Bank of Holly Springs

Board signs crafted resolution opposing bills affecting HSUD

The city of Holly Springs Mayor and Board of Aldermen attended a special called meeting Tuesday, Feb. 27, to pass a resolution opposing two bills in the Mississippi Legislature concerning governance of municipal utility departments certification to serve customers one mile outside the city limits.

SB 2453 and HB1484 would authorize the Public Service Commission to hold hearings and determine if a municipality is adequately serving its customers outside its currently certified city limit boundaries.

The bills have a bearing on the reliability and adequacy of service to its ratepayers outside a one-mile radius of the Holly Springs city limits.

A resolution opposing the two bills before the legislature was crafted by Mayor Sharon Gipson and passed at the special called meeting. Four aldermen - Ward 1 alderman Bernita Fountain, Ward 4 alderman Patricia Merriweather, Ward 3 alderman Colter Teel and vicemayor Dexter Shipp - were present at the meeting. Fountain and Teel attended the meeting by telephone.

Teel did not vote on the measure having dropped off the meeting to take a business call prior to a motion on the resolution.

In brief, the resolution states that:

• the City of Holly Springs serves residents of Marshall and Benton counties and parts of Tennessee.

• the city has provided adequate water, sewer, gas and electric service since 1837.

• the utility endured several serious weather events within the last two plus years.

• a recent weather event caused the governor to declare a state of emergency during which the city utility demonstrated its resiliency, strength and reliability.

• the current administration has diligently addressed the issues concerning adequate service to its customers by making repairs, upgrades and changes, including changes in a contractor to better serve the ratepayers.

• meetings and conversations regarding the City of Holly Springs Utility Department have failed to include the mayor or the opportunity to present evidence to accurately reflect the reliability and resiliency of the utility department.

• the City of Holly Springs has diligently worked to be a good steward and to provide adequate service to its more than 12,000 ratepayers.

• the City of Holly Springs has refused to increase its rates to ratepayers while under pressure and threats from the Tennessee Valley Authority, which has significantly increased its rates, increasing the burden of the utility’s ratepayers.

• the City will continue to champion for its ratepayers and also to protect the assets owned by the taxpayers of this municipality.

• that SB2453 and HB1484 will provide unlawful and unconstitutional authority to the Public Service Commission and infringes on the rights and duties of a municipality, raising a threat not just to the City of Holly Springs, but also sets a dangerous precedent for usurping the authority of other municipalities.

• the City of Holly Springs is grateful this legislation did not proceed last year with similar frivolous legislation, but instead offered assistance to the City of Holly Springs.

• the City of Holly Springs remained steadfast in its opposition to any legislation which usurps the authority of any municipal government including SB2453 and HB1484, and that the legislation is unlawful and unconstitutional.

• the City of Holly Springs requests the meritless, frivolous and politically motivated legislation be denied.

• Therefore, be it resolved that the Mayor and Board of Aldermen oppose this frivolous legislation reflected in SB2453 and HB1484 to illegally usurp the authority of the City of Holly Springs.

In discussions following the reading of the resolution by Gipson, Merriweather raised two questions regarding the resolution. First that the mayor was not included or given the opportunity to present evidence before a meeting held by the Public Service Commission that accurately reflects the reliability and resiliency of the utility department.

“I don’t know if that is correct,” Merriweather said. “What do you mean you haven’t been offered the opportunity to present evidence? Are you talking about the Public Service Commission in Jackson?”

Gipson said she has not been given opportunity for herself or her staff to be present at any scheduled meetings at the Public Service Commission, except one that was held during campaigning last year that she was made aware of the day prior.

Gipson appeared to be referring to a field hearing held in Holly Springs during election year for state offices.

The mayor alleged the proposed legislation was meant to specifically target the Holly Springs Utility Department and City, although no name of a municipality was stated in the bills.

“Rep. Faulkner had to admit this, the only place they are coming for is the City of Holly Springs. We know what the goal is. It’s the City of Holly Springs,” Gipson said.

Fountain said she was for the resolution, “because the utility department belongs to the City of Holly Springs and constituents.”

Merriweather said she had questions about accuracy of the wording of the resolution in two of the statements in the resolution.

Fountain made a motion to pass the resolution, Shipp seconded and the resolution passed 3-0 with two aldermen absent at the time of the motion.

Merriweather then said she wants the city to pass a resolution that would add four additional members to form board of commissioners over HSUD that would include names of two directors each from Marshall and of Benton counties.

The resolution was recommended by Rep. John Faulkner in advance to the filing of SB2453, in an attempt to shield the city from the legislation.

Merriweather and Faulkner said the resolution to expand the voting members to the counties was recommended to give ratepayers outside the city limits a voice.

Gipson said that resolution was not on the agenda of the special called meeting.

Merriweather said she brought it up because the agenda for the special called meeting was not adopted.

Fountain said she believes the ratepayers outside the city have an adequate voice because they appear in meetings where they can make public comments.

And Fountain said she wants clarity from the city attorney to determine what the board of commissioners’ assignment would be, if formed.

“What do they do?” Fountain asked.

Merriweather said she has requested clarity from the city attorney as well but has received no reply.

“I can’t declare that their concerns were thoroughly heard because I felt if they had been heard, we wouldn’t have these two bills before us. That is my stand on that in terms of us doing our due diligence to make sure the ratepayers were heard, and felt as if they were heard, and resolved in a timely manner,” Merriweather said.

Fountain said she agreed with Merriweather on that point.

Business concluded, the 24-minute meeting was adjourned.

Holly Springs South Reporter

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Holly Springs, MS 38635
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