CCP 03-30-1992 - Laserfiche WebLink

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ij II -- ~ Arden Hills Council 7 March 9, 1992 funds until 1989 at which time a quickly g.owing disparity began to occur between fees collected and cost of se.vices. He supported Council member Ma lone's approach of graduall y co..ecting the utility fund p.oblem. Mayo. Sather commented that the City, in addition to implementing a plan to co.rect the p.esent p.oblem, must also add.ess the futu.e needs of the utility funds and the ultimate goal of gaining utility .ese.ves which would accumulate inte.est to help defray costs. Sathe. suppo.ted the g.adual app.oach Councilmembe. Malone had p.esented. Councilmember Hicks suggested that the City, when p.esenting the utility rate increases to the public, explain the impact in dolla.s and cents .ather than dealing in pe.centages. He said that dollar figu.es appear less d.astic while percentages make the situation sound worse and may create confusion. Counci1member Mahowald said that since the multi-phase concept may be very confusing, it may also be app.op.iate to explain the concept in simplest fashion. ~ Councilmembe. Hicks asked that Councilmember Malone p.ovide the City Accountant with his calculations so that detail and p.ojections may be d.afted. MOTION: Hicks moved, seconded by Mahowald, to adopt the following schedule of utility rates. Motion ca..ied unanimously (5-0): Residential: - 19.2% wate. rate increase each year fo. the next two years - 25% sewe. rate increase each year fo. the next two yea.s - Continue minimum rates based on 11,400 gallons/qua.ter - Continue senio. discounts using the same premise as cu.rently utilized Commercial: - 1992 .ates 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 .ate schedule and .easons fo. the inc.eases, and fo.ward the d.aft to Council for comments no late. than March 16, 1992. .