City Budget Talks Begin

The Watonga City Council had a busy Tuesday evening when it met in regular session.

The council tackled the usual items, such as hearing the monthly financial reports from Russ Meacham of RS Meacham, the city’s accountant. In brief, he pointed out that although the Consumer Price Index – a management tool that tracks a bundle of consumer products – was up, tied largely to the increase in fuel prices, the use tax paid to the city was also up. Meacham said that was usually tied to construction activity and he would not advise counting on it to continue to rise long-term.

Overall, he said, the city was in solid financial footing. “We are in a pretty healthy position,” he said, “A lot better than some communities. We will finish (the fiscal year) on the good side in both the general fund and the light and water fund.”

Stepping away from the financial side for a bit, the council then heard a request from the Lions Club for funding of the annual Independence Day fireworks show, which it approved, and a request from the Watonga Community Theater for a boost in its renovation project.

The issue with the theater, according to Patt Ward Curtin, was that there had been a leak around the clerestory windows in the old storefront portion of the theater where the costumes and such are now kept.

To reach the leak, the contractors had to remove three feet of the dropped ceiling in the storage room, only to discover the leak was from the exterior. However, the ceiling was not replaced, leaving the original ceiling, electrical, air conditioning and the like exposed. The fire marshal requires the gap to be closed and that was not in the original cost estimates. Curtin pointed out the theater group had raised the considerable costs of the renovations to the building, which belongs to the city and is leased back to the theater.

In addition to the ceiling work, there was an issue with the flooring in the non-public portion of the theater. However, the cost estimate for repairs to the flooring was not precise because a portion of the flooring material had been previously purchased and was rediscovered after the request was made.

In the round, the council agreed to reimburse the theater group for the additional work on the ceiling and asked it to return with the correct estimate on the flooring repairs. City Manager Leroy Alsup said the city should look into the building’s electrical issues and address them sooner rather than later.

City council then moved on to a revamp of the way it bills residents for sewer usage. It had been brought to their attention that the previous billing format penalized homeowners that chose to water their lawns, keep a garden or fill a pool because the sewer usage cost was based on how much water was consumed. For instance, if a resident used 12,000 gallons of water on their garden, they paid for 12,000 gallons of wastewater, even though the water did not enter the sewage system.

The new format will use a base rate for sewage of $20 plus a cost of $3.64 per thousand-gallon unit. The biggest change, though, is that the use will be measured during three winter months, when it is the lowest. That use will be averaged for the year and readjusted annually. This only applies to the sewage bill and the water bill remains based on usage.

Council member Howard Hursh, who had been instrumental in bringing the matter to the council, was still dissatisfied with the solution. “It seems like a percentage on each household would be more fair to pay the debt we owe (on the wastewater treatment facility),” he said.

Alsup explained that the base rate approach produces a more predictable income to service the debt because it does not fluctuate monthly. It did not appease Hursh, who issued the lone ‘No’ vote on the proposal, which will go into effect immediately.

Council then launched into a budget workshop lasting well into the evening. A special meeting on the budget is scheduled for Jume 2, followed by the budget hearing June 10 and presentation of the completed budget by June 16. State statute sets dates by which the budget must be heard and passed.