|
| Author
|
Post |
 
|
|
untanglingwebs
El Supremo
|
Lawler is looking for any excuse to delay a decision until it is to lete
Is this the reason that some of his constituents are promoting Charles Metcalfe as an opponent to Lawler?
Detroit is now offering us a seat on their proposed Regional water board, when they have denied Flint such a position for many years!
They can now offer a 30% cut in the water rates, but doesn't that indicate how much they have been gouging us for years? We pay triple the cost of water to the wealthier suburb od Oakland because Detroit charges us extra for being further away.
The media keeps saying that Kurtz has the final vote, but in reality the final decision is in Andy Dillon's and Snyder's hands. Will they sacrifice Flint to save Detroit? |
|
|
Wed Mar 20, 2013 2:02 pm |
|
|
untanglingwebs
El Supremo
|
State treasury department expects Flint water source recommendation 'soon'
Dominic Adams | dadams5@mlive.com By Dominic Adams | dadams5@mlive.com The Flint Journal
on March 20, 2013 at 9:30 AM Print
FLINT, MI – A Michigan Department of Treasury spokesman said he doesn’t think a looming change to the state’s emergency financial manager law is delaying a recommendation on where Flint should get its water.
Flint City Council will discuss a proposal to purchase water from Lake Huron in a 25-year deal with the Karegnondi Water Authority rather than buy it from Detroit during a finance committee meeting at 5:30 p.m. today, March 20, at Flint City Hall, 1101 S. Saginaw St.
Today's meeting comes two days after the council voted to reduce the amount of raw water that would be drawn from 18 million gallons per day to 15 million gallons per day.
During Monday’s meeting there was discussion between the council and Mayor Dayne Walling about voting on the resolution before Michigan’s new emergency financial manager law – Public Act 436 – goes into effect March 28.
“It’s my view that we have to take this opportunity as elected officials,” Walling said at Monday’s council meeting. “Once Public Act 436 comes into place it would not be possible for this to happen.”
Emergency financial manager Ed Kurtz wouldn’t comment on what proposal he thinks Flint should go with until treasury department officials make a decision.
“From our perspective, it’s always been important that whatever the end decision is made that it be in the best interest of the residents of the City of Flint,” said Terry Stanton, Michigan Department of Treasury spokesman, adding that he didn’t think the state was delaying making a decision until the new law takes effect.
Stanton said the treasury department has had information on all of Flint’s water options, including getting water from the Flint River, for a few weeks now. He said there is no hard deadline to make a recommendation, but that it will come “as soon as possible.”
Karengnondi is the regional water authority that includes Genesee, Lapeer and Sanilac counties and the cities of Flint and Lapeer.
The authority was created to build a new water pipeline to Lake Huron that would cost $272 million, allowing the communities to supply their own fresh water instead of buying treated water from the city of Detroit.
Genesee County Drain Commissioner Jeff Wright previously told the council that Flint would pay roughly $6.4 million annually for water service if it joined the pipeline – a nearly $4 million savings on what it pays Detroit for water.
The Detroit Water and Sewerage Department said Flint and Genesee County’s proposal is “rife with financial discrepancies and false assumptions.” The statement also said the economic benefits of the pipeline don’t justify the expenditure and said the cost of the project “would easily exceed $375 million,” far more than the $274 million estimated in reports commissioned by Wright.
Where do you think Flint should get its water? Post your thoughts in the comments below.
Dominic Adams is a reporter for MLive-Flint Journal. Contact him at dadams5@mlive.com or 810-241-8803. Follow him on Twitter, Facebook or Google+. |
|
|
|
Wed Mar 20, 2013 3:50 pm |
|
|
untanglingwebs
El Supremo
|
Report claims KWA water pipeline estimate is $100 million too low
Ron Fonger | rfonger1@mlive.com By Ron Fonger | rfonger1@mlive.com The Flint Journal
on March 20, 2013 at 8:35 AM, updated March 20, 2013 at 11:22 AM Print
GENESEE COUNTY, MI -- The city of Detroit is using a new report to cast doubt on the county's estimated cost for building a new pipeline to Lake Huron.
The report is available for reading here: Water report.pdf
Written for the state of Michigan, the report by Tucker, Young, Jackson & Tull Inc. claims the cost of the pipeline "would easily exceed $375 million," far more than the $274 million estimated in reports commissioned by county Drain Commissioner Jeff Wright.
County and city of Flint officials have called the report inaccurate and accused Detroit officials of trying to cloud a vote by the Flint City Council before the state's new emergency manager law takes effect on March 27. |
|
|
|
Wed Mar 20, 2013 4:00 pm |
|
|
untanglingwebs
El Supremo
|
JohnofGBWhy , oh, why do you even bother reporting such tainted garbage. This report is from an obviously biased source. Don't you check with 2 separate sources anymore to verify the validity of these "facts"????? I , for one, am with the city and county officials on this one....
jacksondm likes this.
7 Hours Ago· Reply
jacksondmHmm: WE are Detroit's biggest water customer and WE (Flint) has the highest rate compared to ALL other water department customers of the City of Detroit. Flint helps to subsidize the Detroit system. THEY will lose a lot of profit if we in Flint change to "our own" system. GEE: does any one else see a potential for a conflict between a company hired by Detroit and our own independent study/engineering firm. Of course, we could just trust Detroit to provide a non-biased - perfectly honest - untainted report - - - or NOT !...
11 Hours Ago· Reply
Ron Fonger | rfonger1@mlive.comFair or flawed?
The full report by Tucker, Young, Jackson & Tull Inc. is available here to read online:
http://www.mlive.com/news/flint/index.ssf/2013/03/...
... |
|
|
|
Wed Mar 20, 2013 4:09 pm |
|
|
untanglingwebs
El Supremo
|
The Detroit Water and Sewerage Department has a long history of financial woes and corruption.
New year, new director mean new tack for distraught Detroit - Vol 3, Issue 2
(February 2012)
•From: Vol 3, Issue 2 (February 2012)
•Category: General
•Region: Americas
•Country: United States
•Related Companies: Detroit Water and Sewer Department
Like Detroit itself, the Detroit Water and Sewerage Department is on the brink with a deep recession, massive debt, past ethics scandals and severe capital loss. Can its new director help turn things around?
The past several years have not been kind to the troubled Detroit Water and Sewerage Department (DWSD). The utility has grappled with corruption scandals, a decades-old EPA lawsuit, population loss and severe financial distress. Detroit now teeters on the brink of financial collapse, and the department was officially leaderless following the retirement of its director in mid-2010. That is, until now.
Sue F. McCormick, former public services administrator for Ann Arbor, Mich., took up the post of DWSD director on Jan. 1. Since then, she’s started the process of turning around what is quite possibly the most distressed major municipal system in the country. The department is facing several major problems, and the economic downturn has been brutal for the city, McCormick said. DWSD is also struggling to rebuild broken trust after years of ethical entanglements. The department’s immediate future looks dark, but McCormick is determined to bring DWSD back from the brink.
DWSD serves roughly 3 million customers within and without Detroit, and the department’s assets include five water treatment plants (the largest with a pumping capacity of 540MGD), one central wastewater treatment plant and eight CSO control facilities. DWSD’s annual operating budget is about $900 million.
Water use fell 26 percent from its 540MGD high between 2003 and 2012, and Detroit’s population plummeted by 30 percent in that time. The sheer lack of ratepayers will likely mean rate increases this year so the department can keep pace with its substantial debt. The DWSD has more than $6 billion in liabilities, and about 40 percent of the department’s water and sewer revenues go to paying down the principal and interest on that sum, McCormick said. Though the department is financially independent from the city, its troubles are symptomatic of Detroit’s larger problems.
“Detroit is in a cash crisis, certainly,” McCormick said. “Many of the large cities have seen population loss and property values decline. I would say that Detroit certainly finds itself experiencing those things in rather epic proportions, given what’s happened with the auto industry.”
Uncertain finances are not the only thing McCormick hopes the department can put behind it. In addition to being caught up in the U.S. municipal finance meltdown, DWSD has also had to contend with bizarre legal circumstances that for decades have kept the utility under federal oversight thanks to a 1977 EPA consent decree filed under the Clean Water Act. Facing violations due to solids handling issues at its wastewater treatment plant, DWSD was put under the authority of U.S. District Court Judge John Feikens. Feikens was succeeded in 2010 by Judge Sean Cox, who is trying to find ways for DWSD to achieve EPA compliance and stand on its own.
DWSD also had to deal with serious corruption charges against one of its previous directors. Former DWSD Director Victor Mercado was indicted in late 2010 on several corruption-related charges ranging from lying to federal investigators to conspiracy, racketeering and bid-rigging. Mercado is also accused of turning a blind eye to infrastructure-related project kickbacks allegedly arranged by disgraced former Detroit Mayor Kwame Kilpatrick.
The department’s financial woes, regulatory headaches and ethics concerns have become so intertwined with time that turning the department around could mean taking them all on at once. With Detroit projected to run out of money by April or May (estimates vary), the situation for DWSD seems tenuous at best. McCormick, however, said there are reasons to be hopeful.
“DWSD is somewhat isolated from that in that we’re an enterprise fund and the dollars that are received from our customers belong to the enterprise fund. While DWSD too would be impacted by declining population within the city and then declining revenues associated with that … we are a bit isolated from the city’s economics.”
Being separate from the city’s general fund could prove to be a blessing if the State of Michigan brings in an emergency manager, a state appointee with unilateral powers to slash city budgets to avoid a municipal default. DWSD would still control its own accounts, meaning an emergency manager could not sever department limbs at will, McCormick said.
Even so, DWSD must soon contend with Detroit’s population decline. Entire neighborhoods are being abandoned, McCormick said. When residents leave because of job loss or home foreclosures, the department’s water and sewer infrastructure is left behind. The pipes and facilities, however, must be maintained as though no one left.
“The older developments are being removed, but there’s still water infrastructure there, and there’s sanitary infrastructure there. It is certainly not easy to just say, ‘we’re going to seal those pipes off and remove them.’ You can’t do that in an integrated system,” McCormick said.
McCormick’s plan is to embrace operational triage. Large portions of the system will be temporarily shuttered to reduce operation and maintenance costs, and the department just began a study to find out which facilities can be taken offline without affecting service. McCormick said it is too soon to know how many or which facilities will be temporarily shut.
McCormick said DWSD is also moving aggressively to ensure that past ethical breaches are not repeated. The department is beginning contract audits to weed out any remaining traces of corruption, and Sean Cox – the same judge overseeing the department’s compliance – has helped clean house. McCormick recently was given greater powers to oversee DWSD managers, and the DWSD has a newly reorganized water board.
“That board is squarely taking on the issue of drawing a line in the sand, making it absolutely clear to our suppliers, our vendors, our contractors that we are going to do business in a very ethical manner,” she said.
Cox also wants to give the department much-needed managerial autonomy, McCormick said. Recent judicial orders have started to trim bureaucratic redundancies, and Cox wants to separate DWSD’s procurement and purchasing from the city.
“He’s given us incredible responsibility and accountability. He’s also removed all the excuses. We have a number of things to put in place to make us more effective, and the onus is on us to do it.”
McCormick is setting her sights on renegotiating union contracts for operators and rebuilding agreements with DWSD’s suburban wholesale customers. Bringing DWSD back will likely be a colossal task, but that challenge is fueling her resolve.
“I built my reputation in the business as a change agent. If there was ever an opportunity to be able to demonstrate mettle, this is it,” she said. “We have been provided an opportunity the department has never had before – to control many of the things that have been problematic. To the largest extent possible while still under the ownership of the City of Detroit, we have an opportunity to create our own future.” |
|
|
|
Wed Mar 20, 2013 7:29 pm |
|
|
untanglingwebs
El Supremo
|
With a long history of corruption, why would anyone trust a report from Detroit?
Ex-Detroit Mayor Kilpatrick convicted in corruption case - CNN.com
http://www.cnn.com/2013/03/11/justice/michigan-kilpatrick-verdict
Mar 11, 2013 ... At the heart of the scheme was corruption in municipal contracting, mostly centering on the Detroit Water and Sewerage Department, said ...
Guilty! Detroit Mayor Kwame Kilpatrick convicted of corruption ...
http://www.examiner.com/article/guilty-detroit-mayor-kwame-kilpatrick-convicted-of-corrupt...
Mar 12, 2013 ... Detroit Mayor Kwame Kilpatrick convicted of corruption, extortion ... Bobby W. Ferguson, also of Detroit, were convicted on federal charges that they ... of the City of Detroit Water and Sewerage Department, and Derrick Miller, ...
Former Detroit mayor Kwame Kilpatrick faces major corruption charges
http://www.csmonitor.com/USA/Justice/2010/1218/Former-Detroit-mayor-Kwame-Kilpatrick-faces...
Dec 18, 2010 ... Federal prosecutors have filed new corruption charges against both Kilpatricks ... the former head of the Detroit Water and Sewage Department.
Timeline: Kilpatrick public corruption case from ... - Detroit Free Press
http://www.freep.com/article/20130311/NEWS0102/304010001/Timeline-Kilpatrick-public-corrup...
Mar 11, 2013 ... Time line of events in the federal public corruption investigation. ... June 23: Kilpatrick indicted on charges of using his nonprofit Civic Fund to pay ... deals and possible extortion at the Detroit Water and Sewerage Department.
Walbridge Aldinger, Detroit Water and Sewerage end quarrels ...
http://www.crainsdetroit.com/article/20130221/NEWS/130229969/walbridge-aldinger-detroit-wa...
Feb 21, 2013 ... Walbridge Aldinger Co. and the Detroit Water and Sewerage Department have agreed to bury the hatchet of their past legal quarrels and ...
FBI — Former Detroit Mayor Kwame Kilpatrick, His Father Bernard ...
http://www.fbi.gov/detroit/press-releases/2013/former-detroit-mayor-kwame-kilpatrick-his-f...
Mar 11, 2013 ... This verdict has sent a powerful message that corruption will not be tolerated ... FBI Special Agent in Charge Foley stated, “The FBI-led Detroit Area Public ... of
the Detroit Water and Sewerage Department to address long-term ...
New year, new director mean new tack for distraught Detroit - Vol 3 ...
http://www.americanwaterintel.com/archive/3/2/general/new-year-new-director-mean-new-tack-...
Like Detroit itself, the Detroit Water and Sewerage Department is on the brink with a ... DWSD also had to deal with serious corruption charges against one of its ...
Corruption probe looks at water deals | The Detroit News ...
http://www.detroitnews.com/article/20101214/METRO01/12140361
Dec 14, 2010 ... Documents subpoenaed from Detroit Water and Sewerage contractors ... next round of City Hall corruption indictments, The Detroit News has learned. ... in September on charges related to a $12 million bid-rigging scheme.
Ex Detroit Mayor Found Guilty of Corruption., page 1
http://www.abovetopsecret.com/forum/thread932634/pg1
Link to full list of charges and outcomes. ... Inc. A $50 million contract that was already approved by Detroit's Water and Sewerage Department ...
Kilpatrick timeline leading up to the federal corruption trial
http://www.wxyz.com/dpp/news/kilpatrick-timeline-leading- |
|
|
|
Wed Mar 20, 2013 7:33 pm |
|
|
Adam
F L I N T O I D
|
|
|
Fri Mar 22, 2013 1:30 pm |
|
|
untanglingwebs
El Supremo
|
Genesee Drain Commissioner: Detroit 'will say anything to derail' pipeline
Ron Fonger | rfonger1@mlive.com By Ron Fonger | rfonger1@mlive.com The Flint Journal
on March 21, 2013 at 3:00 PM, updated March 21, 2013 at 3:05 PM Print
GENESEE COUNTY, MI -- Drain Commissioner Jeff Wright says the city of Detroit "will say anything" to derail a planned water pipeline being pushed by the county.
Wright's office blasted the Detroit Water and Sewerage Department in a news release today, March 21, saying it's involved in "politics as usual" by releasing what it says is false information about the proposed pipeline just as the Flint City Council decides whether to endorse joining the effort to build it
.
Earlier this week, DWSD issued its own news release, saying the proposed Karegnondi Water Authority pipeline proposal is "rife with financial discrepancies and false assumptions."
The DWSD pipeline claims cited a February report by Tucker, Young, Jackson, Tull Inc. as its source of information.
DWSD claimed the cost of the KWA pipeline "would easily exceed $375 million," far more than the $274 million estimated in reports commissioned by the county.
"The released information grossly overestimates the cost of the KWA, double counting several key costs in engineering, construction, administration and legal fees," the Genesee County statement says.
"The report also completely ignores the fact that if Flint continues contractually with Detroit, it will be forced to absorb costs in maintaining the current 50 year old pipeline that is used to transport drinking water, and eventually pay an exorbitant portion of building a new pipeline built by Detroit, for their own interests."
City of Flint officials have also called the DWSD news release inaccurate.
The Flint City Council is scheduled to vote on whether or not to join in building the KWA pipeline on March 25.
The state of Michigan would also need to approve that endeavor because the state has an emergency manager in charge of Flint's finances.
The Flint Journal could not immediately reach a representative of Tucker, Young, Jackson, Tull for comment.
Bill Johnson, a DWSD consultant, said in an email to The Journal that the agency is "contemplating whether a response is (necessary) considering that Wright's argument is primarily with the Tucker, Young group." |
|
|
|
Sat Mar 23, 2013 6:46 am |
|
|
untanglingwebs
El Supremo
|
About DWSD Update
DWSD Update began in 2008 as a way for our firm to share information about the Detroit Water and Sewerage Department (DWSD) with our clients, whether it be a new project or the latest development in the 1977 EPA lawsuit.
A significant part of our practice involves working with contractors, subcontractors, engineers and suppliers who specialize in municipal water and wastewater construction. DWSD, being the largest municipal water and wastewater system in the area, is a natural focus for our clients.
In 2009, we expanded our coverage to include the Oakland-Macomb Interceptor Drain Drainage District and the Karegnondi Water Authority, both of which are relevant to contractors and engineers in the local water and wastewater community.
If you find DWSD Update to be a valuable resource, check back often and share the information with your friends and colleagues. We’ve recently enhanced the site so that you can view it on your smart phone or mobile device. We've also added a way to receive updates by e-mail. These updates are handled by Google. We don't collect your e-mail address.
If you have comments or suggestions on how to make DWSD Update better or more useful, please write and let us know how we can improve the site.
We also publish Michigan Construction Law Update, which covers recent court decisions and legislation that affects the construction community here in Michigan.
If you have a problem, we’d be happy to talk with you. If we can help, we’ll tell you how. If we can’t, we’ll tell you that too.
Thank you for being one of our readers.
Pete Cavanaugh
pcavanaugh@cqlawfirm.com
Gary Quesada
gquesada@cqlawfirm.com
Cavanaugh & Quesada, PLC
1027 S. Washington Ave, Ste A
Royal Oak, MI 48067
Tel: (248) 543-8320
Fax: (248) 543-8330
www.MichiganConstructionLaw.com |
|
|
|
Sat Mar 23, 2013 6:56 am |
|
|
untanglingwebs
El Supremo
|
| The DWSD Update has been challenging the Karegondi Water Pipeline Proposal since 2009 and has over 22 articles written about the subject. During much of that time, Detroit refused to even meet with local officials. |
|
|
|
Sat Mar 23, 2013 7:04 am |
|
|
untanglingwebs
El Supremo
|
DETROIT WATER DEPT. “ON THE TABLE,” SAYS EFM; COMMISSIONERS APPROVE REPORT ROOTED IN LIES
Posted on 03/20/2013 by Diane Bukowski
Orr raises issues from “Root Cause Committee” report
Report falsified facts on other cities’ water/sewerage “authorities”
By Diane Bukowski with Tia Lebherz
March 19, 2013
DETROIT – “I think I’ve said everything’s on the table,” Detroit Emergency Financial Manager Kevin Orr told a Detroit Free Press editorial panel in the video above. “My operating assumption is there a net benefit to city and its residents. Water and Sewer for instance enjoys a higher bond rating than the city, operates on its own, has a positive net cash level, and provides services in a relatively good level. But if you’re able to do a structure with either a regional authority or privatization, it flows cash positive to city, $50 million with a 10 percent cap rate, half a million dollars. Everything—leasing, sale/leaseback, privatization, 99-year leases with a reversion to the city—everything’s on the table.”
BOWC chair James Fausone and Oakland Co. rep. J. Bryant Williams appear to be deeply studying RCC report at meeting March 13, 2013. They couldn't have studied TOO hard, as blatant falsehoods were rampant in report..
BOWC chair James Fausone and Oakland Co. rep. J. Bryant Williams appear to be deeply studying RCC report at meeting March 13, 2013. They couldn’t have studied TOO hard, as blatant falsehoods were rampant in report..
Orr thus has clearly studied a so-called “Root Cause Committee” report which the Detroit Board of Water Commissioners, (BOWC), voted 6-0 March 13 to approve in concept. BOWC Oakland County Commissioner The report recommended that the entire Detroit Water and Sewerage Department (DWSD) operate as an independent, autonomous public authority under the supervision of the BOWC, in exchange for an annual payment to the General Fund of $50 million. It cited fear of a takeover or bankruptcy under Orr’s governance. (Click on RCC report for whole report.)
Under the proposed structure, Detroit’s City Council would no longer have approval rights over contracts and rates. Currently, the City Council must approve all DWSD contracts over $2 million as well as rate hikes. The people of Detroit would lose their Charter-mandated right to vote on any sale or transfer of DWSD assets.
Tia Lebherz of Food and Water Watch told the BOWC her organization is opposed to the plan.
“This is a bad proposal, not in the best interests of the City of Detroit, and a path to privatization,” Lebherz said. “The Board of Water Commissioners is appointed and not accountable to the people. This will eliminate democratic control of our water resources. The Board has already voted to approve a $47 million contract with EMA, which proposes to cut 81 percent of the DWSD workforce. We need an elected and accountable water board.”
DWSD COO Matthew Schenk told the BOWC that the separation, which he termed a “lease,” would last for at least 30 years, depending on the pay-off of $6 billion in outstanding DWSD debt, and longer if more bonds are floated. After Oakland County’s BOWC member J. Bryan Williams objected that a proposed $50 million annual pay-off to Detroit’s general fund in exchange for DWSD, which has assets of over $6 billion, might not be affordable, Schenk the number is negotiable.
“The terms of any lease agreement are important,” BOWC board member Linda Forte, representing Detroit, countered. “We want total control of DWSD again. This is temporary…we should not be locked in.”
However, she voted “Yes,” as did Detroit’s other representatives Mary Blackmon and James Thrower, apparently not having reviewed the report for accuracy.
The report flagrantly falsified information about what it claims are six successful authorities in other cities. No one from the Root Cause committee, which unanimously approved the report (meaning City Council Pres. Charles Pugh and Pro-Tem Gary Brown signed on), the BOWC, the DWSD administration, or U.S. District Judge Sean Cox’s court apparently bothered to screen the document for factuality
.
It is unclear if the report has even been presented to Cox, who appointed the Root Cause Committee. It is not posted on the federal court website, where previous Root Cause reports have been posted. It is unclear also whether Orr has any authority to act independently of Cox as a federal district judge.
The report and a separate Compliance Report issued by DWSD Director Sue McCormick recommend that federal oversight of DWSD be ended, after 36 years. It ignores the fact that litigation is still outstanding under the 1977 case from water department unions. AFSCME Local 207 and others challenged earlier orders from Cox changing DWSD governance and union rights before the U.S. Sixth Circuit Court of Appeals. The court has not yet rendered a decision.
Recommendations and conclusions in the entire report are suspect, if one examines blatant falsehoods it puts forward regarding other municipalities, which it claims have water and sewerage departments run successfully by “authorities.”
NEW YORK CITY
The report says, “The New York Municipal Water Authority was established by state law as a separate authority from the City of New York to manage the water and wastewater services for area residents. The Authority has a seven member board comprised of 4 ex officio New York City Directors, two mayoral appointments, and one gubernatorial appointment. The Authority holds the assets of the system pursuant to a lease agreement with the City and makes annual lease payments into the City’s general fund based upon a capped formula tied to total indebtedness.”
In fact, there is NO “New York Municipal Water Authority.”
According to New York City’s website and other sources, there is a “New York City Municipal Water FINANCE Authority.” Its sole purpose as a public benefit corporation established in 1985 is to finance the capital needs of the system through the issuance of bonds and other instruments.
It does NOT manage water and wastewater services. That is the responsibility of the New York City Department of Environmental Protection, which has 5,600 workers and is listed on the NYC government website as a regular city department. It is comprised of the Bureau of Water Supply, the Bureau of Water and Sewer Operations, and the Bureau of Wastewater Treatment. Its employees are regular city workers, represented in part by AFSCME District Council 37, among other public service sector unions.
A third entity, The New York City Water Board, sets water and sewer rates and collects payments from customers for services provided by the NYCEP. It has five board members appointed to two-year terms by the Mayor of New York City.
CLEVELAND, OHIO
City of Cleveland water logoThe report says, “The Northeast Ohio Regional Sewer District (“NEORSD”) was created by order of District Court Judge George McMonagle in April, 1972 in response to a lawsuit involving violations of the Clean Water Act. Prior to the Court’s involvement, the Sewer District was owned and operated by the City of Cleveland and served multiple jurisidictions . . .Through the litigation, Judge McMonagle ordered the transfer of assets by the City to a newly created public authority in Ohio.”
So far, so good. But sewage is sewage and water is water. The report completely neglects to cite the fact that Cleveland’s water supply services are provided by the City of Cleveland Public Utilities Department and its city workers, who are also unionized under AFSCME Local 100 and other labor organizations. Sewerage work is also included.
According to the city’s website, the Public Utilities department includes:
The city’s website says the city’s public governance of water and sewerage began in 1840.
LANSING BOARD OF WATER AND LIGHT
Public-Power1The RCC report says, “In Lansing, the Board members are appointed by the Mayor with Council ratification. The Board has full and final authority over all matters affecting the operation of the utility including contracting, rate setting, capital planning, hiring a Director, etc.”
It says that the Lansing entity pays the city a total of five percent of sales according to a current five-year agreement.
The website for the Lansing BWL says however, “As a public power utility the Board of Water & Light is owned by its customers. While many utilities are investor-owned and managed to deliver profits into the pockets of stockholders, the BWL is managed to return value and benefits to the people it serves.
Lansing’s Board of Water and Light also provides electricity for Lansing residents at far cheaper rates than private utilities. While the BOWC is at it, if Detroit is going to emulate Lansing, why not have a public takeover of DTE and Consumers Power?
The City of Lansing website adds that sewerage services are provided through the city’s Public Service Department, using city workers.
“Wastewater Division is responsible for collection, pumping, processing and treatment of the city’s wastewater, and compliance with State pollution control regulations and the National Pollutants Discharge Elimination System (NPDES) program,” says the site. “This division, in conjunction with the Engineering Division, is also responsible for monitoring the Combined Sewer Overflow (CSO) systems. The city’s Wastewater Treatment Plant (WWTP) is the largest WWTP in the region with a current capacity of treating up to 50 million gallons of wastewater per day.
“The City operates the treatment facility under a National Pollution Discharge Elimination System permit issued by the Environmental Protection Agency and Michigan Department of Environmental Quality. The government has mandated that we treat the wastewater to specified levels of metals, nutrients, and chemicals before discharge to the Grand River.”
So much for speaking truth about power in Lansing.
LOUISVILLE WATER
Louisvile Water Company facility.
Louisvile Water Company facility.
Perhaps the most blatant falsehood put forward by the RCC involves its description of Louisville, Kentucky’s system which is in fact totally publicly owned and controlled by the city government. (VOD had to check to see if there is any other Louisville in the U.S., we were so astonished at the different versions presented. There is not.)
The RCC claims, “In Louisville, the Louisville Metro Mayor appoints all Board members and serves as an ex officio member. . . .The Board has total autonomy to make all decisions impacting operation of the utility with no other governmental oversight from the Metro Government. Annually, the utility pays a return on equity or dividend to its shareholder (Louisville.)”
The report says Louisville’s water system paid a total of $32.6 million to Louisville Metro.
Again, let’s take a look at Louisville’s website. LouisvilleWater.com is listed as a regular city department on Louisville’s government site.
“Louisville Water Company was incorporated in 1854,” says the government website. “On March 6, 1906, Kentucky State Legislature enacted legislation that called for the City of Louisville to become the sole stockholder of the company — at the time only 51 shares had remained in private hands. The act replaced the Board of Directors with the Board of Water Works and allowed the mayor to appoint four members, subject to approval by the aldermen. The act also stipulated that free water would be provided to the city and the company would become tax-exempt. The city would not be responsible for the company’s debt and all improvements had to be financed from income.”
The RCC took care to point out in its report that Michigan state law does not allow the free provision of water to anyone, but did not cite WHICH Michigan statute.
Free water systemsA report from the University of Louisiana says, “Louisville Water Company and American Federation of State, County and Municipal Employees Local 1683 have claimed the 13th annual labor-management award from the University of Louisville Labor-Management Center. . . . .Water company union and management leaders were praised for working together to improve quality and operations. As a result, water-related customer complaints have dropped by half and employee suggestions have saved the water company millions of dollars, award judges said.”
So—unionized Louisville city employees run the Louisville Water Company, in total contradiction to the implications made by the RCC.
WASHINGTON, DC WATER
Parents and children protest lead contamination in DC Water in 2004.
“DC Water was created as an independent authority pursuant to a statute enacted in 1996,” says the RCC. “Under that framework, there is an independent board of directors created that has autonomy over all operations of DC water with very limited exceptions. The 11 member board is appointed by the Mayor . . The Board must receive Mayoral and District Council approval for any sale of a plant facility or any privatization of the entire plant operations. Also, DC retains all access rights to the waterfront on all DC Water property.”
DC water logoIt says DC Water makes an annual payment to the city of Washington, D.C. of about $25 million a year under terms of a five-year Memorandum of Understanding, and that all assets are held by DC Water until all revenue bonds are repaid.
The report neglects to mention that Washington, D.C. does not have home rule. DC water was created in 1996 by both the city and the U.S. federal government.
Not long afterwards, DC Water became the focus a a huge scandal involving lead contamination of its water supply.
Marc Edwards in Washington Post article on his battle against lead contamination of DC Water supply.
Marc Edwards in Washington Post article on his battle against lead contamination of DC Water supply.
In 2001, Marc Edwards, a civil engineering professor at Virginia Tech, found that DC water contained lead levels 83 times higher than safely acceptable. The national Centers for Disease Control and Prevention (CDC) claimed the water was nonetheless safe. But a Congressional investigation prompted by articles in the Washington Post found that the CDC had made “scientifically indefensible” claims about health effects from the lead.
Edwards found that the use of chloramine instead of chlorine to treat the water was responsible, with chloramine picking up lead from pipes and solder and dissolving it into the water. Lead is a serious health hazard, particularly in children, where it can cause brain damage, learning disabilities, tendencies to violence, and other adverse effects.
In 2010, the CDC reported that 15,000 DC area homes might still have water supplies with dangerous levels of lead.
DC water
So one would think that DC Water no longer uses chloramine. But an article in the Dcist Daily this month asks, “Does your tap water smell like a swimming pool?” It explains that one month a year, DC Water cleans out its pipes using chlorine, but continues to use chloramine the rest of the year.
In an email, Prof. Edwards confirmed that is the case.
DC water sampleLeadBoy“The lead pipes are still there, and still cause lead to be higher than the EPA LCR, but not in more than 10 percent of the homes,” Edwards said. “So officially they meet the action level. They started to dose orthophosphate in 2004, which seems to have helped keep the lead on the pipes. DC WASA was a horrible disaster of a utility through 2004, and probably through at least 2010 when their manager (Jerry Johnson) was fired and a new guy was hired. Three whistleblowers were fired for reporting safety problems from 2001-2004, and two won lawsuits against the utility, after years of consumers drinking water laced with high lead.”
So much for autonomous, independent control of a basic need of human life. And so much for the 10 percent of DC households whose children still drink lead-contaminated water.
INDIANAPOLIS
The RCC report says, “Indianapolis sold its public utility groups to Citizens Energy Group in 2011. CEG holds the assets as a not-for-profit public trust and is managed by a private board of directors. . . that nominates its own successors who shall be confirmed by the Mayor. . . The sale of the water and wastewater services to CEG by the City of Indianapolis included CEG assuming $1.5 billion of current indebtedness for a total price of approximately $1.9 billion, netting the City of Indianapolis $425 million to fund general fund expenses.”
The RCC did not report the real history of Indianapolis’ water system, which has been a rocky road indeed.
Detroiters rally against water privatization.
Detroiters rally against water privatization.
According to a study on water privatization, “Indianapolis purchased its water utility from the [private] Indianapolis Water Company in 2002 and immediately privatized the operation of the system. Veolia received the 20-year, $1.5 billion deal to manage the city’s water system. This had been Veolia’s largest water contract in the United States.
“Since then, workers, consumers and government officials alike have all had problems:
◾Employees claimed the company cut their benefits by more than $50 million.
◾Residents accused the company of using unfair billing practices and overcharging them.
◾More than one million people were put on a boil alert in 2005 after a company employee entered a wrong code into a computer. This meant that before water could be safely used, it needed to be boiled. As a result, schools and businesses shut down and hotels and restaurants were forced to serve only bottled water.
◾A city councilmember criticized the company for cutting back on staffing, water testing, treatment chemicals and maintenance, and other members questioned whether the company had a financial incentive to fudge quality tests.
“ . . . .A controversial contract amendment signed in 2007 shifted millions of dollars in liabilities from the company to the city while increasing city’s annual payment to the company by $1.9 million. In total, the amendment cost the city more than $144 million. State regulators refused to allow the city to recoup some of these additional expenses in a rate increase.
“By 2010, with infrastructure needs mounting, the city opted to wash its hands of the water utility altogether and decided to sell it, along with the sewer system, to the nonprofit Citizens Energy Group. As part of the transfer, the city agreed to pay Veolia $29 million to terminate its contract early. Citizens Energy believed it could realize savings not possible within the constraints of the contract.
So, Indianapolis Water and Sewerage was publicly controlled for only a brief period of time, and its subsequent privatization of the system resulted in disaster for the city.
So much for Kevyn Orr’s alternative of privatization for DWSD.
Orr, the BOWC, the RCC, the DWSD administration, Mayor Dave Bing, Governor Rick Snyder and their corporate/banker backers need to be charged with fraud and obstruction of justice for perpetrating this flagrant hoax on the people of the City of Detroit, not to mention a federal judge.
|
|
|
|
Sat Mar 23, 2013 7:22 am |
|
|
untanglingwebs
El Supremo
|
There are currently two engineering companies involved in Detroit's corruption cases regarding the Detroit Water and Sewerage Department (DWSD). So why wouldn't they continue the trend?
The independent news story above alleges the DWSD falsified a root causes report intended for the Federal Judge. If Orr says the DWSD system is "on the line" and can be sold or if he demands $50 million in payments to the City of Detroit is demanded each year, how much stability is involved in the system? |
|
|
|
Sat Mar 23, 2013 7:28 am |
|
|
untanglingwebs
El Supremo
|
Flint to get water from Lake Huron through KWA
Dominic Adams | dadams5@mlive.com By Dominic Adams | dadams5@mlive.com The Flint Journal
on March 25, 2013 at 7:17 PM, updated March 25, 2013 at 11:11 PM Print
File Photo FLINT, MI -- Flint residents may soon get their water from Lake Huron.
The Flint City Council voted 7-1 to get 16 million gallons per day from the Karegnondi Water Authority.
"This is about compromise," said Councilman Sheldon Neeley.
Neeley got support from Councilman Joshua Freeman, after the two were previously at odds about the amount the city should withdraw from Lake Huron.
Councilman Bryant Nolden was the lone "no" vote.
"It was a protest vote," Nolden said. "I just feel like the Flint River is our best option."
Genesee County Drain Commissioner said construction of the pipeline could start in May.
The city currently pays to get its water from Detroit.
State treasury officials still must approve the city council's move because Flint has an emergency financial manager. All expenditures over $50,000 must be approved.
Dominic Adams is a reporter for MLive-Flint Journal. Contact him at dadams5@mlive.com or 810-241-8803. Follow him on Twitter, Facebook or Google+. |
|
|
|
Mon Mar 25, 2013 11:24 pm |
|
|
untanglingwebs
El Supremo
|
jacksondm The story is somewhat mis-leading. The proposal was for 18 units and the first vote was to amend the resolution to require the city to get only 16 units. That was opposed by the three members mentioned. THEN - after the amendment went through, the full Council (minus the absent Weighill) voted 7-1 in favor of the amended resolution. So 7th ward absent; 3rd opposed; all other members supported the amended resolution. The earlier version of the story was really screwed up. ...
Dominic Adams | dadams5@mlive.comYou are correct jacksondm. I corrected the earlier version. What do you think of council's decision to approve purchase 16 million gallons per day through the KWA?...
jacksondm Thanks: sorry for the negative comment - but I thought clarity was needed. I'm super pleased at the final vote. I have some reservations about the smaller amount - but it will be OK for some time. Far into the future, especially if there is industrial growth in the area, the smaller amount could prove to have been a bit shortsighted -- but NOT for Years I suspect. ...
Phillip LaBarge Dominic I think you meant at odds not at odd. You should also make all the print the same size....
Phillip LaBarge So now en the EFM sells the water treatment plant like he talked about months ago will you be surprised?...
jacksondm Not necessarily: since the new line will bring untreated water into Genesee County, it's possible that (a) the current plant will be the primary treatment plant, or, (b) the plant will still serve as the back-up supply - i.e. from the river. Just as now, the river could supply water for 3 days to (maybe) 3 weeks in an emergency. ...
Phillip LaBarge Acording t Write it could supply all of the water Flint needs. It would just make it harder for those downstream in dry times. It also limit public use by motor engines like on boats. Keep in mind if the EFM sells the plant we will be forced to pay new overloardsof water, just not Detroit. But maybe a group of people who put up funds to cover current debts the city has....
Dominic Adams | dadams5@mlive.comThis story has been updated to reflect the correct vote tally. Council President Scott Kincaid, Council members Claudia Croom and Jackie Poplar all votes against the resolution to get water through KWA at the 16 MGD. Once the amendment got through, council approved it 7-1 with a Councilman Bryant Nolden being the lone dissenting vote. Councilman Dale Weighill was absent for the vote. ...
WOW55And the 8th ward? And why did Kincaid change his tune?...
jacksondm Kincaid opposed ONLY the amendment: he has supported the KWA all along. Sarginson (8th Ward) voted yes both for the amendment and for adoption of the final (as amended) resolution. ...
Add Your Comment
427435They surprised me .... thought the vote would go the other way. |
|
|
|
Mon Mar 25, 2013 11:38 pm |
|
|
untanglingwebs
El Supremo
|
6commentsFlint City Council approves resolution to buy water from Karegnondi, state approval still needed
Dominic Adams | dadams5@mlive.com By Dominic Adams | dadams5@mlive.com The Flint Journal
on March 25, 2013 at 10:45 PM, updated March 26, 2013 at 1:28 AM Print Email
FLINT WATER PLANT04
Guests get a look at an ozone generator at the Flint Water Treatment Plant during a public tour in this file photo.
MLive.com File Photo FLINT, MI – Flint is one step closer to getting its water from Lake Huron as part of the Karegnondi Water Authority.
The vote, approved 7-1 at the Flint City Council meeting Monday, March 25, may have set in motion the end to Flint paying to get its water from Detroit.
Under the proposal, Flint would get 16 million gallons per day of raw water from Lake Huron, pipe it to Flint for treatment and then sell it to customers throughout the city. Another 2 million gallons per day would come from the Flint River and will be treated in Flint.
Mayor Dayne Walling said the Department of Environmental Quality must approve Flint’s getting 2 million gallons per day from the Flint River.
Tuesday’s meeting followed weeks of discussions and special meetings surrounding the resolution.
“We got there,” Councilman Joshua Freeman said. “That’s the important thing.”
There were more than 50 people at Monday’s meeting.
“Going with Karegnondi is the best decision. We have no opinion on the economics of the decision,” said Rebecca Fedewa, Flint River Watershed Coalition executive director. “If we start drawing water out of the Flint River, we are at risk of having to start releasing water from our reservoirs.”
Genesee County Drain Commissioner Jeff Wright said the decision must still be approved by a county water and waste advisory board. The KWA board will then be reconvened for final approval.
Wright said construction could start in May.
State treasury officials still must approve the city council's move because Flint has an emergency financial manager. All expenditures over $50,000 must be approved.
Genesee County Drain Commissioner Jeff Wright has said that Flint would pay roughly $6.4 million annually for water service if it joined the pipeline – a nearly $4 million savings on what it pays Detroit for water.
Walling previously said the city would save $19 million over eight years by getting water from the KWA.
“It’s a historic night in the City of Flint,” Walling said. “The savings will be less with the capacity level approved by city council because there will be increased treatment cost for the river water.”
He said the DEQ told the city it needed to get 18 million gallons per day or there would have to be additional work done at Flint’s water plant.
Flint’s water plant and the Flint River is currently the backup for Flint and Genesee County, however, the plant only operates four times per year.
Councilman Bryant Nolden was the lone dissenting vote.
“It was a protest vote,” Nolden said. “I knew they had enough votes. I just feel like the Flint River is our best option.”
Karengnondi is the regional water authority that includes Genesee, Lapeer and Sanilac counties and the cities of Flint and Lapeer.
Flint is the second municipality, behind Genesee County, to officially decide to purchase raw water through the KWA. Lapeer city officials said they intend to purchase water, but an agreement has been finalized.
Dominic Adams is a reporter for MLive-Flint Journal. Contact him at dadams5@mlive.com or 810-241-8803. Follow him on Twitter, Facebook or Google+.
Email
»
Kevin58If this is going to be a savings for the city you might want to investigate why downtown apartment residents are getting notices on their doors that due to the water rate increase their rents are going to be raised by as much as $150/month....
jacksondm
The savings will occur AFTER the line is built ! Unfortunately, there is no immediate relief from the overcharges from Detroit. ...
reedumannweep there are no savings on the way- your water bill will only increase the water customers will be the ones paying the millions & millions of $$s that this KWA pipeline will cost & we won't see it being paid off, or our water bills going down in our lifetimes. However, this is Fantastic news for county drain commissioner Jeff Wright who btw is also the CEO for the KWA, And for Mr. Flint Mayor, Dayne Walling (Rhodes scholar) who also is a chairperson for the KWA.
Those guys got it made ! ...
jacksondmWrong: the key point missing from much of the discussion is that the current pipeline (also from Lake Huron, by the way) but OWNED by Detroit is nearing the end of its useful life and will have to be replaced - probably within about the next ten years. So - the only REAL question is shall we have a voice in the construction
ation of new pipeline and share the cost with at least three counties and a city (or more) -OR - shall we allow Detroit to build and operate the replacement pipeline and just "TRUST THEM" to charge us a fair and reasonable amount for the new line -- and then -- to 'hold us hostage' for the next 50 years? ...
jacksondmThis is a critical step forward in the process of freeing us from our dependence on the City of Detroit's virtually absolute control over the Flint and Genesee County water supply. In the past, Detroit has charged Flint more than any of their other 'customers' and has absolutely refused to give the area a voice on the Water Board. This vote - while only a 'first step' in the process - means we are on track for a cost-shared project that will assure a safe and adequate water supply for the rest of this century. One hopes that the EFM and the State will both concur. ...
juror6How is this good news? They effectively voted to delay the project by silly stipulations that will certainly cost the city more. Typical Flint leadership – all drama and poor decisions. |
|
|
|
Tue Mar 26, 2013 1:45 pm |
|
|
|
Forum Rules:
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
|
|
|
|
|
FAQ
Search
Memberlist
Register
Profile
FlintTalk.com Forum Index
> Political Talk
