Breckenridge Texan

By Carla McKeown/Breckenridge Texan

At their meeting Tuesday night, Sept. 1, the Breckenridge City Commissioners reversed the decision they made last month to raise water and sewer rates in the coming year. In a split vote, the commissioners failed to pass the fee schedule that would have made the higher water and sewer rates official.

Mayor Kord Trammel and commissioners Justin Rose and Junior Fernandez voted against approving the new fee schedule, while Blake Hamilton and Paul Huntington voted for it.

When the commissioners went into executive session, City Manager Cynthia Northrop, who was not in the closed meeting at that time, confirmed to the Breckenridge Texan that the vote means the rate increase will not go into effect.

“They approved the water rate last month, and this month they said no. So there will not be an increase,” Northrop said, adding that the city staff will present the water rates again next year and see what the commissioners want to do then.

The rate increase was recommended by NewGen Strategies & Solutions, which presented a 10-year plan offering three options to the commissioners on Aug. 4. At that time, the commissioners chose the lowest plan offered, the one that would have raised City of Breckenridge water rates by 4.14% every year for the next 10 years, leading to an increase of almost 50 percent by 2036. Additionally, the plan would have raised the wastewater (aka sewer service) rates by the same percentage.

The August meeting included discussions among the commissioners and city staff, as well as with Chris Ekrut with NewGen, who presented the proposed plan at the meeting. At that time, Rose and Fernandez expressed concerns about the rate hike. Fernandez was worried about local residents who cannot afford that much of an increase, and Rose said he didn’t want to commit to a 10-year plan. All four commissioners and the mayor voted in favor of the lowest increase presented by NewGen.

JB Sparks speaks at the Sept. 1 Breckenridge City Commission meeting about the accomplishments of the city staff. (Photo by Tony Pilkington/Breckenridge Texan)

Following August’s unanimous decision to increase the water and sewer rates, several residents expressed their concerns and dissatisfaction with the rate increase on social media.

During the meeting on Tuesday, Sept. 1, four people spoke during the open forum section. Two people – JB Sparks and Donna Trammell – spoke in general about accomplishments of the City staff, and two others – Donna Walker and Brady Noble – spoke against the water rate increase.

By City rules, each speaker was given three minutes to speak, and the commissioners and city staff were not allowed to respond to the speakers, only to listen to what they had to say, as dictated by the Texas Open Meetings Act.

“Today, I come as a leader, a business owner, and a homeowner to say thank you to the commissioners, the city manager, and the city staff. This includes Chief Johnson and the police department,” Sparks said, in part. “I’ve seen with my own eyes and ears the misinformation that gets posted on social media, and these folks rarely vote for any election in the community as a whole, and they participate in very little or anything, community things like committees or boards, and they rarely show up to a city commissioners meeting to be well informed. So I want to say thank you for the enormous positive changes over the last four years, as our city leaders have made these changes, changes that have been effectively made in this community, and the right folks are aware of your hard work to make Breckenridge a place to be.”

Donna Trammell talks to the Breckenridge City Commission during their regular meeting on Sept. 1. (Photo by Tony Pilkington/Breckenridge Texan)

Donna Trammell centered her remarks on Northrop. “I would like to say something …  addressing the city manager, Miss Northrop. When you stepped in the role of city manager four years ago, you took on a profound responsibility,” she said. “Under your leadership and the leadership of the commissioners, many of us can say with absolute certainty, you haven’t just managed our city, but you have helped to transform it. True leadership isn’t just about keeping the lights on; it’s about having the vision to see what a community can be and the work ethic to make it happen.”

When it was her turn to speak, Walker brought up some rumors she has heard about the City’s water department before delving into the average income for local residents, the poverty level in the community and the impact an increase in fees would have on Breckenridge citizens. “So one of the things I want you guys to think about, I know that you passed (the rate increase), but you can repeal it,” she said. “We all know that the economy is rough.”

Noble focused most of his comments on the Texas Water Development Board’s 2025 financial review, based on the city’s fiscal year 2024 audit.

Brady Noble addresses the Breckenridge City Commission about the water rate increase that the commissioners approved in their August meeting. (Photo by Tony Pilkington/Breckenridge Texan)

“From the Texas Water Development Board’s financial review, the city’s days of cash on hand are above the benchmark, demonstrating the city can pay operating expenses or proposed debt service requirement without relying on additional revenue,” he said. “A high working capital ratio provides the city with sufficient resources to cover short-term liabilities and demonstrates a strong liquidity position.”

Based on the TWDB’s financial review, which Noble said showed no rate increases projected with the project and the system’s cash flow steadily increasing over the past three years, he asked the commissioners what has changed. “Please explain, if you will, to the council, to the residents of Breckenridge, Texas, because if nothing has changed, then why are we raising the rates?” Noble asked. “Other than saying, ‘Oh, our systems are limping along’? Well, we received grants and loans for that four years ago, 2022, to help our clarifier that needs fixing, right?”

Noble’s three minutes were running out, and he said he had a lot more questions for the commissioners and that he would give them printouts of his comments. “Men, it is your job to evaluate the city manager and decide if she gets to stay or go,” he said. “And her evaluation starts this month. I hope you do the right thing and actually evaluate her. Do not just sign off on a contract renewal without doing your due diligence. Ask questions and stand up for your community. Our evaluation is performance-based. I know for a fact that projects … that were to be completed in 2024 are still going to this day and we are nowhere near ready to start projects slated to be completed in 2027.”

Donna Walker expressed her concerns about the rates Breckenridge citizens pay for water from the City. (Photo by Tony Pilkington/Breckenridge Texan)

Later in the meeting, when it was time for the commissioners to vote on Ordinance 2026-16, updating the City of Breckenridge’s Schedule of Fees to show the water/sewer services rate increase, there wasn’t much discussion.

“Anytime we … increase our schedule of fees…we have to have two readings of that, and so this is the first reading of the action that was taken last month for the water rates,” Northrop explained to the commissioners.

Then, Hamilton spoke, explaining his view on the rate increase. “I know it’s frustrating, but with inflation and with our current debt service, it was proposed to us that if we do not increase by a minimum of 4%, we would not be able to pay payroll within four years. So with that, I move to approve the first reading of Ordinance 2026-16 as presented,” he said. Huntington seconded the motion.

When the mayor called a vote of those in favor, only Hamilton and Huntington voted “aye.” When no other action was taken, City Secretary Jessica Sutter called for a show of hands indicating “aye” votes, then “nay” votes. Again Hamilton and Huntington voted “aye,” and Trammel, Rose and Fernandez voted “nay.” The failure to pass the change to the fee schedule effectively canceled the rate increase.

Cutline, top photo: The Breckenridge City Commissioners discuss the city budget during the Sept. 1 meeting. Pictured, from right, are commissioners Blake Hamilton and Justin Rose, Mayor Kord Trammel, commissioners Junior Fernandez and Paul Huntington, City Attorney Eileen Hayman, City Secretary Jessica Sutter and City Manager Cynthia Northrop. (Photo by Tony Pilkington/Breckenridge Texan)