CULLMAN — A public discussion forum hosted by Senate Majority Leader Zeb Little drew a large crowd Tuesday evening to the Cullman Civic Center.

The estimated 300 people in attendance sat through a series of questions from audience members concerned about the fate of water supply, cost and oversight in Cullman County in the wake of a major shift in the ownership and administration of the county’s water system.

Also up for discussion was what Little described as a growing interest among residents to have the Alabama legislature change the county’s current three-commissioner lineup to a five-member body.

Both issues saw heavy discussion, but water predominated.

Many of the questioners’ concerns showed an ongoing conflation of numerous water issues in popular opinion. Some speakers connected the formation of two new entities to oversee the county water department with the ongoing struggle between city and county officials to agree on a permanent regional water source.

Others derided the notion that the creation of an appointed utilities board sheltering a water cooperative—and self-appointing some of the same board members to both bodies—is a way to separate politics from the water issue.

Little said from the outset he would have few answers; rather, he said, he wanted to know what residents’ questions are first.

“I’ll try to answer your questions,” Little told the crowd, “[but] it’s a great opportunity for me to gather information from you...I’m not advocating a position here tonight.”

Having received many questions about whether the April 27 decisions of the Cullman County Commission—which led to the formation of the Governmental Utility Services Corporation of Cullman County (GUSC) and the South Cumberland Cooperative District (SCCD) in one day—could be undone, Little offered three scenarios.

The first, he said, would be for the two boards to vote to dissolve themselves voluntarily, and to return the water system to the county. The second would be a court ruling to overturn the resolutions passed at the April 27 commission meeting, if it is found that the measures were not carried out in accordance with the law. Third, the Alabama legislature could pass a constitutional amendment dissolving the entities.

Similarly, he outlined the way in which the county’s form of government would be changed, if residents and county officials were to request it:

“Can we go to a five-member commission? The answer is ‘yes,’” Little said. “To do that, it would require a local legislative act. It could be tied to a referendum; a vote of the people—it doesn’t have to be, but it could be—to let you decide if you want to go to a five-member, or six-, or seven-, or nine-member commission.”

Legislative intervention should not—and indeed would not—happen quickly, he noted.

“A constitutional amendment requires a vote of the people. The legislature has to pass a bill, and then it could be put to a vote of the people. The legislature doesn’t meet again until next March, so it’s not a quick fix,” he said.

Most of those who took their turn at the microphone were adamant in their opposition to the manner in which the county commission created the GUSC and SCCD, and many of those speakers’ comments drew heavy applause from the audience.

Trimble resident Kenneth Neal, who is one of seven plaintiffs in a lawsuit seeking the dissolution of the two new water entities, drew approval for his admonition that city and county residents embroiled in the water debate think beyond their own territorial interests.

“We’re driving a big wedge between the county and the city, and we all live in the county,” he said. “Why do we not want to work together for the betterment of the whole county? I think what we need to look at is not what’s better for one or two people...but what’s best for the county. And the City of Cullman is part of Cullman County.”

Neal’s comments followed those of Lydia Haynes, sister-in-law to SCCD board member Dr. Dennis Haynes. Mrs. Haynes’ comments, which addressed some of the problems she feels the Duck River dam could create for farmers in the river’s watershed, were the only words defending the GUSC and SCCD that drew applause.

Of the more than 20 people who spoke, the concerns ranged from retirement benefits for SCCD employees leased from the county; the lack of electoral option to replace board members; the eminent domain powers held by the non-elected board; the perception that most appointed board members allegedly favor Smith Lake over Duck River as the county’s choice of water supply; the board’s exemption from open bid laws—and more.

Little summarized the significance of public input and long-term regional cooperation on the water issue.

“We’re so blessed to live in Cullman County—we have some of the best schools in this state,” he said. “Cullman has done extremely well in recruiting new industry because everyone has worked together. We’ve created more jobs than we’ve lost. It’s not an accident that that happened. It happened because everybody worked together.

“There’s one obstacle out there that I see as the greatest obstacle that we face, and that is water. Today, we fight—the world fights—over oil. Fifteen; twenty; twenty-five years from now, we’re going to fight over water [if a solution is not reached]. It is an issue that, if it is not resolved, could have a devastating impact on this county. The poultry industry is still the number-one industry in this county...and it relies on having an adequate water supply; a safe water supply. Our livelihoods are at stake. I’m not trying to make the issue bigger than it is—it’s a big issue, and we’ve got address it and solve it.”

THE DETAILS

Following is a summary of some of the statutory provisions and powers the Government Utilities Services Corporation of Cullman County possesses as provided by the Code of Alabama, Section 11-97-1 through 27.

The information was summarized and distributed by Senate Majority Leader Zeb Little at a well-attended public forum he held in Cullman May 25.



1.  The Government Utilities Services Corporation of Cullman County (GUSC) was incorporated as a public utilities service corporation to construct facilities to provide water services in the county.

2.  The Cullman County Commission reviewed the application as required by the state law and adopted a resolution approving the GUSC on April 27, 2010.

3.  Powers of the GUSC include, but are not limited to, the power to:

    a. Adopt bylaws, regulations, and rules to regulate its business.

    b. Acquire, improve and operate one or more utility facilities.

    c. Borrow money and sell and issue bonds.

    d. Lease its facilities and collect rent on the leases.

    e. Contract to sell or dispose of any of its facilities.

    f. Lend money from bond sales for the purchase and operation of its facilities and facility equipment.

    g. Enter utility service contracts with governmental utility users.

    h. Employ and contract for professional services including services of architects, engineers, attorneys, consultants, financial experts, and advisors.

    i. Enter municipal and county utility management contracts.

    j. Invest monies of the corporation.

    k. Require payments in lieu of taxes on facilities of the corporation.

    l. Do all things necessary and convenient to carry out the business of the corporation.



4.  GUSC can sell and issue bonds.

5.  GUSC can refinance bonds.

6.  GUSC has freedom from supervision and control by the state, except for certain provisions.

7.  GUSC can obtain real property for its use by the power of eminent domain.

8.  Counties and municipalities can donate, lease, grant, or loan money and property to GUSC.

9.  Counties and municipalities can enter utility service agreements with the GUSC.

10. GUSC is exempt from ad valorem taxes, income taxes, and sales, use, excise, and license taxes.

11. GUSC is exempt from state usury and interest limiting laws, and can set its interest charges.

12. GUSC is exempt from competitive bid laws for contracts with cities and counties.

13. GUSC can legally dissolve, provided all outstanding bonds and debt are paid.

* Benjamin Bullard can be reached by e-mail at bbullard@cullmantimes.com or by telephone at 734-2131 ext. 270.