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RESOLUTION NO. 9,943
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3 A RESOLUTION ADOPTING A GUIDING DIRECTION FOR 152
4 ALL DISCUSSIONS AND ACTIONS RELATED TO
5 POTENTIAL FUTURE COOPERATIVE EFFORTS BETWEEN
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THE NORTH LITTLE ROCK WATER DEPARTM ENT AND
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8 THE LITTLE ROCK MUNICIPAL WATER WORKS; AND
9 FOR OTHER PURPOSES.
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11 WHEREAS, the cities of North Little Rock and Little Rock each own, operate and maintain
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separate municipal water distribution and service systems for their respective residents of and other
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14 customers, the said water systems being operated and managed through autonomous, independent
15 Commissions created and established under Arkansas law, and
16 WHEREAS, the North Little Rock Water Department has been a customer of the Little Rock
17 Water Works for the past sixty (60) years, but is now facing a rapid escalation of the cost of water;
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WHEREAS, the f Lure needs of the metropolitan area have prompted the two Water
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21 Commissions to explore various possibilities to acquire new water sources to provide for the
22 increased needs of the two cities and the surrounding area, to expand the service area to provide for
23 a broader rate base to ensure stable and equitable rates for the citizens and residents served by the
24 Commissions, and to provide for economies in the production, operation and management of the
25 two systems in order to stabilize rates, particularly in view of the need for new water sources and the
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27 increased costs required to meet federally- mandated water quality regulations and rapidly changing
28 technology; and
29 WHEREAS, one of the alternatives which should be explored by the two Commissions is a
30 merger of the two systems into a metropolitan water system; and
31 WHEREAS, the Commissions independent of the City Board of Little Rock and City Council
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of North Little Rock have determined that it may be in the best interests of their respective customers
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34 to explore further the concept of a merger and to adopt A Statement of Policy to guide discussions
35 related to the merger concept; and
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WHEREAS, the knowledge of the elected officials of both cities of the exploration of a 153*
possible merger by the Commissions is necessary and advisable before the Commissions fully explore
the merger concept.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
THE CITY OF LITTLE ROCK, ARKANSAS:
SECTION 1. That the following parameters will guide all discussions related to the possible
merger of the North Little Rock Water Department and the Little Rock Water Works system , and
the same is hereby approved:
All work and discussion related to any possible consolidation or
merger of the two utilities must have the goal of providing ample
production and delivery of safe, high - quality drinking water, that
meets all standards for the protection of public health; that supports
economic growth and community development in the metropolitan
area; and that provides for a broader rate base, which would ensure
more stable and equitable rates for all customers and is fair and
equitable to both cities it its implementation.
SECTION 2. That the Board of Commissioners of the Little Rock Municipal Water Works
be, and it is hereby permitted to proceed to explore the possibility of a merger of the Little Rock
Municipal Water Works with the North Little Rock Water Department, and to develop the necessary
plans, terns, and conditions for any such merger and that said exploration is being done with the
knowledge of the Little Rock Board of Directors.
SECTION 3. Regular quarterly progress reports on all discussions, consultant studies, and
related information will be provided to the Little Rock Board of Directors and the North Little Rock
City Council.
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ADOPTED: March 25, 1997
ATTEST: APPROVED: `
ROBBIE HANCOCK JIM ILEY
CITY CLERK MAYOR
APPROVED AS TO FORM:
p�LioH.�y K,( • � J�
THOMAS M. CARPE ER
CITY ATTORNEY
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