6. Sewer Rate Comparison for Green Acres Areatfifi
Il
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Incorporated 1892
Telephone (406) 758-7700
Douglas Rauthe
FAX (406) 758-7758
Mayor
Post Office Box 1997
Kalispell, Montana
Al Thelen
Zip 59903-1997
Interim City Manager
City Council
Members:
Gary W. Nystui
M-Elmo
Ward I
Cliff Collins
To: Mayor & City Council
Ward
Norbert F. Donahue
From: Al Thelen, Interim City Manager
Ward II
Dale Haarr
Date: June 24, 1996
Ward 11
Jim Atkinson
Re.: Sewer Rate Comparison for Green Acres Area
Ward III
Lauren Granmo
Ward III
The attached memo from John Wilson summarizes the comparison of
Pamela B. Kennedy
the sewer rates for customers of Green Acres that have water
Ward IV
M. Duane Larson
meters and those that do not. Since we are developing new sewer
Ward IV
rates and are 'also looking at this area for annexation, we will
take up this recommendation at that time. This is being
provided now for information purposes.
(�I
o lvll
Incorporated 1892
Telephone (406) 758-7700 Douglas Rauthe
FAX (406) 758-7758 Mayor
Post Office Box 1997
Kalispell, Montana Al Thelen
Zip 59903-1997 t Interim City Manager
City Council
Members:
Date: June 14, 1996
Gary W. Nystul
Ward I
To: Al Thelen, Interim City Manager
From: John Wilson, Assistant City Engineer
Cliff Collins
:qe: Sewer Rate Comparison for Customers in the Greenacres Acres Area
Ward I
Norbert F. Donahue
Background
Ward II
Attached please find a copy of Holli's memo regarding average sewer bills for
Dale Haarr
customers in the Greenacres area. As we have discussed, 29 accounts are billed on a
Ward II
flat rate while 62 others are metered. If we can meter all accounts, we will be able to
Jim Atkinson
monitor and manage the system more effectively.
Ward III
Lauren Granmo
The flat rate is a carry over from the days when this part of the sewage collection
Ward III
system was regarded as private and users were billed by the developer. As we took
Pamela B. Kennedy
control of the, system in January 1991, we asked all existing customers to convert to
Ward IV
our metered billing program. For those who refused to purchase and install a meter,
M. Duane Larson
we had no choice but to continue flat rate billing at tie same rate as had been paid to
Ward IV
the developer.
In January 1991 we proposed an incentive whereby the unmetered account -'should be
held equally responsible for all sewage pumped through the Greenacres 4ift station
which could not be attributed to metered use. Given the amount of c,1Car water
PRIMped into the Greenacres system, this policy would have resulted in a significant
surcharge to unmetered accounts. Glen reviewed the proposal d decided that the
City did not have authority to implement such a billing policy. if
Holli's calculations indicate that at current, rates the flat rate customer is charged
an average of $12 more per billing period than the metered customer. Clearly
the flat J-ate accounts are not under billed and the higher charge is an appropriate
incentive for these customers to get on a metered program.
Recommendation
Staffrecommends a higher flat rate of $50 per billing period to provide a greater
incentive for change. The 29 fie, mate customers have been willing to pay $42 per
billing period for the past 4 years. A fee increase would prompt them to reconsider.
Without control of the water system which supplies the 29 flat rate accounts, we have
few i imy other options to force these customers to install meters.
� (�I� 0i �jllvll
Incorporated 1892
Telephone (406) 752-6600
Douglas Rauthe
FAX (406) 752-6639
Mayor
Post Office Box 1997
Zip 59903-1997
Bruce Williams
City Manager
6 / 10 / 9 6
City Council
Members:
TO: JOHN WILSON
�GL�`�-
Gary W. Nystul
FROM: HOLLI GEMBALA
Cam-
C al1X�
C
Ward I
SUBJECT: GREEN ACRES
METERED vs. FLAT
RATE FEE
Cliff Collins
Ward I
There are a total of
120 accounts in Green Acres;
Barbara Moses
29 accounts on a flat
rate, 43 accounts
metered
Ward11
water & sewer, and 48
accounts metered
sewer only.
Dale Haarr
Ward 11
BILLING METHOD
TOTAL
AVERAGE
Jim Atkinson
Ward III
4/96 Flat Rates
$1,218.00
$42.00
Lauren Granmo
Metered Sewer
$2,952.37
$32.44 (91
Accts)
Ward ill
2/96 Flat Rates
$1,218.00
$42.00
Pamela B. Kennedy
Ward IV
Metered Sewer
$3,104.78
$36.10 (86
Accts)
M. Duane Larson
12/95 Flat Rates
$1,218.00
$42.00
Ward IV
Metered Sewer
$2,220.44
$25.81 (86
Accts)
10/95 Flat Rates
$1,218.00
$42.00
Metered Sewer
$2,524.52
$29.70 (85
Accts)