Real Estate & Property Law

Water Debate

By Alan Ackerman

Suburban Chicago News

Bolingbrook officials say the moves concerning the water pipeline have come about because of the water rates being charged in the village. At a recent meeting, Mayor Roger Claar said Illinois American Water has sought from the Illinois Commerce Commission a 30 percent increase in water fees, which he called "a slap in the face of citizens."

Illinois American fought back with a flier mailed to its Bolingbrook customers two weeks later, titled "Know the facts about eminent domain." It says eminent domain could lead to less transparency, higher water rates and new taxes. The flier also encourages customers to call their local officials, and provides the number for the executive department at Village Hall.

According to its flier, American Water questions how the village can afford to pay for eminent domain legal fees and the pipeline and be able to lower water rates at the same time. The company said that in some communities across the country, rates have gone up after such a policy has been followed.

    The issues involved in acquisition of private water companies is difficult to comprehend. On the one hand, communities have an easier time accessing federal funds.  At the same time, the water companies often receive the benefits of low interest/tax free bonding.
    Too often, water utilities become the favorite source of the 'feather bed' of every politician's family members or friends having 'no show' bids.  This easy buying of the private utilities contrasts all the other activities wherein the government concludeds that 'privatizing' will help minimize expense.  Yet, in the quest of water, many governments are trying to acquire the privately owned authorities in their communities.

Full post as published by National Eminent Domain Blog on April 22, 2010 (boomark / email).