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171 <br /> mr.Sjoho.stated that their were two major components involved in their <br /> approach to the water rate stud, <br /> 1. Determination of the minimum revenue requirements to <br /> sustain the viability of the water utility as a self- <br /> supporting service operation. <br /> 2. Select,.oi an appropriate...0,1ot charging the users <br /> for the services provided by the utility. <br /> mr.Sjoholm explained that the report details the alternatives considered <br /> in recommending a rate-making philosophy and methodology and the pros <br /> and cons of each method. <br /> Mr.Sjoholm said that under their current study the increase to the basic <br /> residential said <br /> service would be 51.25 or$1.50 per month. That would <br /> increase the minimum charge from$9.00 to as much as$5.50. Meterd, <br /> oomercial usersminimum rates would go from$3.50 to as much as 59.80. <br /> Mr.Sjobolm further stated that the only way to make the increase smaller <br /> for local residents and small businesses would be to raise the rates for <br /> the major customers such as the city's paper mills and neighboring <br /> communities. However,most of thoee user's have a long-term contract <br /> that spells out the rates to be paid. <br /> Councilman Aldcroft etated that it might be worthwhile to try and negotiate <br /> with the mills a.outside communities to agree to pay a higher share of <br /> the costs. <br /> Mov.by Councilmen Michelson,seconded by Councilman AldCroft that the <br /> Mayor and his staff be authoribed and directed to take the necessary steps <br /> so contact all contract users of water of the City of Everett and,if necessary, <br /> negotiate the necessary adjustments of the water rates specific in the <br /> respective contract and tbat a report to the council be made on the progress <br /> ana or ro..1to of such discussion in 30 days. <br /> Roll was called with all Councilmen voting yes except Councilman Xinch <br /> 5h0 was excused. <br /> Motion Carried <br /> Moved by Councilman Ebert and seconded by Councilman Gipson to authorize <br /> blvinistration to report on negotiations and prepare an ordinance to present <br /> to Council on the 1st Wednesday of guly,1975. <br /> with.ii 7oting Yes except Councilman Winch,who <br /> was excused. <br /> Motion Carried <br /> motion the meeting adjourned at 3:00 <br /> CIty C er <br /> .esed and a00r004308h"niea• <br />