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OFFICE OF THE CITY CLERK KAREEMAH FOWLER, CITY CLERK UTILITIES Committee Members Present: Other Council Present: Others Present: Agenda: NOVEMBER 28, 2016 5:09 P.M. Dr. David Varner, Oliver Davis, Randy Kelly, Regina Williams- Preston Tim Scott, Jo Broden, Karen White, John Voorde Kareemah Fowler, Joseph Molnar, Michael Passavoir, Kathleen Cekanski - Farrand, Adriana Rodriguez Bill No. 66 -16 – Addressing New Water Rates and Changes Committee Chair Dr. David Varner called the meeting to order with one (1) item on the agenda. Bill No. 66 -16 – Addressing New Water Rates and Changes Committeemember Dr. David Varner stated, There has been a proposal to the Committee. I believe it was a forty -three percent (43 %) increase. There are several options Council and Committee has.. The request for forty -three percent (43 %) on the feedback that I've gotten is statistically believed to be needed. The question is, is it needed all at once? I've had some people suggest a phase -in as a possibility. I don't know what the Committee thinks about that, so we might ask the Committee and other Councilmembers about that. The other thing —when we had the meeting the other night with the gentleman from Umbaugh ... John Julien, I noted that, as we keep making these capital improvements, we keep increasing our capital —a net asset evaluation: at the present time, a net asset evaluation with regards to the evaluation of the water treatment facilities. To date, we are basing our payment in lieu of taxes from these funds to the City on our net asset evaluation. So it sort of begs the question: does it make sense to make necessary improvements and then have to pay higher rates to the City? One of the things that came to me in discussions with the attorney was that you could, as part of the ordinance, cap the rate with the pilot banks. So, those are a couple things we have for discussion this evening. Eric, time -wise: when do you expect to bring a Sewer rate ordinance? Is there one expected in 2017? Eric Horvath, Executive Director, the Department of Public Works, with offices on the 13th Floor of the County -City Building, stated that that had not yet been scheduled. He stated that he did not want to move forward with Sewer projects until there was some certainty that the EPA and IBM 455 County -City Building • 227 W. Jefferson Boulevard • South Bend, Indiana 46601 Phone 574- 235 -9221 • Fax 574- 235 -9173 • TDD 574- 235 -5567 • www.SouthBendIN.gov JENNIFER M. COFFMAN ALKEYNA M. ALDRIDGE JOSEPH MOLNAR CHIEF DEPUTY/ CHIEF OF STAFF DEPUTY/ DIRECTOR OF POLICY ORDINANCE VIOLATION CLERK