11-13-02 Utilities Committee - Laserfiche WebLink

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November 13, 2002 Page 2 Council Member Aranowski inquired which outside users collect and deliver their products to us. Mr. Skomp stated that they all do. Mr. Gilot stated that they would not just sell plan services. Council Member Kirsits then opened the Committee meeting for public comment. Mr. Robert L. Miller, Sr., a local attorney, noted that he was representing Ramada Inn and other hotels and motels in the Roseland area. He then provided a handout entitled "Paradoy--The Robber Baron-Peter and Paul" to the Committee (copy attached) and read it into the record. Mr. Miller noted that with regard to consideration to tiers and wholesale rates that the City of Gary considered them and rejected them. He noted that the former Clay Utilities area would be treated unfairly by the proposed ordinance. Mr. Matthew S. Cullinan, Executive Assistant to the President of the University of Notre Dame, then summarized a letter which Rev. Edward A. Malloy, C.S.C. sent to the Mayor and the Common Council on October 31, 2002 (copy attached). He emphasized that the University of Notre Dame has been South Bend's neighbor for 160 years, and that they have been an important economic benefit to the area with their 4,000 employees. Mr. Cullinan also noted the many partnerships which have been positive over the years such as the Center for the Homeless, Northeast Park, and many other people commitments and partnerships. He stated that after a 14 years without a rate increase an increase is warranted, however it must be reasonable. Mr. Cullinan hoped that common ground could be reached between the parties. Mr. Paul A. Kempf, P.E., Director of Utilities at the University of Notre Dame noted that the University has their own collection system. He stated that they must be responsible to the Board of Trustees and the students. All have suffered by the bad economy, however they will be compelled to look at all alternatives. Mr. Kempf stated that there are issues of fact and issues of thoughtful consideration;however now the City of South Bend is proposing a fundamental change in public policy issues which need a lot of debate. He suggested that the Council "consider a plug for one year and work toward mutual agreement". Partnerships are important and there should be an opportunity to continue discussions. Mr. John Mountsier, President of I/N Tek and I/N Kote, stated that partnerships are important and then quoted from a 1998 +OUt J1 n erthi.tng article about a good model of working together between St. Joseph County, New Carlisle, Project Future and the City of South Bend and his company. Mr. Mountsier stated that steel industries are in dire straits with thirty (30) having filed for bankruptcy. He stated that the price of steel is the same as it was in 1988, and that they must compete on a global basis. They are planning to ship 20% more steel in 2003 with 14% fewer employees and a 10% lower overall budget. He requested that the Council review the Administration's material with"close scrutiny". As he drove US 20 he noted that very little money will be used for improvements along US 20 from the rate increase, even though the largest proposed payers would not benefit from the 50% surcharge. He noted that the sewer systems in the older areas of the City of South Bend will benefit from the surcharge. Mr. Mountsier stated that they will continue to look at more conservation measures. They will probably also look at having their own facility in conjunction with other large users. He noted that if all of the money which the City contends they need is borrowed, only a 6% increase would be necessary. He suggested that time should be taken to discuss an increase somewhere between the 6%rate and the Utilities Committee November 13, 2002