Regionalization is not a simple solution. It could introduce pitfalls and dangers, particularly for Black residents who are already disproportionately affected by existing issues.
The Maryland legislature passed a bill to create a “water regionalization” workgroup. So, what does this mean for Baltimore residents? Regionalization is not just a matter of administrative restructuring. It is a pressing concern that will impact every
Baltimorean. Therefore, before the state makes any decision, conducting a thorough study of the challenges facing Baltimore residents through a racial and economic equity analysis is crucial.
Baltimore City is currently responsible for treating and managing wastewater and safe drinking water for the region. Water is managed by the Department of Public Works (DPW), which the City of Baltimore manages. In addition, DPW maintains the
infrastructure for wastewater and drinking water. There have been many documented issues with DPW and their oversight, from billing issues to the E. coli and coliform contaminants in West Baltimore’s water. These issues have given the state and, by
extension, Baltimore County a pathway to advocate for regionalization.
Since last year, when the Maryland General Assembly passed legislation to create the Baltimore Regional Water Governance Task Force, its goal has been to make recommendations to modernize the governance of Baltimore’s water. It was clear that
the task force was leaning toward regionalization. Some have expressed concern that regionalization is code for privatization. However, the results of the task force were inconclusive. So, it voted to create a new work group that would conduct and review the
matter in more detail.
Regionalization is not a simple solution. It could introduce pitfalls and dangers, particularly for Black residents who are already disproportionately affected by existing issues. For instance, Baltimore City residents, who are predominantly Black, currently
pay more for water than those in the county — an extra $176 or 12 percent more each year. A racial equality analysis is necessary to highlight these inequalities and to determine if regionalization could worsen them.
Regrettably, there has been a pattern with the regionalization of primarily Black cities. Most of the time, the city residents are the ones to pay. Switching to a water authority could result in an increase in water bill prices and a return of the policy of water shutoffs for people who are not able to afford their water bills.
Further, transforming the current system could cost Baltimore up to $2.5 billion in transaction costs. This price tag involves combining worker pension benefits during and after the merger, making lease payments and refinancing existing debt.
Regionalization has already been executed in Detroit. Black Detroit residents suffered mass shutoffs affecting more than 140,000 households. And city customers paid higher water and sewer rates due to the city being charged retail rates while their suburban
counterparts were charged wholesale rates. If Baltimore fails to conduct an equity analysis, these issues could come to Baltimore, too.
In addition to racial analysis, an economic equity analysis must be completed. This review would determine whether merging city and county water would be a detriment to Baltimore citizens’ financial security. The main concern regarding a regionalized water system is the real risk of a rate shock. A NAACP Legal Defense Fund study showed that Baltimore water bills exceeded 2 percent of median income. Rushing into a regionalization of the water system would only increase the risk of rising water bills.
On May 9, the governor signed into law legislation (House Bill 1509) that will set guidelines for the next three years to investigate merging the water system. Through advocates’ continuous work, the workgroup cannot recommend a privately operated structure. However, there was no promise of an economic and racial analysis.
Therefore, there must be continuous pressure from the public to ensure that the workgroup does everything it can to understand how its decision will affect the people of Baltimore City.
Courtland Merkel (cmerkel@mvlslaw.org) is a staff attorney at Maryland Volunteer Lawyers Service.
