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Election 2006 (and beyond): Digital Copyright Canada
From: "Cullen, Alex" <Alex.Cullen_-at-_ottawa.ca>
To: "'Russell McOrmond'" <russell_-at-_flora.ca>
Cc: "Doucet, Clive" <Clive.Doucet_-at-_ottawa.ca>, "Arnold, Elisabeth" <Elisabeth.Arnold_-at-_ottawa.ca>, "Meilleur, Madeleine" <Madeleine.Meilleur_-at-_ottawa.ca>, ottawamorning_-at-_cbc.ca, Free/Open-Source Software Community Networking/Computing <comnet-www_-at-_flora.org>
Date: Fri, 31 Jan 2003 16:51:19 -0500
Thank you for your e-mail regarding whether or not Hydro Ottawa should be run to generate profits. To respond to your example of public transit, we (the City) do not run OC Transpo to generate profit. As you point out, OC Transpo is funded approximately 55% from fares and 45% from property taxes. I am not recommending that the City subsidize Hydro Ottawa. What I am suggesting is that the principle that should be used in setting the rate of return (and subsequent hydro rates) for Hydro Ottawa should be based on prudent management, covering the cost of operations, covering the cost of maintaining the infrastructure, and providing for capacity for growth. I (and others) do not believe that Hydro Ottawa's rates should be used to generate income that could be used for non-hydro projects such as arenas, libraries, the O-Train, etc. First, the setting of Hydro Ottawa rates is done by the Hydro Ottawa Board, which is not elected (creating an accountability problem). Second, raising funds from hydro ratepayers for non-hydro projects fails the test of transparency. And third, revenues for City projects should be raised through revenue sources more appropriate for these projects (i.e. taxes, development charges, etc.). For example, we do not make profits from the provision of water - all water revenues are re-invested into the maintenance of the water system. The point of a public utility is to provide a basic service to the public at lowest reasonable cost. That worked quite successfully in the previous Ottawa Hydro for the past 85 years, and can work again. Alex Cullen Councillor, Bay Ward City of Ottawa 110 Laurier Ave. W. Ottawa K1P 1J1 Tel: (613) 580-2477 Fax: (613) 580-2517 E-mail: alex.cullen@ottawa.ca <mailto:alex.cullen@city.ottawa.ca> -----Original Message----- From: Russell McOrmond [mailto:russell@flora.ca] Sent: Friday, January 31, 2003 8:48 AM To: Alex.Cullen@ottawa.ca Cc: Doucet, Clive; Elisabeth.Arnold@ottawa.ca; Madeleine.Meilleur@ottawa.ca; ottawamorning@cbc.ca; Free/Open-Source Software Community Networking/Computing Subject: Hydro Ottawa Note: I live in Mrs Mailleur's ward, work in Mrs Arnold's ward, and next summer will move to Mr. Doucet's ward so have copied all 3. I am also copying CBO Morning and a publicly archived email forum, so my question/comments will be available to others via http://www.flora.org/flora/server/comnet-www/ I have a few comments about the question of whether Hydro Ottawa <http://www.hydro-ottawa.com> should have a not-for-profit or revenue-generating (for the City) status. I do not believe the issue is as simple as Mr Cullen was discussing on-air this morning, and I hope that larger related issues are being considered. I also have questions for councillors. I am wondering if the "Ottawa Hydro should pay for itself, and not a penny more" works in the opposite direction? We have many municipal services such as transportation where people other than the primary users are taxed in other ways that subsidize it. I wrote previously how income and property taxpayers are subsidizing road users who would be better paying for road primarily out of gas and related taxes and license fees: http://www.flora.org/taxpayer/ Is electricity a special case where it should be paid for out of an energy related bill, but transportation is different? Are all the related expenses being factored into into the Hydro Ottawa 'spreadsheet', or are large expenses not being accounted for as is the case of transportation? I realize that this is not the only place where such issues exist. Social services being paid for by property taxpayers is another obvious example. The rhetoric around "there is only one taxpayer" has always made me angry as it is simply false. Nobody ever claims "there is only one consumer" to force me to pay for someone else's purchases at stores, so why do people fall for this rhetoric for taxation? Hydro Ottawa is also not just in the power distribution business but also the data-distribution business via Telecom Ottawa <http://www.telecomottawa.com/>. I am a citizen who believes that in this modern world that Information and Communications Technology infrastructure should be treated in much the same way transportation infrastructure has in the past. ICT infrastructure should be "user pay" but not-for-profit managed under government public policy (rather than incumbent monopoly vendor profit-extracting policy). My company (and volunteer Community Network - http://www.flora.org/ ) will soon be a member of OttIX <http://www.ottix.net/>. OttIX was formed to try to keep some of the information moving between Ottawa ISP's to stay in Ottawa, and to move this data cheaply. I am also an active part of the Free/Libre and Open Source Software (FLOSS - http://www.flora.ca/floss.shtml ) sector/movement. The municipal government should be forming a Communications Master Plan on-par (and with as much public input, not just input from staff and incumbent vendors) with the Transportation Master Plan. This plan should include both how the city can help grow municipal communications infrastructure such as provided by OttIX, but also to extend (under municipal public policy direction) the involvement of Hydro Ottawa. It should also involve the city adopting and possibly funding more Free/Libre and Open Source Software infrastructure such as other municipalities are doing (See story about Largo, Florida - http://newsforge.com/newsforge/02/12/04/2346215.shtml - why is Silicon Valley North not as advanced yet?) Note: For more on the software side of this public communications infrastructure, watch for updates on http://www.goslingcommunity.org (GOSLING - Getting Open Source Logic INto Governments) --- Russell McOrmond, Internet Consultant: <http://www.flora.ca/> Any 'hardware assist' for communications, whether it be eye-glasses, VCR's, or personal computers, must be under the control of the citizen and not a third party. -- http://www.flora.ca/russell/
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