09/20/1994 Meeting Minutes - Laserfiche WebLink

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Council Minutes of 9/20/94 before considering such an exorbitant rate increase. Mr. Lambert feels it will be hard on the people of this comrmmity to pick up the t~ for future improvements, e~~ally those mandated by the EPA. He believes the city should investigate regionalizing the sewer district and/or subsidising through the General Fund. Finance Director Burns said it was important to remember that the sewer program was started because of action taken by the Env~unmental Prote~rion Agency. A good deal of the money was spent in com~-lying with the findings and orders from the EPA so that the city could settle a $36 n poteeitial lawsuit that the EPA had threatened. to pursue. In addition to the transmission lines, the money was also used to upgrade sections and parts of the Wastewater Treatment Plant. Also, the city has tracked down and required residents to fix cross-connections which were putting storm water into the sanitary sewer system The money that was spent was spent during a time when mtere~ rates were low and when contractors were williing to work for less money so as not to layoff employees. Other sewer systems in our ' ' to arcs will have to endeavor to start this Barrie type of program, upgrading their syaterr~ and g their problems, or they wdl be will in seine position with the EPA as North ed. It is not really an option on our part to sit back and say that we can't do it or shoukhi't have done it and that we're not going to pass it on to the user. In May, a 3 mill levy that would have passed the costs on to all property owners in the city was defeateal. Now, our only alternative is a surcharge through the sewer rate to help get the sewer sy~em to the point that flooding is stopped and the requirements of the EPA are met. Mr. Musial asked if there would be any harm in tabling 94-120 to allow for more discussion. Mr. Burns commented that the sewer rates are structured so as to go into effect on November 1, with payments being made in December and the city receiving the fiords in January. The antic~ation of these sewer rates are an integral part of the budget. Mr. Musial asked Finance Chairperson Lind his feelings on tabling the ordince to agow for fiuther discussion. Mr. Lord ~atcd that the comunittee had amended the ordh-ance by decreasing the first year increase to 6% from 31%0. Also, the commdttee feels that at some future time this issue will have to be re-addressed as a property tax. Although the levy failed in May, a property tax is a more egtzhable method of ~armg the costs because all property owners will pay their fair share. Mayor Boyle agreed and said that large land owners in the city receive benefits by having the utilities available to their property, thereby increasing the vahre of the property. They do not pay for this benefit unless the property is sold; however, homeowners are paying continuously every tLree months based on their water consumption. Mr. Iatnpcrt stated he felt the city mould ~ lookia~g to make sure that all possible sohMions have been reviewed because he believes that less the half the city lines have been ffispected. He Questions how much the city can affaird and feels that what is went should be meat as wisely as posss~le. Mayor Boyle said that Council reviews this issue many times every year--through the Streets & Drainage Cotee, through the Finance Comn~ttce, through discussions on Issue 2 applications, through discussions on borrowing sad thrnugh appropriations discussions. The repair work at the plant and the rehabilitation of the sewer Imes has been successfi. During the. most recent rain storm, the city experienced only 5% of the flooding that occurred during the 1989 5