Russellville council details water rates

Monday, April 11, 2022
Banner Graphic file photo

RUSSELLVILLE – As another step in the process of procuring funding for its new water tower, the Russellville Town Council passed a new ordinance detailing water rates and charges at a special meeting Wednesday evening.

The new charges in Ordinance 2022-3 are based on a rate study recently completed by Therber, Brock & Associates, which found that amounts outlined in Ordinance 2014-4 had to be amended in order for the town to have funds for repairs. As such, a public hearing was held before it was adopted.

According to the ordinance, the new rates and charges will be as follows:

Recurring charges:

• Monthly water usage (per 1,000 gallons): $7.64

• Base charge per month for residential customers: $38.20

• Flat rate customers per month: Cash Concrete, $227.12; Co-Alliance, $671.73; Senior citizen apartments, $335.87; Russellville Community Center, $67.17

• Vacancy rate (per customer per month vacant): $19.10

• Hydrant rental (as paid by the town to utility per year): $15,556.69

Non-recurring charges:

• Tap fee for water (per non-residential connection): Actual cost of making a connection

• Customer deposit (per customer): $50

• Returned check charge: $25

• Late charge penalty: Ten percent of current amount due

• Disconnection/reconnection fee (per either): $10

Town Attorney Stu Weliever said the new rates were required so that the town could apply for a loan for the project through the State Revolving Fund (SRF), showing revenue as such. He added that the rates cannot be amended without at least another public hearing.

Clerk-Treasurer Martha Mandleco noted that the town would receive $200,000 in American Rescue Plan Act (ARPA) fund allotments from the county. The approval was part of the first set of projects decided on by the Putnam County Commissioners last week.

Brian Bullock of Beam, Longest and Neff, who has worked with the town on the engineering, gave an overview at the meeting on the $1,655,000 undertaking to replace the town’s worn-out water tower.

In general, the old tank will be replaced with a new 50,000-gallon unit, as it was determined more cost-effective to do so. It will be located by the treatment plant and have a main connected from it to the town’s existing water system, along with new valves to allow for isolating issues such as leaks.

Bullock said the project has been bid out, and that the town was approved for a million-dollar forgivable loan. As such, he said that the town’s total financial commitment would be $625,000.

Related to funding, the council also passed Ordinance 2022-1, which notes that the town will receive $70,000 under ARPA, with $40,000 having already been received. It states that the town will transfer $40,000 from ARPA and another $30,000 to the SRF prior to closing on bonds.

In other business:

• Related to the water tower project, the council accepted a donation of .439 acres from Cash Concrete. Weliever said the company still needed to transfer a deed to the town contingent on the council’s acceptance.

• Bill Spiegel, who was present, was approved to replace Norma Jean Gross on the council. Council President Cary McGaughey told the Banner Graphic that Gross had decided to retire.

While Spiegel’s tenure was effective immediately, he still has to take an oath of office.

Councilwoman Cathy Jones was in attendance along with McGaughey, Mandleco, Weliever and Deputy Clerk-Treasurer Catherine Engle. Meanwhile, Town Marshal Matt Biggs was absent.

The next regular meeting of the Russellville Town Council is set for Wednesday, April 20 at 7 p.m. at the Russellville Community Center.

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