Minutes - Council - 09/13/2004 - Laserfiche WebLink

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Councilmember Cook asked if the time frames for the increase can be voted on at this time. City Attorney Goodrich advised the increases can be voted on, but they are subject to being changed. Motion by Councilmember Elvig, seconded by Councilmember Cook, to ratify the recommendation of the Finance Committee and adopt resolution Amending the 2004 Schedule of Rates, Fees and Charges with the sewer and water trunk charges to be increased by 25% currently, 75% January 1, 2005, and 100% March 1, 2005. Further Discussion: Councilmember Elvig noted the determination of changes would be at final plat. Finance Officer Lund advised the Committee discussed that in starting a policy, it would state that any increase over a certain amount, such as 30% or an amount over $100, would trigger notification. City Administrator Norman indicated the Council needs further discussion on the schedule of the increases. He would like to see the Council vote on each increase separately. Mayor Gamec suggested it could be added to the motion that the increase would be reviewed prior to final adoption. City Administrator Norman stated the comparison of other cities needs more revicw. As he looks at the comparisons, the City of Ramsey would be the highest. Finance Officer Lund indicated it is difficult to compare Ramsey to surrounding communities, as their charges are determined by the acre. Mayor Gamec expressed concern if the costs are too high there would not be incentive to build at Town Center. City Administrator Norman stated by including an automatic increase in the fees without any chance for consideration they would be tal<ing an increase before having a chance to review the comparisons. Amendment to the ~notion on the floor by Councilmember Elvig, seconded by Councilmember Cool<, to ratify the recommendation of the Finance Committee and adopt the resolution Amending the 2004 Schedule of Rates, Fees and Charges with the sewer and water trunk charges to be increased by 25% currently, 75% January 1, 2005, and 100% March 1, 2005, and that each incrcasc be reviewed by the City Council prior to final adoption. Further Discussion: Councilmember Elvig stated his concern is that they know these costs are justified, and that coming down the line these dollars will need to be there. Councilmember Strommen stated these increases should be looked at immediately. The water and sewer study laid out the City's infrastructure costs coming down the line. If the City cannot charge that to the devcloper they have to find another way to pay for the costs or they will not be able to build the infi'astructure. Mayor Gamec suggested the 25% increase be adopted, and that there be a better study done in a work session by October. Councilmember Zimmerman noted the consulting firm indicated because the rates are so low in this City they are at a disadvantage. The fact is that the rates got too far behind. Mayor Gamec indicated he agrees, but what is confusing to him is that Andover can have their rates so much lower and have a larger percentage of sewer and water. He would like more information to understand the situation better. Motion carried. Voting Yes: Mayor Gamec, Councilmembers Elvig, Cook, Kurak, Pearson, Strommen, and Zimmem~an. Voting No: None. City Council/September 13, 2004 Page 11 of 29