Saturday, August 7, 2021

A $25 Million Public Expenditure Drawn Up on a Napkin

The paragraph that follows is an excerpt from a memo to the Freeport City Council regarding a proposed intergovernmental agreement with Stephenson County (hereinafter referred to as the "IGA") that, if approved, would result in the largest build out of water and sewer in Freeport's history. All the way in to the Forrestville Valley School District.

 "City staff and the Mayor have had several discussions with County representatives on extending our utilities to Mill Race.  The planned route  would go down Lamm road.  I have reviewed the draft IGA and Recapture Agreement with Mark Williams and Adam Holder.  The county attorney drafted the document and the County Board has formally approved it."

First off, Freeport Water and Sewer is a public utility essentially owned by the users of the system.  We all need potable water and the ability to flush our toilets.  And in Freeport it costs about  five-times as much for water and sewer as it did 20-years ago.

Apparently, for the Stephenson County Board and the Freeport City Council "several discussions"  behind closed doors at the Greater Freeport Partnership is good enough reason to justify the expenditure of $25 million on what is little more than speculation at best.
 
Tutty has been told "it won't cost that much"... well, if it's not going to cost $25 million then tell the owners of the public utility exactly how many fire hydrants will be required and what will be the water flow rate (necessary for assessing fire insurance) at each, how many man hole covers will be required , what about lift stations?  This buildout will pass through some of the lowest land in Stephenson County.

The IGA claims (Section 5c) "that the terms of this Agreement are the result of ongoing and extensive negotiations between the Parties, both of whom are represented by independent counsel and that this Agreement is a compilation of said negotiations."

Funny,  Manager Bukas' "several discussions" have now become "extensive negotiations"

Let's also keep in mind that these "extensive negotiations" have all been conducted not only out of public view, but out of the view of the Stephenson County Board and the Freeport City Council.  For these public bodies to allow this is nothing less than pathetic.

Who were the county negotiators and how were they chosen?   No one on the county board represents anymore than a single district.  When was it decided and who decided what attorney Stephenson County was going to hire and is it legal to hire an attorney to represent Stephenson County without full board approval?  These are not decisions which should be made by three guys drawing it up on napkin behind the backs of both the Stephenson County Board and the Freeport City Council.  Tutty just doesn't see this as responsible local government.

But that's exactly what is happening here.  There are no formal plans to review, therefore there can be nothing close to an actual known cost.  With what Tutty knows, Tutty says it will cost at least $25 million for water and sewer to Mill Race Crossing.  And without an actual feasibility study there is no way possible for the Freeport City Council to determine the type of risk they are taking with our public utility.  It could very easily be more than $25 million for as much as Mayor Miller and the Freeport Council actually know and can prove up.

And if you're wondering what will occur when there are cost over runs, all the IGA states is the project will be "at a cost anticipated to be in excess of six million dollars" which anyone half-way familiar with water and sewer infrastructure would know is a laughable number--used here to induce a positive vote from both the Stephenson County Board and the Freeport City Council.  This number, $6 million, is nothing more than fiction and it's irresponsible for any public official or attorney to claim otherwise,.

What will happen when the County runs out of money before the project is complete?  Stephenson County will just be able to use the City of Freeport's home rule power to issue non-referendum debt.  Whenever the City of Freeport enters into an intergovernmental agreement with any other unit of local government the other unit of government is allowed to share in the City's home rule power with regards to the subject matter of said agreement.

Should Tutty be surprised that the State's Attorney has never formally and publicly informed the Stephenson County Board of this fact?  Well, he is a young attorney and maybe just didn't know. 

In Tutty's opinion, the original Intergovernmental Agreement that created Mill Race Crossing should be rescinded.  The City of Freeport has abused home rule powers enough.  Stephenson County already used home rule to borrow $6 million in non-noticed, non-referendum debt in 2006 using the City of Freeport's home rule powers.

This is far too large and too speculative of a project to hang upon the citizens of Freeport and all of Stephenson County without so much as a feasibility study.   And how happy should the residents that live outside of Freeport be about Stephenson County subsidizing Freeport's water and sewer, very likely to a much greater amount than the current Stephenson County Board can imagine.  What, if anything, is the County doing for the water and sewer systems in Lena, Orangeville and German Valley?  Why should residents of these communities subsidize Freeport and Forrestville Valley School District?  Maybe you should ask your county board members.

What we really have here is a huge build out of public utility and the only real plans have been drawn up on a napkin by the City Manager, the executive director of the Freeport Partnership Mark Williams and Adam Holder.  Three men that no one voted for...way to shirk responsibility and accountability Stephenson County Board and Freeport City Council.

Why do we even need elected officials when the Greater Freeport Partnership can draw up a $25 million project on a napkin and you just nod your heads?  

We deserve better.

As always, yours in honesty, Tutty Baker, tutty.baker@gmail.com




No comments:

Post a Comment