08-10-1998 Council Minutes - Laserfiche WebLink

Home Browse Search

ORONO CITY COUNCIL MEETING MINUTES FOR AUGUST 10, 1998 ( #2) NAVARRE WATER TREATMENT PLANT REHABILITATION - ASSESSMENT HEARING - continued The proposed project schedule was discussed, with construction to be complete by May 15, 1999. Financing of the project totaling $764,000 will be from three sources: 1) Assessments = $290,500 $350.00 per residential unit with a maximum of 5 units per commercial property 2) Cash Reserves from the Water Fund = $200,000 3) Internal Loan Building Fund = $273,500 A map of the assessment area was also projected. Mayor Jabbour noted that currently the plant is manually regenerated to treat water, which causes inconsistencies in softened water. In the new plant, water would be automatically treated according to water usage. Public Comments Kevin Rodewald, 2293 Shadywood Road, asked how many units were included in the project. Mayor Jabbour responded there were 830 units with commercial properties paying up to 5 units. Tammy Liljenquist, 3525 Lyric Avenue, questioned how funds were used from water fee payments. Mayor Jabbour explained that the payments are used toward water plant maintenance, but the water funds are not sufficient to cover the maintenance costs. Kelley added that the $200,000 from Cash Reserves that will be used for the project is from the water fee payments. The City is also gradually increasing the water rates to cover the costs of water plant maintenance. Tammy Liljenquist asked how the residents would see the assessment. Mayor Jabbour replied that the assessment would be added to the property tax statements. The first payment would be due in January of 1999 and would be payable over 5 years with an interest rate of 6.5 %. Kelley added that the homeowner would have the option to pay the assessment in full at City Hall with no interest charged within 30 days of the assessment hearing. 0 2 •