Bill Would Strip WASA Of Budget Control

The D.C. Water and Sewer Authority would lose control over its budget under a proposal making its way to the D.C. Council.

Council member Jim Graham (D-Ward 1) recently introduced legislation to wrest financial control from WASA's board and give it to Chief Financial Officer Natwar M. Gandhi. The quasi-independent agency has a $320 million budget.

The move is opposed by WASA General Manager Jerry N. Johnson, who compares the proposed changes to the D.C. school board, which will serve largely in an advisory capacity if, as expected, Congress approves a takeover of the system by Mayor Adrian M. Fenty (D).

"You have to question if that [WASA] proposal went through, what the role of the board would be," Johnson said. "They would have no responsibility for financial side of the equation. Gandhi's role would be greatly expanded, and the role of the board would be significantly reduced. That's definitely not the intent of the legislation that created WASA."

The proposal also would add two members to the 11-member board.

Similar changes have been discussed for nearly two years but rose to the top of the agenda after Graham became chairman of the Committee on Public Works and the Environment this year.

Maryann Young, a spokeswoman for Gandhi, said WASA is the only D.C. government agency not overseen by Gandhi's office. She said Graham's legislation, introduced last week, would meet home rule provisions that the city's chief financial officer provide oversight of independent agencies.

Historically, WASA was given an exception. Johnson said that when the agency was created 10 years ago, it was allowed to oversee its own budget under a formal understanding reached with former mayor and chief financial officer Anthony A. Williams (D).

Unlike other agencies, Johnson said, WASA does not receive money from the District government but gets funds from customers, federal grants and suburban jurisdictions. The Blue Plains plant receives sewage from the District and Montgomery, Prince George's, Loudoun and Fairfax counties.

Johnson said the agency has handled its finances prudently. "There's nothing broken," he said. "We have had a stellar financial performance. Our bond rating is higher than the District of Columbia."

Timothy L. Firestine, a Montgomery County representative on the authority, said the agency is responsible for money from other jurisdictions, so "it would be problematic to have the CFO be someone who is under the jurisdiction of the District."

"It's worked for 10 years very well," Firestine said. "Why does anyone suddenly feel this need for change?"