HomeMy Public PortalAboutMIN-CC-2017-04-24MOAB CITY COUNCIL MINUTES
SPECIAL WORKSHOP MEETING
APRIL 24, 2017
Special Workshop Meeting & Attendance: The Moab City Council held a Special Meeting on the above
date in the Council Chambers at the Moab City Center, located at 217 East Center Street, Moab, Utah.
Mayor David Sakrison called the Workshop to order at 5:08 PM. In attendance were Councilmembers
Rani Derasary, Kyle Bailey, Heila Ershadi, and Kalen Jones. Also in attendance were City Manager David
Everitt, and City Recorder/Assistant City Manager Rachel Stenta. Councilmember Tawny Knuteson-
Boyd arrived at 5:38 PM.
The Meeting consisted of a Budget Workshop for the Proposed Fiscal Year 2017-2018 Annual Budget.
City Manager David Everitt began with an overview of water revenues, including water sales for metered
customers and "shop water" sales. Discussion ensued regarding water rates for the City customers and
how they compare to rates for customers of Grand Water and Sewer Services Agency (GWSSA).
Councilmember Bailey asked if there would be an upcharge for water usage beyond the base rate, and
City Manager Everitt suggested that a directive from Council to pursue a change in rates is a possibility.
Councilmember Ershadi asked when the rate study would take place, and whether the water
conservation board would consider the topic. Everitt stated it would likely be a priority for the board.
Mayor Sakrison suggested that raising the commercial water rate would be preferable to raising
residential rates.
Everitt continued with an overview of water expenses including a recommendation for a new position
on the water crew. He pointed out expenses exceed revenues by approximately $300,000. He added
that raising rates by 60% would make up that gap, without addressing capital improvement projects.
City Recorder/Assistant City Manager Stenta mentioned setting depreciation monies aside for future
infrastructure improvements.
Everitt outlined expenditures including the proposed water tank and other large capital improvement
items. He suggested that a bond would allow all the water system improvements to be made at once,
with the amount paid back over ten years. He pointed out that the budget would still show
expenditures exceeding revenues, although the amount would be less if there was a rate increase.
Councilmember Jones suggested a differentiation for non -primary residences. Councilmember Derasary
asked about special rates for those on fixed incomes, and Everitt suggested an agricultural discount.
The discussion then turned to the sewer budget. Everitt pointed out the recently -approved 20% rate
increases and how that will positively impact the bottom line. Councilmember Jones asked if there was a
Council decision to be made regarding this budget category. Everitt responded that no decision is
needed unless a larger rate increase becomes preferable to speed along several large infrastructure
projects, some of which are expected when the new water reclamation plant is completed.
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Councilmember Bailey asked about the priority of the south trunk line. There was discussion about
getting businesses surrounding Kane Creek Boulevard onto the new line. Also considered were
agreements between the City and GWSSA, involving the San Juan Spanish Valley Special Service District.
City Manager Everitt reiterated that increased rates would affect other agency users as well. Everitt
asked the Council members if there was any appetite to increase rates again. Councilmember Bailey said
no. Councilmember Jones suggested another increase could be considered in 2018.
Other topics discussed included whether the City can charge non -primary residential users a different
rate, or whether the City can charge a higher base rate. City Manager Everitt noted he would research
these questions as well as other topics, including rate options that emphasize commercial use; typical
household use; life span of the 100 West trunk line; funding opportunities for the south trunk line; and
questions about the split for stormwater expenses between residential and commercial users.
Discussion turned to budgeting for stormwater management, including the parking in lieu fee being
raised to account for better stormwater revenues. The main capital project in the budget pertains to the
Stewart Canyon stormwater infrastructure improvement associated with the Highway 191 widening
project.
A specific line item discussed involved the riparian habitat restoration projects.
City Manager Everitt pointed out that the several studies for infrastructure improvements will inform
the priorities in the coming years.
Adjournment: The meeting was adjourned at 6:53 PM.
APPROVED: ATTEST:
David L. Sakrison, Mayor Rachel E. Stenta, City Recorder
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