Duluth Public Utilities Commission.

411 West First Street City of Duluth Duluth, Minnesota 55802 Minutes - Final Duluth Public Utilities Commission. Tuesday, March 26, 2024 5:15 PM Council Chambers, City Hall, 411 West First Street CALL TO ORDER President Ryan called the meeting to order at 5:15 p.m. ROLL CALL Members Present: Erin Abramson, Chris Adatte, Councilor Wendy Durrwachter, Councilor Mike Mayou, Carrie Ryan, Councilor Terese Tomanek Members Absent: Andrea Crouse Staff Present: Jim Benning, Cyndi Falconer, Leanna Gilbert, Amanda Mangan, Chris Ostern, Howard Smith PUBLIC HEARING: 5-YEAR 9.25% WATER VARIABLE RATE INCREASE The commission held a public hearing on water variable rates resolution 24PUC-001. Citizens present for comment were: Darrel Johnson, City of Rice Lake Troy DeWall, City of Proctor Darrel Johnson commented on the difficulty of rate increases on citizens. He said that Rice Lake does not want to pay for all of Duluth’s upgrades, and they would like to revisit the rates for outlying communities. Troy DeWall asked when the last rate study was done, if the rate is a reasonable allocation of capital repair and operating expenses which contribute to Proctor’s water service request, which mains are next on the list to replace, and if the water rate resolution would go to City Council for final approval. Jim Benning responded that the Commission has rate setting authority given to them by the City Council. City Council is notified of any rate resolutions approved by the Commission and has the authority to veto them by a supermajority. The hearing was closed at 5:44 p.m., and the Commission moved on to the regular meeting. PUBLIC COMMENT PERIOD No comments were made at this time. APPROVAL OF MINUTES City of Duluth Page 1 Duluth Public Utilities Commission. Minutes - Final March 26, 2024 DPUC123 February 20, 2024 DPUC meeting minutes draft Indexes: Attachments: 02202024 DPUC meeting minutes draft The February 20, 2024 meeting minutes were approved by all present. NEW BUSINESS DPUC124 24PUC-001 RESOLUTION ESTABLISHING WATER RATES EFFECTIVE WITH METER READINGS AFTER APRIL 14, 2024; SUPERSEDING ALL PRIOR INCONSISTENT OR CONFLICTING RATES AS OF APRIL 15, 2024. Indexes: Attachments: 24PUC-001 water variable rate 5-yr increases After some discussion, Commissioner Mayou motioned to approve resolution 24PUC-001 establishing water rates effective April 15, 2024, and the resolution was approved by all present. UPDATES FROM STAFF Jim Benning mentioned that City staff has reviewed the sanitary sewer rates and determined that no change is necessary at this time. He also mentioned that there are no tax implications for lead service replacements on the private side. Cyndi Falconer reported that construction of lead service replacement projects in Gary and Lincoln Park will begin in mid-April. Howard Smith provided data on sanitary flows as requested at the previous meeting. COMMISSIONER QUESTIONS OR COMMENTS Commissioner Tomanek asked about discounts for flushing lead lines and discounts for gardeners. UPCOMING COUNCIL ACTIONS No upcoming actions were mentioned. PREVIEW OF UPCOMING BUSINESS The next regular meeting is scheduled for Tuesday, April 16, 2024 at 5:15 p.m. in City Council Chambers. The Commission will have a presentation from the Citizens Climate Lobby. KNOWN ABSENCES FOR FUTURE MEETINGS President Ryan will not be available on April 16. Vice President Adatte is resigning to be on the Planning Commission instead. This is his last meeting. City of Duluth Page 2 Duluth Public Utilities Commission. Minutes - Final March 26, 2024 ADJOURNMENT The meeting was adjourned at 6:09 p.m. City of Duluth Page 3