Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Water And Gas topic
No spam. Unsubscribe anytime.
La Cygne weighs water and gas options as rural districts shift supplies
Summary
City council meetings across 2008 centered repeatedly on wholesale water contracts, a proposed Magellan gas interconnect, and urgent repairs and redesign at the municipal water plant. Council approved engineering work and contingency purchases while negotiating with rural water districts about long-standing volume commitments.
The La Cygne City Council spent much of 2008 on water and gas infrastructure issues that carry both operational and budgetary consequences for the city. The year began with a joint session with Rural Water District #3, where the district and city reviewed 1997-era volume commitments and sought clarity about who would supply potable water if RWD #13 could not. The district’s board said it expected to continue purchasing from the city when needed, a point the city flagged for legal review and future contract clarification.
On the natural gas side, the council negotiated and ultimately approved general terms for an interconnect with Magellan Pipeline LLC and for other wholesale gas matters, authorizing staff and legal counsel to finalize an agreement so Northern Pipeline could complete installation before the year’s end. The city also discussed expanding three‑mile gas customer service in response to KCC inquiries about adding customers near the Henson Line.
Storm-related infrastructure work and deferred maintenance drove a major in‑house project at the municipal water plant. The council retained Ponzer‑Youngquist for design work to repair the chlorine-contact basin and other building damage, approving engineering fees and, when warranted by urgency, authorizing contractors to install a concrete cap and perform electrical relocation so repairs could proceed. Council members repeatedly noted the projects’ contingency costs: John Brann of Ponzer‑Youngquist presented a conservative total repair estimate rounding to about $99,500 that combined construction, contingency and engineering and inspection fees.
Council members emphasized that water and gas decisions would need to weigh legal commitments, operational reliability and bond covenant impacts. Auditor Terry Sercer’s 2007 presentation warned the Gas Fund had previously fallen short of a revenue-bond covenant and recommended officials watch 2008 income; that influenced follow-up conversation about rates and contract terms.
What happens next: city staff will continue engineering and contractor coordination at the water plant, finalize the Magellan interconnect paperwork, and pursue negotiated solutions with the rural water districts; any formal rate or bond covenant action will follow further financial review.
