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Minutes from the January 28, 2013 Council Meeting Consider the 2013 Water Consumption Rate Adjustments A bench handout entitled, Attachment C, Alternative 1 - Proposed Water Utility Rates" was provided, attached hereto and made a part hereof. Finance Director Chris Miller advised that tonight's requested action was a continuation of City Council discussions held December 3 and December 10, 2012; at which time 2013 Utility Rates had been adopted with the exception of water consumption rates until staff could gather additional information regarding water conservation rates and other concerns or issues raised during those discussions. Mr. Miller noted these discussions were related to ramifications and considerations if the City Council was to revert back to its previous rate structure as opposed to adding additional tiers. Mr. Miller advised that the staff report included that further research and staff recommendations, as well as information from Public Works Director Duane Schwartz related to compliance issues if a multi-tiered rate structure was used versus a uniform rate. At the request of Councilmember Willmus, Mr. Miller confirmed that the City Council had adopted a base water rate of $49.50 in 2011, and validated it in December of 2012 for transparency purposes. Mayor Roe suggested that if the City Council wished to have additional topics of discussion about the base rate or a single tier for the water consumption rate, that it be discussed at a future meeting; and to focus on whether or not a 2013 consumption rate could be adopted at this time. Mayor Roe noted that the February 11, 2013 meeting agenda was rather light at this time, and would lend itself to a policy discussion on rate structures. Willmus moved, Etten seconded, adoption of Resolution No. 11046 (Attachment A) entitled, "Resolution Establishing the 2013 Water Consumption Rates;"amended to maintain the base usage rate currently in effect; and maintain 2012 consumption rates for 2013 in the interim until further discussion could be held by the body. Discussion ensued regarding the 2013 wholesale water rate for purchases by the City of Roseville from the St. Paul Regional Water Utility, with Mr. Miller advising that the rates had originally been increased by approximately 5%; however, they were in the process of reviewing their internal rate structure, and had indicated that the proposed rate could decrease. However, Mr. Miller advised that no matter that outcome, which will not be known until February or March of 2013, if the City Council retained the 2012 usage rates, the City should remain viable, as long as it acknowledged that the rate model and methodology used over the last ten (10) years by the City of Roseville and St. Paul Regional Water Utility could be changing significantly. Mr. Miller anticipated the earliest staff would be able to discuss results of that internal rate study would be sometime in February, and may 11