Big Spring council unanimously denies Atmos rate filing, approves EMS notice and several contracts

The Big Spring City Council on Feb. 25 unanimously approved a resolution to deny Atmos Energy’s proposed rate increase and took a string of other actions, including authorizing notice to local EMS contractor Allegiance while the city prepares to resume some emergency medical services, awarding a water-and-sewer construction contract for a business-park project, and approving a nuisance abatement order for 410 South Aylesford Street.

The council’s action on the Atmos Energy filing came after staff said the company initially sought about a $66,100,000 increase and has since reduced that request by about $35,900,000. City staff said the city is participating with other municipalities in negotiations and that the city’s reasonable rate-case expenses will be reimbursed if the resolution is adopted. City staff also said the city may opt out of a pending settlement by 5 p.m. tomorrow if it chooses to do so.

Why this matters: A large utility rate change affects residents and municipal budgeting, and the city joined a coordinated challenge with other cities to oppose the magnitude of Atmos’s request.

City Manager Darden described the Atmos process and the status: “they’re in the negotiation phase” and staff recommended passing the resolution to deny the filing as presented. Council voted to approve the resolution unanimously.

Council also addressed the city’s emergency medical services contract. City Manager Darden told the council the city has been working with Allegiance since the contract began and that the fire department has prepared a plan to resume more EMS responsibilities. The contract requires 90 days’ notice to terminate (which would be March 1 if the city chose that route), and staff proposed amending the contract so the city could shift to month-to-month service with a 30-day termination option as a contingency. Darden summarized the staff position: “So I felt like we needed a contingency plan in there and what this notice does is provide an amendment to the current contract, which would allow us to go month to month.” The council voted unanimously to authorize the notice and the month-to-month amendment option.

The council opened a public hearing and voted to issue an order to abate a public nuisance at 410 South Aylesford Street after city staff told the council the case was opened in January and the property owner, Mary Puga, had not complied with repair or removal. Staff reported “the structural members for the roof and the walls have insufficient strength to be safe due to deterioration.” After asking whether anyone in the public wished to speak, the council voted to issue an abatement for the rear portion of the property as shown in the photographs; the vote was unanimous.

On procurement and capital projects, the council awarded the Business Park water-and-sewer grant project to Whitewater Construction after staff said the city received 10 bids and Whitewater was the lowest that included the alternate scope. Staff stated the original grant contract budget was $3,118,190; the council approved awarding the contract and authorized the city manager or designee to execute documents.

Other approved items included: • A first-reading resolution approving the city’s investment policy (staff said the policy follows Texas Municipal League recommendations and that the review is required by state law; Finance Director Smith said, “this is an annual review that we are required by state statute”). • A resolution cancelling the mayoral contest on the May ballot because the mayoral candidate was unopposed. • A first-reading resolution authorizing filing a Texas Parks and Wildlife Department Habitat and Angler Access grant application to pursue a floating gang plank and fishing dock at Comanche Trail Park (Community Services staff said fisheries staff reached out and recommended pursuing the grant). • Approval of an engineering services agreement with Jacob Martin LLC for the 2025 seal-coat project.

Staff updates and community notes: City Manager Darden said District 2’s large-item pickup was postponed for weather and rescheduled, and reminded residents of e-waste disposal from 8 a.m.–noon on Saturday, March 1, at Big Sandy Landfills. He also announced a playground grand opening March 1 at noon and said the Dora Roberts Rehab organization donated what staff said was $750,000 toward the playground project. Darden also thanked the police department after staff reported 39 indictments in recent work.

Administrative and board items: The council approved consent items 9–12 en bloc, approved vouchers as presented, and directed that the council will hold a short meeting Friday at 1 p.m. to appoint two members — Chris Bishop (mayoral nominee) and Terry Hansen (nominated by Homer Wilkerson) — to the Zoning Board of Adjustment so that pending variance requests can be processed.

Votes at a glance (formal motions and outcomes) • Item 6 — Public hearing and order to abate public nuisance at 410 South Aylesford Street (owner Mary Puga). Motion to issue order to abate (rear portion shown in photographs). Outcome: approved, unanimous voice vote. • Consent items 9–12 — Approved en bloc. Outcome: approved, unanimous. • Vouchers (item 13) — Approved as presented. Outcome: approved, unanimous. • Item 14 — Award contract to Whitewater Construction for Business Park water/sewer grant project. Outcome: approved, unanimous. • Item 15 — First reading: Resolution reviewing and approving City of Big Spring investment policy. Outcome: approved on first reading, unanimous. • Item 16 — First reading: Resolution declaring the unopposed mayoral candidate elected and cancelling the mayoral election. Outcome: approved, unanimous. • Item 17 — First reading: Resolution denying Atmos Energy Corporation, West Texas division, rate filing (and finding the city’s reasonable rate-case expenses shall be reimbursed). Outcome: approved, unanimous. • Item 18 — First reading: Resolution authorizing filing of a TPWD Habitat and Angler Access Program grant application for a floating gang plank and fishing dock at Comanche Trail Park. Outcome: approved, unanimous. • Item 19 — Approval of engineering services agreement with Jacob Martin LLC for 2025 seal coat project. Outcome: approved, unanimous. • Item 20 — Review of EMS provider agreement with Allegiance; notice of intent to terminate unless Allegiance agreed to proceed month to month with 30-day termination. Outcome: approved, unanimous.

What council did not decide: Council did not finalize any changes to staffing ordinance language needed for the fire department to take over EMS; staff said ordinances and additional council action would be required for that transition and that the fire department expected it could take over by June 1 if staffing goals were met. Council also did not quantify the exact expected dollar impact of the Atmos settlement; staff reported the company had reduced its requested increase by $35,900,000 as part of ongoing negotiations.

The meeting adjourned after brief additional remarks from councilmembers inviting public participation at upcoming events.