1564+ bRD IAJ~N~C R~I°C~LE D
ORDINANCE NO. 1564
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AN DINANCE REPEALING ORDINANCE NO. 1069 F THE CITY OF
WEST EMPHIS, ARKANSAS; CREATING THE WEST MEMPHIS WATER AND
LIGHT OMMISSION, PROVIDING FOR THE WEST MEMPHIS WATER AND
LIGHT C MMISSION'S AUTHORITY TO OPERAT AND MANAGE THE WEST
MEMPHIS TER AND ELECTRIC UTILITY SYS EMS IN ACCORDANCE
WITH ENAC ENTS OF THE GENERAL ASSEMB Y OF THE STATE OF
ARKANSAS, D TO MANAGE AND OPERATE HE WEST MEMPHIS WASTE
WATER UTILI SYSTEM IN CONNECTION ITH THE WEST MEMPHIS
WATER UTILIT SYSTEM; AND FOR OTHE PURPOSES.
WHEREAS, the City Council of the/city of West Memphis,
Arkansas, hereby find ~ that, du.e tp~ increasing duties and
responsibilities of the ~blic U ility Department owned by the
City of West Memphis, Arkansas, for maintenance of mandated
environmental standards for
participation in competiti
er and waste water services,
elc~tric utility bulk power
markets, increased respons'bilitie~ under new Federal laws and
regulations concerning cl an air. and. lean water, it is
necessary for the City f West Memphis, Arkansas, to modify
management responsibil ty for the West Mem his Utility
Department; and
WHEREAS, it is ~he finding of the City Coun~il of the City
of West Memphis, kansas, that, in order to acco plish these
purposes, the du ies and responsibilities of the We t Memphis
Utilities Commi sion created by Ordinance No. 1069 sh uld be
assumed along ith other responsibilities described in his
Ordinance by, a Commission authorized by the Arkansas Gener 1
Assembly, specifically Act 115 of 1957, as amended; and
WHEREAS, the City Council further finds and determines that
the West Memphis Water and Electric Utility System within the
West Memphis Utility Department meets al.l of the qualifications
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of Act 115 of 1957, as amended, for creation of a separate state-
authorized water and light commission; and
WHEREAS, The City of West Memphis, Arkansas, therefore
desires to create a Commission to be known as the "West Memphis
Water and Light Commission" pursuant to the specific
authorization in Acts 1957, No. 115, as amended, A.C.A. Section
14-201-102, et seg.; nd
WHEREAS, in order t delineate the uthority, duties and
responsibilities of the We`stt Memphis ater and Light Commission,
a recitation within this Ordi ance f the specific
authorizations of State Law to West Memphis Water and Light
Commission is being made by the i y Council in this initiating
legislation to properly define he s ope and duties of the West
Memphis Water and Light Commi Sion. A itional.ly, this
Ordinance shall also be deem d the City Co ncil's specific
intent to make the delegatio of authority authorized by Act 115
of 1957, as amended, to the West Memphis Water and Light
Commission; and,
WHEREAS, the City Council further finds and determines that
the West Memphis Water Utility System has historically been
operated in connection with the West Memphis Water Utility i.n
the principal functions associated with personnel, financing of
system improvements, and establishment of .rates for service and
should., therefore, be operated by the West Memphis Water and
Light Commission in connection with. the West Memphis Water
Utility system;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL
OF THE CITY OF WEST MEMPHIS, ARKANSAS:
SECTION 1. Termination of Authority of the West Memphis
Waste Water Utility Systems. The authority of the West emphis
~, Utility Commi Sion with respect to the Water, Electri and
Waste Water uti ity systems within the West Memphi Utility
Department of the City established in Ordinance 1069 shall
terminate upon the ffective date of qualifica ion and
organization of the We t Memphis Water and Light Commission
created pursuant to this rdinance. /
SECTION 2. Creation of West Mem his Water and Light
Commission. There is hereby reated nder the specific
authority of Act 115 of 1957 of th General Assembly of the
State of Arkansas, as amended, A A. Section 14-201-102, et
seq., the "West Memphis Water nd Li t Commission" (Water and
Light Commission). It is th specific 'ntent to vest in the
Water and Light Commission 11 powers that: ay be granted it by
the City Council of the Ci y of West Memphis, kansas, under
the authority of Act 115 0 1957, as amended, whet er or not
specifically cited or ref rred to in this Ordinance.
Additionally, under the A thority of Section 9 of Act 11 of
1957, as amended, the We t Memphis Water and Light Commission,
if acceptable to it, may manage and operate the West Memphis
Waste Water Utility sys em in conjunction with its operation of
the West Memphis Water Utility System.
SECTION 3. Membership. In accordance with Act 115 of
1957, as amended, the Water and Light Commission shall consist
of five (5) citizens who are qualified electors of Crittenden
County and not less that thirty-five (35) years of age and s 11
have all o the duties, powers, responsibilities and ob igations
as set forth in Act 115 of 1957, as amended.
SECTION 4. Appointment. In accordance th Act 115 of
1957, as amende members of the Water and ght Commission
shall be appointe by the Mayor and conf' med by a two-thirds
(2/3) vote of the Ci y Council.
SECTION 5. Ter In acco dance with Act 115 of 1957,
as amended, the Water and fight ommission Members shall have
the following terms: the pe on appointed to position number
one (1) shall serve for a t rm 2) years; the person appointed
to position number two (2) shall s rve for a term of four (4)
years; the person appoint d to positi number three (3) shall
serve for a term of six (6) years; the p son appointed to
~ position number four (4) shall serve for a t rm of eight (8)
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years; the person appointed to position number five (5) shall
serve for a term of ten ( 0) years. The successor members shall
be appointed for a term o ten (10) years.
SECTION 6. Vacancies. In accordance with Act 11 of
1957, as amended, all vacs Gies occurring in the membership o
the Water and Light Commis ion due to death, resignation, or
other cause shall be filled by the Mayor appointing a person to
fill the unexpired term of t e membership so vacated, subject to
the approval of two-thirds o the City Council.
SECTION 7. Successors. In accordance with Act 115 of
1957, as amended, successors to members of the Water and Light
Commission whose terms have expired or who fill the unexpired
port~on of a term shall be appointed by the Mayor, subject to
the approval by a two-thirds (2/3) vote of the City ouncil.
~" SECTION 8. Qualifications. In accordance ith Act 115
of 1957, as ended, no member of the Water an Light Commission
shall hold any ective or other appointive office under the
municipal, county, state or federal gover ment while a member of
the Water and Light mmission. No me er shall be a candidate
for any elective office hile a mem r of the Water and Light
Commission. No member of e Wat r and Light Commission shall
be an employee of any private lity company.
SECTION 9. Oath.. In a co ante with Act 115 of 1957, as
amended, before entering upon their ies as commissioners,
each member of the Water and Light Commis 'on shall take the
oath prescribed by the Arkan as Constitution, Article 19,
Section 20.
"'rrs
SECTION 10. General owers. The City Counci of the City
of West Memphis acknowledge , confirms and hereby rati 'es the
delegation of authority to he Water and. Light Commission, s
authorized by Act 115 of 1 57, as amended. Therefore, upon i
qualification and organiza, ion, the Water and Light Commission
shall have full power, int r alia, to manage, operate, improve,
extend, maintain and cont act concerning the municipal
waterworks and distribution system (including, if accepted, the
operation of the West Memphis Waste Water Utility in connection
with the West Memphis Water Utility System) and the electric '~
light system and plant and shall have the full powers to mploy
or remove any and all exisi~ing employees and to fix, r gulate
and pay their salaries. Without limiting the genet ities of
the foregoing, the Water. and Light Commission is mpowered to
~~ acquit , construct and equip any and all facil ties consisting
of real operty, personal property or mixe property of any and
every kind ich in the judgment of the ter and Light
Commission are necessary or useful as part of or in connection
with the municipa waterworks and d' tribution system
(including, if accept , the oper tion of the West Memphis Waste
Water Utility system) and e e ectric light plant and system,
including, without limitation, acilities for the generation of
electric power and related tr nsmi ion facilities which may be
located within or without th corporat .boundaries of the city.
The Water and Light Commissi n is empower d to establish rates
for water and electricity a d may change the ates when the
facts so warrant. The Wate and Light Commissio is empowered
to execute long-term contr cts with utility service subject to
the power to change the r tes applicable to them as se out in
this Section.
SECTION 11. Finan in of S stem Im rovements. The Cit
Council of the City of W st Memphis acknowledges, confirms and
hereby ratifies the del gation of authority to the Water and
Light Commission, as au horized by Act 115 of 1957, as amended,
or as it may be amended, for financing of utility system
components. Therefore:
(a) The Water and Light Commission may borrow money and
issue negatiable evidences of debt therefor either in the form
of bonds or short-term notes, and it may execute such negotiable
notes or bonds to obtain the funds needed to carry out its
functions. '
(b) The Water and Light Commission may also ple e its
a
revenues including the income from operations, an it may
mortgage water orks or electric system property to secure the
payment of money orrowed.
(c} The issuan of bonds or notes s 11 be by a resolution
of the Water and Light ommission.
(d) The terms, condi 'ons, and a thority for the issuance
of bonds by the Water and Lig t Com fission have been and are
established from time to time by ct 115 of 1957, as amended, of
the General Assembly of the Stat of rkansas and all provisions
of Act 115 of 1957, a.s amended not sped ally referred to in
this Ordinance are incorporated by reference in this
Ordinance.
SECTION 12. Abolitio of Water and Light Commissio In
creating the West Memphis ater and Light Commission, the City
Council of West Memphis a knowledges that, in accordance with
Act 115 of 1957, as amen ed, the Water and Light Commission
established by this Ord nance cannot be abolished except by a
majority vote of the e ectorate of the City at either a special
election called for t at purpose or at a general election. No
abolition of any such Commission, whether pursuant to the
provisions of Acts 1957, No. 115, or otherwise, shall affect the
rights, properties or obligations held or incurred by the
Commission.
SECTION 13. Meetings. In accordance with Act 115 of
1957, as amended, and the Arkansas Freedom of Information Act,
all meetings of the Water and Light Commission shall be open t
the pu is and all rules, regulations and records of the
Commissio shall become public records.
SECTION 14. Rules and Regulations. In accord ce with
Act 115 of 19 7, as amended, the Water and Light mmission
shall adopt such rules and regulations as it de ms necessary and
proper for the ope ation and management of t e water works and
distribution system a d electric light pla t and system, and it
is empowered to change t rules and re ulations at any time the
Commission desires to do so. he Wa r and Light commission may
obtain prohibitive and mandatory junctions against any person
for refusal to comply with the r gula 'ons of the Commission.
SECTION 15. Adoption of xistin~ Contr is Notes, Bonds
Purchases, _SUpplies and Servic s. In accordance wi Act 115 of
'~,~,,,
1957, as amended, the Water a d Light Commission shall ke
office subject to any previo s contracts for bonds or notes,
purchase of supplies and services performed, all of which are
ratified and confirmed.
(and tion
with the Water Utility System) and elect r.ic utility properties
of the West Memphis Utility Department, whether real, personal
or mixed including any liquidated or unliquidated legal claims
SECTION 16. Transf r of_Propert~. All water utility
if accepted, the W ste Water Utility System in connec
are hereby transferred to the Water and Light Commission upon
the qualification and organization of the Water and Light
Commission. The Finance Director of the City of West Memphis,
Arkansas, upon the qualification and organization of the Wat r
and Light Commission shall promptly (within thirty (30) ys)
i
transfer to the Water and Light commission all records of the
West Memphis Water, Electric and Waste Water. Utilit Systems
maintained b him under the authority of Section. 0 of Ordinance
#1069. All othe' duties of the Finance Direc r regarding the
Water, Electric., an Waste Water utility sy ems of the City of
West Memphis shall to urinate at that ti.me-
SECTION_17. Surpl Funds. In cordance with Act 115 of
1947, as amended, any surplus emain' g after expenditures
authorized by Act 115 of 1957, as ended, not to exceed 4.75%,
shall be made available by the We t M phis Water and Light
Commission to the City of West emphis for ny lawful municipal
purpose.
SECTION 18. Waste Wate Utility_S~tem. There is hereby
assigned by the City of West Memphis to the West Memphis ter
and Light Commission with r gard to its operations of the West
Memphis Waste Water Utilit system in connection with the West
Memphis Water System, if ccepted by the West Memphis Water and
Light Commission, the co ract dated the 4th day of May, 1990,
by and between the West emphis Utility Commission and
Operations Managements, nternational, Inc., for operation of the
West Memphis Waste Water treatment facilities.
SECTION 19. Reser_v_ation of__Ci~Council .Authority as to
Rates _for_Service and Financing of S~stem_Improyements.
Notwithstanding Sections 10 and 11 of this Ordinance, the City
Council of the City of West Memphis, Arkansas, in accordance
with applicable law, and recognizing that Act 115 of 1957, as
amended, is no an exclusive managerial and operational
authority for mu icipally owned water and electric utility
systems, shall app ove or. disapprove changes in rates f r water
and electric service under Section 10 of this Ordina ce within
30 days of Water and Light Commission. action, and hall approve
or disapprove issuance o debt associated with financing of
system improvements under. ection 11 of this O dinance within 30
days of Water and Light Commission action.. he City Council
specifically finds and determi es that th retention of such
authority is consistent with fin ncing equirements under
otherwise applicable law, includin t e Constitution of the
State of Arkansas, and that the Ark ns s Statutory and
Constitutional Referendum and Init ative ovisions as applied
to municipally-owned utility rate for servic and issuance of
debt for system improvements re sires "municipa.l c cils" to
either refer to the electorate easures to change munici lly-
owned utility rates or to enac measures which commence the
period of time allowed. for the gathering of signatures for the
referral to the electorate of measures changing municipally-
owned utility rates and for the issuance of debt for system
improvements. Should the City Council of West Memphis fail to
approve of deny Water and Light Commission's measures for
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changes in rates for utility service under Section 10 or
issuance of debt for system improvements under Section 11 -the
Water and Light Co fission measures shall be deemed proved on
the 31st day after Water and Light Commission app oval.
..
SECTION 20. Re e ler. All Ordinances o parts of
.,,,~, Ordinances in conflict he ewith, are hereby repealed. Ordinance
No. 1069 is repealed upon e effective ate of qualification
and organization of the Water. and Lig Commission created by
this Ordinance.
SECTION 21. Severabili~. any provision of this
Ordinance or the application th reof any person or
circumstance is held invalid, uch invali ity shall not affect
other provisions or applicat'ons of the Ordi nce which can be
~ ~
given effect without the in alid provision or ap ication, and
to this end, the provisions of this Ordinance are declared to be
severable.
PASSED AND APPROVED this 17th day of December, 1992.
.ems av~-~
KEI H M. INGRAM, MAY R
ATTEST:
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DAN CRAFT, Y C ER
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