An agreement to sell water and the approval of two major construction project contracts highlighted Tuesday night’s Anna City Council meeting.

Council approved an agreement with the City of Melissa to purchase a portion of Anna’s minimum take or pay (MT/P) obligation under the Greater Texoma Utility Authority (GTUA) and city of Anna potable water contract. As a member of the Collin Grayson Municipal Alliance of Cities, Anna along with Melissa, Van Alstyne and Howe, has a minimum take or pay agreement with GTUA for 59,312,500 gallons of ground water at a cost of $1.75 per thousand gallons. If any member city exceeds the MT/P, the excess water use is billed at 40 cents per thousand gallons and the MT/P is increased by that number for the next water year resulting in increased water costs for the city.

Melissa exceeded its MT/P by 52,965,500 gallons for the water year that ended on July 31, 2013. In order for Melissa to avoid an increase in its MT/P for the 2014 water year it will purchase the excess capacity from the three other member cities. Each member city can sell 17,655,166 gallons to Melissa at $1.075 per thousand gallons. Anna will receive $18,979.30 from Melissa for the sale.

Two bids and contracts were approved by Council with Dickerson Construction Company, Inc. The first contract was for the north and west wells surface water supply line. The city received six bids for this project with the low bid of $680,795.75 from Dickerson.

The second contract was for Slayter Creek wastewater Interceptor project. Out of the six bids received by the city Dickerson’s was the lowest at $661,432. Anna’s consulting engineer for these projects has checked Dickerson’s references and found that the company has satisfactory completed similar projects.