CCU Commission Pivots On Wastewater Upgrades: Two New Commissioners Welcomed
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General Manager Roy Young opened the Clarksville Connected Utilities (CCU) Commission meeting on Monday, March 16, by welcoming two new commissioners to the board, Jason Shook, who replaces Jennifer Risinger as secretary with a term ending Dec. 31, 2028; and Blake Neumeier, who replaces Roger Brooks with a term ending Dec. 31, 2029.
The Commission then turned to business, voting to pursue a phased approach to upgrades at the pollution control facility (PCF), and directing staff to work with Olsson Engineering to determine a reduced scope of borrowing from the available loan package that will address the most critical improvements without triggering a major rate increase for sewer customers.
The decision comes roughly two months after the Commission voted in January to accept a state loan offer for the 45-year-old facility, which struggles during heavy rain despite meeting current state and federal permit requirements. That vote authorized Young and PCF Manager Porsha Russell to sign documents accepting the award letter from the Arkansas Natural Resources Division (ANRD), securing the funding opportunity without committing CCU to borrowing the full amount.
The loan package, approved by ANRD in November, includes a loan of up to $30.89 million and up to $5.45 million in principal forgiveness, carrying a 20-year term with an anticipated combined interest rate of about 4%. However, Russell and Young told the Commission borrowing the full amount would cause every sewer account held with CCU to face an increase of approximately $75 per month — part of a potential rate increase of as much as 80% under the full loan terms — a burden the utility does not consider practical given customers’ existing concerns about high utility bills.
Young said in an email to The Graphic the goal is to reduce the loan amount to a level that keeps rate increases manageable while still addressing critical upgrades. Once the initial loan is paid down and revenues increase, CCU could reapply for additional funding and combine loans to tackle further phases of the project.
The need for upgrades stems from a yearlong evaluation by Olsson Engineering, which in July 2025 presented a $35 million upgrade plan showing much of the facility’s equipment had reached the end of its useful life. Commissioners delayed a decision at that time to explore funding sources before ultimately accepting the ANRD loan offer in January.
Russell and Young also noted CCU personnel have already identified and resolved some of the issues flagged in the original facility study. One clarifier flow issue has been corrected, and one of the oxidation ditches has been drained and inspected. The structure was found to be in good condition, though the aerators need to be replaced as soon as possible. While those repairs do not represent a complete fix, they improve the feasibility of tackling remaining issues incrementally.
The Commission authorized CCU to continue working with Olsson Engineering on an hourly time-and-materials basis to plan upgrades in multiple phases. Professional fees will cover the cost of the continued work.
Early Retirement Policy
The Commission voted to reinstate its early retirement policy, which had been suspended at the March 25, 2024, meeting as a precautionary measure due to financial conditions at that time.
Finance Officer Dana Frizzell and Young told the Commission financial conditions have improved enough to make reinstatement viable. The policy, which is separate from the CCU pension plan, allows employees aged 59 or older with at least 10 years of service to retire early and receive a monthly benefit until they reach Social Security eligibility at age 62. Health insurance coverage is also provided until Medicare eligibility at age 65.
The monthly benefit is calculated using the employee’s annual wages, years of service and a benefit factor of 1.25%. Under a position elimination clause added in 2014, employees who are at least 55 with 25 or more years of service whose positions will not be backfilled are eligible for a slightly higher benefit factor of 1.50%.
Frizzell and Young said reinstating the policy restores a benefit for long-term staff, offers an additional retirement option and can aid workforce planning by allowing earlier transitions for eligible staff. They also noted eligibility is limited by age and service requirements, restricting the number of qualifying employees. The total financial impact will remain undetermined until individual employees elect to participate, as costs vary based on salary, years of service, retirement timing and health insurance rates.
The Commission voted to reinstate the early retirement policy as outlined in the CCU policy handbook, with ongoing monitoring of participation and financial effects.
Cooperative Procurement Agreement
Young was authorized by the Commission to sign a master intergovernmental cooperative agreement for purchasing services and commodities through the Arkansas Municipal Power Association (AMPA), allowing CCU to join a group purchasing arrangement with other AMPA member cities.
The agreement, developed with assistance from AMPA legal services and grounded in multiple Arkansas statutes including the Arkansas Interlocal Cooperation Act and the state’s cooperative purchasing provisions, allows member cities to pool their buying power for a wide range of commodities and services, from equipment and supplies to energy, insurance and professional services.
Young told the Commission an AMPA committee made up of representatives from several member cities met monthly to work through the process. CCU was not represented on the committee due to staffing constraints, but Young said he expects the program to become increasingly beneficial as member cities work through the early stages and refine the process.
Young emphasized CCU has no obligation to use the agreement simply by joining and that membership is free. He said he believes it will prove beneficial to all cities once the processes are established and the kinks are worked out. Young said joining the agreement carries no financial obligation and costs CCU nothing but positions the utility to take advantage of bulk pricing opportunities as they arise.
No financial or legal considerations were identified.
Financial
Frizzell presented the financial report for January. Compared to January 2024, operating revenue saw a 10.39% increase, with electric, water and sewer up, power purchased was up 9.8%, other direct expenses were down 4.93%, and general expenses were up 18.06%.
Income for the month was:
–electric, $105,615.
–water, $96,379.
–sewer, $30,559.
–broadband, -$3,851.
Disbursements for February totaled $2,533,984.90.
Present at the meeting were Lashainea Pollander, Freeman Wish, Shook, and Neumeier, with Ethan Powell absent. The next regular meeting of the CCU Commission is scheduled for April 27 at 4:30 p.m. in the CCU business office at 400 W. Main Street. All meetings are open to the public.
Read this story and others in the March 25 issue of The Graphic, available online and at businesses throughout Franklin and Johnson counties. Subscribe or donate here to support more hometown journalism.

Jason Shook

Blake Neumeier

