HIGHLAND PARK, Mich. (WXYZ) — The Michigan Supreme Court rejected Highland Park’s request to hear the city’s appeal of a ruling last year that the city must pay $24 million in unpaid water and sewer fees to the Great Lakes Water Authority.
“For it to be spread among the residents and businesses that are doing business in Highland Park would put a real stain on everybody and kind of almost force people out,” said Lawrence Johnson, a concerned resident and business owner in Highland Park.
Johnson is hoping a sustainable solution can be found.
Highland Park leaders said in a statement the debt is due to “manufactured overcharges.” It says that it is unjust for 2,000 households with a median income of $20,000 a year to pay 17.5% of that median income to water and sewer fees.
“As we have maintained throughout this litigation, an examination of the merits of the case clearly indicates that the city of Highland Park is obligated to pay and is deficient in paying for the water and sewer services it receives from Detroit and now, GLWA. This decision reaffirms that Highland Park has the same obligation to pay as the other member partners in the regional system. Once the judgment is paid, GLWA will reimburse the other member partners that have incurred additional charges for the city of Highland Park’s non-payment,” said Randal Brown, GLWA's general counsel.
Now the question is how the money will be paid.
“Nobody wants to talk about insolvency but at some point, you have to come to the realization your community is struggling,” Macomb County Executive Mark Hackel said.
“I would certainly think that the governor and the state of Michigan needs to think about an emergency manager for Highland Park,” Macomb County Public Works Commissioner Candice Miller said.
Gov. Gretchen Whitmer, in the meantime, says she doesn’t now yet what she will do.
“I am working with our state treasurer to understand what the potential paths could be and we are taking a hard look at it,” the governor said.
