WeACT meeting and We’re in the money – Enwin pays growing dividend

WeACT to meet to discuss budget

The Windsor Association of Concerned Taxpayers (WeACT) will be meeting on Wednesday, February 20th at 7 p.m. to discuss the city’s proposed 2008 budget.  For details please contact me. 

We’re in the money!

No one can complain I’m not strapping on the ”W” in this blog! And in fact, because it’s Valentine’s Day, I’m showing my adoration for our Mayor and council.

I am proud to say that Windsor is number one in both water and hydro rate increases - so proud in fact I’m going to congratulate Councillors Valentinis, Jones, Gignac, Brister and Mayor Eddie Francis of Enwin and Windsor Canada Utilities, as well Councillors Marra, Lewenza, Jones and Mayor Eddie Francis of the Windsor Utilities Commission.

These councillors deserve a pat on the back for keeping our property tax increase at about 1% and giving us the opportunity to experience some of the highest utility rate increases in the province.

All so we can enjoy the wonderful dividends the city receives from city-owned Enwin – some $1 million more than last year for a total of about $4-million.

I, along with WeACT, should be ashamed of ourselves for demanding a full business, financial and operational audit of the Windsor Utilities Commission and its business relationship with Enwin Utilities. 

What were we thinking?  This is $1 million more for the city that wasn’t earmarked that they can funnel into the operational budget, according to City Treasurer, Onorio Collucci.   I guess we can afford all those legal fees now.

And they did not have to raise property taxes through the roof either.  Don’t believe me?  Councillor Valentinis stated:

“Shifting from one pocket to another, I guess that argument that can be made,” he said. “If you didn’t do this, well that’s another one per cent increase on (municipal) taxes. It’s a decision the (Enwin) board made.”

Yes – the Enwin Board – the ”arm’s length” city owned utilitiy made up of all those city councillors and Mayor – and they should be congratulated. 

Victoria Zuber, states the rate increase was a “prudent thing to do” because the utility has “no cash” and remains in a “borrowing position.”  The end result has been a whopping increase of nearly $3-million in the dividend since 2004 – even though Enwin is losing money.  And we can overlook the Mayor’s statement in his 2006 State of the City Address that:

Over the past two and a half years, ENWIN’s debt has been reduced by $43 million dollars.

We’ve focused on helping ENWIN to get back on track, and we will do so with our other municipal agencies.

Let’s wish our Mayor God-speed in making sure our other municipal agencies are doing as well Enwin. 

But what to do with this windfall of cash?  I mean, WUC is complaining they can’t do the watermain replacements fast enough and are deferring projects into future budget years (December 18th, 2007, Windsor Star), and yet are collecting all these extra revenues from the 86% combined rate increase.   They are also talking about increasing water rates again, to be decided in March.   Sure, some of it is going to the increased management fees paid to Enwin – but what to do with all the rest?  

Oh wait – here’s an idea – now we can reinstate the funds slashed from the Library Board’s budget!  Wasn’t that about $1-million?  Mmmm, but what do about those mounting legal bills.

I’m also sure municipalities will be successfull in receiving the 1 cent gas tax revenue from the Federal Government to fund infrastructure projects that Mayor Francis spoke about on AM800 on Tuesday morning.  And don’t forget about the $300 million in the Border Infrastructure Fund – some of it council earmarked for upgrades to EC ROW and the Lauzon Parkway extension in 2002 – freeing up even more funds in the city’s budget.

And we can’t forget about the $40 million in extra cash a year the city will realise after 2010 as the Mayor highlighted in his 2006 State of the City address.

Gord Henderson had dare not rain on council’s parade either as he did in 2006, calling it ‘back-door” taxation:

LaFontaine and Green have calculated that this “hidden tax” will cost Essex County consumers more than $100 million in increased payments on electricity bills in coming years.

LaFontaine said LaSalle consumers have already coughed up at least $5 million through this backdoor taxation since 2000, including a $2.74 million cheque and annual dividend payments, and the pain will go on and on because there’s no intention of paying off the loan. And for this they get a service that can’t compare, in LaFontaine’s view, with the old town department.

Also remember when Gord Henderson snarled at Mike Hurst back in 2001?

But miracle of miracles, at the last moment they found gobs of free cash just waiting to be plucked off the money tree and lobbed down the gullet of our ravenous civic empire.

Gosh. Here’s $l.9 million we can extract from our Detroit- Windsor tunnel operation. And, as Mayor Mike Hurst insisted, the tunnel can afford the payment increase.

Let’s also pay ourselves a tidy dividend of $1.1 million from the city-owned Enwin utilities companies. Oh and while we’re at it, let’s get really cute and shift the $1.3-million burden of maintaining fire hydrants from the city’s books to those of Enwin.

Presto. $4.3 million found. Problem solved. Councillors could go home with satisfied smirks on their faces, knowing they wouldn’t be getting those late-night calls from disgruntled taxpayers.

So what if Enwin has to continually borrow money?  They give great dividends!  Mayor Francis and council are following Mayor Hurst’s footsteps and should be congratulated (Wait – all those councillors from the Hurst years deserve an extra pat on the back).

And shame on Councillor Brister when he spoke against spending $15-million on a new arena in 2005:

Brister…sees “a number of big-dollar issues on the horizon that lead me to believe we should not be proceeding this way. I don’t think we need to be spending more tax dollars on bricks and mortar at this point. In my opinion, we’re going to need those funds…

…The budget chairman said he cannot provide any details but there are major issues pending involving the Windsor-Detroit tunnel and Enwin that will consume “a significant amount of taxpayer resources.”

Shame Councillor Brister!  We now have a $65-million plus premiere facility and because we’re number one in water and hydro rate increases – our sewer surcharge levy is brimming with cash and the city’s coffers are awash in dividends.

Oh Councillor Brister of little faith.  We didn’t need those funds afterall!

And I don’t want to hear about how taxpayers and utility rate payers are one of the same – no…I said don’t!

Instead, join me in singing a piece from Broadway’s hit musical 42nd Street while councillors wear a well earned satisfied smirk on their faces – and nevermind the naysayers at the end of the video:

[The contents of this blog are extremely sarcastic in nature and should be read with a nebuccadenezar of Pepto Bismo readily available.  May cause outrage with side-effects including dizziness, shortness of breath, increased blood pressure and in rare instances, myocardial infarction.]