Me Moderate Poster
Joined: 16 Jul 2006 Posts: 431
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Posted: Tue May 22, 2007 5:34 pm Post subject: Water as a weapon against the poor |
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This is what my country has become. Total disregard for human life. No compassion, no empathy or sympathy. Just a scrutinizing focus on money. I became furious after reading this. Taking a basic necessity of life away from the economically struggling. Then take away their homes.
http://www.detnews.com/apps/pbcs.dll/article?AID=/20070519/METRO/70519 0361/1003
Detroit shuts off water to scofflaws
Quote: | Following a failed program that encouraged delinquent water and sewer customers to pay their late bills without penalty, the city has started shutting off water service to residents and businesses who owe a combined $24 million for this year alone.
"It's very heartless," said President John Riehl of AFSCME Local 207, which represents about 960 water department employees, some of whom are working overtime to shut off water service.
"The job market is in shambles, government assistance has been cut, and a lot of people are unemployed or underemployed. This will bring Detroit down and create greater devastation."
Announced Friday, the crackdown could send foreclosure rates skyrocketing because the plan includes tacking up to a year's worth of unpaid water and sewer bills onto property taxes, a practice used in many suburban communities.
If left unpaid, the homes could be subject to foreclosure.
"Taking someone's home may seem harsh and unreasonable, but I want to stress that the department is pursuing this course of action only on those accounts where reasonable efforts to collect what is legitimately owed for services have been ignored," said Victor Mercado, department director.
The department is willing to establish payment plans for customers who are willing to pay and refer poor customers to social agencies, he added.
About $85 million is owed by tens of thousands of customers, but part of that debt is more than six years old and uncollectible. State law and city ordinances make it difficult for the city to collect water bills that are more than six years old, Detroit Water and Sewerage Department spokesman George Ellenwood said.
Detroit water customers who pay their bills on time end up paying for those who don't in the form of higher annual rates.
The unpaid Detroit bills don't affect suburban water and sewer rates.
Unpaid bills were a central issue earlier this year, and the affordability of water was one reason Detroit City Council members held up approving rate increases.
"Some politicians have said water is a right; therefore, you don't have to pay for it. I don't agree," Councilwoman Sheila Cockrel said. "If you use it, pay for it."
The crackdown comes two days after an amnesty program ended that offered to waive late fees and penalties on delinquent water bills for city account holders. The program, which ran concurrently with one aimed at unpaid income and personal property taxes, yielded few takers, Ellenwood said.
He said the amount of money collected was "negligible."
The city also wanted to collect $8 million in delinquent income and personal property taxes during the amnesty period, and early reports show "well over" $1 million was collected initially, but the total was unavailable Friday, mayoral spokesman Matt Allen said. Those numbers could be available next week.One Detroit businessman finally paid his water bill Thursday -- five months late and under a shut-off threat.
The merchant, who asked not to be identified because he feared publicizing his delinquent bills would hurt his industrial laundry business, received a notice Wednesday that his water would be shut off Friday unless he paid $24,000.
The merchant had fallen behind because he serves the struggling auto industry, and he opted to meet payroll and let some utilities go unpaid.
The shut-off letter shuffled his priorities.
"Oh, a sick feeling in the pit of my stomach," said the 66-year-old, who started the laundry business in 1972. "But that's life in the big city."
Once the letter arrived, he secured a $12,000 advance on a line of credit from a bank and negotiated with the city to pay the balance over 24 months.
Commercial customers have faced the prospect of having unpaid water bills added to property taxes since last year. But the city was forced to use an aggressive collection tactic with residential customers after trying other methods.
The city switched to monthly billing last year to make it easier for people to manage their bills. Officials last fall created a voluntary assistance program for the poor that provides one-time payments for Detroiters who face shut-off notices, but that program is limited.
As of February, about $116,000 had been donated.
"We don't have to beg people," to pay their bills, Allen said. "The budget's so tight, there's not a lot of wiggle room. Pay your bill." |
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