>Part of the reason municipalities are short on money for their water systems, is that companies get the same water (or at least, from the same watershed) for free.
>Is it so wrong to ask Nestle to at least pay the same rate you and I and every other citizen pays for water?
This is a misconception, in Michigan at least. Flint is not short on water. They are short on functioning pipes for moving the water. Getting access to the Great Lakes' unlimited supply of water was never a barrier. That water is effectively as non-scarce as air.
If you want to go to the GL, and "BYO filtration" and suck the water out to drink, that is free for you too, just as much as Nestle.
Michigan municipalities charge for water because of the cost of filtering and distributing it, not because it's so scarce it has to throttle demand.
Nestle is profiting from the service of putting it in a bottle that you get to keep after purchasing, not from getting underpriced water in Michigan.
(California is a different story, where water is scarce, and Nestle is making that problem a little bit worse, but CA has a more general problem with sane incentives for water usage -- e.g. use-it-or-lose-it policies for farms -- that are mostly unrelated to the Nestle deal.)