HomeMy WebLinkAbout04-08-13 UtilitiesUTILITIES
4:35 p.m.
APRIL 8, 2013
Committee Members Present: Valerie Schey, Henry Davis, Oliver Davis, Karen White
Citizen Member: Carol Davis
Other Council Present: Tim Scott, Dr. Fred Ferlic, Gavin Ferlic, Derek Dieter
Others Present: Eric Horvath, Scott Ford, Phil Faccenda, Jr.
Agenda: Bill No. 12 -13 Sewage Revenue Bonds
Valerie Schey opened her Utilities Committee meeting with one Bill No. 12 -13, on the agenda. This bill
would refinance outstanding sewage works bonds used to finance construction of sewer improvements.
Director of Public Works explained the EPA mandate requiring separation of storm and sanitary sewers.
Bond financing repaid by sewer rate charges pay for the required construction.
Phil Faccenda, bond counsel, described the 1998 and 2004 bond issues now being refinanced. He
project a million dollar savings over the life of the bonds.
Valerie Schey asked if this would forestall a possible rate increase. John Murphy said it was one factor
easing pressure to raise rates. Karen White followed -up the rate increase question asking if a rate
analysis currently being done would be ready before the budget process. Eric Horvath said it would be
ready in early June.
David Varner speculated that if the ethanol plant stays closed would our treatment plant have an over-
capacity perhaps leading to an opportunity to scale back the requirements of the EPA consent decree.
Eric Horvath said the City was mindful of that but requesting the EPA to re- evaluate would be premature
at this point.
Under miscellaneous Henry Davis wondered whether the city could reduce costs by using alternative
materials like PVC pipe instead of ductile.
Before adjourning at 4:54, Oliver motioned and Karen seconded a favorable recommendation for Bill No.
12 -13.
q R spectfully Submitted,
Valerie Schey, Chairperson
Utilities Committee