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REGULAR MEETING JULY 28, 2003 <br />MUNICIPAL CODE TO ESTABLISH NEW SEWER <br />RATES <br />Councilmember Al "Buddy" Kirsits, Chairperson, Utilities Committee, reported that this committee <br />met this afternoon on this bill and sends it to the full Council with a favorable recommendation. <br />Mayor Stephen Luecke, no address given, made the presentation for this bill. <br />Mayor Luecke asked for the Council's support and approval for this ordinance which will establish <br />new rates for customers in the wastewater utility in the City of South Bend. Mayor Luecke <br />reminded Councilmembers that they passed an ordinance in January of this year setting new rates <br />but that ordinance was challenged in court and was dismissed for technical reasons. He noted that <br />at this point, it is incumbent to set rates for an interim period of time to allow the City to efficiently <br />operate the wastewater utility, to make repairs and some capital investments. This bill proposes a <br />twenty -four per cent (24 %) across the board increase through 2004 with an additional five per cent <br />(5 %) across the board increase for 2005 and until such time as a new rate ordinance may be <br />established. He noted that the Council has received an updated Rate Study prepared by Crowe <br />Chizek and Company dated July 23, 2003. This supports the need for the additional revenues to be <br />raised through this rate ordinance. Mayor Luecke stated that it is his belief that this is an appropriate <br />manner to move forward at this point so the City can maintain and operate the wastewater utility as <br />an economical development asset and an environmental asset for our community. He noted that <br />during the next year to year and a half an Advisory Committee will be appointed that will review <br />further and future needs for the wastewater utility, look at the full scope of investment that will be <br />needed to meet environmental regulations as well as to meet the needs of the growing community <br />and propose a fair way to address those issues. Mayor Luecke asked for the Council's support of <br />this ordinance. He noted that in this ordinance there are two columns of rates that are listed and <br />stricken out. The first column refers to the rates passed in the January 13, 2003 by the Council that <br />was voided by the courts. The column listed as previous rates refers to the 1988 rates that were <br />established and it is that list of rates that is the basis for the twenty -four per cent (24 %) across the <br />board increase with a subsequent five per cent (5 %) increase across the board in 2005. <br />This being the time heretofore set for the Public Hearing on the above bill, proponents and <br />opponents were given an opportunity to be heard. <br />Mr. John Mountsier, I/N Tek & I/N Kote, New Carlisle, Indiana, informed the Council that he <br />would like the record to reflect his presence at the meeting tonight even though he has no comments <br />about the ordinance. <br />Ms. Rhonda Brown, no address given, stated that she does not have any comments pertaining to the <br />ordnance but would like it to go on record that she is present representing Honeywell this evening. <br />Mr. Matthew Cullinan,1154 East Colfax, South Bend, Indiana, representing the University ofNotre <br />Dame, stated that he would like to add their support of this bill and would like the record to note that <br />they would like to thank the Mayor and Gary Gilot for the spirit of cooperation that allowed this <br />ordinance to come forward to the Council at this time. He stated that they look forward to working <br />with the Mayor and the City Engineer on the Commission that will be coming together in the next <br />few months. M <br />