howeenterprise.com
Monday, August 8, 2016
Page #11
Stinky situation; Howe's sewer history with Sherman City sewer quickly became a topic at the City of Howe's budget workshop last Tuesday night. Mayor Jeff Stanley told the council that heavy rainwater (that infiltrates the sewer lines) has created unusually large invoices from the City of Sherman for the sewer treatment. "Our normal bill from Sherman is a little over $22,000 and recently they have been $60,000." said Mayor Stanley. "This month should be closer to normal but we haven't had many of those in the last couple of years (due to the amount of rain). Although the city is planning to adjust their waste water contract services budget expense from $310,400 to $450,000, they are not passing the bill on to the citizens. The adjustment would result in roughly $10-$15 per house.
Shephard says that Howe pays about $3.20 per unit which is what a commercial business in Sherman would pay. Councilwoman Debbie Lowery asked if there were any way to hire a third party to leverage the contract with Sherman to help manage the issue. Shephard told the council that he has sat down many times with Sherman officials and the contract always gets in the way of common sense. "The last time we hired a mediator, it cost us $70,000 and we're in the contract that we're in now." said Mayor Stanley.
According to a 1968 Howe Enterprise edition, the City of Howe was initially approached by the City of Sherman during the time Sherman was trying to obtain "We're not asking for an increase a grant to enhance the sewer from the citizens." City treatment plant on FM 1417. In Administrator Joe Shephard told order for Sherman to qualify for the the council. "We're just using grant, they needed Howe's funds from other places to cover population to qualify. In the that. We're not increasing the original 1968 agreement, Sherman rates." provided Howe citizens waste water treatment at a maximum of The city uses a FLO-DAR® $0.14 per 1000 gallons. In March system to measure the amount of of 1986, Howe was paying a flat waste water that leaves Howe and rate of $487.50 per month, or $0.60 goes to Sherman for treatment. cents per customer. According to Councilman Sam Haigis suggested the original 1968 contract, Howe to use an algorithm to measure the was limited to 250,000 gallons per rainfall and make adjustments with day. Due to rain infiltration, the City of Sherman to not pay for Sherman maintained that the levels the excess amount of water that of infiltration were as high as enters the sewer system. Mayor 600,000 gallons and in March of Stanley explained to Haigis that 1986 filed suit against Howe for Howe's algorithms are always breach of contract. going to be different than Sherman's algorithms due to Sherman cited expansion in both variance calculations. cities from 1968 to 1986 along with the Clean Water Act of 1972 for "The FLO-DAR® has about a plus the need to improve their sewer or minus of 15 percent." said system. At the time of the lawsuit, Shephard. "Obviously, they're Sherman was in the middle of an going to plus it 15 and we're going $18.5 million expense updating to minus it 15. As inaccurate as it their facility. is, it is the most accurate way of measuring what flows." said Former Howe City Administrator Shephard. "Speaking with other Dick Britton told the Howe city managers and people that deal Enterprise in March of 1986, with this sort of thing, it's not "Sherman's suit is based on unusual for all cities or any city to distorted fact and is no more than a have 60 percent of their rainfall to devious attempt to weasel out of end up in their sewer system. our longstanding agreement." We're not unique in this. We're doing everything we can to Britton noted then that Howe minimize the infiltration, but we'll offered Sherman to increase its never be able to stop it. You just monthly fee by $500 per year for can't do it. I was concerned that four years, making their annual we were way above the scale on payments jump from $6,000 to this sort of thing, but we're not. $25,000 per year. Sherman, he The more it rains, the higher our said, refused to consider the offer, sewer bills are going to be." instead wanting $60,000 to $70,000 annually from Howe.
Howe hired John Hill, a Sherman attorney, to represent the City of Howe in the case and soon afterwards, Jerry Kirby resigned his seat as Mayor of Howe leaving Mayor-Pro Tem Marion Allison in the seat until an election. Ray Bledsoe was eventually elected mayor in April of 1987. City Administrator Dick Britton soon left. Howe had filed a counter-suit on October 10, 1986 stating, among other things, that the contract was part of a series of agreements
which give Howe part ownership of the sewer treatment plant. Howe also sought damages if the contract was declared void. "I sat in that court room for five days when Sherman sued us." said Bledsoe. "The judge got up and said, 'I'm going to dismiss the jury. He said that contract is not worth the paper it's printed on' (referring to the 1968 contract). The judge instructed Howe to pay Sherman for sewer and for continued on page 13
