03-25-02 Utilities Committee and Health & Public Safety

Home Browse Search

Joint Meeting of the Health and Public Safety Committee &the Utilities Committee March 25, 2002 Page 2 The joint Committees then reviewed Bill No. 17-02 which addresses Public Fire Protection Service Costs. Mayor Luecke made the presentation. The Mayor stated that state law allows the rate payers to pay for a public fire protection service cost rather than the taxpayers. The Bill therefore changes who pays for such services. Mayor Luecke stated that the monies generated would be used for two (2) years for road and street projects, and thereafter would be utilized by the police and fire departments. Mr. Gary Gilot, Director of Public Works, noted that the cost would be $ 1.85 per user. He noted that the IURC would review the matter and would take approximately five (5) weeks. There would be an opportunity for public comment, but there would not be a formal remonstrance process. He noted that a "cook book formula" was utilized consistent with the Indiana Utility regulations. Council Member Aranowski inquired whether there were any other cities which have passed similar legislation. Mr. Stancati noted that the City of Mishawaka passed similar legislation several years ago. Dr. Varner noted that the former City Engineer noted how expensive the IURC review process is, and that that was one of the reasons why the city attempted to remove itself from the jurisdiction of the IURC. In response to questions from Dr. Varner, Mr. Gilot noted that all further rate changes would be subject to the IURC review. He noted that the IURC review would be an abbreviated process. Dr. Varner stated that he sees this as a "double book accounting system" since it is not a revenue neutral proposal. He questioned by the option tax dollars were not being used for streets instead. Dr. Varner voiced concern that there would be no change in the hydrant rental fees already in existence. Mayor Luecke stated that if COIT dollars would be used that other projects could not be funded. The Council Attorney noted for the record that Council Member Kirsits, the Chairperson of the Utilities Committee, had asked her to do extensive research on this topic. She noted that the memorandums are still in his Council mailbox and that he has not had the opportunity to review them in light of last week's tragedy. His absence today also does not provide an opportunity for inquiry into the areas which were of concern to him. Council Member Ujdak noted that such funds would be used only on a short term bases for roads. He requested an accounting of the funds at the end of each year, which the Mayor agreed to provide. Council Member Ujdak noted that during fire negotiations both he and Council Member Aranowski suggested the creation of hydrant rental fees to assist in funding salaries and pension costs. Following discussion, Citizen Member Gonzalez made a motion, seconded by Council Member Coleman that Bill No.17-02 be recommended favorably to Council. The motion passed.