Loading...
PUM20050418• Amended and Approved CITY OF MUSKEGO PUBLIC UTILITIES COMMITTEE MEETING Minutes of Meeting Held Monday April 18, 2005 Chairman Eric Schroeder called the meeting to order at 6:40 p.m. Also present were Committee members Pat Patterson, Bob Melcher, Utilities Superintendent Scott Kloskowski, Engineering/Building Inspection Director Sean McMullen and Ruekert & Mielke representatives Rich Eberhardt, Jim Fiacco and Jon Cameron. It was noted that the meeting was posted in accordance with the Open Meeting Law. Those present recited the Pledge of Allegiance. APPROVAL OF MINUTES OF PREVIOUS MEETING Aid. Patterson moved to approve minutes of March 21, 2005. Seconded by Aid. Melcher, motion carried 3-0. STATUS OF PROJECTS • Woods Road Force Main — Mr, Eberhardt noted the force main is 400 feet west of Durham. Rough grading and topsoil has been spread from Mystic to about 700 feet west of Durham. The Contractor will directional bore under Durham Drive to avoid traffic. SEWER UNFINISHED BUSINESS Taxing Districts/MMSD/Norway Capital Charges _ Superintendent Kloskowski gave background on the sewer utility charges and what the money actually goes towards. In 1978 the City of Muskego contracted with the Town of Norway to treat the sewage in the Lake Denoon area. Because uniform user rates are required throughout the City, the Town of Norway users were paying the same rate as the northern half of the city being treated by the City's own treatment plant. In 1984 the City connected to the MNISD system. In 1984 a Reserve Capacity Assessment (RCA) was established. Existing homes were one rate and new construction is considerably higher. The RCA is a one-time charge and is not included in the rates. The RCA is currently not being charged in the Town of Norway. The RCA was set up to pay for infrastructure costs in the MMSD sewer service area. In the future, if needed, there could be an RCA charge established for the Town of Norway. • There are basically four charges, two charges from MMSD and two charges from the Town of Norway. Both MMSD and the Town of Norway charge the City of Muskego user fees and capital charges. The user fee is per thousand gallons Public Utilities Committee Meeting —April 1 El, 2005 Page 2 • pumped to the treatment plant. The Town of Norway charges $4.213 per thousand gallons. MMSD charges $0.83 per thousand gallons. The capital charge MMSD charges are to build and maintain infrastructure (ie. deep tunnels, Root River waterway projects) this rate is $1.53 per thousand of equalized property value. Town of Norway's capital charge was charged in a lump sum of $75,000, which breaks down to about $200/home. In the past the capital charges have been paid with TIF funds, cash reserve and a portion of the RCA funds, instead of raising rates. Because the TIF funds will not be available next year, the Committee is looking for ways to pay these charges in the future. Ald. Schroeder opened the discussion to the audience for questions. Mary Ann Brunner questioned RCA information she received in a flyer. Ald. Schroeder explained the City charges the RCA to new construction for users in the MMSD district, not in the Town of Norway. Ms. Brunner also stated she is not in favor of separate sewer districts. Ms. Brunner feels that people living on the lake will be paying a lot more than other residents. Ken Stys questioned with the TIF fund gone and the cash reserve dwindling, how does the City plan to subside these funds. Superintendent Kloskowski explained there will need to be tax districts established or rates will have to increase. • Superintendent Kloskowski explained that MIMSD projected the capital charges to increase 1.1-1.5 million last year. The City had to catch up from a credit that was given to the City for work that was scheduled to be done in other waterways, but was never started. Therefore, the capital charges increased to 2.2 million. Due to this MMSD capital increase the City':> user rates had to be increased 33% for 2005. Ms. Brunner questioned who maintains the Town of Norway infrastructure in Muskego. Superintendent Kloskowski stated Muskego pays for the Town of Norway infrastructure in Muskego. Joyce Miles questioned if residents are paying for bonuses in the private companies. Ald. Schroeder explained money paid for capital charges must be used for operating costs. Usage charges may be used for this. Jason Faltrick asked if the Town of Norway could increase rates in the future and could the City at some point charge the RCA to new homes and possibly existing homes and put them into a fund for future costs of infrastructure. Superintendent Kloskowski explained the City must have an idea of what projects are needed and what the charge would be before the City could start charging an RCA. Jim Fiacco discussed with the Committee the analysis for alternative methods of • allocating water waste capital charges. Mr. Fiacco showed through different tables options and the impacts on the users. Public Utilities Committee Meeting —April 18, 2005 Page 3 Aid. Schroeder requested Director McMullen create a timeline of dates that would include committee recommendation, public hearings and council approval with an absolute deadline to establish potential districts for the next taxing year. After reviewing the timeline, the Committee will decide if a special meeting is necessary before the regular meeting next month. Review existing 208 Sewer Area and determination of MMSD 2010 boundary changes - This item will be discussed at Committee of the Whole. Aid. Patterson moved to defer. Seconded by Ald. Melcher. Motion carried 3-0. SEWER NEW BUSINESS — Approval of sewer extension — Hillendale Drive (Knudson) — Director McMullen explained this is an extension to the existing force main on Hillendale to service the last 5 lots of the Knudson CSM. Mr. Knudson is also required -to extended the sewer to the existing parcel 1 of CSM 5734. Director McMullen noted the plans meet all the City's minimum requirements. Aid. Patterson moved to approve sewer extension on Hillendale Drive. Seconded by Aid. Melcher. Motion carried 3-0. Review quarterly payment to MMSD and Town of Norway — The Committee reviewed the charges from MMSD and Town of Norway. Aid. Schroeder • requested a quarterly breakdown for the past 1-2 years for comparison when the second quarter bills are brought to the Committee for approval. Aid. Melcher moved to approve payment of the first quarter payments to MMSD and Town of Norway. Seconded by Aid. Patterson. Motion carried 3-0. WATER UNFINISHED BUSINESS *Removed and sent back to the Public Utilities Committee 5/16/2005 Determination of water service for Valley ViE�w Estates — Mr. Glen Miller was present. Aid. Schroeder explained Marian Meadows water trust has sent a letter dated April 13, 2005, stating they are not interested in Valley View connecting to their water system. The Water Trust felt they were not given adequate time to research. Aid. Schroeder stated Aid. Borgman spoke to one of the: members of the water trust, who still could be interested in connecting to Valley View. Aid. Schroeder directed Superintendent Kloskowski and Director McMullen to contact Mr. Charlie DuPont or Mr. Rod Fannon of the Marian Meadows water trust to receive a clear decision. Mr. Miller stated he would pay for any costs that would incur from a study to connect the two subdivisions. Aid. Melcher moved to approve 20 private wells contingent on verification that Marian Meadows is not interested in connecting Valley View to their water system. Aid. Patterson seconded. Motion carried 3-0. Discuss Booster Station for Hillendale Drive Watermain — Director McMullen • explained there are 47 properties along the water route on Racine and Hillendale who are in the boosted zone. Of the 47 properties, 23 have made an inquiry to connecting to Municipal water. Until a booster station is installed, these Public Utilities Committee Meeting — April 18, 2005 Page 4 • properties will not be allowed to connect. The Committee has requested Director McMullen to compile a list for Aid. Melcher of the residents along the water route who are located in the boosted zone. Director McMullen has also been requested to send a letter, specific to this situation, to the residents along the water route asking for a response with their interest in connecting to Municipal water. Along with the letter, the Committee requested a current rate sheet be included. Aid. Patterson moved to defer. ;Seconded by Aid. Melcher. Motion carried 3-0. Determination of water service — Rustic Trailll (Field Dr)- Director McMullen explained Rustic Trails is being proposed as a six -lot subdivision located on Field Drive west of Martin Estates. Municipal water is not available in this area. The developer is proposing private wells. Aid. Patterson moved to approve six private wells for Rustic Trail subdivision. Seconded by Aid. Schroeder. Motion carried 3-0. WATER NEW BUSINESS Discuss Lake Lore (Tudor Oaks) Water Trust - Superintendent Kloskowski explained the Lake Lore Water Trust has recently met with the City of Muskego and is now formally requesting cost and rate information for connecting to the City of Muskego's water system. Superintendent Kloskowski has drafted a letter of response to the Lake Lore Water Trust. Superintendent Kloskowski noted, if the Water Trust were to connect to the City of Muskego's system the project would be financed by the City, and the Water Trust would be on a payment plan. The Committee gave approval to send the response to the Lake Lore Water Trust. Review application to submit simplified rate case to Public Service Commission — Superintendent Kloskowski stated the City qualifies for a rate study. Now would be an appropriate time to raise the rates rather than increase them dramatically in the future. Aid. Patterson moved to recommend to Council approval of the application for a simplified rate case to the Public Service Commission. Seconded by Aid. Melcher. Motion carried 3-0. DISCUSSION ON PROPOSED RESTRUCTURING OF SEWER DEBT — Nothing new to report. This item can be removed from the agenda. SUBDIVIDER'S EXHIBITS - None. REVIEW OF DEFERRED ASSESSMENTS/SEWER & WATER - None ACCEPTANCE OF IMPROVEMENTS — Nome • COMMUICATIONS AND ANY OTHER BUSINESS AS AUTHORIZED BY LAW — None Public Utilities Committee Meeting —April 181, 2005 Page 5 0 ADJOURNMENT — Aid. Patterson moved to adjourn at 9:10 PM. Seconded by Aid. Melcher, motion carried 3-0. Respectfully submitted, Kellie Renk, Recording Secretary • n Marlan Meadows Water Trust 0 April 13, 2005 Alderman Eric Schroeder Chairperson City of Muskego Public Utilities Commission Dear Alderman Schroeder, The trustees of Marlan Meadows Water Trust have recently met to discuss the suggestion that residents of the future Valley View Subdivision should be able to connect to the Marlan Meadows water system. After discussion and due consideration, we have decided that we are not in favor of expanding our water system to the Valley View development. If you have any questions, please contact Trustee; Charlie DuPont at 262-679-3452. Sincerely, Marlan Meadows Water Trust • By /c Charles DuPont, T stee By Rod Fanno , Trustee By Pat Grady, Truste By Stark, Trustee is • 0 0 t t jvits mat e w I Z-1 j A tCe- �NA 5-e