The following is the result of a meeting of members of the Henderson City Council.
I have discussed the contents with a member of the council and the facts are presumed accurate. Of course, as in any case, things can change, and I certainly hope they will.
Summation of Water Sales Discussions, April 2010
1. The initial sales price of water to the county will be $2.90 per 1,000 gallons. However, this rate is subject to increases based on water rate increases approved by city council in the future. At present, it is projected that the water rate would increase by 5% on July 1, 2010, thus making the $2.90 rate increase to $3.05.
2. The city attorney will be asked to develop appropriate “wording” for the several joint program contracts that would ensure protection of current funding levels and joint participation unless mutually agreed to do otherwise. These contract amendments would be signed concurrently with the approval of the water sales contract.
3. The county will forgive the City’s $60,000 contribution to the Economic Development Commission for FY11.
4. The county will defer the FY11 City Hall debt service payment for FY11.
5. The city will defer the $9,125 water reservation fee for FY11.
6. Vance County Board of Commissioners Chairman Danny Wright will seek a 5% increase in library funding beginning with FY11. This would have the effect of increasing the county’s funding percentage from 65% to 70%.
7. The county will adjust the city’s funding percentage requirement for the Board of Elections cost sharing from 22% to 17%.
8. The city will give consideration to performing maintenance on the county’s water system based on a base rate of $2.00 for FY11. This rate is subject to increase pursuant to conditions as established in point one of this summary.
Bobby Gupton
Henderson