City Water Proposal Raises Alarm

SierraScape March 2013 - August 2013
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by Caroline Pufalt
Missouri Chapter Conservation Chair

St Louis City residents have raised concerns over a proposed consulting contract with Veolia Inc., a company with a questionable environmental record.

Veolia is a French owned mega corporation involved in water and hazardous waste treatment, waste hauling, and some transportation facilities. It was originally called Vivendi and gained a controversial reputation in Europe and Africa with water treatment and delivery systems, some involving privatization of water. It has moved into the US market under the name Veolia.

The City seemed poised to approve the Veolia contract in Dec but citizen pressure delayed a final vote. Many are questioning whether this company is right for St Louis and the controversy has spilled over to the mayoral primary contest. Mayor Slay has been a supporter of the contract. At this writing it appears likely that the contract issue will not be resolved until after the March primary.

St Louis City water infrastructure is aging and in need of review and repair. With loss of city population over recent decades, the existing treatment facility has " excess capacity". St Louis city water currently sells some excess water to St Charles. But water use in many individual households in the city is not metered. City finances are challenged and thus it is not surprising that city government is evaluating the system. Like many older cities St Louis needs infrastructure investments, modernizations and efficiencies. It also needs to be aware of the impact of changes on citizen's budgets.

Veolia's recent performance with managing city water in Indianapolis ended in a terminated contract, at the city's request. Lawsuits have followed. Problems there involved poor service, misrepresented and missed water quality testing and high fees. Closer to home, Veolia has owned a waste treatment facility in Sauget IL that for many years was out of compliance and operating without a valid air permit. Although that situation has improved, the facility is still facing required pollution control issues.

The proposed St Louis city contract is for a four month review at cost of $250,000. At the end of the contract Veolia would then be poised to carry out changes and would have a significant role in decisions and management of the city's water department. That step would require another vote, but in practice these types of consulting contracts often lead to that second step. Actual privatization of city water would require a city wide vote, but a partnership short of that may not.

For more information from citizens concerned about Veolia in St Louis see: https://www.facebook.com/StLouisDumpVeolia. You can read a summary of the proposed contract with Veolia at: www.scribd.com/doc/115776175/Veolia-Water-Prop-Slwd-9-7-2012. If you would like to be on a list to receive further information about this issue which may be of interest to Sierrans, please send request to Caroline at cpufalt@sbcglobal.net, or 314-721-7207.