Nevada County Picayune and Gurdon Times Newspaper Archive

City Working On New Contract With Entergy To Reduce Electrical Rates

Revisions to a contract with Entergy (Arkansas Power and Light) was approved by the Prescott City Council during its regular meeting Monday, May 18.

The revisions for a contract expiring December 31, 2000, will see a savings for the city as the electricity it purchases will drop from an average of 4.3 cents a kilowatt hour to 3.8 or 3.9 cents average a kilowatt hour.

With the approval of the one-half cent savings, the contract with Entergy is extended to 2005 with a buyout clause for 2003.

The buyout clause states the city can shop around for a lower rate and when or if it finds a lower rate, Entergy will meet the lower rate plus 10% for the remaining two years of the contract.

Prescott Mayor Howard Taylor said savings will be passed on to consumers July 1, 1998, after a resolution is passed and published.

Larger savings will be passed on to local industries, including the city's two largest customers, Potlatch and Firestone.

Residents should also see a savings as well as retail businesses, which pay a higher rate than residents.

Exact savings to consumers was not discussed by the council and the contract approved has not been finalized by Entergy or the city's utility attorney.

Council members voted 7-1 to approve the measure, with council member Donna Wingfield voting against the reduction.

A John Deere four-wheel drive vehicle was purchased by the city council with a heavy duty brush/grass cutter for $21,474.50 from Southwest Arkansas Equipment Company in Hope.

A lower bid was received from Fallin Ford New Holland in Magnolia but, it was passed over for the durability of the John Deere.

Council members discussed some expenditures in the financial statements including items in contracted services and the airport commission.

An update on cleaning lots and abandoned homes was requested by council members at the requests for citizens.

Taylor told the members with the purchase of the new tractor and brush cutter the city will be able to clean more lots. He stated the city was about three weeks behind on its cleaning.

City attorney Glenn Vasser updated council members on the abandoned house on Greenlawn. City resident Freddie Hamilton complained about the home a year ago and then again in April.

Vasser told the council the property has been defaulted to the state of Arkansas for non payment of taxes.

Council members instructed Taylor to take action to condemn the property.