Wednesday, November 12, 2008

ILLEGAL TAXES:LOUISVILLE WATER CO

WLKY 32's Ben Jackey did an excellent piece on the Louisville Water Co and the 5.5% rate increase they just approved. Video. It raises many great questions about how this Mayor runs this City and gains revenue from sources outside of taxes. Some will argue that it amounts to only a buck and change each month but that is not the essence of the problem.

Consider MSD had a rate increase last year of 32%, and raises their rates annually with no accountability by the Public Service Commission (PSC), as one example. The Louisville Water Co raises rates every year. Include every service we use, do not forget LG&E or $4 gas, and the annual rate increases over time, this adds up to substantial costs for the average household and affects the budgets of each of us. When you consider taxes always go up not down and add in an illegal tax scheme we have serious problems with our City government and Mayor Abramson.

The City of Louisville owns the Louisville Water Co and collects 100% of "stock" dividends paid from profits each year. What this essentially means is that Louisville Water Co is a for profit agency who sends those profits to the shareholders in this case the 100% shareholder is Louisville Metro Government.

What it also means is that all profits do not go towards improved water functions but instead to the City of Louisville to use as they desire.

The most interesting thing to note from the story are the comments made by a Water Co spokeswoman Barbara Crow. Spokeswoman Barbara Crow states that this money from our water fees is spent on services such as police protection, fire protection, roads, and parks.

Funny I thought that's what we paid taxes for. When did the Louisville Water Co get elected to provide these services? If Louisville does not need our taxes and is using these dividends for the public services we pay for then give us our tax money back. We can all use it right? We pay rates for water usage to improve our water services NOT PAY for public tax funded services.

The Mayor is spending a bundle on parks projects. Apparently we are paying double for them as well.

Is this an illegal tax scheme? I believe so. Government is not in the business of for profit and certainly should not have the authority to use "rate" increases for additional tax dollars without accountability. An interesting piece in the video includes an email bragging of how they were able to keep the rate increase out of the media for the month of October. How pathetic is that?

Being proud of the fact that you were able to screw the public without their knowledge? Pretty responsible leadership we have isn't it?

Notice in the graphs provided on the video how much money has been generated since merger (2002) and Abramson has gotten total control. Oh ask the Mayor who appoints the Board of Directors at the Louisville Water Company as well.

For those why say the Mayor has nothing to do with MSD, Louisville Water Co, or a host of other areas that are stealing us blind, remember he appoints the Board of Directors at each and every area. Political cronyism for good paying jobs allows him to do what he wants when he wants and at our expense. It is almost impossible to find any organization affecting the City that Abramson does not appoint the members to. His thumbprint is on every head and that is the problem.

It is great to see the mainstream media finally taking up the fight and doing investigative pieces against the City and this administration. I hope it is a sign of things to come. We deserve accountability and transparency at all levels of government.

The illegal taxing by the Louisville Water Co should be investigated and Abramson held accountable.

Of course, here again, don't hold your breath.

4 comments:

  1. Its time for the people in Louisville that know about these illegal tax schemes, embezzlement of the public trust, and political cronyism to start awakening the people of Louisville towards what the problems really are. This is going to take the efforts of us all to do this not just a few people. Its time for all Louisvillians and Kentuckians as well to start raising awareness of these abuses.

    For example, I think a great thing to do is to post this website and others everywhere in the community that you can. Not just on the Internet but to post these websites and blogs to bulletin boards everywhere. Hand out flyers to your street or neighborhood. Spend a few bucks and mail out twenty or so of these sheets of paper with a website on them. Start making the people around here aware of the abuses of power by the Mayor and his cronies. Its time to get a little bit irate about what is going on around here.

    This city has declined a lot over the years, not because so much of the people but instead the people allowing the crooks and their political patronage scheme to run things.

    Start getting on public radio and mentioning these things, WHAS radio, pass out literature on Bardstown Road at the Highlands, paper your community legally with fliers and materials. Its time for Louisvillians to say that enough is enough and we're tired of illegal and unconstitutional laws as well as getting rid of these people who flout the laws that are passed and of benefit to the community and people at large.

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  2. Also, spend a little bit of time at www.abramsonuncovered.com and you can learn a lot about what is going on in this community.

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  3. The Louisville Water Co. has a running racket in addition to all this. We have two people in our house and our water bill is now running on average $100 every bill (usually about 62 days)! We've cut showers down to two days per week, laundry down to three loads per week, and dishes down to 2-3 times per week in an effort to cut our water usage. Every time I call and complain I get a customer service agent who argues with me about whether that's high water usage. This last person's name was Todd, who proceeded to give me some gobbledy-gook about why our bill was higher than a friend's of mine who has FIVE people living in her house, two of them kids!

    Back in September I was talked into purchasing the Louisville Water Company's "insurance", where they will repair any water leaks between the line and your house. I was told this would be a good deal, since most repairs cost upwards of $2000.

    Right. What they DIDN'T tell me is that this is just another case of the "fox guarding the henhouse." The insurance is with the water company....so ONLY the water company can give the go-ahead to repair by ADMITTING there's a leak! And then, of course, there's the little matter of financial responsibility. In other words, if I found that there was a water leak for the past two years I've been complaining, I'd want to be reimbursed from the water company, since they keep telling me they've checked and there's no leak.

    Well, once again today I complained, and once again I was told that they would come and check for a leak. Once again, I called the insurance company, only to be told that unless Lou Water tells them there's a leak, they won't come out... UNLESS I HIRE A PRIVATE CONTRACTOR TO CHECK FOR A LEAK.

    This ought to be illegal! This is a scam! The water company is selling insurance but will I bet customers will never be able to use it because the insurance is contingent upon the water company giving them the go ahead!

    Abramson MUST GO! We need some accountable politicians in local government that will stand up for the people, not who will pander to the political interests of outside entities.

    ReplyDelete
  4. What jerry wants jerry gets ie airport expansion,city and county merger and smoking ban(obviously i am a smoker). He has gotten too powerful and needs to be stopped. The city council are scared to death of him so we cannot
    count on them to stop his onslaught against individual rights. I am glad someone has finally decided to take a stand against him when th emajority of people won't.

    ReplyDelete

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