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HomeMy WebLinkAbout11/09/88 Board of Public Works Special Meeting MinutesSPECIAL MEETING NOVEMBER 9, .1988 A Special Meeting of the Board of Public Works was ccnvened at 11:06 a.m. on Wednesday, November 9, 1988, by Board President John E. Leszczynski with Mr. Leszczynski, Mrs. Patricia E. DeClercq and Ms. Katherine Humphreys present. Also present was Assistant City Attorney Marva Leonard -Dent. ADOPTION OF RESQLUTION NO. 35-1988 - APPROVING A SEWER USE AND RATE ORDINANCE AND OTHER RELATED MATTERS Mr. Leszczynski advised that as the Board of Public Works is authorized to operate the Wastewater Treatment Plant and make decisions regarding the operation of the Plant, it is the intent of the Board to file with the Common Council a sewer use and rate ordinance dealing with the Wastewater Treatment Plant Improvement Project. Mr. Leszczynski stated that a major part of the ordinance deals with the $9.5 Million Dollar bond issue required to cover the City's cost of the approximately $22 Million Dollar improvement project at the Wastewater Treatment Plant. The City will be receiving approximately $14 Million Dollars from state and federal grants. An additional $9.5 Million Dollars will be required for construction and such other items as engineering and rate studies, interest costs, legal fees and other costs associated with the bond issue. Mr. Leszczynski further advised that the rate ordinance being submitted to the Common Council is unlike any rate structure utilized in the past. It conforms with federal guidelines and has been approved by the E.P.A. and State of Indiana as to form and content and they have indicated that the amount is reasonable and just in order to operate the Plant properly in the years to come. In response to questions asked by Mr. James Wensits, Reporter, South Bend Tribune, Mr. Leszczynski advised that the ordinance reflects a rate increase of twenty-eight percent (280), the new rate will be seventy-four cents ($.74) per 100 cubic feet, the bond issue period will be nineteen (19) years and one (1) month, with only interest being paid the first two (2) years. He further stated that the 1971 bond issue will be paid off in two (2) years. Mr. Wensits informed the Board that he received a telephone call from an individual regarding a large increase in their water bill. He was advised that the person with the concern should contact the Water Works in order that the bill can be reviewed and the reason for the higher costs can be discovered and explained. In conclusion, Mr. Leszczynski stated that the rate increase proposed in the ordinance being submitted to the Common Council would have been higher had the City not received the grants which it has been awarded for the Wastewater Treatment Plant Improvement Project because improvements are necessary and the project would have had to proceed with or without the grant funds. There being no further questions regarding this matter, upon a motion made by Mr. Leszczynski, seconded by Mrs. DeClercq and carried, the following Resolution No. 35-1988 was adopted: NO. 35-1988 RESOLUTION OF THE BOARD OF PUBLIC WORKS OF THE CITY OF SOUTH BEND, INDIANA APPROVING A SEWER USE AND RATE ORDINANCE AND OTHER RELATED MATTERS WHEREAS, the City of South Bend, Indiana, (the "City"), has previously established and now owns and operates through the City of South Bend Board of Public Works (the "Board of Public Works"), the South Bend Waste Water Treatment Plant (the "Plant"), pursuant to IC 36-9-23 (the "Act"); and SPECIAL MEETING NOVEMBER 9, 1988 WHEREAS, the Common Council of the City of South Bend, Indiana (the "Common Council"), in its Resolution No. 1584-88 on January 4, 1988 ratified the designation of the Soutn Bend Wastewater Board of Commissioners by the Mayor of South Bend as the certified and approved management agency for the control of water pollution sources within its area of legal jurisdiction; and WHEREAS, the Common Council in its Resolution No. 1583-88 on January 4, 1988 authorized and directed John E. Leszczynski, president of the Wastewater Board of Directors, to submit applications for grants to the U.S. Environmental Protection Agency (the "E.P.A.") for Federal assistance under the Federal Water Pollution Control Act Amendments of 1972 and to act as representative of the City in connection with said application; and WHEREAS, the Wastewater Board of Commissioners in its Resolution No. 1-1988 on January 5, 1988 indicated its concurrence with the facility planning report recommending certain improvements to the City of South Bend treatment and disposal facilities subject to public acceptance at the public hearing scheduled February 25, 1988 and with the City's intent to construct, operate and maintain such proposed facilities in accordance with state and federal requirements; and WHEREAS, the Board of Public Works in its Resolution No. 27-1988 adopted on September 26, 1988 acknowledged its historical exercise of authority over the construction, acquisition, improvement, operating and maintenance of sewage waters pursuant to IC 36-9-23-3 and ratified and assumed responsibility for all contracts entered into by the Board of Public Works acting under the title of "Board of Wastewater Commissioners" prior to September 26, 1988; and WHEREAS, the Board of Public Works desires to further acknowledge and ratify the actions taken by the Wastewater Board of Commissioners concerning the Grants; and WHEREAS, the Indiana Department of Environmental Management (the "I.D.E.M."), acting pursuant to 33 U.S.C. 1251, et seq. and IC 13-7, et seq., on August 16, 1988 issued a revised National Pollution Discharge Elimination System (the "NPDES") permit to the City which establishes new effluent limitations for the operations of the Plant and revoked the prior NPDES permit issued by the I.D.E.M. on September 16, 1985; and WHEREAS, compliance with the requirements of the NPDES permit by the Board of Public Works will require the construction of certain improvements to the Plant (the "Improvements"); and WHEREAS, the City applied for grants from the E.P.A. and from the I.D.E.M. in the amount of Twelve Million Twenty -Three Thousand Eight Hundred Twenty-six Dollars ($12,023,826.00) and Three Million Six Hundred Sixty-seven Thousand Eight Hundred Twenty-five Dollars ($3,667,825.00) respectively (hereinafter referred to collectively as the "Grants") to construct the Improvements; and WHEREAS, the City has been awarded a total of Thirteen Million Seven Hundred Fifty-four Thousand Three Hundred Twenty-five Dollars ($13,754,325) pursuant to the Grants consisting of Ten Million Eighty-six Thousand Five Hundred Five Dollars ($10,086,505) from the E.P.A. and Three Million Six Hundred Sixty-seven Thousand Eight Hundred Twenty Dollars ($3,667,820) from the I.D.E.M. but in order to finance the balance of the cost of the Improvements it will be necessary to issue Waste Water Treatment Plant Revenue Bonds (the "Revenue L', 1 MOM SPECIAL MEETING NOVEMBER 9, 1988 Bonds") in the amount of Nine Dollars ($9,500,000) payable works of the City; and Million Five Hundred Thousand out of the revenues of the sewage WHEREAS, the Board of Public Works in its Resolution No. 29-1988 on October 17, 1988 approved the plans, specifications and cost estimates for filed with the Board of the construction Public Works and of the Improvements as authorized publication of Notice of Bids for the Construction of the Improvements with the award of said bids to be subject to the award of the Grants and issuance of the Revenue Bonds; and WHEREAS, a suggested form of a sewer use and rate ordinance increasing the rates and charges to an amount sufficient to pay all expenses incidental to the operation of the Plant, including legal expenses, maintenance costs, operating charges, repairs, and principal and interest charges on the Revenue Bonds, has been duly considered by the Board of Public Works and found satisfactory; NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF SOUTH BEND BOARD OF PUBLIC WORKS AS FOLLOWS: 1. The Board of Public Works hereby acknowledges and ratifies all actions taken by the Waste Water Board of Commissioners relating to the Plant. 2. The Board of Public Works hereby requests the Common Council of the City of South Bend to adopt the proposed sewer use and rate ordinance increasing the rates and charges and regulating the use, installation, and connection of sewers and drains as provided in the form of rate ordinance presented at this meeting. 3. The Clerk of the Board of Public Works is hereby directed to present a copy of this resolution and said proposed ordinance to the City Clerk for presentation to the Common Council as soon as may be done. 4. This resolution shall be in full force and effect after its adoption by the Board of Public Works. ADOPTED at a meeting of the City of South Bend Board of Public Works held on November 9, 1988, at the office of the Board of Public Works, 1308 County -City Building, 227 West Jefferson Blvd., South Bend, IN 46601, this 9th day of November, 1988. CITY OF SOUTH BEND BOARD OF PUBLIC WORKS By: s/John E. Leszczynski s/Patricia E. DeClercq s/S. Katherine Humphreys ATTEST: s/Sandra M. Parmerlee, Clerk ADJOURNMENT There being no further business to come before the Board, upon a motion made by Mr. Leszczynski, seconded by Mrs. DeClercq and carried, the meeting adjourned at 11:13 a.m. ATTE Sandra M. Parmerlee, Clerk