The Fall River Sewer Commission convened remotely on August 18, 2021, with President Almeda, Commissioner Richard Souza, and Commissioner Renee Hoyt participating. The first item on the agenda, the approval of the minutes from the July 21, 2021, meeting, was tabled until the next meeting due to a late revision of the agenda, passing unanimously. The primary discussion revolved around the ratification of the FY22 sewer and stormwater rates. The proposed sewer rate was increased by 1 cent, from $5.66 to $5.67 per unit, representing an 8% increase from FY21 rates. The stormwater fee was increased by $1, from $46 to $47. This adjustment was made to compensate for a projected loss of first-quarter revenue due to delays in implementing the new rates, which are anticipated to take effect on October 1st. Additional revenue was secured through the re-evaluation and correction of under-billed stormwater fees for school department properties, a process initiated at the city council's request. The FY22 budget also includes $1.9 million from retained earnings. The ratification of the FY22 rates passed unanimously. The meeting concluded with a unanimous vote to adjourn.
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6:07Attendees are therefore advised that such recordings or transmissions are being made whether perceived or perceived by those present and are deemed acknowledged and permissible.
6:18Mister we do a roll call.
6:20please President Almeda president, president of Maha and remember, Bernard is absolutely the members of the city of four of us. So, Commission, uh participating in the August 18th 2021 meeting remotely. I president NO meter commissioner Richard Souza and Commissioner Renee Hoyt are all participating remotely Um I believe we've been sent the um the agenda uh first of all, is there any um is there any uh
7:02people that have been sent anything to say, you know. Oh, there was no, there was no citizens input that was uh that was submitted. Okay, good.
7:12Alright. Um first item is a minute of the previous meeting minutes of the previous meeting that was held on July 21st.
7:23Those minutes was sent in to us this morning.
7:29I've had an opportunity to reach for him. I don't have any problems with what what was presented. If you think you need any time to look through it, please take it now. If not and you feel confident that um what you've read is correct. um then in motion to approve the minister of the previous meeting held on July 21st make a motion to accept. Oh, I was just going to make a quick
8:00suggestion um that because we had a late uh revision of the you know, revised amendment that was sent out agenda amended agenda that maybe we could take this to the next meeting. Alright, so you want to table this Is that what you're saying? Yeah, I'm I'm thinking just because um it was late and being the the agenda was wasn't amended within the 48 hours got it right. So, I didn't amend the the agenda was
8:31amended based on a uh a call that I received with somebody.
8:34uh recommended that we had the uh to the meeting. That's why they it wasn't on or anticipated to be on the original uh agenda but that's fine if uh if that's the board's decision. So that was the reason why it was uh the agenda was revised posted. So, Okay. So, uh what do you, what do you proposing then? Are we proposing that we table this to the next meeting Or are you
9:06saying to all that you know, based on, you know, discussions you've had with some with somebody that we can proceed on this. Uh I feel that it wouldn't be a violation of the open meeting law due to the fact that uh prior to the the forty-eight-hour post we didn't anticipate adding this on to the meeting agenda Okay. It was brought to my attention and I at it. Um but if uh if the board feels comfortable to
9:32table and to be able to uh deliberate them at a future meeting, that's fine as well.
9:37Alright? So, um I think you're right, Renee. Uh why don't we just um take this until uh our next meeting and then we can do it correctly then Anybody want to make the motion to table the uh minutes approval of the minutes of previous being held on July 21st 2021 I'll I'll make a motion to table it to next meeting. Second one in favor I do, we do. We need a roll call for this. Yes. since
10:12we're remote again, we're uh calls at all. Uh it all matters. So, uh on the motion to table uh the minutes of the previous meeting um Commission How are you? uh Commission.
10:27Souza. Yes. Uh president. Yes.
10:31Thanks for bringing that up.
10:32Thank you. Okay, That's addicted to item number two.
10:37The ratification of the year.
10:4122 rates Well, mister. I'm sure you want to explode on this.
10:48deal with it. Yeah. So, you know, again, as we discussed at the last meeting, uh we went over uh the situation of the FY 22 budgets uh in the FY Twenty-two rates. Uh I did say to the board that I would be back in front of you so that you could the decision moving forward. Uh I laid out a number of recommendations. We can review of those recommendations since then, um and uh the uh
11:20final determination to uh resubmit rates uh at an increased amount being 1¢ More than what the original rate increases was submitted as um on the sewer rate uh be resubmit it to the city council. uh for deliberation with the ordinance committee.
11:41uh in uh in the folk house So, that was that's what was proposed to be uh in front of the council. Um it was uh it wasn't picked up by the council of last night's meeting uh in uh move to ordinance uh at last night's meeting The original proposed FY Twenty-two rates.
12:05As you can see on the screen, $5.66. uh that's an increase of 7¢ uh for the existing rate. uh the where we stand the current proposed rate uh would be $5.67 Uh that's an 8% uh increase uh from uh the FY uh from the current rates of that were in place in FY 21 the storm water feet. uh did not change from your original approval and recommendation which was $1 increase uh for the FY
12:44Twenty-two budget. Uh so, that product from uh $46 up to a $47. um Uh you know, it's an increase Uh what does that mean? Oh, we're going for a lot of increase to FY Twenty-two than we were before. Not really. So, the problem is right now uh the way that the timing will work and everything uh the rates needed to be resubmit to the full council. Uh full council needed to refer them to
13:14ordinances which they did last night. Uh ordinance committee will deliberate on them uh and give a recommendation back to council. uh if that recommend or if the council approves the rates, uh it goes to first reading uh in advertisements, second reading, and automation.
13:34So, it takes two full council meetings uh beyond the ordinance committee meeting to uh have those rates fully in place that puts us where uh we missed the whole entire first quarter of revenue. So, we miss one billing uh to all of our 22 thousand customers. uh of rates. Um so, the actual effect on an average household uh is lower Um you know, for all FY Twenty-two is actually lower than what was originally
14:08proposed. uh originally proposed the effect on an average household uh for FY Twenty-two with these rate increases with $7.71 Um now the average of the effect on average household uh is $6 uh and for the FY 22 year. Um we're only getting three quarters although the rate increase is higher uh by one and we're only getting three quarters Um You know, so, The next question that rolls that rolls into everybody's mind.
14:48Well, if we're getting less money and how do we make up the money that we're not getting in. Um so, there was some reevaluation of some properties in particular, the school department, properties of the fees, the stormwater fees, and the in the calculation of impervious area. Um so that did uh and that was done over uh over the months of June and July uh at the request of the council for for to evaluate the
15:17school department's impervious area. uh that showed that we were uh that we were under billing the school department for the impervious area. Uh we corrected those accounts and have increased. Uh so there's an additional revenue that was gained within the FY Twenty-two budget for those uh additional bills. So that's why um you know the effect on the average household is actually less than what was originally proposed
15:44for the FY Twenty-two budget Well, um that revision and the uh in the impervious um square footage. I guess that people are calculated out Um if that's something that supposed to have taken place in the year. 21 but didn't happen. So, it's it's going to be it's going to go into this the first quarter of this year. Yeah. so it's something that the council asked when we're in FY 21
16:17towards the end of FY 21 uh one of the council has brought up the amount of money that was uh that we were uh the school department, stormwater fees. Um so, we kind of started the evaluation. Then we had our GIS GIS department go through uh George Garcia in Kelly's GIS uh management coordinator. He went through and evaluated all of the uh you know, actually laid out um the actual square footage of impervious area on
16:49the school department properties uh in the uh in a in a greatly increased from what we're actually doing. So, It wasn't supposed to be recognized in uh 21. We would do. We started the evaluation in twenty-one uh and the actual billings we started in 22 Okay.
17:09Uh the thing that comes to my mind about this whole thing, what would this uh rate increase of 1¢ Um uh but a budget for Twenty-two. Yeah. Um is 26 million 26 million changeless that that represents about a 2000001. 2100000.
17:33$2100000 increase over twenty-one.
17:39if we're going to, if we're going to lose, if we're going to probably lose the first quarter of this year, I take a look at that and and if you take 2100000, $2100000, uh as to what we have to make up over last year, that's 500 approximately $500000 a quarter with the 1¢ increase. coupled with this additional income.
18:13That's a result of your service. Well, this will this uh absorb up to 500 thousand $500000. We stand to lose if we didn't do this, You understand my point? when I when I'm saying when I'm saying this, in other words, is this, 1¢ increase? How much is it going to take up the slack That way, we're going to lose. So, so it's it's the one sent uh above uh plus the school department
18:46will uh plus the increased stormwater um revenue from the school department will uh make our revenues whole for FY So, we'll have the three quarters of the increased rate. for stormwater and the 8% increase for sure rate. Uh plus, then we have the full four quarters of the uh corrected amount for the school department stormwater fee. So that will make us whole. Um you know, one thing to know within the FYI
19:20Twenty-two budget. Um we are using 1.9000000 dollars of retained 1 Day one time moneys that are plugged into the budget and that was uh increased over retained earnings uh that we had in that we we used uh last fiscal year.
19:40Um so, you know, with the retained earnings increasing the amount of money that we use in retainer earning, increasing uh plus the revenue uh uh increase in the fee uh plus then the other uh generated revenue um You know, and we're we will be bold for FY Twenty-two. Alright. Okay. Um Well, I guess um we need to have this increase in place through uh ordinance but I think you said by October 1st
20:16so that we so that we can get the billing out and so forth.
20:20correct? Yes. correct. So, October 1st is what I put into the ordinance That would be the effective date of the rate increase. Alright. Now, let's assume that that takes place and we come up to our as we go out and we do our billings which reflect the 1¢ uh to $5 and Sixty-seven and coupled with the increase that we're the dollar increase with the um Storm water fee. What have you
20:56do it. Is this to happen? Only for one quarter. One quarter.
21:03or is this to happen through the whole year Now, if it's to happen through the whole year II can see that might be a problem. So, so this increase would be in audits for FY Twenty-two. Yes. Um the so it would be a total of an 8% increase um for uh until the rates uh were adjusted again. You know, what? FY twenty. Okay. I think that has to, you know, I think
21:37that's just have to be made perfectly clear. Yeah. I am. I can see that being a question being asked ordinance and you know how that plays out with respect to the whole year. So, okay, if if if that's what the intent of the 1% increase is and I understand it, you know IIII feel comfortable with it in that respect. Um does anybody have any questions on this You know II Thought it was
22:15just for that quarter but uh I guess it is for the whole year.
22:22Renee. if you have any problems with this, Sorry. I just unmuted. No.
22:32Nope. No way. Alright. Alright, I see where this is going. Um I think you know, we have to we have to be in a position to make up for um the loss that we're we're experiencing this quarter and potentially what may happen beyond that. Uh you know, it's I'm I'm hoping that the ordinance committee would deal with this quickly and uh a lot of us who uh get back to business and doing what we have
23:02to do Um having said all that um unless there's any questions, for the comments about this uh I'll take a motion to approve the um reading creed or ratify the reigning presets proposed. Um increasing the existing rate of 566. 5066. 5066¢. to um uh 1¢ to $5.67. Anybody want to make that motion?
23:46Sorry. I'll make that motion.
23:52Everybody's sucking that second. roll call.
23:58Commissioner. How are you? Yes, Commissioner Sewer. Yes. the president. Um okay. Thank you.
24:09Um Unless there's any other issue to discuss. Does anybody have any other to discuss? if not a motion to a dream? motion to adjourn. Second. to you. the way up. Yes. Yes. That's it.
24:32Yes. Thank you everybody.
24:35Alright. thank you very much.