Mayor Rahm Emanuel vowed Thursday to wring $15 million in unpaid water bills out of four suburbs that have been collecting water rates from their own residents, but stiffing the city that turned on the spigot.Harvey is the biggest suburban deadbeat, with a $6.2 million debt that dates back years, according to a joint investigation by Channel 2 and the Better Government Association (BGA).
Robbins is close behind with a $6.1 million debt. That’s followed by Dolton ($1.7 million) and Maywood ($1.6 million).
On Thursday, Water Management Commissioner Tom Powers met with Dolton officials to iron out a payment plan. Similar talks are also under way with the three other suburban scofflaws. Emanuel sent letters to all four suburbs.
If the negotiations fail to produce terms agreeable to both sides, the cases will be referred to the Department of Revenue for legal action, officials said.
“Taxpayers of the city of Chicago are owed around $15 million. [The city is] putting in place … a process of collecting that money. We’re weeks ahead on that,” Emanuel said.
Harvey Mayor Eric Kellogg could not be reached for comment.
But Emanuel will have a tough time collecting even a penny from the Village of Robbins, where the unpaid $6.1 million water bill dates back three or four years. Village administrator Napoleon Haney said the cupboard is bare.
“Unfortunately, we don’t have the money. If we had it, we’d pay it. But, we don’t. We don’t know if our doors will be open. It’s difficult even meeting payroll. A portion of the water bills have been subsidizing operations,” Haney said.
“We have a lot of poor people. The community is severely distressed and impoverished. We’re probably being sued by, you name it. We’re just in a rough place right now. If your general fund is sitting on $23,000 and that’s the highest it’s been in a couple of months, how do you provide” basic city services?
Emanuel also reiterated his campaign promise to turn off the free water spigot to hospitals, churches, universities and other non-profits. The change will be part of the 2012 budget he will unveil on Oct. 12.
“I’m aware of what I said in the campaign, and I’m committed to what I said in the campaign as it relates to non-profits paying their share of water bills. We can’t ask the taxpayers to underwrite that given all the challenges we face as a city,” he said.
BGA President and CEO Andy Shaw noted that Chicago has $47 million in unpaid water bills, including the $15 million suburban debt.
“Water is one of the city’s most valuable resources, yet the city is in over its head when it comes to measuring usage, pricing it properly and collecting the bills,” Shaw said.
“One option is privatization, if it’s done right. You have to look at privatization, but carefully. Not in a rush to judgment like the parking meters.”
The Chicago Sun-Times reported earlier this year that Chicago aldermen are flooding the City Council with water and sewer fee cancellations for non-profits before Emanuel makes good on his threat to cut off the free water perk.
