HERTFORD — Hertford Town Council will consider a proposal next week that addresses Perquimans County High School’s $258,889 electric debt.

Town Manager John Christensen said he doesn’t expect council to forgive the debt, created by 26 months of underbilling. What council may do instead, he said, is allow the Perquimans County Schools to start repayment of the debt in September rather than now.

In addition, council may consider offering the high school a matching credit for any electricity savings it generates over a 14-month period.

Council took no action on the proposal during a work session earlier this week. The meeting followed councilors’ meeting with school and county officials earlier the same day. Christensen said the proposal will be presented to council Monday night.

“Keep in mind it could change then,” he cautioned.

Town and school officials discovered in April that because of a town employee’s error when the high school’s new gym was constructed, the school’s electric bill was incorrect for 26 months. After correcting the mistake, the town realized the school had been underbilled more than $250,000 during that time.

In addition, since the correction, the school’s current monthly electric bill has increased drastically.

The town notified the school system of the error in May, asking the school to repay the underbilled amount in 26 installments of about $10,000 a month. The repayment would be in addition to the school’s monthly electric bill.

The school system asked that the debt be forgiven, but town officials, not wanting to set a precedent for other town electric customers, did not agree.

The school system then asked that the amount of repayment be limited to 12 months of underbilling rather than 26, citing what they termed an unclear town policy. Reducing the length of underbilling would cut the debt nearly in half. Again, town council did not agree.

Monday afternoon, school officials asked for more time to prepare a solution that will work for the schools, town and Perquimans County, which provides local funding for the schools.

“We want to work collaboratively with the county and the town to find a mutual solution,” said Board of Education Chairman Amy Spaugh. “Additional work needs to be done.”

Members of Hertford Town Council who attended the meeting listened intently and vowed their cooperation.

“We will try to work with you to seek an admirable solution,” said Mayor Sid Eley. “Maybe extra time, maybe credit for energy savings, maybe a combination of both. We want to be good neighbors.”

The school system already has taken several steps to reduce electricity usage, including lowering or raising thermostats, going to a 10-hour, four-day workweek this summer, bringing in a contractor to monitor utility demands, installing programmable thermostats, conducting energy audits, moving after-school activities to facilities in other parts of the county where utility costs are lower, and forming committees to look into more energy saving possibilities. School officials indicate more energy and demand savings steps are also being considered in an effort to reduce electric usage even more.