By Carolyn Szczepanski

carolyn@dmcityview.com

A monument to greed. A backdoor for developers. A mockery of citizen input. The buyout of the Southeast Polk Rural Water District (SEPRWD) by Des Moines Water Works has raised eyebrows among rural advocates concerned about the fate of their century farms and rural lifestyle in eastern Polk County. Over the past year, the Polk County Board of Supervisors has worked to change state law, designate largely agricultural land an Urban Renewal Area and promised millions of dollars to "balance" lopsided county growth by facilitating an urban-standard water system. All the while, rural residents have chided local administrators for piping the way for development in the county's eastern sector for the profit of city-based builders. But last month, as the buyout moved closer to completion with approval from the Des Moines Board of Water Works Trustees, rural advocates added another charge to their opposition: conflict of interest.

With town hall meetings raising awareness, a handful of rural residents attended the November meeting of the Water Works board under the mistaken impression that the SEPRWD issue was up for discussion. Because the item wasn't on the agenda, they weren't afforded the opportunity to speak, and, when they asked when the issue would come before the board, trustees professed that they didn't yet know. But meeting attendees reported that after the concerned citizens left, the board not only heard a detailed update on the SEPRWD buyout from Water Works CEO L.D. McMullen, but McMullen also stated that the Des Moines board would likely vote on the SEPRWD acquisition issues at the next meeting.

So, frustrated by what many are calling a reluctance on the part of public officials to include citizen input, a pair of rural advocates attended the December board meeting with staunch opinions regarding, not only the threat to their rural lifestyle, but also potential conflict of interests harbored by those sitting around the board table. Lee Tesdell, with notes fluttering slightly in his hands and fears for the future of the century farm established by his great-grandfather, told the board that Des Moines Water Works buying out the rural water system makes him and many of his neighbors increasingly anxious.

"The proposed sale of Southeast Polk Rural Water District and the accompanying and inappropriate urban renewal district provide a backdoor for developers and planners to build a northeast bypass freeway and bring in suburban sprawl," Tesdell said.

Gerald LeBlanc, a rural county resident, called the process "deceptive, misleading" and suggested that the "entire project is a monument to greed." But, most notably, LeBlanc and Tesdell both pointed out ("with all due respect"), that one trustee sitting at the table has a vested interest in jumpstarting rural development, while another administrator is seemingly playing both sides of the two-party negotiation.

For starters, LeBlanc suggested that "even a third-grader could see" the conflict of interest inherent in McMullen's position as both the CEO of Des Moines Water Works and the interim director of SEPRWD. The board was quick to counter that McMullen was neither a voting member of the Des Moines Water Works board (though his input overwhelmingly directs and informs board meetings) nor a member of the SEPRWD subcommittee charged with investigating and navigating the buyout (though, when Cityview called SEPRWD regarding the buyout, we were referred directly to McMullen), and, without such direct involvement there could be no basis for a legal conflict of interest. But for many, the assurance of the board's legal counsel was little consolation; McMullen may not have his foot on the gas, critics say, but his administrative role on both ends certainly seems to put him in the driver's seat.

In addition, opponents made trustee Larry James blush with indignation as Tesdell pointed out that, as the president of James Mortgage Corp., James' company has a vested interest in the success of builders like Regency Homes - one of the largest housing developers in the area, with projects in the eastern half of the county. Tesdell noted that, with the water buyout specifically cited as a means of increasing development, "[James'] company would surely benefit from new growth in a 6,000-acre Urban Renewal Area." James acknowledged in a decidedly defiant tone that indeed "35 to 65 percent" of his loans are made to Regency Homes, and that he "provides loans for all the other builders, too." Though the board's counsel confirmed that such an indirect business interest does not constitute a conflict of interests, even James retorted hotly that he hoped "they spell my name right in the newspapers."

But, despite heated public commentary, the board did vote to approve the asset transfer and service agreement with SEPRWD - with trustee Dave Carlson casting the only "no" vote, noting opposition to the entire process. With the money and management squared away on Des Moines' end, McMullen explained the pair of votes were the "first and last knot in the string," with only the rural water board and final county ratification left to seal the deal. But with a hearing next week at the SEPRWD meeting, rural residents hope there is still time to rope in the development plan before the noose tightens on their rural lifestyle. CV

Southeast Polk Rural Water District will hold a public meeting at Bondurant-Farrer Public High School Jan. 12 at 6:30 p.m.

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