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Minutes - San Leandro City Council Meeting - July 6, 1993 Page - 9 - PUBLIC HEARINGS (continued) Council Member Perry said the idea of utilizing EBMUD has been discussed before, and they were not interested at the time. She said there are also questions about using the City's potable water, which had been discussed in the past. She said the cost increase is not due to replacement of facilities but is due to the actual usages and declines in usage. She said both commercial and residential pay the same amount on the amount they use and pay the same basic charge. Bob Taylor said everyone's payments are based on the equivalent strength and flow for BOD,SS and flow. Mr. Lawson said the replacement funding increases take into account inflation plus 5%, which adds 2% each year to the fees. He said this is necessary to make up for previous unfunding, and this is the most affordable approach. Mr. Taylor pointed out there are not large amounts of funds which have been accrued and are available in reserve accounts. He said every year the City constructs a number of Capital Improvement Projects at the Water Pollution Control Plant. He said no collection system lines have been replaced since at least before 1985. He said the idea is to have enough reserves on hand to fund repairs as they come due. He said there are lift stations that need major repair work, pumps break down, etc. , and must be repaired. He said also the City must take into account the seismic vulnerability of some of the facilities. He said each year a re-evaluation of the need for renewal and replacement is undertaken. Council Member Kerr said his biggest concern is there are five plants along the east shore that are underutilized, and all of them have to spend all kinds of money to meet Federal regulations. He said he thinks two or three of those could be closed, including Oro Loma, and could be consolidated with other plants. The following Resolution was then introduced: Resolution No. 93-161, Resolution Amending Title 12, Chapter 5 of the San Leandro Administrative Code Relating to Fees, Charges and Classification of Users for Sewer Services Provided in Accordance with the Uniform Wastewater Discharge Regulations (adjusts sewer services user fees and charges, effective July 1, 1993) . (2318/1221) Introduced by Council Member Polvorosa, who moved its adoption, seconded by Council Member Nahm, and carried by the following called vote: AYES: Council Members Kerr, Myers, Nahm, Perry, Polvorosa; Mayor Faria NOES: None 0 Y 6 ) ABSENT: Council Member Corbett ( I )