May 5, 2014 - Utility Committee Meeting

May 5, 2014

6:00 p. m.

Meeting called to order by the committee chairperson Councilman Fox.

Topic: Village of Brewster Sewer Rates

Copies of proposed changes to the original sewer rate increases were passed out. Fox explained that the usage per 1000 gallons and the service charge would go up 3.5% per year but the capital charge would actually go up 3.5% the 1^st year but would stay the same amount for the remaining 3 years of the Ordinance, so the rates wouldn’t be going up as much as first thought.

Councilman Fox stated that Mayor Schwab had proposed changing the service charge and capital charge amounts and those go into the Sewer Replacement Fund and Sewer Debt Fund respectively, also recommended the new rates begin January 2015 to help business adjust their budgets accordingly.

Councilman Tharp asked for clarification of the charges. Councilman Mackey explained the capital charge went from $14.96 to $24.45 to cover the debt and the service charge went from $12.53 to $4.00 to cover sewer replacement. Mayor Schwab explained where the service and capital charges came from back in the 1990’s.

Councilman Godwin stated that it looked like a good system. Mayor Schwab stated that that the increase for a 3000 gallon usage customer would be $1.22 a month, looking at $6.00 over 5 years. Councilman Strausbaugh stated it makes sense – for the sake of explanation calculate the totals for a 3,000 gallons customer. Councilman Hilliard stated that when we started this, it was covered by the drop off of the other loan. Clerk Kris King stated that the original estimate for the sweet water project was $3.2 million but the actual amount was $5.1 million.

Councilman Hilliard asked if the per gallon charge changed after a certain amount of usage. Councilman Fox said no. Mayor Schwab stated that the service and capital charges were the same for each customer. Councilman Hilliard asked if the VA and the Mayor met with Shearers. Mayor stated they did and that Shearers would like to see the rates go up after their fiscal year ended. Councilman Hilliard asked the Clerk about the amounts in each of the Funds.

Meeting adjourned at 6:28 p. m.