Ninety percent of the comments and questions about the creation of a new stormwater utility in Cloquet revolve around the issue of rural residences. That's no surprise, Assistant City Engineer Caleb Peterson told Cloquet City Councilors during Tuesday's public hearing, adding that many city residents who live in such zones feel they should be exempted or pay a lower rate for the proposed new utility because the city's storm sewer system doesn't service their properties.
"I wanted the council to be fully aware of those objections," Peterson said after the meeting. "We knew it would be a significant hurdle when we started this process, so we tried to select a rate structure that was most fair to all the residents."
The proposed rate structure charges every residence in the Cloquet city limits $4 a month - which would either come as part of the water bill or, for those who aren't on city water, in a quarterly or semi-annual billing - while duplexes would be charged an average of $6 per month. Commercial/industrial properties would be charged according to the amount of impervious surface (hard surfaces that don't absorb rainwater) the property contains. In general, most small businesses can anticipate a monthly bill of approximately $20, while the bill for a big box retailer will likely come in closer to $400 a month.
While many larger cities base the rate on parcel size, Peterson said that method unfairly penalizes rural residential lots because they are larger than the standard city lot, yet produce less runoff and pollution concerns associated with higher development densities.
A stormwater utility is also fairer than raising property taxes, Peterson noted, because it is based on use. Properties with more impervious surface pay more. Plus, tax-exempt organizations like churches and schools also pay their share of costs.
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No residents spoke during Tuesday's public hearing on the proposed utility, and city councilors asked no questions during the hearing, although they had discussed the utility during the work session prior to the meeting. When the public hearing was closed, a vote on adopting the utility was set for the next City Council meeting, scheduled for 7 p.m. March 15.
"Based on what I heard at the work session, I haven't been directed to change anything," Peterson said in response to a question about whether or not the city would change the fees for rural residents.
Creating a new stormwater utility is a way the state allows cities to raise funds to pay for what basically are unfunded mandates from both the state and federal government regulating how cities must manage surface water in order to preserve natural resources.
At Tuesday's meeting, city councilors and Mayor Bruce Ahlgren also:
- Set public hearings for the March 15 City Council meeting, starting at 7 p.m., on proposed assessments for the Selmser Avenue utility and street reconstruction project and the reconstruction of Avenue D, west of Chestnut Street.
- Authorized the Public Works Department to purchase one rubber-tired backhoe and a tracked excavator along with a trailer to haul the excavator at an estimated total cost of nearly $155,000.
- Suspended the retail tobacco license at Sunnyside Little Store for 10 days because the business got two citations for sale of tobacco products to a minor in a 24-month period.
- Authorized city staff to ask the state legislators to authorize a half-cent city sales tax, should the city choose to pursue such a tax.
The city council then adjourned into a closed meeting to consider certain labor negotiations regarding the AFSCME 545 contract. Councilor Barb Wyman recused herself from that meeting, because she is a member of
AFSCME 545.
