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Private Water Companies Come to Texas Bringing Soaring Rates, Little Recourse for Consumers
PFLUGERVILLE — When Robert White opened his water bill last month, his jaw dropped: $250 for a month's worth of water and sewer service. The 63-year-old construction contractor, who shares a three-bedroom home with his wife in the bucolic Springbrook Centre subdivision, said he likes to keep his lawn green and expects hefty water bills. "I just don't want to be hijacked," he said.
Robert White says he has 'never felt so hopeless' about a proposed increase in his water bill. SouthWest Water Co. provides his water service, and his bill may nearly double soon if the company gets the rate increase it has requested. (Jay Janner/AMERICAN-STATESMAN) White's water service is provided by a private utility owned by California-based SouthWest Water Co. LLC. Just across the four-lane Pflugerville Parkway, where White's neighbors in the Springbrook Glen subdivision — a nearly identical grid of neatly arranged brick-faced homes — get their water from Pflugerville, rates are on average about 60 percent less.
And White's bill for water service may nearly double soon, if SouthWest Water gets the latest rate increase it has requested. "I have never felt so helpless," he said.
He's not alone. Across the state, a growing number of suburban Texans are getting their water from large, private corporations owned by investors seeking to profit off the sale of an essential resource. State figures show private companies are seeking more price increases every year, and many are substantial.
The Texas Commission on Environmental Quality, which regulates water and sewer rates for nonmunicipal customers, doesn't keep numbers, but "their rate increases tend to be 40 and 60 percent," said Doug Holcomb, who oversees the agency's water utilities division.
For years, small private companies have played a crucial role in Texas, providing water and sewer service in new developments outside of cities. Analysts say private companies will continue to fill an essential need in the future, when public money is projected to be insufficient to make the billions of dollars in costly upgrades needed in water and sewer systems.
Increasingly, however, the companies are neither small nor local. Over the past decade, multistate water utilities have expanded aggressively in Texas, drawn by the state's booming population and welcoming regulatory environment. A September report prepared by utility analysts for Robert W. Baird & Co., a financial management company, identified Texas water regulators as the most generous in the country for private water companies. Today, three out-of-state corporations own about 500 Texas water systems that serve more than 250,000 residents.
[...]
Read the full report here at The Statesman.
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Show AllAnd this is what capitalism looks like. The air you breathe is next.
Yes. And every resource and living thing will be devoured by greed.
Shortly before Enron crashed a decade ago, a Wall Street Journal article highlighted how Enron planned to corner the water market in the US and abroad as soon as they were done manipulating electrical power markets. Although Enron's crash slowed the water market takeover, the Enron swindlers dispersed and are making it happen.
...and what is even easier: mixing a toxic cocktail in cognito.
That must be why they pollute the air - to create a market for breathable air.
Very good point unforgiven!
In a similar vein it is well-understood why corporate water suppliers are big fans of hydrofracking.
Unforgiven, the air is a little harder to sequester, but there's an immediate solution for the water. These people ARE NOT HELPLESS... ....................................................................................................................................
First shut down the water company BY CUTTING THEIR INCOME, You do that by making your own home INDEPENDENT of MOST OF THEIR WATER SELLING.
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Check out Walmart's sports dept and get a Reliance campstool, shred up office paper, tear up junk mail, etc and put a nice big basket of it by the campstool. Set up a trio of thermophilic composting bins. Let the weeds grow or get a truckload of sawdust like Joe Jenkins (Humanure author). You will then be doing thermophilic composting of all your fecal and urine, like Jenkins.....
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Do the composting and greywater scheme like we are doing, digging a nice constructed wetlands for the greywater (since you're doing composting, all your other water is greywater). You'll have to get a plumbing contractor to rearrange your home's sewerline to hook your household 'sewage' (now greywater) to a greywater constructed wetlands, from which all your household water then becomes available for landscape use. We did our own and the cost was under a grand, mostly in piping, stone, greywater plants (cattails, reeds and bulrushes) for the wetlands, plus a pump to discharge the cleaned greywater (after it comes through the wetlands) into the landscape. Our wetlands design plus house, drive, sunshed etc takes up about a half acre and the other half acre is our woods.
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There are lots of ways to do these combinations so it's possible to accommodate all sorts of starting points. Even if you're in the city and can't do the wetlands (then you haven't got landscape watering extravaganzas), you can still do greywater for flushing (cutting the bill down 30% with no landscape at all) or do the scheme like Laura Allen (Calif Greywater Guerillas) who has a small yard converted to a producing garden.
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Economically, these things are doable to AVOID A $250/month bill. Then your household water bill PLUMMETS to MINIMUM in a hurry.
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There is no excuse for living UNSUSTAINABLY AND THEN COMPLAINING WHEN THINGS BECOME OVERUSED AND SCARCE. The end of wastedness in the usual ways of doing things is the opportunity that we must grasp in order to make the transition of sustainability, not just in energy, but in water and food and all sorts of commodities.
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When you run into the regulatory rules that are going to make the transition difficult, we will have to make changes in the governing authorities rulebook which will then put us back in control and boot the greed bunch of corporate ghouls out onto the street. Start the research spreading around. This is where we make the break for surviving the limits of this planet and the greed that preys on the edges with their bureaucrat allies.
About a dozen years ago I read an article published by the National Defense Research Council in which one of their economists argued that air should be considered as a commodity, and we should be willing to pay for clean air.
I wonder how many years someone has to study economics to develop that way of thinking?
Gov. Granholm (D-MI) signed over water rights is Mecosta county to Nestle-bottling the aquifer for profit. You cant trust any of them to not sell out.
Better to do something about it now-occupy and protest for public-owned and get that written into law (again-spelled out prohibition) for the people so there is no ability for corrupt local, state, federal to sell us out.
Our Great Lakes and Michigan is fighting fracking and off coast drilling.
This is Texas we are talking about; everything (and everybody) is for sale there. Oh, well, Robert, might be time to stop watering the stupid grass - it will take care of itself, more or less ....
Yeah, it will burn up and turn to dust.
Unfortunately, everything, everywhere is for sale. But, I do have serious issues with people and unnatural lawns. Texas is a god damn desert. So is California, yet people think it's their constitutional right to waste water on lawns. Too much water is just wasted. It's a shame. Just look at Las Vegas, ugh!!!
I understand that an upscale housing development in Las Vegas has a lake and a yacht club.
Corporations like Monsanto and Bechtel and their ilk are buying up water supplies all over the world. Then, as is their wont, raising prices drastically.
Corporations have already taken over our breathing air with plumes of industrial chemicals and agribusiness pesticides spread far and wide so that we cannot help but breathe them into our bodies, causing cancers and other ills which then benefit the petrochemical corporations. Win, win for them..
And, excepting for those of us who grow or buy organic food, corporations have taken over our food, too, putting various poisons in them to make them taste "good" or fool our stomachs into thinking we're still "hungry." or just poisoning us from within with genetically-engineered "food."
These are the wages of a system which promotes private profit over the health and welfare of earth's humans and other life forms.
It's immoral and amoral and if we care about our own and other creatures' survival, we will come up with serious ideas, and then work for them so we can have a society where We, the People, make the decisions that affect our lives.
Let us recall that when a far right wing government in Bolivia privatized the national water supply and attempted to charge for water that had been drawn from wells for thousands of years, the people revolted and deposed that government.
Tony Vodvarka
And on top of that the private water company had it made illegal to even catch rain water to use. Just to insure total dependence on the privatized water.
Kudos to the people of Bolivia. The people of Texas would do well to follow their example. Privatization of water is a very sick idea. Ways to capture and conserve water should be the goal.
In my opinion, privatization of any government service is a sick idea.
First of all, when these types of services are privatized, this private company expects to make money, where the government previously providing that service didn't. So, right away, the service is going to cost way more money when privatized. Look at the costs of having all those private military "solders" in Iraq. Costs are usually three times or more higher. Also the private company is trying to maximize profits. The most obvious way is to pay off state officials to allow it to charge more, but the second is to cut costs. So, in the case of a water system, they first layoff their oldest and most experienced workers who are also the best at problem solving. Then the corporation doesn't maintain the system. So the customer first gets a huge raise in their water bill, and then experiences a system that doesn't function as well as it used to.
Many times the municipality will then have to buy back from the private company whatever it was that was privatized, for more money than they received from the sale initially, and then have to spend even more on upgrading the infrastructure that the private company ignored while chasing their profits.
But, this is what we get when we keep electing corporatists to government. I really don't understand why voters can't seem to get their head out of the sand and see that some things need to be socialized, and that government can be good.
Yes, in Cochabamba.
I just saw a Spanish movie (Even the Rain) set in the midst of this privatization attempt. Highly recommended (the movie, not privatization).
There's a Canadian left-wing politician whose name escapes me now who has made the campaign against privatization of water a central plank of his platform. His argument: Water is an element necessary for life on this planet. It must not and shall not be privatized.
It is an effective slogan and a winning argument. Spread it around.
Furthermore, that lawn and all other lawns ought to be turned into gardens to grow food.
Raised beds about two feet high, 4-5 feet wide, and as long as they want, built out of plain lumber (pine is a bit soft, but it will work) - no treated wood - then filled with soil from their own yard or composted food and yard waste (do NOT buy "compost" which contains sewer sludge - toxic), plant seeds, weed, harvest food.
Raised beds are efficient users of water, especially with drip irrigation. Then just let whatever will grow in unmown "lawn" grow. I don't mow at all, just clip paths, and lots of good edible "weeds" pop up which I add to my salads.
This will soon become necessary to people's survival, so might as well begin now to save money and eat healthier by growing one's own food, at least in part.
This is a great idea, however what we need now is immediate relief from these robber barons. When people first came to this country, they were forced to grow their own food or perish. There were no grocery stores then.
From this came the American farmers who learned how to feed a nation and a world.
In this country, growing ones own food and knowing how to cook it has become a lost art. These are things that should also be taught in school.
What these pirates are doing is hostile to all things that contribute to a safe and healthy community and it needs to be stopped.
Lawns are cultural relics of the feudal kings, a display of land that could be wasted (taken out of production) and abundant labor. I'm absolutely with you on using yard space for food production and gathering from the landscape.
Raised beds:
Raised beds do not require lumber. Two feet is too high. While raising them will help roots breath, it is not a water saver, just the opposite. It exposes the increased surface area of soil to the drying wind. Mulch is the best method to conserve soil moisture.
Also, never make the beds wider than arms can reach. Four and five foot sounds too wide. For the most part, I do three foot wide beds separated by one foot paths. Other beds are two foot for greens and root crops.
Lambs Quarters has more nutritional value than any crop.
Stinging Nettles ranks high, but I've never tried it as the name is not a misnomer.
The guy in the article should be chastised for wasting water on his lawn, not pitied because of the bill, unjust or not. If one lives where grass won't grow, then don't grow grass.
One problem with this. In a LOT of subdivisions, you are required to have a lawn. And keep it up. According to 'standards'. You will be fined if you: put in edible food in the front yard, put in any type of raised bed - possibly anywhere, let your grass grow too high, let your grass die, remove your grass, have too many 'weeds', and any other number of things stupid people in charge come up with. In a lot of cases, you don't have a choice. If you go ahead and pay the fine, after a while they (the local government usually) will come in and 'fix your problem for you', and then send you the bill for it. There is no freedom to do with your land as you see fit. This is in addition to not being able to collect your own rainwater in a growing number of places.
Kudos to you “abvodvarka” for remembering Bolivia. The people rose up and took back their water rights. Why aren’t Americans doing the same thing, especially all those big-mouthed Texans?
Water is a human right. What is it about the issue of privatization that people do not understand? There is Commons….that which we all hold in common as the rights to water, air, all things that sustain life. Then there is privatization whose only mission is to make profits and to enrich their shareholders and if you cannot afford whatever they are selling such as water….then FU.
Most Americans do not understand or appreciate democracy the way citizens of developing nations do. On the rare occasions they are shown standing up for rights our media portrays this as uncivilized, ungrateful and uneducated behavior. Not the way a real democracy like ours functions.
All of us, would do well to remember the company attempting to profit off the peasants of Bolivia, Aguas del Tunari, owned by the U.S. transnational company Bechtel.
Bechtel et al have had a decade to refine this type of theft. This test in Texas is their first public move, more will follow. Dipping their toes in the water if you will...
The fabled 'Free Market' does not function without competition. These private water ventures are monopolies. The Texan citizenry has no alternative water source. The Texas state government has taken a laissez-faire attitude and not legislated a level playing field. The Texas state government has not acted in the interest of its citizenry. Extortion, by any name, needs to be called out and prosecuted. Nixon put price controls on oil. Price controls are needed on water in Texas. Why do we have a government at all? Do all bad things come out of Texas?
To make matters worse, fracking, a Halliburton creation, is fouling the fresh water supply all over North America. Fracking is systematically decreasing the fresh water supply and thereby increasing the value of the remaining supply. In the future, polluted water will need to be processed to be potable. Today, private water ventures are getting in on the ground floor of a supply side economics investment boom. There will be no returning to the land. There will be no 'Agrarian Justice'.
Big money needs a place to be. What better place than invested in utilities with no risk of loss. Great and powerful criminal masterminds are creating a water shortage that they will be in a position to profit from. Water processing plants will need to be built, financed and operated. We will be billed in perpetuity. Our ever decreasing discretionary income will again decrease.
The coming water crisis is the energy crisis redux. The same supply side time tested con. Control the supply of an essential mass consumed resource - get a monopoly. Keep supply below demand to drive price. Maintain the staus quo.
Is water not a human right? Will we finally get solar power when the great and powerful grant themselves patents on the rays of the sun itself? In 100 years will we pay for the air we breath? The greed of the few has privatized humanity.
many are already paying for the air they breathe - with their health.
Good point. Think of the price generations of Iraqis will pay for ingesting depleted uranium that is now in their soil.
"Great and powerful criminal masterminds are creating a water shortage that they will be in a position to profit from. " Doubtless the same archfiends were behind the NATO bombing of Libya's fabulous national water project which was serving 70% of the population.
Any low-level money junkie investor with water stock in his/her portfolio ought to be -- at the very least -- socially ostracized, if not locked up with the psychopathic privatizers.
you take care how you go through those puddles - they don't belong to you.
H-2-owe.
:)
Privatization in action. When you add in that profit motive, sensibility goes right out the window. ANYONE who thinks that when given the chance, the rich WON'T screw you is a complete fool. In fact, you had better COUNT on it.
hm, ...they are rich because they screw every living thing. when do we all wake up?
We need relief not only from water barons but folks that think in this day and age that you can have a big grassy lawn that require too much water. This kind of greed has to stop also.
In many places its also against the law to collect the rainwater that falls on your property and rolls off your house. And you WILL be fined if caught.
I used to live in west Texas, very little rain and like a fool I watered my few square feet of grass....it did no good at all. Then I learned sense and left it all to its own devices, no grass but greenish weeds and then drought resisant shrubs and plants. Looked fine to me. Here in more humid Mississippi I don't water at all in the summer and if we hit a dry spell the grass dies out, first sprinkle of rain it greens up again. Most people train their grass to 'expect' more water that it needs. Yep, raised beds are easy once you have built them and require very little 'work'. The water you save on the grass can help the home grown veggies and once you've eaten your own home grown tomatoes I bet you NEVER eat store bought again. The issue of privatized water is very real luckily we have a water cooperative so our rates are very low...but its still just common sense to conserve regardless of cost.
As a bigger picture, the conservation argument puts the blame on US. We are using too much and there is only so much, etc.... Big oil has used this shell game argument for years. They have us believing that high oil prices are our own fault and the solution is conservation. The argument takes attention from world record oil company profits, futures trading profits and monopoly keeping supply below demand.
Is there a water shortage in Pflugerville, TX., which boasts of a 180 acre reservoir? Rates just went up due to classic privatization - extortion, by an out of state financial interest - monopoly. Where are the Texas Rangers? There is a crime goin' on.
Anyone maintaining a green lawn in a desert should have to pay enormous fines. I don't have any sympathy for the guy in the article. That being said, yes the privatization of water is a problem that we have seen growing for years. Is anyone actually surprised??
Whenever one's water and sewer 'service' is privatized, those whom had the foresight to have a rain water capture system in their rain gutters and a grey water system for their landscaping & / or garden will thank themselves as their payback period had just accelerated.
In some US states putting in rainwater capture systems is deemed theft as that water is deemed to be owned by private concerns.
As more water resources are privatized, this Coporations will lobby the Governments to expand such laws.
Where specifically? Also, rain water capture systems can easily be hidden from plain view.
http://www.naturalnews.com/029286_rainwater_collection_water.html
Isn't this an issue that has the potential to unite left, right, and the rest of the 99% in Colorado and Utah? Laws that prohibit gathering rainwater running off your own roof should offend everyone.
In his documentary “The Power of Nightmares,” Adam Curtis traces Muslim extremism back to Sayyid Qutb’s stay at the University of Colorado in Greeley. He was appalled by many aspects of US culture, but one of them, in line with his more general critique of US superficiality and materialism, was our obsession with lawn care. When I watched that part I burst out laughing. Living in our little fiefdoms, well separated from our neighbors by lawns, the bigger the better. This great fertile nation wasted on lawns.
Ask most people what the “Amerikan Dream” means, and they’ll tell you a more lavish lifestyle. A land where you can keep a green lawn in Texas, dumping scads of poisons all over it along with endless waterings in a world increasingly short on water, and then take the kids to an “all you can eat” buffet, where most of the food is thrown out at the end of the night. In your minivan, which has TVs all over it so the kiddies won’t whine. Ah, the good life.
Privatization of such necessities as water is truly disgusting, but one wonders what else but high prices would keep people from wasting water here in Amerika. That this will mean profits for the one percent is just part of the design, as people have been too obsessed with their little “good” lives to notice what’s been coming down the pike as they applaud idiots that say privatization is the answer to everything, and hope to move to a bigger house with a bigger lawn. Hey kids, let’s go watch Donald Trump’s new show! Maybe he’ll run for president!
I wrote a post on the “Occupy Our Homes” story on Friday. A bedridden woman on disability wants to keep a 2200 square foot home that is in danger of being foreclosed on. Apparently she lives there herself. I sort of wondered why some of the Occupy protestors, many of whom are short on cash, couldn’t offer to move in and pay a modest rent and help out with the yardwork, natch, allowing her to keep her spacious home that way. I wonder what she would have said to that. The post disappeared (which I take to be a glitch in the system; some of my more strident posts remain, so go figure).
But that would hardly be the Amerikan way, would it?
You make some valid, thoughtful points, ElizabethH. Unfortunately, when basic necessities are privatized (a goal of many right wing politicians) it is usually the poor who suffer. That should not be tolerated in a caring society. The bottom line for privatization is always profits, not people.
Our love of lawns probably is descended from nostalgia for the Northern European origins of our early American ancestors. Of course privatization of water is horrible, but the upside is that people living in arid places may rethink that huge waste of resources and the intense poisoning of our soil traceable to our silly, conformist, square, green 'swards.' Get a good book on xeriscaping or use native plants to indicate some sense of place - ya know?
More likely descended from the African savannah where we came down from the trees.