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Mayor Roe noted that this could create an increase for senior water use from $32 to <br /> $45/quarter. <br /> Councilmember Willmus suggested further defining how individuals qualify for the discount; <br /> and while it may be appropriate to have some type of discount, how it was offered needed <br /> to be tightened up. <br /> Mayor Roe spoke in support of looking at eliminating the senior discount, while cautioning <br /> that he anticipated considerable feedback from seniors in the community about the issue. <br /> Councilmember Etten questioned the feasibility of a means test that would be practical for <br /> staff to perform; with Finance Director Miller suggesting the easiest application would be <br /> through federal means testing by applicants providing a copy of their income tax returns. <br /> However, Mr. Miller did not see many qualifying under that type of means test. <br /> Mayor Roe noted that the poverty rate is not staff verified, only an honor system. <br /> Councilmember Laliberte concurred with eliminating the senior discount as it is now known; <br /> and if those seniors qualified on a means-tested basis, they could continue to receive the <br /> discount. However, with the current system, Councilmember Laliberte opined that there <br /> didn't appear to be a sufficient balance right now for other residents having to carry that <br /> burden. <br /> Councilmember Etten noted that other users may not be getting a fair rate when they may <br /> actually qualify. <br /> Councilmember Laliberte spoke in support of removing the consumption rate and <br /> questioned where that mandate had originated; opining that if you have more people in <br /> your house, a flat rate meant you paid more, and if fewer people, you paid less. <br /> Councilmember Etten spoke in support of means-testing versus a senior discount to better <br /> serve the community without overly taxing staff, and opined that it seemed to be a <br /> reasonable approach. <br /> Mayor Roe noted that people receiving deferment of their property taxes, as tested by <br /> Ramsey County, may be another testing option; however he noted that not everyone who <br /> pays property taxes also pays water bills. <br /> Finance Director Miller advised that he would further research the threshold for Ramsey <br /> County versus the federal poverty threshold. <br /> Regarding why the CIP Task Force went in the direction they did, Mayor Roe advised was <br /> due to their thorough review of base rates, levies, bonding. Through bonding done <br /> consistently over twenty (20) years, Mayor Roe advised that the interest would be incurred <br /> annually; while pay-as-you-go could be matched to rates on an annual basis, and would be <br /> easier for rate payers. Regarding putting the infrastructure costs on the tax levy versus fees <br /> paid, Mayor Roe advised that not everyone using water (e.g. non-profits such as schools <br /> and churches) paid property taxes and that didn't seem to be fair to the overall city <br /> taxpayer. As it is now set up, Mayor Roe noted that everyone receiving water service paid a <br /> base rate, and the usage rate based on the City's rate received from the City of St. Paul; <br /> with higher users not subsidizing infrastructure costs. Mayor Roe noted that it didn't wear <br /> 15 <br />