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HomeMy WebLinkAboutREP FC 069 04/15/1997 1996-1998 REPORT OF THE COMMITTEE ON FINANCE DATE: April I5, 1997 Re: Comm. No 166 . ~ U PLACE: Councilroom TLMF,: 10:45 A.M. Chair and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Bill No. 49, reports as follows: Bill No. 49, transmitted by Chief Engineer Donna Fay K. Kiyosaki, via Communication No. 166 dated February 19, 1997_ amends Chapter 21 of the Hawaii County Code 1983 (1995 F;dition), relating to sewers. Bill No. 49 proposes revised ,ewer rates for the County by repealing, in its entirety, Chapter 21, Article 4, Section 21-36.1 of the Hawaii County Code, and adding a new Section 21-36.1, Wastewater service charge rates. The proposed rates will be effective July 1, t 997. Bill No. 49 was trst heard at the March 6, 1997 Finance Committee meeting. A majority of Your Committee members voted to pass the Bill, with one opposing vote from Committee Member .I. Curtis Tyler who stated he needed more time to review the proposed revisions. Bill No. 49 was forwarded to Council for first reading on March 19, 1997. Thereupon, the Department of Public Works submitted additional options for revising the sewer rates. In order to give the Councilmembers an opportunity to review these options, the Council referred Bill No. 49 back to the Finance Committee for consideration. Today~s discussion examined the sewer rate options submitted by the Department of Public Works. Committee member, expressed concern regarding the potential penalties for default on federal grants facing the County of Hawaii should the sewer rates not increase. Your Committee recommended amending Bill No. 49 by increasing the single unit residential maximum water allowance from 10,000 gallons to 12,000, which would enable 82% of homes to pay base rate charges verses only 68%. In order to balance the budget due to the gallon increase, the cost per 1000 gallons over the allowance was modified to $3.55 per gallon increasing every two years by 25¢. Private hauler fees were also amended by allowing the discharge fee per 500 gallons to annually remain at $30.00, and the private hauler annual permit tee was deleted. Committee member Dominic Yagong who represents Council District 1, voted in opposition of BiII No. 49 stating that the proposed sewer increases were difficult for the people in his district to endure at this time. FC REPORT NO. 69 Your Committee on Finance is in accord with the purpose and intent of Bill No.49, draft 2, and recommends it pass first reading. . Ayes Nues A&E EX CHUNG X Respectfully submitted LEITHEAD-TODD X C ,MLTTEE ON FINANCE RAY X _ SANTANGELO X SMITH X TYLER AA ON S.Y. CIIUN~i, AIR vncoNC X FC REPORT 64 ARAKAKI, E. o.M. X ADOPTED: i~q`i I