WATER/WASTEWATER TASK FORCE MEETING

MINUTES

August 31, 2000

11:30 a.m. - 1:00 p.m.

Salem Civic Center - Room 325

1) CALL TO ORDER

The meeting was called to order by Councilor Paul Wulf.

2) INTRODUCTIONS

Introductions were made. Members, staff, and citizens were in attendance as noted below.

Staff present included Frank Mauldin (Public Works Director), Tim Gerling (Assistant Public Works Director), Bob Woods (Management Analyst), Jack Merritt (Finance Director), Mark Siegel (Financial Management Analyst), Paul Eckley (Chief Utilities Engineer), and Keith Garlinghouse (Utilities Engineer).

Consultant Debbie Galardi was present to make presentation.

Mark Fields (SES Water District) and citizens from Polk County were in attendance.

3) CITIZEN INPUT

Citizens from Polk County requested information on why their rates for water are one and a half times as high as the City of Salem rate. Would like some justification. Frank Mauldin stated that residents outside the City of Salem are charged a rate to include a cost for providing service. He stated that he will be glad to meet with them to review the cost and explain the basis upon which the charges are made.

4) MINUTES

There were no minutes to approve at this time. The minutes of July 13 and August 17 will be brought to the next meeting.

5) COSA DISCUSSION

Debbi Galardi, CH2M-Hill consultant, was introduced to present information on Water and Sewer System Revenue Requirements. At this time, materials handed out included a copy of presentation information along with a copy of the Report of Financial Feasibility from the consultant (file copies attached).

Ms. Galardi's presentation included discussion of cost of service rate development, bond feasibility study overview, financial plan development, capital financing alternatives, financial plan results (funding sources, debt assumptions, rate slopes), and the next steps. (See handout material for details.)

Ms. Galardi stated that projected capital improvement costs have some inflationary dollars built in. The feasibility report (handed out at the meeting) provides more detail.

At the next meeting on September 14 (later changed to September 21), allocation to user classification will be shown by the consultant.

There was a brief discussion of how SDC monies can be used - only on system growth on improvements. Reimbursement can be used on other types of capital improvements. If Sizemore measures pass, all this work will begin over.

6) OTHER

There will be a Sewer Lateral Policy public hearing the fourth Monday in October (October 23, 2000).

7) ADJOURN

Meeting adjourned at 12:20 p.m.

These minutes are transcribed from notes and the tape recording of the Task Force meeting on August 31, 2000, as an overview of the meeting. They are not verbatim. The attachments are to the file copy only. Copies of the attachments were distributed at the meeting and mailed to absent members.

Linda Nelson, Staff Assistant II
August 31, 2000

Attachments:
Attendance Sheet (file copy only)
Presentation Material (file copy only)
Feasibility Study Report (file copy only)

These minutes were adopted at the September 21, 2000, Task Force meeting.