Council approves $722,745 budget amendment to cover MEAG year‑end settlement

Marietta council approved a budget amendment on a 7–0 vote to cover a MEAG (Municipal Electric Authority of Georgia) year‑end under‑recovery totaling roughly $722,745.19.

Finance staff told the council that reconciliation between budgeted and actual supplemental sales, together with reallocations of Georgia Power O&M charges to MEAG projects, produced an under‑recovery that the city must pay this year. "The amount that is due is $722,746," said Finance staff (Speaker 6), describing why supplemental sales and contract allocations pushed Marietta into a payment position for the first time in recent MEAG history.

BLW staff (Speaker 4) moved the amendment to the fiscal‑year budget, saying the motion would incorporate the full settlement into the monthly prepaid withdrawal schedule and change the invoice's originally proposed 10‑month installment plan to three payments to be completed by the end of the fiscal year. The motion was seconded by a councilmember and passed without objection.

Why it matters: the payment reflects a reconciliation process driven by market sales, contract allocations and project‑level O&M charges that, staff said, were reallocated by Georgia Power and by MEAG policy changes. Staff emphasized that the city used its own conservative revenue assumptions to avoid overstating expected sales in its operating budget.

Council and staff said they will continue to work with MEAG on the methodology for calculating supplemental sales and to monitor a recently adopted MEAG policy that staff expects will partially buffer such swings going forward.

What comes next: staff said a budget amendment reflecting the three‑payment plan will be added to the formal agenda so the finance office can implement the payments and report back to council on any further reconciliation adjustments.