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<br /> <br />. <br /> <br />. <br /> <br />ITEM 8. <br /> <br />TO: MAYOR AND CITY C <br /> <br />FROM: <br /> <br /> <br />PAT KLAERS, CITY <br /> <br />ISTRATOR <br /> <br />DATE: APRIL 22, 1993 <br /> <br />SUBJECT: WATER UTILITY S <br /> <br />The City Council has discussed water system needs at a number <br />of meetings since the joint meeting with the Utilities <br />Commission on February 17, 1993. I have previously distributed <br />the minutes from this meeting, a 4/5/93 draft memo from myself <br />regarding the water system needs and finances necessary to meet <br />these needs, and four financial analysis computer runs as <br />provided by Bill Birrenkott, Utilities Superintendent. <br />Additionally, I have also distributed the Utilities Commission <br />recommendation and the computer run that outlines the cash flow <br />scenario that is preferred by the Utilities Commission. <br /> <br />My position on <br />mechanism to collect <br />is well known to <br />again in this memo. <br /> <br />the financing necessary and appropriate <br />revenue to finance the water system needs <br />the City Council and need not be repeated <br /> <br />The Council should have all the information necessary in order <br />to reach whatever conclusion they feel is appropriate from a <br />financial point of view. The City Attorney, Peter Beck, will <br />be in attendance at this meeting per City Council request. <br />Peter will be able to discuss the legalities of what is being <br />requested by the Utilities Commission. There are very few <br />legal concerns regarding a water impact fee (WIF) being charged <br />to developers who are platting single family residential lots. <br />On the other hand, some legal questions do exist regarding the <br />collection of a WIF on property that is going to be developed <br />into commercial, industrial, and multi-family uses and on <br />property that is already developed and on platted property <br />whereby only a building permit needs to be obtained. <br /> <br />The purpose of this City Council discussion on the water system <br />needs is larger than simply discussing the finances and <br />mechanism to obtain revenues for funding the future water <br />towers and wells. Mayor Duitsman has requested that the <br />Council also evaluate the City financial contribution to the <br />northeast and west towers that are proposed in the next few <br />years. <br /> <br />A joint meeting with the Utilities Commission is scheduled for <br />7:00 p.m. on Monday, May 3, 1993, at the Elk River City Hall. <br />At this meeting it is anticipated that the City and Utilities <br />Commission will reach some conclusion and agreement on <br />financing the most immediate water system needs. <br /> <br />720 Dodge Avenue N.W., Elk River, Minnesota 55330 (612) 441-7420 <br />