Bonds may be used for Caryonah Dam repairs

Area News

October 28, 2009

By Jim Young / jimyoungreporter@gmail.com The Crossville Chronicle Wed Oct 28, 2009, 12:21 PM CDT

A series of unbudgeted expenses from the water/sewer fund of the city with possibly more on the horizon makes Crossville Mayor J. H. Graham concerned and seeking possible bond funding to make sure adequate funds are available.

Mayor J. H. Graham requested an item on last week's called meeting agenda for the council to discuss concerns he had about cash flow in the water and sewer fund with recent unbudgeted expenses. Graham said that while the reserve fund has about one year of expenses in it currently, normally it is almost twice as much. With several big water projects and upgrades for the wastewater treatment plant in the works, Graham asked council to give him authority to seek $2 million in bond if necessary.

The cost of repairs to Caryonah Dam was a particular concern to Graham. The dam has partially failed and expensive pumps are currently keeping the water level down until repairs can be made. The city inherited the dam in their merger with Catoosa Utility District.

Councilmen Jesse Kerley said he felt the dam and lake should be returned to the Garrison family if possible.

The total cost of repairs is unknown but estimates run $500,000 or even higher. Bids on the project will be open in mid-November and in the meantime city attorney Chadwell will research and write an opinion about the agreement originally made between Catoosa and the Garrison family and its legal ramifications for the city.

Council members approved authorizing the mayor to investigate possible bond financing if necessary either through the TML bond fund or from the city's general fund. Tax money can not be used directly for water and sewer expenses under state law so any funds would have to be paid back if used from the general fund.

Council members apparently changed their mind on a decision earlier this month to approve a new franchise agreement with Middle Tennessee Natural Gas (MTNG) utility district. The original franchise agreement signed in 1955 expired in 2005 and while council approved the first reading at the regular meeting earlier in October, the council said would like to see local representation on the MTNG board. Because of the way the utility district was originally formed the charter says that each board member must come from the same county as the member they are replacing. MTNG representative Michael Corley told the council at the earlier meeting it would require a private legislative act to change the make up of the board, something the current MTNG board may not support according to Mayor Graham.

Mayor Graham made a motion to approve the second reading but the motion died for lack of a second. The council questioned the issue of MTNG operating without a franchise saying they haven't had one for the last several years and city attorney Chadwell said he would look into it.

After the motion on the second reading of the franchise agreement failed approval, Councilman Duer joked, "Does this mean they are going to cut off our gas?"

Considering that Cumberland County is the second largest customer in the district's service area that appears unlikely.

Mayor Graham announced that a video of the Crossville Airport's 75th anniversary open house and fly has been posted on the city's Web site under the airport section. The city's Web site can be found at www.crossvilletn.org.

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