2015-03-05 Res. #15-008 Forwarded to Reps. NE Water Summit

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• the parties have agreed to a $623 million regional water supply project designed by the Metropolitan Council to serve 13 communities;and • the parties have agreed to a new revenue generating mechanism through taxation, fees, or other means to pay for operation of a new regional water supply project;and • the agreement creates a requirement to establish a protective elevation for White Bear Lake; and • the agreement requires the DNR to use their"best efforts"to enforce through appropriation permits new water use restrictions,conservation standards,and water rate structures;and • the agreement requires implementation of a groundwater management area plan; and WHEREAS,MN Statutes 103G.261 includes water allocation priorities, among them domestic water supply,agricultural irrigation,and power production. Non-essential uses are assigned the lowest priority, among which are recreational uses among others; and NOW, THEREFORE, BE IT RESOLVED: That the City of Centerville does not support the settlement agreement for the following reasons: • The entire predicate of the settlement agreement is speculative and premature. Current science does not support or guarantee that implementation of the settlement agreement will increase lake levels of White Bear Lake. • Extensive scientific study remains underway by the USGS and others concerning interaction between ground waters and surface waters, and adopting a complex and expensive regulatory framework which decreases availability and increases cost of municipal drinking water is not warranted. • The "Project" which proposes to supply 13 communities with surface water drawn from limited sources would require communities to connect to a regional water supply system as a mandate. The City opposes this approach, as it wishes to maintain local control over important decisions that impact its citizens. • There are alternatives that likely would be more feasible, effective, and less costly than the solutions outlined in the settlement. • The"Project"will considerably increase operating costs of the City's water utility. • Phase 2 communities do not benefit from the equitable cost sharing arrangements that Phase 1 communities benefit from. • The City opposes the creation of a new taxing district or other fee structure to pay for operation of a water supply system that does not serve the City. • The settlement concludes that all parties,including the DNR,agree that surface water should be the source of water for the northeast metro. The DNR's North and East Metro Groundwater Management Area planning process has not been complete and has not reached this conclusion. The agreement predetermines the outcome of the process, and requires implementation of a plan without supporting facts or data or input from stakeholders.