CULLMAN, Ala. – Cullman County will bring its water and sanitation billing operations in-house after Cullman Electric Cooperative informed County officials it would discontinue billing services later this year. The Tribune first reported this change earlier this month.
Around July 2025, Cullman Electric Cooperative approached the County to discuss ending its longstanding role in billing Cullman County Water and Sanitation customers.
The move prompted County leadership to begin evaluating alternative software providers and long-term cost structures.
Cullman County Administrator John Bullard said the County immediately began researching vendors capable of handling utility billing internally.
“Around July of 2025, the Cullman Electric Cooperative approached us to discuss discontinuing billing for Cullman County Water and Sanitation services,” Bullard said. “This began a search for software providers to bring the billing in-house, and CNI Solutions in Cullman quickly rose to the top. They provide billing software for utilities all across the state of Alabama, and several other states, all while being headquartered here and employing people in Cullman County.”
Cullman Electric Cooperative Vice President of Member Engagement & Communications Brian Lacy confirmed the cooperative notified the County in mid-2025 that it would no longer provide billing services moving forward.
“In July of 2025, Cullman Electric Cooperative notified Cullman County that we would be discontinuing billing services for water and sanitation,” Lacy said. “This decision was made after evaluating our long-term operational priorities.”
Lacy said the cooperative’s focus remains on its core electric service responsibilities.
“Our focus remains on providing reliable electric service to our members,” Lacy said. “We worked with the County to ensure a smooth transition.”
After reviewing proposals, the County selected CNI Solutions, a Cullman-based software company specializing in municipal and utility billing systems.
Under the previous arrangement, Cullman Electric Cooperative provided combined billing services, allowing customers to receive electric, water and sanitation charges on a single monthly statement.
Financial comparison
County records show that in 2025, Cullman Electric Cooperative billed the County:
- Water services: $248,482
- Sanitation services: $318,055
- Total: $566,537
The rate structure under CEC was $1.10 per customer per month for the first 20,000 accounts. According to Bullard, that $1.10 rate included standard postage but did not include credit card processing fees, which were billed separately.
Under the new agreement with CNI Solutions, first-year costs include:
- Initial setup: $46,244
- Monthly recurring fee: $4,910
- Annual recurring total: $58,920
- Rate: 12 cents per active account per month
- Estimated accounts: 35,707
- Postage additional
Based on those figures, projected year-one savings are estimated at $461,373. Ongoing annual savings after implementation are estimated at approximately $507,617.
County officials emphasized those totals are preliminary and subject to adjustment pending finalization its agreement with Paymentus, which will provide payment processing services.
Bullard said an additional payment processing agreement with Paymentus is still being finalized and will be incorporated into the per-customer billing cost once complete.
“One thing that might add further clarity, is that once the payment processing agreement is finalized with Paymentus, that cost will be added on the 12 cents per customer charge,” Bullard said. “I just didn’t want someone to do the math on what the new services will cost, and think we are saving 98 cents per customer. There will still be significant savings, but we will also be taking our own payments versus paying the Electric Cooperative to do it. As soon as we get the information from Paymentus, it will be updated.”
County officials said final cost comparisons will be updated once the processing agreement is executed and exact transaction fees are confirmed.
Bullard said the shift to a software-based, in-house system gives the County more direct operational control while significantly reducing long-term costs.
CNI’s platform operates as a cloud-based software-as-a-service system (SaaS) and includes automated billing functions, customer portals and compatibility with Advanced Metering Infrastructure (AMI). The system also integrates with Paymentus for online payment processing.
The service agreement includes 24-hour system access, seven-day backup retention and a platinum-level support structure with a two-hour response window.
The County expects the transition to be completed by June 1, 2026.
Timeline: Combined billing to in-house system
- 2007 — Combined electric, water and sanitation billing structure begins
- July 2025 — CEC notifies Cullman County of intent to discontinue billing services
- Late 2025 — County begins vendor search process
- Early 2026 — CNI Solutions selected
- June 1, 2026 — Target implementation date for in-house billing system
What customers need to know
- Water and sanitation services will continue uninterrupted
- Customers will receive billing through a new system once implementation is complete
- Postage was included in CEC’s $1.10 per-account rate, but credit card processing fees were separate
- Payment processing fees will be finalized once the Paymentus agreement is complete
- Online payment options will be available through the new portal
- Electric service billing through CEC remains unchanged
Financial snapshot
- 2025 CEC billing total: $566,537
- 2026 CNI year-one estimated cost: $105,164
- Projected year-one savings: $461,373*
- Projected ongoing annual savings: Approximately $507,617*
*Savings estimates are preliminary and subject to adjustment pending finalization of the Paymentus payment processing agreement.
