HomeMy WebLinkAboutResolution 3804 Intent to raise water rates 15%
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COMMISSION RESOLUTION NO. 3804
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, ORDERING A PUBLIC HEARING BE HELD ON A PROPOSED
FIFTEEN PERCENT (15.0%) INCREASE IN THE WATER RATE CHARGED TO
CUSTOMERS OF THE MUNICIPAL WATER SYSTEM.
WHEREAS, the City of Bozeman, Montana (City) owns and operates a municipal water utility
system; and
WHEREAS, Section 7-13-4304, Montana Code Annotated (M.C.A.) requires the governing body
of a municipality operating a municipal water system to fix and establish rates, rentals and charges for
services, facilities, and benefits directly or indirectly afforded by the system, taking into account services
provided and benefits received;
WHEREAS, Section 7-13-4307, M.C.A., authorizes the City of Bozeman to set rates and
charges for water utility services in an amount sufficient in each year to provide income and revenue
adequate for payment of reasonable expenses of operation and maintenance and for the payment of
funds required to be paid into the sinking fund and for the accumulation of such reserves and the making
of such expenditures for depreciation and replacement of said system as shall be determined necessary
from time to time by the governing body or as shall have been covenanted in the ordinances and
resolutions authorizing the outstanding bonds; and
WHEREAS, Section 7-13-4308, M.C.A., grants local government the right to change and
readjust from time to time the rates and charges fixed and established provided the aggregate of such
rates and charges shall always be sufficient to meet requirements of Section 7-13-4307, M.C.A.; and
WHEREAS, Section 69-7-101, M.C.A., authorizes local government to establish and change
water rates as it considers proper; and
WHEREAS, a fifteen percent (15.0%) increase is necessary to meetthe financial needs of the
City's water system, including inflationary costs, the costs of major maintenance of older water
distribution lines and capital improvements, and to build a reserve to improve the saleability of revenue
bonds for construction of a new water treatment plant; and
WHEREAS, the Bozeman City Commission deems it advisable to consider a fifteen percent
(15.0%) water rate increase, to be reflected in the September 1,2005, billing.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of Bozeman,
Montana, that a public hearing be held on Monday, the 18th day of July 2005, at the hour of 7:00 p.m.
in the Commission Room located in the basement of City Hall, 411 East Main Street, Bozeman, Montana,
to hear public comment on the proposed fifteen percent (15.0%) increase in the water rate charged to
customers of the Bozeman municipal water system.
BE IT FURTHER RESOLVED that the Clerk of the Commission give notice to the customers
of the Bozeman municipal water system of said hearing pursuant to the notice requirements set forth in
Section 69-7-111, M. C.A., and mail by first class, postage prepaid, a copy of all notices of hearing to the
Montana Consumer Counsel.
PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana, at a
regular session thereof held on the 6th day of June 2005
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ATTEST:
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R IN L. SULLIVAN
Clerk of the Commission
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PUBLISHED NOTICE
NOTICE IS HEREBY GIVEN that the Bozeman City Commission will conduct a public hearing
on Monday, the 18th day of July 2005 at 7:00 p.m. in the Commission Room in the City Hall, 411 East
Main Street Bozeman, Montana, for the purpose of considering a proposed water rate increase of fifteen
percent (15.0%), to be reflected in the September 1,2004, billing. This fifteen percent (15.0%) increase
will generate a $5.10 increase in an average $34 monthly water bill. For additional information, contact
Robin L. Sullivan, Clerk of the Commission, at 411 East Main Street, Bozeman, Montana, or telephone
at (406) 582-2320.
ROBIN L. SULLIVAN
Clerk of the Commission
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