Athens Review, Athens, Texas

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September 9, 2010

Atmos Energy addresses City of Athens

Robby Robertson The Athens Review

Athens — In their special session on Wednesday, the Athens City Council heard from Atmos Energy representative Darwin Winfield concerning a Rate Review Mechanism.

Atmos is opening its books to cities and coalitions to help set the rates for the upcoming year.

“What we are asking the City of Athens to do is to approve an ordinance that will set the rates for two more years,” Winfield said. “What this will do is keep costs down for the customers, and keep the Texas Railroad Commission from coming in, and setting the rates for us. This will be an annual process.”

The council is scheduled to vote on the ordinance at its Monday meeting.

Assistant City Manager David Hopkins told the council that the city has met its sales-tax projections for the year, but it was because of a $127,000 audit from May, June and July.

“If you will recall, we had an extra $127,000 of audit funds those three months,” Hopkins said. “Without that, which is something you can’t count on, we would be $60,000 below budget. We would not even be breaking even, and we are way off from our 2008 budget.”

Hopkins said he just wanted to point out to the council that it helped the city this year, but it could be back down next year.

The Athens City Council approved a budget for the 2010-2011 fiscal year back in August, and held two public hearings on a tax increase that will be voted on Monday.

The budget package includes:

• $8.355 million appropriated out of the General Fund to cover the city’s operating expenses;

• $56,135 appropriated out of the Airport Operations Fund to cover operating expenses for the airport;

• $214,393 appropriated out of the Community Improvement Fund for the payment of expenses to enhance and promote tourism, convention and hotel industries;

• $581,454 appropriated out of the debt-service fund for paying obligations;

• $577,565 out of the Utility Fund for paying the principal, interest and fees associated with the certificates of obligation for improvement of water and waste.

The city is proposing a tax rate of .552076, up from .518512 a year ago. Hopkins said the city has to offset a decrease in sales tax revenues, and a decrease in the taxable value of properties in the city.

The average appraised value of an Athens home last year was $83,174. The 2010 average is $78,476.

Without the increase, the city would face about a $200,000 deficit, City Councilman Jerry Don Vaught said.

 

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