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Helena water department reports first‑quarter revenue uptick, details reserves, pump repairs and staffing proposals
Summary
City treasurer and staff told the Helena City Council that water and sewer billings rose in the first quarter of 2025 compared with 2024, described required reserve accounts for bonds and depreciation, reported high pump repair and rental costs, and proposed changes to overtime and comp‑time to reduce payroll pressure.
Mister Trejo, the city treasurer, told the council the water department's billed water sales in the first quarter of 2025 were about $670,000 compared with about $439,000 in the same period of 2024. "We had...a little over 670,000 in water sales in the first quarter 20 25, and that amount was $439,000," he said.
Sewer billings also rose: Trejo reported about $498,000 in sewer sales for the first quarter of 2025 versus roughly $224,000 in 2024. He said the department's first‑quarter results suggest the utility will exceed earlier rate‑study projections for 2025 once seasonal billing is annualized.
Treasury staff described reserve and compliance needs. Trejo said the water enterprise must set aside a 5% refurbishment (depreciation) amount of gross sales and a 3% reserve tied to the city's bonds and loan obligations. He gave illustrative figures: "The 3% reserve would be about $35,000 this year. And the 5%, refurbishment would be about 58,000." He also said bond and loan targets discussed included roughly $420,000 for a bond reserve and $50,000 for a loan reserve once accounts reach target levels.
Operational costs and discrete items were discussed. Council members asked about a $45,201.52 pump‑supplies charge recorded for March within a $75,000 annual budget line; staff said those costs are largely for sewer lift‑station pumps and that an itemization would be provided. The meeting record includes prior large pump purchases and rentals: staff said the city paid more than $600,000 to Xylem for pumps in 2021 and has been renting pumps in the interim.
Staff outlined billing and collection practices. The mayor and staff reviewed reconnect and after‑hours fees and online payment timing: "Reconnect fee is $50. The after hours fee is $50. If you disconnect it more than once in a year, the reconnect fee is a $100," a city official said. The treasurer and mayor explained that online payments may not be immediately visible to staff and customers should notify the utility when close to cutoff dates.
Staff, council and the mayor discussed staffing and payroll pressure. A city official said staffing (salaries, wages and benefits) in the water department represented about 30% of first‑quarter department expenditures. The mayor and staff described overtime as a major cost across the city and proposed measures including converting some overtime pay to comp time and modest employee health‑insurance contributions to generate savings. The mayor outlined a draft plan that would reduce payroll burden and said implementing a mix of comp time, modest salary adjustments, or staffing changes could free up funds for capital and repairs.
Communities Unlimited representatives offered grant and loan assistance for sewer projects. Brad Jarrett, area director for Communities Unlimited, and Tanya Kendricks, the group's state coordinator, said they are working with an engineering firm (ETC Engineering) to pursue funding through Arkansas Natural Resources and other state programs and offered help with preliminary engineering reports and applications.
What happened: the council received a financial and operational briefing; staff said they will provide an itemized account of pump and fuel charges and will continue pursuing state and federal grant/loan opportunities; no formal vote or appropriation took place.
