OSCEOLA, AR (KAIT) - The city of Osceola voted Tuesday to agree to a settlement with a wholesale electric company, according to Osceola Mayor Dickie Kennemore.
Kennemore said the city council voted to agree to a $620,000 settlement with Exelon Generation Company LLC.
The city had been sued for $1.1 million in a dispute about electric bills.
According to documents filed in federal court, Exelon sued the city for a breach of contract in an attempt to collect money from unpaid bills.
The complaint stated that Osceola "failed to pay the full amounts billed" from December 2013 to November 2014.
The complaint claimed "Osceola began collecting payments from its industrial customers whose rates had been incorrectly set at amounts insufficient to satisfy Osceola's obligations."
Kennemore said Tuesday's vote will end the lawsuit with the settlement, which was initially reached Friday.
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