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A resolution authorizing The Metropolitan Government of Nashville and Davidson County to enter into an agreement with Madison Suburban Utility District for reading and maintaining water consumption meters and disconnecting water service.
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WHEREAS, The Metropolitan Government of Nashville and Davidson County (“Metro”) provides sewer transportation and treatment services to Madison Suburban Utility District (“MSUD”) customers; and,
WHEREAS, to appropriately bill customers and respond to customer service inquiries, Metro desires to enter into a cooperative agreement with MSUD under which MSUD proposes to provide and Metro proposes to pay for MSUD’s monthly water consumption reading for those customers with Metro sewer service; and,
WHEREAS, Tenn. Code Ann. § 12-9-101, et seq., ("The Interlocal Cooperation Act") authorizes political subdivisions of the state to enter into cooperative agreements by resolution of the local governing body; and,
WHEREAS, it is in the best interest of the Metropolitan Government of Nashville and Davidson County to enter into said Agreement with Madison Suburban Utility District.
NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. That the Agreement by and between Madison Suburban Utility District and The Metropolitan Government of Nashville and Davidson County, a copy of which is attached hereto and incorporated herein, is hereby approved, and the Director of Water and Sewerage Services is authorized to execute the same.
Section 2. That this resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Agenda Analysis
Analysis
This resolution authorizes the Metropolitan Government to enter into an agreement with Madison Suburban Utility District (“MSUD”) for reading and maintaining water consumption meters and disconnecting water service.
Pursuant to the terms of this agreement, MSUD agrees to read the water consumption meter of each of Metro’s water service customers. MSUD will submit these readings to Metro and Metro will calculate and individually bill the customers using these meter readings provided by MSUD. MSUD will notify Metro of new accounts, closed accounts, or account changes within five business days. MSUD will promptly notify Metro if water consumption meters within the scope of this agreement are found to be malfunctioning or inoperable. Each month, Metro will pay MSUD $0.67 per water meter reading data provided to Metro for its use in sewerage billing. Metro will add an annual inflation amount to this fee after the first year and in each following year during the term of the agreement. Metro will also bill and collect reconnection fees from customers and will remit these fees the MSUD.
The term of this agreement is 10 years, beginning on October 1, 2023. Either party may terminate this agreement upon 180 days written notice to the other party.
Tenn. Code Ann. § 12-9-101, et seq., authorizes local governments in Tennessee to enter into cooperative agreements by resolution.
Fiscal Note: Metro would pay Madison Suburban Utility District (MSUD) a basic fee of $0.67 per water meter reading provided for monthly sewer billing. Metro would also bill and collect reconnection fees from any water customer service when the disconnection and reconnection was made at Metro’s request. The reconnection fees, based on current and future adopted fees, will be remitted to MSUD.