CALL TO ORDER:
Chairman Ben Levie called the regular meeting of the Utility Board to order at 7:06 p.m. in the Council Chambers at City Hall, 9611 SE 36th Street, Mercer Island, WA.
Chairman Ben Levie, Vice Chairman Kwan Wong, Tim O’Connell, Steve Milton, Glynda Steiner, Wendy Walker, Susan Kaltenbach and Tana Senn were present.
City staff: Maintenance Director Glenn Boettcher, Assistant City Engineer Anne Tonella-Howe, Finance Director Chip Corder, Deputy Finance Director Francie Lake and Recording Secretary Asea Sandine were also present
The minutes of the July 9, 2013 meeting were approved.
2014 Storm Water Rate Update
Corder explained to new members that rates are set for two years and that rate studies are conducted every few years. Corder advised his policy is to create “smoothed” rates to avoid big spikes. Lake explained that the Utility Board recommended a 5.1% rate increase in 2013 and 2014. However, during Council’s 2013-14 Biennial Budget review, street sweeping costs were moved back to the general fund and the First Hill Drainage System Extension project was moved out to 2017-18 or beyond. These changes were the basis for a 1.2% rate increase in 2013. Staff recommends a 1.2% rate increase in Storm Water rates for 2014 also.
Motion: Wang moved to adopt the staff recommendation of a 1.2 percent rate increase for storm water in 2014 listed in exhibit 1. Seconded by Milton. The motion carried unanimously.
2014 EMS Utility Rates
Lake explained the EMS Utility rate is tied to the estimated current salary and benefited costs, excluding overtime, of four firefighters to provide capacity to handle simultaneous EMS calls. She further explained how rates are applied to various customer classes based on a two-year call history. To determine the 2014 revenue, staff utilized a new methodology proposed by the Board in 2013. Staff used the average budgeted cost of four firefighters (excluding lieutenants, captains and Battalion Chiefs). Compared to 2013 adopted EMS rates, this represents an overall increase of 3.78 percent for 2014.
Motion: O’Connell moved to approve the 2014 EMS Utility rate requirement of 3.78% percent
increase. Milton seconded. The motion carried unanimously.
Water Sewer Rate Overview
Lake previewed the 2014 Water and Sewer Rate Review PowerPoint presentation that will be
discussed more in depth at the next meeting.
Senn advised that she would not be available to attend the October 8, 2013 meeting.
NEXT MEETING: The next scheduled meeting is October 8, 2013.
ADJOURNMENT: 8:34 p.m.