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ORDINANCE NO. ~ ~ 0'- ~-~ <br />AN ORDINANCE FOR SPECIAL APPROPRIATION OF $260,000 FROM WATER <br />WORKS GENERAL FUND (#620) AND TRANSFER OF SAID FUNDS TO WATER <br />LEAK INSURANCE FUND (#644) TO COVER UNANTICIPATED SHORTFALL AND <br />LOAN REPAYMENT <br />STATEMENT OF PURPOSE AND INTENT <br />Pursuant to South Bend Municipal Code Chapter 17, Article 6, Section 17-49 et seq. the City <br />of South Bend requires each City water service user to pay the sum of one dollar and fifty cents <br />($1.50) per month as insurance for the cost of repairing andJor replacing water lines from the main <br />line to the user's building. <br />Although the customer insurance fee was expected to cover the cost of repairing/replacing <br />water lines from the main line to a water user's building, the age and deterioration of the City's water <br />pipe system has resulted in greater than expected repair/replacement needs and resulting costs which <br />have exceeded the insurance receipts. The shortfall in 2003 is $60,000 and the shortfall in 2002 was <br />$200,000 which was borrowed rather than appropriated from the Water Works General Fund (#620) <br />pursuant to Resolution #3142-02 and which must be repaid by December 31, 2003. <br />The Water Works General Fund (#620) has funds at year end which it can appropriate and <br />transfer to the Water Works Leak Insurance Fund to cover the 2003 water line repair/replacement <br />cost shortfall and which will allow the Leak Insurance Fund to repay the loan authorized by <br />Resolution #3142-02. <br />Section I. The sum of $260,000 shall be appropriated and transferred to the Water Leak <br />Insurance Fund #644 to cover the $60,000 shortfall between insurance revenue and costs of water <br />line repair/replacement, and to enable the Water Leak Insurance Fund (#644) to repay the $200,000 <br />loan it obtained from the Water Works General Fund pursuant to Resolution #3142-02 payable <br />December 31, 2003. <br />Section II. This Ordinance shall be in full force and effect from and after its passage by the <br />Common Council and approval by the Mayor. <br />1 st READING <~'I-~w3 <br />PUBLIC HEARING ~ Z~8''03 <br />3 rd READING ~Z.-~- 03 <br />NOT APPROVED <br />REFERRED <br />PASSED ~ L ~- t~ <br />Gf ,(~~ <br />Member, South Bend Commo Council <br />F~~~d ~n ~l~i'~t'~' ~~$1+~~ <br />ly®~ ' a~ Z~O~ <br />l,Oq'1TTE1 J. D!!~A <br />