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Agenda Section:9.C <br /> REQUEST FOR COUNCIL CONSIDERATION Report Number:93-597C <br /> vacs Report Date: 8-19-93 <br /> STAFF REPORT Council Action: <br /> 0 Special Order of Business <br /> CITY COUNCIL MEETING DATE August 23, 1993 0 Public Hearings <br /> ❑ Consent Agenda <br /> E] Council Business <br /> Item Description: Action on Ordinance No. 529 Establishing A Surface Water Utility and Amending <br /> Mounds View Municipal Code by Adding Chapter 73 <br /> Administrator's Review/Recommendation: <br /> - No comments to supplement this report <br /> - Comments attached. <br /> Explanation/Summary (attach supplement sheets as necessary.) <br /> SUMMARY; <br /> On June 21, 1993, the City conducted a public information meeting on the proposed Surface <br /> Water Management Utility (SWMU). The informational meeting was preceded by four Council <br /> meetings in which the utility concept was discussed with other financing options.. <br /> The official public hearing on the proposed Surface Water Management Utility was held on <br /> July 28, 1993. <br /> The ordinance establishing the utility was introduced at the Council meeting on August 9, <br /> 1993. <br /> Perhaps the best way to describe the purpose of establishing,the Surface Water Management <br /> Utility is found in Section 1, Subdivision 2, (b) of the attached ordinance. <br /> "The system [storm water system], as constructed, heretofore has been financed and <br /> paid for through ad valorem taxes. Such financing methods were appropriate to the <br /> circumstances at the time they were used. It is now necessary and desirable to provide an <br /> alternative method of recovering some or all of the future costs of improving, maintaining and <br /> operating the system through the imposition of user charges." <br /> The reason for this utility is that the City of Mounds View (preceded by numerous other cities) <br /> can no longer fund all basic system services based exclusively on the dollar value of property. <br /> The old concepts that were once a part of funding municipal operations and based on <br /> property taxes have given way, out of financial necessity and'social demands, to more <br /> equitable "user" fee concepts that place responsibility and payment for services onto the <br /> "users" of a system not just the taxable property owners. <br /> bi/14 <br /> Tim Cruikshank, Acting City Administrator <br /> RECOMMENDATION: <br /> Motion to waive the reading and formally adopt Ordinance No. 529 Establishing a Surface Water Management <br /> Utility and Amending the Mounds View Code by Adding Chapter 73 <br />