Another exciting week in our City of New Albany.
It seems to us after reading this weeks Tribune and attending Thursday's Sewer Board meeting we are even more convinced we might have a Flim-Flam Man in charge of our city!
We guess you have all been reading on line about a 70% Sewer Rate increase.
First, we want to refresh you on what is going on and who said what first.
January 28, 2010 by Daniel Suddeath of the Tribune.
"The utility [sewer] is supposed to budget two month's worth of operating expenses, but currently has a $2.7 million deficit in its operating fund balance."
"That means the sewer board needs to pay $900,000 a year for the next three years to balance the operating fund."
"It also has to pay $700,000 each of the next two years to satisfy a bond anticipation note."
"Skomp said a payment of $960,000 will have to be made to the sewer bond and interest account by Match 1 to satisfy SRF agreements of the Indiana Wastewater Revolving Loan Program."
"Additionally, New Albany owed about $1.6 million in outstanding claims as of January 6. According to Skomp's report the utility has a $5 million in debt backed by what Skomp defined as junk bonds that lost their rating after being secured by the city. That basically means the sewer fund would have to come up with about $5 million to take on new loans, if the state agrees."
First we would like to say to Daniel Suddeath, we think you are an excellent reporter, but we found out you have been mislead...again!
The schedule of unpaid Sewer Claims being held as of January 6, 2010, is $1,669,419.55 not the about $1.6 million you were told.
"At this point Daniel we have to count our nickels and dimes!"
We also attended the Sewer Board meeting this past Thursday and were very shocked to not only hear this report by Skomp of Crowe Horwath, but to see Greg Fifer as the new Sewer Board Attorney.
What the hell were you thinking Mr. England, when you hired Greg Fifer?
Is he the one who cooked the books for Regina Overton?
It seems to us we all better get down on our knees and start praying for EPA to send a criminal investigator in and that EPA will take over our sewers!
January 29, 2010 by Daniel Suddeath the Tribune
"But Councilman Dan Coffey isn't interested in waiting. He said he doesn't trust the sewer board and wants a private review of the utility."
chant: "We want an audit, we want an audit, we want an audit!"
Mayor Doug England said "He didn't know why the payments had been missed, but expects the board will get to the root of the problem. "
"Talk about throwing your controller under the bus!"
Another word comes to mind is malfeasance. Just in case you forgot the meaning of malfeasance:
"Misconduct or wrong doing, by a public official." Those are grounds to remove an elected official from office!"
Our first question is:
* Where is the money?* Why did the Sewer Board just now bring this issue to light?
* Why do we not have two council members sitting provide more public review?
* Why does the Mayor appoint all 3 Sewer Board Members?
Our theory is this:
This looks like it pertains to the "old" money. They mention the bond anticipation note [BAN], which should be for work already done, but we don't think this 70% even includes the Bonds that will be needed for the NEW Additional work needed for the NEW Capacity Assurance Plan!!!
The $1,669,419.55 claims not paid were carried over from 2009 to 2010 because this administration continues to mismanage our money and did not have the money to pay the bills.
Mr. England and Mrs. Garry know better than to mess with [SRF] State Revolving Funds. That's Federal and our understanding from EPA is that it is criminal to use the SRF funds improperly.
We have the 70% sewer rate analysis for our readers:
Typical Monthly Bill Analysis "Inside" City:
Cubic Feet....Proposed Charge..Difference
100................$17.14..................$7.06
200................$17.14..................$7.06
300................$25.71..................$10.59
400................$34.28.................$14.12
500................$42.85.................$17.65
600...............$51.42..................$21.18
700...............$59.99.................$24.71
800..............$68.56.................$28.24
900..............$77.13..................$31.77
1000............$85.70.................$35.30
1,100...........$94.27..................$38.83
1,200..........$102.84................$42.36
1,300..........$111.41.................$45.89
1,400..........$119.98................$49.42
1,500..........$128.55................$52.95
1,600..........$137.12................$56.48
1,700..........$145.69...............$60.01
1,800..........$154.26...............$63.54
1,900..........$162.83...............$67.07
2,000.........$171.40................$70.60
Typical Monthly Bill Analysis "Outside" City:
Cubic Feet...Proposed Charge...Difference
100..............$25.72...................$10.60
200.............$25.72....................$10.60
300.............$38.58...................$15.90
400.............$51.44...................$21.20
500.............$64.30...................$26.50
600.............$77.16....................$31.80
700.............$90.02...................$37.10
800.............$102.88.................$42.40
900.............$115.74..................$47.70
1,000..........$128.60.................$53.00
1,100...........$141.46.................$58.30
1,200...........$154.32.................$63.60
1,300...........$167.18.................$68.90
1,400...........$180.04................$74.20
1,500...........$192.90................$79.50
1,600...........$205.76................$84.80
1,700...........$218.62.................$90.10
1,800..........$231.48.................$95.40
1,900..........$244.34................$100.70
2,000..........$257.20................$106.00
Source: John Skomp of Crowe Horwath
Our final thoughts:
How long must we wait...how long should we sit back and permit Douglas B. England to rape our senior citizens, ratepayers of their hard earned money and bankrupt this city before we take action?
At the least, fire a shot across his bow...a shot that will be heard around our City and Floyd County and send Douglas B. England a clear and unmistakable message that he does not have the right or "carte blanche" to mismanage our $$$$$$$!
Contact: Mayor Douglas B. England
Phone: (812) 948-5333
email: mayor@cityofnewalbany.com
Email or Call our 9 Council members at:
John Gonder - jdgonder619@gmail.com
Dan Coffey - mcnain2@netzero.com
Patrick McLaughlin - pat4na@insightbb.com
Jack Messer - j.messer278@insightbb.com
Kevin Zurschmiede - zursch@msn.com
Robert Caesar - diamonds@endrisjewelers.com
Stephen Price - 941-9032
Diane Benedetti - 945-6240
Jeff Gahan - gan2020@insightbb.com
As the late former President Ronald Reagan once said, "If not us, then who, if not now, then when!"
