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CASE # <br />APPROVAL OF JOINT POWERS AGREEMENT TO <br />' THE LOWER RUM RIVER WATER SHED MANAGEMENT ORGANIZATION <br />By: Steven Jankowski, City Engineer <br />Background: <br />In 1982, the State mandated that all watersheds within the Seven County Metropolitan Area must <br />be governed by a watershed management organization. Requirements of this law have been <br />codified into sections 103b.201 through 103b.251 of the Minnesota State Statutes. In 1985, the <br />Cities of Andover, �noka, Coon Rapids and Ramsey entered into a joint powers agreement <br />creating the Lower Rum River Watershed Management Organization ( LRRWMO) in response to <br />this mandate. At the 1 1 . me, all four cities expressed a desire to enter into a joint powers agreement <br />to establish a water Management organization (WMO). The alternative would require Anoka <br />County to petition fo the estab 's nt of a watershed district. It was the belief of these four cities <br />that a joint powers agreement v m i MAre efficient planning and an opportunity for more local <br />control than would i water ed district which would be created by the County and operated <br />through special distri4t levy. The four cities have worked cooperatively since that time to prepare a <br />plan and manage surfhce and groundwater concerns within the watershed. <br />Over the years the Minnesota Legislature has adopted many new laws mandating the organization <br />to perform additional duties. In 1990, it adopted a major change in legislation known as the <br />Metropolitan Surface [Water Management Act. The new state rules which became effective August <br />1, 1992, direct that all joint powers water management organizations amend their joint powers <br />agreement (JPA) to Pe consistent with the new state laws and the Board of Water and Soil <br />Resources rules. Simce the summer of 1993, the WMO has worked toward an agreement <br />acceptable to all foulf, member cities and in compliance with the mandated requirements of the <br />agreement. <br />In May 1994, a draft c f an updated JPA was brought before the City Council for consideration for <br />adoption. One of the ost significant changes from the existing JPA to the proposed is the manner <br />in which capital imp vement projects are to be implemented and financed. Under the existing <br />JPA, each member ci may decide at its sole discretion as to whether they wish to participate in a <br />capital improvement roject. The new legislation requires these discretionary options be replaced <br />with mandatory parti pation if the improvement project is determined to be necessary to implement <br />the goals of the watershed plan. <br />At the May 10, 1994 meeting, the Council expressed concerns over the fairness of these mandatory <br />requirements in view, of the fact that Ramsey contributes 42% of the organization's operating <br />budget. Mayor Hardie, Attorney Goodrich, and I have met on several occasions to review the JPA <br />and prepared suggestled wording changes to safeguard the City of Ramsey's interests. I have <br />discussed these chan es with representatives of other member cities, as well as the LRRWMO <br />attorney who drafted ie original and proposed updated agreement. <br />At this point, I believ ' that the draft has been revised to the satisfaction of both the WMO attorney <br />and our own City Att ey. The main point of contention centers around the method which would <br />be used to finance a apital improvement project which may be found to be necessary by the <br />WMO. The attached draft illustrates the proposed final wording relative to the latest draft approved <br />by the three other WMO members. <br />The proposed Iangualge modification changes the manner in which project costs would be <br />distributed among they project beneficiaries if the members could not agree to the distribution <br />through negotiation. I# this event, the parties would agree to submit the matter to arbitration. <br />