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Member Misra asked about the chart showing water usage per year. It looks like <br />2012 was an anomaly. But otherwise from 2008-2009, it looks like a plateau has <br />been hit. <br />Mr. Freihammer noted that the chart calculates averages. There is also a correlation <br />between precipitation and water usage, particularly in the summer. <br />Mr. Culver noted the trend is not just Roseville. St. Paul does not have that <br />significant of a base fee, so their rates are higher. Their revenue, then, is much <br />more reliant on usage. That is the dilemma of some of Cities. Pressure is being <br />applied by various agencies to push conservation, but that is a good source of <br />revenue for them. <br />Mr. Freihammer also presented information on Roseville's water main system as <br />well as on water main breaks. <br />Mr. Culver noted that in 2014, there were quite a few water main breaks, as the <br />frost line was so deep. The breaks typically happen in the early spring, as the <br />ground starts moving. Currently, 6 to 7 miles per year of sewer mains are being <br />lined, so in 10 to 12 years, virtually all of the sewer mains will be like new. The <br />hope is that someday soon that same new technology will be applied to water lines. <br />Currently, there are approximately 30 water main breaks a year. On average, those <br />cost $5,000 to $10,000. To replace a water main proactively is very expensive, and <br />so it does not make a lot of sense to replace the pipe until there are issues with it. <br />Member Kruse asked if the City owns 100% of the water infrastructure once it <br />enters the City. <br />Mr. Culver explained there is a small section of pipe that feeds the booster station <br />that is owned by St. Paul. The City of St. Paul also owns the piping from its <br />treatment facility to that reservoir. But otherwise, it is all owned by Roseville. <br />Member Joyce asked about fire hydrants. <br />Mr. Freihammer explained that every time a road project is done, all the hydrant <br />valves are replaced. <br />Mr. Culver asked for Commission feedback and discussion on whether to adjust <br />utility rates. <br />Chair Cihacek stated for the benefit of the new Commissioners that the PWET's <br />prior recommendation was to maintain the current rate structure. He summarized <br />that there is abase rate, which covers operation and maintenance of the system, and <br />a consumption rate at different tier levels. There has been discussion about raising <br />all rates or raising one of the rates. Different members have expressed different <br />opinions. <br />Page 7 of 9 <br />