Lawsuit to repeal Flint water rate hike refiled in circuit court (MLive)

By | July 16, 2013

FLINT, MI — Flint City Council President Scott Kincaid has refiled a lawsuit seeking to repeal Flint’s water and sewer rate hike, claiming the increase violated city ordinance.

The latest lawsuit is the second attempt to overturn the rate hike after the Michigan Court of Appeals ruled it did not have jurisdiction over some of the issues raised in the first lawsuit.

The new complaint, filed July 3 by Kincaid and three other Flint residents in Genesee County Circuit Court, claims the 35 percent water and sewer rate increase that was imposed in September 2011 violated city ordinance and was not authorized by the Flint City Council.

The lawsuit says the city mingled water and sewer funds with general funds instead of keeping them separate, a finding that was also noted in November by the state-appointed financial review team that recommended an emergency manager take over city operations.

“The rate increases were illegal,” said Val Washington, Kincaid’s attorney. “(They were) used to pay general obligations rather than restricted obligations.”

Click here to read the whole story on MLive