Joint Contract Provides natural gas to industrial development. Madison responsible for 25 percent of project; Social Circle and Covington, 37.5 percent each.
By Nick Nunn, Staff Writer
During the Oct. 14 meeting of the Madison Mayor and City Council, the council discussed a supplemental contract between the Municipal Gas Authority of Georgia and the City of Madison regarding a joint service project between Madison, Social Circle and Covington to provide natural gas for the Stanton Springs development. A vote on the contract was postponed until the council’s next meeting since the council was not able to see a final draft of the contract before the Monday meeting.
Madison’s 25 percent stake in the joint service project will require the city to fund one-quarter of the total cost of building the infrastructure necessary for providing natural gas to Stanton Springs. According to an additional development contract for the Stanton Springs joint service project, the total cost of the project will not exceed $400,000.
City Attorney Joe Reitman explained that sections had been introduced into the most recent drafts of the contract to protect the municipalities involved and give them a way to get out of the agreement in case of any “catastrophic event.”
Reitman expressed his satisfaction with the document after the inclusion of the clauses that were designed to protect the municipalities.
City Manager David Nunn explained that the overall project is to have the three municipalities be able to serve the Stanton Springs development, which lies in three counties – Morgan, Walton and Newton – with natural gas.
Covington was chosen to operate the system, and Nunn stated that having Covington take the lead on the project allows for greater “ease of operation.”
Nunn also said that there is no clear timeline for when Madison would need to begin providing gas service to the development, noting that it would probably occur when Baxter International and other potential industries in the development are close to being up and running.
During the meeting, Nunn also presented a “very simplistic” framework of agreement for a sewer project between Georgia Pacific Wood Products, LLC. and the City of Madison.
The proposal outlines Georgia Pacific’s plan to connect their wastewater system to Madison’s wastewater system by means of a 4-inch force main line, which would run down the public right-of-way.
Nunn stated that the project would require no monetary commitment on the part of the city, which would assist, “only in expertise and only in working with a contractor.”
Nunn estimated that Georgia Pacific would enter 10,000 gallons of wastewater into Madison’s system daily.