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<br />MEMORANDUM <br /> <br />To: Centerville City Council <br /> <br />Cc: Paul Palzer, Teresa Bender, John Meyer <br /> <br />From: Tom Peterson, Bonestroo Rosene Anderlik <br /> <br />Subject: Sewer and Water Rates <br /> <br />Date: January 7, 2005 <br /> <br />At the December 20, 2004 City Council meeting, we were directed to provide a proposal for <br />engineering services to investigate current rates. I have spent several hours looking through old <br />documents, talking to Staff, and preparing this memo. I do not think a detailed analysis is <br />necessary, so only the time spent preparing this will be billed. <br /> <br />Bonestroo Rosene Anderlik performed a Sewer and Water Rate Study in 1999. Information was <br />presented relative to the operation and maintenance of the City's utility systems. At that time, <br />recommendations were made to increase rates and connection charges to close the shortfall and <br />build each fund to pay for future capital improvement projects (lift stations, water tower, well, <br />etc.). <br /> <br />The current rates are generally less than similar sized communities in the metropolitan area. We <br />feel they could be raised in 2005 to help offset costs for the new water tower, MCES charges for <br />pumping sewage, upgrades to force mains, and a future lift station. <br /> <br />SanitaIy Sewer: <br />Utility Billing was $49 per quarter in 2004; was $39 in 1999 and recommended $51 by 2003. <br />Recommend $53 in 2005. <br />Residential Equivalent Unit (REV) was $2,000 in 2004; was $1,750 in 1999. Recommend <br />$2,150. <br />Sewer Availability Charge (SAC) was $1,350 in 2004; was $1,050 in 1999. Recommend <br />$1,500. <br />