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In My Opinion: Why WSD rates have soared 38 percent

By Dan Dickinson

Candidate

Town of Waterford Sanitary District No. 1

 

By rule, only the Board President can set the meeting agenda, it gives the Board President awesome power to make things happen, or to prevent them from happening.

Bill Gerard has been commissioner for three years, serving his second term as President and controlling the agenda. Over these same three years, rates soared 38 percent.

As WSD’s rates climbed to $118.50 per quarter, Rochester and Wind Lake remain $83 and $87. It’s the reason to recall Bill Gerard.

• Blame. WSD blamed grinders, Western Racine County Sewerage District, the Town lease, and other reasons. Except for some WRCSD increases, facts don’t support the claims.

Internal costs like wages, benefits, administration and lawyers make up 37 percent of the budget, more than it cost to treat all sewage for an entire year. WSD’s failure to manage internal costs put upward pressure on rates.

• Wages.  Average WSD base pay is 21 percent above national average for teachers. Administration wage and benefits budget increased 21 percent in just two years, and Operations 2011 actual to 2012 budgeted increased 13 percent in just one year.

Total compensation for just one WSD employee tops $112,000, with automatic annual increases. To that add generous vacations, holidays, sick days, plus other perks and paid time off.

• Retirement.  In typical 401k-type plans, employers match employee contributes up to about 6 percent of base pay. However, WSD contributes over 600 percent more than that. WSD pays as much as $22,000 per employee, while employees contribute nothing. That’s on top of their wages.

• Insurance benefits. WSD budgets over $51,000 annually for just one family, a Cadillac plan. WSD pays about 204 percent more than Federal Affordable Care Act guidelines. Employee pays about 1 percent toward the plan; WSD pays 99 percent.

• Plans approved. Gerard voted twice to expand the Cadillac plans to more employees. This put more upward pressure on WSD rates.

• Meetings.  WSD meeting rules prohibit two-way discussions with Commissioners, effectively blocking communications with the Board.

      • Budgets and spending. Budgets are passed without all necessary details given to Commissioners at budget approval time. Within the budget, employees have no appropriate caps or limits on spending, and no purchase requisition process exists.

• Frivolous lawsuit. Most Waterford township homeowners also live within WSD. Yet WSD is pushing litigation against the Town. WSD 2012 legal fees are already over $12,000, and climbing.

• Deficit. A July 20, 2012 WSD financial report shows a $34,894.50 operational deficit, and no money going into reserve fund ­– all reinforcing a need for budgetary change.

If elected, I will work to lower WSD rates by reducing internal costs, use good fiscal management, utilize modern budgeting techniques and proper cost controls.

I want to put a stop to the costly and frivolous lawsuits.

I will maintain the operating system to high levels, restore the reserve fund, open meetings for public discussions, invite customer input, and treat homeowners with the dignity they deserve.

I have a plan to improve WSD. I would appreciate your support Aug. 14. Write [email protected] for questions.

 

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