by Leslie Lytle, Messenger Staff Writer

Advised by the Tennessee Association of Utility Districts (TAUD) the town was losing money because its tap fees were too low, the Monteagle City Council planned to vote on an ordinance increasing tap fees at the Sept. 26 meeting. Questions about the whether the ordinance might cause still more revenue loss postponed the vote. Additional questions arose about taps for Accessory Dwelling Units (ADU), postponing the expected vote on an ordinance allowing ADUs as well. The council approved one certificate of deposit investment and deferred a vote on a second CD due to possible revenue needs. The council also heard a report on codes enforcement action for violations at Rocky Top Truck Stop.

Alderman Nate Wilson pointed out by the proposed tap-fee ordinance, three-fourths inch taps would now be $300 cheaper outside the city limits, since the new ordinance did not have different fees for inside and outside the city limits, as is currently the case. Utility manager John Condra confirmed the number of taps installed inside and outside the city limits was “about equal.” Alderman Wilson said, that being the case, the tap fee increase would not offset the revenue loss from higher tap fees for customers outside the city limits. Wilson also argued, “to be fair” and in keeping with TAUD’s advice, the town should have a single commercial tap fee, based on an average like the residential fee, rather than a fee assigned according to the cost of each installation.

The council will revisit the tap fee ordinance at a special called meeting Tuesday, Oct. 18, at 4:30 p.m.

When the council took up the proposed ordinance allowing ADUs, planning commission member Janet Miller-Schmidt noted the ordinance left unresolved questions stemming from whether an ADU was charged commercial or residential water-use rates. By the proposed ordinance ADUs, dwellings smaller than the principal residence, can be detached to the primary residence or attached. City Recorder Debbie Taylor said, “If it’s rented its considered commercial.” The ordinance, however, did not stipulate ADUs needed a separate meter and tap, allowing for a different rate. The council postponed the vote to seek clarification.

The council voted to roll over a $1.2 million CD to a substantially higher yielding CD (3.5 percent) for 36 months. Alderman Wilson and Alderwoman Dorraine Parmley, however, both had reservation about also investing $677,000 in money market funds in a 36-month CD, given the need to refurbish both water tanks. Mayor Marilyn Campbell Rodman said the town had $2 million in the checking account, and TDEC stipulated the town had until 2025 to complete refurbishment of the first tank and begin work on the second tank. City engineer Travis Wilson initially estimated the total cost at $1.2 million, but he expected prices to increase as much as 30 percent. Rodman will investigate the rate on an 18-month CD. The council will revisit the CD investment at the Oct. 18 meeting, as well.

Codes enforcement officer Travis Lawyer said Rocky Top Truck Stop had been given 120 days to replace dead shrubbery and reverse the fence installed with the wrong side facing out. Removal of junked vehicles must begin in 30 days, Lawyer said. Rodman noted if the owner failed to comply, city court would take up the violations.

Alderwoman Jessica Favaloro announced Trunk or Treat Thursday, Oct. 27, at Monteagle Elementary School, from 5-8 p.m., with “treats” distributed both inside and in the parking lot. Proceeds from a hotdog supper at 6 p.m. will fund a year-end celebration.

A resident asked why residents not hooked up to city sewer were charged for sewer service. Alderman Wilson explained residents were charged if sewer service was available. Rodman noted the resident bore the cost of connecting to city sewer. Asked about expanding sewer service, Rodman said, “That’s something that could be planned out, once we repair what needs to be repaired.” Engineer Wilson said the town had received an ARC grant for sewer work and, also, hoped to receive American Recovery Plan money for sewer rehabilitation.