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1316 COUNTY^CITY BUILDING <br />227 W. JEFFERSON BOULEVARD <br />SOUTH BEND, INDIANA 46601-1830 <br />CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR <br />DEPARTMENT OF PUBLIC WORKS <br />GARY A. GILOT, P.E. <br />DIRECTOR OF PUBLIC WORKS <br />November 19, 2003 <br />Ms. Karen White, President <br />South Bend Common Council <br />227 W. Jefferson Street <br />South Bend, Indiana 46601 <br />Dear Common Council: <br />PxoNE574/235-9251 <br />FAx 574/235-9171 <br />TDD 574/ 235-5567 <br />Attached for consideration by the Common Council is an ordinance for a special appropriation of <br />$260,000 from the Water Works General Fund (#620) for transfer to the Water Works Leaks <br />Insurance Fund (#644). <br />Unfortunately, despite reasoned projections, the cost of repair/replacement of water service lines <br />within the City has exceeded the water leak insurance receipts of $1.50 per month per water <br />utility customer. The unanticipated repair/replacement frequency is probably due to age and <br />deterioration of the water service line system within the city. <br />In 2003, the Leak Insurance Fund shortfall is $60,000. This Fund is also required to repay by <br />December 31, 2003, a loan of $200,000 to the Water Works General Fund and does not have the <br />ability to do so. The attached ordinance will appropriate $260,000 from the Water Works <br />General Fund to cover the shortfall and repay the debt. The Water Works General Fund has <br />sufficient money to fund the requested appropriation. <br />Thank you for your consideration of this matter. <br />Sincerely, <br />cati <br />Director <br />~~~ <br />ENGINEERING ENVIRONMENTAL SERVICES CENTRAL SERVICES STREETS WATER WORKS <br />CARL LIT-IRELL, P.E. JOHN J. DILLON, PH.D. MATT CHLEBOWSKI SAM HENSLEY JOHN F STANCATI <br />574/235-9251 574!277-8515 574/235-9316 574/235-9244 574/235-9322 <br />FAx 574/235-9171 FAx 574/277-8980 FAx 574/235-9007 FAx 574/235-9272 FAx 574/235-9728 <br />