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HomeMy WebLinkAbout1975 10-23 Consultant says Maplewood should continue with retail water system DISPATCH Co nsuitc,-.3rit a y ° os Maple oodsh ld ,...„. .l'1 ted tl Ut �'� i water system C . , O Maplewood should continue to operate, the consultants said, -- to contract with the St.Paul Wa- though revenues to coverthose ter Department for retail water costs could be obtained through service, an engineering consult- wooda customers'addede wator Maple- ant's report recommends. A wholesale system, Sindelar A RETAIL system, under said, would begin to benefit the which Maplewood customers are city in about 25 years, when the I billed directly for St. Paul water, system would produce enough "looks pretty advantageous" revenue to allow the city to per- over the wholesale or master etuate the s'sem. meter system once considered P } he said the retail by the Maplewood City Council, HOWEVER, said Gary Sindelar, design engi- system has "fewer question neer for Kirham, Michael and marks." Associates. The biggest question mark, Under the wholesale system, Sindelar indicated, is the 3M Maplewood would purchase St. Co.,which now uses 60 per cent Paul water and resell it to Ma- of the water used in Maple- plewood customers. The retail system would save, Under revised t. Paul Water proppart- osed Maplewood$6.75 million in wa- by De ter system improvements and ment for a new contract,he not- would have aid wholesathan would ose fewer"ifs"le system, Sindelar told more the ed, last year for its water.. .49,000 the city council last week. If the company decided in- stead,to drill its own wells for THE CONSULTANTS' report cooling water, he said, "You'd estimates the cost of improve- lose your best customer." menta for a wholesale system at Such an action by 3M, the $16.5 million, of which about$,4 consultants' report said, could mil l i o n could be funded reduce duc Inco e to a point where through a revenue bond issue. The remainder would have to be tient revenues to operate a funded through assessments and wholesale system. general obligation bonds. Retail system improvements, "TO PIN them.(3M) down — ) $9.2the said, would cost continue abe Ion which would have to be his prce. — ydifficult,"water funded through assessments and Sindelar saidthat'the St. Paul general obligation bonds. He addedA retail system also would Water Department now seems cost the city about$30,000 a year ate"with h re willing M:plewod than to er- it has in the past. St. Paul water officials also may be more receptive to im- provements the consultants say are needed in St. Paul, in order to provide adequate service to Maplewood,he indicated. Sindelar also. noted that the water board is no longer insist- ing on Nov.1 as the critical date for signing a new water contract. aCouncil membere the sait current hey 1 still want to comp proposal for a retail sretail astem n earlier ,plans wholesale systems. it Murdock Councilman Surto Paul jither the Stlipr Bogs 1S 1'��10)1 w61 ltiafcr i vice for communities out be- yond Maplewood. if the board does require the Ltcitities to provide such service, Sindelar replied, "They're going to have to come to you, get big- ger(main)sizes and pay for it."