Correction: Pilots, PILOTs & Water

In a recent post about the latest Executive Partners, Inc. (EPI) involvement with the City of DeKalb as its financial consultant, I expressed anxiety about a proposal to privatize the city’s water.

Turns out, that’s not the EPI proposal for the Water Division, and I’m sorry to have led you astray.

It’s a PILOT (not pilot) program. PILOT stands for “payment in lieu of taxes,” and is sometimes spelled PILT as well.

Among EPI’s tasks this round is identification of potential new revenue sources. One of its suggestions is to add up the assets of the Water Division, calculate what Water would be paying in taxes if it were a private company, and then charge us the amount of the calculation.

A preliminary assessment shows net assets and potential annual in-lieu tax payments to be $26 million and $186,000, respectively.

Again, sorry for the error.