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HomeMy WebLinkAbout01/11/1999 City Council 007 !2o MINUTES OF THE WORK SESSION HELD ON JANUARY 11, 1999 The WORK SESSION of the City Council of the City of The Colony, Texas, was called to order at 7:00 p.m. on the 11th day of January 1999, at City Hall, with the following council roll call: Mary Blair Watts, Mayor Present Bill Longo, Councilmember Present Bernetta Henville-Shannon, Councilmember Present David Stanwick, Councilmember Present A1 Garcia, Councilmember Present John Dillard, Councilmember Present Dave Kovatch, Councilmember Present and with seven members present, a quorum was established and the following items were addressed: ITEM DESCRIPTION SOURCE STATUS 1.1 Discussion regarding water and sewer rate study Lambert/ Johnston Mr. Lambert advised rates had not been raised since 1993. He noted the Utility Fund has lost money the past two years and stated Wa~s the city must address a rate increase. Mr. Tony Johnston, Finance Director covered the history of the rate structure in the city and explained that now the Utility Fund needs to start taking responsibility for it's own debt. Bob McLain with DMG-Maximus presented the study to the council and explained the various aspects of it, stating this is a multi year plan but won't be in place until the city council adopts the budget including the plan. Mr. Johnston said costs continue to come in and the city must structure revenues to cover those expenses. The study suggested an increase of 6% now and another 6% effective October 1, 1999. Lengthy discussion followed regarding the percentage of increases needed for the next 5 years. Parts of those projections are based on capital expenditures as have been proposed by staff. If the council lowers those expenditures, then the percentage needed will be lower. Mr. Johnston recommended a 4% - 6% increase effective February 1, 1999 and another look at the rates in October 1999. After further discussion staff was directed to bring projections on the January 18, 199 agenda for a 3%, 4%, 6%, or 7% increase, showing the effect on individual's bills and revenues. Mr. Lambert said if we don't increase the rates we will go in the hole and we won't be able to maintain our system. -~:5.'50 pmRecess - At this time, Patti Hicks, City Secretary left the meeting ill. 8:55 pm Reconvene 2.1 Discussion regarding future expansion of F.M. 423 Council discussed options and alternatives for expansion of F.M. 423 through the City of The Colony. No direction was given at this time. -- With no further business to address, Mayor Watts adjourned the meeting at 9:45 p.m. ATTEST: 2