Radford City Council Approves Rate Hike for Pulaski County PSA

By DAVID QUESENBERRY

Patriot Publishing 

Radford City Council, at its Monday night meeting, approved an increase in the water rates charged to the Pulaski County Public Service Authority.

In comments made before a public hearing on the increases, Radford City Mayor David Horton said the City of Radford entered into a water agreement with the Pulaski County Public Service Authority (PSA) in February 2010.

He said the agreement stated that “any new rates shall become effective on the anniversary date of the agreement and remain the new base rate for the following year.”

Horton said that a review of contracts conducted by the City last summer and fall, found that the rates in the agreement had not changed since 2010 even though the City’s water rates had changed. He asked for additional comments from City Manager Todd Meredith.

Meredith said, “The contract calls for rate adjustments as we make rate adjustments in the City to reflect the cost of producing the water. No adjustments have taken place since 2010. The rates you have before you are the rates that it needs to be adjusted to reflect that.”

According to Horton, the new rates would take effect on February 22, 2026. Under the proposed ordinance, the rate for 0 to 500,000 gallons per day of usage would be increased from $880 per day to $1,530 per day. Rates for usage of 500,001 to 999,999 gallons per day would increase from $1.76 per thousand gallons to $3.06 per thousand gallons. The rate for water usage between 1,000,000 and 3,000,000 gallons per day would increase from $1.43 per 1000 gallons to $2.50 per 1000 gallons.

Horton again emphasized that the rates were being adjusted because the City had changed its rates over the last 16 years. However, it had not adjusted the rates, which it did not know it had to do, for the customers that were part of the water agreement with the Pulaski County PSA.

Vice-Mayor Seth Gillespie asked how the new rates compared with the rates for City residents. Horton ventured that the rates were raised close to what City residents were paying. Meredith responded that it should be about the same for the use of 5,000 gallons, which was the level of consumption the rates were based on.

The public hearing on the rate increase was opened with no comments being received. City Council then unanimously approved Ordinance 1827 adopting the rate changes effective February 22, 2026.

In other action, City Council considered Ordinance 1821.1 to amend the budget to provide temporary stipends for the Community Development Director/Transit Coordinator and the Building Official.

According to the ordinance both positions would receive a temporary stipend of $1,000 per month.

Horton told Council this was done last fall because of the change in responsibility and additional duties for those positions. The changes, he added, were temporary until the City completed its planning and budgeting for FY 2026-2027.

City Manager Meredith said the ordinance was updated from the previous ordinance and would continue in effect until its termination by City Council. He added that the stipend was for extra duties as assigned and had his support. After these comments, Council approved the ordinance.

Council next considered three appropriation ordinances for inclusion into this year’s budget.

The first appropriation reviewed was Appropriations Ordinance 1815.24 for $22,250 from the Virginia Department of Emergency Management’s PSAP Regional Enhancement Grant.

Funds from this grant will be used to upgrade the City’s Computer Assisted Dispatch (CAD) programs to a common platform. An additional feature of the upgrade will allow dispatch centers in the region using the CAD program to share calls for service information between each other.

Council also reviewed Appropriations Ordinance 1815.25 for $5,000 from the New River Resource Authority. Proceeds from these funds will be used to support litter prevention and clean up.

Council then considered Appropriations Ordinance 1815.26 for $721,000 which was originally presented to City Council for the schools.

City Manager Meredith said, even though he was not with the City during that time, it appeared to him that there was a clerical error between the first reading and second reading of the budget that was presented to Council on April 21, 2025.

Adjustments between the two readings of the budget had not been included into the second reading. The ordinance made the adjustments and appropriated those funds into the current FY 2025-2026 budget.

Mayor Horton emphasized that the $721,000 was not additional money. It was an adjustment to the appropriations ordinance as to what was finally budgeted.

“We’re just making sure that we get it in there. It doesn’t change the disbursement to the schools. We want to be sure that we are meeting our full local required effort and local required match as part of this.”

Vice-Mayor Gillespie asked Meredith if he had notified the schools and were they aware of this. Meredith replied that he had not notified the schools.

Gillespie asked if the school system would be anticipating an additional $500,000 and had that amount been disbursed. Meredith replied, “We have not disbursed those funds yet. We have disbursed all of their requested disbursements through December.”

After discussion, Council then unanimously approved all three appropriation ordinances.

In other action, Council reappointed Tom Starnes to the New River Resource Authority and deferred action on an appointment to the Recreation Department’s commission to the next Council meeting.

In his report to Council, Meredith stated that the deadline had passed for submissions for forensic audit service proposals for the City. The proposals were currently being reviewed. He said he planned to have his recommendation to Council at a regular February meeting.

Gillespie asked if Council would be able to see all the proposals. Meredith responded that once staff was finished with the process, they would be made public.

Gillespie then asked Meredith if he had looked into any issues concerning making those proposals public. Meredith responded that the City was procuring for professional services which would be made public after the City completed the review process and the interview process.

“As of right now,” Meredith said, “We don’t have cost estimates. We won’t get those until we review them and talk to them.”

Once the process is completed, Meredith said Council would have the chance to see all the submitted bids.

The next regularly scheduled meeting of the Radford City Council will be at 7:00 pm on Monday January 26, 2026 in the Council Chambers of Radford City Hall located at 10 Robertson Street.