All the evidence I can find suggests that the municipal systems are better for the community than the commercial operators.
For somebody making such a claim, you offer surprisingly few citations. Zero to be precise.
During the Enron Induced Electricity Crisis in southern California I lived in the City of Pasadena. Pasadena has its own municipal water and power service, and did a very good job of managing costs so that I didn't see rate increases at all, while customers of SoCal Edison were paying enormous amounts of money for power when they had it, and had plenty of brownouts/rolling blackouts while I had stable service. The City of Los Angeles did even better - DWP had done a very good job of planning and prepurchasing power and had excess available that they could sell at a profit, lowering the cost for their own municipal subscribers. Most municipal systems did similarly well during the summer of Enron, while private electricity was a disaster.
I now live in unincorporated LA county and am served by SoCal Edison. When we had a huge windstorm that took out power for about 1 million households across multiple power providers, Pasadena had nearly everybody back up in a day (they've spent a great deal of effort moving a lot of the supply underground and on reliability in general). I was driving across LA during the first full day after the storm and every hour or so the radio would report that another 100,000 of LA DWP customers were back up, but no change in SCE. Nearly all of about 400K City of LA customers were back up in 2 days, while SCE took as long as a week for many customers (they had something like 500K customers out), and was essentially incapable of even estimating how much they had to fix or when they could do it. SCE has had absolutely terrible service for most of the time that I've been in their service area, and I would gladly pay Pasadena prices for their reliability.