Did last week’s election on future utility rate increases really determine an outcome?

Did last week’s election on the City of Guthrie’s proposition have any merit when it comes to future sewer and water rate increases? According to the City, no. It’s the City’s belief the election will not have an impact on rate increases because the city council does not overlook rate increases.

Last Tuesday, voters said yes (783-529) on the ballot to change the City’s charter, which would allow registered voters inside the city limits to decide if rate increases were necessary or not for utilities. However, the Guthrie city council does not enact water and sewer increases. Related article: Guthrie voters say yes to proposition that allows citizens a say in utility rates

So, who does? The Guthrie Public Works Authority (GPWA) does.

“Guthrie Public Works Authority and the City of Guthrie are two distinct legal entities with two different areas of responsibility,” City Manager Bruce Johnson said in an email to Guthrie News Page. “The City of Guthrie is responsible for more purely governmental services (i.e. police, fire, ems, streets, parks, etc.) and the GPWA is an enterprise trust more closely related to business type services (i.e. water, sewer and sanitation).”

Looking at last week’s ballot, it states in part, “This section shall constitute a limit on the legislative power of the City Council as to the matters included herein, and not otherwise.” View Ballot

The proposition never mentioned the GPWA.

The GPWA is made up of seven trustees, which are the same exact seven elected officials who sit on the city council.

“The City of Guthrie does not enact water and sewer rate increases. Guthrie Public Works Authority is the entity that enacts water and sewer rate increases,” Johnson said.

Johnson continued, “It is the City’s and GPWA’s belief that the Guthrie Public Works Authority has every right under Oklahoma State Statutes to continue to set utility rates in order to have the highest quality of services to the customers of GPWA.”

In January 2012, the GPWA filed a petition for declaratory judgement against former council member Patty Hazelwood and Karen Schandorf, who filed an initiative petition with the City of Guthrie on September 7, 2008 for the proposed ordinance change with the City of Guthrie. Related article: GPWA files petition against Councilwoman

City Attorney Randel Shadid in 2012 told Guthrie News Page the GPWA is a separate legal entity from the City of Guthrie and that the GPWA is responsible for running the utility enterprise businesses of water, sewer and solid waste. Shadid went on to say the initiative petition filed by Hazelwood and Schandorf is applicable only to the City of Guthrie and would have no impact of the operations of the GPWA. Related story: Appeals court overturns decision on Guthrie’s water and sewer rate increases

Hazlewood told KOCO, “the people voted. Is anybody going to listened to that?”

Another citizen said it should not matter if it’s the city council or the GPWA are separate entities. “A vote was held and the people spoke. It should not matter because the same group of elected officials are making the decision.”

The ongoing court case is now approaching eight years and appears will not be coming to an end soon. The next step will determine if the GPWA is a separate legal entity and can set rates.

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1 Comment on "Did last week’s election on future utility rate increases really determine an outcome?"

  1. It depends on whose ox is being gored. If the Council and the water board are the exact same people, then the cost of the 8.22.16 election was wasted money.

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