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HomeMy WebLinkAbout7A School Property Utility Fees AGENDA #: PREPARED BY: SUBJECT: DATE: INTRODUCTION: BACKGROUND: DISCUSSION: STAFF AGENDA REPORT 7A JOEL RUTHERFORD, WATER RESOURCES COORDINATOR REVIEW THE EXEMPTION APPLYING TO SCHOOL PROPERTY, IN REGARDS TO THE STORM WATER MANAGEMENT UTILITY FEE JANUARY 18, 1994 The purpose of this Agenda item is to review an exemption which applied to schools in 1993, excluding them from being charged the Storm Water Management Utility fee. The exemption applied to only those properties which were used exclusively for schools. At their meeting on January 19, 1993, the City Council approved Ordinance 93-03 establishing a Storm Water Management Utility Fee. Ordinance 93-03 exempted school properties for the 1993 billings, with a provision that the Council would review the exemption in 1994. The purpose of this agenda item is to review this exemption. This fee was added to utility billings for 1993. The forecasted total revenues from this fee were estimated to be $115,000 per year, including revenues from the exempted school properties. The actual billings in 1993 show revenues of $104,050. Staff has estimated the school properties would generate an additional $11,160 (10.7%). The following school properties would be affected: Five Hawks Elementary Grainwood Elementary Prior Lake School District Office Hidden Oaks Middle School P.L. Senior High & Grainwood Schools St. Michael's School $ 1,863.60/yr 218.04/yr 17.70/yr 3,426.23/yr 5,379.28/yr 253.44/yr -1- 4629 Dakota St. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNIlY EMPLOYER T T" Ordinance 93-03 indicates the exemption applies to only the 1993 billings. If Council decides to continue with the exemption, the ordinance may need to be amended. If the city begins charging schools, no changes are necessary since that is how Ordinance 93-03 was adopted. Superintendent of the School District, Dr. Les Sonnabend was sent a letter to inform him of this agenda item, along with a draft of the report. Through a phone conversation, Dr. Sonnabend was also informed of the School District's option of dedicating an easement for a wetland on school property. If the school district signed this easement, an exemption would apply, which would result in a savings of about $100/year. In the letter, Mr. Sonnabend was offered an option to attend the meeting and comment if he wished. St. Michael's School has also been notified this fee would be discussed at the council meeting, and that they would also be given the opportunity to comment on this issue. ALTERNATIVES: The alternatives are as follows: 1. Begin charging school properties the fee. 2. Continue the exemption indefinitely. 3. Table this item for additional information. RECOMMENDATION: Staff would recommend that future billings for school properties include charges for the Storm Water Management Utility Fee, beginning with the next billing in February. ACTION REQUIRED: A motion to direct staff to begin charging school properties the Storm Water Management Utility Fee. JRAG6B.wRT -2- .- "T'""'_'.'~A."-""'9"'"'-"'-'---'~--'_""-_""...~"m. ,.