Saturday, November 3, 2012
WHY THE COVER-UP AT GWP?
Our City Council has told the public they want to legally streamline the transfer up to 25% each year from the Revenue Fund of Glendale Water and Power (GWP) and not from the Surplus Fund. By continuing to transfer money first from the Revenue fund and not the Surplus Fund, the public will not be aware there will be little money left over for infrastructure repairs within the GWP. Some would say the streamlining, and transfer would make the violation of Proposition 26 and Proposition 218 appears legal and council wants the voters’ approval in April, 2013.
Our current charter is not obsolete as the City Manager and City Council members want the public to believe. Transferring money from the Revenue Fund first will be like stealing from the GWP for the benefits of our city work force.
Had our current city council and previous councils not illegally violated Proposition 218 since the year 2000 with transferring approximately $4 million annually from the Water Fund account to the General Fund, then our current council would not be discussing the need for a $35 million water revenue bond to shore up the infrastructure of the GWP. Additionally, council imposed water rate increases from 2007 to 2015 of 51%, so why would we it be necessary for a new water bond?
Instead of keeping Glendale Water and Power revenues with our utility company first for needed infrastructure repairs, except for councilman Manoukian, council members want to continue doing the bidding for our city unions in making sure there is sufficient money to continue to pay the bloated salaries and pensions of our city employees. Many will leave the city as “millionaires” retiring after 30 years at age 50 or 55.
In election year 2009 and 2011, our city unions, through their “political action committees,” contributed thousands of dollars for the election of Friedman, Najarian, Quintero and Weaver.
If the public wants to insure we have needed money in the GWP to handle future infrastructure repairs, we need to vote no to any GWP charter changes in April 2013, and vote for council candidates who are not beholden to the city unions.
Because of council mistakes in July, Fitch Investor Service downgraded $50million worth of water bonds issued in 2008, partially due to GWP lack of liquidity. Today, Moody Investor Service put Glendale on “credit watch” as it reviews possible downgrading of future bonds.Why the cover-up at the GWP?