11-09-11 Council Workshop Minutes

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MINUTES CITY COUNCIL NOVEMBER 9, 2011 minimum. The Met Council's treatment rate increased by .5% for 2012, and the City's metered flows for the 2010/11 measurement period increase by 29 %, resulting in increased treatment costs of $144,655. The Director reported that the City is taking steps to minimize inflow /infiltration (1 & I), noting the City Engineer's study of the Met Council line that is being turned over to the City. Improvements to this line should result in some improvement. The Director also noted that the previous two wet summers have contributed to this situation, and a return to a normal summer should improve the I & 1 situation. The Director reported that information gained from the water meter replacement program should be helpful in setting 2012 sewer rates. As future water usage is more accurately measured, higher water usage is expected to be billed. This will result in higher sewer rates for accounts using more than the minimum water usage. Blesener asked about water delivery planning for when the City's water tower is painted noting that during the last painting the connection with the City of Roseville was opened to provide for water pressure maintenance. He suggested that at that time more water may have flowed back into Roseville than Little Canada received from Roseville. The Superintendent indicated that he and the City Engineer will put a plan together for when the water tower is out of operation, taking into consideration the City's experience the last time the tower was painted. With regard to I & I issues related to the Met Council turnback, the Superintendent reported that the City Engineer is putting together plans and specs for upgrades that will be necessary to the sewer line to correct I & I problems. The Superintendent also indicated that staff is currently discussing the televising of sewer lines, with the thought that sections of the City will be televised and those tapes compared to the ones done in 1996/1998. Staff is continuing to study the issue of televising of sewer lines, and will put together a recommendation. Blesener asked how leaks would be corrected. The Superintendent indicated that there are different options depending on the type of pipe, etc. Keis asked if the City would be subject to penalties for I & I. The Director indicated that the amount of I & I the City has is outside the penalty range. Blesener then noted that even though the City is proposing a 0% levy increase, homeowners will likely still see an increase in the City share of property taxes. The City Administrator reported that that is correct given value reductions and the State phasing out the Market Value Homestead Credit (MVHC). Because of the elimination of the MVHC shifts in the property tax burden are occurring from lower valued homes to higher valued homes and commercial property. The City Administrator noted, however, that the elimination of the MVHC will 5