On Tuesday, Oct. 9, at 9 a.m., while most EID ratepayers are working and unable to attend and protest, EID General Manager Jim Abercrombie will be asking EID’s Board to approve an $85 million capital improvement plan.
To pay for Abercrombie’s $85 million capital spending proposal, $60 million of new debt would be required. At 3.6 percent interest, 2 percent annual principle repayment and $1.2 million of debt fees, $60 million new debt would add 8 percent to EID’s already lofty rates.
Before “rubber-stamping” a spending plan requiring $60 million new debt, each EID Director should internally process that a stack of 60 million borrowed $1 bills would be more than FOUR miles high. Perhaps, to let the enormity of $60 million new debt sink in, all five Directors should first walk four miles before voting.
Having passed 102 percent of water rate hikes for 2010-2015, EID’s Directors this year ought to think first about the wallets of 38,000 regular ratepayers.
This year, EID’s Directors should throw away their “rubber-stamp” and stop blindly professing “We trust Management.”
This year, EID’s Directors should demonstrate they do, in fact, recognize how much and how costly $60 million of new debt really is.
This year, EID’s Board should start a new mantra of fiscal responsibility and start living up to their “Director” name by directing General Manager Jim Abercrombie to go back to the drawing board and come back with a sharply curtailed, fiscally responsible capital spending plan … one that current ratepayers truly need and can afford.