Utilities Director Monty Ledbetter presented Ordinance 02502 asking the board to waive competitive bidding under state statute (as cited in the packet) and to approve a $350,000 agreement with Xylem for Phase 6 of the City of Hot Springs’ Water Loss Management Program.

"The program began in 2021 with an aim to reduce the nonrevenue water in the city," Ledbetter said. He explained the program divides the system into virtual district meter areas (VDMAs) and uses insertion meters and flow meters to detect leaks; he reported the city currently has 39 flow meters in place and that Phase 6 will bring the total to 51. Ledbetter showed examples where the system detected leaks and identified nonrevenue water, including a highway‑department break and a fire‑hydrant flush event.

Ledbetter also described allied smart meters (50 purchased) that can monitor pressure and be used for targeted pressure readings. He noted those allied devices can perform a remote shutoff in cases of nonpayment, although he said only selected locations will receive them because of cost. The proposed Phase 6 work and meters are budgeted across current year funds and future requests for 2026–2029 as the program continues.

The ordinance was introduced for consideration at the agenda meeting; no vote was recorded. Staff said a fuller presentation and packet materials will be provided for the Jan. 7 business meeting.