Audit and Sewer Rate Increases Dominate the Natchez Council Meeting – A Financial Emergency

Steven McKay of Rozier, McKay and Willis

The regularly scheduled meeting of the Village of Natchez Council held Thursday, February 6 reflected the existential issues facing the village.

Before addressing the ordinance raising the sewer rates, the council heard from special guest Mr. Steven McKay of Rozier, McKay and Willis of Alexandria who presented the village’s Audit of Financial Statements for the year ending June 20, 2023. There were eight findings in the audit which can be found in the document attached to the end of this article; Page 29.

In presenting the audit, Mr. McKay stated that the village was “in financial emergency” and that it “will not have finances to continue for the next 12 months.” He further stated that, absent one-time American Rescue Plan Act (ARPA) money, the village would have run out of funds already.

The council then approved the minutes from the regular meeting of January 2 and the special called meeting of January 16.

The council then took up the embattled ordinance 012-2024 that proposes raising sewer rates to $40.00 per month for residential customers and to $62.00 per month for commercial customers. Mayor Hoover asked the council clerk to read the letter sent to Mayor Hoover by Ms. Traci Watts of the Office of Community Development stating that the state would recoup the $1,546,316.00 grant for the new sewer plant should the council fail to raise the rates. Mayor Hoover stated that after conversations with state officials, the village will start shutting off water to customers with unpaid bills. She further stated that illegal hookups to the sewer system would have to be disconnected and legitimately added to the system. She sent final warning letters to the delinquent customers and the shutoffs will commence in March.

When the ordinance came up for a vote, Alderwoman Sarpy stated she would vote for an increase contingent on two things. The conditions were: that the increase be lowered to $37.50 per month for residential customers and that the village get a contract from the state DOTD to cut the grass along the state highway going through the village. Alderwoman Sarpy stated that the contract would bring in a bit over $3,000.00 to the village.

After some considerable discussion during which it was pointed out that the money gained from the contract with DOTD was small in comparison to the village’s debt, particularly should it face recoupment of the sewer plant grant, the village would face difficulties in cutting the grass given the personnel and equipment constraints of the village, and after expenses not all of the contract price would be realized, the council voted to table ordinance 12-2024 until the regular meeting on March 6.

The Full Audit is provided for your review:


[print_button]