Sewage seeps into politics as lawmaker's Gary agency sues cities she represents
A dispute over wastewater treatment user rates is pitting a Gary state lawmaker against communities she represents in the Indiana General Assembly.
State Rep. Ragen Hatcher, D-Gary, whose District 3 seat includes Gary, Hobart, Lake Station and New Chicago, is also the executive director of the Gary Sanitary District.
On Jan. 15, the GSD and the city of Gary filed a federal lawsuit against Hobart, Lake Station and the Merrillville Conservancy District seeking a declaratory judgment to pave the way to raise user rate fees for treating their wastewater.
A declaratory judgment typically spells out the legal relationship between the parties and their legal obligations.
Gary contends the user rates for the three communities are decades old and too low to meet the requirements of a federal consent decree.
In the 1980s, the Environmental Protection Agency cited the GSD for the pumping of toxic sludge laced with PCBs into a small lagoon in violation of the Clean Water Act. A judge later ordered a cleanup.
The lawsuit has further soured relations between Hatcher and Lake Station and Hobart officials.
In last year's primary, leaders in the two cities supported Hatcher's opponent Heather McCarthy who's also Hobart city attorney. Hatcher went on to win the primary and the general election to earn a fourth term in the General Assembly.
In January, Gary Mayor Eddie Melton named Hatcher, an attorney who also holds an MBA, as executive director of the Gary Sanitary District, and she left her post as the city's community development director.
Meanwhile, Hatcher represents Gary, Hobart and Lake Station during the week in Indianapolis in Statehouse matters. The session ends April 29.
Few officials opted to talk about the rate dispute.
Hobart Mayor Josh Huddlestun declined comment and a representative from the MCD didn't return a call for comment.
Hatcher also declined to comment, citing the pending lawsuit, and attorneys for both sides didn't return calls for comment.
Earlier, she said in an interview at a city event March 10 that an independent study was ongoing on the rates.
'What we know right now about Merrillville, Hobart and Lake Station is they are paying less than what it costs to treat their wastewater.'
The complaint alleged the shortfall impacts Gary residents.
'Specifically, MCD and Hobart's user charge rates have placed a disproportionate burden on the citizens of Gary, who are paying substantially higher rates than those directly supported by MCD and Hobart,' the complaint said.
Lake Station Mayor Bill Carroll, however, disagreed. He said he doesn't feel Hatcher serves the interests of the communities she represents.
'If I can't be paid as a fireman… but yet Ragen Hatcher can be a representative for the communities she's trying to increase the user rate on, I think it's a huge conflict of interest,' said Carroll, a Democrat like Hatcher and Huddlestun.
After he became mayor, Carroll joined the Lake Station Volunteer Fire Department, but he doesn't accept pay from the city as a fireman because the city pays his salary as mayor.
'It's not fair to the communities she represents to try to put these huge rates on her constituents. There's no way the IURC (Indiana Utility Rate Commission) or anyone in their right minds think it's fair.'
It couldn't be determined if Hatcher's dual roles represented a conflict. It could be a question for the state's public access counselor, but the office is vacant. A spokesman for Gov. Mike Braun said the job would be filled by the end of March.
A public access counselor's ruling, however, is non-binding.
After talks broke down, Indianapolis-based Taft Stettinius & Hollister LLP filed the lawsuit for the GSD and Gary in the U.S. District Court Northern District of Indiana in Hammond.
The case was assigned to Judge Philip P. Simon and Magistrate Judge Abizer Zanzi was also added.
The Merrillville Conservancy District along with Hobart and Lake Station hired Dentons Bingham Greenbaum LLP, of Jasper, to represent them. The same law firm also filed a petition for a review of rates and charges on Nov. 26, 2024, with the IURC.
The GSD first entered a wastewater treatment agreement with Lake Station in 1982. The complaint said the agreement expired in 2002, and GSD continued to provide treatment services under an implied fact contract at the 1982 rate.
Hobart entered a contract with GSD in 1984 and GSD signed a pact with the MCD in 1995. Hobart city officials weighed building their own sewage treatment plant in 2001 because of rising GSD rates, but ultimately didn't do it.
The communities have been haggling over user fees for several years.
In 2016, they contended GSD sludge disposal costs increased 69% over 2015 levels.
The federal case is ongoing with the last filing submitted March 17.
'At the end of the day, we want the communities to come together and work together,' said Carroll. Technically, we're all fighting for money and that hurts our districts.'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New York Post
2 hours ago
- New York Post
Trump admin officials blast LA Mayor Karen Bass' response to ICE raids — as cops clash with violent protesters
Several Trump administration officials fired back at Los Angeles Mayor Karen Bass Friday after she pledged to oppose federal efforts to nab illegal immigrants — as cops in her city had to use flash bangs to disperse the violent mob of protesters who descended on the arrest sites. 'We will not stand for this,' Bass said in a statement released after federal immigration authorities arrested 44 people in raids across Los Angeles. 'I am deeply angered by what has taken place,' the Democrat mayor fumed, noting that her office 'is in close coordination with immigrant rights community organizations.' Advertisement 4 Bass slammed the Los Angeles immigration enforcement raids in a social media post. AFP via Getty Images White House deputy chief of staff Stephen Miller quickly dismissed Bass' declaration. 'You have no say in this at all,' Miller shot back on social media. Advertisement 'Federal law is supreme and federal law will be enforced,' he noted on X. Miller was one of several Trump administration officials that took issue with Bass' statements. 'They're Illegals. Not 'immigrants.' One just tried to burn Americans alive in Boulder,' White House adviser Sebastian Gorka wrote on X, referring to Colorado terror suspect Mohamed Soliman. The Egyptian national overstayed his tourist visa before allegedly firebombing a peaceful march for Israeli hostages still held by Hamas on Sunday in a heinous antisemitic attack. Advertisement 'If you're aiding and abetting them you're a criminal too,' Gorka said in response to the LA mayor's comments. 'Are you ready to be treated as a criminal? 'Because we are ready to treat you as one if you commit a crime,' he warned. 4 Miller noted that Bass has 'no say' in federal immigration enforcement. Chris Kleponis – CNP / MEGA 4 Miller was one of several Trump administration officials who reacted strongly to Bass' statement on the ICE raids. Stephen Miller, /X Advertisement Justice Department official Harmeet K. Dhillon was stunned by Bass' understanding of the law. 'It's amazing the number of elected officials who don't grasp the basics of federalism, or federal sovereignty over immigration issues, or the First Amendment,' Dhillon tweeted. The Los Angeles immigration raids sparked protests at the arrest sites, and at least one person was taken into custody for allegedly obstructing federal law enforcement. 'Federal agents were executing a lawful judicial warrant at a LA worksite this morning when David Huerta deliberately obstructed their access by blocking their vehicle,' US Attorney Bill Essayli said in a statement. 'He was arrested for interfering with federal officers and will face arraignment in federal court on Monday.' 'Let me be clear: I don't care who you are — if you impede federal agents, you will be arrested and prosecuted.' Huerta is president of the California branch of the influential Service Employees International Union. 4 The raids sparked protests in Los Angeles. AP Department of Homeland Security spokeswoman Tricia McLaughlin decried the city's response to protesters' clashes with federal agents – which escalated hours after the raids. Advertisement 'Assaulting ICE enforcement officers, slashing tires, defacing buildings. 800 protestors have surrounded and breached the first layer of a federal law enforcement building in LA,' McLaughlin wrote on X. '@LAPD has not responded.' 'This violence against @ICEgov must stop.' Richard Grenell, President Trump's envoy for special missions, blamed Bass for the unrest. 'Karen Bass whipped all of this up. She attacked the rule of law. She undermined democracy,' Grenell wrote on X, sharing images of protesters attempting to block federal law enforcement vehicles. Advertisement 'The @MayorOfLA is creating chaos in LA,' he fumed. With Post wires
Yahoo
2 hours ago
- Yahoo
Trump tariff policy is 'chaos and absurdity': Rep. Dean on asking Trump Commerce Secy. about bananas
MSNBC's Ali Velshi is joined by Pennsylvania Democrat Rep. Madeleine Dean, to discuss the House Appropriations Cmte. testimony by Trump Commerce Secretary Howard Lutnick and why he struggled to explain the administration placing tariffs on bananas which can only be grown in a few places inside the United States.
Yahoo
3 hours ago
- Yahoo
Four of Trump's Cabinet secretaries coming to Santa Fe for Western governors meeting
Santa Fe may be one of the most liberal cities in New Mexico, if not the nation. But later this month, the City Different will host some of the most high-profile figures of the MAGA movement. Four U.S. Cabinet secretaries under the administration of Republican President Donald Trump will headline the 2025 annual meeting of the Western Governors' Association as keynote speakers June 23-24, the association announced Friday. They include Secretary of the Interior Doug Burgum, Secretary of Labor Lori Chavez-DeRemer, Secretary of Education Linda McMahon and Environmental Protection Agency Administrator Lee Zeldin. Additional Trump administration officials may be coming to New Mexico, too, but their attendance has not yet been confirmed. Gov. Michelle Lujan Grisham, who chairs the association, said the four Cabinet secretaries' attendance represents the largest gathering of presidential administration officials at a Western Governors' Association meeting since the coronavirus pandemic. "I think the point is both Democratic and Republican governors want a chance to talk about their states and what their pressing issues are," Lujan Grisham, a Democrat, said in a telephone interview Friday. "All the governors in the National Governors Association signed a resolution that I helped lead that is against all the cuts that we're seeing in the budget reconciliation bill, so this is a chance to maybe, outside of the larger party platform lobbying, to talk about real issues," she said. The two-day meeting, held at the Eldorado Hotel and Spa, will be a star-studded event, at least in the world of politics. In addition to the four Cabinet secretaries, six Western governors — Mike Dunleavy of Alaska, Jared Polis of Colorado, Kelly Armstrong of North Dakota, Arnold Palacios of the Northern Mariana Islands, Spencer Cox of Utah and Mark Gordon of Wyoming — are also scheduled to attend. "Together, these federal officials and state leaders will explore bipartisan solutions to the West's most pressing challenges," a news release states. The governors will also moderate panel discussions on various issues, including rural health care, outdoor recreation for disabled people, housing and post-wildfire flooding. 'True bipartisan dialogue' Amy Barela, chair of the Republican Party of New Mexico, said the state GOP welcomes the Cabinet secretaries and governors to New Mexico. In a statement, she called the meeting an extraordinary opportunity for New Mexico to be part of meaningful conversations on critical issues impacting the region. "We sincerely hope this event fosters true bipartisan dialogue — especially on matters like rural health care, which must prioritize the needs of New Mexican citizens first; outdoor recreation, which should begin with making our state a safer, more desirable destination; and post-wildfire flooding, where discussions must recognize not only the diverse landscapes but also the stark differences in recovery outcomes," she said. Barela noted New Mexico's wildfire recovery efforts are much further along under Republican-led leadership in Ruidoso and bipartisan leadership in Roswell, "while citizens in San Miguel and Mora counties under Democrat leadership are still suffering and waiting for meaningful recovery." "These contrasts must be acknowledged in any honest discussion about disaster response and preparedness," she said. Lujan Grisham, who announced her initiative would focus on housing when she was elected association chair last year, said she wants to make sure housing is a big topic of discussion during the meeting. "Affordable housing is my signature issue, and I want to make sure that we get a chance to really talk about the federal government's role and the state's regional roles at supporting each other to get more affordable housing in stock," she said. 'We are not shy' Lujan Grisham said Cabinet secretaries typically talk about their priorities and "what we should expect to see in the Trump administration." "They're beginning to hire people back," she said. "They want us to know that that's occurring, that they are wanting to engage with states directly, and this is really what the Western Governors' Association promotes, that irrespective of the federal administration, we want these partners to recognize states' rights and the state's priorities, and as they unfold their own [priorities], do no harm and make sure that you're engaging in the things that matter to us." All the governors will want to talk about regulatory reform and "to lean much heavier on states' rights," Lujan Grisham said. "I've been a proponent of that as well." Asked whether she expected friction, given proposed federal budget cuts, Lujan Grisham said the Western governors are "typically pretty respectful, which is one of the reasons that the [Western Governors' Association meeting] is a popular forum." But, she added, "we are not shy." "I just got back from Alaska," she said. "Gov. Dunleavy and the administration officials who were there will tell you I'm not shy. They know how I feel about the cuts and how I feel about some of the more draconian measures that are being pitched and proposed, and I think that they fully expect for us to be talking about it." The meeting also presents opportunities to discuss collaborations, she said. "There are some issues and proposals that could really help us," she said. "I'd like more help finishing up our transmission lines, so I do think there's an opportunity here, so we really try to make it a dialogue. But none of us are going to shy away from what our concerns are, and they didn't in the Biden administration, either." An economic boon Lujan Grisham called it "kind of fantastic" to have the meeting in a super blue city like Santa Fe. "It is valuable to show that we can stand on our own, that we are not afraid of having active dialogue," she said. "We can be respectful, but we can also make sure that we're heard. "And they should come here," she added. "They expect me to go to D.C. I expect them to come into my fantastic state and to talk about resolutions to the problems that they, A, may create, and B, they have the power to resolve. I like these juxtapositions." The meeting is expected to provide an economic boon for Santa Fe. More than 400 people are registered so far. While the meeting will include various panel discussions and keynote addresses, it won't be all business for the governors and administration officials. The agenda includes a dinner at the Santa Fe Opera, a reception at La Fonda on the Plaza and a working lunch meeting at the governor's residence. "I think the vast majority of governors are bringing their spouses and partners, and I think that speaks volumes about people wanting to be in New Mexico and wanting to be in the City Different, so I'm excited about that," she said. "It's a packed agenda, so we're going to be working overtime, so I'm excited about that, too." Lujan Grisham said her husband, Manny Cordova, may have his hands full, too. "We're trying to get Manny to do a red chile cooking lesson for the spouses," she said. "And maybe one last thing we'll do, we'll remind all the governors that the best green chile in the world is indeed in New Mexico."
