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Jim Battin

Waste Watch — Taxpayer Dollars Dry Up as Water CEO Over Taps Funds

Santa Clara Valley Water District officials claim they are saving the state money by employing a chief executive for the agency part-time, but the action is actually costing taxpayers more money. At a time when California is experiencing a record $16 billion plus budget shortfall, government officials must be more responsible with taxpayers’ hard-earned dollars. However, the tax-fund tap has been left running for a couple of years at the Santa Clara Water District.

According to the San Jose Mercury News, (July 8, 2008), “Olga Martin Steele was brought in to temporarily lead the Santa Clara Valley Water District in January after its former CEO Stan Williams resigned under a cloud of controversy for excessive spending.” The facts tell the story: “…[U]nder a contract that the board will consider extending today, Steele is making more money than Williams – $252,000 a year – while working less, only 32 hours a week.” Furthermore, “[s]he maintains part-time status so she can continue drawing her $180,000 state pension, which she earned from previous government jobs. If the water board extends Steele’s contract another six months, she’ll receive $432,000 this year.”

Clearly, there is a conflict of interest, and most certainly, taxpayers must feel drained dry in paying for the unending spring of funds Steele is lapping up. “‘[T]he purpose of a public employee retirement system is to take care of people in their old age. When people are able to retire relatively young [and continue working on the public payroll], they are able to double dip. The effect on the taxpayers means that there is less money for current services,’” said Jon Coupal, president of the Howard Jarvis Taxpayers Association.

Unless things change, the state will continue to drown in red ink, be forced to guzzle down increased taxes, and have beneficial services washed away. Outrageously, “Steele’s predecessor, Williams, made $250,000 after the board gave him a 7 percent raise in his final days in office to help boost his pension,” according to the San Jose Mercury News.

Additionally, “In May, the water board approved significant pay raises for two of the district’s other top employees, making them the most highly paid such employees of any water district in the state…Water district counsel Debra Cauble’s salary increased 8 percent to $221,720 a year. And board clerk Lauren Keller got a 5 percent raise, to $135,574 a year.”

Given the board’s wasteful spending track record, now is the time to turn off the tap. It is no wonder why California is going broke; government officials like those at the Santa Clara Water District are flushing tax dollars down the drain.

For past issues of Waste Watch — click here.