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HomeMy WebLinkAbout20101213 UC Minutes• 4ROSEMOUNT PUBLIC WORKS DEPARTMENT UTILITY COMMISSION MINUTES December 13, 2010 Pursuant to due call and notice thereof the regular Utility Commission meeting of the City of Rosemount was called to order on December 13, 2010 at 5:30 p.m. in the Conference Room of the City Hall by President Shawn Mulhern. Those present were Commission Members Harmsen, Speich, City Administrator Johnson, Finance Director May, Executive Director Brotzler, and Recording Secretary Dorniden. ADDITIONS OR CORRECTIONS TO THE AGENDA None. AUDIENCE INPUT None. MOTION by Harmsen to approve the minutes of the August 9, 2010, regular Utility Commission meeting. Second by Speich. Ayes: Mulhern, Speich, Harmsen. Nays: None. Motion carried. • OLD BUSINESS None. NEW BUSINESS 6a. Water Rates Executive Director Brotzler reiterated what was in the Executive Summary reminding the Commissioners that the tiered rate structure was mandated from the Minnesota Department of Natural Resources. They are the ones that issue our water appropriation permit annually and determine if we can install a new well. The residents of the Crosscroft community are the ones that initiated the discussion topic for the meeting. They are a community (association) of 150 detached individual townhomes with four (4) irrigation systems within their community. Gerry Falkowski, 13585 Crossglenn Path is the President of the Association. Larry Baker, 13674 Crossmoor Court is a board member. They were both representing their Association. Mr. Falkowski showed the Commission a pictorial of the community, which they consider single family homes. Executive Director Brotzler referred to the community as a hybrid development. SPIRIT OF PRIDE AND PROGRESS 2875 145th Street West • Rosemount, MN 55068 -4997 • 651 - 423 -4411 • TDD/TTY 651 - 423 -6219 • Fax 651 - 322 -2694 www.d.rosemount.mmus UTILITY COMMISSION MINUTES December 13, 2010 • After discussion at meetings this year the top rate of the tier that had been adopted was eliminated and an individual rate for irrigation meters was established at $2.00 per thousand. Executive Director Brotzler presented three different options the Commission could consider for this item: 1. Do nothing. 2. Do nothing now, but review rates in 2011 for 2012. 3. Eliminate irrigation rate for residential properties and calculate the irrigation usage for the number of units served. The Enclave is the same type of system as the Crosscroft Community and their bills are calculated on the tiered system. Changing the way billing is done would set a precedent. The current utility billing system has constraints to option three and manual calculations would have to be completed. Mr. Baker said the Association has done upgrades to their irrigation systems replacing controllers. Residents are billed for the water through their Association fees which are based on the previous years. Mr. Baker was adamant that Crosscroft should be billed at a residential rate as the Shannon Parkway residents are that have second water meters. They are single family residents also. Finance Director May explained that a second meter is an individual choice, not a requirement. The resident • would pay for the water through the tier system, but it doesn't reflect on their sewer charges. Finance Director May wanted to reiterate that this tier system is mandated from the DNR. The City still has to collect to cover their fixed fees, capital improvements, foreclosed properties, etc. and budget properly. Mr. Baker stressed that they are homeowners and want to be treated like other homeowners so the City needs to look at a way to balance out the rates so they aren't treated differently. President Mulhern wondered if other cities were contacted as to their practices. Finance Director May read from the Rate Study where other cities processes were listed. Some have been doing the tiered system for awhile, while others are complying like Rosemount. Executive Director Brotzler explained that the base usage was lowered as the tiers came into effect. Mr. Baker said it wasn't their intention to "hammer" this request out tonight, however they want to work with the City to make their Association feel like other residents and to continue to come up with a solution beneficial to all concerned. They will be meeting with the Council at the Council Work Session on Wednesday evening. The Commission agreed to table this item until next month provided it's necessary after Mr. Baker and Mr. Falkowski meet with the Council. • It was reiterated that "conservation" is the key. 2 UTILITY COMMISSION MINUTES December 13, 2010 • PRESIDENT'S REPORT None. EXECUTIVE DIRECTOR'S REPORT 8a. PROJECT UPDATE Executive Director Brotzler apprised the Commission that all the projects have wrapped up for the winter. Wednesday night at the Council Work Session the Council will be deciding on the scope of the street project for next year. The Commission went back to discussing the rate structure while looking at the water pumping records for the past months. The Finance Director was surprised we didn't have many inquiries to the water bills. He doesn't know if it was because of all the marketing information we got out to the residents or because it was a wet season and didn't impact billing that much. This was the first increase to the water rates in 10 years. 8d. SET NEXT MEETING AGENDA FOR JANUARY 10, 2011 Depending on the outcome of the Council Work Session on Wednesday evening the Commission may or may not have to have a meeting in January. Executive Director Brotzler will keep the Commission apprised of the situation. MOTION by Mulhern to adjourn. Second by Harmsen. Meeting adjourned at 6:34 p.m. Respectfully Submitted, Cindy DoAiiden Recording Secretary •