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VICTORIA RESIDENTS OR BUSINESSES: WHO’S CONTRIBUTING THE SCHOLARSHIP MONEY? Council accepted a donation of $500 on December 13th from the Victoria Business Owners Association to be put toward the Park and Rec Scholarship Fund. Stated Councilmember Tim Amundsen, “I’m wondering if we know the source of these funds.” Replied Mayor Mary Thun, “I believe it’s from Volksfest.” “How much does the City of Victoria spend on Volksfset?” asked Councilmember Amundsen. “I’ve asked for a list of donations of time and money from the city. I’m looking for a full accounting since there is participation by the city. They need to be held to the same standard. They owe that to the city and the people of Victoria.” Councilmember Amundsen questioned if the scholarship money was in fact coming from the Victoria Business Owners Association or the taxpayers of Victoria. City Administrator Don Uram stated that the city did receive a detailed accounting of Volksfest revenue and expenditures and he will get that information to the Victoria city councilmembers.
UTILITY RATES PROPOSED TO INCREASE VICTORIA WATER/SEWER STILL LESS THAN LATTE On December 13th councilmembers approved the 2011 Enterprise Fund Budgets. This includes city budgets for the utilities: municipal water, sanitary sewer, and stormwater management.
Water Utility Jylan Johnson, City of Victoria Finance Director, reported that forecast revenues were based on 2010 consumption. “Summer consumption was down almost 17% and, likewise, our revenue,” she said. Asked Councilmember Kim Roden, “How do we answer the question: ‘I’m conserving water but I’m still paying more?’” “Well,” said Jylan, “it’s to meet our operating expenditures. We need to maintain our infrastructure.” “To keep our operating costs low, we’ll continue with quarterly billing,” said Jylan. In the past, there was discussion about moving into monthly billing statements for city water use. The base water rate for 2011 is proposed to increase from $24.85 per quarter to $30. Consumption rates are proposed to increase by 6%. It is estimated that an average Victoria homeowner’s quarterly water bill would increase by $10.53 for summer usage and $7.55 for winter usage. She said there will also be additional charge for approximately 300 people who are currently not connected to the city’s municipal water system. “This charge is to pay for the availability of the infrastructure, and they do have inflow into the sewer system,” said Jylan. She further explained, “They either do not have access to water or have access but have not hooked up. These accounts are defined as non-metered accounts. For these non-metered accounts, they have only been charged the base charge for sewer, even though they contribute to the inflow into the wastewater system. “Beginning with our 3rd quarter 2011 utility bill, they will be charged the base charge plus usage of 14,000 gallons per quarter. This amount represents the median usage amongst all residential water accounts. Therefore, they will see their sewer bill go from $29.70 (the 2010 base charge) to $31.05 plus $29.26 usage, for a total of $60.31.” Added Jylan, “These accounts will have the option to purchase a meter, at their expense, to monitor the amount of water they pump from their well into their home. Therefore, they would then be charged according to their actual usage, whether it be lower or higher than the 14,000 gallons.” “To be blunt,” stated Councilmember Tom O’Connor, “they’ve had a free ride for a long period of time.” The Finance Director presented a chart comparing water rates among area communities. Victoria ranked third highest in both winter and summer water bills. Lower rates exist in Waconia, Shorewood, Chaska, and Chanhassen. Jylan said it would make sense that larger cities would have the lower water rates because they also have the advantage of economies of scale.
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January 2011 |
City Scoop Continued |