12-06-2004 SPECIAL - Laserfiche WebLink

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Given that, fees were established. Staff believes that the methodology for assigning these rates, which have been employed since the early 1990’s, do not perform as intended. Some residents / property owners have also expressed a dissatisfaction with the current methodology for assigning these charges. ISSUES WITH THE CURRENT SYSTEM  Section 908.03, subdivision 2 of the City Code calls for “the surface water management fee for residential, town-homes/condominiums, apartments and mobile home parks will be determined on a per-household basis rather than a per acre basis”. The current adopted fee schedule assigns charges based on acreage for medium density and high density residential, as well as mobile home parks. These documents should be consistent.  The rates for all non-residential property including business, commercial, and industrial properties are adjusted with a “utility factor” (see section 908.03 subdivision 3.b. of the attached City Code). This methodology assumes that all properties with a particular land generate the same burden on the City’s Storm Water System. Staff contends that is not accurate and is an oversimplified way to assign storm water charges.  The current rate structure for all non-residential property uses the total gross area as a multiplier, regardless of what the land is. Example: the total area (in acres including wetlands, ponds, City ponding easement areas) is multiplied by the utility factor. Staff, and several property owners, believe that assigning storm water charges to property containing wetlands, ponds, or City ponding areas places an unjustified additional financial burden on these properties. This is especially true in cases where a wetland or pond that the City is utilizing and discharging storm water to is on private property. ILLUSTRATIVE EXAMPLES – Based on the Current System  A 10,000 square foot building on 2 acres will generate the same amount of storm water runoff regardless of whether its land use is a residential business or industrial. However, the residential business use will pay 28% more in storm water utility fees than the industrial use.  Two parcels eight-acres (8ac.) in size with the same land use will pay the same storm water utility charge. However one parcel maybe vacant or have a large wetland occupying most of the lot and generate very little storm water runoff whereas the other parcel may contain a large building with a large parking lot thus have a lot of impervious area, consequently generating more storm water runoff.