Elgin loses multimillion water deal with Bartlett
After initially being selected by Bartlett for a long-term, multimillion dollar water deal, the city of Elgin lost to a competitor and also will lose more than $4 million in yearly water revenues starting in 2019.
Bartlett officials cited lengthy negotiations and an episode of bad water taste and odor in Elgin's water this summer as part of the village board's decision to select the DuPage Water Commission to entirely supply the village with Lake Michigan water.
That will begin after Bartlett's current agreement with Elgin - which supplies Fox River water to about half of Bartlett - ends in May 2019.
Elgin City Manager Rick Kozal, who asked for questions to be submitted via email, did not answer how the city will deal with the loss of revenues from Bartlett. Elgin's total water and sewer revenues - which are combined in one fund - are estimated at $28.7 million this year, including $4.3 million from water sales to Bartlett.
"Elgin is disappointed in not being able to continue its 35-year partnership with Bartlett in the provision of water," Kozal said, "but recognizes the Bartlett Village Board's prerogative to determine what is best for its residents."
The Bartlett board had directed staff in January to negotiate an agreement with Elgin, but the process took too long and was bogged down by new requests from Elgin, Village Administrator Valerie Salmons said. "Yes, there was frustration," Salmons said. "It was a time frame issue."
The village board also was uncomfortable about a nontoxic algae bloom this summer that caused residents to complain about the water's taste and odor, Bartlett Public Works Director Dan Dinges said.
"That was fresh in the board's minds," he said, adding he had no concerns about water quality with any of the options.
Kozal defended Elgin's water. "The quality of Elgin's drinking water is on par with Lake Michigan's," he said. "The city has won multiple county and statewide awards for best tasting drinking water, most recently in 2014."
The intensity of this summer's algae bloom was unusual, Elgin Water Director Kyla Jacobsen said.
"Lake Michigan has the same problems. They have had those problems," she said. "There is no way to avoid it. It's about managing it and best practices to minimize the effect."
Kozal and representatives of the DuPage Water Commission made final pitches to the Bartlett village board last month, and the Northwest Suburban Municipal Joint Action Water Agency submitted a letter.
Elgin's presented Bartlett with a complete agreement to fully serve the village for $19 million less than the DuPage Water Commission's proposal, which totaled $43.3 million, Kozal pointed out.
But the lengthy negotiations also gave time to the other water suppliers to refine their proposals to Bartlett's advantage, Salmons said. Also, the total cost will be spread out among residents' water bills, amounting to a $9 monthly difference between the Elgin and DuPage Water Commission proposals.
Elgin's additional requests included splitting the cost of an estimated $80,000 water systems modeling study for Elgin, Dinges said. The city eventually figured out an alternative, he added.
There were also discussions about minimum water usage - which Elgin wanted as part of the contract, unlike JAWA and the DuPage Water Commission - and the price of water supplied by Elgin, which traditionally has been higher for Bartlett residents than for Elgin residents, Dinges said.
Kozal did not comment on that in his email response.
Elgin also gets about $400,000 per year from supplying water to Sleepy Hollow.