11/21/10
Good morning.
Today’s Modesto BEE tells us another tale of pending disaster involving the Modesto Irrigation District. Let us analyze the information presented today, objectively, without emotion and simply.During the last 10 years, MID has experienced the following:
1. Electricity rates have increased 216.4%. (See Nov 21 Modesto BEE, page A-18 and do the math.)
2. It acquired the rights to provide electricity to a new community called “Mountain House”, which is 38.7 miles away from Modesto. MID has experienced huge losses associated with this project. That is a multi-million dollar disaster.
3. MID allowed a 10-year warrantee on the Water Treatment Plant roof to expire, costing the ratepayers over $11,000,000. That would be another multi-million dollar disaster.
4. MID spent at least $72 Million dollars on the Phase 2 build out of the Water Treatment Plant, but it does not work, and it apparently will have to be torn down. That would be another multi-million dollar disaster. In addition, you will not have the benefit of the promised new, clean water!
5. Ten years ago, MID had almost no debt. Today, it has over $1 BILLION in debt.
6. The average MID employee enjoys a compensation package at least 450% higher than the average working Modestan.
7. MID directors and former directors enjoy MID-paid (that means Rate Payer paid) perks that can total over $20,000 per year. These perks include payment of health insurance, actual pay, travel and meals.
8. The MID General Manager is lobbying for a pay raise.
9. The MID Directors are proposing to both borrow more money, AND increase your electricity rates by another substantial percentage. This would increase the rate increases mentioned in #1, above, to almost 240%.
10.Not included in today’s BEE story is the fact that MID has conspired with the City of Modesto to increase your water rates by between 200% and 300% in the last 6 years.So, let us objectively analyze these facts.
Eliminate emotion from your consideration, forget about what you used to think about MID, do not consider your friends or relatives who are employed by MID. Just consider the facts.Do you think that MID management has made decisions in your best interests or that of its RATEPAYERS?
Are you better off electricity-wise and water-wise today than you were 10 years ago? The current MID General Manager arrived about 11 years ago. Do you think that MID management has performed appropriately over that time frame? Would you have made the same decisions that MID management has made?
You are a part owner of MID. What decision have you made about MID management? What, as a part owner of MID, are you going to do about it?
Thank you very much,
Dave Thomas,
President, Stanislaus Taxpayers Association
