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MINUTES ~:+ ~-, REGULAR CITY COUNCIL MEETING FEBRUARY 24, 1982 PAGE 3 Clerk Administrator Barnes presented proposed Ordinance ~~188 increasing SEWER CHARG the sanitary sewer charges. He explained that the charges to the City INCREASE by the Metro Waste Control Commission for the year 1982 have been in- DISCUSSION creased from $172,231.93 in 1981 to $280,321:.74 making it necessary to increase the City's charges to users as follows: Residential $19.00 per quarter-Commercial to $,73 per thousand gallons. In answer to a question from Councilmember Eggert regarding the purpose of charging over the amount necessary to cover the Metro Waste charges, Clerk Administrator Barnes explained that the overage will be held in the sanitary sewer fund for any necessary repairs to the sewer lines. He also explained that the a survey of sewer charges in surrounding communities indicated that many have much higher rates than those pro- posed for Falcon Heights. Mayor Warkentien mentioned the fact that Roseville has a reduced rate for senior citizens and that he, personally, did not think Falcon Heights should consider a special rate for seniors, but that Council should be aware of the fact in the event they receive phone calls on the matter. Clerk Administrator Barnes explained that Roseville is more able to subsidize seniors due to the fact that Roseville has large commercial accounts. Councilmember Ciernia inquired as to whether or not the increased charges made by Metro Waste Control includes overflow charges. Clerk Administrator Barnes informed that there is a $5,200 charge for lake overflow, however, that amount will be held back until the overflow matter is resolved. Councilmember Eggert asked what kind of potential problems might occur and if the reserve ($100,000 presently in the fund plus the addition of $70,000 during 1982) is adequate, inadequate or excessive. Engineer Lemberg replied that sewer cleaning, any contractual labor, cave ins, sewer line breaks, etc. would be paid from the fund and that $100,000 would not be adequate in the event of extensive repairs. In reply to an inquiry by Councilmember Eggert, Engineer Lemberg explained that many variables enter in to the method by which communities determine adequate reserves for sewer problems such as the type of sewer system, depth of sewers, a percentage of the length of sewers, etc. Clerk Administrator Barnes explained that the revenues which will be kept in reserve, hopefully, will be sufficient so that rate increases will not be necessary for several years even though the Waste Control Commission can increase their rates at any time. Councilmember Eggert stated he was not unhappq with the increase but did not feel it would be reasonable to add $70,000 yearly to the reserve fund. He agreed it was necessary to build up the depleted fund. Councilmember Larson moved, seconded by Councilmember Ciernia, that Ordinance X188 be adopted as presented and that the Clerk Administrator be authorized to publish the same. Motion carried unanimously.