Detroit water department now sending shut-off crews to commercial customers
By Joe Guillen
The Detroit Water and Sewerage Department announced Wednesday that it is intensifying efforts to collect unpaid debts from its delinquent commercial customers.
Darryl Latimer, deputy director, said shut-off crews are now mobilizing to go out and cut service to delinquent commercial customers, which make up about 12% of the approximately 90,000 accounts that are at least 60 days past due.
Meanwhile, the DWSD has been shutting off water service aggressively for its delinquent residential customers. Latimer said the department executed 7,210 shut-offs in June. Combined, shut-offs in April and May totaled 7,556.
Activists who have protested the shut-offs as an affront to human rights have for weeks criticized the water department for ignoring commercial deadbeats. In response, water officials steadfastly maintained that their collection efforts, which began in March, included commercial properties.
But the department’s contractor to help carry out the shut-offs is equipped to handle only residential properties. The department had to make arrangements for its own employees to cut off service for commercial customers, Latimer said, adding that the recipients of the 46,000 shut-off notices sent out in May included commercial properties.
“Some of those (commercial) customers probably have gotten shut-off notices. We just haven’t moved to shut them off. The contractor couldn’t shut them off,” Latimer said Wednesday. “They’re not equipped to shut off a larger industry like a Ford Field or what have you.”
The department released a list of 40 commercial and industrial accounts with the highest delinquent balances. In addition to mailings, the department is physically posting shut-off notices on those buildings in case they house rentals for apartments or office spaces.
Vargo Golf, which owns Palmer Park Golf Course and Chandler Park Golf Course, tops the list, with a delinquent account balance of $437,714. Another Vargo Golf account for a separate property has a delinquent balance of $100,528. The list, available at freep.com, includes an account for the State of Michigan, which owes $70,246.
A message was left with Vargo Golf seeking comment.
The list of delinquent commercial customers did not include Ford Field, the Detroit Lions or Olympia Entertainment, the Ilitch-owned company that leases the Joe Louis Arena. Activists protesting the water department shut-offs have claimed the operators of Joe Louis are let off the hook despite outstanding water bills. Latimer said Olympia Entertainment, which operates Joe Louis Arena, recently sent some checks for water payment.
The water department’s shut-off campaign — which has coincided with Detroit’s landmark bankruptcy case — has drawn international attention.
Water officials say shut-offs happened in past years, but the collection efforts intensified this year because the delinquent debt in Detroit forces higher rates for the city’s paying customers. An 8.7% rate hike took effect this month, increasing the average Detroiter’s bill from $65 to $70.
Ann Rall, a founding member of the Detroit People’s Water Board and a volunteer with the Michigan Welfare Rights Organization, said the water department is unfairly targeting residents.
“Everybody who is involved in the struggle to the human right to water does point out that its inequitable to be picking on the least powerful people and only now going after the corporate accounts,” Rall said.
A coalition of welfare rights organizations appealed to the United Nations to have service restored to customers and to prevent more shutoffs.
Latimer said he has not had any interactions with the United Nations.
He addressed the notion that water is a human right while stressing that the DWSD has to pay for water delivery and is a nonprofit enterprise.
“I think that water may be a human rights issue. That’s not our issue,” Latimer said. “Water is a human right. But delivering to your home, purified. Who pays for that?”
By Joe Guillen
The Detroit Water and Sewerage Department announced Wednesday that it is intensifying efforts to collect unpaid debts from its delinquent commercial customers.
Darryl Latimer, deputy director, said shut-off crews are now mobilizing to go out and cut service to delinquent commercial customers, which make up about 12% of the approximately 90,000 accounts that are at least 60 days past due.
Meanwhile, the DWSD has been shutting off water service aggressively for its delinquent residential customers. Latimer said the department executed 7,210 shut-offs in June. Combined, shut-offs in April and May totaled 7,556.
Activists who have protested the shut-offs as an affront to human rights have for weeks criticized the water department for ignoring commercial deadbeats. In response, water officials steadfastly maintained that their collection efforts, which began in March, included commercial properties.
But the department’s contractor to help carry out the shut-offs is equipped to handle only residential properties. The department had to make arrangements for its own employees to cut off service for commercial customers, Latimer said, adding that the recipients of the 46,000 shut-off notices sent out in May included commercial properties.
“Some of those (commercial) customers probably have gotten shut-off notices. We just haven’t moved to shut them off. The contractor couldn’t shut them off,” Latimer said Wednesday. “They’re not equipped to shut off a larger industry like a Ford Field or what have you.”
The department released a list of 40 commercial and industrial accounts with the highest delinquent balances. In addition to mailings, the department is physically posting shut-off notices on those buildings in case they house rentals for apartments or office spaces.
Vargo Golf, which owns Palmer Park Golf Course and Chandler Park Golf Course, tops the list, with a delinquent account balance of $437,714. Another Vargo Golf account for a separate property has a delinquent balance of $100,528. The list, available at freep.com, includes an account for the State of Michigan, which owes $70,246.
A message was left with Vargo Golf seeking comment.
The list of delinquent commercial customers did not include Ford Field, the Detroit Lions or Olympia Entertainment, the Ilitch-owned company that leases the Joe Louis Arena. Activists protesting the water department shut-offs have claimed the operators of Joe Louis are let off the hook despite outstanding water bills. Latimer said Olympia Entertainment, which operates Joe Louis Arena, recently sent some checks for water payment.
The water department’s shut-off campaign — which has coincided with Detroit’s landmark bankruptcy case — has drawn international attention.
Water officials say shut-offs happened in past years, but the collection efforts intensified this year because the delinquent debt in Detroit forces higher rates for the city’s paying customers. An 8.7% rate hike took effect this month, increasing the average Detroiter’s bill from $65 to $70.
Ann Rall, a founding member of the Detroit People’s Water Board and a volunteer with the Michigan Welfare Rights Organization, said the water department is unfairly targeting residents.
“Everybody who is involved in the struggle to the human right to water does point out that its inequitable to be picking on the least powerful people and only now going after the corporate accounts,” Rall said.
A coalition of welfare rights organizations appealed to the United Nations to have service restored to customers and to prevent more shutoffs.
Latimer said he has not had any interactions with the United Nations.
He addressed the notion that water is a human right while stressing that the DWSD has to pay for water delivery and is a nonprofit enterprise.
“I think that water may be a human rights issue. That’s not our issue,” Latimer said. “Water is a human right. But delivering to your home, purified. Who pays for that?”