The Starkville Board of Aldermen tabled a measure Tuesday that would expedite drainage improvements in the city.
More than an hour of heated discussion centered around Mayor Parker Wiseman’s push to establish a monthly stormwater drainage utility fee — $2.50 for residents and $5 for businesses — to help offset a million-dollar gap between expected revenues and project costs over the next 10 years.
Aldermen had agreed in a previous meeting to let City Attorney Chris Latimer research the legality of the proposed fee, as Wiseman believed Starkville would be one of few, if not the first, municipality to institute a fee.
Latimer concluded that under state statute, the law is in favor of Starkville proceeding with the fee. Latimer also cited a pair of attorney general opinions favoring imposing a flat-rate fee.
“Two AG opinions state that a flat rate for sewage usage is permissible so long as there’s no profit and it’s reasonably calculated not to produce a surplus,” Latimer said. “I can’t say this is a legal lock, but it will stand up if challenged.”
Ward 6 Alderman Roy A. Perkins challenged Latimer’s conclusion and interpretation of the attorney general opinions, saying the fee doesn’t meet necessary criteria because it’s impossible to calculate an exact amount of stormwater drainage each resident uses.
Perkins lambasted the fee as nothing more than a new tax.
“I did not see any law in those opinions that would give legal authority, in my opinion, for the board to create and establish an impact fee through an enterprise fund for stormwater diversion,” Perkins said. “Once you create an enterprise fund, that’s to be used for the purpose. You can’t use it to cover and pay for things that should be paid for out of general fund.
“I want the Carver Drive ditch done, but I’m not voting for this.”
Wiseman rebutted that the law is “clear and unambiguous,” considering the attorney general had already opined that municipalities have the authority to regulate fees.
Wiseman challenged Perkins’ notion that each citizen wouldn’t benefit from the fee, though it wouldn’t necessarily address repairs near their home.
“I beg to differ on the benefit,” Wiseman said. “You receive a benefit every time we have a rain event in this community.”
In November, Wiseman estimated the fee would generate $400,000 in new revenue each year, which he said would give flexibility to finance drainage projects at Carver and Maple drives and Colonial Hills — the three costliest projects on the city’s drainage improvement list. Wiseman said the fees would leave approximately $200,000 a year for 10 years of debt service and $200,000 per year to complete the remaining $1 million in storm sewer projects over the next 10 years.
“It was my absolute best effort after meeting for hours with our staff determining how much costs could be cut,” Wiseman said to Perkins. “You urged me to show leadership in this. I discovered over 500 communities in America have made this a utility fee.
“It is a disservice to our constituents when we come in week after week (talking about) how we can’t get these funded. This was my heartfelt best effort.”
The board will seek an attorney general’s opinion on Starkville’s case, per Alderman Richard Corey’s motion. Wiseman said the only downside to seeking the opinion is it would take approximately six weeks to receive it.
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