Payment by city made for February winter weather event
City commissioners discussed the authorization of an Extraordinary Event Recovery charge payment from Victory Electric stemming for the winter weather that took place in February 2021.
According to city officials, Victory Electric incurred an increase in wholesale power costs due to the high demand for natural gas.
"We had the opportunity to pay off the charge over a 24-month period or just pay it off," city manager Nick Hernandez said. "We have $3 million in reserve funds the city has to have for this type of emergencies, so our recommendation is to get approval from the commission to pay for the full balance of $371,551.06. We do have funds available."
By going with the pay off in full, according to the city had it opted for the pay off over the 24-month period an interest rate would be attached to the payments. By going with the pay off in full, there would be no interest with the payment.
Configuration with the charges was based on electric usage between Feb. 15-19.
Commissioners approved the payment with a 4-0 vote. Commissioner Brian Delzeit was not at the meeting and did not vote.
City commissioners approved a resolution to obtain financing for the construction project for the 6th Avenue and Iron Road project currently in development.
According to city officials, the estimated cost for the project will be for $2,166,866.40.
Part of the project will be for new housing developments going into the area north of Dodge City.
"This resolution allows the city to obtain financing in the form of General Obligation Bonds for the 6th (Avenue) and Iron Road, more specifically the Iron Road Project," city finance director Nicole May said. "This project was approved at the March 15 city commission meeting. This is part of the Candletree No. 6 subdivision and this will be paid for with Rural Housing Incentive District proceeds."
With the passing of the resolution, the city will move forward with the project.
Commissioners approved the resolution with a 4-0 vote.
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