HSUD reports on collections

Wayne Jones, general manager of the Holly Springs Utility Department, and interim accounting manager Chawanna Harris reported on collections at the October 7 meeting of the Holly Springs Mayor and Board of Aldermen.

Jones said the 2024 annual report to TVA has been completed and sent to the regulatory agency and all work is done on the 2022 audit.

HSUD is working to complete the 2025 annual report to TVA and to complete and close the fiscal year 2023 and 2024 for water, sewer and gas.

Harris said HSUD is currently up-to-date on all filings to the Mississippi Department of Revenue, public utility regulatory tax, sales tax and TVA in lieu of filings.

HSUD negotiated with DOR to waive $3,800 in late fees and has another $6,700 in late fees pending approval, Harris said.

Harris said notices were sent out to 737 customers covering $2.5 million and has received $358,000 from customers equaling about 18 percent of payments on those notices.

There is still over $2.9 million in accounts over 90 days past due, she said, out of a total of about $4 million past due owed.

She said uncollectible revenue is connected with some meters that need to be repaired and those repairs have been scheduled with the superintendent.

Some of the companies (water, gas, sewer) are not being billed due to defective meters, she said. Customers cannot be billed on meters that need to be repaired, she said.

As of October 1, customers can pay their utility bill through Kroger, Circle K, Dollar General, CVS Pharmacy, Family Dollar and Walgreens stores, Harris said.

Customers can pay their bills by scanning the QR code at the HSUD website and make cash payments at these locations, she said.

Jones said two used trucks bought at auction for use by meter readers are in and have to be licensed and tagged.

Atwell & Gent engineering consultants have located 9,000 used electric meters from a local power company in Greenwood, Jones said.

They are available for delivery. He said the meters will be used to replace about 7,000 meters that cannot be read because they are faded. The meters are available at a cost of $10 each. Advanced Metering Services can install the meters after writing software so the handheld meters can be read manually by drive by employees.

Jones said it will take AMS about 3 weeks after receiving the meters to write software so the reading can be sent to CSA (Customer Service Association) in Tupelo for billing.

“This is going to get us back on track with meters and billing before New Year’s,” he said.

Installation of the meters will cost $15 per meter, so the actual cost of each meter will run $25 each, plus a cost of about $1,900 for two years of software support. AMS would write the Software.

Jones said the metering could get back on a 30-day billing schedule with purchase of these used meters.

Currently, billing is 90 days behind for the months of July, August and September, he said.

He said the flat rate charges for gas and sanitation and lights has not been on the customer’s bills because the bills are out of sequence and have to be estimated.

“With new trucks and AMI system installed, we’ll be back on a 30-day schedule with meters and there should be no reason to see this again except if a disaster or tornado happens,” he said.

A motion to engage Atwell and Gent to install the used meters was made by Ward 3 alderman Jim Moore and seconded by vice-mayor Dexter Shipp.

In discussions, Ward 2 alderman Andre Jones objected to approval to engage Advanced Metering Services to install the used meters, saying the utility had not supplied documentation from the contractor.

Jones said the board has already approved the purchase of meters in an emergency declaration to purchase trucks and meters from a called session. He said Atwell & Gent had been approved as part of the emergency declaration.

Board attorney John Keith Perry Jr. explained that an engineer usually comes before the board to request expenditures, citing engineer Larry Britt as an example.

Mayor Charles Terry asked if there is any difference in what Jones requested as when any engineer asks.

Perry explained that the total costs of the meters plus installation comes to $25 per meter.

Terry asked if that price has to be put on paper (written down).

Perry said it is not a legal requirement.

Ward 4 alderman Patricia Merriweather said the board wants things in writing, what it is requiring.

The board approved the motion to purchase and install the meters by a vote of 4-1 with alderman Jones voting nay.