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Story Archives: Town views water contract, finances


Town views water contract, finances
by Joey Martin - posted E-mail Story E-mail Story | Print Story Print Story 
Discussion over the town's water system, approval of department heads and a look at finances highlighted the first meeting chaired by newly-elected Ferriday Mayor Gene Allen.

Taking his oath of office on Saturday to begin his second term, Allen noted at the outset that the town's finances were "in real bad shape." He said the town is behind in payments due to "every company we do business with."

"I'm surprised we even had the garbage collected today (Monday)," he said.

Discussion at the meeting centered on the town's water system and the contract between Ferriday and JCP Management of Harrisonburg, which as the third party manages the system.

"I have a problem with some of the language and the contract with JCP," Allen said. "The contract is very vague."

Noting that the contract says JCP will collect water bill payments at town hall, Allen recommended that office space be provided to the left of a meeting room. He said space is not available in the front office "because we have to collect taxes and sell permits there and we would be out of compliance if we did so with them there."

Board members questioned whether the contract with JCP was legal and expressed concern on charges of $150 to reconnect water lines and $157 to reconnect after 4 p.m.

"If you can't pay $25 (current charges), how can you pay $105 or $157?" alderman Gail Pryor asked.

Allen said the contract stated that if the town owes JCP money, then money collected from sewage or garbage could be used to pay JCP. Gene Womack of JCP said the water system is separate and no money would be taken from it to pay his company unless the board voted to do so.

"The money we collect for garbage and sewer is yours," Womack said.

Allen said just cause was not needed to cancel the contract, but a 30-day notice was required. He said the town owes JCP $100,000.

"Do we have a contract with you to run the water plant?" Gloria Lloyd asked Womack. Womack said there was a contract but he could not explain in detail all 26 pages in the contract at the meeting.

In response to the 30-day notice, he said, "If you told me to go today, we would go."

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