Gentry adopts new water, sewer rate tiers, raises rates

GENTRY -- Water customers with the city of Gentry will see an increase of roughly 3 percent in their water and sewer bills, beginning with the January 2020 billing. The city council on Oct. 7 passed two ordinances on three readings and attached emergency clauses to put the rate increase into effect in time for the January bills.

The council first passed an ordinance which adds additional tiers to the water and sewer rate structure to accommodate certain large-quantity water users. Whereas the old structure had one tier for all water usage over 1 million gallons, the new structure adds tiers for water usage between 1 and 5 million gallons per month and usage over 5 million gallons and sets the rate for usage over 5 million gallons at $2.84 per thousand gallons. Under the old tiers, all users of more than 1 million gallons would have paid $4.18 per thousand gallons for usage over and above the 1 million gallons.

According to Kevin Johnston, Gentry's mayor, all water users will pay the same rates as they progress through the tiers. The large break in price only comes after the user has paid the prices in the tiers for the first 5 million gallons.

The rate increase is a scheduled increase resulting from a rate study done close to a decade ago which recommended the annual increase to keep up with costs of service and system maintenance rather than waiting and then needing a large increase to pay for system maintenance and needed improvements.

The increase makes the minimum sewer rate for the first 1,000 gallons or portion thereof to be $8.04 for those living within the city and $13.33 for water customers living outside the city. Water rates for basic water customers (with meters of 5/8 or 3/4 inches) within the city will be $14.12 for the first 1,000 gallons and $33.86 for those living outside the city. For full tier and rate details, see Page B7.

Current year prices made the minimum sewer rate for the first 1,000 gallons or portion thereof $7.81 for those living within the city and $12.94 for water customers living outside the city. Water rates for basic water customers (with meters of 5/8 or 3/4 inches) within the city are $13.71 for the first 1,000 gallons and $32.88 for those living outside the city.

Councilmember Jason Williams requested that a new rate study be completed once the city has more accurate numbers regarding water usage when the new Simmons Foods plant is fully operational.

Johnston had said in November 2018 that the city was planning to do a new rate study in 2019 to re-evaluate water and sewer rates for future years.

Five resolutions were passed with a single vote to make it possible for the city to apply for a Community Development Block Grant which could pay as much as $250,000 toward a community project or up to $1 million toward a water project. The resolutions authorize the city's application for the grant and the appointment of a project administrator and establish an anti-displacement plan, a policy prohibiting the use of excessive force against those who engage in nonviolent protests, and a fair housing and equal opportunity policy.

Catherine Baker, counsel for the Northwest Arkansas Development District, addressed the council regarding the possibility of applying for the grant at the September meeting. She said the overall economic status of city residents qualified the city to apply for the grant. The grants are 100 percent funded and require no match on the part of cities, she said.

Baker said there is a March deadline to apply for the grants and that the city would have to pass five resolutions to be eligible to apply. She also said the city could reapply for a grant if it is denied in the first year and that often such grants are approved in the second application round.

Johnston reported on two properties in which the condemnation process had been initiated -- 317 S. Collins and 119 N. Nelson. He said a verbal plan had been shared with the city in regard to the S. Collins property, placing city action on hold.

Johnston also reported that the city had received a TAP Grant to complete a sidewalk on South Smith Avenue, along the park, to connect all the schools by sidewalk. He said the grant will reimburse the city up to $39,000 for the project. He said the city portion of expenses is 20 percent.

He said final plans for the Dawn Hill East Bridge had been submitted to Arkansas Department of Transportation for final approval and that, once plans are approved, the bridge construction project can be put out for bid.

He said at earlier meetings that approval of the final plans, once they are submitted, was expected to take about 14 days and that the bid process (after final plans are approved) would take 75 days and the construction 150 days.

He reported that the city's purchase of the Gee property was complete. The purchase, approved in July, includes two parcels (totaling less than .4-acres of land) along Dawn Hill East Road belonging to Edward Gee. The land purchase is to improve drainage along Dawn Hill East Road just west of the Highway 59 intersection. The resolution allowed the mayor to negotiate for the purchase at a price not to exceed $80,000, to come out of the city's street department funds.

Johnston told the council that the city's water storage project would be scaled back to a 500,000- to 750,000-gallon tank since Simmons was pursuing its own plan. He said Jerry Martin of Garver Engineering would be providing cost figures to the city so that it could decide on a plan. He said the city could choose from three different styles of towers and would also need to decide if a city logo would be applied to the tank.

Johnston said a geotechnical study would need to determine if the bedrock on the proposed site would be able to support the smaller tower without additional work.

He also anticipated that this year's street paving project would begin soon, with 2 1/2 miles of city streets being paved or repaved in all quarters of the city.

Johnston said plans were underway for a fall cleanup and then a limb cleanup. He said the city was waiting to determine when most of the leaves will have fallen. He said another tree giveaway was also possibly in the works.

General News on 10/16/2019