Proposed water deal offers way to live within our means 5.19.10

Indianapolis Star Letter to the Editor 5.19.10

Sheila Kennedy's column "Let's grow up and pay our bills" (May 10) amounts to little more than her usual cry to raise taxes on those of us who live in Marion County. Guess what? It's possible to get things done in Indianapolis without hiking the burden on taxpayers.

Mayor Greg Ballard's proposed transaction, of which I am the initial City-County Council sponsor, with Citizens Energy Group is the only idea in the public arena that meets two fundamental challenges: deteriorating infrastructure and the skyrocketing increase in water and wastewater rates. It does so while creating jobs, reducing future rate increases and investing more than $400 million in our neighborhoods -- all while taking the politics out of the water and wastewater utilities.

Kennedy gives a very brief history on prior administrations but forgets key facts.

It is widely accepted that the Peterson administration significantly overpaid for the water company. Furthermore, the water company was purchased for $515 million, but now its total debt exceeds $960 million. That's horrendous financial management.

Add to that the Peterson administration's politically motivated decision to freeze rates for five years and make the mind-boggling decision to invest disproportionately in variable rate bonds (both of which have led directly to the recent requests for emergency rate increases), and you have a snapshot of our current problem.

The Ballard administration and the current City-County Council have balanced the people's budget two straight years without a tax increase and actually reduced income taxes. Despite what Kennedy believes, our income and property taxes are high enough.

Attempting to rely on the tired old class warfare argument, Kennedy indicts the water and wastewater rates without mentioning that her argument applies to the rate structure of all utilities.

Real leadership, Republican leadership, means saying no to raising taxes and working diligently to craft a solution based on a different model.

We don't need to grow up. We need to live within our means, just like families do.

Mike Speedy City-County Council member District 24