Indiana

Thinking Again About the Water Deal

By Abdul Hakim-Shabazz

Editor’s Note: The poster known as “Think Again” and I disagree over the proposed transfer of Indy’s water and waste water facilities to Citizens Gas.  I asked him to draft an argument against the proposal in 600 words or less and I told him I would post here.  Since I know I’m right and opposing points of view don’t bother me, here are his thoughts.

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Six hundred words.  Hmmmm.

Abdul limits me to 600 words to refute his ridiculous position, that the pending IWC sale to Citizens Energy is a smart deal. It probably won?t take 600.

Water is vital to our economy, and our future.  Those who manage it must be trustworthy and competent.  Here?s a surprise?I believe Citizens energy fits that bill.  IF they are reigned in on PR expenses.  They?ve earned a good reputation.

But this deal makes little sense for other reasons.

***Philosophically, I?d expect Republicans and Libertarians (who seem to comprise most of IB?s readers) to oppose this deal.  It camouflages needed city infrastructure repairs, as a ?benefit? of the IWC sale.  Abdul has even fallen into that trap.

***The useful life of a sidewalk or street, under normal use, could stretch 10 years.  The bonds being used to float this sale are 20 and 30 years in length.  So, we?d be paying for the car much longer than we use it.  Who buys a car this way?  This deal is the car-payment equivalent of a 1979 Impala with $40,000 of automotive after-market product.  Spinning hubcaps, and flat-screen TVs, folks!  Woo-hoo!  The Impala alone had one of Detroit?s best engines ever.  No need to soup it up and raise the car payment.

***Abdul makes the insane argument that those who oppose this sale, must come up with an alternative.  That?s not a sound public policy position, because it imposes a cerebral penalty on smart people.  But here is a Libertarian-inspired thought: sell the utility and do the sidewalks in another manner.  Straight-up, without the economic shell game.  If we package these two concepts, we fall prey to the saddest PR shenanigans since pet rocks.

We aren?t stupid.  Voters in three different jurisdictions in this community, supported tax increases in recent referenda, and so did Wishard?s constituency.

***Not all of IWC?s customers are Indy taxpayers.  Thousands.

You can?t put enough lipstick on this pig to take it to a prom.  I fully expect the City-County Council majority to kiss it anyway.  The world won?t end, but if this Mayor and Council, think that we can be bought with public-works projects sprinkled around town, well?if we allow that to happen, we deserve what we get, which will be:

A non-transparent deal, worth hundreds of millions, for which we?ll be paying for decades.

Sell IWC for a fair-market price.  Period.  Support whatever public works projects we need and will pay for, through legitimate public discussion.

So,    462 words covered it.  I didn?t charge you the full 600, because, well?I didn?t need it.  See the parallel?  I?ll use the extra on another subject, something we really need to talk about.

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Actually it’s 447 words, but who’s counting?

Full post as published by Indiana Barrister on July 07, 2010 (boomark / email).