Resolution 1384 - Water Department ChargesRF50LUTI€E WO. 1384.
WHEREAS, the Finance Committee of the City Council has heretofore pre-
sented to the Mayor and City Council, at the Regular Council Meeting
heldin the city hall on Monday, February 6th, 1933, a Report covering
all phases of the financial relation between the City of Kalispell
and its municipal water utility, The dater Department, and which Re-
port was adopted at such Council Meeting and made a part of the rec-
ords of the Meeting; and
Whereas, it appears to this Council that the City of Kalispell is the
sole owner of the City Water Works Plant, egihipment, water mains,
buildings and all other property of the Pater Department; and thetthe
recommendations of the Finance Committee are just and reasonable and
based entirely upon fact and proper procedure; now therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTANA,
Section 1. That the reasonable and conservative valuation of the
Water Department is hereby declared to be and is fixed atFive Hundred
Thousand Dollars ($500,000.00) and the the City of Kalispell is the
sole owner thereof, and, as such owner, is entitled to a reasonable
interest return on the capital investment and such rate of interest
is hereby fixed at four and one-half percent (4-J) per annum.
Section 2. That the Water Department is entitled to and should col-
lect from the City of Kalispell a reasonable charge for Fire Protec-
tion, Sewer Flushing, lark and Boulevard Sprinkling and Street Clean-
ing, as well as for water furnished to the City for its buildings.
That a reasonable rate of compensation for Fire Protection, Sewer
Flushing, Park and Boulevard Flushing and Street cleaning is best
established by the customary procedure of ehrping 'Hydrant Rental',
and that a fair 'Hydrant Rental' is hel to be A30.00 per hydrant per
annum.
Section 3. That the water Department shall charge the City of Kalis-
pell annual rental of $30.00 each for three hundred eighty-eight
1388):hydrants, being all of the hydrants within the City, such hy-
drant rental to compensate the 'hater Department for every reasonable
charge against the City of Kalispell as set forth in Section 2 above.
And in addition to such rental to be paid for hydrants the City shall
pay for all water consumed by it for other purposes at the same rates
as are charged private eonsurners.
Section 4. That the City of Kalispell shall charge its Water Depart-
ment with interest at the rate of four and one-halfpercent (42) per
annum on the capital investment as set forth in SectionA above,
such interest payable semi-annually, one half on May 30 and one-half
on November 30th, the first such payment to be made on May 30th, 1933.
$,11,680.00 of such interest shall be credited to the City's Contin-
gent Fund for the purpose of paying; 'Hydrant Rental', $5,840.00
credited to that Fund on each semi-annual payment date, and any an
all balance of such interest shall be for the benefit of the City's
General Fund.
PASSED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTANA, Ah-D
APPROVED BY THE ;,1!ffOR THIS 6th DAY OF MARCH, 1933.
ATTEST: APPROVED:
I. D. Rognlien S. P. Bruckhauser
City Clerk. Mayor.
State of 117ontana, Q
County of Flathead,( as.
City of Kalispell, J
I, I, D. Rognlien, Cite Clerk of the City of Kalispell, Montana here-
by certify the £ore,goinC to be a full, true and correct copy of a
resolution passed by the City Council of said City of Kalispell,
Fontana on March 6th. 1933 and annroved by the liavor of said -City
on the same date.
City Clerk.