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CITY COUNCIL WORK SESSION MARCH 7, 2001 <br />Council Member O'Donnell stated he wanted to see a tiered fee for sewer also based on <br />water usage. City Engineer Powell replied a tiered rate is not necessary for sewer. The <br />City has to charge sewer fees for water going into the sewer, not for water used for <br />irrigation. Finance Director Rolek explained why the winter usage is used as an average <br />in the calculation. <br />Council Member Carlson indicated she had suggested that the City not collect the entire <br />$300,000 for depreciation and use some of the assessment fees when the system is <br />replaced to help defray costs to low users. City Engineer Powell advised depreciation is <br />based on the value when the City gets the system. Assessments will not cover <br />replacement costs. Depreciation takes the value of the system now over the next 50 years <br />and does not include the increased costs of installing the replacement system. <br />Council Member O'Donnell asked if the City's billing system can <br />City Administrator Waite Smith advised a tier system could no <br />meters are installed. <br />le a tier system. <br />ntil all the <br />Council Member Carlson asked if the depreciation co h to b actored in all at once. <br />City Administrator Waite Smith advised both fund ha ney even with out <br />including depreciation. <br />Council Member Dahl inquired about the C ng ban. City Engineer Powell <br />advised the City must have enforcemen h an fective watering ban. <br />Chief of Police Pecchia advised t artment typically enforces the ban. It is a <br />problem not knowing who has d`�3� o is on City water. <br />Council Member O'Doned hly supports covering the depreciation costs at <br />one time. He stated <br />woul• to tier the sewer fee. <br />Mayor Bergeson advise he °City needs to cover the real costs and he would prefer to do <br />it all at once also. <br />City Engineer Powell stated the City could come up with an average use for homes that <br />do not have meters. A flat fee of $40.00 and $1.00 per 1,000 gallons could be used. That <br />calculation will keep the low users at their current costs. The City could also develop a <br />commercial/industrial or institutional rate. <br />Council directed staff to obtain information on an institutional fee and a flat fee with <br />usage fee to be presented at the next work session. <br />Finance Director Rolek noted the new fee will not be retroactive. It will be added to the <br />next billing cycle after it is approved. <br />5 <br />