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Power or tax rates: Does it add up?

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The questions come up almost every year when the City of Bowie starts debating its budget.

Why are electric rates so high?

Why can’t they be lower?

It was April 1991 when the City of Bowie decided to build its own substation. It was completed in 1992. The consensus of the city council was electricity use can be controlled by residents to some extent, while property taxes cannot.

So instead of raising taxes to take care of increased city operational costs, the council opted to adjust electric rates.

Through the ensuing years tax rates have rising slightly each year, but they have never caught up to electric revenue, which is the primary revenue generator for the city.

Utility revenue contributes $9.3 million to the city budget, while general fund revenue has $6.8 million revenue with $8.5 million in expenses.

Of that, $1.83 million is budgeted for transfer into the general fund to fund its operation.

General fund revenue includes ad valorem taxes, sales tax, franchise taxes, rents and royalties, fines and assorted other fees.

Ad valorem taxes are budgeted at $1,244,706 in the 2015-16 budget, while sales tax is budgeted at $1,459,299.

The Bowie News posed this question to City Manager Ricky Tow: What tax rate would be needed to make up for the utility fund transfer that goes to the general fund?

Read the full story and examine some hypothetical rates in your weekend News.

 

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City staff examines new generators for water plant

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City of Bowie officials were on hand to inspect the emergency electrical generators that were delivered last week.
Mayor Gaylynn Burris and City Manager Bert Cunningham inspected one of three emergency electrical generators purchased as part of an ongoing Federal Emergency Management Agency Hazard Mitigation Grant. They also talked with Jay Evans, head of the city electric department, and Jerry Sutton, director of the water treatment plant about the next step for installation of the generators.
This grant provides funding for one 150 kW and two 250 kW generators for use at the water treatment plant.

Read the full story in the mid-week Bowie News.

City Manager Bert Cunningham and Mayor Gaylynn Burris talk with the electric and water department staff about the new generators. (Photo by Cindy Roller)

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Council takes no action on litigation issue

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No action was taken on a legal issue after members of the Bowie City Council met in a called closed session at 4 p.m. on July 12.
City Secretary Sandy Page said the council met for almost one hour for “consultation with attorney – Midwest Waste Services LLC vs. City of Bowie.
This lawsuit goes back to August 2019 when Midwest sued the city for its action requiring those who receive city water outside the city limits to use the designated waste collector, which is Waste Connections. This was shortly after the city signed a new long-term contract with WC.
The suit was dismissed in June 2020 on two points in the suit, but City Manager Bert Cunningham said a third point remained in mediation.

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Motorcyclist injured in July 4th wreck

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The Department of Public Safety has provided information on an auto vs. motorcycle accident that reportedly occurred on July 4.
James Lee Hilton, Nocona, was driving a 2019 Harley-Davidson motorcycle and Daniel Parra, Chico, was driving a 2018 Ford Fiesta. Both vehicles were north on State Highway 101 outside Sunset with the motorcycle behind the car.
Parra was attempting to turn left on Farm-to-Market Road 2265 when the motorcyclist attempted to unsafely pass to the left states the report. The bike struck the left side of the Fiesta. Both vehicles came to rest off the roadway on the northwest corner of SH 101 and FM 2265.
Hilton was transported to Denton Medical City with

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