CCP 03-30-1992 - Laserfiche WebLink

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.... !! . Arden Hills Council 7 March 9, 1992 funds un ti I 1989 at which time a quickly growing disparity began to occur between fees collected and cost of services. He supported Councilmember Malone's approach of gradually correcting the utility fund problem. Mayor Sather commented that the City, in addi ti on to implementing a plan to correct the present problem, must also address the future needs of the utility funds and the ultimate goal of gaining utility reserves which would accumulate interest to help defray costs. sather supported the gradual approach Councilmember Malone had presented. Councilmember Hicks suggested that the City, when presenting the utility rate increases to the public, explain the impact in dollars and cents rather than dealing in percentages. He said that dollar figures appear less drastic while percentages make the situation sound worse and may create confusion. Councilmember Mahowald said that since the mu1 ti-phase concept may be'very confusing, it may also be appropriate to explain the concept in simplest fashion. . Counci1member Hicks asked that Councilmember Malone provide the City Accountant with his calculations so that detail and projections may be drafted. MOTION: Hicks moved, seconded by Mahowald, to adopt the following schedule of util ity rates. Motion carried unanimously (5-0): Residential: - 19.2% water rate increase each year for the next two years - 25% sewer rate increase each year for the next two years - Continue minimum rates based on 11 , 400 gallons/quarter - Continue senior discounts using the same premise as currently utilized Commercial: - 1992 rates of $2.19/1,000 gallons - 1993 rates of $2.60/1,000 gallons staff was directed to draft a letter to the public explaining the increased rate schedule and reasons for the increases, and forward the draft to Council for comments no 1 ater than March 16, 1992 . .