10/29/1980 Meeting - Laserfiche WebLink

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board to reconvene at that time to determine if a fair charge is being passed on to customers through the contractors. He indicated that Terry Grondona, Business e Licenses, could answer questions. Ms. Miller stated that the earlier memo raised questions regarding the fees which were based on an average can of non-compacted garbage and this memo does not address that. Mr. Henry stated that the charges are computed on a non- compacted basis and the haulers are charged by the County which uses a 2.5:1 compaction ratio. The problem is whether the ratio is correct or not, but it is fair for them to pass on charges that they pay at the dump site. Ms. Miller asked if the average customer pass-through is $1.10 a month. Mr. Henry indi- cated that it is. The County charges for loose refuse are $1.60 per cubic yard. That amount in a 32-gallon can would cost $1.08; that figure was rounded off to $1.10. At the dump, the hauler pays at a rate of $4 per cubic yard because the trucks compact the refuse. The hauler pays the compacted rate and the homeowner pays the loose rate. Mr. Delay stated that the earlier memo did not make that clear and that is why staff was asked to bring back additional information. Mr. Henry indicated that perhaps a better job of explanation could have been done. He assumed council was questioning the 2.5:1 ratio. Mr. Delay indicated that the concern was whether the customers were paying a higher rate than the amount required for the haulers to recover costs but now the charges appear to be fair. He stressed that a profit should not be made from this. VI. METROPOLITAN WASTEWATER MANAGEMENT COMMISSION SEWER USERSI CHARGES (memo distributed) e Mr. Henry stated that the commission had originally requested levying a $5 charge per single-family dwelling unit which included a capital reserve. Eugene City Council approved this rate contingent upon the actions by Springfield City Counc il . In the meantime, Springfield requested consideration by the commission of a charge of $4.25. This was reviewed by the commission and an alternative of $4.25 was calculated by deleting the capital reserve charge for consideration by Springfield. The council could reconsider the rate structure and Council Bill 2208 has been altered to show the new rates being considered. Springfield has not taken further action yet. Bill Pye, manager of MWMC, is present to answer questions. Mr. Delay asked what the capital reserve was for. Mr. Pye responded that the difference between income and costs would supplement the capital program, recognizing that delays have caused costs to be inflated. The $29 million bond levy may be inadequate to cover the costs. It was anticipated that these funds would be used to cover the Federal funding shortfalls. In two years, there will be a better idea of how much those shortfalls will be and whether a new bond measure will be necessary. Mr. Delay asked if this reserve would be enough to finish construction. Mr. pye responded that it would be if the shortfalls are small, but they probably will not be. Mr. Delay asked if the strategy now is to wait and go back to the voters with another bond measure. Mr. Pye responded that that is a possibility. e MINUTES--Eugene City_Council October 29, 1980 Page 5