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Heights votes against paying share of $54 million Highland Park debt to GLWA

April 21, 2022 By Times-Herald Newspapers Leave a Comment

By ZEINAB NAJM
Times-Herald Newspapers

HEIGHTS — Dearborn Heights has joined a long list of communities opposed to paying toward the $54 million Highland Park debt to the Great Lakes Water Authority.

The City Council passed two resolutions April 12, each met by applause from the audience when the resolutions were read. Councilmembers Ray Muscat and Tom Wencel were absent.

One resolution was to adopt the city’s resolution demanding the impacted GLWA member communities not be responsible for the Highland Park GWLA debt.

The second was for the council to receive, note and file the resolution from Conference of Western Wayne demanding impacted GLWA member communities not be responsible for the Highland Park GWLA debt.

Mayor Bill Bazzi said the first resolution was from last month during a CCW meeting.

“We had the CCW meeting, so we voted on that — all the mayors and supervisors and it passed unanimously,” he said. “They actually want us to make sure we get the council in our case to also concur with the resolution.

“In addition to that, we had a meeting this past Friday and they asked all the communities — they passed their own resolution to withhold the payment. So, right now, with the resolution that was just read, that’s pretty much saying to the state that we’re not going to be responsible so we want the state to take ownership. The CWW will go after the state and say we’re not responsible and the state needs to intervene since that was a state decision.”

Bazzi also said the money will have to be taken out in escrow.

“There’s going to be a lawsuit, a $54 million lawsuit, so we’re not going to pay to GWLA,” he said. “However, we still have to take the money and put it in escrow to see what the judge is going to rule.”

Now, Dearborn Heights is asking the state and GLWA not to require the 87 paying member communities to pay for the debt, according to the resolution. The city also will not pay any more toward the Highland Park debt for fiscal year 2022 and beyond.

“The city of Dearborn Heights hearby requests the state of Michigan to become directly involved in solving this dispute,” the resolution read.

“The city of Dearborn Heights hereby implores the state of Michigan to develop a long-term infrastructure solution to address the water and sewer issues in Highland Park. The city of Dearborn Heights calls on the state of Michigan and the legislature to create a system in which this situation of non-payment and communities being charged the non-payment cannot happen in the future.”

At the end, the resolution requests that state legislators and Wayne County commissioners call on the state to not require impacted member partner communities to pay for Highland Park’s debt to the GLWA, and that the state reimburse the debt amounts already paid.

A rate increase of 3.7 percent in water rates and 2.4 percent in sewer rates are set to begin July 1 as a result of the debt following approval by the GLWA in February.

The resolution says that the state requested that Detroit Water and Sewerage Department provide emergency water services to Highland Park because it was determined that Highland Park’s water treatment plant was creating a public health risk to its residents.

On Nov. 12, 2012, the state stated repairs to the water treatment plant were to be completed within three to four days, but neither the state nor Highland Park repaired the facility, which currently remains closed.

Since then, Highland Park has accumulated the $54 million in debt to GLWA for both water and sewer services. If it continues, that debt will increase to $60.9 million by the end of fiscal year 2023, according to the resolution.

The debt currently is being distributed to the other 87 GLWA member communities.

(Zeinab Najm can be reached at zeinabnajm92@gmail.com.)

Filed Under: Dearborn Heights, Stories

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