City may get $6M grant

City of Jefferson

V. Hugh Lewis II/Jefferson Jimplecute

While Council is focused on finding a way to balance and fund the 2024-25 budget, the city received notification they have passed the initial phases of a Texas Water Development Board grant and have been invited to submit an application for their Water Loss Mitigation Program.

The grant created some tension last week as Jefferson Mayor Patricia Finstrom accused Ward 1 Alderman Bubba Haggard of violating the Open Meetings Act by posting about the grant opportunity on FaceBook and encouraging Council members to approve the initial submission letter.

During Monday’s budget workshop, when the approval letter from TWDB was presented to Council by Streets and Water Department head Alan Whatley, Finstrom defended her early refusal to sign the application by claiming she didn’t know what it was for. The City was required to simply send a letter to SPI, the City’s engineering firm, authorizing them to submit for the grant.

Whatley refuted Finstrom’s claim but said he just wanted to make sure everyone on Council, and the public, knew that he had been previously granted permission to pursue all water and street grants he could find for the City and had notified the Mayor about this one back in July when it was given to him by Haggard.

“I just want everyone to know I’m not holding anything back, or keeping anything from Council,” Whatley said.

The letter indicates the total is for $6,040,000 of which 90% is eligible for grant funds and the City would have to supply 10% matching.

The letter also indicates the City is out of compliance on “one or more issues of debt covenant” on existing loans, according to TWDB records. That non-compliance could affect the City’s ability to receive the grant. The letter did not indicate what was out of compliance. The City is working to correct the issue.

A complete grant application must be submitted by October 21 for the next phase of the program.