Over Yonder RV Park challenges water surcharge

The Texas Association of Campground Owners [TACO] is helping a local RV park owner challenge the City of Olney’s $35 per slip water surcharge, in a move that could deprive the City of much-needed revenue for the stalled water treatment plant.

A law firm representing TACO and the Over Yonder RV Park informed the City in a July 8 letter that the surcharge is illegal. “We are writing to inform you that Texas law changed at the end of 2023, and campgrounds who receive non submetered master metered utility services, like Over Yonder, are exempt from administrative charges on their water bill,” the letter said. “We are writing in hopes of resolving this matter in a way that is amicable to both parties.”

The law firm stated that “Over Yonder should be exempt from the administrative fee that has been continually added to their utility bill.”

The firm proposed that the City of Olney “keep the money they have already collected via administrative charges on Over Yonder’s past utility bills, as long as they cease charging them for the same from here on out.”

The group also submitted a letter from State Rep. Ryan Guillen, who sponsored legislation that allows RV parks and campgrounds to be charged for water utility services based on the actual amount of water used.

The City Council scheduled an administrative hearing over potential litigation on its Sept. 9 agenda, but it was not clear as of press time whether this pertained to the Over Yonder situation.

The potential loss of revenue would be another blow to the City’s efforts to replace its 102-year-old water treatment plant. The City Council halted construction on a new plant last year after bids came in millions of dollars over the $13.5 million in bonds approved by voters. The water surcharge was enacted in 2022 to help pay for badly needed upgrades to Olney’s aging water infrastructure.

Marla Pollitt, owner of Over Yonder, was among several business owners who objected to the surcharge.

The City subsequently amended the ordinance to allow the owners of local hotels, bed and breakfast establishments, RV parks and other forms of “transient” lodging to self-report their occupancy so that the city can calculate their monthly water bills.

Ms. Pollitt said the surcharge was still onerous and illegal, and wanted it removed entirely.