01-13-03 Council Meeting Minutes

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REGULAR MEETING JANUARY 13, 2003 BILL NO. 88-02 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 17, ARTICLE 2, SECTION 17-21 OF THE SOUTH BEND MUNICIPAL CODE TO ESTABLISH NEW SEWER RATES BOTH INSIDE AND OUTSIDE THE CITY LIMITS Councilmember Kirsits advised that the Utilities Committee met this afternoon and sends substitute Bill No. 88-02 to the full Council with a favorable recommendation. He noted that there was an addition as follows: Section II, Paragraph b: The sewage rates and charges set forth in the preceding section 17-21 shall be revised and adjusted for calendar year 2005 to assure adequacy in the cost of maintaining the City sewer works in sound physical and financial condition necessary to render adequate and effective service. However, until such adjustment, the sewage rates and charges in the preceding Section 17-21 shall remain in full force and effect. Discussions between the City Administration and the Common Council. concerning sewer rates for 2005 and thereafter shall commence by June, 2004. Furthermore, the Mayor and the Common Council will establish within sixty (60) days of the passage of this Ordinance an advisory committee, with both the Mayor and the Common Council having an equal right of appointment. The committee will be broadly representative of this community. The group will act as a sounding board to the management of the municipal wastewater utility and will offer advice on future rates to address CSO, storm water and other challenges for 2005 and beyond. The Mayor and Common Council retain ultimate authority and responsibility for the operations and finances of the Municipal Utilities. Mayor Stephen Luecke, no address given, made the presentation for this bill. Mayor Luecke advised that this substitute bill has been the result of many months of investigation, discussion and consideration and is based on the December 20th revised Cost of Service Study. It sets the rates for the municipal sewer utility for two (2) years and is based on cost of service principles. There has been public discussion which began last summer with introduction of the first bill and many areas of agreement were established. Mayor Luecke stated that he believes that everyone in this community wants the wastewater treatment plant and the sewer collection system to be an asset both for development as well as for environmental stewardship. The City wants to make sure that all the environmental standards set by the EPA and IDEM are met and it wants to keep the plant running efficiently and up to date. It was discovered during discussions that there were some areas of disagreement including how to pay for ongoing capital needs as well as how to spread the costs for maintaining and operating the wastewater treatment plant among customers. This bill was originally introduced as a four (4) year rate ordinance. Changes have been made in