Call To Order:
Robert Sexton called to order the regular meeting of the Utility Board at 7:05 p.m. in the Council Chambers at City Hall, 9611 S.E. 36th St., Mercer Island, WA.
Board Members Robert Sexton, Chairman, David Laub, Vice Chairman, Callie Ridolfi, Ben Levie, Gregory Babinski, Joel Massman and Council Liaison Bruce Bassett were present. Board Member John Ewald was absent.
Staff Members Glenn Boettcher, Francie Lake, Anne Tonella-Howe, Chip Corder, Rona Lin, Terry Smith and Terry Winkel were present.
The Minutes of the September 9, 2008 meeting were approved.
Greg Hill and Rich Hefti, Roth Hill Engineering
Well Facility Design
Rona introduced Greg Hill and Rich Hefti from Roth Hill Engineering. They presented several renderings of the proposed well house design to the Board. Discussion followed regarding construction costs, available storage in the building, estimated annual maintenance costs, type of lighting, etc. Glenn asked the consultants to estimate annual utility costs. The Board expressed their preference for the simpler building design and deferred landscape and building color selection to the discretion of the Parks Department.
Chip reviewed the proposed bimonthly EMS Rates for 2009-2010. Several questions arose and the Board asked Chip to re-assess the proposed rate for the In-Home Care customer class to ensure no errors have been made in the calculations.
David Laub made a motion to recommend to City Council that the proposed bimonthly EMS Rates for 2009-2010 be adopted. Gregory Babinski seconded the motion. The motion passed unanimously.
Water Budget and Rates
Francie reminded the Board that with a two-year budget process rates are established for both years but second year rates can be adjusted if needed. She reported that while revenue will be down due to weather conditions and conservation, costs will be up in part due to a 10% increase in SPUís wholesale water rates.
The expenditure requests in the Operating Budget and the CIP Budget were reviewed. Francie explained the differences between Scenarios A & B. She distributed a small handout (Exhibit A) showing the combined impact of changes to all the various components that make up the bi-monthly utility bill. The Board was advised that water rates and class data would be reviewed in depth in 2009. Discussion followed.
David Laub made a motion to recommend to City Council that an overall rate increase of 10.5%, allocated by class, be made in 2009. Ben Levie seconded the motion. The motion passed unanimously.
Anne advised that bids for the Sewer Lake Line Project will be opened mid-November. Discussion followed and Glenn advised that a special meeting of the Board would be called if the bids exceeded the current construction cost estimate.
The regularly scheduled meeting of Tuesday, November 11, 2008 was cancelled.