Opinion ID: 4536379
Heading Depth: 3
Heading Rank: 1

Heading: The Switch to the Flint River

Text: The City of Flint did not always receive its water from the Flint River. For decades, the City received clean water from Lake Huron through the Detroit Water and Sewerage Department (“DWSD”). R. 620-3 (Fourth Am. Compl. at 34–35, ¶¶ 86–91) (Page ID #17837–38). At some 4 The facts are taken from Plaintiffs’ Fourth Amended Complaint, as we take all factual allegations to be true at this stage. See Guertin, 912 F.3d at 916. 5 Some Defendants-Appellants contend that they were not aware that the water was contaminated. They point out that Plaintiffs themselves allege that private engineering firms provided inaccurate information about water quality to government officials. See R. 620-3 (Fourth Am. Compl. at 51–80, ¶¶ 148–232) (Page ID #17854–83). But those allegations do not negate the separate allegations that City and State officials nevertheless had knowledge from other sources that the water was contaminated. Therefore, the role of private engineering firms is irrelevant at the motion to dismiss stage. Nos. 19-1425/1472/1477/1533 Waid et al. v. Snyder et al. Page 5 point, however, the City became concerned with the DWSD’s cost and decided to look into alternative water sources. Id. at 35–37, ¶ 92 (Page ID #17838–40). In 2011, City officials had a study conducted to see if the Flint River could be used as a safe water source if it was processed through the old Flint Water Treatment Plant (“FWTP”). Id. at 33–34, ¶¶ 82–86 (Page ID #17836–37); id. at 36–37, ¶ 92 (Page ID #17839–40). The reports issued from the study concluded that Flint River water could meet regulatory requirements if properly treated—but that would require over $69 million in improvements to the FWTP, including improvements that would protect the water from corrosion. Id. at 36–37, ¶ 92 (Page ID #17839–40). For the moment, the City decided against switching to the Flint River as its primary drinking source. Id. at 37, ¶ 94 (Page ID #17840). But by August 2012, the City was embroiled in a financial emergency, leading Governor Snyder to appoint Edward Kurtz as Emergency Manager for the City. Id. at 38–39, ¶ 101 (Page ID #17841–42). In Michigan, the State can appoint emergency managers to take over financially distressed cities, control their operations, and rein in spending. See Guertin, 912 F.3d at 939; R. 620-3 (Fourth Am. Compl. at 39, ¶ 102) (Page ID #17842). To carry out their mission, emergency managers are granted “broad powers” to “act for and in the place and stead of the governing body and the office of chief administrative officer of the local government.” MICH. COMP. LAWS § 141.1549(2). As Emergency Manager, Kurtz made a pitch to Governor Snyder and State Treasurer Andy Dillon that the City of Flint should switch to receiving water from an altogether new source, the Karegnondi Water Authority (“KWA”). R. 620-3 (Fourth Am. Compl. at 38–39, ¶ 101–02) (Page ID #17841–42). The DWSD, on the other hand, made its case to Snyder, Dillon, and Kurtz that its water was cheaper and more reliable. Id. at 39, ¶ 103 (Page ID #17842). Caught between competing offers, Dillon requested an independent assessment of cost effectiveness for each plan by the engineering firm of Tucker, Young, Jackson and Tull (“TYJT”). Id. at 39–40, ¶ 104 (Page ID #17842–43). In February 2013, TYJT informed Dillon that “it would be more cost-effective for Flint on both a short term and long term basis to continue to be supplied with water from DWSD.” Id. Accordingly, on March 17, 2013, Treasurer Dillon wrote to Governor Snyder that “the KWA representatives were misrepresenting Nos. 19-1425/1472/1477/1533 Waid et al. v. Snyder et al. Page 6 the benefits of the deal and that the ‘(r)eport that I got is that Flint should stay w DWSD.’” Id. Then, on March 28, 2013, Dillon reversed course and emailed Snyder recommending that he authorize the City of Flint’s switch to the KWA, noting that Kurtz, the Mayor, and City Council all supported that decision. Id. at 41, ¶ 107 (Page ID #17844). Even though the KWA was more costly than the DWSD, the City would be able to borrow funds to pay its share of the project if it obtained an Administrative Consent Order (“ACO”) from a State Agency attesting to need due to “fire, flood, or other calamity.” Id. at 127, ¶¶ 375–76 (Page ID #17930). The Michigan Department of Environmental Quality (“MDEQ”) ultimately backed the interim plan, even though it knew “that the decision to switch the water source for Flint was not based on a scientific assessment of the suitability of the Flint River water.” Id. at 40–41, ¶ 106 (Page ID #17843–44). The MDEQ Deputy Director wrote, “[W]e are in a situation with Emergency Financial Managers so it’s entirely possible that they will be making decisions relative to cost.” Id. In March 2013, MDEQ officials, including Stephen Busch and Liane Shekter-Smith, knew that “the use of Flint River water would pose increased health risks to the public . . . , the triggering of additional regulatory requirements, and significant upgrades to the Flint Water Treatment Plant.” Id. at 40, ¶ 105 (Page ID #17843). In 2013, both the City of Flint and the City of Detroit were under State emergency management. Id. at 42, ¶ 114 (Page ID #17845). As Governor, “Snyder was briefed on reports from both Flint’s and Detroit’s emergency managers and issued directions to both managers as it related to the transition” away from the DWSD. Id. Thus, “Governor Snyder was personally involved in the decisional process which led to the transition from DWSD to the KWA.” Id. On April 4, 2013, Snyder’s Chief of Staff emailed him, stating “(a)s you know, the Flint people have requested Dillon’s ok to break away from the DWSD.” Id. at 43, ¶ 115 (Page ID #17846). Snyder then instructed Dillon, Kurtz, Detroit’s Emergency Manager, and other key players to have the DWSD submit one last offer to the City of Flint. Id. The DWSD did so, Kurtz rejected the offer, and Snyder “authorized Kurtz, through Department of Treasury officials, to enter into a contractual relationship with KWA for the purpose of supplying water to Flint beginning in midyear 2016 or 2017.” Id. at 43, ¶¶ 115–18 (Page ID #17846) (emphasis added). The City would need to rely on a water source other than the KWA until then. “At the time the Governor Nos. 19-1425/1472/1477/1533 Waid et al. v. Snyder et al. Page 7 authorized Kurtz to contractually bind Flint to the KWA project, the Governor and State officials knew that the Flint River,” rather than the DWSD, “would be used as an interim source and that the use of the interim source had the backing of Snyder, Andy Dillon, and MDEQ Director Wyant.” Id. at 44, ¶ 119 (Page ID #17847). In June 2013, Dillon, Kurtz, and other key players developed the interim Flint River plan that would supply the City with water from April 25, 2014 until approximately December 2016. Id. at 44, ¶ 120 (Page ID #17847). A “critical part” of the interim plan was to upgrade the FWTP so that it could treat the Flint River water and then later treat water delivered through the KWA. Id. at 44, ¶ 122 (Page ID #17847). In September 2013, Governor Snyder appointed Darnell Earley as the City of Flint’s new Emergency Manager. Id. at 45, ¶ 125 (Page ID #17848). Earley worked to ensure that the interim Flint River plan would not be displaced by a return to the DWSD, even as the FWTP “was deemed unready for service by several people involved with its management.” Id. at 51, ¶ 147 (Page ID #17854). In March 2014, MDEQ officials, led by Chief of the Office of Drinking Water and Municipal Assistance Liane Shekter-Smith, put the interim Flint River plan into motion by ensuring, at the Treasury’s direction, that the City quickly obtain the necessary ACO so that the KWA would not need to stop construction. See id. at 45–46, ¶ 128 (Page ID #17848–49); id. at 130, ¶¶ 382–83 (Page ID #17933). The ACO “(i) required Flint to make use of the Flint Water Treatment Plant, (ii) attempted to prevent Flint from ever returning to the DWSD and (iii) mandated Flint to ‘undertake the KWA public improvement project or undertake other public improvement projects to continue to use the Flint River . . . .’” Id. at 45–46, ¶ 128 (Page ID #17848–49). “After obtaining the ACO, Flint entered a Bond Purchase Agreement allowing it to borrow funds despite being in receivership so that the KWA could move on to the next phase of construction. Unfortunately, the Flint Water Treatment Plant was nowhere near ready to begin distributing water.” Id. at 131, ¶ 384 (Page ID #17934). On March 14, 2014, the associate director of the Governor’s Office of Urban and Metropolitan Initiatives stated in an email to other members of Snyder’s staff that the “expedited timeframe” for switching to Flint River water “is less than ideal and could lead to some big Nos. 19-1425/1472/1477/1533 Waid et al. v. Snyder et al. Page 8 potential disasters down the road.” Id. at 45, ¶ 127 (Page ID #17848). His warning went unheeded, as plans stayed in motion. On April 16, 2014—a week before the date set for the switch to the Flint River—Michael Glasgow, the City’s water treatment plant laboratory and water quality supervisor, emailed MDEQ Water Quality Analyst Adam Rosenthal, “. . . it looks as if we will be starting the plant up tomorrow and are being pushed to start distributing water as soon as possible . . . . I would like to make sure we are monitoring, reporting and meeting requirements before I give the OK to start distributing water.” Id. at 46, ¶ 129 (Page ID #17849). The next day, Glasgow informed the MDEQ that “the FWTP was not fit to begin operations and that ‘management’ was not listening to him.” Id. On April 17, 2014, Glasgow wrote to MDEQ District Supervisor Stephen Busch and MDEQ District 11 (Flint) Engineer Michael Prysby, I have people above me making plans to distribute water ASAP. I was reluctant before, but after looking at the monitoring schedule and our current staffing, I do not anticipate giving the OK to begin sending water out anytime soon. If water is distributed from this plant in the next couple of weeks, it will be against my direction. I need time to adequately train additional staff and to update our monitoring plans before I will feel we are ready. I will reiterate this to management above me, but they seem to have their own agenda. Id. “Glasgow later told State investigators that he received pressure from superiors—particularly Defendants Johnson and Croft—to begin the switch to the Flint River.” Id. at 47, ¶ 130 (Page ID #17850). MDEQ Water Treatment Specialist Patrick Cook signed the permit that was the last necessary approval for use of the FWTP. Id. at 47, ¶ 132 (Page ID #17850).