05 - City Council minutes - Laserfiche WebLink

Home Browse Search

Regular Council Meeting December 12, 2022 Page 7 Toco for the wastewater service but at some point Paris began billing Toco directly. He said they were uncertain how or why this change occurred, but it was the current practice. Mr. Path reviewed the amendment entered into on February 13, 2006 and an additional amendment of April 10, 2006. Mr. Path said pursuant to the City of Paris' records beginning August 14, 2014, Toco became delinquent in paying the entire balance of their wastewater bill to Paris and this had remained true ever since. Mr. Path reported in January 2020 that the delinquent amount began to escalate which corresponded to the City's increase in wastewater rates because of the new Waste Water Treatment Plant. Mr. Path said staff reached out to Toco representatives earlier this year to discuss the growing delinquency and learned at that time that the City of Toco pays for all of its residents' water, wastewater and trash bills. He also said Toco's source of revenue to cover this was a natural gas franchise fee, liquor store sales and donations but this revenue was insufficient to cover all three bills. Mr. Path said Mayor Portugal, Mayor Pro -Tem Hughes, Rob Vine, Gene Anderson and himself met with the entire Toco City Council on November 10, 2022 and that meeting went very well. Mr. Path said Toco recognized that they could not continue' to be delinquent with their sewer bills and were eager to develop a solution to prevent this _from escalating further. k Mr. Path reported that they discussed several options and agreed that the City of Toco would pay about $2,800.00 a month until the approximate amount of $80,000-$85,000 was paid back, the City of Paris would beginning billing Toco residents directly for their usage, the City of Toco would agree to purchase water meters from the City of Paris and authorize Paris to read and maintain these meters on a monthly basis; there -would be a small customer service charge added on each account because of maintaining the water meter while not collecting water revenue, and the City of Paris would install the meters and bill the City of Toco for their installation adding to the amount owed so that it would be,paid back in the next two to' three year period. Mr. Path explained that Paris and Toco believe this option would be best because the City of Paris would be reimbursed for the delinquent amount owed, 2) it establishes a solution whereby sewer bills would be paid going forward, 3) it would give Paris the ability to shut off water should someone become delinquent in their sewer account and 4) would give the residents of Toco a fair means of being billed for sewer actually produced vs. a pro -rata approach. Mr. Path reviewed the next steps should Council approve this agreement and also said he needed to reword Section 10 to be clearer that the delinquent amount would be paid to Paris. A Motion to approve Addendum Number Three with the revised wording in Section 10 as recommended by Mr. Path, was made by Council Member Pankaj and seconded by Council Member Pilgrim. Motion carried, 5 ayes — 0 nays. 24. Discuss and act on ORDINANCE NO. 2022-087: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, ISSUING A LICENSE TO DAVID L. THOMPSON D/B/A LONE STAR CAB COMPANY TO OPERATE A VEHICLE FOR HIRE BUSINESS ON THE PUBLIC STREETS OF THE CITY OF PARIS, TEXAS; FINDING A PUBLIC NECESSITY AND CONVENIENCE FOR ISSUANCE OF SAID