12-09-1991 Council Packet - Laserfiche WebLink

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i : i: K: ^^3 LMCD Board of Directors October 23, 1991 Markus asked about the intended use of tlie additional money- being raised by the fees. Grathwol responded that tlie additional money raised is approximately $5U.00d. It will be used to cover the costs of administering the license and permit operations. By covering more of the costs through fees, tlie city levy obligation is expected to be reduced. Slocum stated he believed the original purpose of tlie study was to implement user fees. Slocum believe.s this cannot be done under the present law. Slocum believes that any tiiought that taxes will be reduced is not realistic . He said the Board is moving too fast as tlie increases do not address all the users of the Lake. Gratiiwol responded that tlie Board keeps hearing from the cities and taxpayers that they are uncomfortable witli the tax burden. This is part of the approach of finding new sources of funding and is only part of the solution. Carlson added tliat in his opinion no taxpayer will see any relief. It will impact the cities in their budgeting process. Markus believes the LMCD keeps g-'ing to the same group of people for funding. The Distx-ict has a surplus in its funds, and he suggests that should be used to give relief to the small business people who are having financial difficulties in operating marinas. It is also necessary to go to user fees, he added. In Marcus’ judgment, a 2'jZ increase is exces.sive. Elurr responded that the increase is only about 1% of the rate a marina charges for a slip, (the increa.se being $5 the first year on an average 2.5 watercraft storage unit slip) Reese added the LMCD will develop proposal.^ for the legislature to get them to consider the broadest base user fee. In the meantime it is necessary to demonstrate to the legi.slature that everything possible has been done to fund lake managemeiit pr'.'grams from local income sources. Boswinkel said the fee increases are directed to the people benefiting from the administration of tlie Lake, and the Board is doing the Job it is supposed to do. LeFevere counseled care in the terminology being used. These are not charges for the use of the Lake. It is not a fee based on someone's ability to pay. These are license fee.s which the Board is authorised to require up to the amount it costs to administer the licensing program. The Board cannot set a fee greater than the cost to license. Jerry Rockvam, Rockvam Boat Yards. Inc., Spring Bark, mentioned a previous allusion to refunding some of tlie money to the cities. He was advised that tliat part of the lee study program has not been approved by the Board. Don Germanson, LMLOA, said his organisation w.auld like to see a subcommittee appointed tonight to study user fees. Gabriel Jabbcur, Orono council member, suggested the District could hire an outside contractor cheaper to do the licensing than trying to do it in-house. He also disagreed with the proposal not to charge late fees, v/hich work to the advantage of those who do not wish to comply by paying by the due date. He suggested auditing the efficiency of the staff to see how much it doe.s cost to administer the iicen.sing. He a.sked for reconsideration of the late pen.alty.