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Council approves building-fee changes, takes first steps on utility rates and regulatory settlements

City of Levelland City Council · September 9, 2024
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Summary

The Levelland City Council approved Ordinance 1081 (building inspection fees, second reading), approved Ordinance 1083 on first reading to amend water, wastewater and garbage rates, approved first reading of Ordinance 1084 (Atmos West Texas settlement), and passed Resolution 2024-26 to deny Southwestern Public Service—s surcharge request and authorize participation with the alliance of cities.

At its meeting the Levelland City Council approved or advanced several ordinances and a resolution affecting fees, utility rates and regional utility matters.

Ordinance No. 1081 (building inspection fees) was approved on second reading after staff said the change was required by recent state legislation to reauthorize city fee schedules. Council voted to adopt the second reading by voice vote.

Ordinance No. 1083, an amendment to the city code—s fee schedule affecting water, wastewater and garbage rates, received first-reading approval. Staff described new water-service tiers designed to encourage conservation (a new tier for usage above 20,000 gallons), service-availability fees, reconnection fees, a water-system improvement fee and revised outside-city rates. Staff recommended an effective date of Nov. 1 to give customers more notice of rate changes; council advanced the ordinance on a first reading.

Ordinance No. 1084 approving a negotiated settlement with Atmos West Texas under the Rate Review Mechanism (RRM) process was approved on first reading. Staff said the settlement would enable Atmos West Texas to recover approximately $4.3 million systemwide with tariffs effective Oct. 1, 2024, per the proposed attachment. Council approved the first reading by voice vote.

On a regional regulatory matter, council adopted Resolution No. 2024-26 directing staff to deny Southwestern Public Service Company—s proposed surcharge application (initially described as about $41.37 million, later noted as a net amount near $36.44 million) and authorizing continued participation with the Alliance of Excel Municipalities, including hiring counsel and consultants to intervene in related proceedings. The resolution directs the city to pursue the denial path and to authorize reimbursement procedures for reasonable city expenses in pursuing the appeal path described by alliance counsel.

Council vote procedures were by voice; where tallies or named roll-call votes were not recorded in the transcript, outcomes were reported as "motion carries" or "approved."