It was all business as the Stephenville City Council tackled a packed agenda at its Tuesday, Sept. 2 meeting.
Council approved a settlement resolution between Atmos Energy Mid-Tex Division and the Atmos Cities Steering Committee.
The steering committee acts on behalf of its members and taxpayers to help save money on natural gas. It also examines such items as the Rate Review Mechanism Tariff. Recently, the company claimed that its cost-of-service in a test year ending Dec. 31, 2024 entitled it to additional revenues of $245.2 million.
According to steering committee standards, the amount was reduced to $225.6 million, of which $163.5 million was applicable to its members. Additional filing and discovery led to the steering company stating the amount should have been $185.6 million instead of the $245.2 million.
After numerous settlement meetings, the parties agreed to settle the case for $205.6 million – a reduction of $20 million to the company’s initial request.
As Stephenville is a member city they had to vote for the settlement resolution and new rates are set to take effect Oct. 1.
For Stephenville customers, the average residential rates will increase $7.83 a month or 9.27%. The increase for commercial usage will be $25.73 or 6.56%.
Rate increase for collecting taxes Council also approved a rate increase from the county for the collection of city taxes. It is the first rate increase since the late 80s for the county, and for the city of Stephenville the amount will increase from $5,000 to $61,000.
City Manager Jason King explained that while the majority of counties simply assess a 1% fee based on the total amount, County Judge Brandon Huckabee did not believe that was fair and that amount exceeded what the county needed to cover its expenses for collecting taxes for other entities.
King expressed he believed the new rate to be more than fair.
“We had the deal of the century for a really long time,” he said.
Annexation discussions Council authorized King to move forward with a notice of intent to annex a portion of TxDot rightof- way at the intersection of FM 2303 and SH 108 in order for TxDOT to install a traffic light for the La Paloma project.
Since the city does not control the intersection, annexation is recommended to enable staff to receive escrow funds from the developer for the costs of the signal and execute and agreement with TxDOT. This process has been discussed with the developer and TxDOT representatives.
“TxDOT does not do agreements with developers. They do agreements with cities,” King said.
Council also approved intent to annex city owned property at the south end of the runway which will be extending the city limits. This must be published for 30 days before annexation at a future council meeting.
Council also approved the request for voluntary annexation. South Texas Cement, LLC, is requesting voluntary annexation of 5.01 +1- acres in the extraterritorial jurisdiction located east of US 281 and north of County Road 177. Zoning classification for this property will be assigned once it is annexed into the city.
The city also rezoned a 41.67-acre piece of property from industrial to multiple-family residential which aligns with the 2050 complete neighborhood zoning.
The Planning and Zoning Commission recommended approval 7 to 0, and no letters of opposition were received by any neighboring properties.
“It looks like what they are requesting would fit really well,” Councilmember Gerald Cook said.
After an interview with the council, Gabriel Wood was named alternate one for the board of adjustments.
In other business the council:
■ Presented a proclamation recognizing Stephenville as the “Cowgirl” Capital on Sept. 18
■ Approved the election contract with Erath County for a Special Election in November for the city’s mayoral election
■ Approved the purchase of pedestrian hybrid beacons for the Harbin Drive/Tarleton Street crosswalk