UTILITY COMMITTEE
The Utility Committee Meeting was held on January 12, 2009 at 5:00 p.m. with Chairman Ruane presiding. Members present were Mr. McGiffin, Mrs. Williams (arrived at 5:08 p.m.), Major Kosior, and Mr. Snaman. Other members of Council present were Council President Hogan, Mr. Leary, and Mayor Carey.
AGENDA ADDITIONS/DELETIONS
Mr. Ruane requested that item #3 - STAR Community Index be considered as item #1.
Major Kosior moved for approval of the agenda as amended, seconded by Mr. Snaman and unanimously carried.
STAR Community Index
During their meeting of December 8, 2008 and review of “Dover's Climate Change Plan - How Do We Benchmark and Measure Our Progress in Reducing Greenhouses Gas Emissions”, Mr. DePrima, City Manager, advised members of the STAR Community Index and, although it is in its early stages, he stated that he would obtain additional information to provide to members for their review. As indicated, staff provided members with information entitled “Introduction to the STAR Community Index”.
Mr. DePrima reminded members that many in the industry feel that it is too difficult to measure the carbon footprint and that the methodologies available are unreliable. During a recent American Public Power Association (APPA) workshop, he was made aware of a new wave of thinking regarding this issue which is similar to LEED Certification (STAR Community Index). He explained that when a new building is erected certification can be obtained at different levels. The more best practices instituted, the more points are provided and the higher level of certifications would be issued. He assured members that many communities are having difficulty establishing measurement of their carbon footprint and that the STAR Community Index was better received by the communities during the workshop.
Mr. DePrima advised members that the concept is still under production with the goal of launching this tool in January 2010. He stated that at this time, the information is being presented for informational purposes only.
Mr. Ruane relayed appreciation for staff bringing this issue forward and noted that during the next committee meeting, the State Energy Plan (final draft) will be presented for consideration. He advised members that this Plan includes reference to the benchmarking concept and suggested that members review the information, which includes recommendations regarding this matter.
Mr. Ruane requested that staff keep the committee updated on the progress of the STAR Community Index.
Review of Customer Assistance - Credit and Delinquencies
Due to an understanding of the City’s customers having stress due to the decline in the economy, Mr. Ruane requested that an update be provided on the City’s Customer Assistance, Credit, and Delinquencies, as well as the status of making this information available on the Website. As requested, staff provided members with information regarding customer assistance, credit and delinquencies, including a summary table which includes the actual number of cut-offs and credit extensions for the months of July - November for both fiscal years 2008 and 2009.
Mrs. Tieman, Senior City Administrator, advised members that there have been instances when a customer has indicated an association with a particular church and that staff has contacted that church for possible assistance. The information regarding the churches has been withheld due to their reluctance in publicizing such information. With regards to having the information provided on the Website, she stated that there has not been a desire for inclusion of their information; however, she assured members that staff will continue to work on this matter.
Mrs. Williams questioned how long it takes for customers to see the City’s costs associated with the fuel purchases. Responding, Mr. DePrima stated that although there has been a substantial decrease in oil prices, this same decrease has not been realized with power costs. Since the City purchases fuel up to three (3) years in advance, it could take up to three (3) years before such prices are realized by the City’s customers.
Responding to Mrs. Williams, Mrs. Tieman reminded members that the rates are set during the budget process, which go into effect July of each year. Concurring with Mr. Ruane, Mrs. Tieman confirmed that since July, a customer’s bill would not have increased unless their was an increase in their usage. In response to recent newspaper articles, Mr. DePrima stated that some municipalities have a monthly energy adjustment that the City does not include in their utility bills.
Mr. McGiffin noted that there are some customers that rent their residence and do not have a direct contract with the City for electricity. Responding, Mrs. Tieman stated that there are only a few of the City’s customers under this scenario and that staff makes every attempt not to penalize the tenant for the actions of the landlord.
Mr. Ruane thanked staff for providing the information and noted that no policy changes are being requested at this time.
Dover’s Recycling Contract and Curbside Program Update
Mr. Koenig, Public Services Manager, advised members that the City of Dover has a contract agreement for the curbside recycling program with DSWA which expires on February 15, 2010. The City pays $2 per household per month for the service. He stated that there is a right to termination clause in the agreement which gives either party (DSWA or the City) the right, at anytime, to terminate the Contract Agreement without liability upon sixty (60) days written notice. Mr. Koenig stated that the only discussion he is aware of regarding future pricing is from DSWA indicating that the $2 per month fee would likely increase to $6 per month upon the expiration of the current agreement. The discussion regarding an increase to $6 per month occurred prior to December 12, 2007 and reflected DSWA opinion of the real cost to operate the curbside service at that time. He advised members that the previous discussion from 2007 regarding the $6 per month rate does not reflect conditions associated with the current economic environment.
Mr. Koenig advised members that one of the goals of the department for this year was to improve the rate of participation in the Curbside Program. As a result, staff has been implementing a “soft” roll out program over the past few months with respect to the expansion of the curbside recycling program. As of December 23, 2008, this program has been rolled out to six (6) major subdivisions, totaling 639 units. The largest of these subdivisions was Crossgates/Mayfair. There are 423 households in Crossgates/Mayfair. Generally, there has been very little feedback from the roll outs. According to the City’s records, only eight (8) households have refused service in Crossgates/Mayfair. In addition, four (4) wanted to keep their 35-gallon container rather than receive a 95-gallon container. There may be a few others that we will need to discontinue or modify their service level.
Mr. Koenig reminded members that the Curbside Program began in September 2008. As of today, 927 cans have been delivered and another 85 cans are scheduled for delivery. Of the 927 cans, 371 were already customers, which indicates that there may have been an upgrade in their service. At the end of December, there were 2,985 customers total. The City began the budget year at 2,414, which is an increase of 571 customers.
Mr. Koenig advised members that every month this fiscal year, there has been over 100,000 pounds of recycling. As a result of the soft roll-out, he stated that there should be a significant increase in the amount of poundage of recycling.
Mr. Koenig reiterated that the Recycling Program is completely voluntary.
Mr. Ruane relayed appreciation for staff’s efforts and encouraged their continuation in this regard.
At the request of Mr. Ruane, Mr. Koenig explained the “Pay as You Throw” Program, which has been included in the City’s Capital Improvement Projects. He stated that one of the ways to encourage recycling is to propose ways that provide financial incentives. A “Pay as You Throw” trash utility is designed to encourage customers to recycle more and reduce the amount of waste at the curbside. Another department goal this year is to evaluate the feasibility of such a utility and bring a proposal, late in the year, to Council to review the parameters involved for creating such a utility and a review of its pros and cons.
In response to Mr. Snaman, Mr. Koenig stated that there has not been any consideration given to including commercial markets that have private trash collection for the “Pay as You Throw” utility. He explained that, although light commercial trash can be picked up by the side arm loaders, the front end loaders are necessary for establishments such as restaurants and apartment complexes. This is not a market that the City should consider for the “Pay as You Throw” utility.
Mr. Koenig stated that staff will continue to evaluate the “Pay as You Throw” utility and that a draft proposal will be submitted to the committee later this year. He reminded members that information regarding the Curbside Program is included in the City Manager’s Report each month.
Mr. Snaman moved for adjournment, seconded by Major Kosior and unanimously carried.
Meeting Adjourned at 5:43 P.M.
Respectfully submitted,
Eugene B. Ruane
Chairman
EBR/AC/TM/jg
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