Plainview council approves compensation study, denies Atmos Energy rate increase and awards equipment contracts

Plainview City Council on March 11, 2025, voted to authorize a peer compensation study, approved multiple equipment purchases and rebuilds for the city’s recycling and water-reclamation operations, and adopted Resolution R25 to deny Atmos Energy’s initial rate increase request.

The actions affect city staffing and infrastructure costs and respond to a recent utility rate filing. Council approved a recommendation from human resources staff to hire HUB International to conduct a peer compensation study covering 97 positions and about 95 employees; passed a resolution rejecting Atmos Energy’s systemwide base-rate filing; and awarded contracts for a replacement baler and conveyor at the city’s recycling center and sole-source rebuilds of a belt press and conveyor used at the water reclamation plant.

Human Resources Director Valesa Gutierrez told the council staff was seeking authorization to contract with HUB International to perform a compensation study covering 97 job positions and roughly 95 employees. The peer analysis option presented to council was estimated at about $49,408 and was listed as an approved budget item for fiscal 2025. Council Member Weiss moved to authorize the agreement; Council Member Martinez seconded. The motion was approved by the council.

The council also considered a rate case involving Atmos West Texas (Atmos Energy). City staff explained that Atmos initially sought approximately $66.1 million in systemwide base-rate increases and that settlements with intervenors reduced the proposed increase. Under the settlement described to council, Atmos West Texas would receive about $30.2 million in systemwide base-rate increases, set its return on equity at 9.8 percent and allocate roughly 69.81 percent of costs to residential customers. The council voted to adopt Resolution R25 to deny Atmos Energy’s initial filed request. A mover stated the motion as “deny the request for increase from Atmos Energy.” The council announced a recorded tally for the vote in the meeting transcript as “we have a vote of 7 4”; the transcript did not list individual roll-call votes.

On procurement, the council awarded a competitive bid to Reaction Distributing Inc. for a replacement horizontal baler and conveyor at the city recycling center. Staff said the budgeted amount for the item was $100,000 and that the recommended low bid was approximately $114,796. The motion to award the bid passed.

The council approved a sole-source rebuild of an Andritz belt press for the water reclamation plant. Staff said the vendor will replace rollers, belts, bearings and electrical systems and that the quoted price was $511,007; staff noted the plant would not be out of service for the entire vendor lead time and estimated on-site downtime of a couple of weeks. Council also approved a sole-source reconditioning of the associated conveyor system by Schwing Bioset for $143,451.84.

Council moved into an executive session under Texas Government Code §551.074 to discuss the city manager; no public action was recorded at that time.

Votes at a glance: - Authorization of a peer compensation study with HUB International (estimated cost $49,408) — Moved by Council Member Weiss; seconded by Council Member Martinez; outcome: approved (tally listed in transcript as “7 4”; individual votes not provided). - Approval of Resolution R25 denying Atmos Energy’s initial rate increase request — Moved and approved; transcript notes tally as “7 4”; individual votes not provided. - Award bid to Reaction Distributing Inc. for replacement baler and conveyor at the recycling center (budgeted $100,000; low bid ~ $114,796) — Moved and approved. - Award sole-source rebuild of Andritz belt press for $511,007 — Moved and approved. - Award sole-source reconditioning of conveyor to Schwing Bioset for $143,451.84 — Moved and approved.

The council chair opened and closed routine consent items earlier in the meeting and noted item 3C was moved to the regular agenda for immediate presentation. Several staff presenters briefed council on projects and procurement; no additional formal actions were recorded in public after council entered executive session.