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Council votes against administration’s proposal concerning water rate increase

Written by Tanya Terry
At a recent special meeting of the Flint City Council, the council discussed the expected increase water rates from GLWA, the Great Lakes Water Authority, of 5.8%. Council members also held a vote pertaining putting

“This administration works for you, the residents,” stated Mayor Sheldon Neeley at a March 5 press conference.

He added: “We will continue to fight for you and work for you to make sure the increased cost of water will
Neeley encouraged residents who are concerned about the water rate increase to reach out to their council people.

“We have a strong budget, one of the strongest budgets in the last two decades here,” he stated. “We presented it to them to make sure that you will be insulated from any increase from our water provider. They said no.”

Neeley stated that his administration presented numbers to the council.

“They asked for more numbers, but it gave them an opportunity to make an excuse to not protect you, the residents. So you, your families need to be able to weigh in on this. It will be a council meeting on Monday. I encourage you to come down to witness where they are. Ask them the point blank question: ‘Are you proposing that our water rates go up or not?”‘

The GLWA water contract was put in place in 2017 for 30 years.

Neeley stated a water rate increase of about 12% in the last nine months has been passed on to the city of Flint from the water provider. He said with that water rate increase, the City “insulated” the residents by putting $2 million in the Water Stabilization Fund.

“We don’t have all the answers to be able to perform saying how do we get beyond the level of increase from our water provider, but we’re working toward that. But in the meantime, we need to insulate you, the voting residents of this community, the bosses of this community from water rate increases.”

Regarding several council members stating they were hesitant to approve the administration’s proposal because they were unsure of the exact amount that was left in the ARPA fund, Neeley said the following:

6th Ward Flint City Councilwoman Tonya Burns told the Courier “overall the council wanted to see a plan.”
Burns added: “We’re going to receive water increases, not just with GLWA rates and their rate, but also in addition, we have to take out loans to satisfy what is mandated with the administrative consent order.
“So, we cannot continue to balance the Water Fund with ARPA. ARPA was a one time lump sum payment of $94.7 million. And this administration has struggled to give us what the balance is.
“…Last year, we voted to give $2 million. It was temporary. It came with no plan.
“Mayor Neeley came into office November 2019. He was well aware that this 30-year deal was in effect. We’re now in 2026, seven years later. He doesn’t have a plan. When you don’t have a plan, you’re failing to plan.
“So, with looking at we won’t have resources or revenue, at some point it’s going to hit residents in a lump sum. And the question is: ‘What is his plan?’ He sent it prematurely without a plan. He did it last year without a plan.
“He kept saying he had a fund balance. That was not true. He had a $13 million deficit, and we had to go back to the prior budget.”
“…You’re going to have to deal with it. You have a real water rate. Our funds aren’t going to last forever.”
Burns stated she would prefer the mayor to come present his plan before the public, rather than require council members to discuss it in his office.
She also stated she has asked the City’s legal team for a legal opinion on what it would look like if the City were able to get out of the contract with GLWA.

 

 

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