MCCOMB, Miss. (AP) - The McComb city board will borrow $2.5 million to settle a yearlong legal battle with Siemens Building Technology over a disputed contract to install digital water meters.
The Enterprise-Journal reports (http://bit.ly/VqBcfm ) the city plans to issue general obligation bonds to raise funds to pay off the company, which had a $4.5 million contract in 2010 to install 6,900 water meters in the city.
The meters didn't get installed on time, and city officials had problems getting electronic readings from those that were installed.
The city sued Siemens and recently reached a settlement, with McComb keeping the meters that had been installed if it pays the company $2.5 million.
Mayor Whitney Rawlings says the loan would be paid through the city's water and sewage fund, which earns revenues from water bills.
Information from: Enterprise-Journal, http://www.enterprise-journal.com
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