Dothan utility rates to increase in 2012

The president of the company from which Dothan buys its electricity gave residents good and bad news Tuesday.

First, the bad news: City of Dothan utility customers will see a rate increase of about $3.15 per billing cycle beginning Jan. 1, 2012.

The good news, said Fred Clark, president of the Alabama Municipal Electric Authority (AMEA), is that another rate increase is not expected for “two or three years.”

Clark made the announcement during the Dothan City Commission Meeting on Tuesday. The city purchases electricity from AMEA. Technically, the rate increase applies to the city. However, the city government previously agreed to pass rate increases along to consumers without taking a vote on each increase.

Clark said the imminent rate increase is due to costs incurred from implementing clean air regulations imposed by the Environmental Protection Agency. Clark said the authority has spent huge sums to reduce potentially hazardous emissions at its coal power plants. Clark said AMEA gets 52 percent of all of its power from coal.

President Barack Obama recently pulled back further clean air regulatory proposals due to the shaky economy. Clark said anticipated flat fuel costs should keep the authority from announcing other rate increases for two or three years, unless further EPA regulations are implemented.

In other action, Dothan Area Chamber of Commerce President Matt Parker told the commission that Dothan is in the final running for an “Asian project” that could bring jobs to Dothan. Parker said he could not be specific about the project because he wanted to respect the privacy of the employer.

“Everybody here, local and state folks, have done everything they can,” he said. “We hope to hear something soon on that.”

Parker also said Dothan is being considered for a “100-worker manufacturing opportunity” and that the chamber hoped to hear from the project organizers within a month. Finally, Parker said the Dothan area was part of a 5-state race to land a business service employer that would put about 200 people to work.

“I can’t really tell you how it is going to fall out, but we are being looked at,” Parker said.

The commission also agreed to consider spending $15,000 for a comprehensive citizen survey. City Manager Mike West said the data collected from the survey would be shared with the city’s Washington lobbyist, Lyle Sumek, when the commission meets with Sumek in January.

The commission will vote on the proposed survey at its next meeting. Support for the idea was not unanimous.

District 2 commissioner Amos Newsome said he did not believe the survey would provide enough data to be helpful. District 5 commissioner Taylor Barbaree questioned the benefit of the survey when measured against the cost.

“I mean, what if the priorities of the citizens call for us to spend money that we don’t have, because we don’t have it,” Barbaree said.

In other action, the commission:

» Recognized the return of the remains of Lance Cpl. Jason Barfield to the Wiregrass with a moment of silence at 11 a.m.

» Approved application for a restaurant retail liquor license for Ichiban Sushi and Seafood Buffet, Dothan Pavilion.

» Approved application for a special retail liquor license for Holiday Inn, 2740 Ross Clark Circle.

» Entered into a subrecipient agreement with Alfred Saliba Family Services Center for the continuation of funding for administrative salaries, fringe benefits, and operational expenses under the Community Development Block Grant (CDBG) 2011 Annual Action Plan.

» Entered into similar subrecipient agreements with Dorothy Quick Activity Center, Hawk-Houston Boys and Girls Clubs, Wiregrass Boys and Girls Clubs, Exchange Center and Girls, Inc.

» Entered into a subrecipient agreement with The Ordinary People Society, for the continuation of funding to purchase food and supplies for the operation of Mama Tina’s Mission House under the CDBG 2011 Annual Action Plan.

» Entered into a subrecipient agreement with the DuBois Institute for Entrepreneurship for the provision of funding for garden supplies and related expenses for Aunt Katie’s Community Garden under the CDBG 2011 Annual Action Plan. Commissioner James Reading voted against the resolution.

» Entered into a subrecipient agreement with Wiregrass Rehabilitation Center for the purpose of purchasing equipment identified in the CDBG 2011 Annual Action Plan.

» Entered into a subrecipient agreement with Wiregrass Habitat for Humanity to support emergency housing repair and weatherization identified in the CDBG 2011 Annual Action Plan.

» Amended the CDBG 2010 subrecipient agreement with the Cultural Arts Center to allow for the refinishing of new and existing hardwood floors and any other related floor and construction improvements.

» Awarded a bid and entered into an agreement with the Landscape Worskshop, Inc., to install 170 Crepe Myrtle Trees within the median of U.S. Highway 84 East through a transportation enhancement scenic beautification grant.

» Approved a change order to the contract with Trinity and Associates Electrical, LLC to perform the city’s relighting project in the amount of $14,002.24, bringing the total contract cost to $251,992.93.

» Entered into mutual aid agreement with the Secretary of the Army to provide emergency services support between Fort Rucker and the City of Dothan.

» Entered into agreements with David Jones, Shaun McGhee and Kathleen Nemish to serve as public defenders for the City of Dothan for an annual salary of $24,000 each.

» Accepted a grant from the State of Alabama Mutual Aid System through the Houston County Emergency Management Agency in the amount of $41,333 to be used to purchase equipment for the Heavy Rescue and Regional Hazardous Materials teams.

» Entered into an agreement with Polyengineering, Inc., for repair and recoat of Twitchell Water Storage Tank #5 in an amount not to exceed $48,000.

» Entered into an agreement with HRE Dothan, LLC, for the installation and maintenance of water meters at 4371 West Main Street Lot #1, #2 and Building 4.