Wednesday, January 15, 2014

PMUA Commissioners Sued

Plainfield Municipal Utilities Authority commissioners are being sued by the authority's former chief financial officer.

On Tuesday, two law firms were approved to continue working on the case. Commissioners Carol Ann Brokaw and Harold Mitchell will be represented at $190 per hour by the firm of Javerbaum, Wurgaft, Hicks, Kahn, Wilkstrom & Simins, P.C., while attorney John Motta will represent Commissioners Malcolm Dunn, Cecil Sanders and Alex Toliver at the same rate. The nature of the litigation was not discussed.

All employees of the authority, including management, will be under a wage freeze for 2014, Executive Director Dan Williamson said. Previously, the authority had imposed furloughs and layoffs. There will be no cost-of-living increases or merit pay this year, Williamson said, noting "2014 could have some challenges for us." However, if the outlook improves, the freeze could be lifted, he said.

Despite the freeze, expanding services may require hiring a new "chief of operations" in 2014. The authority approved contracts with three other municipalities to accept "Type 23" vegetative waste at the Rock Avenue transfer station this year and may try for some "Type 10" contracts (see waste definitions here).

Another reason stated for the need of a COO is that about 45 employees, mostly at the transfer station are in negotiations to form a union. The employees aim to join Teamsters Local 97.

The authority will hold rates for the first quarter of 2014 at the same rate as the last quarter of 2013. Although Williamson said the possibility of an increase will be discussed, he said depending on revenues generated, there could be a decrease.

Commissioners made several comments about the authority's unique range of services and called on Jeff Bliss of Lerch, Vinci & Higgins to explain. The comments appeared to be in defense of statements comparing costs in Union to Plainfield. Of 45 municipalities and eight authorities, Bliss said, "There is no authority that does all the services that you do."

Bliss cited the transfer station, shared services and the fact that the authority provides both solid waste and sewer services as evidence of its uniqueness.

Only four members of the public were present, so it is unclear what prompted the somewhat defensive explanations. But Toliver claimed not many residents read the PMUA newsletter and its message is not getting out. Later in the meeting, he alleged the city of Plainfield is "taking credit" for things the authority does. He referred to "propaganda" and said, "We need to blast the city of Plainfield."

Next month the PMUA will hold its annual reorganization. At present, three of its five commissioners - Mitchell, Brokaw, Toliver - are holdovers whose terms have expired. In February, Dunn's term expires, according to city records, and he will also become a holdover.


6 comments:

  1. WA HOOOO!!!!!!!!!!!!!

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  2. One can infer the nature of the case by the fact that the two commissioners who voted against the outrageous payout for the former top management people are represented by a different attorney than the commissioners who voted for it. Go Jim!

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  3. When the PMUA commenced operation the only certified professional was Jim Perry, whose career had been in finance. Mr. Perry orchestrated the Bond offerings, lines of credit, Bank relations, billing procedures and myriad other aspects of a sophisticated start up quasi-public organization. More than this he comported himself in a professional manner and remained loyal to his employer; tight lipped during his employment and since his retirement about many events which I am confident disturbed him. While I do not know the facts I have every confidence that Mr. Perry has the wisdom not to pursue a frivolous suite and would not engage costly council to charge a windmill. Hey Commissioners, this gentleman really performed, why not make a generous settlement before your attorneys run up a 6 figure unrecoverable bill. A million here and a million there, you can always tweak the Shared Service charge up a bit, As Mr. Bliss says, no community offers what Plainfiled does. That is abundantly correct. Perhaps Mr. Bliss will provide the calculations by which he apportions the cost of PMUA operations amongst the Sewer, Household and Shared Service Charges. So far Mr. Bliss, and the PMUA , have understandably refused to provide these figures. Why? Because the Shared Service fee is overloaded and the Household Collection fee under rated. All Mr. Bliss offers is rhetoric. No facts! If the apportionment were honest,the Household collection fee raised to its appropriate amount, there would be a massive opt-out to private haulers. The already tenuous financial position of the PMUA would be exacerbated.

    Bill Kruse

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  4. Unfortunately when it all comes crashing down, it will be the City that gets burnt. Democrats ... you have got to love them.

    And as the old song 'Dancing in the Streets' goes "Don't forget about the Motor City [Detroit]"

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  5. When the contracts for handling waste from other Municipalities first became a subjet at a monthly meeting, the yard Supervisor was brought in to comment. The Commisioners asked him if he could handle this "new busines" without any additional personel or equipment. The gentleman replied by saying neither would be required. It ws well within the yard's capacity to move the material through, Now we need not another loader operator, or front end loader, but a CHIEF OF OPERATIONS. A quantum leap. I hope they give the job to the gentlemen who testified that night. He impressed me as a capable stand up guy. Or, is someone's brother-in-law slated for the job?

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