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142 <br /> <br /> Ms. Rossi stated that the City is trying over a period of <br /> about three years to build up the balance in the water fund so that <br /> there won't be a need to increase rates as much next year. <br /> <br /> Mr. Cordtz referred to page five of the staff report and asked <br /> what the time table is for the water connection fee and is staff <br /> taking into condition that new developments will need more than <br /> just a hook-up. <br /> <br /> Mr. Cusenza responded that the time table is either the <br /> January or the February City Council meetings and generally the <br /> hook up fee is paid at the time a building permit is obtained. <br /> <br /> Mr. Cordtz referred to the Ridge, and asked why there would be <br /> a one time fee of $15,000, which in no way is going to pay for <br /> maintenance. <br /> <br /> Ms. Acosta stated that the Ridge is clearly a different <br /> service area than anything the City has had before and if <br /> development is ultimately approved by the Council, there will be a <br /> variety of different kinds of fees and charges for that area. <br /> <br /> Mr. Cordtz asked why the Council is not considering those <br /> scenarios now while working it through because Ruby Hills and other <br /> properties are to be annexed. <br /> <br /> Ms. Acosta responded that generally for properties which are <br /> annexed the relative impact of providing services is minimal and in <br /> fact the maintenance cost should be in some ways less because there <br /> are brand new facilities. When you look at a new area that is <br /> clearly different than what we've had in the past, like the Ridge, <br /> we will need to set up different fees and charges. One of the <br /> things that staff is looking at with the new computer billing <br /> system is the opportunity to look at different areas of the City. <br /> It will help us look at rate structures which can provide for <br /> incentives for conservation. <br /> <br /> Ms. Rossi stated that staff will be recommending that the <br /> Council review the connection fee no less often than every two <br /> years. <br /> <br /> Mayor Mercer thanked Craig Lawson and Bob Beebe for their time <br /> and effort on these items. <br /> <br /> Mr. Butler commented that no one likes to raise utility rates <br /> but the City is required by law to charge whatever it takes to <br /> balance the cost of operation. It was a good plan to have an <br /> independent consultant do this analysis to get a good overview of <br /> what the costs really are and what rates it takes to recover the <br /> operation costs. <br /> <br /> Mr. Tarver agreed. .The one concern that he had was the <br /> <br /> 12/10/91 16 <br /> <br /> <br />