Paris, Tenn.–In a follow-up to last month’s presentation on a proposed water rate increase, the Paris Utility Authority (PUA) Board of Directors Tuesday voted to implement an increase effective July 1,2023. The impact to the average water user (5,000 gallons per month) will be $2.75, according to CEO Terry Wimberley. The added revenues will fund the debt service on a $5 million water system rehab project as well as address the depletion of cash caused by increased operation and maintenance costs.
A second increase discussed last month that would go into effect July 1, 2023 was not acted upon.
The Board reviewed bids from local banks on a $520,000 loan that will reimburse the wastewater department for cash spent on capital expenditures over the last year. The 5-year loan will provide temporary relief to the recent cash flow issues. The Board accepted the low bid of 4.99% from Foundation bank.
Proposed changes to the electric Aid to Construction fee schedule were presented. The fees are designed to recoup appropriate costs when a customer is starting up or changing their service. The fees help cover the fixed cost associated with connecting an electric service. In general, fee increases are mostly the result of significantly increased material costs. The Board approved the proposed fee schedule.
In other business, the Paris Landing substation rehab construction low bid was awarded to Groves Construction for the amount of $565,000. Rehab work will be done on the substation this coming Fall. In addition, action was taken to approve the quarterly write-off of delinquent accounts and to approve a list of items to be declared surplus including two fleet vehicles and an 8.1 parcel of property at the end of Mulberry Cove.
In his President’s report, Wimberley once again informed the board of power cost savings from the solar installation at Puryear. March savings totaled $68,000.
Wimberley’s employee guest was Lori Barrow, Utility Outreach Coordinator. Barrow has been with the utility just short of one year. She is instrumental in shaping how the organization is viewed and perceived in the community. Duties include selection of social media and other marketing content, planning and execution of school related programs, and administration of internally and externally focused activities.
The May meeting of the Board is scheduled for Thursday, May 25, 2023.