HomeMy WebLinkAbout03 0403 minThe City Council met on April 3, 2003 at 11:30 a.m. at the Plainview Convention
Center, 2902 West 4th Street, Plainview, Texas. The agenda for this meeting was
posted in City Hall at 11:00 a.m. on March 31, 2003. Mayor Mary Jane Shanes
presided. Councilmembers present were: Kelvin Tipton-District 1, Belinda Pena-District
3, John N. Bertsch-District 4, ROss Owen-District 5, Buddy McGehee-District 6 and
Councilmember Irene Favila-Distdct 7.
Staff members present were: Jim Jeffers-City Manager, Dale Simpson-Director of Civil
Service, Gary Glass-Fire Chief, Brice Clements-Assistant Director of Public
Works/Engineer, Will Mull-Police Chief, Jack Keller-Budget Manager, Wally Hatch-City
Attorney, John Castro-Director of Community Services, Greg Zielinski-Code
Administration, Elizabeth Regner-Assistant City Manager, John Berry-Director of Public
Works and Belinda Hinojosa-City Secretary.
Guests present were: John Anderson
News Media Representative: Richard Orr-Plainview Daily Herald
Councilmember Tipton delivered the Invocation.
The Council and staff reviewed the agenda for the City Council meeting of April 8, 2003.
Elizabeth Regner, Assistant City Manager presented the Quarterly Investment Report
for the period beginning October 1, 2002 and ending December 31, 2002. The
beginning book value as of October 1, 2002 was $18,474,478 and the ending book
value at the end of the first quarter was $18,367,030. The interest earned for this period
is $149,754.
Jim Jeffers, City Manager stated he had finally been in contact with David Milstead from
the Seth Ward Water Supply Corporation regarding the proposed $500.00 minimum
charge. Seth Ward Water Supply Corporation's water consumption has decreased
significantly. Mr. Milstead advised that water from the City is used to flush the line and
as an emergency backup. Mr. Milstead also advised that Seth Ward is not utilizing a
renewable water source - Lake Meredith and will not use due to taste and cost.. They
will continue to deplete the non-renewable source of water under Seth Ward and the
City of Plainview.
Jim Jeffers gave the following reasons to consider an increase of the minimum charge:
(1) City spent millions of dollars upgrading water system; (2) Seth Ward's capacity was
factored into those improvements; (3) City is maintaining increased capacity in case
Seth Ward needs water; and (4) the City is entitled to recover investment in the
improvements. Mr. Jeffers stated Seth Ward has 565 active customers, which equates
to $.89 per month. The proposed $500.00 minimum charge would be an increase of
$.18 per month for the 565 Seth Ward customers. Mr. Milstead proposed a minimum
charge of $100.
The City's current water rates are $8.25 minimum and $1.04 per one thousand gallons
thereafter. Seth Ward's water rate is $15.00 for the first 2000 gallons and $1.95 per one
thousand gallons thereafter. Mr. Jeffers stated that if Seth Ward increased rates due to
a City increase, Seth Ward would submit the rate review before TCEQ. A customer of
the water coop could also challenge the rate before TCEQ, which could be expensive.
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The current Seth Ward contract states the City is to provide up to 22.5 million gallons of
water per year at a rate of $1.29 per one thousand gallons.
The City's options are to (1) implement a $500.00 per month minimum charge; (2)
implement a $100 per month minimum charge; (3) implement compromise monthly
minimum charge; or (4) to take no action. City staff's recommendation would be to
defer action until City adjusts rates and in doing so, the City's action will be more
defensible before Seth Ward and the state regulators. It was the consensus of the
Council to proceed with the recommendation of City staff to defer action until City
adjusts its rates and to review the Seth Ward contract at that time.
Mayor Mary Jane Shanes stated Mr. Jim Holt had talked to her about honoring the
military troops. A group of citizens are to get together next Wednesday and work on
trying to do some sort of rally. The Council all agreed to support it wholeheartedly.
There being no further business, the meeting was adjourned at 12:25 p.m.
Belinda Hinojosa
City Secretary
City of Plainview Minutes
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