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08.e1 Dan Cartier Letter re Seasonal Rates and Water Meters 12 05 23December 5, 2023 Mr. Kyle Morell City Administrator and the Mayor and City Council City of Scandia Scandia, MN 55073 Dear Kyle, Mayor and City Council members, I would like to make several suggestions to clarify and supplement the October 17, 2023 Staff Report to the Mayor and City Council. In the “Background” section of the report, mention is made about a committee member asking about a seasonal billing rate for those who only occupy their properties for a portion of the year. That member was me. I recall the discussion moved to the subject of water meters being installed in the Bliss and Anderson Erickson homeowner’s properties. My takeaway from the discussion was that the costs of acquiring and installing the meters was to be borne by the homeowners. Actual ownership of the meters was that of the City of Scandia. Homeowners would be billed for the total cost of the meters over the next four quarters, from the City of Scandia. I am asking that the Staff Report be amended to reflect my understanding that the water meters were not “optional” but a necessity for the community and the homeowners on both sides of the lake. If homeowners are given any option for the meters, it’s my opinion that nearly none will “get with the program” and then we’re all right back where we’re starting from at square one. I strongly implore you to mandate the homeowners be required to acquire the meters in the first quarter 2024 and have them installed by a licensed plumber by June 30, 2024. Otherwise, are we then to continue to “kick this can” down the road even further? Further, I recommend the flows from the meters be compiled for the period July 1, 2024 through December 31, 2025 (or as reasonably close to this date) so as to build a consumption rate as a basis for billing for the year 2026. The consumption rates could be monitored regularly to form a basis for future billings. As for the I & I issues in the Anderson Erickson side of Big Marine, I recommend all the homes (approximately 28, I’m told) be immediately inspected and remedial corrective action be taken to eliminate further I & I issues. Contractors would be engaged to make the necessary changes and corrections and the homeowners would bear the cost to take remedial action. It makes no sense to me to keep waiting on this; let’s correct the I & I problem now. Lastly, I am suggesting the 2024 quarterly billing rate letter to Bliss and Anderson Erickson homeowners be sent out by the end of the year. Specifically, it needs to state the 25% increase and the reasons therefore. Additionally, the letter needs to refer to the seasonal property owners and the fact their rates will be adjusted to a six-month seasonal rate. However, to qualify for the seasonal rate, the homeowner must submit a copy of their Washington County 2023 Statement of Real Estate Taxes back to the City. The tax statement would need to show the property as “Seasonal” to qualify. This must be received by the City no later than January 31, 2024 in order to qualify for the 2024 seasonal billing rate. Their seasonal billing rates would be in effect for 2024 and 2025 or such other future date as the Committee and City Council may reasonably determine. This is an effort to “move the needle” towards a more fair, logical, rational, common sense and equitable billing rate system for all users for the years 2024 and beyond. The net effect of a seasonal rate adjustment to the year-round homeowners would be modest and nearly negligible since I expect there will be only a relatively small hand full of homeowners claiming the seasonal classification for 2024 and beyond. I would be happy to run the calculations for the 2024 billing rates for you once we know the exact number of seasonal and year-round homeowners. Kyle, this outline is certainly not 100% complete but it is my first draft for your consideration and which I wish to bring before the City Council at the work session on Wednesday evening. I look forward to making this presentation and engaging in a discussion at that time. Thank you all very much for your time and consideration. Very Truly Yours, Daniel R. Cartier 18370 Norell Avenue North Marine on St. Croix, MN 55073