Jackson, MS collects only 56% of its billed water utility money.

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JACKSON, Miss. (AP) — Mississippi's capital is collecting only a little more than half of the money it bills for water use, far below the rate at which most American cities obtain such fees, Jackson's federally appointed water manager said Monday.

Ted Henifin, appointed in November by a federal court to help improve Jackson’s troubled water system, told reporters the city is collecting about 56 per cent of the water fees it issues. That compares to an industry-standard above 95 per cent, he said. The uncollected bills equate to about $50 million a year in lost revenue for the city, where roughly a quarter of residents live in poverty.

The revenue losses sharpen the financial strain of the hefty debt burden Jackson faces for its water system.

“We need to get our financial house in order for the water system," Henifin said. "In order to do that, we have to get the debt off the books.”

The city needs to pay down about $280 million in outstanding debt on the water system. About $23 million of that is private bond debt the city must pay annually, Henifin said. On top of the debt, the city needs enough dollars for costly improvements to a water system that has fallen into disrepair.

Repeated breakdowns in Jackson have caused many in the city of about 150,000 residents to go days and weeks at a time without safe running water. Last August and September, people waited in lines for water to drink, bathe, cook and flush toilets.

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