HomeMy WebLinkAbout1996-01-04 Correspondence BARKER
A P A R T M E N T S
January 2, 1996
Naomi Novick
306 Mullin Ave.
Iowa City, Iowa 52246
F LE!3
Copy For City Clerko 6 JEtt -2 AH 10:50
CI'i'"(
IOWA CITY, IOWA
Dear Councilor Novick:
Rather than going into any further detail, please refer to the materials I sent to you
on December 11, ! 995. Those materials included a rather detailed letter to Mr. Atldns
along with rate proposals ~om the City staff and one from me. Mr. Arkins' position
appears to be that he will not direct the Director of Finance to prepare any more scenarios
unless directed to do so by the City Council. My suggestion to you is to, at your
organizational meeting, direct the City Manager to provide a suggested rate structure
based on 10% and 15% cash accumulation for the water and wastewater projects
respectively, using an anticipated interest rate on bonds of 6.5%, and a construction
schedule similar to the one currently under consideration. I would like to think that you
are open to suggestions until the final voting has taken place If that is the case, you have
time to review this material and to study a rate proposal as suggested above.. When you
do, I believe you will come to the conclusion that a 15% overall increase in
water/wastewater rates effective with billings after March 1, 1996 will accomplish your
goals. The current recormnendation by the City Manager calls for a 21.2% overall rate
increase effective with billings after March 1, 1996.
I suspect it will take no more than four or five hours time for the Director of
Finances to process the numbers. Isn't it worth it to find out that a 15% rather than a
21% increase in the combined water/wastewater rates effective March 1, 1996 and using a
10% and 15% cash accumulation for the water and wastewater projects respectively, will
get the job done? By requesting this information from the City Manager at your
organizational meeting, you will still have time for the three votes necessary in January to
pass the ordinance in time for the new rates to be effective beginning with March, 1996
billings. You have within your grasp the ability to provide the quality and quantity of
water we need to protect the environment from our wastewater and to provide a rate
structure that is reasonable and will be acceptable to most of our citizens. It is not too
much for the people of Iowa City to expect you to do all three things. Best of all, you can
do all three things.
Sincerely yours,
Edwin K. Barker
Seville Scotsdale Park Place Parkside Manor Westgate Villa
6 Lime Kiln Lane N.E. · Iowa City, Iowa 52240 · (319) 354-2410
Emerald Court
Kiwanis Park has been spelled incorrectly in some correspondence as
Kiwannis. Proper spelling is Kiwanis Park.