Wednesday, March 16, 2022

Jackson's Water/Sewer System 2020: Losing More Money

Jackson finally released its 2020 financial report and it contained  both good news and bad news for the water/sewer department.  The good news is the water/sewer department didn't have a $17 million loss as it did in 2019. The bad news is the water/sewer department still operated at a $10 million loss. Ouch.

Unpaid water bills play no small part in drowning Jackson's water system.  The system would operate at a healthy profit if customers would pay their bills - when properly billed.  The system's accounts receivables fell by $3 million but were $46 million. The accounts receivables  skyrocketed after 2013, doubling in only five years.  It is no coincidence that the water system lost millions ever year as accounts receivables reached $50 million.  The city instituted a moratorium on cut-offs in 2020 due to the pandemic. The moratorium did not end until September 2021 so expect a similar picture next year. 


 The water/sewer system was flat broke in 2018 and 2019 as it reported literally zero cash on hand.  2020 was kinder to Jackson as it reported cash on hand of $17 million. That was probably due to the Siemen's settlement.  The report states litigation settlement of $14.7 million in the non-operating revenue column.

 


Water/sewer rate increases generated the large increases in cash shown in the chart.  However, the system ran out of cash as accounts receivables skyrocketed.  Remember the accounts receivables? They are a major driver of this fiasco. The system went broke because it did not collect payments. 

The water sales declined but still remained at a healthy $48 million but make no mistake, water sales are declining.  Less sales means less revenue unless of course there is yet another rate hike.  

What do all these fancy figures and charts mean? They mean Jackson's water/sewer system operated at a $10 million loss in FY 2020.*  The system should generate a healthy profit for Jackson and did so for many years until the Siemens deal blew up the system.  The charts show everything started going in the wrong direction after 2014, Harvey's legacy to Jackson.   

The bottom line is the water/sewer system was broke before 2020 and remained broke in 2020.  The Siemen's settlement was a nice little windfall but such pots of gold are rare. The moratorium remained in effect through most of FY 2021 so it is probably reasonable to expect Jackson to show similar dismal numbers when the 2021 annual report goes to the printer. 

 


Meanwhile, the sanitation department, remember the garbage collection?, operated at a loss of $2.2 million in FY 2020. 



* The operating loss includes a $17 million depreciation expense, however, it reports a similar expense every year.

 

 Raw Data 

Accounts Receivable

2003: $6 million

2004: $8 million

2005: $6 million

2006:  $7 million

2007: $7 million

2008: $13 million

2009: $15 million

2010: $18 million

2011: $20 million

2012: $24 million

2013: $25 million

2014: $40 million

2015: $41 million

2016: $50 million

2017: $44 million

2018:  $56 million

2019: $49 million

2020:  $46 million

 Water/Sewer Cash on Hand

2003: $25 million

2004: $5 million

2005: $8 million

2006: $11 million

2007: $27 million

2008: $9 million

2009: $18 million

2010: $12 million

2011: $9 million

2012: $13 million

2013: $4 million

2014: $13 million

2015:  $7 million

2016: $5 million

2017: $0.2 million ($182,000)
2018: 0

2019: 0

2020:  $17 million

Water Sales

2003: $42 million

2004: $40 million

2005: $39 million

2006: $45 million

2007: $43 million

2008: $47 million

2009: $41 million

2010: $42 million

2011: $47 million

2012: $47 million

2013: $44 million

2014: $69 million

2015: $59 million

2016: $63 million

2017: $61 million

2018: $57 million

2019: $50 million

2020: $48 million


Operating Income (Loss)

2003: $7 million

2004: $9 million

2005: $10 million

2006: $13 million

2007: $13 million

2008: $9 million

2009: $5 million

2010: $8 million

2011: $11 million

2012: $6 million

2013: ($0.9 million) 

2014: $22 million

2015: $19 million

2016: $37 million

2017: $6 million

2018: ($80,000)

2019: ($17 million)

2020: ($10 million)

42 comments:

Anonymous said...

If we can’t trust the water billing system, the mayors press releases, the city crime reports, or any other statistics about Jackson, can we trust their accounting reports on themselves??

Anonymous said...

But But But it's the racist white people's fault. Where is that $90mil settlement money? More importantly, where is the $30mil siphoned off the top to Lord Antar's buddies in Chicago with a legal case that could have been won by a Jr. Atty. Where is Marcus Wallce these days? Lots of people to blame other than they one's they are blaming.

Anonymous said...

It took from 12/31/2000 until 3/16/2022 to get these numbers. That is 14 1/2 months. This is as appalling as the results.

Anonymous said...

Who cares. Water should be free anyway. God’s property.

Anonymous said...

If only the law allowed the city to bill residents for their water consumption.

Anonymous said...

The financials are released just as the state Legislature enters the home stretch on possibly giving Jackson money to make water & sewer system repairs. If you were a legislator, would you give money to a this city administration that mismanages everything it touches?

Anonymous said...

I’m sick of the mayor the leadership all are hired based on race. Funny how when black leadership is in charge they tend to hire blacks. White leadership example the burbs hires on quality generally example is charlotte seals madison co schools superintendent. I mean Jackson and it’s leaders are blatantly racists.

Anonymous said...

Any news on the PARKING METER shortfalls ? Lol, Jackson could fug up an iron ball with a rubber mallet.

Anonymous said...

1152, you can have all the free water you want. Suck it up out of the ditches, or carry a bucket to the Pearl. But if you want it treated, and delivered - you gotta pay for that service. Along with giving you a disposal system for when you piss it out - thats part of the invoice as well

Anonymous said...

Jackson only receives crumbs and pittances while Lumumba is in office.

Kingfish said...

Mayor hires white folks. Hired Bob Miller. Planning and zoning director is white. Press sec is white. Head of arts and museums is white. City council president is white.

Now at

Anonymous said...

"Who cares. Water should be free anyway. God’s property. "

I agree - that's why it's free if you capture runoff from your roof after it rains, or carry a bucket down to the stream/lake/river/whatever and carry it back any time you want to.

If, however, you want the convenience of someone else (i.e., the taxpayers) paying to pump it to your kitchen faucet, write that check before we sent anything. Freeloading days are over.

Anonymous said...

Forgive me for the thread-jack.
I will agree that Antar is worthless as a mayor. And as Kingfish stated, he does hire plenty of whites. But the problems in Jackson are cultural.
Bowever, I have been convinced by Thomas Sowell’s Black Rednecks, White Liberals that the culture of Jacksonians is a distinctly Southern culture that was brought to America by the white settlers.

Click the links below for a recitation of Thomas Sowell’s take on the degenerate nature of Southern Culture.

Black Rednecks, White Liberals - Clip 1
Black Rednecks, White Liberals - Clip 2

Anonymous said...

The PW deputy director over the water sewer department is a white lady also. Chockweed hires a few to sprinkle around his administration so as not to look completely racist.

Anonymous said...

@1 hour 21 minutes
I don't want the convenience. Thanks for the offer, though.

Anonymous said...

@12:59 PM
Um, empty bucket?

Anonymous said...

KF, you're the ONLY white person in the City of Jackson who receives absolutely none of the white privilege. Think about that for a second.

Anonymous said...

11:52 : Water is free numbnuts. You are paying for it to be delivered into your home thru engineering. Avoid it by building a well.

Anonymous said...

My screwed up water bill still uses an estimated reading showing
me using over 19,000 gallons per month for 2 half bathrooms at my office/shop

You talk to a bunch of ignorant people at water billing department when you ask them to do a physical reading of your meter

They always say I have a leak ( which I don't)

No telling hom much of the A/R is over-billed accounts

Anonymous said...

1:08 : Are they though ? All progressive shills to the "Mayor". Bootlickers if you weeeel. Color is so subjective now a days KF. :)

Anonymous said...

Why is it that we send our payments to Memphis? This is got to be a payback!!

Anonymous said...


Hey 11:52,

There's your free water in the picture of yesterday's blog "OINK! OINK! OINK!" .....

Drink up, you can have all you want!!

Anonymous said...

KF, Mayor has in fact hired some white folks - you have mentioned some. But he has also chased off plenty because they wouldn't be "yessirboss" employees. (applies as well to some folks that are not department heads, including some that you have previously pointed out -- lets say maybe some precinct commanders and others within the JPD??) And, the Mayor has nothing to do with who is President of the Council - remember, he doesn't get a vote there, so that herring you tried to drag across the road stunk before it ever got hooked.

Issue here isn't whether the Mayor has actually employed some white people in his administration, its the manner of transacting the city's business.

Anonymous said...

I make comments here all the time about PARKING METERS and the loss of income from them not being maintained. Why does no one comment on this glaring error by Jackson ? Why does this site not focus on this wasted income stream ?

Anonymous said...

How in the world has Lumumba slipped under Biden's radar for a high government position ?

Krusatyr said...

KF: "City Council president is white"; is she an appointment of the mayor? Or elected by Council members?

Kingfish said...

Mayor ran off all whites in JPD command staff. Vance retired because He wouldn't demote Deputy Chief Alan White. Mayor put in Tonari's cousin as Interim Chief. Moore immediately kicked the whites off the command staff. One white remained as precinct commander, they treated him like crap until he finally retired in frustration.

Ever since the Mayor ran Vance and everyone else in his command staff off, crime has done nothing but skyrocket as blood flows through the streets of Jackson.

Anonymous said...

@2:17
Have you ever seen Kingfish? He’s a quarter white at best. Swarthy af.

Anonymous said...

There is only one thing that may save Jackson-Receivership.

Anonymous said...

Dang, if loosing $10,000.000.00 USD instead of loosing $17,000.000.00 USD a year is "good news" then only loosing $27,000,000.00 USD in two years should be great news.....right?

Anonymous said...

@5:05 PM
I seent him maybe once or twice. Didn’t pay too much attention to him. I do recall he couldn’t look me in the eyes. Fear of man grows on trees.

Anonymous said...

@3:38 PM
Let me get this right: You’re saying I can drink the water in the photograph? You know, I never realized it. This is ground-breaking stuff. Thank you. Matter of fact, I’m not only gonna “drink up” but also take a cigarette lighter and hold it up to the photograph and grill me some pork chops.

I’ll save the pig feet, pig ears and chitterlings for your momma.

Anonymous said...

My head hurt reading the comment of @6:29. Our education system must do better. Or maybe it's doing fine but kids don't pay attention in class.

Anonymous said...

hey @6:29 - the word is 'losing' - didn't JA teach you that?

Anonymous said...

So what's the deal with the non-timely filing of reports? What about crime stats reports? Are there no State sanctions for not filing reports on time?

Oh well, different rules for different people.

"All animals are equal" but some animals are more equal.
With apologies to George Orwell.

Anonymous said...

@ March 16 7:22 pm

There are 2 things that are needed to improve Jackson, one short term and one long term:

(1) Receivership, as you suggest, would deliver a short term, immediate improvement.
(2) Gentrification.

mmorris1908 said...

the state of emergency needs to be issued for the whole public works department especially the bankrupt water department

Anonymous said...

I hate to imagine what makes up $26.6 million in "Other services and charges". Cut that in half and you are making a profit.

Anonymous said...

Wonder if folks are still paying their bills in cash ? Guaranteed to be pocketed over there at the Metro Center.

Anonymous said...

Why is it that we send our payments to Memphis?

And Detroit before Memphis. When payment is remitted out of state are those operations beyond the reach and direct review of the State Auditor?

Anonymous said...

Given their billing system, I can’t believe it’s only 10 million.

Anonymous said...

Your check goes to Memphis because that's where the city has a lockbox. What I don't understand is that when I mail them a check it takes 3 weeks for them to deposit.


Recent Comments

Search Jackson Jambalaya

Subscribe to JJ's Youtube channel

Archives

Trollfest '09

Trollfest '07 was such a success that Jackson Jambalaya will once again host Trollfest '09. Catch this great event which will leave NE Jackson & Fondren in flames. Othor Cain and his band, The Black Power Structure headline the night while Sonjay Poontang returns for an encore performance. Former Frank Melton bodyguard Marcus Wright makes his premier appearance at Trollfest singing "I'm a Sweet Transvestite" from "The Rocky Horror Picture Show." Kamikaze will sing his new hit, “How I sold out to da Man.” Robbie Bell again performs: “Mamas, don't let your babies grow up to be Bells” and “Any friend of Ed Peters is a friend of mine”. After the show, Ms. Bell will autograph copies of her mug shot photos. In a salute to “Dancing with the Stars”, Ms. Bell and Hinds County District Attorney Robert Smith will dance the Wango Tango.

Wrestling returns, except this time it will be a Battle Royal with Othor Cain, Ben Allen, Kim Wade, Haley Fisackerly, Alan Lange, and “Big Cat” Donna Ladd all in the ring at the same time. The Battle Royal will be in a steel cage, no time limit, no referee, and the losers must leave town. Marshand Crisler will be the honorary referee (as it gives him a title without actually having to do anything).


Meet KIM Waaaaaade at the Entergy Tent. For five pesos, Kim will sell you a chance to win a deed to a crack house on Ridgeway Street stuffed in the Howard Industries pinata. Don't worry if the pinata is beaten to shreds, as Mr. Wade has Jose, Emmanuel, and Carlos, all illegal immigrants, available as replacements for the it. Upon leaving the Entergy tent, fig leaves will be available in case Entergy literally takes everything you have as part of its Trollfest ticket price adjustment charge.

Donna Ladd of The Jackson Free Press will give several classes on learning how to write. Smearing, writing without factchecking, and reporting only one side of a story will be covered. A donation to pay their taxes will be accepted and she will be signing copies of their former federal tax liens. Ms. Ladd will give a dramatic reading of her two award-winning essays (They received The Jackson Free Press "Best Of" awards.) "Why everything is always about me" and "Why I cover murders better than anyone else in Jackson".

In the spirit of helping those who are less fortunate, Trollfest '09 adopts a cause for which a portion of the proceeds and donations will be donated: Keeping Frank Melton in his home. The “Keep Frank Melton From Being Homeless” booth will sell chances for five dollars to pin the tail on the jackass. John Reeves has graciously volunteered to be the jackass for this honorable excursion into saving Frank's ass. What's an ass between two friends after all? If Mr. Reeves is unable to um, perform, Speaker Billy McCoy has also volunteered as when the word “jackass” was mentioned he immediately ran as fast as he could to sign up.


In order to help clean up the legal profession, Adam Kilgore of the Mississippi Bar will be giving away free, round-trip plane tickets to the North Pole where they keep their bar complaint forms (which are NOT available online). If you don't want to go to the North Pole, you can enjoy Brant Brantley's (of the Mississippi Commission on Judicial Performance) free guided tours of the quicksand field over by High Street where all complaints against judges disappear. If for some reason you are unable to control yourself, never fear; Judge Houston Patton will operate his jail where no lawyers are needed or allowed as you just sit there for minutes... hours.... months...years until he decides he is tired of you sitting in his jail. Do not think Judge Patton is a bad judge however as he plans to serve free Mad Dog 20/20 to all inmates.

Trollfest '09 is a pet-friendly event as well. Feel free to bring your dog with you and do not worry if your pet gets hungry, as employees of the Jackson Zoo will be on hand to provide some of their animals as food when it gets to be feeding time for your little loved one.

Relax at the Fox News Tent. Since there are only three blonde reporters in Jackson (being blonde is a requirement for working at Fox News), Megan and Kathryn from WAPT and Wendy from WLBT will be on loan to Fox. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both and a torn-up Obama yard sign will entitle you to free drinks served by Megan, Wendy, and Kathryn. Get your tickets now. Since this is an event for trolls, no ID is required. Just bring the hate. Bring the family, Trollfest '09 is for EVERYONE!!!

This is definitely a Beaver production.


Note: Security provided by INS.

Trollfest '07

Jackson Jambalaya is the home of Trollfest '07. Catch this great event which promises to leave NE Jackson & Fondren in flames. Sonjay Poontang and his band headline the night with a special steel cage, no time limit "loser must leave town" bout between Alan Lange and "Big Cat"Donna Ladd following afterwards. Kamikaze will perform his new song F*** Bush, he's still a _____. Did I mention there was no referee? Dr. Heddy Matthias and Lori Gregory will face off in the undercard dueling with dangling participles and other um, devices. Robbie Bell will perform Her two latest songs: My Best Friends are in the Media and Mama's, Don't Let Your Babies Grow up to be George Bell. Sid Salter of The Clarion-Ledger will host "Pin the Tail on the Trial Lawyer", sponsored by State Farm.

There will be a hugging booth where in exchange for your young son, Frank Melton will give you a loooong hug. Trollfest will have a dunking booth where Muhammed the terrorist will curse you to Allah as you try to hit a target that will drop him into a vat of pig grease. However, in the true spirit of Separate But Equal, Don Imus and someone from NE Jackson will also sit in the dunking booth for an equal amount of time. Tom Head will give a reading for two hours on why he can't figure out who the hell he is. Cliff Cargill will give lessons with his .80 caliber desert eagle, using Frank Melton photos as targets. Tackleberry will be on hand for an autograph session. KIM Waaaaaade will be passing out free titles and deeds to crackhouses formerly owned by The Wood Street Players.

If you get tired come relax at the Fox News Tent. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both will entitle you to free drinks.Get your tickets now. Since this is an event for trolls, no ID is required, just bring the hate. Bring the family, Trollfest '07 is for EVERYONE!!!

This is definitely a Beaver production.

Note: Security provided by INS
.