City orders utility study, rate hike possible

Posted in: News
By Jason McPherson
Sep 2, 2010 - 9:03:49 AM

In the coming months, Marlow residents’ utility bill could go up.
Tuesday night, the Marlow Municipal Authority, which meets jointly with the city council each month, approved the engagement of Municipal Finance Services, Inc.
The main function of the company is to study the cost of operation of Marlow’s water and sewer services.
“Right now, the revenue produced by the sewer portion of the city utility bill is not covering the cost of operation,” said city administrator Janice Cain. “Water is very close to not covering.”
Cain said the company would review historical data and pinpoint how much it costs to operate the water and sewer functions of the city now and in the future.
“They will produce a rate card that will come before the authority for approval,” Cain said.
Trustee and councilor Dan Ross questioned the cost of $12,500, plus up to $1,000 in additional expenses, for a service that could be performed by the city.
“We could do it,” Cain answered. “But it would be nothing more than a guess, and could result in additional rate hikes in the future. This way, we can make an informed decision.”
Cain noted that rates for water and sewer had not been adjusted since before the turn of the century.
The cost will be covered outside of budgetary funds with money from a 2005 water loan series, which will also cover the cost of repair of an 8-inch water line that burst last week on Main Street beneath the railroad tracks.
The authority declared the repairs an emergency in order to bypass bidding requirements in an effort to complete work on the broken pipe.
Cain said the line is cast iron, and more than 40-years old. It currently has two temporary valves to continue water service, but the fix cannot last much longer. Work will begin on the line next week.
Work is also set to begin on traffic signals and residential street lights within the next three months.
The authority approved bids for installation of LED lighting throughout the city as part of a $250,000 grant from the Department of Energy. The grant will replace downtown traffic signals, school zone signals, 96 overhead lights on Broadway and approximately 300 overhead lights throughout the city.
The meeting began with special recognition of Cherie Callaway, honoring her more than 40 years of service on the Garland Smith Public Library board.
“She has helped bring the library to the high standard which patrons enjoy today,” Cain said, noting the council reviewed pictures of her, and others, at the groundbreaking of the current library location in 1970.
The council approved Leon Snelson, a former board member, to the five-year term left vacant by Callaway.