STORMWATER UTILITY RATES - AGN
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-----Original Message-----
From: Bush, Keith
Sent: Thursday, June 15, 2006 2:29 PM
To: Josef, Veronica
Cc: Arasteh, Mahshid; Carrier, AI
Subject: FW: Council member Information
Importance: High
Veronica,
Mahshid requested this e-mail as a response to an information request from Councilmember
Jonson for tonite's meeting.
Councilmember Jonson,
The use of Pennies funding for stormwater projects will have limited effect on the rates needed to
fund operations and projects. $1 million of pennies funding per year would reduce the rate increase
requested from 6% to 5.5% per year. The reason the effect isn't any greater is that stormwater
projects are primarily funded with bond proceeds. Debt service on the bonds is spread over 30 years.
The savings on debt service would equate to approximately $70,000 per year vs rate study projected
cash outflows of $11 million in FY07 to $14.5 million in FY11. The benefit on cash flows is 6/10ths of
1 % for FY07 to 5/10ths of 1 % for FY11.
For FY07 thr FY11 the change in fee cost per ERU would equate to:
FY07 FY08 FY09 FY10 FY11
6.0%
9.91
10.5111.1411.8012.51
5.5%
9.86
10.40 10.97 11.57 12.21
Difference
.05
.11 .17 .23 .30
Keith Bush
Public Works Controller
Phone: 727-562-4716
Cell: 727-224-7872
Fax: 727-562-4755
E-mail: KeithBush@nyCleartUater.com
-----Original Message-----
From: Arasteh, Mahshid
Sent: Thursday, June 15, 2006 12:41 PM
To: Quillen, Michael; Bush, Keith
Subject: FW: Council member Information
-----Original Message-----
From: Wilson, Denise
Sent: Thursday, June 15, 2006 12:32 PM
To: Arasteh, Mahshid
Cc: Wilson, TIna; Josef, Veronica
Subject: Councilmember Information
The City Manager received information from Councilmember Jonson that he plans to discuss during
the Penny discussion the storm water use taxes. The Councilmember advised that he does not
understand the policy choice of keeping all stormwater use faxes in the user fee instead of funding
partially with Penny for Pinellas funds. He has a hard time justifying Clearwater being 5 out of 96 for
the top fee rates.
Thanks.
Den ise