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RES 2003-39 - 00002348RESOLUTION NO. 39 - 2003 A RESOLUTION DECLARING THE NECESSITY TO INCREASE WATER RATES IN EXCESS OF THE INFLATIONARY INDEX OR 5 %, WHICHEVER IS LESS, AS REQUIRED BY SECTION 7.02 OF THE FRIDLEY CITY CHARTER WHEREAS, Chapter Seven, Section 7.02.03 of the Fridley City Charter; requires any fees increased in excess of the inflation index or 5 %, whichever is less, shall require voter approval as stipulated in Section 7.02.02; and WHEREAS, said Section 7.02 of the City Charter provides that if the water rates within the City exceed the inflationary index as provided under 7.02.01, that the Council shall adopt a resolution showing the necessity for such water rate increase; and WHEREAS, the City of Fridley needs to replace the 1.5 million gallon water storage tank constructed in 1953 which provides water pressure to the eastern third of the city due to its age, deteriorated condition and the extremely high cost of rehabilitation; and WHEREAS, the City of Fridley needs to upgrade the main water filtration plant to meet stricter regulations imposed by the Federal EPA for the removal of Radium 226 and 228 from the city water supply; and WHEREAS, the City of Fridley needs to continue to perform on -going maintenance, repairs and upgrades to the wells and distribution system piping serving the city; and WHEREAS, the City of Fridley in reaction to the cuts in state aids and needed improvements has found the need to increase water rates for the sole purpose of offsetting any operating loses; and WHEREAS, the City of Fridley needs to increase water rates by $.08 in excess of the indexed rate allowed by charter along with an increase to the senior citizen rates in the amount of $.06 per 1,000 gallons of water consumed in excess of the indexed rate allowed by charter; and NOW THEREFORE BE IT RESOLVED that the City Council of the City of Fridley pursuant to three (3) weeks published notice and public hearing on the 81h day of September, 2003, shall have the authority to increase the water rates exceeding the indexed annual amount as defined above which shall also be indexed by that same provision as outlined in Section 7.02.01 of the Fridley City Charter. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 11TH DAY OF AUGUST 2003. Scott J. Lund, Mayor ATTEST: Debra A. Skogen Aty Clerk