same thing at an expense of .001689 per quart. There is no doubt that, as a result of centralization, the reduction would be considerably greater than the difference shown between these two figures. In order, however, to be conservative, we have assumed that under a centralized system, by abolishing the numerous plants now existing in Rochester, and burning coal only in one or more centralized plants, this could be done at the rate of .001500 per quart. This would amount to $42,474 yearly, and result in a saving of .000345 per quart and $9,770.00 per year. HORSE FEED AND BEDDING The cost of horse feed and bedding was obtained from six of the companies in the list and for the entire City of Rochester. The figures show that there are 228 horses working on the milk wagons delivering milk in the City of Rochester, and that the feed costs $59,711.00 per year, which is at the rate of $261.89 per horse. In Table No. 59, on the subject of milk wagons and milk delivery, it is shown that Rochester milk could be delivered with a total of 139 MILK SURVEY OF THE CITY OF ROCHESTER 147 delivery .wagons. This included automobiles. If the same proportion of automobiles now used, which is 7, should be used under a centralized sys- tem, there would be about 38 needed under such system. This would mean 101 vehicles drawn by horses and 38 by motor power. Under these circumstances, it is estimated that not more than 140 horses would be required to supply horse power for the one-horse and two-horse vehicles used under a centralized system. Assuming that the cost of horse feed per year for these horses would be the same as the present cost, which is $261.89, the total yearly cost for feeding 140 horses would be $36,664.60. This would result in an annual saving of $23,046.40, on the item of horse feed. These figures are presented in Table No. 75. ' TABLE NO. 75 HORSE FEED AND BEDDING > ljH "> •T3 pi. -2* ^ P t?5 S 6rt t/5 " cS 1 82 $24 180 72 $294 89 2 63 22 205 20 36246 3 25 9 954 52 39818 4 5 26 7,622.09 293.16 6 29 6,688.22 230.62 7_R AV 228 59,711.00 261.89 8 125 31.125.93 249.00 Yearly Cost $59,711.00 ^Rochester cost under centralized system 36,664.60 .^avincrs under centralized svstem . $23,046.40 *( Assuming 140 horses.) LOSS ON BOTTLES One of the most important items of expense and one which has re- ceived more popular attention perhaps than any other item in the milk business is the loss on bottles. It is commonly believed by the average citizen that the loss on milk bottles ranges somewhere between two and five cents per quart. The actual cost of milk bottles at the present time is $8.00 per gross for quarts and $6.75 per gross for pints. This means a cost per quart of .0555 per quart bottle, or a little more than Sy2 cents. It is undoubtedly true that many bottles are broken and lost, and unnecessarily so, and that a considerable saving in expense would result 148 MILK SURVEY OF THE CITY OF ROCHESTER if these losses were reduced. The actual condition of affairs in the City of Rochester has been determined by summarizing the amount of money paid yearly for new glass bottles by the Rochester companies which keep such accounts and applying this same item of expense at the same rate to those Rochester companies which do not keep accounts. This method of estimate it is believed is entirely fair for the reason that the smaller milk dealers who do not keep accounts undoubtedly sustain greater losses on milk bottles and are put to a greater expense in the purchase of milk bottles at retail than are the larger milk dealers. The total number of milk bottles handled by the City of Rochester each day, including quarts, pints and half pints, is 83,503, and annually this amounts to 30,478,595. The total number of bottles purchased by all of the dealers in Rochester annually is 1,332,432. At this rate each glass bottle in Rochester makes 22.8 trips before it is broken or lost. The ex- pense of replacing these broken and lost bottles must 'be paid for by each quart of milk sold, and amounts to .002720 per quart under present con- ditions. This is an annual expense on bottles for the entire city of* $68,196. Similar figures have been obtained from all of the other companies in the list and are presented in Table No. 76. TABLE NO. 76 LOSS ON BOTTLES _,_, -d -d o t/j 1 "o p^ o3r^ ^'g^ rfl *" £ « H U ° >H « 1 15229 5 558 585 455 760 122 004196 rt»o-3 OOC 2 13,540 4 942,100 442684 11 1 004584 22 657 3 4,650 1,697250 106560 159 003213 5454 4 72,000 5 7,690 2806850 100 454 348 002645 5142 6 8,320 3 036 800 82252 369 002805 4210 7-R Av 83,503 30 478 595 1 332 432 228 002720 68 1% 8 . .. 46034 16802410 391 219 429 002024 20023 Present Rochester costs . 002720 68196 Rochester costs under centralized system .001377 38997 ' Savings under centralized system .001343 $29,199 From Table No. 76 it appears that the number of trips made by the glass bottles of Rochester before they are broken or lost is greater than the number of trips made by bottles from companies Nos. 1, 2 and 3. On the other hand, company No. 8 handles its business in a manner which MILK SURVEY OF THE CITY OF ROCHESTER 149 results in its bottles making nearly 43 trips before they are broken or lost. Figures obtained from company No. 8 for the month of August showed that during that month the glass bottles of that company made 51 trips before they were lost or broken. Under a centralized system, where there is no competition and where all of the bottles are of the same type and stamped with the same name, and collected and delivered by the same wagons, the loss on bottles would be reduced to its lowest terms. If milk consumers co-operated to reduce these losses, the life of the milk bottle would be greatly increased. Forty trips would seem to be a fair estimate for the bottles of the City of Rochester under a centralized system. This would mean an ex- pense per quart of milk sold of only .001377, and an annual cost for glass bottles of $38,997. The savings under the centralized system would be therefore .001343 per quart, and $29,199 per year. Taking the average reduction in cost on savings resulting from the centralized system on the items of heat, light and power, horse feed and bedding, and loss on bottles, the figures show a percentage reduction of 34.4 per cent. For purposes of comparison the same items of factory expense were obtained from milk companies in the cities of Ottawa, Canada, and Balti- more, Md. Company No. 8, located in Ottawa, Can., finds that the cost of factory supplies is, in many instances, higher even than the figure of the United States. It is lower, however, on horse feed. It seems fair to assume, therefore, instead of a reduction of 50 per cent., a reduction of about 34 per cent., as indicated by the three largest factory cost items above men- tioned, should be made. Applying this percentage to the entire factory costs of Rochester under the present system would result in a cost under a centralized system of $409,572, which is at the rate of .014464 per quart. This would result in the saving, under the centralized system, in factory expenses, of $214,975.85, which is at the rate of .007592 per quart, as shown in Table No. 77. 150 MILK SURVEY OF THE CITY OF ROCHESTER TABLE No. 77 TOTAL FACTORY EXPENSES (EXCEPT LABOR) 1/5 o ;_ • "0 ^ >> u rt a Company A s C OJ '"3 b^ ««« Number Q _o > i >^ _ , c/> g* £2 a o -MC/} V) $1 •|o £ j>> s ^ -M — i CO rf 0 ^ .j bfltn .S rt io ^ u 4-J CJ •S^ ^ T3 . C3 c« \£ H H Horse feed and bedding. . Bottles f .002109 .002408 .001845 .015694 $59,711 68,196 52,244 444,397 $624,543 .001295 .001377 .001500 .010292 $36,655 38,997 42,474 291,436 .000814 .001031 .000345 .005402 $23,046 29,199 9,770 152,961 Heat, light and power All other expenses (except labor) Totals .022056 .014464 $409,5721 .007592 $214,976 MILK SURVEY OF THE CITY OF ROCHESTER 151 FREIGHT The milk supply of the City of Rochester comes into the city through four channels: 24,985 by motor truck. 3,018 by wagon. 48,163 by railroad. 5,909 by trolley. The milk which comes by truck, wagon and railroad is paid for by cwt. The milk which comes by trolley is paid for by the quart. The entire cost of freight per day and per year is shown in Table No. 79. TABLE No. 79 COST OF TRANSPORTING MILK FOR THE CITY OF ROCHESTER • Quarts Cwt. Rate Total Daily Cost Motor truck 24985 531 5 30c cwt $1 59 45 Wagon 3018 642 30c cwt 1926 Railroad 48 163 1 025 24c cwt 24600 Trolley 5909 l/r of 29 55 Cost per year . . 82,075 165 805 $454.26 Unit cost per quart .005534 Estimated saving in freight under a centralized system at 10% is $16,580.50. In Table No. 79 it appears that the yearly cost of freight is $165,805 ; the cost per quart is an average of a little over $y2 cents. Under the present system there is no way whereby the cost of this freight can be reduced. Under a centralized system, on the other hand, the milk would be shipped from the country to the city to one distributor instead of to 136 distributors as under the present system. The shipping of the milk from the country to one city distributor would make possible a rearrangement of the channels of shipment in several respects, that is, the milk which comes by motor truck would be centralized so that each motor truck would carry as nearly as possible a full load, and the total number of motor trucks would be reduced. The milk which comes by wagon in the same way would be centralized so as to provide full wagon loads. The milk which comes by railroad, instead of being subdivided into separate lots for the different shippers and different distributors, would all belong to the same lot and therefore could be packed in car- loads, some of which might constitute entire carload shipments and secure the freight reduction which the railroads grant to full cars. The milk which is shipped by trolley in the same manner, instead of being shipped 152 MILK SURVEY OF THE CITY OF ROCHESTER in separate lots, would all be shipped to the same distributor and land at the same receiving station. These changes, all of them, would result in economies in the labor connected with the loading and unloading of the milk, and would, without question, reduce the work of the railroads and trolleys and the work of the trucks and wagons. It is difficult to estimate accurately just what this reduction would be. The experience of large milk companies in other cities in the reduc- tion of freight rates would indicate a possible reduction of 10 per cent, in the cost of freight in large lots over the cost of handling milk in small lots. It is believed that the reduction would be greater than this but, for the purposes of this survey, an allowance of only 10 per cent, in the cost of freight will be made. This amounts to a total of $16,580.50. LOSS ON SURPLUS One of the items which is commonly overlooked by persons not familiar with the milk industry is the loss on surplus milk. Contracts between milk producers as a rule provide that the distributor shall accept all of the milk which the producers furnish. There is no constant rela- tionship between the supply and the demand. At certain times of the year, especially in the spring months when cows are put out on pasture, there is as a rule a production of milk far in excess of the market de- mands. In some years, during the months of May and June, this surplus exceeds the market demands by as much as 80 per cent. As a rule, during the months of July and August, when the hot weather dries up the grass and flies are numerous, there is a shrinkage in the production of milk by dairy cows, which results in an actual deficiency, so that the quantity of milk produced by the regular milk producers supplying the milk dealers of Rochester and other cities is less than the market demands. This deficiency is made up, if possible by bringing into the city market milk from outside source of supply, such as butter factories, cheese factories, condensed milk factories, etc. The successful milk dealer is compelled to arrange his business so that such deficiencies, if possible, will not occur. This means that, for most of the months of the year, the dealer is compelled to carry a surplus of milk in excess of market demands which ranges annually from 5 to 20 per cent, of his total business. This surplus milk cannot be marketed at the flat price of fluid milk, but must be made up into milk products such as condensed milk, butter, cheese, powdered milk, buttermilk, cream, etc. The market price for these milk products as a rule brings in to the dealer less money than he would receive if the surplus milk could be sold at full fluid milk prices. Consequently, in every milk company there is an annual loss of money due to the manufacture and sale of surplus milk. In most large cities this loss is estimated at about y2 cent per quart. MILK SURVEY OF THE CITY OF ROCHESTER 153 The figures obtained from the City of Rochester from the four large milk companies whose accounts show losses on surplus have been applied to the entire milk supply of the city. It is believed that such an estimate of the annual Rochester loss on surplus is a fair one since the smaller milk dealers as a rule sustain greater losses on surplus milk than do the large milk dealers, for the reason that the small dealer is not equipped with facilities for manufacturing his surplus milk to advantage. Conse- quently, any estimate based on the loss on surplus of the large dealers is more conservative than it is believed the actual losses of the small dealers really are. On this basis figures for Rochester, together with the figures taken from the other milk companies in the list, are presented in Table No. 80. TABLE No. 80 LOSS ON SURPLUS c o _V*T3' c« Number of rs « c/) O Company. ^•53 I-J 0."^ >>^ ^^ >> e/> 3 *£ ^ Srt *a go s^ Q Q J > 1 20417 $ 79 18 004433 $ 28899 2 . 16056 10983 007237 40091 3 4346 2976 008581 10862 4 65800 29500 00500 107 675 5 6 8000 1947 004051 7106 7-R, Av . 82075 32870 004237 119976 8 43070 11798 00310 43064 Present Rochester costs 004237 $119976 Rochester costs under centralized system 003500 99118 Savings under centralized system .000737 $20,858 From Table No. 80 it appears that the loss per quart on the entire milk supply of Rochester is .004237, and the annual loss $119,976. Some of the milk companies in the list sustain greater losses than others. Com- pany No. 4 is rated at .005 per quart on a basis of estimates made by the Food Administrator of Philadelphia, whose allowance for all milk dealers in that city for losses on surplus is ^ cent per quart. Company No. 8 is possessed of unusual facilities for the manufacture and marketing of surplus milk, not only because its business is centralized, but because it is connected with a large ice cream business. It is believed that under a centralized system in Rochester similar advantages could be obtained and therefore that it would be justifiable to assume that the loss on surplus in Rocheser could be greatly reduced. With such a plan in 154 MILK SURVEY OF THE CITY OF ROCHESTER mind, the figure .003500 is suggested as a fair basis for the loss on sur- plus for Rochester under a centralized system. This would mean an an- nual loss of $99,118 under a centralized system, a saving of .000737 per quart, and an annual saving of $20,858. Having now shown in detail the possible savings in labor, factory expenses, loss on surplus, and freight, these items can be assembled to- gether to show the total possible savings under a centralized system. This summary appears in Table. No. 81. TABLE No. 81 FINAL SUMMARY OF ESTIMATED SAVINGS UNDER CENTRALIZED SYSTEM UNDER PRESENT SYSTEM ESTIMATED UNDER CENTRALIZED SYSTEM ESTIMATED SAVINGS u. • 4_) 3 'SO JL ?J i 1/5 'SO ^ 03 05 O H u V a |I j& 05 c« Freight or trucking Labor (Table No. 71) . . Factory, other than labor (Table No. 77) .... Loss on Surplus . . . .0058551 .025812 .022056 .004237 $165,805 730,925 624,548 119,976 $1,641,254 .005270 .014062 .014464 .003500 $149,225 398,190 409,572 99,118. .000585 .011750 .007592 .000737 $16,580 332,735 214,976 20,858 Totals .057960 .037296 $1,056,105! .020664 $585,149 From Table No. 81 it appears that the total cost of selling milk in the City of Rochester under the present system is .0579 per quart, amount- ing to a yearly cost of $1,641,254, while under the centralized system the cost would be .0372 per quart, or $1,056,105 per year. Under the cen- tralized system the savings therefore would be .02 per quart, and $585,149 per year. MILK SALES The sale of milk by the City of* Rochester at the prices charged by each class of dealers has been assembled in the form of a tabulation with the object of showing the prices charged by dealers handling under 500 quarts, dealers handling from 501 to 1,000 quarts, and from 1,000 quarts and upwards. It is commonly believed that the small dealers charge less money for milk than the large dealers. The daily sales of milk for each of these groups of dealers and for each class of milk, including retail bottled milk, wholesale bottled milk, and wholesale canned milk, have been put together and presented in Table No. 82. MILK SURVEY OF THE CITY OF ROCHESTER 155 S3 I P w r-J^-CO | 8S2 "I0!"! O*o .— c r>» rf^-i o r< uS 8 CN) COO _ IsS 156 MILK SURVEY OF THE CITY OF ROCHESTER In Table No. 82 it appears that the small dealer selling under 501 quarts charged an average price for retail bottled milk at the time these figures were obtained (in the month of August) of .13348, while dealers selling from 501 to 1,000 quarts charged a trifle less. Dealers selling from 1,000 quarts upwards charged the most. For wholesale milk in bottles the small dealers charged slightly less than the other dealers, while for wholesale canned milk they charged as much as one cent less than the dealers in the next class, and almost two cents less than the large dealers. In examining these figures, however, it must be borne in mind that the large dealers are pasteurizing milk and that this adds to their cost. It is also true that the large dealers make greater expenditures for the washing and sterilization, refrigeration and other items of expense connected with the care of milk than is done by the small dealers. In the last part of this tabulation will be noted the total selling prices for the entire City of Rochester average and the total value of the milk sold each day, which amounts to $10,001.45. This means that the milk sold by the City of Rochester at these prices would bring in an income annually of $3,650,529.25. XI SUMMARY OF MONEY INVESTED IN THE BUSINESS OF MILK DISTRIBUTION BY ROCHESTER MILK DEALERS In order to arrive at a fair statement of. the money invested in the milk business of Rochester, the dealers have been divided into groups, according to the size of their business. The dealers operating pasteurizing machines have been grouped separately for the reason that their in- vestment includes a much larger item for machinery, because the pas- teurizers, which form the most important partof their equipment, are not included in the equipment of the other dealers. Every one of the 25 dealers operating pasteurizers was visited by the Inspectors of the Survey, and through conference with them, an estimate was made of the value of their land, buildings, machinery and delivery equipment. In addition to this, nine of the smaller dealers, handling raw milk, were visited, and similar estimates formed of the value of the land, buildings, machinery and delivery equipment owned by them. The figures obtained from the dealers visited in this way were used as a basis for estimating the value of the land, buildings, machinery and equipment owned by the remainder of the small milk dealers. Values were pro-rated in accordance with the number of quarts handled by each dealer. The figures obtained in this way are presented in Table No. 83. TABLE NO. 83 SUMMARY OF INVESTMENT OF ROCHESTER -MILK DEALERS PASTEUR- IZERS. WITHOUT PASTEURIZERS. Grand Total. Investment reported. INVESTMENT NOT REPORTED. c/> "E tn $$ ^ O O c/i u ri 53 C7 6^ *rt £ Number of Dairies 25 47,373 $ 69,568 237,646 196,336 104,535 $608,085 9 3,338 $ 4,250 8,100 4,390 7,500 $24,240 21,071 $ 31,164 40,815 30,490 34,009 $136,478 19 10,243 $ 10,376 25,710 11,278 25,485 $72,849 ill 34,702 $ 45,790 74,625 46,158 66,994 $233,567 136 82,075 $115,358 312,271 242,494 171,529 $841,652 Milk received (quarts) .... Land Machinery Totals In Table No. 83 the column of figures for the 25 dealers operating pasteurizers are actual statements of costs, made by the dealers selves, with one exception. 158 MILK SURVEY OF THE CITY OF ROCHESTER The figures in the second column for the nine raw milk dealers re- porting investments, are also actual statements made by the dealers them- selves. The figures in the remaining columns, viz., Dealers handling 400 quarts or less, 19 dealers handling over 400 quarts, are estimates based on the previous figures, as above stated. The grand total shows an investment in land of $115,358 " buildings 312,271 " machinery 242,494 and in delivery equipment are included horses and wagons . . . 171,529 or a total investment of deliveries for the entire city $841,652 The total quantity of milk received by these dealers at the time the figures were obtained was 82,075 quarts daily. Similar figures obtained in other cities have in a number of instances shown that the amount of money invested by the milk dealer is approximately $10.00 per quart of milk handled. The investment of Rochester milk dealers therefore is not far from the money invested in the milk business in some of the other cities where such figures have been obtained. The milk dealers grouped according to the quantity of milk received by them, are shown in Table No. 84. TABLE NO. 84 ROCHESTER MILK DEALERS— GROUPED ACCORDING TO MILK RECEIVED t/3 •si o P- * g W co « 3 < d CAP) •S3jqi2;s MO;} s;unoD •papadsui SUJJBJ jo jo •saop9dsui jo •S3SU3DTI -sip jo •SUUJBJ jo • O\ O t^ LO t~x trj • t^ -^- g t^ (\i oo r-i (M ^ CO Tt- CO oo t*5 •OgOS I^OO^CM CM t— i ' ^ ON CO TJ- oo •(NON C^ 't^t— i o\ t^» vo CM • CM CM CM CM CM CM CM CM CM • CM CO CO CO CO CO CO P 162 MILK SURVEY OF THE CITY OF ROCHESTER In Table No. 86 the 'statement is made that in the year 1917 the Department was equipped with seven milk inspectors. In the personnel of the Health Bureau in the report for 1917 are given the names of the chief milk inspectors, one meat and assistant milk inspector, and five assistant sanitary milk inspectors. These are in addition to the names of the biologist and chemist. Whether this means all (^ccupied the same positions at the same time or replaced each other doeS:!not appear in the report. Dr. George W. Goler, Health Officer, in his testimony at a public hearing held in the City Hall, on July 16th, made the following statement regarding the control of the milk supply by the Rochester Health De- partment : "In the early days, in the shipped milk as well as in the made milk, we were, of coiurse, drinking vast quantities of manure in our milk. "As far as we could, we inspected the dairies of the men who were making the milk. We went into the country and inspected their dairies. We could not do very much because we never had more than two and a half men to protect our milk supply. "A few years later we had difficulty because, very unfortunately, a man was called to the police court bench, who was a law unto himself, who dismissed :milk cases just as rapidly as we brought them before him, and who seemed to think he was the defender of all the bad milk men in town. He was re-elected for eight years and we were practically unable to get a conviction, no matter what the man's offense might be against the milk ordinances of the City of Rochester. "There was a notorious individual who was a typhoid carrier and who had it in hjis family, who was responsible for twelve cases of typhoid, three or four of which died. We were unable, through the police at that time, to either keep that man from peddling milk in Rochester or to get him arrested for selling milk in Rochester, and as the result of that we had thirteen cases and three or four deaths. "We had still another example of just that sort of thing. A woman who had typhoid was selling milk in an establishment where she had someone sick with typhoid and we could not prevent at that time that person from coming into Rochester with milk. That would not be so now or that would not have been so a few years past. It was so then. "Then there was a period along about 1905 when we attempted to show that there was a very considerable number of cattle furnishing milk to Rochester which were infected by tuberculosis. That is, I do not mean by that that we were interested in the cattle infected by tuberculosis in a mild degree. That was not our interest. We were interested in some of the cattle that were infected with tuberculosis which we know as open MILK SURVEY OF THE CITY OF ROCHESTER 163 infections; that is, infection of the intestinal tract or respiratory tract, so that organisms from the cow, either from the intestinal end — which is the. more frequent line of communication between the milk and home — or the respiratory end, might get into the milk ; so we instituted our new guinea pig test. We had numbers of animals and we took milk from the. different herds in the country and injected these animals. When we found any of the animals afflicted with tuberculosis, we had a physical examina- tion made of the herd. That physical examination together with the ani- mal test, was a sufficient test to determine a very considerable number of herds of cattle that were profoundly tuberculous. Twenty per cent, of all the cattle we tested were found to be tuberculous. We were getting on swimmingly. Volunteers were coming forward to have their cows tested. Then we came to a standstill because of, the large milk companies and the objection the large milk companies made was, in substance, that we were interfering with their business and it did not pay to do this work. They had no interest in children. They were simply interested in business. We had to stop. I think we had several hundred cattle killed that were profoundly tuberculous. We had certificates coming in to us from veterinary surgeons certifying to the fact that a herd of forty or fifty or seventy or eighty cows is absolutely free from tuberculosis, and we tested out the herd and found twenty of them were profoundly tuber- culous. Wre very clearly understand that you cannot have absolutely clean milk. You do not get absolutely clean milk when you get certified milk. You do not get absolutely disease free meat unless you want to pay five dollars a pound for it, and you cannot afford to pay that. You want relatively clean milk and you want relatively disease free meat. "In reference to this work, there is still another factor I want to speak of. That is the attitude of the milk commission. The milk com- mission, as I have said before, has inter f erred with our work more than all the milk men." Q. What milk commission? A. I mean the Monroe County Milk Commission, the certified milk commission. When we organized the Milk Commission, we assumed that a large part of the work of the Milk Commission was going to be such as would raise the character of all the milk in Rochester instead of trying to improve a few two or three hundred quarts of milk from what it was in the earlier days for the benefit of people who can afford to pay for it. What did they do ? They improved the quality of a few hundred quarts of milk and then turned the work over to the large companies, and through the large companies they gave to the people of Rochester the idea that being the product of the large companies, it was equivalent to certified milk, and it wasn't. .! 164 MILK SURVEY OF THE CITY OF ROCHESTER Q. In regard to the matter of tubercular inspections ; I understood you to say that you were stopped by the milk dealers ? A. Yes, sir. Q. Tell us how they stopped it ? A. I would rather tell you from the record and submit the letters to you. Q. You have the letters, a complete record of that blocking? A. Yes, sir. Q. That is available so you can bring it in on short notice ? A. I don't know how short. I can bring it in to you to-morrow. Q. We had before us the matter of the big dealers compelling you to discontinue the tubercular test. I understood you to testify that you could show how they did it by your records. Are you ready to proceed with that ? Give us the history of it. A. I could not do that because I don't know it. In giving you what I have, I am dealing with one company; there were two companies, but one company was just as bad as the other. Q. Well, you discontinued the tubercular test because you were compelled to? A. Yes. Q. You know what compelled you to? A. I am ready to tell you. Q. That is what we want to know. A. There is no question about the power of the Health Officer. That has been passed upon by more than one corporation counsel. In the latter part of the year 19(39, down to the fore part of 1910, we began to test out all the herds; tried to test all the herds supplying Rochester with milk by what was known as the physiological test, using guinea pigs. We had then — 1909 — we had up to the time we discontinued our tests, tested the supply of 41 retailers and offered by 28 producers. Seven hundred and fifty-seven cattle were tested, and 671 actually were tested through the efforts of the Chief Milk Inspector. Two hundred because the owners .asked for the test. And out of the total number tested, 210 cattle were killed. Thus, out of approximately 8,000 cattle supplying Rochester with milk, more than 20 per cent, of them were tested as the result of this work, and as a result of the test, approximately 12 per cent, re-acted and were killed. At that time Mr. Owen was Commissioner of Public Safety and under date of April 9, 1910, I made a report to him. I said in that letter : "We have prosecuted our preliminary work against tuberculosis in milch cattle for a little more than a year. Of the 8,000 cows from 700 farms we have had tested more than 1,000 cows, and had 124 killed. In one herd where the evidence MILK SURVEY OF THE CITY OF ROCHESTER 165 was obtained through the guinea pig test, 52 re-acted out of 100, and 26 of them were so badly affected by tuberculosis that they had to be tanked for phosphate. "One of the excellent outcomes of this work has been the voluntary requests for the testing of herds by men whom the milk inspector has visited. The applica- tions for tests have not all been voluntary, but have been due largely to the presentation of facts to the owners by the milk inspector. In one of the herds recently picked up by Mr. Marshall, the whole herd of 21 cows re-acted. "The above are some of the facts that I will present to the people of the City of Lawrence, Mass., on Monday evening next." The herd referred to having 21 cows which re-acted to the test I referred to this morning. That herd we had a certificate from a veter- inarian stating that the cattle were all in good condition. In the early part of the same year, after we had tested a number of cattle from the producers and reported the fact to the producers as well as to the dis- tributers, we came to the Big Elm Dairy Co., and we tested a sample of milk from them in the usual way by injecting the sample into guinea pigs, using two pigs, the animals both re-acting. I served upon them a notice requiring them to have their producers submit their cattle to the State tubercular test under the auspices of the State who were then mak- ing tubercular tests. They objected to my decision and appealed to the Commissioner of Public Safety. I said at that time in my letter, quoted under date of July 8th, 1910, to the Big Elm Dairy Co. : "Gentlemen : — Those of your producers who do not comply with my direction in the matter of a State tubercular test will have their milk excluded from Rochester after January — , 1910." "They made an appeal : (Reading from letter on page 470 of letter book, dated June 28, 1910, from Health Officer Goler to the Commissioner of Public Safety.) "Sir:— "At 9:30 this morning I received a telephonic notice from Mr. Hughes that the hearing in the matter of the Big Elm Dairy Company had been postponed from the date set by you, Wednesday, to Friday, and perhaps next week. "Shortly after the Big Elm Dairy Company was found selling milk from tuberculous cattle I exhibited to you and to His Honor the Mayor, the animal which was infected from its milk. "My object in writing this letter is that you may know that I believe the Big Elm Dairy Company is striving to gain time, and that in doing so it may still further infect the children of Rochester with tuberculosis, and that it is further seeking to gain time so that its producers with tuberculous cattle may swap cattle or get rid of them, and thus help to bring any State test that may be made into ill repute. "I object to the delay in the hearing in this matter because it will work further harm in raising the question among men whose cattle are found tuberculous by the tests we are making; as to whether they should not resort to the same 166 MILK SURVEY OF THE CITY OF ROCHESTER methods of trickery that this company always resorts to in cases where the question of the better conservation of the milk supply arises in this city. "We have proven that in similar tests of 1,665 of the 8,000 cattle furnishing Rochester with milk, 19% re-acted and were slaughtered. Some were so badly infected with tuberculosis that they had to be tanked for phosphate and we have proven the Big Elm Dairy Company to be selling milk from some cattle fit for fertilizer, but not fit to furnish milk for our babies. "Respectfully submitted, "G. W. GOLER, "Health Officer." (Letter of direction to Dr. Goler from Commissioner Charles H. Owen, dated July 8th, 1910.) "G. W. Goler, M. D., Health Officer. "Dear Sir :— "Relative to the appeal of the Big Elm Dairy Company of this city from your order of June 20th, upon which decision was rendered by me this day, would request that your bureau procure samples of milk from every producer shipping their product to this city whose herds have not been subjected to the tuberculin test, or application for test filed with the State Commission, and that the samples of these various producers as soon as practicable, be subjected to the guinea pig test for the detection of tuberculosis. "After making these tests, any of the herds which, you believe to be infected with tuberculosis, I desire that you report the same to this office and I will im- mediately notify the State Commission of Agriculture of your findings, and request that they make a tuberculin test without waiting for the owners of the herds to formally sign an application for such inspection. "I am of the opinion that eventually all milk shipped into this city should be tuberculin tested, and this Department is at the present time considering the issuing of an order making it obligatory upon the part of all milk producers shipping milk into this city to have their herds tuberculin tested. I realize that such an under- taking will require some months' time, and, after further consultation, this Depart- ment will probably set some future date, after which all milk will be excluded from the City of Rochester which has not been tuberculin tested. "Very truly yours, "CHARLES S. OWEN, "Commissioner of Public Safety." Nearly ten years ago and no order has been issued. (Letter of Dr. Goler from Commissioner Owen, dated July 8th, 1910.) "In the matter of the appeal of the Big Elm Dairy Company, Rochester, N. Y., from the following order of the Health Officer: June 20, 1910. Big Elm Dairy Company, 'Gentlemen : — Those of your producers who do not comply with my direction in the matter of a State tuberculin test, will have their milk excluded from Rochester after Monday, June 27, 1910. '(Signed.) G. W. GOLER, 'Health Officer.' MILK SURVEY OF THE CITY OF ROCHESTER 167 "As provided by the Charter of the City of Rochester, a public hearing was held in the office of the Commissioner of Public Safety on the above appeal, Friday, July 1, 1910. The Big Elm Dairy Company appeared by its President, Mr. A. E. Wood and by counsel. "By the testimony of Inspector Brownell of the Health Bureau, it was shown that on or about April 7th, 1910, acting under instructions of the Health Officer, he procured a sample of cream and a sample of milk from the separator operated by the Big Elm Dairy Company at their plant on Exchange Street in this city. After passing these samples through the laboratory of the Health Bureau, they •were subjected to the guinea pig test used by the Health Bureau for detecting tuberculosis in cattle. The result of the test was positive and was the basis for the order made by the Health Officer, which is now appealed from. "By the testimony of two witnesses under oath, it was shown that the milk being run through the Big Elm Dairy Company's separator at the time these samples were taken by Inspector Brownell, was from one of the producers shipping milk to this company and not from several producers. In view of the evidence of these two witnesses, and as a matter of justice to all concerned, I am of the opinion that for the present at least, the order of the Health Officer should be modified so as to apply only to the milk of the producer from which the samples in question were taken. It is therefore, 'ORDERED, That the order of the Health Officer, dated June 20, 1910, and directed to the Big Elm Dairy Company, be, and hereby is modified, so as to call for the exclusion from the city of the milk and cream produced by J. F. White & Company, until such time as the J. F. White & Company herd of cattle is sub- jected to the State tuberculin test. '(Signed.) CHARLES S. OWEN, 'Commissioner of Public Safety.' "To G. W. Goler, M. D, Health Officer." . ' , (Reading of letter from G. W. Goler, Health Officer, dated July 11, 1910, to Charles S. Owen, Commissioner of Public Works.) "Hon. Charles S. Owen, Commissioner of Public Works, Rochester, N. Y. "Sir:— "Beginning a year ago last January the Health Bureau has been working to prove by the guinea pig test, the general provisions with which you are familiar, the number of retailers selling milk in Rochester from cattle whose milk is capable of producing marked naked eye lesions of tuberculosis in those animals. "Rochester receives daily 80,000 quarts of milk from 8,000 cows from 700 farms. This of course does not include the cream received. With our limited force of milk inspectors, we have not been able to determine just how much cream is received, for it comes from very many small farms and is received at creameries in the neighborhood of Newark, Horseheads, Norwich, Conesus, and some other places. The milk and cream received into the city are disposed of by 133 dealers, all of whom are, and have been for some time, selling milk without licenses. "In beginning our work in an attempt to further protect child life in Rochester, and considering the limited facilities, we took samples of milk in original packages, or in sterile pine bottles from the retailers, because we believed that the retailer, whether getting milk from one or many producers, should be held responsible for the milk he sold, and that if he be found with milk in his possession capable of producing marked naked eye lesions of tuberculosis, the burden of proof should 168 MILK SURVEY OF THE CITY OF ROCHESTER then be upon him to show that his entire supply was free from tuberculosis by the State tuberculin test of his herds, applied by the Veterinary Division of the State Department of Agriculture. "For something more than a year past we have worked upon this plan. Mr. Marshall, our Milk Inspector, has been most diligent; our chemist, Mr. Milligan, has pursued this work with enthusiasm; and now at the end of the period which will expire at the close of the current month, we shall have finished the test of the retailers upon this plan. We planned this work to end with the beginning of summer, because the work of the summer milk stations then begins. Vacations also begin, and the summer activities of the Bureau are sufficient to occupy all of. its energies. "The plan which you request us to carry out in your letter would involve the test of 500 producers. Estimating for deaths that might occur as a result of acute infections, at least 1,200 guinea pigs would be required in lots of 106 each. New pens and new stock pens would be required. Our centrifugal machine would have to be repaired and a new centrifugal machine provided. New glasses for the centrifugal machine would have to be made, and these in the winter we have never been able to get in less than a month or six weeks. "The glass factories are shut down now, and an order could not be placed for them before the 15th of September. We have on hand just one set of glasses. If we should adopt the plan contained in your letter and should work twice as fast, assuming that supplies and apparatus were in readiness, it would take us more than a year to finish the work. "The test known as the guinea pig test, with which we are working, is always positive when it is positive; but when it is negative, it does not prove that the cattle tested are free from tuberculosis. In our work thus far, not counting the samples of retailers that we already have under way, and that will be finished by the end of the month, we have tested in round number 1,700, more than 20% of the 8,000 cattle supplying Rochester with milk. More than 200 of these cattle have been killed, i. e., more than 12% of the cattle found infected through our work. ,"Mr. Marshall, the Milk Inspector, has persuaded 41 of the 58 owners of the herds tested by the guinea pig test, to have their herds tested by the State Veterin- arian, by representing to them the economic value of this test. He has gone to these men and carefully presented the case to them, filled out a form such as the enclosed, and forwarded the form to Albany. "All that I have said in this letter of course deals with milk only, and not with cream. The people in Rochester are buying tuberculous cream from cattle kept in the filthiest conditions, from creameries filthy in the extreme, and the large companies who sell cream to the people in this vicinity are getting cream from such places. So far as I have been able to determine, I have not been able to stop this practice. "If, after my explanation contained in this letter, you still believe that the work should be carried on as requested in your letter of July 8th, will you not direct by order that the work be so carried on. "Respectfully submitted, (Signed.) G. W. GOLER, "Health Officer." That is the way they stopped us. Q. Well, Dr. Goler, I understand that as a result of this hearing before Commissioner Owen, it was determined by him that the milk you MILK SURVEY OF THE CITY OF ROCHESTER 169 tested and found re-acted on the guinea pigs, was from the dairy of the J. R. White Company. A. That was one of the dairy companies. The J. R. White Com- pany were dealers in high grade cattle, and their cattle were sold. They were very careful about their cattle. All their calves which were very precious to them and very valuable, were being treated by killed cultures. All tuberculins by themselves. No tuberculins near immunes in order to protect them against tuberculins. But they are willing to take tuber- culins and sell the milk to Rochester, and that was the only recourse we had then. Another lot of cattle came along that were tubercular, and we could not do anything after that. Q. You found that milk that was complained of here in the Big Elm Dairy Company came from the J. R. White Company? A. Yes. Q. And you requested them to make the test ? A. We had already. Q. They were excluded until the test was made? A. Such a test had already been made. There was a controversy on that side. Q. What was the controversy? A. Owen was my superior. I never had any trouble with my su- perior— until now I am ready to resign. Q. I do not understand yet how you were prevented from making this test. A. The Big Elm Company stopped us in this way. They had five hundred producers, just as the City Dairy Company, the rottenest com- pany that sold milk to Rochester. They were filthy beyond measure— the Brighton Place Dairy Company taking milk from vast numbers of tuberculous cattle. We wanted to go in and test the herds, instead of making tests from finished producers of one of these big companies who massed the milk, and produce the burden of proof on the large companies. Q. You had no authority to do that? A. No, sir. Q. You had authority to test the herds ? A. We did of all the small dealers, testing them first, realizing that just as soon as we got up against the big companies we would run against a stone wall, as we did. Q. What was there to prevent your testing the herds of the Big Elm Company? A. Simply because we were at the end of our rope. At this time we had two and a half milk inspectors to do this work. We could not in the nature of things. We had to plan our work so that when we had 170 MILK SURVEY OF THE CITY OF ROCHESTER a let down at one time, we could do a little more work of one kind than another, and to test, as I said in my letter, it would then have taken us a year to do that sort of work, and we could not begin until after the summer season was over, because the glass factories were shut down, and we had worn out our centrifugal machines in getting out these samples of milk. Q. That is the last that has been done in regard to the tubercular test? A. Yes, sir. Q. There is not any reason why you should not have gone out the next year, when you got ypur machinery ? A. No, sir, there was not. Q. And so since 1910 there has not been any test made to indicate whether or not tubercular milk was being furnished to the people of the City of Rochester? A. No, sir. Q. Do you believe it is being furnished? A. I am sure of it. Q. What is the reason that your Department does not go on with it? A. I have not the help. Q. How much help should you have to do it then, what help to go on with this work? A. We should have at the present time two or three additional milk inspectors. We are -not able to do it with the milk inspectors now as it should be done; an additional chemist, because the work is alto- gether too much for one chemist; and one bacteriologist. We have had work pile up in a very considerable way, and work that was quite as im- portant as this, and this is only a sample of the kind of piece work we attempted to do to see whether the people of Rochester were interested. But they were not interested; and the Milk Commission was not inter- ested. The Milk Commission was not interested in getting ordinary milk tested to see whether the ordinary babies would have milk from tuber- culin tested cows. They were only interested in testing certified milk. Q. With two or three inspectors and an additional chemist you could go ahead testing all the cows from which milk comes ? A. Very well, yes, sir, and put the burden of proof on the big com- panies to show that the herds from which they get milk are free from tuberculins. From five to seven per cent, of all tuberculosis was — I don't know what the figures are now — due to bovine tuberculosis. Q. Is the guinea pig test still in vogue ? A. I don't know. Q. Did you lose all interest in the matter ? A. I did lose all interest. I have lost absolutely all interest in the MILK SURVEY OF THE CITY OF ROCHESTER 171 whole milk question, save for doing this kind of work, because the people of Rochester have not been interested in the kind of milk which they fed to their children and fed to themselves — any more than the interest in the kind of water they get. Q. You don't want to testify that your interest in providing a wholesome milk supply for the City of Rochester depends upon whether or not they know the danger they run? A. No. Q. What I would like to know, and what the Council would like to know, is why you have not proceeded to obtain this extra help that is. needed to go ahead and test these cattle? A. I have asked for the help, but I have n't had it. jQ. Can you tell us when you asked for this extra help? Is it a matter of record? A. It is. Q. When was it?« A. Several times. Q. You will look it up and furnish it to us ? A. Be glad to. Q. Now, milk is dipped in the City of Rochester to some extent? A. Yes. Q. That means taking the can that the producer delivered it in around and dipping out of it into the consumer's pail? A. Yes. In response to that question of course it means grocer's dipped milk. Q. That is, grocers have it in cans and dip it out ? A. In the outskirts, yes. Q. Sometimes the original package in which it was poured from the milk pail? A. I don't know about that. Q. What is the objection to that? A. The objection to that is that milk may be put into dirty con- tainers; that is, the milk may be contaminated by the surroundings in which the milk is kept. There are some dangers of that kind to which milk in grocery stores may be exposed. Q. There is no ordinance or statute prohibiting that in the City of Rochester ? A. No, sir. Q. Do you think there should be ? A. I do. When considering that point, I have advocated for some time that wherever milk was sold, it should be in the original package: That is, if Jones wanted to buy milk from a large milk dealer, he should 172 MILK SURVEY OF THE CITY OF ROCHESTER buy and sell in original packages. The answer to that was that these people could buy dipped milk that was good for food for adults and not dangerous — you can buy cheaper than when sold in original packages. Q. Now, Doctor, there have been occasions when your attention has been forcibly called to the contraction of typhoid fever from milk in the city? A. Yes, sir. Q. What were some of those occasions, tell us about them? A. Let us read it from the record. As far as I know there has been .no typhoid in Rochester traceable to milk in a number of years. Q. How many? A. Well, one's memory — I hesitate about that question in giving you a number; more than five I would say. How many more than five I can't tell you. Q. On the subject of sanitation and the delivery to the people of wholesale milk, what do you say ought to be done in the City of Rochester that is not — to secure people a supply of wholesome milk at the lowest possible cost? A. In the first place, we will have to have some department inspec- tion and laboratory service. That is the first thing. Q. Tell us what they would do. A. Simply supplement the work of the inspectorial staff that is being done. We are not able under present conditions to make the num- ber or kind of inspections with sufficient frequency that a reasonably safe milk supply requires. Q. How often do you think the dealers' supply ought to be in- spected ? A. That depends upon the dealers. Some of the dealers would need very little inspection, some of them ought to be inspected every month; some ought not to be in business at all. Q. Why are they in business? A. Because there is no legal way of putting them out of business, and no sufficient force of inspectors to determine which ought not to be in the business. Q. What we need then is a sufficient force so as to find which of these dealers ought not to be in the business ; then we need some new ma- chinery whereby we can put them out of business? A. It is rather an extension of the present machinery. As far as I am concerned, I have no fault to find with the present machinery. The present machinery is doing all that it possibly can do. It cannot stand very much more stress. Q. Added inspection and laboratory equipment and help? MILK SURVEY OF THE CITY OF ROCHESTER 173 A. Yes, sir. Q. And what else ? A. I think that covers it. Q. What have you to suggest, Doctor, in regard to the price of milk? How can we get cheaper milk? A. We can get cheaper milk by simplifying delivery. Q. In what respect? A. Simply by zones. I don't mean absolutely by zoning, but by dividing the town up into districts, so a man does not have to cross and re-cross — one man does not have to re-cross another man's district. The letter carrier, Mr. Van Duser of the letter carriers' organization, struck the note last night. And a good many years ago there appeared in one of the Fabian publications in England, the statement of a man who was looking out of the window and said he saw 14 grocery wagons, seven or eight butcher wagons, and Lord knows how many other wagons — and one postman. Q. Do you advocate some system of compelling the dealers? A. I do not know. I would not' compel them. Q. How would you get at it ? A. I don't know. I think we need information ; I want to know. Q. Doctor, going back to the question of the tubercular test, assum- ing that this appeal has been made, and this order was made by Commis- sioner Owen at the time, what was there other than shortage of help in your department, to prevent these tests from going on ? A. I have gone over that already, Mr. Bechtold, and told Mr. Pierce, and told the Committee in answer to Mr. Pierce's questions, that there was not anything to interfere except shortage of help. It was impossible to get help, and because of the work and our material being worn out, and it would take us a year to go on with the work. Q. Why did you make the statement or say that the large companies prevented you from continuing this? A. They did. Q. Your reply is inconsistent, Doctor. It seems to me this shortage of help — the companies did not have anything to do with that? A. They did not have anything to do with that, but when they ob- jected to that order, and made me go to New York by way of San Francisco and China, that is the way they interfere with our doing the work. Q. Have you reference to this one appeal? A. This one appeal, because we did nothing after the appeal. Q. Don't you think that that was fair ? To cut off a contaminated source of supply for any company — don't you think that is fair ? 174 MILK SURVEY OF THE CITY OF ROCHESTER A. Yes — to cut off one and let the other very large number remain. Q. Do you have any figures as to the portion of re-actors in the territory furnishing milk to Rochester? A. The figures I gave you a little while ago. O. How much ? A. Somewhere between fifteen and twenty per cent. Q. One herd went fifty per cent. ? , A. One herd was fifty per cent, tuberculous. Q. An average of twenty per cent.? A. I don't know what the average would be now. Perhaps less, because farmers are taking better care of their cattle; they are doing more things ; they are trying to eliminate the cow that is no longer good for much, that is not paying her board. And I think by that same token there are fewer tuberculous cattle in herds. Q. You would be in favor of the city taking over the milk business ? A. I am — taking over the distributing end. Q. Not the producing end? A. No. Q. Your opinion would be based upon what was disclosed as a result of a study of this kind, assuming that the study goes into the ques- tion of the distribution of milk? A. Yes. Q. You mean by that, that if the study of this situation disclosed that it was advisable to the city to go into the business, you would be in favor of it? A. Yes. Q. And if it did not, you would not? A. No. Q. What do you think about the milk supply of the City of Roch- ester ? What is your belief ? A. My belief, based on some considerable observation both in the past and at the present time, and upon reports from the nurses working in our welfare stations, and who have been familiar with the work in the welfare stations and in the densely populated districts, is that our chil- dren are not getting milk as they once were getting milk; not as they ought to get it. Now, what else they are lacking which they might get, nobody knows. As I said this morning, we are going to have examples of pot-bellied children, with skeleton legs and arms. Unless we can get better nutrition for our little children, we are certainly going to have a race deterioration of some kind in some degree in the very near future; and reasoning from biological grounds, the young, when it has been once deprived of its nutrition in early life, does not readily regain that which it has once lost. • MILK SURVEY OF THE CITY OF ROCHESTER 1?5 TESTIMONY OF MR. F. E. GANNETT MR. F. E. GANNETT, who appeared as a witness at a public hearing, held at the City Hall, Rochester, N. Y., on July 23, 1919, gave the follow- ing statement: Q. You have been in the newspaper business for some time, I believe? A. Yes, about twenty years. Q. During the past year, you paid special attention to the subject of milk in the City of Rochester and its production outside, etc.? A. Yes. Q. Will you tell us yi your own way what you have done about that and what you have ascertained and what your conclusions are that you found out ? r ; A. Well, my attention was first called to the milk situation in Roch- ester a year ago when I looked over the report of the Health Bureau of the city. That report was so astounding to me that I began to look into the question. The report for July, 19,18, for instance, showed that there were ten dealers selling milk here with a bacteria count of over five mil- lion; there were eighteen selling milk with over three million counts. There were forty-one with over a million counts. Of this whole number only nineteen were pasteurized. I had had the impression from living out of the city that Rochester milk supply was about the best in the country and I was quite amazed to find that they were not only not protected against impure milk, but that most of the milk had a very high bacteria count from those figures ap- parently. SANITARY CONDITION OF ROCHESTER MILK SUPPLY DAIRY FARM SANITATION The dairy farm inspectors who were employed by the Survey to visit dairy farms, did so with two purposes in view. In the first place they made studies of the cost of milk production j and in addition to this they made inspections of the dairy on each farm to determine the sanitary conditions. For the purpose of the sanitary inspection they used a printed report blank which was especially prepared for this work, and noted thereon a statement of the condition of the buildings and equipment and the manner in which all of the dairy operations were performed. One hundred and forty-one dairy farms located in each of the important dis- tricts from which Rochester milk is furnished, were inspected in this way, and report blanks from each farm returned to the office of the Sur- vey. From these blanks a summary was prepared, which shows the results of these sanitary inspections, as indicated in Table No. 87. 176 MILK SURVEY OF THE CITY OF ROCHESTER TABLE NO. 87 PUBLIC SAFETY COMMITTEE OF THE COMMON COUNCIL OF ROCHESTER, N. Y. MILK SURVEY CHARLES E. NORTH, M. D., DIRECTOR OF SURVEY. REPORT OF DAIRY FARM SANITATION Total number of farms inspected 141 Cows: Yes. No. Good. Bad. Physical examination of cows by veterinarian 134 4 Tuberculin tested by veterinarian 20 105 EMPLOYEES : Diseased 141 Cow FEED: Distillery waste used 31 110 Any unwholesome food 1 140 Cow STABLE: Construction . . . . 138 3 Sanitation . . . . 137 4 Cow YARD : Condition 127 10 WATER SUPPLY: Safe 138 2 PRIVIES : Safe 132 4 MILK HOUSE: Construction . . . , 140 Sanitation . . . . . . 140 MILKING : Udders clean 114 Hands clean 121 MILK PAILS: Small tops 131 6 Pail racks 135 2 Sanitation s . . . . 139 MILK CANS AND LIDS : Inverted on can racks . . . , 129 10 Sanitation . . . . 134 5 WASHING PAILS AND CANS: Performed at once 128 12 Brushes used 102 36 Alkali powder used 116 20 Is washing done mornings only 5 134 STRAINERS : Are strainers used 99 31 Are tin holders used 127 7 Condition . . . . 129 Strainer cloth (using one only) t 6 Strainer cloth (using two or more) 130 Condition .. .. 129 Strainer cloths washed A. M 136 Strainer cloths washed P. M 131 STIRRING RODS: Stirring rod of wood Stirring rod of metal 49 Sanitary 56 MILK SURVEY OF THE CITY OF ROCHESTER 177 STERILIZING : Steam supply 4 Hot water supply 87 * Hot water from kitchen stove 132 Stove and boiler at milk house 2 Strainer cloths boiled A. M 122 Strainer cloths boiled P. M 113 COOLING : Ice supply 52 79 Sufficient for entire season 47 8 Open cooler ; 64 20 Cooling tank 127 1 Cans submerged up to neck 125 Is dairy equipped with scrubbing brushes 97 27 Alkali washing powder 106 18 TEMPERATURE OF TANK WATER. TEMPERATURE OF MILK A. M. TEMPERATURE OF MILK P. M. 40— 44°F... No. 22 19 37 14 22 8 40 44°F.. No. 4 40 44° F No. 5 26 49 20 26 2 45 — 49° p , 45 — 49 °F 3 45—49° F 50_54°F 50_54°F 50 50_54°F 55_59°F. . , 55__59°F 31 55_59°F 60-64°F... 60_64°F 20 6Q_64°F 65—70° F. . . 65_7Q°F 7 65— 70°F HOURS OF MILKING MILK DELIVERED FOR SHIPMENT A.M. 4:30 No. 3 57 44 30 P.M. 2-00 No. 3 A.M. 6:30 No. P. M. 3 6:00 . 28 6:30 No. 1 1 3 'i 5-00 . 4-00 15 7:00 5-30 4-30 9 7-30 . 32 7:00 6-00 5-00 42 8-00 . 30 7:30 6-30 5-30 29 8-30 ... 7 8:00 7-00 3 6-00 27 9-00 .. . 9 8:30 3 9-00 6:30. 7-00 7 2 9.30 10 -00 5 11 -00 1 From Table No. 87 it is evident that the dairy cows were in ap- parently healthy condition, being periodically examined physically by a veterinarian in accordance with the State law. On only 20 farms out of the 141 were the cows tested for tuberculosis. This test was voluntary, as there is no State or City regulation requiring same. All farms reported employees free from disease. It is noteworthy that on 31 farms distillery waste was used for feeding cows. It is neces- sary to use this with extreme care and most cities now prohibit the use of such cow feed. Regarding the sanitary condition of the buildings and equipment, there was very little fault that could be found. The external appearance of these farms was uniformly good. This is due chiefly to the activity of the Health Bureau of the City of Rochester which has made a special 178 MILK SURVEY OF THE CITY OF ROCHESTER effort in the inspection of dairy farms and as a result of these inspections brought the majority of farms to a condition where they would give a good sanitary score. Under the heading of "Sterilizing," it is noteworthy that only four farms are supplied with steam boilers and that only two farms have a stove and hot water boiler in the milk house. One hundred and thirty- two farms report their source of hot water supply as the "Kitchen Stove." Unless the kitchen stove in a farm house has special arrangements for) furnishing hot water in excess of ordinary household needs, (such as a wash boiler or large kettle) it commonly happens that there is not suffi- cient hot water at all times to properly sterilize milk cans and milking pails. The sterilization of milk cans and milk pails is the most vital of the sanitary operations in the entire list and unsanitary milk is commonly due to neglect of such sterilization. COOLING Under the head of "Cooling" it is noteworthy that only 52 out of 141 farms were supplied with ice. The number is undoubtedly much smaller this year than in other years, due to the unusual shortage of ice last winter. In a climate such as the Rochester climate, where a large crop of ice can easily be obtained each year, there is no reason why every dairy farmer should not have an ice supply sufficient to cool his milk with ice during hot weather. The cooling of the milk as performed on these dairy farms is carried out chiefly by the use of well water pumped into tanks in which the milk cans were placed. The report shows that on 81 of the farms the tempera- ture of the tank water was from 50 to 70 degrees. These temperatures are too high to permit sufficient cooling of the milk or prevent the growth of bacteria. The temperature of the morning's milk was taken on 108 of these farms and ranged as shown in the tabulation, from 50 to 70 degrees, and the temperature of night's milk on 87 farms had the same range. On the greater number of these dairies, both -morning's and night's milk ranged between 50 and 60 degrees. This is as cool as it was possible to make the milk with such water as was available for cooling purposes. The hours of milking both morning and night were determined on most of the dairy farms, and hours at which milk was delivered to rail- way stations and trucks for shipment. The inquiries show that on 93 farms out of the 141, the milk was delivered in the morning for shipment by 8:00 A. M. In general, the sanitary condition of the dairy farms compares favor- ably with the sanitary condition of dairy farms supplying milk to other cities. .vlILK SURVEY OF THE CITY OF ROCHESTER 179 SANITARY CONDITIONS OF DEALERS' MILK PLANTS IN CITY OF ROCHESTER Four city milk inspectors were employed in the work of making sanitary inspections of the milk factories in the City of Rochester. They used a standard form of report blank, on which were noted the conditions of plants and their equipment, the methods used in the performance of all operations, milk handling, the temperatures of pasteurization and of cooling milk, and the efficiency of the processes of washing and steril- izing. In addition to this, other minor features of the conduct of the business were noted. One hundred and thirty-two milk delivery stations in the city were inspected in this manner, out of a total number of 136. Detailed reports of these inspections were delivered to the office of the Survey and by the statisticians summarized in the form of a tabulation as indicated in Table No. 88. TABLE NO. 88 REPORT ON MILK PLANTS-SANITARY OPERATIONS EQUIPMENT Yes. No. 1. BUILDING — Located among sanitary surroundings 116 16 2. FLOORS — Constructed of water-tight material 128 2 2a. Floor properly graded and drained 120 3. WALLS AND CEILINGS — Constructed of hard material Ill 17 3a. Smooth 105 16 3b. In good repair . Ill 14 4. DRAINAGE — Sufficient floor drains 128 2 4a. Disposal satisfactory 123 4b. Plumbing in good repair 122 5 5. LIGHT— Sufficient (at least 8% floor area) 1 16 11 6. VENTILATION — Sufficient .* 6 7. MILK HANDLING ROOMS — Separate from stables, etc 8. REFRIGERATOR — Properly constructed 106 9. WATER SUPPLY — Adequate 125 9a. Tap or hose bibb connection 9b. Running hot water convenient 107 21 10. LOCKERS — Provided for employees lOa. Conveniently located lOb. Suitable and adequate 104 11. WATER CLOSETS— Provided 12. WATER CLOSETS — Properly enclosed and ventilated 120 12a. In good repair 120 12b. Doors self-closing 13. WASTE RECEPTACLES— Suitable if required 44 14. SCREENS— In windows and other openings 44 15. DRESSING ROOM— Conveniently located 115 15a. Hot running water ISb. Soap , 1# * 15c. Common towel prohibited / • *™ 16. MILK HANDLERS— Clothing of white wash material M 16a. Apparently in good health }** 17. STABLE FOR HORSES— Sanitary Jy-j 18. MILK WAGONS— Suitable if required ^ \ 19. BOTTLE FILLER— Suitable 180 MILK SURVEY OF THE CITY OF ROCHESTER 19a. Machinery 97 Or, by hand 30 20. BOTTLE CAPPER— Suitable 39 3 20a. Machinery 9 Or, by hand 112 21. PUMPS AND PIPES — Sanitary construction 83 6 22. PASTEURIZER — Sanitary construction 23 4 23. COOLING DEVICE — Sanitary construction 80 3 24. VATS — Sanitary construction 112 4 OPERATION Yes. No. 1. MILK RECEIVING — Separate a. Receiving tank sanitary and clean 95 18 b. Milk filter clean and sanitary 114 c. Milk protected d. Inspected for taint, temperature, sourness 109 7 2. BOTTLE WASHING — Bottles brushed 120 1 a. Hot alkaline wash water 126 1 b. Rinsed with clean water 124 3 c. Sterilized 74 53 d. Apparatus used 82 32 e. Bottles inverted or protected 119 f. Stored in sanitary place 115 7 g. -Bottle racks washed 94 29 3. CAN WASHING— Cans brushed 128 a. Hot alkaline wash water 131 b. Rinsed with clean water 129 2 c. Apparatus used 27 90 d. Sterilized 101 25 e. Lids cleaned and sterilized same as cans 99 40 f. Proper can racks provided g. Cans free from rust and seams 129 h. Shipment cans cleaned before return 131 1 4. APPARATUS WASHING — Including . a. Pipes, pumps, pasteurizer, cooler 25 b. Taken apart daily 114 6 c. Apparatus used 53 17 d. Brushed with hot alkaline water 124 e. Rinsed with clean water 124 f . Sterilized 79 44 g. Steam hose connection 74 44 4h. BOILER PRESSURE Lbs. No. Lbs. No. Lbs. No. 10 1 70 5 140 .... 15 3 75 1 150 20 1 80 9 160 30 1 90 165 1 40 11 100 10 170 50 7 110 180 55 1 120 2 190 60 26 130 200 1 45 1 4i. Apparatus protected after sterilizing 112 6 MILK SURVEY OF THE CITY OF ROCHESTER 181 5. PASTEURIZING 1. Milk heated to : 2. Milk held at: 3. Milk cooled to : Temp'ture. No. Temp'ture. No. Temp'ture. No. 140 4 140 5 34 1 142 10 142 11 35 1 144 4 144 4 36 1 145 4 145....; 2 38 1 40.. 4 All but one held 30 minutes. 42 2 One held at 20 minutes only. 45 3 47 1 48 1 50 6 - Yes. No. Lbs. a. Temperature control 17 5 b. Temperature recorder 22 c. Steam — Hot water heater 19 d. Mixing in holder 18 2 f . Exposed during process g. Steam supply adequate h. Ice supply or refrigeration adequate i. Pasteurizer— Capacity 5 22 21 17 "i 28,381 6. COOLING a. Raw milk cooled to : b. Raw milk held at: Temp'ture. No. Temp'ture. No. 34 2 32 . 1 35 3 34 . 1 36 1 35 . 5 38 10 38 . 14 40 46 40 ,. 77 42 6 41 . 1 43 2 42 . 10 45 18 43 1 46 3 45 .. 13 48 3 46 . 2 50 5 48 .. 1 50 .. 5 Yes. No. c. Cooler protected d. In sanitary place e. Storage cooling vats — concrete f . Ice water clean 115 112 103 95 8 9 3 18 7. BOTTLING AND CAPPING : Yes. No. b. Bottling by automatic device c. Hands not allowed to touch bottles 113 53 10 72 A d. Bottle tank covered e. Caps clean and protected 113 4 8. CAN FILLING— Filled in clean manner 20 6 a. Lids protected A 1 b. Paper, if used, clean c 9. WAGONS — Retail, clean A1 a. Wholesale — clean i b. Railroad platform— clean 52 101 9 10. STABLE — clean 182 MILK SURVEY OF THE CITY OF ROCHESTER MAINTENANCE OF PLANT Yes. No. 1. FLOORS— Clean 110 11 2. Washed daily 95 26 3. WALLS AND CEILINGS— Clean 90 4. Properly painted 75 25 5. WINDOWS— Clean 71 47 6. RUBBISH — Not allowed to accumulate 43 76 7. Spitting and smoking prohibited 101 18 8. WASTE CANS— Clean 66 9. WATER CLOSETS — Clean 71 10. MILK HANDLERS' CLOTHING — Clean 11. STREET CLOTHING — Not in milk rooms 35 85 GENERAL Yes. No. a. Milk tested as to temperature on arrival 17 41 b. AVERAGE TEMPERATURE. Degree No. Degree No. Degree No. 45 3 58 2 68 5 50 5 62 1 69 1 53 1 64 7 70 4 55 1 65 1 72 1 56 1 66 2 • 75 2 67 2 Yes. No. c. Milk tested for fats and solids 11 23 d. PER CENT. BUTTER FAT. • Number Per cent. 2 3.6 1 3.4 PER CENT. T. S. 1 12 e. Milk examined for bacteria count (by Health Bureau) 70 41 No. 2... 1... 1... I... Count 10,000 12,000 17,000 20,000 COLONIES PER cc. No. Count 30,000 40,000 44,000 53,500 70,000 2. 1. 1. 1. 2. No. I...', 2..., 1.... 1.. Count 80,000 114,000 250,000 400,000 Are caps and tags marked to show place and date of pasteuriza- tion, bottling or production ? Has there been any infectious disease in household of milk handlers ? Do you refuse milk suspected to be adulterated, dirty or infected? Yes. 22 69 No. 52 47 1 MILK SURVEY OF THE CITY OF ROCHESTER 183 EMPTY CONTAINERS RETURNED FROM ROUTES a- PER CENT. OF BOTTLES RETURNED DIRTY. Per cent. No. Per cent. No. Per cent. No *£ } ? 2 20 5 ft \ 5 7 25 5 K3 2 8 2 40.. 1 9 10 20 50 2 is 12 : 2 6o::::::::i 3 2 13 1 80... 2 15 3 b. PER CENT. OF CANS RETURNED DIRTY. Per Cent. No. 100 9 30 1 .- 0 5 c. WHAT STEPS ARE TAKEN TO INSURE CLEANSING BEFORE RETURN BY CUSTOMER? Instructed to rinse bottles 5 Homes visited— Drivers held responsible ..... I Nothing 38 d. WHAT Do You Do IN REGARD TO EMPTY RECEPTACLES FROM INFECTED HOMES? Never had any 1 Nothing .. . i Refuse 8 Do not remove them 18 From the summary of these reports it will be seen that in most in- stances the building and equipment of the city milk plants are in good condition. Among the exceptions worthy of notice are the following: (1.) In only 26 factories is a common towel prohibited. The use of paper towels is to be recommended where the cost of cloth hand towels is too expensive. (2.) In only 34 of the 132 factories visited were the employees dressed in white, washable overalls. (3.) Only 44 of the factories were provided with screens in the windows against flies. (4.) In only two factories was milk received in a separate room from the other operations. (5.) In 53 of the plants visited the glass bottles are not sterilized. (6.) In 25 of the plants the milk cans are not sterilized, and in 40 of them the lids of the cans are not sterilized. (7.) In 44 of the factories the apparatus used is not sterilized. THE PASTEURIZATION OF MILK Four factories were heating the milk not above 140 degrees. This is lower than the temperature decided upon by the highest authorities as necessary for the destruction of bacteria under commercial conditions. In five factories the milk pasteurized by the Holding method was not heated above 140 degrees, which is a temperature too low for effective results. All of the factories are using the Holding method of pasteurization. All but one held the milk for 30 minutes at the highest temperature, 184 MILK SURVEY OF THE CITY OF ROCHESTER which time is recognized as necessary for effective results. One factory held the milk at the highest temperature for only 20 minutes, which is too short a time. In the cooling of milk the report shows that in the pasteurizing plants, 9 were cooling to 40 degrees and below, while 13 were cooling to temperatures between 40 and 50 degrees. It is recognized for efficient pasteurization and the protection of the milk after pasteurization, that it should be cooled as the last step in the process, to temperatures below 40 degrees. Five of the pasteurizing plants were not provided with tem- perature controllers. All of them were prbvided with temperature recorders. In milk plants handling raw milk, temperatures to which milk was cooled were also taken. The report shows that in 62 of these the milk was cooled to 40 degrees or below, which is satisfactory, while in 37 the milk was cooled to temperatures of from 40 to 50 degrees. In 98 fac- tories raw milk was handled in cold storage rooms at temperatures below 40 degrees, while in 33 factories the raw milk received was held in cold storage in temperatures of between 40 and 50 degrees. One hundred and thirteen factories used machinery for filling bottles. In 53 factories the machinery is arranged so that the hands do not touch the bottles during bottlings. Temperatures taken of milk during August and September on its arrival in the city by inspectors, were taken from cans on the railroad platforms. Thirty-nine samples in all were tested. Of these, 7 were 70 degrees and above. 11 " 65 to 69 degrees. 12 " 55 to 64 6 " 50 to 55 3 " 45 to 50 " In the majority of these samples the temperatures were too high and would stimulate the growth of bacteria. Some of the bacterial tests were made by the Health Department during the month that inspections were recorded. With the exception of a few of the smaller plants where unsanitary conditions were found, the sanitary inspectors' reports indicate a fairly good condition of the city milk factories. Lack of sterilization and lack of proper cooling, which are always the two main faults in milk sanita- tion, are the most prominent faults to be found with the sanitation of these plants. BACTERIAL TESTS OF ROCHESTER MILK SUPPLY The sanitary character of the milk itself must always be considered independently of the sanitary condition of the farms and factories. To MILK SURVEY OF THE CITY OF ROCHESTER 185 determine the sanitary character of the milk, arrangements were made for carrying out some special bacterial tests. The University of Rochester, through its Department of Vital Economics, kindly offered the facilities of one of its bacteriological laboratories to the bacteriologists employed by the Survey. These laboratories were offered without expense to the Survey and every convenience that could be desired was provided. The Survey employed two bacteriologists at different times to collect samples of milk and make bacterial tests. The total number of samples tested was 350. A number of milk factories were visited and samples taken of the process of pasteurization in order to determine the efficiency of this process. In such factories samples were taken from the mixing tank in which the milk from the cans was poured and mixed before pasteurization. If passed through a clarifier before pasteurizing, samples were taken from the clarifier and from each pasteurizer. They were then taken from the heater after the milk was heated and from the holder after the milk was held at the re- quired temperature for the required period of time. Another set of samples were then taken from the cooler after cooling and from the bottle filler after the milk had passed through the filler, but before it entered the bottle. The last set of samples were taken from the filled bottles themselves. Another series of samples were taken from the rail- road platforms from the farmers' cans as they were received. The results of all this work are tabulated and summarized in Table No. 89. TABLE No. 89 SUMMARY OF TABULATION OF BACTERIOLOGICAL TESTS. 2. (CANS.) RAW MILK AS RECEIVED: Bacteria per cc. No. of Samples Below 50,000 18 50,000 to 100,000 100,000 to 200,000 60 200,000 to 500,000 47 500,000 to 1,000,000 1,000,000 to 5,000,000 3. SAMPLES FROM MIXING TANK: Bacteria per cc. No. of Samples 100,000 to 200,000 200,000 to 500,000 500,000 to 1,000,000 ° 1,000,000 to 5,000,000 4. SAMPLES FROM CLARIFIERS : Bacteria per cc. No. of Samples 185,000 <• 190,000 186 MILK SURVEY OF THE CITY OF ROCHESTER 5. SAMPLES FROM HEATER : Bacteria per cc. No. of Samples 1,000 to 10,000 1 10,000 to 25,000 3 25,000 to 50,000 4 50,000 to 100,000 4 100,000 to 200,000 200,000 to 500,000 2 6. SAMPLES FROM HOLDER: Bacteria per cc. No. of Samples 1,000 to 10,000 4 10,000 to 25,000 25,000 to 50,000 8 50,000 to 100,000 2 100,000 to 200,000 2 7. SAMPLES FROM COOLER: Bacteria per cc. No. of Samples 1,000 to 10,000 3 10,000 to 25,000 9 25,000 to 50,000 4 50,000 to 100,000 4 100,000 to 200,000 2 8. SAMPLES FROM BOTTLE FILLER: Bacteria per cc. No. of Samples 1,000 to 10,000 1 10,000 to 25,000 3 25,000 to 50,000 4 50,000 to 100,000 100,000 to 200,000 2 500,000 to 1,000,000 1,000,000 to 5,000,000 1 9. FROM FILLED BOTTLES : Bacteria per cc. No. of Samples 1,000 to 10,000 4 10,000 to 25,000 5 25,000 to 50,000 11 50,000 to 100,000 11 100,000 to 200,000 6 200,000 to 500,000 3 500,000 to 1,000,000 4 1,000,000 to 5,000,000 2 From Table No. 89 it appears that out of 202 samples taken directly from farmers' cans, 18 contained milk testing from one million to five million bacteria; 22 from five hundred thousand to a million, and 47 from two to five hundred thousand. When one considers the nearby source of supply for the City of Rochester, it is not unreasonable to ex- pect milk to arrive in the city containing not more than two hundred thousand bacteria, if sanitary precautions have been carried out. Con- sequently, at least 87 of the samples of milk out of the 202 contained numbers of bacteria so large that they plainly indicated lack of proper sanitary precautions. MILK SURVEY OF THE CITY OF ROCHESTER 187 This is further indicated by the samples taken from the mixing tanks of the pasteurizing plants. Thirty-four of these were taken and 31 con- tained bacteria in excess of two hundred thousand, while 17 contained bacteria from one to five million — indicating very unsanitary milk. The samples taken from the heaters of the pasteurizers were 14 in number. Two of these contained bacteria of between two and five hundred thou- sand, and four bacteria from fifty to one hundred thousand. These six samples indicated plainly that the processes of heating were ineffective. The failure to destroy bacteria in the milk must be reported as due not so much to lack of proper temperature on the part of the heating appar- atus, for as the temperature seemed to be sufficient, the only remaining reason for these large number of bacteria after heating must be imper- fect cleansing and sterilization of the apparatus. Eighteen samples were taken from the holding tanks. Four of these contained bacteria between fifty and two hundred thousand, while eight contained bacteria between twenty-five and fifty thousand. These 12 samples all show plainly that the process of pasteurization was ineffective, since a first-class heating and holding process should result in milk which contains not more than ten thousand bacteria. Since the temperatures on most of these machines seemed to be sufficiently high, the chief reason for the large number of bacteria must be due to imperfect processes of washing and sterilization of the pasteurizing apparatus. The 22 samples taken from the cooling apparatus in the pasteurizing plants show the same indications of imperfections in the pasteurizing processes. Passage of the milk from the cooler does not indicate any marked increase in the numbers of bacteria, there being 10 samples containing bacteria ranging from twenty-five to two hundred thousand, which corre- sponds rather closely with the bacteria in the samples for the holding process. Samples of milk taken from bottle filling apparatus were 12 in all. Two of these contained bacteria between one hundred and two hundred thousand, one between two and five hundred thousand, and one between one and five million. There were 46 samples taken from filled bottles after all processes were complete. Six of these contained from one to two hundred thou- sand bacteria; three from two hundred to five hundred thousand, and four from five hundred thousand to a million, and two from one million to five million, making in all 15 samples out of forty-six, or 30% of the bottled milk samples in excess of one hundred thousand bacteria. All of these were bottles of pasteurized milk and the large numbers of bacteria in them plainly indicate unsanitary conditions in the washing 188 MILK SURVEY OF THE CITY OF ROCHESTER and sterilization of the bottles themselves, as well as the apparatus in the pasteurizing plants. It is to be expected that a first-class pastuerizing process will produce a glass bottle of milk containing no more than ten thousand bacteria per cc. There are numerous pasteurizing plants in other cities consistently operating in this way, so that the milk sold from the delivery wagons contains not more than ten thousand bacteria per cc. It must be said that the pasteurizing plants of the City of Rochester are not controlled by bacterial tests made either by the dealers themselves or by the city Department of Health. The failure to regularly make control tests by taking samples of bacteria from these pasteurizing plants, un- doubtedly prevents both the dealers and the Health Department from having any knowledge as to the efficiency of the pasteurizing processes. What has been said regarding the large number of bacteria in the pasteurized milk in Rochester can be said with even greater emphasis concerning the bacteria in the raw milk of Rochester. While the in- spectors did not take samples of bottled milk from the raw milk dealers, yet the samples taken from the cans of raw milk at the railroad platform plainly indicate what the character of the raw milk in bottles must be. Since the methods of handling milk by the raw milk dealers do not subtract in any degree from the numbers of bacteria contained in the cans received at the railroad ; but, as a matter of fact, all of the processes of handling by the raw milk dealer necessarily add considerable numbers to the bacteria contained in the cans, the numbers of bacteria in the raw milk sold in bottles will be just as large and in many cases larger than were found in the canned milk as received at the railroad platforms. PASTEURIZATION Since the year 1900 when Nathan Strauss stood almost alone in openly advocating the pasteurization of all milk as a measure of public safety, there has been a steady growth of sentiment in favor of pasteuriza- tion, so that now the majority of the members of the medical profession who formerly opposed this measure have been won over to its favor. In like manner, practically every health officer of every large city in the United States and Canada, as well as in Europe, openly advocates pas- teurization. The National Commission on Milk Standards, chosen by the New York Milk Committee from the leading public health authorities in the United States and Canada, in 1912 at an official meeting passed the fol- lowing resolution: "The Commission thinks that pasteurization is necessary for all milk at all times, excepting certified milk, or its equivalent. The majority of the commis- sioners voted in favor of the pasteurization of all milk, including certified. Since this was not unanimous, the Qommission recommends that the pasteurization of certified milk be optional." MILK SURVEY OF THE CITY OF ROCHESTER 189 As a result of this sentiment, all large milk dealers in the United States and Canada have installed machines for pasteurizing milk and pasteurize their entire supply, with the exception of a small amount of special milk at high prices, such as certified milk. The only raw milk sold in cities and towns outside of the small quantity of certified is the raw milk bottled by small milk dealers who cannot afford to install pas- teurizing machinery. New York City regulations require the pasteurization of all milk excepting that produced from dairies having cows which are tuberculin tested, employees who are free from disease, and from dairies which carry out exceedingly rigid sanitary precautions. In Table No. 90 is a list of 18 cities of the U. S. and Canada which have passed milk regulations of their own, among which is a regulation requiring the pasteurization of all milk not coming from cows tuberculin tested, and otherwise protected against infection. It will be noted that the total population of these cities is 17,810,000, the total milk supply 5,503,000 quarts, and the total quantity pasteurized is 5,351,000 quarts, which is over 97%. TABLE NO. 90 CITIES HAVING ORDINANCES REQUIRING PASTEURIZATION NAME OF CITY. • Population. •d tfo .ti & c^J 3:3 £E Quantity pasteurized. V) JJ3 ^ rt -rt^5 g° Dealers operating pasteurizer. Sacramento Cal 70,000 24,000 qts. 22,000 qts. 12 0 Minneapolis Minn 400,000 140,000 ' 126,000 " 50 30 Milwaukee Wis 500,000 192,000 ' 188,000 " 42 35 Cincinnati Ohio 425,000 120,000 ' 120,000 " 65 65 Akron Ohio 190,000 80,000 ' 76,000 " 24 18 Toronto Can . . . 500,000 192,000 ' 192,000 " 80 80 Indianapolis Ind . . 310,000 48,000 ' 48,000 " 40 40 San Francisco Cal 500,000 128,000 " 120,000 " 25 12 Spokane Wash 140,000 28,000 " 24,000 " 4 4 Seattle Wash 400,000 84,000 " 64,000 " 51 li> 5t Louis M!o 750,000 140,000 " 104,000 " 57 3b Los Angeles Cal 650,000 197,000 " 188,000 " 30 13 Philadelphia Pa 1,800,000 550,000 " 533,000 " 22b 83 Baltimore Md 675,000 140,000 " 136,000 " 74 37 Detroit Mich 1,000,000 340,000 " 340,000 " 38 38 3,000,000 800,000 " 790,000 " you 26> 1,000,000 300,000 " 300,000 " 2bO 2i>U New York, N. Y 5,500,000 2,000,000 ' 1,980,000 ( 161 43 Total 17,810,000 5,503,000 qts. 5,351,000 qts. 1928 1071 190 MILK SURVEY OF THE CITY OF ROCHESTER In Table No. 91 is a list of twelve cities in the U. S. and Canada which have milk regulations not positively requiring pasteurization, but recognizing and denning it. This tabulaton shows the populaton, the total quantity of milk and the total quantity of milk pasteurized. From this it will be seen that in these twelve cities there was 602,000 quarts of milk sold daily, 420,373 of which was pasteurized, amounting to 70%. If we compare with the above conditions, conditions in the City of Roch- ester, we must note that out of a total milk supply in August for Rochester of 77,579 quarts there were 44,160 quarts pasteurized, which is a little less than 57% of the total supply. TABLE NO 91 CITIES WHERE PASTEURIZATION IS NOT REQUIRED BUT IS RECOGNIZED AND DEFINED BY REGULATION u N •C c/5 NAME OF CITY. § "S-d o