Judge: Niles must turn over docs in water dispute

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Updated: March 11, 2012 8:15AM

Ruling favorably for Glenview, a Cook County judge Monday ordered Niles to turn over all documents to the village regarding a water-billing dispute.

Glenview officials believe Niles has been overcharging North Maine Utilities for its sewer systems, and not providing North Maine the lowest rate available to Niles customers under contract, stated Glenview spokeswoman Lynne Stiefel.

When Glenview bought North Maine Utilities in 1997, it had a long-term contract to buy Lake Michigan water from Niles that expires in 2020.

Niles charges North Maine to purchase the water, and Niles sets the rate.

Because North Maine receives no sewer services from Niles, Glenview contends the water rate set should not have anything to do with Niles’ sewer service, Stiefel said.

North Maine Utilities provides water for about 44,000 residents who live mostly in unincorporated Maine Township immediately south and west of Glenview.

Niles has until Feb. 27 to produce the requested information to determine how it set water rates.

Feb. 27 also is the next hearing at Cook County Chancery Court at 10 a.m.

Niles’ attorney, Jay Judge, said Monday’s ruling “was basically meaningless because we’ve already given them our records even going back to 1990,” which was seven years before Glenview bought North Maine Utilities, he added.

“Before the litigation started, we complied with Glenview’s Freedom of Information Act request. It’s all there. Glenview has said it’s winning this case, Nobody has won anything, yet,” Judge said.

In April 2011, Glenview began withholding water payments it collected from customers in an interest-bearing escrow account, until the Niles’ water rate can be determined.

The escrow account stands at $3 million.

In June 2011, Niles filed a lawsuit against Glenview, asking a judge to force the village into payments.

Glenview filed a counterclaim the next month.

In December, after hearing oral arguments, a judge denied Niles’ motion to dismiss Glenview’s counterclaim and denied Niles’ motion to limit the scope of the audit Glenview has requested.