City Council Minutes 2002 12 17 - Laserfiche WebLink

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Louisville City Council Meeting December 17, 2002 Page 5 Davidson voiced his belief the average Louisville residential water rate is the lowest in Boulder County. Van Pelt asked Laus for a breakdown of the tap size of the commercial accounts. Laus stated the majority of the commercial accounts are 1" and 1 1/2" water taps, and there are only one or two accounts that have a 6" tap. Van Pelt concurred the Council member Mayer's comments the residential water users should be increased. She stated small businesses would be impacted by a large increase to the commercial water rates. Davidson explained the City of Louisville has always had an aggression water rights purchase plan. However, in light of the drought, there was insufficient water for the demand. He stated in the past, the average water user subsidized the larger water users. By restructuring the water rates, the average water users are no longer subsidizing the large water users. By increasing the rate according to tap size, the water users will be given an added incentive to conserve water. He favored Option 1 for residential and non- residential water users. Sisk suggested, with respect to Non-Residential Option I, Council increase the first increment from $2.50 to $2.75. He explained that would not be an increase to the citizens, but would give credit for water conservation and generate the income to purchase water rights. Brown stated he shared Council member Van Pelt's concern for small businesses impacted by the commercial water rate increase. He requested that, prior to approval of the water rates, Staff compare the commercial water rates of other municipalities. Mayer pointed out, a ¥4" non-residential tap, using 20,000 gallons of water, would be assessed $58.80, which is an increase of approximately $12.00 per month. He agreed with Mayor Davidson that for many years, residential water users have subsidized the commercial water users. He noted the commercial rates that did not have landscaping, got an unlimited supply of water during the drought. He stated the surrounding communities are charging more for water than the City of Louisville. Brown voiced his concern over the impact of the business community. He asked Finance Director Laths if the business having a 3/4" tap would be increased by 50%. Laus stated the average water consumption for a commercial ~" tap is 254,000 gallons, at a present cost of $600.00 per year. Option 1 would increase the cost to $924.00 per year, and Option 2, would increased the cost to $1,025.00.