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MINUTES <br />CITY COUNCIL <br />MARCA 10, 1993 <br />WATER SUPPLY The City Administrator reported that the City has <br />STUDY received over a 19% increase in water purchasing rates <br />from the City of St. Paul. The City must pass on a <br />portion of that increase in order to maintain the <br />integrity of the City's water account. The other <br />alternative would be to develop the City's own water <br />supply source for residents. <br />The City Administrator reported that some rough <br />analysis has been done in the area of developing Little <br />Canada's own water source. The City Enqineer has <br />submitted a proposal dated March 4th detailing the <br />parameters of a study his office would undertake <br />investigating this option. Alternatives that would be <br />looked at would include well supply with common <br />softening plant; well supply with common iron and <br />manganese removal plant; wells with individual <br />softening plants; and wells with individual iron and <br />manganese removal plants. Estimated cost of the study <br />would be $3,500. <br />LaValle asked if the City would have to build another <br />water tower should it develop its own supply wells. <br />The City Engineer did not believe so. The Engineer <br />also indicated that the $3,500 estimate is just an <br />estimate for the study. Should information change that <br />would require more effort, the price could increase. <br />Morelan asked the possibility of the City's deliverinq <br />its own water to residents of the same quality as that <br />supplied by St. Paul. <br />The Engineer did not believe the City could produce <br />water of the same quality that St. Paul supplies. <br />Water from St. Paul is softened. <br />The City Administrator stated that our analysis will <br />have an option of providing the same quality water <br />(softened), but lesser options will also be evaluated. <br />The reasoning for this is due to what types of water <br />sypply are available in other cities. <br />Scalze felt that the City should look at providing <br />softened water as an option. <br />The City Administrator explained how the financing of <br />development of a City well system would work. Water <br />revenue monies would be used to pay the debt that would <br />be financed to construct a City well system. These <br />water revenue funds are the same monies that are <br />currently being paid to the City of St. Paul for water <br />usage. The Administrator did not anticipate the <br />necessity for an increase in water rates to construct a <br />well system and no tax funds will be proposed. <br />Page 13 <br />