Your reference has no context as far as the basis for the material limits listed.
Please note that for erosion of the impeller due to fluid velocity, the valid comparison is impeller tip speed to fluid velocity, this varies with flowrate. It is related to, but not the same as, the impeller tip speed, and while the impeller tip speed is a good guideline, it is not the only basis for the 130 ft/s rule.
I stated that for certain impeller configurations, allowable material stress will be reached at tip speeds less than 130 ft/s. You appear to disagree.
The problem here, is you are implying that erosion is the one and only mechanical design requirement for selection of impeller material, which is naive at best. If you ignore the various dynamic forces that an impeller experiences, I'm afraid you will not do very well designing (or commenting on the design of) centrifugal pumps.
If you were to produce a propeller type (axial flow) pump with a cast iron impeller, and operate it at vane tip speeds of 130 ft/s, I guarantee you that the vanes would fly off well before you had to worry about erosion.