Loading...
HomeMy WebLinkAbout05/09/1988 JOINT PUBLIC WORKS AND FINANCE COMMITTEE MINUTES May 9, 1988 6: 00 p.m. Large Conference Room Members present: Chairperson Brown, Dell, Fox. Chairperson Angel, Wright, Buck. Chairperson Brown called the meeting to order. Moved by Fox, seconded by Dell that the Agenda, as proposed, be approved. Motion carried. The only item of discussion was a proposed increase in the minimum charge for sewer services. The Public Works Committee met on this subject on April 25, 1988. At that time, the Committee requested that the City' s bonding consultant review a one time minimum charge increase to $6. 00 per month (instead of a 70 percent increase the first year, and a $1 . 00 increase per month for each of the subsequent two years) . A financial analysis of the sewer enterprise fund based on the $2.70 per month increase was reviewed. Total cash for construction that would be available with the increase in 1991 would be $9,504,500. 00. The additional cash infusion at the beginning would allow the City to increase its principal payments and reduce its interest costs. Councilperson Angel stated that she was not in agreement with charging citizens an additional increase to create a cash reserve. Councilperson Wright stated that she would rather see a yearly increase rather than a larger one time increase. Bruce Meisinger, Budget Analyst, defined parity. He explained that the City must meet "parity test" on sewer bonds. This means that there are 1. 2 times the revenues to pay for the debt on the sewer bonds. After discussion, it was moved by Fox, seconded by Buck that the staff be directed to obtain additional information on the long-range savings that citizens would experience if the increase of $2.70 per month was made immediately rather than over a three year period. Motion carried. Bruce Bottorff, Superintendent of the Water Pollution Control Plant, stated that he would also be requesting changes in the definition of dwelling unit in the sewer ordinance revision. Since the minimum charge is being considered to be levied against each unit within a structure, the following definition for dwelling unit is being proposed: "A housing unit with kitchen facilities that connect to the POTW by building sewer or by a combination of dwelling units connected to one building sewer prior to discharge to the POTW. " The Committee seemed agreeable to this definition. Councilperson Dell asked that the Committee also consider giving some type of break in the minimum charge for retirement homes. Deb Collett, Executive Director of the Waterloo Housing Authority, will be asked to be at the next meeting when this issue is discussed. With no further business before the Committee, it was moved by Buck, seconded by Dell that the meeting be adjourned. Motion carried. Larry P. Burger Clerk/Auditor