By Jon Kocan
STILLWATER (MCT) — Oklahoma State University is making progress on a list of projects that date back to 1997 that are detailed in a memorandum of understanding with the city of Stillwater.
Late Mayor Mike Henson’s and former OSU President James Halligan’s signatures are on the memorandum of understanding that forged an agreement that the city would help fund campus improvements and the university would complete projects viewed favorably by city officials. But the list of items may need to be re-evaluated.
According to City Manager Dan Galloway, state laws in the 1990s were changed to allow cities to collect a use tax equal to city sales tax. Stillwater, like many cities across the state, enacted a use tax. Most sent all collections to city general funds, but Stillwater agreed to transfer the first $600,000 collected each year to OSU.
At the time, Gallagher-Iba Arena was under renovation and those funds went to help the university with that work. Along with the Lake Carl Blackwell dam, the list included resurfacing of Monroe through the university, some talk of where drinking water will come from, Hall of Fame Avenue and electric services.
The last item speaks to the city offering an attractive electric rate to the university, contributing to its ability to obtain a lower rate from its provider. It also states that OSU and the city will continue to explore options in the provision of electrical service to each of the parties that will create savings which may be shared.
Last year, residents voted to establish a franchise tax for Oklahoma Gas and Electric, supplier of electricity to OSU, creating a 3 percent collection on all sales to the university inside city limits. The vote also worked to solidify OG&E as OSU’s provider.
That may have not been the worst option for the city. Galloway said the city would have had to make a multi-million dollar investment in infrastructure to be able to provide the university with electricity. That would have meant construction of two new substations, and hinged on cooperation from OG&E.
Work to Hall of Fame was also part of the memorandum. A portion of that work is underway. The memorandum calls for OSU to use its best efforts to provide an overlay of the roadway and “other” improvements between Western and Duck.
Galloway said the city and OSU are working together a find a cure for cracked sections from Washington to Western.
OSU has resurfaced Monroe Street through campus, as indicated on the memorandum, but water treatment and distribution has taken a few turns over the last year.
As part of city efforts to identify costs of treating and distributing water, a rate hike was put into effect. Bulk rate customers took the largest hit and OSU is now moving forward with plans to resume service of its treatment plant.
According to Galloway, the city continues to work toward pinning down how much water comes into the city’s plant and how much of that is sold. Leaks in the system, old, worn out meters and unidentified connections continue to plague the city, and Galloway said it is critical that the city have the ability to meter all water.
OSU’s plant will work to reduce the strain on city’s plant, open up potential for more sales outside of the city and delay expansion needs. But the city remains without a backup water supply.
Galloway said the university has assured him their plant will be a viable back-up for the city. Without an alternative in place, repairs to the Kaw Lake raw water line may not come.
Federal funding will be sought through the multi-jurisdiction and multi-hazard mitigation plan for improvements to the Lake Carl Blackwell dam. That plans is near completion and combines hazardous mitigation for OSU, the city and Stillwater Public Schools.
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