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03-1093Council File # D� — • 0 � � Green Sheet # 106418 Presented by: RESOLUTION CITY OF SAINT PAUL MINNESOTA 2 � ,, . , 1 2004 SAIVITARY SEWER CHARGES ,AND 2 STORM SEWER SYSTEM CHARGES 3 4 WHEREAS, the mission of the Public Works Sewer Utility is to provide a basic service of 5 transporting sanitary wastewater to the regional treatment system and to provide this service at 6 a reasonable cost; and 8 WHEREAS, Sanitary Sewer Service charges pay for the cost of operating, maintaining the 9' sewage disposal system including the principal and interest on bonds sold for system 10 construction and rehabilitation, and for paying Saint PauPs share of the Metropolitan Council 11 Environmental Services' annual budget as provided in Chapter 473, Minnesota Statutes, and in 12 accordance with the provisions of the Clean Water Act; and 13 14 WHEREAS, additional missions of the Public Works Sewer Utility are to collect and transport 15 storm water to the Mississippi River through a separate system of pipes, to improve the quality 16 of our storm water discharges and to provide this service at a reasonabie cost; and 17 18 WHEREAS, the City of Saint Paul pursuant to Chapter 14, Article 19, First Special Session, 19 Laws of Minnesota, 1485, and all other laws particulazly Minnesota Statutes, Section 444.075 20 and applicable charter provisions, enacted Ordinance #17359 (6/3/86) establishing a Storm 21 Sewer System Chazge for the purpose of paying the cost of construction, reconstruction, 22 repair, enlargement and improvements necessitated by the separation of the combined sewer 23 system and for the maintenance, operation and use of the sepazated storm sewer system; and 24 25 WHEREAS, the Storm Sewer System Charge is based on a property's anticipated contribution of 26 storm water runoff to the storm sewer system, and is a function of its size and land use; and 27 28 WHEREAS, the Storm Sewer System Charge ordinance provides that the City Council may, from 29 time to time by resolution, establish Storm Sewer System Chazge rates for the various land use 30 classifications which will be based upon data provided by the Department of Public Works; 31 and 32 33 WHEREAS, revenue collected from the Storm Sewer System Charge is used to pay back Sewer 34 Revenue Bonds sold for constructing the storm sewer system and for paying for its operation 35 and maintenance; and 36 37 WHEREAS, state and federal mandated environmental programs have been imposed upon Saint �3-l093 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 Paul without accompanying funds; and WHEREAS, the proposed 2004 Budget will result in anticipated expenditures, credits and financing for the sanitary and storm sewer systems as follows: Expenses: Metropolitan Council Wastewater Services (MCWS) Gross Charges MCES Current Value Credit Net MCES Service Chazges Debt Service Sewer System Rehabilitation Construction Sewer Maintenance Major Sewer Repair Sewer System Management Storm Water Discharge Management Infrastructure Management Billing Cost Paid the Water Utility Private Sewer Connection Repair Program Storm Sewer System Charge Management Regional Issues / Mandates Management Gopher State One-Call Sewer Availability Charge (SAC) Storm Sewer System Charge Bad Debts Other Required Expenses Total Expenses Financine: Sanitary Sewer Service Charge Storm Sewer System Charge Use of Retained Earnings Proceeds From Note Issuance Sewer Connection Repair Assessment SAC Revenue Interest on Investments Intergovernmental Revenue Miscellaneous Financing Total Financing $19,111,950 8( 4,g61) $19,027,089 10,203,599 5,968,661 5,608,652 1,742,124 1,199,893 1,079,880 748,586 681,084 500,000 274,788 189,634 172,646 111,176 59,047 1,561,841 $49,128,700 $28,733,424 9,137,709 5,511,145 4,300,000 500,000 431,422 250,000 70,000 195.000 $49,128,700 78 79 Now, therefore, be it RESOLVED, that pursuant to Section 77.02 of the Saint Paul I.egislative 80 Code pertaining to Sanitary Sewer Service Charges and upon the recommendation of City 81 Administration, the Council of the City of Saint Paul does hereby establish the amount and basis 0 3 - io93 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 lll 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 for Sanitary Sewer Service Charges to be levied and collected effective January l, 2004 through December 31, 2004 as follows: $2.54 per 100 cubic feet for the £rst 100,000 cubic feet; and $2.51 per 100 cubic feet for the next 400,000 cubic feet; and $2.45 per 100 cubic feet after 500,000 cubic feet. Be it FURTHER RESOLVED, that these rates reflect a five percent increase over 2003 Sanitary Sewer Service Charge rates; and Be it FLJRTHER RESOLVED, that a minimum Sanitary Sewer Service Charge shall be levied and assessed to every property based upon water meter size. The minimum charge below shall reflect part of the fixed cost for basic sewer service: Water Meter Size 3/4" and smaller 1 " 1 1/4" 1 1/2" Z „ 3 " 4 " 5 " 6 " $„ 10" 12" Lazger than 12" Minimum Char¢e $7.20 per Quarter 12.60 per Quarter 5.60 per Month 8.80 per Month 20.00 per Month 42.00 per Month 104.00 per Month 150.00 per Month 200.00 per Month 344.00 per Month 492.00 per Month 680.00 per Month 1,000.00 per Month Be it FURTHER RESOLVED, that properties served by meters one inch and smaller shall be billed quarterly. Properties served by meters larger than one inch shall be billed monthiy, with the exception of one and two family homes which shall be charged quarterly for Sanitary Sewer Service Charges; and Be it FURTHER RESOLVED, that Sanitary Sewer Service Charges for one and two family dwellings for the billing year shall be determined by the amount of water consumed, regazdless of the size of the water meter, and the amount billed shall never be greater than the amount of water consumed during the quarter consisting of the first three months prior to the first billing of the yeaz, except for those dwellings assessed minimum charges; and Be it FURTHER RESOLVED, that the Sanitary Sewer Service Charges for all other properties, regardless of the size of the meter, shall be based on actual water consumption for each billing period;and 03 -1093 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 Be it F'URTHER RESOLVED, that pursuant to Section 81.05 of the Saint Paul L.egislative Code pertaining to Storm Sewer System Charges and upon recommendation of City Administration, the Council of the City of Saint Paul does hereby establish the amount and basis for Storm Sewer System Charges to be levied and collected effective January l, 2004 through December 31, 2004 as follows: Class A B C D E F G Land Use Classification Cemeteries, golf courses, pazks, unimproved vacant land, and 1 and 2 family residentialland in excess of 1/3rd acre Railroad right of way 1 and 2 family residential properties less than 1/3rd acre Condominiums and town houses Public and private schools and community centers Multiple dwellings, churches, synagogues and government buildings Commercial and industrial properties 2004 Rate Unit $92 Acre $349 Acre $55 Pazcel $37 Unit $505 Acre $674 Acre $908 Acre 151 152 Be it FINALLY RESOLVED, that these rates reflect a five percent increase over the 2003 Storm 153 Sewer System Charge rates. Re est d the ar[ment of 11C WOi . B Form Approved by the City Attomey By: ��Sl� `��/0.1�� Adoption Certified by Council Secretary � Approvedrly].�Ayor: Da[e: � z- • � � • -� � - • - :�l�'.�c /. .. . .. . . �r _1 � - Services Adopted by Council: Date: // e/� �%�D_3 Public Works GOMACT PERSON 8 PHONE Mike Kassan 266-6249 MUST BE ON CAUNCIL AGENDABY (DA"f� November 5, 2002 , i� # OF SIGNATURE PAGES 1 DATEINITIATED >ent. 19. 2003 I1551GN ROUTING oxom Q Sewer Urility Manage � Public Works Ac .c(�w � neparanenr nirector � Budget Direcror _ (CLIP ALL LOCATIONS FOR 03 - /093 SHEET No �osa�a � Mayor ❑ City Council — ❑ City Clerk — ❑ Fin. Services Acct. ACTION REQUESTED , Approve the attached Resolution setting 2004 Sanitary Sewer rates and setting 2004 Storm Sewer System Charges RECOMMENDATIONS: Approve (A) or Reject (R) PERSONAL SERVICE CONTRACTS MUST ANSW ER THE FOLLOW ING QUESTIONS: 1. Has this persoNfirm ever worked under a contract for this department? Planning Commission YES NO CIB Committee Civil Service Commission 2. Has this persong/firm ever been a city employee? YES NO 3. Does this person/firm pasess a skill not normally possessed by any current city employee? YES NO 4. Is this persoNfirm a targeted vendor? YES NO Explain all yes answers on a separate sheet and attach it to the green sheet INITIATING PROBLEM. ISSUE.OPPORTUNIN (WHO. WHAT. WHEN. WHERE. WHY): As required in the Legislative Code, sanitary sewer rates must be set annually. Proposed sanitary and storm sewer rates will be 5% higher in 2004. This increase is necessary because MCES rates aze increasing 3%, sewer rates have not increased since 1998 but costs have increased due to inflation and the Utility needs to reduce its dependence on reserves. The�eefif rate will provide adequate revenue to operate and maintain the City's sewer system. Approving the resoluhoi�wilf also sarisfy the City's legal requirement to set sanitary sewer rates annually. RECEfVEp ocr r 5 zoo� � ���� � MAYOR'S OFFICE �nT ;, ; DISADVANTAGES IF NOT APPROVED: We will not be in compliance with requirements of the I.egislative Code to set sanitary sewer rates annually. TOTAL AMOUNT OF TRANSACTION S FUNDING SOURCE FINANCIAL INFORMATION: (EXPIAIN) COST/REVENUEBUDGETED? YES NO AqNITYNUMQE9�����T'' ����( IoCD OC I � 5 ���3 . , _ €�