I think those of us who
live in the eastern part of the U.S. don’t think about competition for water
resources as often as our friends in the western states probably do. Many of us easterners are aware that source water
in northern California and in Lake Meade in southern Nevada is diverted to
southern California to hydrate the sprawling populations and corporate farms
found there. I have to admit that I have
usually allowed myself the luxury of focusing on conservation issues that
manifest themselves closer to home here in Pennsylvania … until last week. Suddenly, we have international competition
for our local source water.
Here is the back-story. It all started about 10 or more years ago
when a former mayor of Allentown, PA, negotiated a bonehead contract with the
city’s police officers. The mayor agreed
to allow pensions for retiring officers to be calculated based on the number of
hours worked in the year leading up to retirement. Well, as the local urban legend goes, many
officers decided to volunteer for extra shifts in their last year before
retirement. Some of them are rumored to have
even worked so many extra shifts that, with time and a half overtime pay, many
were able to effectively double the pensions they would be due from the city
upon retirement had their pensions been based on pay for 40-hour work weeks. That’s pretty much what I recall about the
start of the Allentown pension crisis from the local newspaper and local TV
news. But I can’t vouch for the total
accuracy of this account, because I wasn’t paying really close attention … I
mean, I live next to but not in
Allentown, so why would their pension crisis affect me? Right?
The abuse of the pension
system by some retiring police officers coupled with allegedly generous
pensions for city workers in general now have Allentown on the brink of
financial disaster, with bankruptcy a real possibility in the next couple of
years. Therefore, in the hopes of
raising between $150 million to $200 million in upfront cash, the City of
Allentown last month announced that it was considering leasing its water and
sewer system to an outside operator. I
was surprised to hear that but didn’t think much of it, because few details
were reported at the time. But then last
week, the City announced that it has nine entities from as far away as
Australia that have provided their resumes to the city hoping to be deemed
qualified to submit bids to lease and operate Allentown’s water and sewer systems
for the next 50 years. This is not small
potatoes. Allentown owns a
30-million-gallon-per-day, modern water treatment plant that services an
average daily demand of about 20 million gallons to residential and commercial
customers.
Treatment Plant, Allentown Bureau of Water |
So now I’m getting
uncomfortable at the thought of entities with no local ties coming in to run
Allentown’s water and sewer systems. This
lease deal affects me because the quasi-public water and sewer authority
serving my municipality, and most of the developed portions of our county
outside of the City of Allentown, recently entered into an agreement to
purchase 2 million to 7 million gallons of water per day from the city
for the next 25 years. It’s almost a
given that water and sewer rates for Allentown customers will increase under a
for-profit operator, because the that operator will need to turn enough of a
profit to recover the up-front money that the city is expecting as part of the
deal. And since my water and sewer
authority is probably one of Allentown’s biggest water and sewer customers, as
an end consumer, I’m concerned about rate increases.
Little Lehigh Creek (PADEP photo) |
As a conservationist, I’m also concerned about what a
for-profit operator of Allentown’s water system could do to my local stream,
the Little Lehigh Creek. Allentown's source water comes from two large, local
springs and two surface water sources. The Little Lehigh Creek is the primary
surface water source, and the Lehigh River is the secondary source. The Little Lehigh is designated by the state
as a High-Quality Cold Water Fishery, and it’s already under significant stress
from sedimentation associated with construction and storm water runoff from over-development
in our area. We are also fearful that,
under drought conditions, the limestone springs that feed the Little Lehigh
could be seriously impacted as our local water authority pumps its nearby wells
to ensure that their corporate customers have all the water they need. In fact, even though we were not under
official drought conditions in 2009, all residential customers of our local
water authority were proactively not permitted to water lawns or wash cars so that there
would be no interruptions for the major commercial customers of the
authority: Samuel Adams PA Brewery,
Nestle Waters, Niagra Bottling, and Coca-Cola. And coming next year, a brand new Ocean Spray
bottling plant will be tapping into our local water authority and, thus, into
the additional capacity from Allentown.
Water is big business around here.
The thought of another for-profit player entering the local water game means
more competition for a finite and seasonally fickle resource.
This is a developing story. There will certainly be more information to
process before this deal is settled and a lease is awarded to one of the
bidders. One thing is clear already,
however. Just as is the case with all
environmental issues anywhere, the water supply for the third largest metropolitan
area in Pennsylvania is not contained by municipal boundaries.
By the way, that's my tap water.
My neighbor across the street just had another delivery of bottled water yesterday. I just shake my head every two weeks when they get two more 5-gallon carboys of "spring" water delivered to their doorstep. His "spring" water is our local tapwater (which is good quality groundwater) with some actual spring water from upstate blended in at something like a 1:100 ratio so that it can legally be called "spring water."
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