12-09-13 Common Council Meeting Minutes

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REGULAR MEETING DECEMBER 9, 2013 Whereas, in light of the need for additional information and data on the proposed sewage rate increases, as well as what appears to be conflicting information provided by the Administration with regard to the over 60-page Consent Decree, Bill No. 64-13 was continued in the Council portion of the public hearing to January 27, 2014, so that the City Administration would have the opportunity to provide more detailed information and a variety of rate options for the Common Council to debate, analyze and consider; and Whereas, since the Consent Decree was entered into, there have been articles published noting that the EPA is “willing to consider renegotiating…Consent Decrees”, with one of those articles being published in the June 5, 2012 edition of the Governing magazine entitled “Mayors Question EPA Consent Decrees” where several Mayors contended that there is a “potential to cause financial stress for local governments and their residents”; and another article published on August 1, 2012 noting that the “tough economy might be making the agency more flexible”- with that information being specifically shared with the City Administration; and Whereas, the Common Council notes that some of the Consent Decrees which have resulted in modifications were based on new and relevant information which improved the remedies and were from the cities of Indianapolis, Indiana; Toledo, Ohio; Atlanta, Georgia; and Honolulu, Hawaii; and Whereas, the Common Council believes that the City of South Bend, Indiana, has taken substantial steps and taken many good faith efforts to upgrade the sewage treatment plant in the effort to reduce raw sewage discharges with the passage of rate increases such as those in 2003 of 24%, a 29% rate increase in 2005, a 15% rate increase for 2007, an 11% rate increase for 2009, and a 9% rate increase for each year thereafter through 2013; Whereas, the Common Council believes that all viable options should be investigated in light of the local economy and its impact on the ability to pay higher rates and charges; whether the most recent Resolution on Sewer Rate Increase Considerations population base was used which reflects a population loss; whether the Michigan water standards are required or optional; and other related issues, especially since no past or current Common Council Member was involved in the discussions leading to the Consent Decree being entered into by the City. Now, Therefore, Be It Resolved by the Common Council of the City of South Bend, Indiana, as follows: Section I. The South Bend Common Council hereby believes that in order to “establish just and equitable fees for the services rendered by the sewage works…” that all reasonable options should be analyzed, carefully studied, and debated before moving forward on raising the current sewage rates set forth in South Bend Municipal Code § 17-21. Section II. The Common Council further believes that in order to carry out its statutory duties with the primary one being fiscal responsibility that all viable and legitimate options should be offered by the City Administration so that they may be properly vetted. Section III. The Common Council believes that an equitable sewer rate increase for the 2014 is warranted so long as it is based on current factual data, which is in compliance with the applicable provisions of the South Bend Municipal Code, the Indiana Code and the Consent Decree. However, the Common Council further believes that the City Administration should carefully review all possible alternatives including potential modification of the current Consent Decree, with that review beginning post haste, so that discussions between the Administration and the Council can begin in early January 2014. Section IV. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Dr. David Varner, 5th District Council Member Member of the South Bend Common Council th s/Dr. Fred Ferlic, 4 District Council Member Member of the South Bend Common Council 29