05/20/1985 Meeting (2) - Laserfiche WebLink

Home Browse Search

- - e customers are paying more than their share. He would be glad to pay the cost of water treatment and an appropriate share of the other costs. He urged the council to adopt a more equitable system. Steve Duffy, 695 West 40th Avenue, is President of Eugene Linen Supply. He objected to the proposed sewer rates because they are higher than rates in similar cities and put Eugene businesses at a competitive disadvantage. He said the charges are not fair because many of them are not flow-related, and the recommended changes indicate that the present surplus-yielding system can- not be cut back or administered more efficiently. Mr. Duffy said that his sewage charges have increased substantially since 1983, but only about 30 percent of the charges are for the transportation and treatment of sanitary sewage. Eugene employees had given him appropriate information. Mr. Duffy was concerned about what will happen when the MWMC surplus is used up. He said the parameters for rate-setting are constantly being changed, especially the extra strength formula. Businesses do not have clear direction for capital improvements. His company is considering the purchase of a water re-use system, but the proposed charges will promote the use of water. He sai d the sewer user charges shoul d not be a "catch-all" for items that shoul d be in the City's general fund. He encouraged "belt-tightening" in the Public Works Department. Ed Anderson, 485 Spyglass, had submitted written testimony to the council and declined to give oral testimony. Bob Trickett, 2457 Agate, represented the Revenue and Taxation Subcommittee of the Eugene Area Chamber of Commerce. He said the system for setting regional sewer rates is technical and complicated. The Eugene staff had helped the subcommittee understand the system. Mr. Trickett recommended the formation of a standing MWMC Budget Committee that would consider the MWMC budget and rate- setting and explain them to the public. Mr. Trickett said the sewage treatment system should be efficient and the costs should be defendable. The Chamber of Commerce subcommittee recommended that $4.5 million of the MWMC surplus be returned to customers in a rate reduction over four years. It also recommended that the Eugene and Spring- field local rate not increase so much that it will negate the regional reduc- tion and that the increase be used for capital improvements. He noted that the recommended regional and local charge represents only a 30~ reduction for most users. The subcommittee expressed concerns about the efficiency of the management of the MWMC and the indirect costs. It indicated that the indirect Eugene costs can be justified, but, if that is done, the direct costs that Springfield charges are difficult to justify. It seems the Eugene indirect costs are the same regardless of the Springfield management costs. Discussing local rates, Mr. Trickett said the subcommittee indicated that the inclusion of street sweeping and storm sewer costs in sewer charges is appro- priate, but the subcommittee recommended the street sweeping and storm sewer costs be based on impervious units (square footage or some other measure). A system for calculating impervious units is important because street sweeping and storm sewer costs are 42 percent of the local rate. MINUTES--Eugene City Council May 20, 1985 Page 3