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55 <br /> <br />connection fee funds. She added that the City's accounting system <br />carefully segregates connection money from replacement money to <br />make sure that expansion funds pay for expansion and that the <br />current users pay for what they use. <br /> <br /> Mr. Tarver commented that there was some discussion about the <br />rates being 16% higher than the average rates. He inquired if a <br />comparison was made between connection and user fees and the <br />average rates. <br /> <br /> Ms. Rossi replied that City rates are at the top ten percent <br />in relation to other districts. She added that by mid-year, staff <br />will be requesting funds to do a sewer connection study which would <br />address the matter. <br /> <br /> Mr. Mercer inquired if the cross-town sewer project was <br />constructed to address expansion and growth. <br /> <br /> Mr. Elliott commented that the cross-town sewer project <br />addressed growth to some extent but that a large part of it was to <br />solve some problems in the community. He explained that some of <br />the sewer lines were surcharged as a result of an old and archaic <br />system that needed to be replaced and that the removal of three of <br />the existing pumps that were no longer necessary made the system <br />more efficient and economical. <br /> <br /> It was moved by Ms. Mohr, and seconded by Mr. Mercer, that <br />Ordinance No. 1500 be introduced, to be read by title only and <br />waiving further reading thereof, amending Table 15.20.180 of <br />Section 15.20.180 of the Pleasanton Municipal Code concerning sewer <br />rates and charges, as set forth in the Staff Report. <br />The roll call vote was as follows: <br />AYES: Councilmembers Mohr, Scribner, Tarver and Mayor Mercer <br />NOES: None <br />ABSENT: Councilmember Butler <br />ABSTAIN: None <br /> <br /> It was then moved by Ms. Mohr, and seconded by Mr. Mercer, <br />that Resolution No. 91-28 be adopted, authorizing the Director of <br />Finance to create a separate Sewer Capital Replacement Fund and to <br />retitle the existing Sewer Capital Improvement Fund to the Sewer <br />Expansion Fund, and approving the Administrative Policy Statement <br />regarding Sewer Rates and Charges, as follows: (1) The City shall <br />operate the Sewer Utility on an enterprise basis, whereby the costs <br />of service are borne entirely by the users; (2) The City shall <br />maintain adequate reserves in the Sewer Maintenance and Operations <br /> (M & O) Fund to meet cash flow requirements and contingencies; <br /> (3) The City shall perform a sewer rate study at least bi-annually <br /> which determines sewer rates based on a cost of service analysis; <br /> <br /> - 5 - <br /> 3-5-91 <br /> <br /> <br />