Bill,
There are only a few operations where you might want or need to reverse the motor. And if you do, and are using a chuck to hold the work piece, there is a risk of the chuck coming loose. I wouldn't worry about a reversing switch. The only operation I can recall that was common to the Atlas machines years ago was if you were using the double turret cross slide, the parting off tool was commonly installed in the rear turrent. If it was installed with the cutting edge up, you had to reverse the spindle rotation to use it. The obvious work-around is to install it upside down. But most operations where a shop would be making small parts with the double turret cross slide, the work was being held in a collet anyway. So reversing the motor in those circumstances would have been safe.
On the motor pulley, they are still available new from Clausing. And used ones can sometimes be found on eBay. But they ain't cheap! Part number (for 5/8" shaft diameter) is 10-428. The part number for the 1/2" shaft diameter was 9-428 but production of those ended long ago. They have been supplying a reducing bushing since the 1950's. I haven't bought a 10-428 from Clausing but recently bought an M6-429 (for 6" lathe and early mills) and it was machined SS, not cast. Which accounts for the price. If you look in DOWNLOADS, you will find a reverse-engineered drawing for 10-428. The person who did the drawing reported making one and said that it worked fine.