FINANCE COMMITTEE MEETING

 

MINUTES

 

APRIL 10, 2006

 

 

Chairman Burke called the meeting to order at 6:45 p.m.

 

MEMBERS PRESENT:  David Burke, John Gore, Dan Fogt

 

OTHERS PRESENT:  John Morehart, John Green

 

AGENDA:

 

          ERU rates for multi-family dwellings

 

Mr. Burke mentioned a survey was done by comparing apartment water usage vs. single-family water usage.  That number came out to .70.  Mr. Burke feels .7 is a defendable, justifiable number for an ERU rate for any multi-family dwelling on average.  Mr. Aslaner is in the process of drafting legislation upon Mr. Fogt’s advice to amend the current section instead of creating a new schedule.  Anticipate having legislation ready for the April 27^th Council agenda.  Committee agreed to move forward with the increase.

 

 

          System Capacity Charges – Fire Services

 

Section 931.06 (b) – System development charges for fire service lines shall be fifteen percent (15%) of the rate for a normal water service.   If these rates are to be amended, it would be a separate piece of legislation and not an amendment to the current legislation on Council agenda. 

 

Mr. Morehart stated the current rate for fire service is 15% of the Rate column.  You may be able to justify taking 15% of the TOTAL column.  Main users of fire service are commercial and industrial or anyone needing a 1” or greater line.   Money collected from this goes into the water fund.

 

Mr. Fogt is “on the fence” regarding this increase.  Feels the proposed tap increases are hitting commercial and industrial pretty hard.

 

Mr. Green pointed out that if you have an 8” line, you don’t necessarily have an 8” Fire Service line.   It would most likely be a smaller line.

 

These fees are being questioned since the system capacity fees are being increased, and fire service lines are fifteen percent of the rate for a normal water service.  Wondered if those increases affect the fire service line fees.  

 

Possibly the word “Base” should be added as a heading to the “Rate” column and 15% of the “base” rate for a normal water service. 

 

Need to find out the size of lines installed for various businesses, such as Wal-mart, Home Depot and Applebees, etc.  Will be discussed at the next Finance Committee meeting. 

 

The meeting adjourned at 7:23 p.m.