03/26/2001 Council Minutes - Laserfiche WebLink

Home Search

• • COUNCIL MINUTES MARCH 26, 2001 Council Member Dahl asked why the City has not generated enough revenue to cover the costs. Finance Director Rolek advised the City has added a lot of infrastructure. The depreciation costs have increased considerably. Developers do pay for the pipe but the City has to pay to replace the system at some time in the future. Council Member Dahl clarified that developers do pay for the initial piping but not for depreciation. Council Member O'Donnell moved to adopt Resolution No. 01 — 05, as presented. Council Member Reinert seconded the motion. Council Member Reinert amended the second to include a condition that staff prepare a resolution to make sure the extra dollars be put into a fund to make sure they are set aside for depreciation. He asked that the resolution be prepared for the next meeting. Council Member O'Donnell agreed to the amendment. Council Member Dahl stated she also feels that the funds need to go ate account. She asked if there could also be a statement put on the bill indicating t t and ;:= e for depreciation. She stated people would be less upset if they understand why t up. City Engineer Powell advised a flyer can be included in and why the City is creating the fund. Staff is pre clear regarding the additional funds. Mayor Bergeson indicated the flyers c additional funds do go into a sep necessarily set up a separate f of the system. The funds customers about the increase resolution to make the City's intent e s administratively. He stated he is sure that the ance Director Rolek stated the intent is not to ut t funds in a designated fund for the future replacement ted every year. Mayor Bergeson clan t'"' ` depreciation funds can be tracked and will be in a separate account. Council Member Dahl a ed how much of the funds would be designated for depreciation. Finance Director Rolek stated approximately $300,000 per year will be designated for depreciation. City Administrator Waite Smith noted that the City did miss out on the first quarter of the additional funds for this year. City Engineer Powell added that the increased costs would not be retroactive to January 1, 2001. The increased costs will be adjusted for the next billing cycle. Motion carried unanimously. Council Member Dahl moved to adopt Resolution No. 01-19, including the condition that staff • prepare a resolution to make sure the extra dollars be put into a fund to make sure the they are set 4