FY 2012 Stormwater Management Utility Fee RateMasterpiece on the Mississippi
TO: Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Stormwater Management Utility Fee Rate
DATE: March 10, 2011
Dubuque
head
All-America City
1 I
2007
The purpose of this memo is to give an update on the recommended Stormwater Utility
User Fee increases for FY 2012 -2016.
This Fiscal Year budget recommends continued funding for the Bee Branch Restoration
Project.
The monthly fees, as recommended in FY 2012 are as follows:
The monthly stormwater user fee is recommended to increase from $5.25 in FY 2011 to
$5.60 in FY 2012. The current recommended maximum stormwater user fee will reach
$7.90 in FY 2016, instead of the previous projection of $8.30.
There have been changes to the prior year recommended stormwater user fee rate
projections due to a combination and timing of factors that include the bids for the Lower
Bee Branch Creek Restoration project exceeding the estimate by $2.1 million and an
additional $1.6 million in property acquisition costs. Even with this additional cost, the City
has been able to decrease the previously projected maximum rate of $8.30 to $7.90 due to
receiving a $3.95 million I -Jobs grant and approximately $127,000 in fundraising revenue.
In addition, the City was recently awarded a $2.25 million Vision Iowa RECAT grant for the
Bee Branch Creek Restoration Project. The City is competing for a $4.5 million forgivable
State Revolving Loan from the Iowa Department of Natural Resources and will know next
week if the application was successful. The forgivable State Revolving Loan is designated
for projects that address green infrastructure and other environmentally innovative
activities.
FY 2011
FY 2012
FY 2013
FY 2014
FY 2015
FY 2016
FY 2017
Previously
Projected Rates
$5.25
$6.85
$7.00
$7.40
$7.47
$8.05
$8.30
FY12
Recommended
Rates
$5.25
$5.60
$6.44
$6.79
$7.81
$7.90
$7.90
% Reduction
0%
18%
8%
8%
(5 %)
2%
5%
Masterpiece on the Mississippi
TO: Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Stormwater Management Utility Fee Rate
DATE: March 10, 2011
Dubuque
head
All-America City
1 I
2007
The purpose of this memo is to give an update on the recommended Stormwater Utility
User Fee increases for FY 2012 -2016.
This Fiscal Year budget recommends continued funding for the Bee Branch Restoration
Project.
The monthly fees, as recommended in FY 2012 are as follows:
The monthly stormwater user fee is recommended to increase from $5.25 in FY 2011 to
$5.60 in FY 2012. The current recommended maximum stormwater user fee will reach
$7.90 in FY 2016, instead of the previous projection of $8.30.
There have been changes to the prior year recommended stormwater user fee rate
projections due to a combination and timing of factors that include the bids for the Lower
Bee Branch Creek Restoration project exceeding the estimate by $2.1 million and an
additional $1.6 million in property acquisition costs. Even with this additional cost, the City
has been able to decrease the previously projected maximum rate of $8.30 to $7.90 due to
receiving a $3.95 million I -Jobs grant and approximately $127,000 in fundraising revenue.
In addition, the City was recently awarded a $2.25 million Vision Iowa RECAT grant for the
Bee Branch Creek Restoration Project. The City is competing for a $4.5 million forgivable
State Revolving Loan from the Iowa Department of Natural Resources and will know next
week if the application was successful. The forgivable State Revolving Loan is designated
for projects that address green infrastructure and other environmentally innovative
activities.
If the City is awarded the forgivable SRF Loan from the IDNR, the City would need to
submit design plans to the IDNR in July of 2011 to determine which elements of the Upper
Bee Branch project will be allowable for SRF funding. In addition, the City would need to
bid the Upper Bee Branch Creek Restoration project in September 2011 prior to
determining the impact on stormwater user fees of both the IDNR SFR forgivable loan of
$4.5 million and the $2.25 million Vision Iowa grant, but they will both positively impact the
FY 2013 user fee and beyond.
During. the Fiscal Year 2013 budget process, the Stormwater User Fee will be reviewed
and the stormwater user fee will be recommended to change based on the bid results and
the costs allowed for SRF funding by the IDNR.
JML
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Jenny Larson, Budget Director
Gus Pshoyos, City Engineer
Deron Muehring, Civil Engineer II