CC Minutes - 01/13/03 WS - Laserfiche WebLink

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model of capital improvements. He said that the commission was looking at the two kinds of improvements for which it had to pay 100 percent of the cost, the new development, which would be covered by the SDC requirements, and the rebuilding of existing components, which would be covered by the regional sewer user fee. He commented that this represented a fundamental shift as the Metropolitan Wastewater Management Commission (MWMC) was transitioning away from partial federal funding to a self-funded model. Ms. Bettman commented that there was a big difference between raising a rate and raising a one- time fee. She questioned, when all of the other planning processes were predicated on a 20-year time frame, why the wastewater CIP was predicated on ten. Mr. McVey responded that the commission had felt a ten-year CIP was more predictable and reliable. Mr. Torrey asked whether the public hearing on the modifications to the SDCs was well-attended. Peter Ruffler, Director of Wastewater Management for Public Works, replied that it was not. Mr. Meisner clarified that the switch to self-funding was not because the City was disdaining federal funding, but rather, that the City was not likely to receive further funding for its wastewater management. Mr. Poling expressed concern that a 140 percent increase would not be well-received. He opined that the public would be unhappy with it. He supported affirming the proposed resolution and directing the City Manager to proceed with the scheduled public hearing, the first option listed in the agenda item summary. Ms. Solomon commented that such a rate increase was "staggering." She said that she was not prepared to support it, but that she also felt that council should proceed with the first option. In response to a question from Mr. Pap~, Mr. McVey stated that the MWMC was guided by a different set of financial parameters than the City, which included financial policies that guided them to carry out rate reviews. Mr. Kelly stressed the importance of clarifying, for the sake of members of the public, that the rates referred to in this modifications were strictly SDCs and not the rates that appear on the monthly bills of citizens. Ms. Bettman remarked that, should these modifications not be adopted, the user rates would have to be increased. Mr. Carlson, in answer to a question from Ms. Bettman, stated that the public hearing would be held on January 27 at the regular council meeting at 7:30 p.m. Mr. McVey listed the noticing that had occurred, noting that it had been adequately noticed as required by law. Ms. Bettman felt that citizens should be strongly encouraged to look over the current wastewater charges on their bills and made aware that, should the SDC modifications not be approved, this amount would drastically increase. MINUTES--Eugene City Council January 13, 2003 Page 6 Work Session