Report: Benton Harbor will need state help to maintain local control of water system

Benton Harbor City Commissioners have been briefed on challenges the city will soon face maintaining the local water system if the state doesn’t help. Consultant John Young on Monday presented commissioners a report on the water system that’s due to EGLE this week. It finds the Benton Harbor water system is running at a deficit that will grow to around $27 million by 2032 without an infusion of cash. Therefore, Young said the city will need a state allocation of around $2.5 million a year over ten years to stabilize it. He said it’s unlikely this report will be accepted by EGLE without a commitment from the Legislature.

“The reason I think EGLE will probably not accept this is you don’t have the money in hand from the Legislature right now,” Young said. “So, they’re going to have a very difficult time approving a plan where there’s no guarantee that you’re going to get the money.”

The report notes the city lost major water customers while under state emergency management. Mayor Marcus Muhammad said that needs to be considered when help is sought.

“We’re not asking for a handout,” Muhammad said. “We want justice. Because what was done to Benton Harbor through the emergency management was a grave injustice because of the monies that were taken away. We had over 20 years left with the contract with Benton Township. It was a 30 year contract. It was severed with over 20 years left.”

To meet capital, management, and staffing needs of the water system, the report finds rate increases of around 20% per year would be needed over ten years. Young said that would be too much for residents and is not feasible. Therefore, he said the city needs to ask the state for operating expenses, capital funds, and an assistance program for residents. Mayor Muhammad said the findings may be distressing, but commissioners needed to hear “the raw truth.” He’ll be approaching state leaders soon.

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