Minutes - Council - 12/11/2007 - Laserfiche WebLink

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Case #7: Conclusion of Under Billed Commercial Utility Accounts Finance Officer Lund stated that in September 2003, the City discovered that some of the City's commercial utility accounts were under billed. After many discussions, Connexxus has offered to give the City three quarters of billing services which is about $43,164. She stated that that it was also discussed that the City should send letters to the commercial accounts that were under billed asking them to pay 1/3 of the outstanding amount, which amounts to about $92,322. Councilmember Dehen stated that he opposes this approach to the commercial accounts that were under billed and feels they should be responsible for the entire amount because they incurred the costs. He stated that this initially was a $684,000 error and he is concerned that the City at the time did not consult our attorney for a recommendation on what action to take. He stated that, instead, the City took various routes with Connexxus to resolve this. He stated that there was also discussion, at one time, about sending a letter to the businesses, but the City vacillated and did not send the letter. He stated that by not billing the full amount the businesses owe, he feels the City is "giving away the farm". Motion by Councilmember Jeffrey, seconded by Councilmember Strommen, to authorize staff to submit a letter to the respective under billed commercial utility accounts and request that they pay an amount equal to one-third of the total amount under billed as of the January 1, 2002 billing, and authorize staff to accept the three quarters worth of free billing services as offered from Connexxus Energy in their letter dated November 30,2007. Motion carried. Voting Yes: Mayor Gamec, Counci1members Jeffrey, Strommen, Look, and Olson. Voting No: Councilmember Dehen. Absent: Councilmember Elvig. Case #3: Continuation - Request for Final Plat and Final Site Plan Approval of GAD's Prairie; Case of Tri-Cor Development City Attorney Goodrich read through revised motion language. Motion by Councilmember Olson, seconded by Councilmember Strommen, to Adopt Resolution #07-12-339 to approve the final plat of GAD's Prairie contingent upon: 1) City Staff Review letter dated May 18, 2007; 2) The submittal of finalized grading and drainage plans that incorporate road construction and runoff into the plans; 3) Revision of the final plat to include Helium Street right of way extension to 146th Avenue, acquisition and construction of Helium Street; 4) Developer entering into the City's required Development Agreement and which Development Agreement shall specifically include a provision that the Developer have the responsibility to pay for the Helium Street right of way, with the City using the right of eminent domain, if negotiations are not possible; and that the Developer shall pay all costs of street construction, upon acceptance of Helium City Council! December 11,2007 Page 19 of 25