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HomeMy WebLinkAboutMINUTES Public Works Committee 1993-11-19BRADFORD PUBLISHING CO. RECORD OF PROCEEDINGS ✓Public Works Committee November 19, 1993 Committee: Attending Also Attending: Absent: Chairman Habecker, Trustees Doylen and Gillette All Assistant Town Administrator Widmer, Trustee Dekker, Public Works Director Linnane, Water Superintendent Goehring, Deputy Clerk Kuehl None Chairman Habecker called the meeting to order at 10:10 A.M. WATER RATE STUDY Public Works Director Linnane explained that three Financial Plans have been prepared by Black & Veatch since 1989. These plans have anticipated the end of the approximate $700,000/year MDC revenue source in 1993. At the conclusion of each Financial Plan, the public was notified of a possible rate increase starting in 1994. John Gallagher, of Black & Veatch, presented the preliminary study which includes the projection of water sales revenue, the cost of service, and the design of cost rates. Water rate increases are needed because of necessary capital improvements to upgrade the transmission and distribution system. The 1993 reserves stand at $2.3 million and the goal is to maintain a reserve of $1.3 million reserve by 1999, after 6 years of capital improvements. These reserves are needed to cover capital emergencies that may result from catastrophic occurrences. The $1.3 million is a financially healthy reserve. Four water classifications were designated (residential, commercial, pump flow, and bulk) and the following rate structure was recommended for approval: Minimum Charge Structure: Charge customers the cost of billing the customer, repairing and maintaining the meter, maintaining smaller mains, and the minimum cost of 2,500 gallons of water, plus a charge for the actual water used. The total increase over the six - year period would be $75/residential (5,000 gallon average) per year and $360/commercial per year (25,000 gallon average). Following are the projected percentage increases over the next six years: 1994 1995 7% 1997 9$ 1996 g% 1998 5% 1999 5$ The Committee recommended an ordinance be prepared by the Town Attorney using the Minimum Charge Structure and presented to the Board of Trustees at their January 11, 1994 meeting. BIKE PATH EXTENSION Director Linnane reported that $138,000 was budgeted for capital improvements during 1993 with $8,700 was suggested this money be used to continue the bike path. of Matthew Circle to the corner of CommunityanPaGraves Av enfrom The encumbrance of these funds would not affect the budget. Committee recommended the $8,700 remaining in the capital improvements budget be encumbered in 1993 to order to complete this project in 1994. BRADFORD PUBLISHING CO. RECORD OF PROCEEDINGS Public Works Committee, November 19, 1993 - Page 2 REPORTS The Committee reviewed the Customer Service Response and Monthly Water Reports for October. Director Linnane reported that Marys Lake Water Treatment Plant was off-line during October for cleaning and was back on-line November 3. Director Linnane reported that the Lake Estes Bike Trail was chosen by the Upper Front Range Regional Transportation Planning Committee as their first choice for funding and will be recommended to the Colorado Department of Transportation. Chairman Habecker commended Commissioner Disney for his assistance during the planning stages of this project. Assistant Town Administrator Widmer reported that the Estes Park Senior Center was contacted to become a part of the proposed Community Center. The Senior Center sent a survey to 315 participants, receiving 83 positive and 128 negative votes. Trustee Dekker commended the Committee on their persistence in producing this proposed rate study and their recommendation of gradual rate increases rather than the cost of service charges. There being no further business, Chairman Habecker adjourned the meeting at 11:37 A.M. tc4,17.77) NOV 2 3 1993 Cr E:;7ES ?:'stiff BOA`)• C iG11S�i�S Tina Kuehl, Deputy Town Clerk