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LAKE ELMO CITY COUNCIL MEETING JUNE 7, 2011 3 <br />MOTION: Council Member Park moved Agenda Item No. 9 Commercial Water Rate for <br />discussion. Council Member Pearson seconded the motion. The motion passed 5-0. <br /> <br />Commercial Water Rate - Discussion <br />The City Council voted to table this issue from the May 17 Council meeting to the May <br />24 workshop for further discussion, but it was cancelled because of a lack of quorum. <br /> <br />The City Council approved the water conservation rate in 2009 in order to comply with <br />state requirements, but the new system has led to unintended spikes in water bills for <br />business like hotels and restaurants that require large volumes of water for their <br />operation. <br /> <br />Tom Bouthilet, Finance Director, presented a number of alternative billing arrangements <br />such as the seasonal rate system. The Staff recommends the City pass on the alternatives <br />and instead modifies its current system, which breaks down businesses and residences <br />into usage tiers with escalating charges per 1,000 gallons used. He said the challenge for <br />the City is to find a way to satisfy state requirements, city revenue needs and commercial <br />users with one system. <br /> <br />Mo French, Wildwood Lodge, stated she appreciated the efforts of the Council and staff, <br />but said the sooner changes are made the better. <br /> <br />This agenda item will be discussed at the next City Council workshop. <br /> <br />Kindred Court Drainage Corrections: Approve plan and order design <br />The City Council was asked to consider approving the Kindred Court Drainage <br />Corrections project in 2011 by authorizing design, directing staff to obtain contractor <br />quotes, and retaining a contractor to complete the work for a not to exceed total project <br />amount of $44,200. <br /> <br />Due to a minimal street grade and localized settlement on the street in this area, the <br />roadway has not drained properly over the past several years. The trapped water is a <br />hazard and will continue to further deteriorate the roadway if left unrepaired. The captive <br />water creates a pond in the roadway centered at the end of the driveway at 3720 Kindred <br />Court. During freezing conditions, an ice patch forms in this area that covers over half <br />the road. The Public Works Department has made multiple attempts to correct the issue. <br /> <br />Corrective work for Kindred Court is not part of the City’s Street Capital Improvement <br />Plan. Funding for this project would need to come from the street maintenance funds, <br />which, for the 2011 Budget, is already 100% dedicated. This is not an assessable project. <br />The Finance Department identified two funding alternatives. <br /> <br />MOTION: Mayor Johnston moved to approve the Kindred Court Drainage Corrections <br />project to be constructed in 2011 and funded through Bond proceeds for the 2011 Street <br />Improvement Bonds, for a not to exceed amount of $44,200. Council Member Pearson <br />seconded the motion. The motion passed 5-0.