Bazzi responds to Bellagio water bill situation

After several weeks of public discussion on a rumor about a $43,145.78 water bill having been adjusted by Dearborn Heights Mayor Bill Bazzi down to around $10,000, he spoke out about the situation.

The bill in question was for the Bellagio Banquet and Conference Center.

Allegations, which Bazzi has denied, and to which there are no known documents to prove otherwise, claim that Bazzi had mitigated the water bill for the Bellagio owners, in exchange for a campaign donation.

His campaign finance reports show no such donation.

“Unfortunately, false information has been released and reckless accusations have been made about this matter”, Bazzi said. “These accusations have led to confusion, misunderstanding, and residents questioning the method used for their own water bills.  However, by looking at the facts, residents may rest assured that this was an isolated overbilling mistake by the city, and that we moved quickly to correct the problem. In addition, we are implementing safeguards to prevent this from happening to another small business owner or resident.”

The issue with the water bill started Jan. 13, weeks before Bazzi was appointed mayor, while City Council Chairwoman Denise Malinowski-Maxwell was serving as mayor pro-tem, after former Mayor Daniel Paletko’s death due to complications from COVID-19.

Malinowski-Maxwell had been sent a letter from Bellagio attorney Sam Fakih, disputing the large bill.

In his communication with the city, Fakih objected to Bellagio’s water bill and requested the re-calculation of this bill which he said appeared to have been issued in error.

Fakih said that Bellagio, a banquet facility, typically holds group gatherings. However, due to the COVID-19 pandemic and an order from the state of Michigan, the facility was forced to close its doors and had very limited use.

“Even if the Center was open 7-days a week it is extremely unlikely that this amount of water could have been used,” Fakih said.
In his letter he noted that the Sept. 2020 bill was only $168.64, making it nearly impossible to rack up a $40,000 plus bill, since the Bellagio had never been late on a water bill.
Shortly after being appointed as mayor, Bazzi sat down with city attorney Gary Miotke to discuss the situation, also included were both the city’s comptroller and deputy comptroller.

“Following my request for this issue to be investigated further we were instructed that only about 800 units versus 3,200 units could be documented and verified,” Bazzi said. “This equated to a 400 percent difference in what was billed and what could be verified. Based on this, we were told that a documentable charge of only around $10,000 was due.”

According to a release from the city, city records were consistent with the claim that Bellagio was billed in error and that the proper amount of the bill was approximately $10,000. Most of the charges that were in dispute were based on a prior “estimate” that took place last year. A review of City records show that the higher total was an intentionally-set “high” estimate.

“Correcting Bellagio’s water bill was the right thing to do,” Bazzi said. “As mayor, I will work every day to protect our residents and small business owners. When a mistake is made by city hall that harms our residents physically or financially, it is imperative that we address it as soon as possible; not play politics or mislead the public.

Bazzi called the allegations that he did this in exchange for a campaign donation is “unsubstantiated,” and is a “false and reckless accusation, and he said that documented facts are on his side.

“My office will be working with Robert Conrad, our new DPW director, to review all water billing policies and procedures to ensure that this does not happen again,” Bazzi said.