Note: The voters of Portland rejected this measure overwhelmingly in the May 2014 primary election.

The "Water District" Measure is a Corporate Takeover
of Portland’s Water and Sewer Systems

Note: This op-ed appeared in the Portland Tribune on May 1, 2014. What follows is slightly annotated version.

For 27 years, I have helped create new publicly-controlled utilities in Oregon, including the Oregon Trail Electric Cooperative, now the largest electric cooperative in Oregon (annual revenue $48 million).

Measure 26-156 is not a typical "public district" creation measure.  Instead, it grafts onto the existing City of Portland water and sewer systems a 7-person Board of directors that can set rates, borrow money to be repaid by Portland taxpayers, sell property, and decide how to use the existing $19 billion of assets in those systems and who pays the $682 million of annual costs.

The new 7-person Board would be elected half the time in low-turnout odd-year elections, as each term would be 3 years.  There would be no limits on campaign spending by any persons or entities.  I would expect the big corporate water/sewer users to get together in private, select their candidates, and overwhelm the voters with political ads.  After all, they have provided over 99% of the funds for this campaign, including the paid signature gathering.  See http://tinyurl.com/waterdistbackers and http://tinyurl.com/wdbackers2.

Siltronic Corp. is both by far the largest user of Portland water and the largest contributor to the campaign (30% of the total).

The resulting corporate-dominated Board would likely:

    (1)    gut expenditures necessary for environmental protection, and

    (2)    increase rates for residential customers in order to decrease rates for the largest customers.