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untanglingwebs
El Supremo
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Flint Emergency Manager Michael Brown says selling city water and sewer
systems can't be ruled out
Published: Sunday, January 29, 2012, 8:00 AM
By Ron Fonger | Flint Journal
FLINT, Michigan -- The city's emergency manager is considering selling off Flint's water and sewer plants to the highest bidder, potentially generating a one-time windfall of millions of dollars to help steady the city's shaky finances.
Emergency Manager Michael Brown confirmed that a sale of the plants is among the options under review by his office and said he is "nowhere near a decision on that."
"We have said everything is on the table," Brown said. "Examining our asets (is) all part of the analysis."
Brown isn't discussing specifics, including whether a sale might involve the entire water and sewer systems, including the pipes that carry waste and water to homes and businesses.
Word that Brown was considering such a sale came from Genesee County officials, who believe the move would complicate and set back the proposed water pipeline to Lake Huron.
County Board of Commissioners Chairman Jamie Curtis wrote to Brown Jan. 23, saying he was "worried that if Flint is considering sale of this asset, that there will be adverse impact on the Karegnondi (Water Authority) project."
Flint joined the Karegnondi Water Authority with the city of Lapeer as well as Genesee, Lapeer and Sanilac counties, but has yet to sign a capacity agreement, spelling out how much raw water it will commit to buying.
Jeff Wright
"The only thing holding back a construction start is Flint's signed capacity agreement," Curtis' letter to Brown said.
As it's designed now, the pipeline has the capacity to carry 85 million gallons of water each day from Lake Huron to the Karegnondi communities.
Curtis called the pipeline "one of the most important economic initiatives currently underway" and asked Brown to commit the city to it "as soon as you are able."
"We cannot miss another construction season for the project," the letter says.
Brown said he's aware "the county wants (a decision) as soon as possible. We are doing everything we can to (do) it fast."
Brown said the city is not currently involved in talks with a specific potential buyer for its water and sewer systems.
Flint Councilman Scott Kincaid said several council members agreed with Mayor Dayne Walling that the city should commit to purchase up to 25 million gallons per day from the pipeline.
But since Brown was appointed emergency manager by Gov. Rick Snyder, Walling and the council no longer have authority to make such decisions.
"I think (Brown) is just looking," Kincaid said of discussion about selling the water and sewer plants. "People get appraisals on their houses. It doesn't mean they are going to sell them."
The councilman said he hasn't been told that the water and sewer sales were under discussion and compared the idea to privatizing garbage collection, leaving city residents at the mercy of for-profit company.
"It's not something I would do," Kincaid said. "I think we are better off coming up with an agreement for the KWA."
County Drain Commissioner Jeff Wright said he knows the city's is investigating a sale of its plants because he was asked if the county would be interested in buying.
"I said no," Wright said, adding that his office might have interest in operating the city's water and sewer systems as an alternative.
"The city should keep its facilities," Wright said. "It's self-sustaining (and) one of the only assets that generates (positive revenue)."
The drain commissioner said he believes Brown will decide that committing to the water pipeline is in the city's best option.
Although no purchase price was discussed, Wright said both the water and sewer plants would cost in excess of $50 million to replace.
Wright said the KWA pipeline project wouldn't automatically collapse if Flint decided to drop out as a partner but said the project would have to be re-evaluated and possibly down-sized.
The drain commissioner said he prefers to wait -- even if it takes until the second half of 2012 -- for Brown to make a decision he's comfortable rather than pressuring him to make a decision quickly.
County officials have advocated for the pipeline because of rising prices for treated drinking water that is currently pumped here by the city of Detroit.
Assuming water use is static and that the city of Detroit takes on no new debt, Wright said he anticipates the cost to Flint and Genesee County will rise from $22.3 million in 2012 to $35.3 million by 2016.
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Sun Jan 29, 2012 9:18 am |
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untanglingwebs
El Supremo
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Brown is discussing selling our water and sewer plants as well as the operating systems. With the systems in private hands who will safeguard the residents?
Previous estimates of the needed repairs to Flint's water and sewer infrastructure ran between $50 to 75 million. Plus we have the revolving loan fund from the state to repair for upgrading the water plant.
How will privitizing save residents money? I see more vacant homes on a daily basis so fewer residents to cover even Flint's fixed costs means local increases. Most of the staff in these plants require state licenses and there are few exceptions. Cut their salary and benefits and watch them relocate to a more beneficial working environment.
What will the impact ont the county be as they buy their water from Flint? They have their own sewer plants. Who covers the fines and expenses when the sewer plants discharge raw sewage into the river, and it happens on far too regular a basis.
How will thes private corporations make a profit? Will higher water costs prohibit manufacturing jobs from coming to this area? |
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Sun Jan 29, 2012 9:20 am |
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JCARPENTER
F L I N T O I D
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| You havent seem nothing yet.Just wait until this over paid puppet for the Mott Foundation,Genesee Chamber and Uptown Developers get thru dividing up the rest of Flints valuable assets.Remember the army reserve center given to Mott for a dollar and Chevy in the hole taken from Flints DDA and turned over to the land bank? Guess who did this? Yup Brown our very own crowned mayor-crowned take over guy. Notice anything else?you and I had nothing to say about it, so much for your voting rights. |
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Mon Feb 06, 2012 8:22 am |
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untanglingwebs
El Supremo
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The michigan Messenger-an Independent newspaper
Pontiac EM hires accused felons to run water dept.
By Eartha Jane Melzer | 06.09.11 | 1:02 pm
Pontiac’s Emergency Manager Michael Stampfler privatized operation of the city’s water treatment last month by signing a contract with United Water, a New Jersey-based subsidiary of the French company SUEZ ENVIRONNEMENT. This company has been indicted on felony charges related to its operation of the wastewater treatment facility in Gary, Ind.
Chris Savage at a2politico.com gives a run down of United Water’s troubling history, including this U.S. Justice Dept. and Environmental Protection Agency announcement from Dec. 8, 2010.
WASHINGTON – United Water Services Inc., the former contract operator of the Gary Sanitary District wastewater treatment works in Gary, Ind., and two of its employees, were charged today with conspiracy and felony violations of the Clean Water Act in a 26-count indictment returned by a federal grand jury, the Justice Department announced today.
United Water Services Inc., and employees Dwain L. Bowie, and Gregory A. Ciaccio, have been charged with manipulating daily wastewater sampling methods by turning up disinfectant treatment levels shortly before sampling, then turning them down shortly after sampling.
United Water Services entered into a 10-year contract to operate the Gary Sanitary District wastewater treatment works in 1998, in exchange for $9 million annually. United Water’s contract was renewed in May 2008. As contract operator, United Water handled the operation and maintenance of the treatment works, and was responsible for environmental compliance. To ensure compliance with the discharge permit, United Water was required to take periodic representative
wastewater samples, including a daily sample to determine the concentration of E. coli bacteria in the wastewater.
According to the indictment, the defendants conspired to tamper with E. coli monitoring methods by turning up levels of disinfectant dosing prior to E. coli sampling. The indictment states that the defendants would avoid taking E. coli samples until disinfectants had reached elevated levels, which in turn were expected to lead to reduced E. coli levels. Immediately after sampling, the indictment alleges, the defendants turned down disinfectant levels, thus reducing the amount of treatment chemicals they used.
The Utility Workers Union of America has more on United Water here.
6 Comments
indaup
Typical Republican solution......take jobs away from people in MIchigan and give them to felons in another state. So Michigan money goes to New Jersey and the Pontiac water system is probably unsafe. How does this help the local economy???
MichiganPutkidsfirst
Why to go! Take jobs away from Michigan workers. When are the people of Michigan going to wake up to what is going on in this state.
Jon Awbrey
My reply to a remark at Rick Snyder For Michigan —
❝
Just some things to think about …
Questions that come to mind right off the bat are —
Does the Public really maintain the same levels of accountability, oversight, and transparency that the public well-being requires once the responsibilities for public health are outsourced to a private profit corporation?
Given all we know about human mendacity and perfidy in any sphere, what sort of safeguards should we trust more — the invisible hand of private profit governance or the visible hand of public service governance?
❞
http://www.facebook.com/permal...
Zera Lee
Shipping profits derived from taxpayer dollars out of state helps the Michigan economy how?
Betsy Rose
This is very scary. People in Pontiac will probably have to start dying from e coli for any changes to be made. Very sad. I think they should get their water tested and if its not safe sue Rick Snyder and HIS efm. Get it all!
Zera Lee
Water, water, everywhere,
But ne'er a drop to drink.
Complain to corporate management,
You'll find them in the clink.
What was Stampfler's criteria for vetting bidders, Google?
Or maybe we should follow the money |
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Tue Feb 14, 2012 1:29 pm |
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