Henifin considering resigning after judge delays decision about increasing JXN Water rates
A federal judge delayed a decision to raise JXN Water rates until he receives information about what happened to an $89.8 million settlement with Siemens. Third-party manager Ted Henifin said he is considering resigning after Judge Henry Wingate didn’t agree to raise rates and was opposed to the idea of setting up a water authority, which under state law allows small municipalities to access tax-exempt financing.”JXN Water problems continue; we have another puzzle to figure out,” Henifin told 16 WAPT News.Henifin said JXN Water cannot pay $27 million in invoices for various maintenance and operation of the water system without a rate increase. He said the collection rate is 71%, but ultimately needs to be at 95%.The proposed rate increase would be about 11.7%, which equates to about a monthly $8.88 increase to residents’ bills. Federal investigators issued a subpoena earlier this month demanding detailed financial records tied to the Siemens settlement. The 2020 settlement was in response to a lawsuit the city of Jackson filed against Siemens over what was described as a failed water meter and billing system.
A federal judge delayed a decision to raise JXN Water rates until he receives information about what happened to an $89.8 million settlement with Siemens.
Third-party manager Ted Henifin said he is considering resigning after Judge Henry Wingate didn’t agree to raise rates and was opposed to the idea of setting up a water authority, which under state law allows small municipalities to access tax-exempt financing.
”JXN Water problems continue; we have another puzzle to figure out,” Henifin told 16 WAPT News.
Henifin said JXN Water cannot pay $27 million in invoices for various maintenance and operation of the water system without a rate increase. He said the collection rate is 71%, but ultimately needs to be at 95%.
The proposed rate increase would be about 11.7%, which equates to about a monthly $8.88 increase to residents’ bills.
Federal investigators issued a subpoena earlier this month demanding detailed financial records tied to the Siemens settlement. The 2020 settlement was in response to a lawsuit the city of Jackson filed against Siemens over what was described as a failed water meter and billing system.