NO. The chance is good enough and is often very useful for the more gimped builds. Just add some worse consequences and we'll call it square.
I could get behind the stream of snakes idea. I think it'd be cool if in the new expansion there were tons of new buffs and de-buffs that came from fountains. If that hasn't already been done already. And yeah I agree that 1 in 250 is pretty good. Seeing as how I've never found anything in a fountain before.. Maybe the Diggle Gods just don't smile upon or something.