LUS

[percy]

Has anyone actually looked at the documents presented to the LPUA last night (3/21/06). They are available via a link on the daily advertiser, though you have to look hard to find it.

What a bombshell! Every citizen of Lafayette who gets their electricity from the LUS should read these documents and educate themselves on this!
50 million here, 65 million there, pretty soon you are talking about real money that comes directly out of our pockets. Does anybody actually understand the relationship between the LPPA, the LPUA, and the LCG.
We all need to educate ourselves on this soon, because we (the rate payers) are sure paying the bills, regardless of the alphabet soup names.

(added March 24)
Link, though I do not know how long it will remain active:

www.acadiananow.com/apps/pbcs.dll/article?AID=/20060322/NEWS01/603220317/1002/NEWS17

PDF files are on right side of page, file downloads.

LPPA: Lafayette Public Power Authority
LPUA: Lafayette Public Utilities Authority
LUS: Lafayette Utilities System


( How many people know Lafayette owns a cho cho train? )

[zoe10850]

okay, I'll bite, who is LPPA,LPUA and what link ?

I already am opposed to a municipal owned utility unless operated like a co-op (SlemCo) and the profits are shared.

[percy]

So, the City of Lafayette thru the LPPA own a coal train that brings coal to a plant at Boyce that the City of Lafayette thru the LPPA owns 50%. The coal is burned to produce steam that turns turbines that produces electricity for 100% of the plant.

Is the City of Lafayette is some way reimbursed for this expense by the other owner of the plant?


Do we, as rate payers, “pay the freight” for the purchase price of the coal train, the coal, all of the associated expenses or are they shared equally between the co-owners of the plant?

[percy]

I saw a Festival International poster at a business on Saturday. I noticed that both the Lafayette Consolidated Government and the Lafayette Utilities System are major sponsors of the festival, Isn’t that like me writing a check to sponsor the festival and my wife writing a check to sponsor the festival. Doesn’t the money come from the same place? Our joint account?

Now, I realize “in-kind” may be involved to, but the city employees get paid regardless for which department they work for.

The citizens of Lafayette are either paying too much taxes into the general fund or our utility bills are too high, or both. There has to be some accountability.....

[zoe10850]

Well, it all comes back to my comment on the entire scenario: you cannot really trust what government chooses to tell you. There is no longer any good reason for Lafayette to own LUS. It DOES NOTHING for the citizens of Lafayette. I, for one, am tired of hearing why it was needed when no one else would offer electricity 100 years ago. No one offered Cameron utilities 100 years ago, but they have it now;times have changed, and so have we. Most of us can read and comprehend issues.

I also can understand when I am lied to. Foe Example: Terry Huval blames lawsuits on holding up the Fiber project, and delaying for a year. That is odd to me because the legality did not prohibit him from moving forward with this project when its legality had yet to be determined. Convenient ? Truth is, there is more to project than we were led to believe, and Huval knows it, and so does Parish President.

The truth is LUS will never be out of debt, because there will be no reason for employment of all those people, bonding counsel etc. There is too much money to be made. That is our local albatros, much like the Mississippi River Bridge Authority, the Causway Commission etc. Stay in debt, keep your jobs. Note that the police force for both bridge authorities is much larger and better equipped than most municipalities. How do you get out of debt when your overhead is so high? Tolls just cover cost of operation and interest, much like LUS' higher utility charges cost us every month, yet they can fund festivals ?

[citizen]

Speaking of bonding, I just wonder every time that "bow tied fellow' gets up and tells our government how great and wonderful it is and in the next breath he determines that it's time to refinance some of these bonds, I would like to know what and how big a commission the "bow tied fellow"gets EVERY TIME WE REFINANCE? Sure I would drive "all the way over from New Orleans" to put a few thousand dollars in my pocket! Wouldn't you?

[zoe10850]

The "bow tie" is bonding counsel who makes a % of each issue (% is determined by attorney general - read campaign contribution). The larger the issue, the smaller the %. The real money is in the LUS bond issues, and there is a strong financial interest in preventing true consolidation ; municipal bonds, and parish bonds.

How is it that LUS can sell water o/s city, but not utilities (not that anyone would want LUS - higher rates), and tell me why there are city limits anyway, did we not vote to consolidate local govt ?

[citizen]

Zoey, I understand where the BIG money is but every time we refinance any outstanding bond we must pay a "fee" to refinance huh? So when we ain't issuing new bonds it looks like we sure do refinance our existing bonds often huh? I wonder if the guy who recommends refinancing is the same guy who recieves the fee?

[percy]

It is interesting that the local government competition telcom act passed a couple of years ago was praised by LUS. LUS did not have a problem with the act when being sued by ma bell and winning at the district level. LUS only developed a problem when the third circuit held that they were not complying with the act. Now, the act is bad and should be repealed.

Kinda makes you wonder, don’t it?
When LUS wins, the act is good, when LUS loses, the act is bad.
LUS doesn’t like the rules so instead of not playing the game, LUS tries to get the rules changed, or better yet, tries to eliminate the rules completely.

[ronnief]

Whenever the govt is hiding something, you can believe deceit is in the air. I note the comments from a member who seems to know a lot about the inside workings of the LUS division of Parish Govt.

I believe that BellSouth is the largest taxpayer in the parish, and Cox is among them. If in fact the "in lieu" is so high, why not just lower the rates to a breakeven basis and come directly to the taxpayers. This whole thing appears to be a very obtuse method of taking money fron citizens without ant citizen recourse; no public service, no votes on increased govt revenue. I bet all govt would like a situation like that.

[percy]

The ILOT is a hidden tax on the citizens of Lafayette. If the LUS system was on a true break even scenario, our rates would drop 12 to 17 MILLION a year.

However, the LCG council would have to call an election to fund a tax increase to make up the difference or lay off a whole lot of people and cut services. Our utlilty rates though, would reflect the actual cost of provding the service.

And understand, that 12 to 17 million is in addition to the millions LUS socks away for "pay as you go" construction projects.

LUS has always been the cash cow or the golden goose for the city but in as much LUS is wholly owned by the citizens of the City of Lafayette, the citizens have allowed this situation to exist and the various councils have actually encouraged the situation because it is a hidden tax and the city council does not want to deal with the reality of multi million dollar loss in the city general fund.

[ronnief]

I say, let's sell the "cash cow" and use the money for improvement to our rapidly declining community before we truly become the New Orleans of the west (without the culture and history).

How much is LUS worth to SLEMCO ??

[abbd]

The usual suspects aka city duncilmen, mouton (tax ya to death and raise your fees )republican(hahaha), stevenson (I have no idea what he is) and conque(?)maybe some in his district know) ruled against the "public's right to know" and to ensure local government secrecy when they refused to release documents pretaining to LUS and it's pricing and billing procedures today. It's another victory for the government over the little people (taxpayers). What's in those documents that the local (hahaha) leaders don't want you to know? However I believe this is far from over and the judge who ordered the city (as usual) to follow the charter(which I'm not sure the duncilmen have ever read) and to hear the complaints of citizens as to why LUS overcharges it's rate payers to the tune of MILLIONS of daollars a year. I doubt if the judge will allow such secrecy and order the documents to be released, and allow the citizens to inspect "public records". Could be very interesting.

[abbd]

A little informal poll here. Do you think it's fair for your electric company(that we the citizens supposedly own) to overcharge you for your service(and not rebate the money back to the ratepayers)? Do you feel that ILOT is an unfair tax(believe me it's a tax) that you as a ratepayer and taxpayer haven't had a chance to vote on ? Should the city duncilmen set your rates? Or should a non biased group of ratepayers and taxpayers set your rates(remember that ILOT goes into the general fund and is spent by the local elected officials as they see fit)? I'm really interested in why there hasn't been an outcry from the taxpayers and ratepayers over this. Please share your thoughts, I would like my taxes and electric rates lowered. Wouldn't you? Or maybe you really don't care how much money your government takes from you?

[TBEAR]

Cant comment I have Entergy, but it seems unfare to me.

[abbd]

Ever wonder how LUS gets away with charging us a 12%-14% fee(hahahahaha it's a tax) on our electric bills when it's against the law to charge a tax on utilities? The "stelly bill" eleminated all taxes on those services. Another creative way for joey to seize more of our money for his use? We supposedly own LUS, so why don't we elcted to stop overcharging ourselves for our power? Let's have a shareholder meeting, what ya think?

[abbd]

ooops, sorry I forgot. joey and duncil plus added hangers on need to eat and have lotsa grand parties huh? Shucks how silly of me to question the ruling class. That's why they need to overcharge us.

[zoe10850]

the same overcharge will apply to the ftth. the only "creative" thing Joey D has done is try and find new ways to steal from the taxpayer.

Sales tax collections are at record highs. real estate growth is probably 3rd in state (St Tammany & Ascension). Property tax collections are growing at record levels WITHOUT additional millage. Yet, our tax assessor says let's rollforward millage rates to get even more. Our sheriff wants a tax to build a jail but not to raise salaries of deputies (he just got a $6000 raise), Prez wants a tax to build a $70 million courthouse when one is readily available (K Mart building), renovate old building at who knows how much cost ? Yes, let us build in the heart of downtown, with no room to grow. This is out of the box thinking ? Prez wants a tax to maintain buildings when there is already a courthouse maintenance tax which IS NOT USED FOR THAT PURPOSE ! A road tax for more roads that will never be built (see 1997 proposition).

Let me see you change the leave policy so that city workers do not walk away with $50-70,000 for unused "sick leave". There is no law that requires it. Let us examine the abolishment of city court, city marshall, city policeto effect real changes to "consolidation". Let me see you actually shut up that arrogant little monkey we call chief administrative officer who shows no respect for taxpayers. Then we can examine finances.

[abbd]

WooooHoooo, well we knew that the tax money durel has been throwing around lately ($2,000,000.00 for raises for all lcg employees,$1,000,000.00 to help bribe a foreign company to put 350 $9.00. an hour jobs here and feeding the hogs at the government trough) had to be made back so.... red hat huval proposes to raise your electric rates again. It just never stops does it? Watch how your duncilman votes on this rate increase, especially the supposed republican ones. Maybe we can all have a good laugh! Please, please please mr government take more of my money, you so deserve it more than I. Sheeple!

[coolboy]

Dang it if you aren't quick on the post abbd! Thought I'd be the first to say something about this! HA!

I guess the citizens just have too much money for the people in power. Sales taxes, utility rates, cable rates, and property taxes. All have either gone up or are in the process of increasing. I hate the fact that no one cares to look at alternative methods of either saving money or increasing revenue, besides rate increases. It's all about squeezing out as much money as the market will bear.

I can guarantee you that if the one-cent sales tax passes, we'll never see it go away. Even if Joey had millions in surplus, he'd talk about how the city needs more. If LUS was making massive profits, they wouldn't go down on our rates....they'd probably still want increases. Huval wants the $2 a month increase to last a year, but I think once put in place, the increase will stay forever.