The Meridian City Council is weighing a proposal to reduce uncompensated water losses after hearing from Water Company of America in a work session Tuesday.

Water Company of America said it would work with the city to audit Meridian’s freshwater and wastewater billing systems to identify instances where the city is not accurately billing for the water used. By identifying and solving the billing issues, the company aims to increase the city’s revenue that can be put toward other projects.

Councilman George Thomas said he agreed with the idea behind what Water Company of American was trying to do, but has some concerns about the compensation part of the contract. WCA proposed taking 45% of any additional revenue the city generated from previously un-billed services for the next 48 months.

Thomas said he was wary of performance-based compensation in general because it encourages people to find problems.

“I don’t like that kind of contract,” he said. “It’s like telling the police, ‘You issue more tickets, you get more money.’”

Thomas said he recalled previous audits of the city’s water system uncovering open pipes connecting water to homes and businesses without water meters and leaks going unfixed because the wasted water never showed up on a bill.

“We had leaks and no incentive to fix it,” he said.

With the city beginning work on its federal consent decree with the EPA to address its sewer system, Councilman Dwayne Davis said he had no doubt WCA would be able to find instances where the city was underbidding or not billing at all.

“We know you’re going to find something,” he said.

Before considering Water Company of America’s proposal, Thomas said he wanted to see figures from the city about how much water was generated at the city’s plants compared to how much water the city was billing homes and businesses for using.

A large discrepancy between the water produced and the amount billed, he said, could provide a bird’s eye view of the city’s billing issues and help the council know if it would be advantageous to bring WCA on board.

Additionally, Thomas said he would like the city to reach out to municipalities who have previously worked with WCA to see what they had to say about working with the company and if there actually was additional revenue generated from resolving billing issues.

Thomas asked the city to have the information ready for the next city council meeting October 18.

Charitable Giving

In Tuesday’s work session the city council also weighed requests from an array of non-profit organizations as it looks to allocate funds set aside for charitable giving.

At the beginning of each fiscal year, which starts October 1, the council receives requests for funding and must decide which organizations to give to and how much each one will receive.

Chief Financial Officer Brandye Latimer said the council has a total of $400,000 set aside for charitable giving in the 2023 Fiscal Year. Of that, $100,000 is set aside for the MAX, $75,000 for the Children’s Museum and $100,000 is for East Mississippi Business Development Corporation.

The council will have to decide how to split the remaining $125,000 among the 16 organizations that requested the city’s help.

Clerk of the Council Jo Anne Clark said she would send council members copies of each organization’s application, which includes statements on how the funds will be spent, to help them make a decision on which organizations should get support.

In other business the city council:

•met with the Animal Control Advisory Board to discuss changes to the city’s ordinances;

•discussed Parks and Recreation facility rentals; and,

•discussed ongoing projects throughout the city.