Hydro royalties hearings scheduled

Published 12:04 am Thursday, May 28, 2015

VIDALIA — The City of Vidalia has scheduled two public hearings to discuss the city’s use of hydroelectric royalty funds.

The hearings — scheduled for two successive Tuesdays — will be 5 p.m. June 2 and 6 p.m. June 9, both at Vidalia City Hall. The second meeting will coincide with the city’s regular board of aldermen meeting.

The scheduling of the hearings follow a meeting with the state bond commission last week in which bond commission members instructed the city to have the hearings so it would be in compliance with its hydroelectric royalties ordinance.

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The Sidney A. Murray Jr. Hydroelectric Station generates the royalties.

The commission wanted the city to be in compliance with the ordinance before making a final decision on the Square on Carter project, the proposal for which discusses the possible use of hydroelectric funds.

Vidalia Ordinance No. 588 sets priorities for how royalties from the hydroelectric fund are to be spent. It allows the city to spend hydroelectric royalties “for any lawful purpose” after satisfying certain conditions, including:

4That the mayor and board of aldermen annually compile a schedule of projects on which the funds will be spent, have it published and the public notified that the details are available for inspection.

That inspection includes, per the ordinance, two public hearings to discuss the proposed projects and receive public input about possible alternative uses of the funds.

4After the public hearings, the aldermen have to approve the expenditures for projects “deemed to be in the best public interest.”

Those conditions are laid out in priority No. 7 in the ordinance. Priority No. 5, however, allows for the rebate of up to half the money left in the hydroelectric fund to customers after the city meets the first four priorities in the ordinance.

Those include:

4Paying city obligations for participation in the hydroelectric plant

4Paying previous debt incurred under priority No. 7 proceedings

4Required transfers into a Reserve Fund

4Required transfers into the Town of Vidalia Utility Fund every month the municipality’s normal cost of electric power exceeds 38 mills per kilowatt-hour.

Members of the bond commission said their readings of the ordinance means the rebate has to be discussed with residents before the funds can be spent on new projects.

City officials were told they could return to the bond commission for its June 18 meeting after meeting the requirements of the ordinance.

Mayor Hyram Copeland did not return a phone message Wednesday.

Those who cannot attend the public hearings can submit written comments in advance to Town Clerk Vicki Byrnes at P.O. Box 2010, Vidalia, LA 71373.