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<br />FC# \ <br /> <br />RESOLUTION REGARDING $6,000 WATER BILL AT 14720 GERMANIUM <br />STREET <br />By: Diana Lund, Finance Officer <br /> <br />Background: <br /> <br />At the Finance Committee of May 9, 2006, it was brought to the Committee members' <br />attention a $6,000 water bill that was received by a resident, Ms. Audrey Smith residing <br />at 14720 Germanium Street. <br /> <br />Ms Smith and a representative on her behalf (Mr. Phaney) have attended a few finance <br />committee meetings regarding this large water bill and questioned what could have been <br />done to have prevented this large bill. Mostly, the contract between the City of Ramsey <br />and Connexus Energy was questioned. <br /> <br />A representative from Connexus Energy, Mr. Julian Jones, attended the August 22,2006, <br />Finance Committee. Discussion occurred regarding the contract between the City and <br />Connexus with staff directed to further work with Connexus to determine an amount, if <br />any, that Connexus would be responsible for due to the large billing. Connexus Energy's <br />main issue was the City's incremental cost of the water and not the "true rate" that the <br />City charges the residents based on the City's water study. The City stands by that the <br />billable rate is the same as the incremental rate. Connexus did not agree. A member of <br />Connexus Energy was in touch with the Mayor before staff received a reply from Mr. <br />Jones. The Mayor was informed that Connexus would contribute $0 towards the bill and <br />Mr. Jones reconfirmed this response a few days later. <br /> <br />The City Council was informed of Conn ex us Energy's decision at the worksession on <br />August 29,2006. Staff was directed to bring the $6,000 water bill issue to the next <br />Finance Committee and that a final conclusion on the issue would be obtained at this <br />meeting. <br /> <br />Ms. Smith was notified on August 23 and will be attending the September 11 meeting. <br /> <br />Ms. Smith's attorney contacted staff on Wednesday, August 23,2006, regarding what the <br />responsibility would be to her client. She was told that a final result would be reached on <br />Tuesday, the 11th, and that Ms. Smith's monetary responsibility could range from $2,000- <br />$6,000. It is most probable that legal counsel will be present at this meeting. <br /> <br />Committee Action: <br /> <br />Conclusion and resolution of $6,000 water bill at 14720 Germanium Street. <br /> <br />FC: 9/11/06 <br />