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111 <br /> Mounds View City Council <br /> Regular Meeting Page Six <br /> October 14, 1991 <br /> Because Tank No. 1 by itself does not meet the elevated ca acit <br /> requirements for Mounds View and because of the potential p y <br /> rehabilitation costs, it is recommended that Tank No. 1 be dismantled <br /> and replaced by a new 500,000 gallon elevated tank. <br /> With these two improvements, both the capacity and location <br /> requirements for water storage in Mounds View will be met. <br /> Minetor recapped by saying that the total cost would be $760,000. This <br /> would include removing two towers and rebuilding one. This cost is <br /> cheaper than rebuilding the old ones because of the procedure involved <br /> in manually taking down the towers, sandblasting them, put back up or <br /> using some of their parts . In the other case, you would have to shroud <br /> the entire tour, sandblast, scoop up the residue and send it out of <br /> state at approximately $500 per barrel. This procedure is far too <br /> costly. <br /> MOTION/SECOND• Quick/Wuori to direct staff to proceed with the <br /> preparation of plans and specifications for construction of a single <br /> tank and removal of two existing tanks . 0 <br /> 5 ayes 0 nays <br /> Motion Carried <br /> 5 . Samantha Orduno, City Administrator, reviewed Staff Report No. <br /> 91-93C regarding alternative revenue funding programs . Orduno <br /> stated that as a result of a loss of State aid, declining real <br /> estate values and restructuring of the property tax formula, <br /> municipalities are forced to find additional sources of revenue <br /> to maintain adequate service levels . City staff began researching <br /> other revenue sources that are user fee based and are fair and <br /> equitable. Orduno introduced Tim Cruikshank, the City's Administrative <br /> Intern, to present two proposed option, <br /> Cruikshank presented the two options which are: 1) a street light <br /> utility program and, 2) an electrical franchise fee. g <br /> The street light utility charge would shown on the water bill received <br /> by the resident. This street light utility _ <br /> resident for a service that, in the past, had bee paiidmeanoutho gin <br /> the <br /> general fund. The .franchise fee would be collected by Northern <br /> States Power on the resident's utility bill and revenues would be <br /> returned to the City after one year. The franchise fee could <br /> be 4 percent of the resident's utility bill. <br /> Mayor Linke stated that the City is trying <br /> These revenues will be paid by the homeowners .rhe more e arlvenue. <br /> Government cannot take any more aid from the Citybecausethey <br />