Agenda - Council - 11/07/2016 - Laserfiche WebLink

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lour 1111.1siion: To work together to reiposihty grow our community, and to provide quality, coat -effective, and efficient government ierrlcas. CC Regular Session 7. 2. Meeting Date: 11/07/2016 By: Diana Lund, Finance Information Title: Introduce Ordinance #16-13: 2017 Schedule of Rates, Fees & Charges Purpose/Background: Purpose: The city annually adopts a schedule of rates, fees and charges which outlines the fees that the city charges for such items as building construction, business licenses, utility rates, and planning and zoning. A listing of the schedule of rates, fees and charges is attached. The justification for any changes are noted on the far right column of the schedule. The majority of the changes from 2016 to 2017 are reflective in the Planning and Zoning related to Park Dedication Fees and in the Utility Rates section. Under the Planning and Zoning Section: Park Dedication Fees, the City had a Park Dedication Fee analysis prepared by Ehlers & Associates to determine the funding needed for foreseeable park improvements in the COR area. Using the city's current fee structure, park dedication fees generated would fund only 14% of the anticipated park projects in the COR area. The study also showed that the park dedication fees of other developing cities averaged $4,306 per unit for residential and $8,695 per acre for commercial. The City of Ramsey's current fees are $2,700 and $4,738, respectively and proposed to increase to $2,800 and $5,000 for 2017. Several park projects, outside of the COR area, are listed in a Parks Supplemental Section to the City's Capital Improvement Plan as there is not enough funding to support these projects at this time or foreseeable future. The utility section has been updated to reflect the following increases: water usage rates at 2.0% per quarter and Connection Charges (both sewer and water) at 2.5% which are per the 2012 Comprehensive Sewer and Water Studies (and being proposed in the 2016 Comprehensive Studies), water and sewer laterals at 3% increase for residential and commercial construction based on the construction cost index average since 2012, sewer usage at a 5% increase per quarter for residential and commercial accounts to account for the 5.3% increase from the Met Council for 2017 Wastewater charges and a 10% increase in quarterly storm water utility rates, to establish funding for upcoming storm water projects in the next few years per the 2017-2026 Capital Improvement Plan (CIP). All of the proposed utility rates are lower than the average 2016 metro rates for like utilities. The 2017 schedule will become effective January 1, 2017. Notification: The Schedule of Rates, Fees and Charges are adopted annually by ordinance A public hearing on the ordinance is normally held in November to allow the thirty -day waiting period and have the rates become effective January 1, 2017.