The City of Meridian is one step closer to a new water meter system.

The City Council on Tuesday morning approved a financing bid from Texas Capital Bank for a bond amount not to exceed $9,991,214. 

Nnamdi Thompson of Government Consultants, Inc., told the council that the interest rate for the bond would be 4.2086 percent.

Out of three bids, Texas Capital submitted the only “conforming bid,” he said.

This comes a few months after the council in October 2017 approved an energy services contract with McNeil-Rhoads for services that include the replacement of about 14,000 water meters and installation of LED lighting in city-owned buildings.

The project will also include heating, ventilation and air-conditioning work at some city-owned properties.

Last month, Meridian Public Works Director Hugh Smith said it will be a few months until “actual work” begins, as there are a few more steps left in the process, including product selection.

Smith also said the project will take an “from nine months to over a year” to complete.

“We will get a network in place, test the infrastructure, install the software and start the process,” McNeil Rhoads president Chris McNeil said in October. “Once we get started, we can do about 100 to 150 [meters] a day.”

McNeil said the new technology will enable city employees to detect issues such as leaky faucets and toilets by running a daily report from the office. The new technology will also eliminate the need to read every meter on site.

Last month, Tray Hairson of Butler Snow said the city would make its first interest-only payment in March 2020, with monthly principal payments to follow.

In the meantime, the city plans to set aside “reserve money” to prepare for the payment schedule.

The council also approved an order establishing a “Neighborhood Lot Program” to enable citizens to purchase vacant and/or abandoned properties.

Ward 4 City Councilwoman Kim Houston said that with dozens of properties available, some lots would be available for as little as $100 to $500.

“It’s going to be very affordable,” Houston said. “If you live next to the property, you get the first dibs. Then it’s the block — then the street.

“We’re trying to give the people in the neighborhood the first opportunity to get their hands on these lots.”

Houston said the idea is to get the properties back on the tax rolls, which will generate more tax revenue and relieve the city of its maintenance responsibilities.

In a previous report with The Meridian Star, Houston said back taxes and other fees associated would be waived, allowing the new owners to start fresh with their new properties. 

“The idea is to sell these abandoned lots that the city owns, beginning with the people that live next door, giving them an opportunity to purchase the lots for a little of nothing,” she said. “Then we would move to people on the street, then move to the people within the city and Lauderdale County — non-profits and so on.”

Houston said a two-year reverter clause would be placed on all sales to ensure that the new owners pay their taxes and maintain the property. If they are not compliant, the city can recover the property within that two-year period.

The council also approved the appointments of Rhae R. Darsey as Municipal Judge Pro Tem and Laura Carmichael as Community Development Director.

In other action, the council also approved:

– An order authorizing donation of chain link fencing from Meridian Arts & Entertainment Experience

– An order determining certain police vehicles should not be marked

– An order authorizing submittal of application for Transportation Alternatives Program grant to the Mississippi Department of Transportation for 22nd Avenue

– An order authorizing Hold Harmless Agreement to repair collapsed storm sewer pipe at 5235 16th Avenue.