HomeMy WebLinkAboutResolution 3711 Intent to decrease sewer rates 20%
COMMISSION RESOLUTION NO. 3711
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, ORDERING A PUBLIC HEARING BE HELD ON A PROPOSED
TWENTY PERCENT (20.0%) REDUCTION IN THE WASTEWATER (SEWER)
TOTAL RATE CHARGED TO CUSTOMERS OF THE MUNICIPAL WASTEWATER
(SEWER) SYSTEM.
WHEREAS, the City of Bozeman, Montana (City) owns and operates a municipal wastewater
(sewer) utility system; and
WHEREAS, Section 7-13-4304, Montana Code Annotated (M.C.A.) requires the governing body
of a municipality operating a municipal wastewater 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 wastewater 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 any 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
wastewater rates as it considers proper; and
WHEREAS, in 1996, the Commission implemented a surcharge to cover the extraordinary costs
incurred due to remediation and monitoring of the Bozeman Solvent Site; and
WHEREAS, the purpose of the surcharge was amended in 2001 to include generating local
match funds for the $5 million federal grant received for sewer and storm sewer infrastructure
improvements; and
WHEREAS, a 20-percent reduction in the total rate is now possible while meeting the financial
needs of the City's wastewater (sewer) system; and
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WHEREAS, the new rates are less than they would have been had there been no Bozeman
Solvent Site or EPA grant and had the City increased the wastewater rates for inflation each and every
year, beginning in 1996, together with the one-time rate increase in 1999 of 25 percent for the capital
improvement program; and
WHEREAS, it has been determined that the surcharge to cover the extraordinary costs incurred
due to remediation and monitoring of the Bozeman Solvent Site and to generate local match funds for
the $5 million federal grant received for sewer and storm sewer infrastructure improvements is no longer
necessary; and
WHEREAS, the Bozeman City Commission deems it advisable to consider a twenty percent
(20.0%) wastewater (sewer) total rate reduction, to be reflected in the November 1,2004 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 20th day of September 2004, 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 twenty percent (20.0%) reduction in the wastewater
(sewer) rate.
BE IT FURTHER RESOLVED that the Clerk of the Commission give notice to the customers
of the Bozeman municipal wastewater 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 16th day of August
ATTEST:
~J~
R IN L. SULLIVAN
Clerk of the Commission
APPROVED AS TO FORM:
-- I ' =dcpt. ~
TIMOTHY A. COOPER
Acting City Attorney
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PUBLISHED NOTICE
NOTICE IS HEREBY GIVEN that the Bozeman City Commission will conduct a public hearing
on Monday, the 20th day of September 2004 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 wastewater (sewer)
total rate reduction of twenty percent (20.0%), to be reflected in the November 1,2004, billing, The 20-
percent total rate reduction will generate a $6.20 reduction in an average $31,00 monthly wastewater
(sewer) 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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