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HomeMy WebLinkAbout03-11-13 UtilitiesUTILITIES 4:45 P.M. March 11, 2013 Committee Members Present: Valerie Schey, Henry Davis, Oliver Davis, Karen White Other Council Present: Tim Scott, Dr. Fred Ferlic, Dr. David Varner, Gavin Ferlic, Derek Dieter Others: Mark Neal, Erin Horvath, Kathy Cekanski - Farrand, John Voorde Agenda: Update on CSO mandate with impact projection on rates Valerie Schey, Chair of the Utilities Committee, asked for a status report on the EPA mandated CSO project with emphasis on the financial ramifications. Would there be a rate increase needed? A Bond? Did the Ethanol plant closing impact those decisions? Both Director of Public Works Eric Horvath and City Controller Mark Neal provided a tag team response. Eric Horvath cited substantial storm /sanitary sewer separation progress. Plans to proceed were approved by the EPA and the bond funding underwritten for the project had already been pre- approved by the Council. Mark Neal added that outstanding bond refinancing saved substantial money and the need for an amount of rate increases was under review. Karen White recalled the accounting firm of Crowe - Horwath did a rate study projection for the City four years ago. Eric said that has been used as a touch stone since then and would provide a copy to Council. Unanticipated four years was the closure of the New Energy facility, a major rate /revenue generator. Both Eric and Mark said they hoped the closure was temporary; but contingency plans were being evaluated in case their revenue was permanently lost. Dr. Varner cautioned a rush to a new bond issue until everything "shares- out." Mark agreed, Eric said new CNG trash trucks would begin operating soon. Valerie Schey adjourned the meeting at 5:06p.m. Respectfully Submitted, Valerie Schey, Chairperson Utilities Committee