Stories indexed with the term ‘utility rates’

Editor’s note: This “Live Updates” coverage of the Ann Arbor city council’s June 2, 2014 meeting includes all the material from an earlier preview article published last week. The intent is to facilitate easier navigation from the live updates section to background material already in this file.

The council’s first meeting after adopting the budget for fiscal year 2015 – which was approved on May 19, 2014 – features a housekeeping adjustment for the current year’s budget, so that expenditures don’t exceed allocations.

But the June 2 meeting agenda is dominated by items related to the physical attributes and layout of the city. Several items deal with city-owned physical assets, while several more involve land use and planning.

Possibly one of the more controversial agenda items related to physical infrastructure – and future development in the city – is a contract extension with CDM Smith Inc. for work related to the city’s footing drain disconnection (FDD) program. While the city council suspended the program in certain areas of the city in 2012, it continued in other areas, backed by the city’s ordinance under which the city can require residents to disconnect their footing drains from the sanitary sewer system.

Also not suspended was the city’s developer offset mitigation program, which requires developers to offset the increased flow from new construction into the sanitary sewer system. The vote on the CDM Smith Inc. contract extension was postponed from the council’s May 5 meeting. The dollar amount of the contract extension has been substantially reduced in the meantime – from about $750,000 to $143,000.

Part of the backdrop of the CDM Smith contract extension is a lawsuit that’s been filed against the city, challenging the legal foundation of the footing drain disconnect ordinance. The city sought to remove the case from state court to the federal system, but at a hearing on the matter this week, a federal judge indicated he’d be remanding the case back to the Washtenaw County 22nd circuit court.

City assets on the June 2 agenda include trees – as the council will be asked to approve the city’s urban and community forest management plan. The council will also consider a resolution on the city’s possibly most recognizable asset – the city hall building. The resolution would remove a $4 million renovation of city hall (a “reskinning”) from the city’s capital improvements plan for 2017 and 2018. This resolution was postponed from the council’s May 19 meeting.

Another city-owned asset on the agenda is the Library Lane underground parking garage. The council has already directed the city administrator to engage a real estate broker to test the market for the development rights for the surface of the garage. The resolution on the June 2 agenda, which was postponed at the council’s April 7 meeting, would set a policy to deposit 50% of the net proceeds from the sale of the development rights into the city’s affordable housing trust fund.

Land use and planning items on the June 2 agenda include a roughly $300,000 contract for study of the State Street transportation corridor. Related to transportation infrastructure, the council will also be asked to approve resolutions that move along the process of special assessing property owners on Stone School Road for the cost of installing a sidewalk on the west side of the road in connection with a road reconstruction project.

Also related to land use, three Ann Arbor housing commission properties will be given initial consideration for rezoning. A site plan and associated rezoning for the Delta Gamma house will be given final consideration. Also up for final consideration is a revision to the ordinance regulating drive-thrus. Councilmembers will also consider the site plan for a new Ruth’s Chris restaurant to be located downtown on South Fourth Avenue.

A rate increase for Ann Arbor water, sewer and stormwater rates is on the June 2 agenda for final approval.

Two items connected to parks and recreation appear on the agenda. One is approval of the receipt of funding for a program that helps Bridge cardholders purchase local produce at the farmers market. The second item is approval of a five-year agreement with the Community Action Network to continue operating the city’s Northside and Bryant community centers.

The council will also be considering a resolution in support of the local development finance authority’s application to the Michigan Economic Development Corp. for a possible 15-year extension of the arrangement under which the LDFA captures taxes. The captured taxes are used to fund a business accelerator that’s operated by Ann Arbor SPARK through a contract with the LDFA. Without an extension, the LDFA would end in 2018.

This article includes a more detailed preview of many of these agenda items. More details on other agenda items are available on the city’s online Legistar system. The meeting proceedings can be followed Monday evening live on Channel 16, streamed online by Community Television Network starting at 7 p.m.

The Chronicle will be filing live updates from city council chambers during the meeting, published in this article below the preview material. Click here to skip the preview section and go directly to the live updates. The meeting is scheduled to start at 7 p.m. at city hall, 301 E. Huron. [Full Story]

The council’s first meeting after adopting the budget for fiscal year 2015 – which was approved on May 19, 2014 – features a housekeeping adjustment for the current year’s budget, so that expenditures don’t exceed allocations.

But the June 2 meeting agenda is dominated by items related to the physical attributes and layout of the city. Several items deal with city-owned physical assets, while several more involve land use and planning.

Possibly one of the more controversial agenda items related to physical infrastructure – and future development in the city – is a contract extension with CDM Smith Inc. for work related to the city’s footing drain disconnection (FDD) program. While the city council suspended the program in certain areas of the city in 2012, it continued in other areas, backed by the city’s ordinance under which the city can require residents to disconnect their footing drains from the sanitary sewer system.

Also not suspended was the city’s developer offset mitigation program, which requires developers to offset the increased flow from new construction into the sanitary sewer system. The vote on the CDM Smith Inc. contract extension was postponed from the council’s May 5 meeting. The dollar amount of the contract extension has been substantially reduced in the meantime – from about $750,000 to $143,000.

Part of the backdrop of the CDM Smith contract extension is a lawsuit that’s been filed against the city, challenging the legal foundation of the footing drain disconnect ordinance. The city sought to remove the case from state court to the federal system, but at a hearing on the matter this week, a federal judge indicated he’d be remanding the case back to the Washtenaw County 22nd circuit court.

City assets on the June 2 agenda include trees – as the council will be asked to approve the city’s urban and community forest management plan. The council will also consider a resolution on the city’s possibly most recognizable asset – the city hall building. The resolution would remove a $4 million renovation of city hall (a “reskinning”) from the city’s capital improvements plan for 2017 and 2018. This resolution was postponed from the council’s May 19 meeting.

Another city-owned asset on the agenda is the Library Lane underground parking garage. The council has already directed the city administrator to engage a real estate broker to test the market for the development rights for the surface of the garage. The resolution on the June 2 agenda, which was postponed at the council’s April 7 meeting, would set a policy to deposit 50% of the net proceeds from the sale of the development rights into the city’s affordable housing trust fund.

Land use and planning items on the June 2 agenda include a roughly $300,000 contract for study of the State Street transportation corridor. Related to transportation infrastructure, the council will also be asked to approve resolutions that move along the process of special assessing property owners on Stone School Road for the cost of installing a sidewalk on the west side of the road in connection with a road reconstruction project.

Also related to land use, three Ann Arbor housing commission properties will be given initial consideration for rezoning. A site plan and associated rezoning for the Delta Gamma house will be given final consideration. Also up for final consideration is a revision to the ordinance regulating drive-thrus. And the site plan for a new Ruth’s Chris restaurant to be located downtown on South Fourth Avenue will be given consideration.

A rate increase for Ann Arbor water, sewer and stormwater rates is on the June 2 agenda for final approval.

Two items connected to parks and recreation appear on the agenda. One is approval of the receipt of funding for a program that helps Bridge cardholders purchase local produce at the farmers market. The second item is approval of a five-year agreement with the Community Action Network to continue operating the city’s Northside and Bryant community centers.

The council will also be considering a resolution in support of the local development finance authority’s application to the Michigan Economic Development Corp. for a possible 15-year extension of the arrangement under which the LDFA captures taxes. The captured taxes are used to fund a business accelerator that’s operated by Ann Arbor SPARK through a contract with the LDFA. Without an extension, the LDFA would end in 2018.

This article includes a more detailed preview of many of these agenda items. More details on other agenda items are available on the city’s online Legistar system. The meeting proceedings can be followed Monday evening live on Channel 16, streamed online by Community Television Network starting at 7 p.m. [Full Story]

Higher utility rates – for water, sewer and stormwater – have been given initial approval by the Ann Arbor city council. Action on the annual setting of the rates came at the council’s May 19, 2014 meeting. A final approval of the rates will come at the council’s June 2 meeting.

Water rates will increase across all tiers of consumption. For the first 7 “units” of water, the charge is will increase from $1.35 to $1.40. For the next 21 units, the charge is proposed to increase from $2.85 to $2.96 per unit. And for the 17 units after that, the increase is proposed to be from $4.88 to $5.08. A unit is 100 cubic feet, which is 748 gallons.

Sewer rates … [Full Story]

Water, sewer and stormwater rate increases have received final approval from the Ann Arbor city council. The action came at the council’s June 3, 2013 meeting.

In terms of revenue generated to the city, the rate increases are expected to generate 3.55% more for drinking water ($739,244), 4.25% more for the sanitary sewer ($955,531), and 4% more for stormwater ($233,811). [.pdf of complete utility rate changes as proposed]

According to the city, the rate increases are needed to maintain debt service coverage and to maintain funding for required capital improvements. The city estimates that the impact on an average customer will be a $20.66 per year increase in total utility charges.

The city’s drinking water charges are based on a “unit” of … [Full Story]

The Ann Arbor city council’s June 3, 2013 meeting agenda features two significant topics that will have an impact on the future of public housing and public transportation in the city.

The council will be asked to vote on a series of resolutions related to a proposed conversion of the city’s 355 public housing units to a project-based voucher system under HUD’s Rental Assistance Demonstration (RAD) program. The council had been briefed at a Feb. 11, 2013 work session on the details of the proposal.

Key steps the council will be asked to take on June 3 include transferring ownership of properties managed by the Ann Arbor Housing Commission (AAHC) from the city of Ann Arbor to the AAHC. Because it involves the transfer of a land interest, approval will require an 8-vote majority on the 11-member council. The properties would eventually be owned by a public/private partnership. The AAHC selected a co-developer earlier this year at its Jan. 10, 2013 meeting.

AAHC is seeking to undertake with this initiative in order to fund several million dollars worth of needed capital improvements. On the RAD approach, they would be funded in large part through low-income housing tax credits (LIHTC).  The council will also be asked to approve a payment in lieu of taxes to the AAHC, so that no property taxes will be owed by AAHC.

The AAHC had originally conceived of converting its properties to project-based vouchers in phases over a few years. The impact of federal sequestration had led AAHC to contemplate converting all the properties this year, to soften part of that impact. However, a hoped-for change in HUD’s rules that would allow the all-in-one-go approach was not made, AAHC learned last week. So “Scenario 3″ described in the staff memo accompanying the council resolution is no longer possible. The negative financial impact of that HUD decision totals around $550,000 over the course of three years.

On the public  transportation side, the council will be asked to approve a change to the articles of incorporation for the Ann Arbor Transportation Authority. The change will admit the city of Ypsilanti as a member of the authority, and expand the AATA board from seven to nine members. The name of the authority would change to Ann Arbor Area Transportation Authority. One of the board members would be appointed by the city of Ypsilanti.

The request comes in the context of a demised attempt in 2012 to expand the AATA to all of Washtenaw County. Since then, conversations have continued among a smaller cluster of communities geographically closer to Ann Arbor. Previous Chronicle coverage includes “Ypsilanti a Topic for AATA Planning Retreat” and “Ypsi Waits at Bus Stop, Other Riders Unclear.”

While the change will affect the governance of the AATA, the goal of the governance change is to provide a way to generate additional funding for transportation. The AATA could, with voter approval, levy a uniform property tax on the entire area of its membership – but the AATA does not currently do that. The cities of Ann Arbor and Ypsilanti currently levy their own millages, which are transmitted to the AATA. However, Ypsilanti is currently at its 20-mill statutory limit. A millage levied by the AATA would not count against that 20-mill cap.

Other significant items on the council’s June 3 agenda include a resolution encouraging the Ann Arbor Downtown Development Authority to allocate funding for three police officers. The council will also be considering a final vote on ordinance changes to which it’s already given initial approval: public art (eliminating the 1% capital project budget set-aside); utility rate increases (an annual item); and a reduction in utility improvement charges imposed on first-time connections.

In anticipation of the upcoming July 4 holiday, the council may also take initial action on an ordinance that would restrict use  of fireworks to the hours of 8 a.m. to midnight. The local regulation is only possible as a result of a change in the state law that has been passed by the Michigan House and is expected to be ratified and signed into law before July 4. The item had not yet been added to the city council’s agenda as of 4 p.m. today.

Other agenda items are available on the city’s Legistar system. Readers can also follow the live meeting proceedings on Channel 16, streamed online by Community Television Network.

The Chronicle will be filing live updates from city council chambers during the meeting, published in this article “below the fold.” [Full Story]

Ann Arbor city council meeting Part 2: Non-budget items (May 20, 2013): Although the approval of the FY 2014 budget took up the majority of its meeting time, the council still completed a lot of other business. Budget deliberations are reported separately in Part 1 of the May 20, 2013 meeting report. Part 2 focuses on non-budget items.

On the surface it seemed like a controversial new development at 413 E. Huron – approved by the council at its May 13 session – might be reconsidered with a different outcome. But the item added to the agenda at the start of the May 20 meeting was simply motivated by a need to rectify a technical detail – to correct a reference to the most recent set of project plans. The council dispatched the item with scant discussion.

Fees were a highlight of the meeting in several ways, beginning with public commentary. Several residents spoke against the city charging a parks & recreation rental fee to a local church, for its homelessness outreach ministry in Liberty Plaza. Mayor John Hieftje gave an assurance that it was his intent for the Pizza in the Park event to continue without being assessed a fee by the city.

On the council’s agenda were three sets of fees for different service areas of the city, including those for parks and recreation. The council approved fee increases for facility rental at Gallup Park and Cobblestone Farm, as well as various public services area fees, and fire inspection and permitting fees. The fire permit fees prompted moderate discussion among councilmembers, pushed by Mike Anglin (Ward 5) and Stephen Kunselman (Ward 3). Kunselman’s colleagues agreed to his call for a substantial reduction in fire permit fees for bonfires – based on the idea that lower fees would result in higher compliance.

Fees were also on the agenda in the form of utility rate increases, which the council gave initial approval. Because the utility rates are part of the city’s ordinances, they need an initial approval followed by a public hearing and then a second and final vote. In terms of revenue generated to the city, the proposed rate increases are expected to generate 3.55% ($739,244) more for drinking water, 4.25% ($955,531) more for the sanitary sewer, and 4% ($233,811) more for stormwater.

In other business, an economic development task force, put forward by Sally Petersen (Ward 2) over the last several weeks, was formally established by the council. Appointed to the task force for the city were Petersen, Marcia Higgins (Ward 4) and city administrator Steve Powers. The two other entities that are being asked to participate are Ann Arbor SPARK and the Ann Arbor Downtown Development Authority. They can appoint up to three members each.

Appointments to standing boards and commissions approved by the council at its May 20 meeting included Stephanie Buttrey to the greenbelt advisory commission (GAC), Susan Baskett to the board of the Ann Arbor Transportation Authority (AATA), Paras Parekh to the city planning commission, and Jennifer Geer to the park advisory commission. Nominated to serve on GAC was Jennifer Fike.

A proposed ordinance on video privacy was again postponed by the council, this time until June 17. But the council did take action to approve a contract for roof repair at the Veterans Memorial Park ice arena.

Public commentary included a focus on how the city allocates its share of Act 51 money, which comes from the state to fund road maintenance. The city designates a portion of those funds for non-motorized facilities. In years past, that portion was 5%, but was reduced to 2.5% as a result of the economic downturn. Non-motorized transportation advocates are now calling for restoration to the 5% level. [Full Story]

Water, sewer and stormwater rate increases have received initial approval from the Ann Arbor city council. The initial action came at the council’s May 20, 2013 meeting.

In terms of revenue generated to the city, the rate increases are expected to generate 3.55% more for drinking water ($739,244), 4.25% more for the sanitary sewer ($955,531), and 4% more for stormwater ($233,811). [.pdf of complete utility rate changes as proposed]

According to the city, the rate increases are needed to maintain debt service coverage and to maintain funding for required capital improvements. The city estimates that the impact on an average customer will be a $20.66 per year increase in total utility charges.

The city’s drinking water charges are based on a “unit” … [Full Story]

Ann Arbor city council meeting (May 21, 2012) Part 1: Although the council’s meeting did not conclude until around 1:30 a.m., the late hour was not attributable to the relatively heavy agenda. It was due to the extensive deliberations on the fiscal year 2013 budget, which the council finally approved over dissent from two of its members. A breakdown of amendments to the budget is included in The Chronicle’s report filed from the meeting. Deliberations on those budget amendments are covered in the forthcoming Part 2 of this meeting report.

In addition to the budget, the council efficiently dispatched with a fairly packed agenda of regular items, which are covered in this part of the meeting report. The item generating the most discussion was a follow-up to action taken at the council’s previous meeting on May 7, to establish a task force to study the North Main Street and Huron River corridor.

That resolution had provided for nine task force members representing different constituencies. At the May 21 meeting, a resolution was brought forward to add three members. A debate unfolded about whether to add a fourth member – from the Ann Arbor public art commission – to the mix. Ultimately that addition was approved narrowly on a 6-5 vote on the 11-member council.

While the North Main task force is meant to develop a vision for future land use in the corridor, the council took action on several current land use items too. Winning easy approval were a site plan for Allen Creek Preschool on Miller Avenue, and a rezoning and site plan for Michigan AAA on South Main Street. The council also quickly approved six routine rezoning requests associated with annexation from a township into the city of Ann Arbor.  And councilmembers gave initial approval to revisions of the planned unit development regulations for a Shell service station on Ann Arbor-Saline and West Eisenhower Parkway.

Associated with these land use items were a total of 10 separate public hearings. However, no one addressed the council during any of those hearings.

The city’s park system made it onto the agenda in a few different ways. First, a consent agenda item was pulled out for separate consideration to highlight the fact that renovations to South University Park were being funded with a $50,000 gift that had been made by a couple – Leslie and Michael Morris – who previously lived next to the park. The council also approved the lease of a 40-space parking lot near Argo Canoe liveries to meet additional demand for river trips that has been generated by construction of the Argo Cascades bypass around the dam.

Related to open space outside the city were the reappointments of two members of the greenbelt advisory commission – Peter Allen and Catherine Riseng. The commission overseas a portion of the city’s open space and parkland preservation millage.

Financial issues considered by the council included initial approval to increase water, sewer and stormwater rates that will together generate an additional $1.7 million in annual revenue. The council also approved a tax abatement for Sakti3, a battery technology company in Ann Arbor that is looking to expand its operation here.

Other items on the agenda included receipt of a federal grant to develop a strategy for improved energy efficiency in rental housing, as well as a grant administered for laptop computers to be used as electronic pollbooks. The computers are used for election record-keeping, not for casting ballots. The council also gave initial approval to an ordinance revision that relieves homeowners of responsibility for maintaining sidewalks adjacent to their property for the duration of the sidewalk-repair millage, which voters approved in November 2011. [Full Story]