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SMITHVILLE –– Affordable housing and refunds for fees collected to support the Volunteer Fire Department took center stage during a recent City Council meeting featuring a crowded agenda.
The Oct. 13 session also included plans to replace utility meters and a transfer of water infrastructure.
The meeting also revealed broader tensions over how Smithville should manage development, improve infrastructure and balance public needs against costs.
Rents on the rise
Though the council delved into a detailed discussion about affordable housing, members took no action.
According to Councilman Brandon Dunham, the city should address the imbalance between local earnings and housing costs. He added rental housing in Smithville tends to be more expensive than in Austin.
“Whenever I first made the decision to move back to Smithville, I was living in Austin, close to downtown. It was more expensive for me to rent in Smithville than it was to rent in Austin and so that’s ultimately why I decided to buy a really cheap house,” Dunham said.
He described the experience as a wake-up call because income for restaurant workers and others is significantly lower in Smithville.
“You are constantly in a position where you can’t afford to live here,” Dunham said.
VFD fees
In other business, the city will not refund disputed fees collected to support the Smithville Volunteer Fire Department; residents have questioned the charges and sought refunds.
City Manager Trey Jobs reported on discussions with the city attorney, adding the fee had not originally been established correctly. The city subsequently made the fee voluntary so residents could opt out.
However, officials said the city’s current position is not to refund previously collected money.
Jobs explained the proceeds had been used to support the VFD’s operations, administrative expenses and emergency response services. He also indicated the city had considered whether residents followed the necessary procedures to challenge the fees.
“There was some discussion with the attorney when the fee had to be protested and in what manner you make it legal to recover and make a claim and that was not done by the majority of the folks that requested the funds back,” Jobs said.
Earlier in the meeting, council members considered a revised interlocal agreement with the VFD.
The proposed changes included quarterly response reports, increased financial oversight, annual inventories of city-owned equipment, verification of nonprofit status and provisions for terminating the agreement over financial misconduct or other violations.
The discussion also referenced a VFD budget amount of $131,700.
Utility meter system
Meanwhile, council members unanimously authorized the city manager to negotiate a contract for a new automated utility meter reading system. The contract still requires final approval, funding and legal review.
The concern was that aging equipment has made meter readings and billing more difficult.
A proposed advanced metering system through Techline by deploying Aclara devices would provide an automated solution for electric meters, with the potential to integrate existing water meters.
The presentation identified an initial proposal of $1.36 million, with an estimated five-year cost of about $1.5 million.
Council members discussed the financial implications of replacing equipment and emphasized the need for compatibility with the city’s billing systems.
The project could improve utility billing accuracy, reduce manual work and address infrastructure problems, but would require a substantial investment, officials said.
Aqua Water Supply Corp. agreement
The council also approved agreements concerning the transfer and management of water infrastructure involving Aqua Water Supply Corp.
The arrangement covers 24 customer connections and involves a $100,000 payment, divided into two $50,000 installments.
Under the interim service agreement, Smithville would maintain and repair the affected infrastructure while Aqua WSC continues billing customers under its existing rates.
The arrangement is intended to continue until the Public Utility Commission of Texas approves the transfer. Officials explained the process could take considerable time, depending on regulatory approval.
The council also approved a separate agreement covering the purchase and transfer of the water-service infrastructure.
