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Saturday, April 19, 2014

Garden City Water Rates To Rise


Anita Weston, Reporter
Rich Civic Times

GARDEN CITY, Utah.  April 10, 2014.  Zan Murray of JUB Engineers appeared before the City Council to request that the water rates be raised.  A public hearing was held last month about the water study. The study made it clear that water rates need to be raised in order for the City to plan for expansion up to the year 2020 when the City will need a new one million gallon storage tank.  In order to handle such an expense, rates need to be raised. 

It was suggested that the turn-on and turn-off fees be set at $150 each.  The ordinance dealing with the base monthly charge has been amended to show the increase.  The base charge is moving from $35 per month to $42.  The new rates will begin May 1, 2014.  There will be a yearly 3 percent increase each year beginning in January 2016.   It was suggested that a notice be sent to all water users informing them of the increase in rates.

Whenever people connect and disconnect, they shift the costs of the water system to all the other users.  It was determined that everyone will pay every month regardless of whether they are living here year round or only here in the summer.  It was found in the study that most water costs are fixed showing that the costs are actually about the same year around. 

The motion was made by the Council and passed agreeing to the increase in monthly water rates.

A discussion concerning the Shundahi tank owned by Norman Mecham had been included in the water study.  The City requested that a different agreement with Mecham be made concerning water issues since the City will not be able to use the full capacity of that tank.  They would like to negotiate a new agreement.  They requested that the City be allowed to use Mecham’s tank. As he needs more water in his subdivision, the City would reduce the amount they pay to use the tank by the amount of water the City stores there until their own tank is in place.  The City would collect a connection fee from each new user that connects to the system which would pay for the usage of Mecham’s tank. 

Norm Mecham noted that he was willing to revisit the current agreement.  The agreements from the past were estimates of possible usage and costs. Mecham noted that as soon as he is able to know what he needs, he will be willing to work with the City on the sharing of the storage tank.

Currently the City needs storage of 500,000 gallons of water.  Shundahi needs approximately 230,000 gallons when the current phase of the development is built out.  Mecham needs approximately another 38,000 gallons for fire storage and emergency storage.  The City will have a deficiency in fire storage.  However, the State does allow an overlap.  With the sharing of the capacity of the tank, both groups would be in compliance with the needed fire and emergency storage along with the needed service water.  This would also assist in peak demand periods.

The city noted that they want Mecham to stay in business, and they want the City to also be successful.  A meeting needs to be held to work out the necessary agreement between these individuals.

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