Water rates to rise in Gentry

Council approved increase to cover higher water costs

Wednesday, November 7, 2012

— City council members on Monday unanimously approved a resolution raising city water rates to cover increased costs of purchasing water from the Benton/Washington Regional Public Water Authority.

The change comes at the recommendation of the Gentry water and sewer committee.

With BWRPWA raising wholesale water rates charged to the city by 4.9 percent on Jan. 1, 2013, and with a $1.50 BWRPWA monthly meter charge already being absorbed by the city to be continued, the committee recommended to the council a 5 percent increase on its water and sewer bills, beginning with bills due in January. The $1.50-permonth charge will also be passed on to water customers.

The increase will make it possible for the city to provide water and sewer services without operating at a loss, as long as no major repairs or upgrades are needed in the systems.

According to David Mc-Nair, the city’s public works supervisor, passing along the $1.50 charge and raising retail rates for water and sewer by 5 percent will cover the 4.9 percent wholesale increase in water prices and will allow the city to continue to set aside a small percentage of incoming revenue for future repairs and upgrades. The city had been raising water andsewer rates by about 3 percent each year to cover increasing costs and to begin building a reserve fund for repairs and upgrades.

The increase will cost most city water users less than $3 per month, according to materials distributed by McNair and Robert Stichka, Gentry water department employee, at an October committee meeting

Even with the recommended increase, Gentry’s waterrates remain far lower than any city which depends 100 percent on water from BWRPWA, McNair said, providing a rate comparison sheet with base published rates from May showing Gentry’s in-city rates for 5,000 gallons at $28.82 and Gravette’s at $48.65. Decatur’s were $20.68, but Decatur provides a significant amount of water from its own wells.

In other business, the council approved, with rules suspended and on three readings with a single vote, an ordinance to split a tract of land, owned by Sam Long, along BrookLynn Drive near Arkansas Highway 59. An emergency clause was also passed.

Gentry Mayor Kevin Johnston informed the council of a Walton Family donation of $2,500 received last week by the city for ongoing improvements to the city park - for lighting, walking trails, and other planned improvements.

Johnston also presented tothe city a proposed budget for 2013 which, he said, is meant as a starting point for the council’s finance and budget committees as a final budget is prepared. Johnston said he hoped a final budget could be adopted in the Januarymeeting so that final yearend and starting-balance figures could be used rather than estimates.

The first budget meeting was set for 5 p.m., Tuesday, Nov. 13, at the conference room in city hall.

Money received by the city in October, from city sales and use taxes and county tax continued to be up from last year, according to informationin council packets. City sales and use tax revenue was $31,362.49 last year and $35,494.61 this year. County tax went up from $37,150.64 in 2011 to $40,507.24 in 2012.

A public hearing regarding a petition of Kenneth and Rosemary Reagan asking the city to abandon unused street property located to the south and also to the west of the Arkansas Highway Department substation property was held with little public comment. City attorney Jay Williams told the council the hearing could be held but no action could be taken without signed consent from adjoining property owners, and no consent form has yet been received from Kansas City Southern Railroad.

News, Pages 1 on 11/07/2012