HomeMy WebLinkAbout(4) PR 23543: WATER AND SEWER BILL ADJUSTMENTS FOR VALERO SERVICE City of
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Texas
INTEROFFICE MEMORANDUM
WATER UTILITIES DEPARTMENT-ADMINISTRATION
Date: 12/28/2023
To: Ronald Burton, City Manager
From: Calvin Matthews, Director of Water Utilities
RE: PR No. 23543-Water and Sewer Bill Adjustments for Valero Service
Nature of the Request:
City Council allows approval of certain utility bill adjustments by Sections 110-98 and 110-99
of the Code of Ordinances of the City of Port Arthur. The Valero Services account listed in the
attachment of the proposed resolution needs adjustments because of malfunctioning equipment
or qualifying leaks.
Staff Analysis, Considerations:
This resolution includes an attachment, "Exhibit A", which lists the account that is
recommended for adjustment approval.
These customers have worked diligently with us to get the account resolved, have had all
leaks repaired, have decreased consumption, and have had their malfunctioned equipment
replaced when required.
Budget Considerations:
None.
Recommendation:
These adjustments are recommended by staff, per the customers' request that the City Council
adopt Proposed Resolution No. 23543, authorizing water bill adjustments for the listed
citizens/businesses by the City Manager.
P. R. No. 23543
12/28/2023 JL
Page 1 of 3
RESOLUTION NO.
A RESOLUTION APPROVING WATER AND SEWER
ADJUSTMENTS TO VALERO SERVICES UTILITY
ACCOUNTS DUE TO LEAKS AND/OR EQUIPMENT
MALFUNCTION
WHEREAS, Sections 110-98 and 110-99 of the City of Port Arthur Code of Ordinances
as it pertains to procedures for adjustment of water bills for residential and commercial
customers, and providing for publication; and,
WHEREAS, Sections 110-98 and 110-99 of the Code of Ordinances establish
procedures for adjusting water billings; and,
WHEREAS, the attached Valero Services water bill adjustment (Exhibit "A")
is presented for City Council approval as a result of repaired water leaks and/or
malfunctioned equipment having been replaced.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR:
THAT, Section 110-98 and 110-99 of the Code of Ordinances, the Council does hereby
authorize approval for water adjustments as detailed in the attached Exhibit"A"; and,
THAT, a copy of the caption of this Resolution shall be spread upon the Minutes of the
City Council.
READ, ADOPTED, AND APPROVED THIS day of
2024 at a Regular Meeting of the City Council of the City of Port Arthur, Texas, by the
following vote:
AYES: Mayor
P. R. No. 23525
12/28/2023 JL
Page 2 of 3
Councilmembers:
NOES:
Thurman"Bill" Bartie
Mayor
ATTEST: APPROVED FOR ADMINISTRATION:
Sherri Bellard Ronald Burton
City Secretary City Manager
P. R. No. 23525
12/28/2023 JL
Page 3 of 3
APPROVED AS TO FORM:
CS WleWI0)
Valecia Tizeno Calvin atthews, E
City Attorney Director of Water Utilities
APPROVED FOR AVAILABILITY OF
FUNDS
'C‘fndift.) 6g<Y-tal
Lynda B swell
Director of Finance
e-1/41741-, tt}dJ
Clifton Williams, CPPB
Purchasing Manager
EXHIBIT A
(Valero Services Utility Adjustments)
EXHIBIT A
WATER UTILITY ADJUSTMENTS
FOR CITY COUNCIL APPROVAL
NAME ADDRESS MOS ADJ. GAL.ADJ TOTAL ADJ. ADJUST.TYPE
(THOUS)
VALERO SERVICES 1801 S. GULFWAY $ 666,126.39 BROKEN METER
DR
TOTAL 1 $666,126.39
4
I
4
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VALERO ADJUSTMENT EXPLANATION
In February 2021, the winter storm Uri caused the 4" meter associated with Valero to stop functioning in
April of 2021. The meter was no longer registering water consumption and due to the lack of available
equipment during this time, we were unable to obtain the necessary parts to replace this meter.
In September of 2021, we began estimating the meter manually for approximately 4 months until the
system generated readings(estimates)took over. The system generated readings were done each month
until the meter was changed in our software system in June 2022.
Once we began receiving normal readings from the meter, we went back to April 2021 to correct any
issues with over billing during the time of estimation. Valero paid their full bills each month they were
estimated.
After we received 6 months of normal readings on the new meter, we used an average to apply to each
month the meter may have been over estimated.
We were contacted by Valero in April 2023 to start the process of adjusting their account. After months
of working on the adjustment, we met in person with Valero in September 2023 and the City and Valero
agreed to an adjustment amount of$666,126.39. The adjustment will be in the form of credit on their
account.
We met once again with Valero on December 1, 2023, to discuss the date the adjustment would be
brought before Council and a time frame to apply the credit to their account.
We are proposing that the credit be applied to their account beginning June of 2024 until dissolved. The
credit will start in FY 23-24 and will be completed in FY 24-25, approximately 8 months (4 months each
fiscal year).
Thank you,
Rhonda Stand berry
Utility Office Manager