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PUBLIC HEARING FOR THE STORM D1L4,INAGE UTILITY <br /> Brian E. Olson, City Engineer <br /> <br />CASE <br /> <br />Background: <br /> <br />The Council adopted Ordinance 00-01 creating a storm drainage utility on January 11, 2000. <br />Pursuant to Ordinance 00-01, the Council adopted Resolution 00-06-165 establishing the storm <br />drainage utility rates and charges. On July 25, 2000 the Council adopted Ordinance 00-10 which <br />Ordinance amended Ordinance 00-01. <br /> <br />Observations: <br /> <br />To successfully implement a storm drainage utility, the rates charged for the utility must be fair <br />and equitable. To be fair and equitable, the storm drainage utility rates should be established in a <br />way to charge the land owner a reasonable amount based on the runoff that is produced fi-om the <br />land owner's property. The City Council has found that an equitable method of apportioning the <br />storm drainage utility fee is to base the fee amount on the improved surface on each parcel of <br />land within the city. The City Council chose this method over one alternate method, which would <br />be to base the utility charge on land use. <br /> <br />Over the past few months, City Staff has received numerous phone inquiries from residents and <br />business owners regarding the utility rates and charges. The purpose of this public heating is to <br />give interested residents and business owners an opportunity to voice their concerns about the <br />utility and the schedule of rates and charges. It will also give the City an opportunity to: <br /> <br />· Respond to questions regarding the storm drainage utility. <br />· Explain the rationale used for the implementation of the rates and charges. <br />· Discuss the types of projects being funded by the utility revenue. <br /> Explain the ramifications of any change in the rates and charges. <br /> <br />Notice of this public hearing was published in the Anoka County Union on Friday, September <br />15, 2000, and in the September/October issue of the Ramsey Resident, which was sent on <br />September 5, 2000. <br /> <br />Enclosed is a copy of the five-year projected expenditures to be spent from the anticipated <br />revenue to be received from the storm drainage utility. This document also illustrates the <br />projected performance of the fund over a five-year period assuming the current rates and charges <br />remain in effect. <br /> <br />Staff Recommendation: <br /> <br />Based on the revenue/expenditure projection along with the need for a dedicated source of <br />revenue Ibr storm sewer projects throughout the City, City Staff recommends that the rates <br />remain as previously presented. <br /> <br />L:\users\City Shared File\Engineering\2000 Projects\Storm Drainage Utility\Cases\ph92600cc.doc <br /> -121- <br /> <br /> <br />