If There's No Consequences For Non-Payment, Don't Be Surprised When There's A Lack Of Payments

Ah, Detroit.

To no one's surprise, or at least to no one who was paying attention, when  Detroit announced a moratorium on water shut offs at the start of Covid, Detroiters stopped paying for water.

How much didn't they pay?  $38 Million dollars worth.  

Not pocket change, and a pretty large receivable resulting from the moratorium.

Payments dropped 20% after the moratorium was announced.

So they're now going door-to-door asking the scofflaws to pay.

The Detroit News: Detroit's water department will go door-to-door as shutoff moratorium losses for city mount

Asking people to pay nicely, when there's no penalty for doing so, is likely not going to do much.  

The moratorium for any consequences for non-payment continues.

Of course, the Detroit community organizers expect water should be free: 

"Water is a human right," said [former city council member now community organizer JoAnn] Watson. "We don't have to pay for sunlight. We don't have to pay for the air we breathe. I don't believe anybody should have to pay for water."

That's the standard Detroiter, if not also the standard Democrat, mentality right there.

Sunlight and air don't need expensive pipes, water treatments, maintenance, and skilled personnel to get water to people. 

If you want free water you can always trot down to the Detroit River with a bucket, but to have it piped to your home and having it arrive safe to drink takes skills, equipment and the money to pay for it.  See Flint for what happens when shortcuts are taken.

No worries though, with the glories of regionalism, it is highly likely the rest of us will end up being the ones paying for the Detroit water debt.

Regionalism = Blue Area Bailouts Yet Again

Water rates in Southeastern Detroit are going up yet again.  The Great Lakes Water Authority, successor to the corrupt Detroit Water and Sewage Department, as regionalised in the Detroit bankruptcy bailout, just announced a 3.7% rate hike - and to continue to increase at that rate each year for the next five years.

The Detroit News: Regional water authority OKs 3.7% water rate hike.

Why are they increasing among the entire region?  Well, half of the increase is because one Democrat-controlled city,  Highland Park, just isn't going to pay its water bill, making an audacious argument that it should only have to pay for water at rates set in 1996 ignoring all increases since then.

Almost half or about 1.15% of the 2.4% sewage rate hike in 2023 owes to Highland Park's debt, officials said. The unpaid debts are passed on through rates to GLWA's remaining member communities. The rates go into effect July 1. 

Regionalism is, and has always been, a slickly advertised scheme for blue cities/areas that have mismanaged their funds via living beyond their means giving unsustainable benefits and pensions in return for votes, or by straight-out corruption, to be able to not just kick the can down the road, but to get other people to bail them out and pay for their largesse.

As Predicted, Regional Water Department Siphons Off Suburbs' Funds For Detroiters

Regional - a term floated by many in the southeastern Michigan area, is a euphemism for having the suburb counties pay for Detroit's financial losses caused by corruption and malfeasance.

And so it is with the The Great Lakes Water Authority, our Regional water department borne out of Detroit's bankruptcy and incompetence.

As predicted, The GLWA, formerly the DWSD, is now going to siphon money from the suburbs to subsidize Detoiters.

The Detroit Free Press: Detroit to get $1.2M to help households pay past-due water bills, aid conservation education

The Great Lakes Water Authority is transferring more than $1.6 million to Detroit and Flint for conservation education and to help customers pay past-due water bills.

Board members transferred the Water Residential Assistance Program funding from uncommitted 2019 bill assistance funds from Wayne, Oakland and Macomb counties.

Yep, using suburban ratepayers funds for Detroiters who either can't or more truthfully prefer not to pay for their own water. Regionalism at its best. Interesting that they were open this about it, I expect that 1.6 million to be just the beginning, and given how they've been charging the suburbs more for water than Detroit from the start its really not surprising that they're now openly diverting money from the suburbs to the city.

In another example of how regionalism works in this area, the Detroit Institute of Arts is looking to continue their regional millage - and renew it where Oakland and Macomb pay twice the amount of Wayne County where the DIA is located:

If approved, the renewal will draw about $13.6 million from Oakland County taxpayers annually, $5.8 million from Macomb County residents and $8.5 million from Wayne County taxpayers.

Expect more calls for Regionalism as they push for a regional transit system with Oakland and Macomb counties footing the bill for transit in Detroit.

Regionalism - Blue State-ease for "Bail Out"

Regionalism sounds like a wonderful idea, everyone in a region living in harmony and being interdependent and all that. Nice that is, until you get to the details.

Regionalism and interdependence nowadays means that well-run suburbs and areas outside the failed blue-state model cities will bail out the blue state cities' failures.

The Detroit News: Editorial: Highland Park should pay its own water bill

Highland Park, a city landlocked within Detroit, is indeed a showcase of the failed blue state model in Southeast Michigan - a city that didn't even bother sending out water bills for years. Couple it with the failure of the blue state model at the Detroit Water and Sewer Department to even bother trying to collect on the debt for years and you get the current situation where the suburbs are now picking up the tab.

No, it didn't take any special foresight to predict that counties around Detroit would get hosed in the deal, and sure enough it looks like that's happening, starting with all the region having about 3.2% of an upcoming 5% water rate increase to paying off Highland park's unpaid water bill of $30 Million dollars.

As predicted, the regionalism of the corrupt water and sewer department was indeed done to bail it and the City of Detroit and now the City of Highland Park out of their corrupt and failed mismanagement.

As If You Didn't See That Coming In Southeastern Michigan

The Detroit Water and Sewage Department, now with the suburbs paying an even larger share of the bill in return for  few seats at the table is announcing some heavy rate increases to cover the deferred maintenance that occurred under the prior corrupt regime.

The Detroit Free Press: Suburbs warned: Double-digit water rate hikes possible

The projected increases come as the region prepares to launch the new Great Lakes Water Authority, a regional entity that will manage the department, which the City of Detroit owns. The authority was created as part of Detroit's bankruptcy and included a promise that it would limit budget increases to 4% annually.

But that doesn't mean rates can't rise more than that, officials said today.

That promise "was always that we would not move forward with a budget request that was more than 4% from the prior year," water department Director Sue McCormick said. "But that was a budget that contained a lot of unknowns, and some estimates, and some contingences, so by the time we got the bond documents for planning purposes, we had changed our projections."

Yeah, 4% doesn't mean 4%.  Yet again, the suburbs were sold a bill of goods on this deal, actually the suburbs did exactly buy the deal, instead they suffered getting the "goods" rammed down their throats in the Detroit bankruptcy and grand bargain extravaganza.

Interestingly enough, according to the article, at least some of those that knew this was coming when this was being promoted as a great deal were under a gag order and not allowed to talk about it.

Regionalism apparently having the suburbs bailout and pay for the corruption and ineptitude of the city of the designated region, after the city has run out of its own money to waste and divert to politician's and crony's pockets.

I'm So Glad The UN Has Managed To Solve All The World's Problems.

They must have, as they've taken time out of their busy diplomatic schedule to lambaste Detroit for daring to shut off water to scofflaws in the city that aren't paying.

Oh, half of all the water department accounts in Detroit are delinquent. That along with the extensive history of corruption in squandering and diveritng the funds form the half and the suburbs that do pay is why the water department is in such bad shape.

The Detroit News: UN says Detroit water cutoffs may violate human rights

According to the UN Office of the High Commissioner for Human Rights, free water (or to be truthful, water paid for by others) is a human right.

Funnily enough, the Universal Declaration of Human Rights doesn't list free water as a human right.

Curiously, the Detroit News did not quote the part from the news release where ther UN further beclowned itself by claiming that “If these water disconnections disproportionately affect African Americans they may be discriminatory, in violation of treaties the US has ratified,” Farha added.

Hard to see how it could be disproportionate, since the city is majority African American, and it will be African Americans doing the shut offs for non-payment by the freeloaders, and one can expect the shut-offs to be likewise proportional.

Just glad to see the UN Human Rights Council Is focusing on the real important human rights violations of the day, even if they only exist in the vile prog's and Tranzis fevered imaginations.

Oakland County To Detroit's EFM: No To THE DWSD Pig-In-A-Poke

Okaland County has formally announced they won't be the sucker in the regionalization of Detroit Water and Sewer Department.

Regionalization in this context appears to mean let Detroit reap the benefits of both its past use of the DWSD for corruption to enrich its politicians and for a future benefit of annual lease payments and the suburbs get stuck with all the costs such as deferred maintenance and pensions.

Thankfully the head of Oakland County, Brooks Patterson said no.

The Detroit News: Detroit area water authority talks hit cutoff

The whole article is worth reading to see the games Detroit is playing in this DWSD leasing arrangement. The games include not disclosing the financials; nor the actual expected and differed maintenance amounts for work that needs to be done on the system; putting the counties on the hook for pensions for personnel; and most especially for the extra 700 workers Detroit had already have stated aren't needed to run the system but will only be retired in 2022.

In other words, Detroit wants the surrounding counties to pay for all the undone maintenance that's not been performed for years while Detroit ran the system, and on top of that to pay 700 excess workers to go sit in a playroom and collect checks for the next 8 years - nice work if you've already got it.

I'm glad Patterson is keeping Oakland County far away from this mess and not being the sucker at the table.

Detroit's Democrats have ran out of their people's money and now they're trying to find another source of other people's money, and fast before the whole house of cards completely caves in.

He's Gonna Need A Bigger Tinfoil Hat

One of The Detroit News' more far-left progressive columnists decided to hit one far out into murkiest left field today regarding the Detroit Waters and Sewage Department.

As you may or may not know, the DWSD was a hotbed of featherbedding and corruption and acted as a political slush fund for the Democrat powers-that-be in Detroit and has been suffering from neglected and deferred maintenance as the monies were diverted into Democrat politicians' preferred projects and pockets, which often amounted to the same thing.

The Emergency Financial Manager of Detroit, Kevyn Orr, has been busy trying to pull a fast one on the suburbs to have them pay big money for the original Detroit pig-in-a-poke.

Now Orr, instead of giving the suburbs the actual financials for the DWSD, is threatening to take his ball and go home by stating he's going to either privatize operations or sell the DWSD to a private vendor outright.

"Aha!" writes lefty opinion writter Rev. Robert Smith, that must have been the real plan all along!

Rev. Robert Smith: News flash: Kevyn Orr wants to sell the Detroit Water Department

Was that not the plan all the time? Come on, let’s not play games or pretend this is something that can’t be avoided.

We all know that Detroit Emergency Manager Kevyn Orr came to carry out the Republican plan to take over any and everything that gave Detroit and Detroiters clout.

Yep, Mr. Smith has gone the full leftard, and you really never want to go the full leftard. Then again, this isn't anythign especially new coming from Mr. Smith.

here has been a battle for the water department going on for 40 years. It was one of the jewels that beloved Mayor Coleman A. Young was hated for holding onto by the L. Brooks Patterson-types in the suburbs.

After Orr, there will be no more fighting for the jewels of Detroit.

We all will be Michiganians, and our claim will be the fact that we live in Michigan. Detroit will be only a byword heard every once and a while as we enjoy the state park we call Belle Isle and drink the water owned by millionaires.

Orr may be the executor, but the people who planned this takeover have been around for a long time.

Now that's quite the hilarious conspiracy theory.

After all, it was Detroiters that ran the city and the DWSD into debt through corruption and neglect. It was Detroiters that turned their jewels into paste by neglecting and dumping trash on them and otherwise failing to keep them in good condition.

I don't know if Smith just shared some of Cushingberry's stash, or if his current tinfoil hat shank a bit or what, but to spin such a silly whale of a conspiracy theory, he's gonna need a bigger tinfoil hat than what he's already got.

Counties Reluctant To Take Opaque Detroit Water Deal

Two articles show Oakland and Macomb Counties fail to be taken in by the latest Detroit offer regarding its Water and Sewer Department:

The Detroit Free Press: Oakland County Executive L. Brooks Patterson on Detroit water deal: 'We're probably going to walk'

The Detroit News: Detroit water deal not close, Oakland County says

Since the opening demand from the city for the Counties to pay $200 million a year to lease the system from Detroit, their latest offer is now down to $47 million per year for 40 years. This seems less a reflection of its actual value than an admitted attempt by Detroit's EFM to get a steady flow of cash heading to the bankrupt city.

Unfortunate, the City and EFM have yet to provide the suburban counties current financials or reports on the state of the system. I expect lots of expensive differed maintenance will be revealed as the Water department since the days of Coleman Young has been run as a source of a slush fun and featherbedding for Democrat politicians in the city at the suburbs' expense. Think pig in a poke.

After all, the recent massive water line breaks causing two foot high floods on some main streets in Detroit hardly boost confidence in the state of the system.

Any suburban official crazy enough to enter into a lease on a system without knowledge of its current state and maintenance requirements would be insane. Oh, Wayne County Exec Ficano is all in favor of the deal, which certainly tells you something.

It tells you Oakland and Macomb County should run, not walk from this latest offer before they and their taxpayers get taken for a very expensive ride.

A Supposed Bargain For Detroit's DWSD Pig In A Poke?

Detroit's EFM, Kevyn Orr, has recently come down in his asking price for the suburbs to "lease" the Detroit Water a Sewer Department.

Previously,he was pushing them to pay $9 Billion for a lease on the water department.

He's now down to offering the lease for $1 Billion.

The deal would still keep the city the titular owner of the water department and the suburbs would pay $47 million a year in lease payments and in return get equal spots on the Water Board to oversee operations.

The Detroit Free Press: Suburban leaders cautious on regional water authority proposal

No kidding they're cautious. The EFM a few months back tried to take them for nine times the current offer, and the current offer doesn't disclose all the details of what really needs to be done to fix and maintain the water department after its been used as a political slush fund and featherbedding unit of the corrupt Detroit administrations for years.

Even at a better price, Orr is still trying to offer it as a Pig In a Poke:

Oakland and Macomb counties have been demanding updated financial details from the city on the department’s operations, as well as engineering studies that would outline expected maintenance and repair costs. Without that information, it’s impossible to agree to a lease payment, Hackel said.

In a regular deal, the financials would be provided up front to the prospective buyer would know what they're getting into. That they're not being given this information suggests that Orr wants to sell the DWSD off to them before the reality of the situation is shown and the cat is out of the bag.

The suburban executives are darn right to be cautious and insist on full disclosure before proceeding, especially given Detroit's duplicitous track record.

My bet is the financials reveal a shambles, display there's tons of outstanding required deferred maintenance, and that if the suburbs accept the latest offer, We're going to be hosed.

EFM Trying To Fleece Suburbs To Benefit Detroit

The Emergency Financial Manager of Detroit you must remember is a Democrat, and as a Democrat his first thought is to grab for other people's money to get revenue after decades of squandering of monies in a now broke Detroit due to corruption and mismanagement.

The Detroit Free Press: Suburban leaders blast plan to lease water, sewer assets for $9B

Suburban leaders are blasting a plan by Detroit emergency manager Kevyn Orr to get customers across the region to pay the city as much as $9 billion over 40 years to lease the assets of the Water and Sewerage Department.

For those not up to speed on the Detroit Water and Sewage Department that EFM Orr is now trying to lease to the Suburbs for $9 billion let's recap: This is the same entity that was used as a political slush fund and source of no-bid contracts by Detroit's politicians, most notoriously Kwame Kilpatrick and friends, This was a department that has been sticking it to the suburbs with rate increases for featherbedding and passing the money to other Detroit departments while critical infrastructure was not properly maintained.

And now he wants to lease it, deferred maintenance obligations and all, to the same suburbs that have been getting the short end of the department's operations this entire time in exchange for the suburbs paying Detroit 9 Billion dollars?

Oh, hell no.

Corrupt Detroit Water Department To Finally Face Some Competition

After being used as a featherbedding and slush fund location for corrupt deals by Detroit's Democrats, the Detroit Water and Sewer Department may be facing some competition.

With the suburbs and other municipalities fed up with increased rates due to the costs from Detroit's corrupt contracts and resultant deferred real maintenance at the DWSD and with the suburbs getting hit with highly-inflated annual increases to allow Detroit politcos to pay off their contributors with the suburb's money, change may just happen.

The Detroit News: Genesee Co. plan to draw own water stirs Detroit fears

The fears being of course that the good old days of political patronage and corruption using other people's money may be coming to an end.

Detroit — The city's water department spokesman declares it "the greatest water war in Michigan's history."

The cash-strapped city of Flint calls it a chance to save its residents millions.

A plan by Flint and other Genesee County communities to break away from Detroit's water system and draw their own water through a new pipeline from Lake Huron is generating controversy.

Detroit Water and Sewerage Department officials warned that residents throughout the region will be saddled with higher rates if Flint succeeds with the project.

Of course, it will be harder to hide the costs and increases due to corruption when you have a smaller base to spread the increase around.

Flint represents 6 percent of Detroit's total water revenue, said Bill Johnson, Detroit water department spokesman. The department stands to lose about $22 million immediately if Flint separates, and the "fixed cost component" of that will have to be spread across the remaining 3 million water department customers, he said.

The plan involves Flint joining Genesee and neighboring counties in the Karegnondi Water Authority pipeline.

Maybe DWSD should have thought of that potential before turning the DWSD into a sewer of corruption with the no-bid friends of Kwame contracts and union featherbedding for horse-shoer positions. It was a rather sweet deal - reward your friends with inflated contracts with the costs borne by the suburbs and they would funnel campaign contributions your way and union support in the form of contributions and votes for cushy positions and twice the number of union employee positions per gallon delivered as Chicago.

Thankfully that may be coming to an end.