Split Vote Approves Utility Rate Changes

Sidney city utility customers will soon see modest changes to their utility bills.

On Jan. 28, the Sidney City Council approved third reading of proposed changes to the water rates and the electricity rates.

The Third Reading was approved with a 4-1 vote. Vice-Mayor Joe Arterburn voted against changes to the electric fees and the water fees.

"I still think to pass this now would be short-sighted," Arterburn said before the votes were cast.

He said he was concerned about saddling the new city manager with a decision having long-term impact.

Mayor Roger Galloway said to not address the fee structure is to kick the can further down the street. He further said it is the duty of the council to implement policies and and procedures. Councilman Burke Radcliffe said he would gladly object to the rate structures, if he had reason.

"If there's something illogical, I'd be with you Joe, but it's not," Radcliffe said.

Arterburn made a motion to not approve the proposed rate changes. The motion died for lack of a second. Councilman Brad Sherman then moved to approve, with Radcliffe offering the second and the motion passed with a 4-1 vote.

Electric Department Supervisor Mike Palmer said the average electric customer will see a savings of about $10 per month.

In the last city council meeting, the council discussed the impact of administrative and franchise fees. In the Jan. 28 meeting, Human Resources Director Jo Houser she found a history of the city charging franchise fees and administration fees. She said she wanted to address the questions in the meeting of Jan. 14, but wanted to research the subject before offering her opinion. She presented a spreadsheet showing an administrative fee charged to two departments until 1995.

In other business, the council approved purchase of a new air compressor for the Street Department. Street Superintendent Hank Radtke said the current air compressor, a 1996 Ingersoll Rand 185 with 2,889 hours, became inoperable in 2019. He said the department had to borrow a compressor from other departments, relying on the other departments' schedules to get their work done. The City budgeted $25,000 for a new compressor. The State bid came in at $21,625.

The council also approved the Water Department purchasing a John Deer Ztrak mower for $10,435.73. The council had approved a budget of $16,000 to purchase a new mower. The Department is using a 2005 New Holland mower. The proposal includes a trade-in value of $2,000 on the Department's mower. The new mower comes in at 43 percent less than the budgeted amount.