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retroactivity to the beginning of the charge. Staff recommended that any correspondence written <br />prior to February 28, 2001, regarding requests for credits that are currently available entitles that <br />property owner retroactivity. This is, of course, contingent upon successful approval of the <br />credit application. This will give the City an opportunity to write an article in the <br />January/February issue of the Ramsey Resident and process the requests before the next billing <br />cycle. Mr. Gary Gruber from Diamonds Sports Bar had mentioned that there were other <br />municipalities that gave credits up to 80%. Through past experience, staff knows this to be true, <br />however, they do think the reason there is an opportunity for larger credits available to other <br />municipalities stems from the land use structure that is used so often in the implementation of <br />storm drainage utilities. Every property has distinguishing characteristics that sets itself apart <br />from every other property in the City. When determining what a particular land use should pay <br />per acre, there are assumptions that are made regarding percent impervious that are not necessary <br />for Ramsey's utility. For example, the commercial/industrial land use typically is approximately <br />70-75% impervious and, therefore, gets a Residential Equivalence Factor around five. <br />Diamond's Sports Bar has an impervious percentage of 20%, which is equivalent to a REF of <br />1.82 in Ramsey's system. Had Diamond's been in a City that used land use instead he would <br />have started out with a quarterly fee of $2,096.64 instead of $763.06 which is 64 percept higher. <br />This, along with the ponding credits available, would have given him an 82 percent credit from <br />$2,096.64 leaving him with a quarterly charge of $377.40. His quarterly charge at the City of <br />Ramsey is $381.53 (without the credit criteria for the modified method changing) and $212.31 <br />(with change to the modified credit). City staff recommended that there be no change to the <br />credit percentages in the existing resolution. As stated in the previous case to the City Council <br />on November 14, 2000, the cost that can reasonably be expected to apply for a credit should be <br />$200, $600, or $1,200, depending upon the level of information that the person has that is <br />applying for the credit. This information comes directly form the Consultant that the City would <br />hire if the decision were made to take on the responsibility of calculating these credits. This is <br />also under the assumption that the information is provided to them. There is a direct correlation <br />to the amount that would be charged and the time it takes to complete these tasks. Staff believes <br />that although the existing credit application can be cumbersome, it clearly defines the criteria that <br />enables a property to receive a credit. It is also reasonable to expect the property owner to supply <br />the information necessary to justify that adjustment. In this manner, all of the property owners in <br />the City are treated equally. If the responsibility of assigning credits comes to the City of <br />Ramsey, there is a liability that someone was treated unfairly. This could also set the City up to <br />be accountable for sometimes scarce information on prior developments. <br /> <br />Councihnember Anderson inquired if the changes seem to satisfy the concerns that have been <br />expressed by the business community. <br /> <br />City Engineer Olson replied that it does to a point. He stated that one of the largest concerns he <br />received fi'om the business community was that in order to apply for a credit they had to pay <br />someone to do the calculations and the application was quite complicated. To address that <br />concern, staff is proposing a pre-application form. At the November 21, 2000 Public Works <br />Committee meeting, there was discussion of making a pre-application for the credits available for <br />the storm drainage utility. This pre-application would be much easier to fill out and would <br /> <br />City Council/December 19, 2000 <br /> Page 7 of 19 <br /> <br /> <br />