Saving money on fuel was a topic for discussion at a meeting of the Lynch City Council on Tuesday. Financial Officer Bill Dean told council thus far the city has saved approximately $7,000 in comparison to last year’s fuel usage.
“Right now our monthly pace of fuel usage is $1,144.55,” said Dean. “If we stay on that pace, we’ll use less than $18,000 for fuel this year.”
Council member Carl Collins asked which was the cheapest route, buying fuel at local gas stations or buying gasoline in bulk for city vehicles.
“Well, we used $25,000 for fuel last year,” said Dean. “The difference is, I guess, city employees have made a point this year of using less fuel.”
Asking if it would be cheaper to buy gasoline in bulk, councilman Winston Yeary, suggested looking at fuel prices buying in bulk and waiting until the prices drop considerably before making the purchase.
“Honestly, the best case scenario is that we get a bulk rate that is cheaper and also use less fuel,” said Dean. “But, if we do that we have a pretty sizable bill that sits on your accounts payable. We have to plan for that. If we pay as we go, use less fuel, you wind up saving money because you don’t have to sit on it. In a perfect world, you’d rather buy it in bulk and use less and save that much more.”
Yeary asked if the lump sum the city would pay for buying bulk could be broken up into monthly payments.
“We usually pay one lump sum, but we could break it up into payments. It just depends. We could make one monthly payment and then the fuel company decides they want the rest of the balance, then they are calling you every day wanting their money,” said Dean. “The fuel tanks the city has belong to Rayburn Doss at Fuelco. Mr. Doss has been very good to the city in waiting for payments in the past. It’s just that the way we were doing it in the past, by buying in bulk, we just seemed to use more fuel.”
City clerk Erica Eldridge said “it’s easier to keep track of fuel being used by paying as you go, because that way you can keep track of who is actually getting gasoline.”
“I hate to publicly say, but this comes down to us not having $8,000 to spend for fuel at one time,” said Mayor Johnny Adams. “We just need to keep a better handle on this like we’ve been doing.”
In other action, council:
*Heard from Lynch resident Mark Hudack asking the city to either abandon or sell him an approximate 40-foot easement (public sidewalk) near his home running parallel to Rock Barn Alley. Adams tabled the issue saying if no complaints are heard against this action from other residents in the area within the next 30 days, the issue will be brought back before the council for action to be taken at their next meeting. Anyone wishing to file a complaint may contact city hall at 848-2873.
*Approved a resolution for Fiscal Year 2013 House Bill 265 Coal Severance Line-Item Projects ID#B189 funds of $25,000 be allocated for the purpose of installing a new gate valve, variable frequency drive and turbine pump at the Lynch water treatment plant.
*Had the first reading of Ordinance 7112011, Amendment 3 relating to the job classifications rates of pay.
*Set Halloween Trick or Treat hours for Oct. 31 from 5 p.m. until 7 p.m.
Reach Nola Sizemore AT 606-573-4510 or at firstname.lastname@example.org