Macomb, Oakland Counties Snub Detroit's Request for Federal Mediator to Resolve Water Talks

Neither Oakland nor Macomb county officials appear interested in working with a mediator to resume talks to create a regional water authority with the Detroit Water and Sewerage Department.

Wayne County officials made the appeal this week in the form of a motion in federal court asking for a federal mediator to help resolve the differences, the Detroit Free Press reports. Ficano said he’s confident a mediator can work out differences between the city and suburban leaders.

Discussions are in the “angry” phase, lawyers for Wayne County said in their motion before federal bankruptcy Judge Steven Rhodes, who is overseeing Detroit’s effort to restructure $18 billion in debt.

Macomb County Executive Mark Hackel  illustrated the emotional state of the talks in a blunt refusal Thursday to continue talks, saying he has no interest in further discussions with Kevyn Orr, Detroit’s emergency manager. Orr has proposed the regional water authority as a way to raise revenue and help lift Detroit out of bankruptcy.

“I am not having any further discussions with Kevyn Orr or anybody about Detroit water and sewer as part of the bankruptcy,” Hackel told the Free Press. “I don’t see why it has to be part of the bankruptcy process. As soon as Kevyn Orr is gone, we’ll continue our regional efforts. ... He is not one of the regional partners. He’s here for one reason: to settle bankruptcy and deal with creditors. Every time we’ve talked with Orr, he’s had nothing to say about the integrity of the system or about protecting ratepayers. When he’s gone, I’ll be more than happy to sit down.”

Wayne County Executive Robert Ficano said in a statement that he’s optimistic a mediator could “help break through some of the roadblocks to a regional solution.”

“We continue to believe that a regional authority, on the right terms that work for the ratepayers, is still the way to go,” Ficano said. “With the court’s assistance, I believe people of good faith can still get a deal done that works.”

However, Oakland County officials declined Ficano’s invitation to join in the call for a federal mediator and are looking at the feasibility of joining with Macomb County to provide an alternative to what has been characterized as “the continued monopolistic use” of the Detroit Water and Sewerage Department.

One of the largest municipal utilities in the country, Detroit Water and Sewerage Department serves Detroit and 127 southeast Michigan communities and provides drinking water for 40 percent of Michigan residents.

Keith Leminiaux, a lawyer for Oakland County, said officials have received no assurance that Orr and his team plan to negotiate in good faith.

“We offered to go into mediation last year, and the city indicated that it was premature,” Lerminiaux said.