Madison, WI – Today, the Wisconsin State Assembly voted on AB 59, a bill that would make Superior Water, Light & Power (SWL&P) eligible to receive public funds to replace lead service lines, including those owned by the utility. Rep. Stroud voted against the bill, citing serious concerns over impacts to local residents and the use of taxpayer dollars to support a private, for-profit utility.
“I’m extremely disappointed to have had to vote no on this bill today, but there were too many unresolved questions,” Stroud said.
Under the proposed legislation, SWL&P customers in Superior could face significant out-of-pocket expenses. The company has cited an average customer-side replacement cost of $10,000, double the statewide average, raising concerns that even with partial subsidies, residents could be left with an average bill of $2,500 to have their pipes replaced. In addition, the City of Superior is currently considering acquiring the water utility. Because the value of the company would likely be determined, in part, by the value of its infrastructure, upgrades paid for with public money could increase the purchase price, ultimately costing residents more.
While supporting the goal of removing lead pipes, Rep. Stroud raised concerns about the financial burden on customers and the potential impact on the city’s ability to acquire the utility in the future. “Superior residents already pay the highest water rates in the state,” said Rep. Stroud. “This bill could leave them with high out-of-pocket costs and inflate the value of a company, just when the city has decided to discuss acquisition.”
The bill advanced before an agreement could be reached between the city and the utility to protect customers. “I’ve worked hard to find a compromise, including a deal that would bring down the cost of customer-side replacement to zero and would protect the public in the future. But without a deal in place, I had to vote no,” Rep. Stroud said. “If a fair agreement is reached between the city and the company before the bill reaches the Governor, my hope is that he would sign this bill into law. But I had to vote on the bill as it stands today.”
Stroud cited a lack of Republican input and communication as a contributing factor in the issue. “It’s unbelievable to me that while I’ve spent countless hours trying to figure out a path forward that would benefit the residents of Superior, the Republican authors were content to write the exact bill that the company asked for and then considered their work done. I thought our job was to do what’s best for the residents of our district. This means listening to their concerns, keeping money in their pockets, and making sure that we’re standing up for them against private, for-profit companies.”
