Court battle avoided in water plant dispute

Some residents want city officials to consider a proposal from Youngstown.
By NANCY TULLIS
VINDICATOR STAFF WRITER
YOUNGSTOWN -- Campbell residents opposed to a contract that would allow Aqua Ohio to manage and ultimately buy the city's water treatment plant just want to protect their "liquid gold" asset by getting the best possible deal for their water services, Atty. Mark Hanni said.
Hanni and Atty. Stephen R. Garea, both of Youngstown, represent Let Us Vote, a referendum committee seeking to force a public vote on the Aqua Ohio contract. The lawyers sought an injunction to block the deal on the committee's behalf.
They ironed out an agreement Tuesday with attorneys representing the city and avoided a court battle over a ballot issue. Magistrate Timothy G. Welsh declined to comment on the merits of the case, but said he is pleased the parties were able to reach a resolution.
Hanni said some residents opposed to the Aqua Ohio contract want city officials to consider other options, particularly a Jan. 14 proposal from Youngstown.
Among other things, Youngstown would service Campbell's water needs by extending Youngstown's waterlines, assume Campbell water system's annual debt service through the year 2024, make an annual capital improvement payment to Campbell of $300,000 a year for the first 10 years and then a payment of $150,000 per year for the next five years.
Hanni has said Youngstown's plan would actually lower residents' current water rates, while the Aqua Ohio agreement will significantly increase rates to meet the terms of its contract.
Brian Macala, Campbell law director, said the city will forward ballot petitions to the Mahoning County Board of Elections. Let Us Vote will no longer challenge city officials' actions leading up to the passage of the Nov. 15, 2005, legislation that authorized the Aqua Ohio contract.
Macala said he is pleased with court settlement because it is "the best and most expeditious way to bring this to a conclusion."
City council passed a resolution that allows Aqua Ohio, a private water supplier, to manage the plant for 10 years then buy it. Aqua Ohio would pay $3 million up front and $300,000 a year for 10 years to Campbell. The company also agreed to spend $100,000 a year for plant improvements and repairs, and it would assume the current $4.2 million debt the city owes for past improvements.
Complaints
When Let Us Vote presented referendum petitions to Campbell Finance Director John J. Leskovyansky, Leskovyansky rejected them and refused to forward them to the elections board. He said the petitions were invalid because they did not include a copy of the Aqua Ohio contract.
The committee also had questioned several council actions.
Let Us Vote said council approved the contract based on language in the Campbell City Charter that was not approved by the voters in the 1996 general election when charter amendments were approved; did not properly advertise for bids for the management of the water system; and did not properly advertise a special meeting in December related to the Aqua Ohio pact.
Macala said if the elections board certifies the petitions, the referendum will appear on the November ballot, and it will be left up to city residents to decide the plant's fate.
He added the referendum will appear on what is an already weighty ballot for Campbell residents. Macala said there are charter amendments on the ballot designed to help the city recover financially and that will determine the city's direction for the next 50 to 100 years.
Macala said city officials want to sell the treatment plant to generate revenue and eliminate the expense of managing and maintaining it. He said there would be some job loss, but the proposed contract also includes a plan for many city workers to move into Aqua Ohio jobs over the 10 years.