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HomeMy WebLinkAbout11-15-2012 Minutes MINUTES EN HILLS FINANCIAL PLANNING&ANALYSIS COMMITTEE Thursday,November 15,2012 6:00 P.M. Council Chambers,Arden Hills City Hall CALL MEETING TO ORDER AND ROLL CALL The meeting was called to order by Jim Ostlund at 6:00 pm. MEMBERS PRESENT:Jim Ostlund;Arlene Mitchell;David Radziej;John Braun MEMBERS NOT PRESENT:Katy Peters,David Grant,Council Liaison OTHERS PRESENT: Sue Iverson,Kyle Howard Call to Order 1. APPROVAL OF THE AGENDA Motioned:David Radziej Seconded:Arlene Mitchell 2. UNFINISHED AND NEW BUSINESS A. Continue Discussion of Utility Rate Study The first thing covered at the meeting was the new tier structures that the FPAC requested at the November 7th meeting.These new tiers were entered into the Excel model to calculate total estimated • revenue for the Utility Funds.After reviewing the new tiers FPAC moved on to looking at the actual cost associated with each level of the tiers.Discussion started out covering what the cost to the City was to purchase water from Roseville and projected increases in future years.It was stated that the City currently pays$2.40 per 1,000 gallons for water purchased from Roseville.This is a combination of the cost that Roseville pays St.Paul for the water,plus overhead Roseville charges the City.Sue Iverson noted that Roseville will be increasing the overhead they charge by$8,000 next year. Staff would continue working on cost for each tier to generate the proper cash flows to cover the capital expenditures and operating budget. The next issue FPAC revisited was the new tier structures.These tiers showed that there was not any major benefit gained by creating the new tiers.The committee determined that staff should use the current tier system and add a new level of 0-10,000 gallons.This structure was preferred since the current rate structure is working and the goal is to help the low end users.The committee also felt that the major change in tier structure might be a too dramatic of a change at this time. 3. REPORTS A. Reports from the City Council No reports from the Council. • City of Arden Hills 1245 West Highway 96•Arden Hills Minnesota 55112 Phone 651.792.7800•Fax 651.634.5137 www.ci.arden-hills.mn.us MINUTES -zS EN HILLS 4. ADJOURNMENT Motioned:Jim Ostlund at 7:00 pm. Seconded:Arlene Mitchell Jim Ostlund,Chair Susan K.Iverson,Finance Director • • City of Arden Hills 1245 West Highway 96•Arden Hills Minnesota 55112 Phone 651.792.7800•Fax 651.634.5137 www.ci.arden-hills.mn.us