09-09-82 Personnel & Finance and Utilities

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untudttnn Er port On the fllnmmnn Qlounril of tip Ol1tg of$Huth limb: Personnel and Finance Committee and Utilities Committee A joint meeting of the Personnel and Finance Committee and the Utilities Committee was called to order at 4: 00 p.m. on September 9 , 1982 by the Utilities Chairman, Councilman Raymond Zielinski, in the Council Meeting Room. Persons in attendance included: Councilmen McGann, Zielinski, Crone, Szymkowiak, Harris , Voorde, and Beck; John Leszczynski, Mike Vance, Rich Hill , Joseph Kernan, a representative from Coopers & Lybrand, Kenneth Fedder, John T. Phair, Mike Shinevar, Jack Goens , Marchmont Kovas , Paul Freeman, and Kathleen Cekanski-Farrand. Councilman Zielinski stated that the purpose of the meeting was to review the rates presently being charged for sewage and water which would precede the review of the Utilities proposed budget for next year. City Attorney Hill then gave the Committee' s an update with regard to the pending litigation. He stated that in June of 1981 a lawsuit was filed challenging the sewer rate; and that there was -a possibility that the Water Works would be appealed. In light of this background he stated that many of the concerns which the Council may have should be addressed more appropriately in an Executive Session. Councilman Zielinski then called upon persons in attendance . Mr. Fedder stated that he represents the River Bend Apartment Association which filed the initial lawsuit. He noted that in 1980 the Common Council passed the two rate ordinances . He stated that his clients have a continued interest in these laws . He believes that the following questions should be considered: - How are the ordinances being administered? -- Is the deficiency being corrected? -- Is an amendment to either ordinance in order? -- Should the ordinances be amended prior to the review at four year intervals? -- Is an adjustment in the minimun charge in order? -- Should the question of vacancies be more directly addressed? Mike Vance noted along with the City Attorney that the sewage rate is adjusted outright by ordinance whereas the water rate would have to be passed by ordinance and then approved by the Public Service Commision. Mike Shinevar, the manager of Irish Hills stated that he believes his situation was representative of multi-unit dwellings . Presently he has 164 units and expects to increase to 1,130 units . If a 5/8 inch meter would be installed in each unit, the cost would be based on actual usage. He calculated that this would save approximately $70,000 per year in the complex had all 1, 130 units . He stated that presently appoximately 1/2 of the minimum is being used He basically contended that the minimums are artifically high. ' Jack Goens of Park Jefferson stated that in 1968 789 apartments were constructed and that they have one meter (8") for all. He also believes that the minimum charge is unfair. race Pus• j rumuouIN6 Co. .