07-02-2012 CCM - Laserfiche WebLink

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City Council Minutes Page 4 luIV -) -)nl ----------------------------- Currently, the city funds the Storm Water L-tilin- with an annual S50,000 tax levv. However, if a fee is not approved by the Council, the estirmated tax levy contribution needed to fund the utility in 2012 ,�t-ill need to be increased to 5635,514 in order to create enough funds to continue a storm water system that complies with regulations. Councilmember Zer\vas was not in favor of charging a storm water utility- fee. He felt the 550,000 budgeted was sufficient for future pond maintenance. He noted his concerns about adding another fee to a commercial unit, sating it ,vasn't realistic to burden commercials businesses. He stated he Rill not support this fee. Mayor Dietz asked when the cities on the survev started charging fees. Mr. Hanson stated the bigger cities, like Minneapolis and St. Paul, had implemented a storm water utility- fee in the 1980's but other cities have charged a fee more recently with the last 5 -10 rears ago. Councilmember Motin stated he realized the need for obtaining additional funding due to increased permitting requirements, but questioned having to raise the budget so much in order to cover these improvements, and wondered if there were a different wav of computing the fee each property owner would be required to par. Councilmember Zerwas asked about inspection of the ponds and are there ponds that currently need to be dredged. Mr. Femrite said the inspections of the ponds were a visual inspection only; the contents of the ponds would have to be tested to determine the quality of the contents. He stated based on a visual inspection, approximately 20 -25% of the city's ponds need immediate action to correct erosion or excavate sediment. • Councilmember Zerwas felt uncomfortable with not knowing the condition of the ponds and guessing at a budget amount based on assumptions without first inspecting and testing a pond. Mayor Dietz asked who would be charged a fee. Mr. Femrite stated that based upon preliminary calculations, every property owner would be required to pay the monthly fee with the exception of those commercial properties with their own industrial storm water permit. Councilmember Zerwas asked what the fee amount would be for the school district. Mr. Femrite stated the school district's cost would be $30,000 a year Councihmember Gumphrey asked what the process would be to start improving the 20 - 25% of ponds needing immediate improvements. Mr. Femrite stated the city wouldn't be able to do any soil testing in -house and would have to hire a consultant. He stated the testing will show what the contaminants are in the soil. Mr. Femrite also commented on the fact that this preliminary report is before knowing if the permitting regulations are to be increased. He stated that even if the city doesn't receive further regulations, the surface water budget will be exhausted by 2014. He further stated • that our current expenditures are much higher than the amount being put into the fund.