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ENTERPRISE FUNDS-WATER & SEWER <br />Overview <br />Enterprise funds are used to finance and account for the acquisition, operation, and maintenance of services. <br />These services are entirely or predominantly self-supported by user charges. The City of Little Canada operates <br />two enterprise funds, the Water Fund and the Sewer Fund. The accrual basis of accounting is used for these <br />funds. However, capital outlay items are recorded as expenses during the year and reclassified to assets during <br />the audit preparation. <br />Water Fund: <br />The Water Utility Fund is a self-sustaining fund. The City maintains its own water distribution system. Water is <br />purchased from the St Paul Regional Water Services on a wholesale basis. Metering devices are maintained to <br />account for the usage. The Minnesota Department of Health sent notice that the drinking water service <br />connection fee will increase from $6.36 to $9.72 effective 1/1/2020. This fee is included on our bills. <br />Current Rates <br />A rate study is currently in progress. It is anticipated that this study will be completed this fall and the <br />final budget approved by Council in December will reflect any rate changes that are proposed as part of <br />the study. Current rates are as follows: <br />Description <br />Water Service Charge $13.50/Quarter <br />Water Rate $3.45/1,000 gallons (Winter rate) <br />$3.60/1,000 gallons (Summer rate) <br />Lawn Sprinkler Water Rate $3.60/1,000 gallons <br />Sewer Fund: <br />The Sanitary Sewer Utility Fund is a self-sustaining fund. The maintenance of the sanitary sewer lines and lift <br />stations are the responsibility of the City of Little Canada Public Works Department. The maintenance includes <br />inspections, flushing and cleaning of the sewer lines and routine maintenance of the lift stations. Wastewater <br />flows into the Metropolitan Council’s system to be treated. We have not received notice yet of the <br />Metropolitan Council 2020 rates. <br />Current Rates <br />A rate study is currently in progress. It is anticipated that this study will be completed this fall and the <br />final budget approved by Council in December will reflect any rate changes that are proposed as part of <br />the study. Current rates are as follows: <br />Description <br />Sewer Base Rate $15.00/Quarter* <br />Sewer Rate $3.90/1,000 gallons <br />with a $43.64 minimum for the first 7,000 gallons <br />*included in the minimum charge <br />DRAFT DOCUMENT 71