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Sedona City Council Defers Wastewater Rate Increase

Article written and submitted by the City of Sedona staff.

Article written and submitted by the City of Sedona.

Sedona AZ (July 25, 2013)  – On July 23, 2013, the Sedona City Council approved to defer the implementation of the projected ten percent increase to the monthly wastewater rates and maintain current wastewater rates.

Within the last two weeks, the City’s wastewater study consultant provided a preliminary financial analysis. It concluded that due to the size of the wastewater fund balance, the lower than anticipated capital expenditures, the sales tax subsidy to the wastewater fund, and the previous three years of rate increases, the ten percent rate increase is not needed at this time.

Earlier this month, the City had sent notice that a 10% increase would be reflected in the July billing. Based on this decision, customers will see no increase in sewer bills.

Should you have any questions, contact Finance Operations Manager Mark McKendry at 928-203-5023. For more information regarding the Wastewater Rate Study, visit www.SedonaAZ.gov/wwratestudy.

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9 Comments

  1. Jim, uptown says:

    What they aren’t telling you is that this “deferment” is simply that . . . a convenient delay of increasing the monthly rate until the final financial analysis report, due within the next few months.. Conveniently this “gift” is on the eve of the discussion to raise taxes in any way, shape,or form as is possible. Wonder why these geniuses haven’t made a change in allocation of Development Impact Fees to maybe be directed towards “development impacts” instead of for purchasing vacant land and art in public places?

  2. Jean says:

    City Manager Tim Ernster recommended against deferring the monthly WW rate increase. Councilor Mark Ward was the lone vote opposing deferring the increase.

    BTW, with regard to WW rates, $450,000 is over 120 days delinquent. More than half is reported to be attributable to two accounts. The City will have to write off $70,000 in one account–$90,000 is owed–as per the bankruptcy judge. Oak Creek Mobile Lodge is one bankruptcy, and I don’t know the other.

  3. Murray says:

    the 2 accts – what’s up with that? get Ernster on the line for an explanation. what’s happening to the bankrupt properties/is this what the mayor wants for his creek walk monument to self?

  4. E.S. Maddock says:

    The two accounts in bankruptcy court were identified as Oak Creek Mobile Lodge (not yet resolved) and Hideaway Restaurant. (the $70,000 uncollectible.)

    Of further significance were two additional accounts mentioned towards the beginning of the meeting, referred to as being “in arrears” of payment but not in bankruptcy (yet?). Per advice from City Attorney, the two resorts(?) were not identified, although “change of ownership” somehow played into the mix as the “new owner(s)” perhaps unknowingly(?) were now responsible for the delinquent payments.

    Brings to mind the possibilities of L’Auberge and Amara?

  5. Jean says:

    Murray, you can call Ernster and do the research. I cannot help it that I have poor hearing. Let us know if you find out anything. The City does not like to discuss Executive Session matters.

    The Mayor’s creek walk “monument to self” involves CREEK ACCESS in addition. Formerly, the City’s terminology was “Creek Access/Park/Walk.” The proposed park location along Oak Creek ran a cool $4.02 million and was partially in the floodplain. I.e., involved park flooding and downstream flood/drainage problems in years with heavy rains and/or fast snowmelts from the Coconino Plateau. Look for the $4.02 million park (a lowball figure??) to be resurrected once the City manages to figure out how to tax/assess property owners for drainage problems.

    My apologies to Councilor Ward. His first name is Mike.

  6. Jean says:

    P. S.

    It will be awhile before finding out (if possible) the total $$$$ the City will be writing off.

    Should L’Auberge and Amara turn out to be the two unidentified resorts in arrears but not in bankruptcy (yet?), then we know for certain CRONYISM RULES.

  7. What do you mean? Hideaway Restaurant seems surprised by your information. Who owns the mobile park on Oak Creek?

  8. @L’Augerge and Amara Question

    Both the Hideaway Restaurant and Oak Creek Mobile Park were identified by the City Attorney (Mike Goimarac) at the council meeting when the decision to defer the rate increase was approved. (It was probably the meeting on July 23rd but could easily be confirmed by city hall.) Owner names of the properties were not given.

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