Post Messenger Recorder -

The New Glarus Village Board met on August 1, 2017, at 7:00 p.m., in the Village Hall Boardroom.

During the meeting, Dave Maccoux of Schenck SC informed the board about the results of the water rate case study and recommendations regarding the water rates for utility users. He noted a steady decrease in rate of return from 2012 with an estimated rate of return for 2017 at .78%. Contributing factors to the decrease have been steady revenue sales; inflationary rate increases to operating expenses and increased capital expenses, which result in not only expense for the capital project, but also additional expense in the PILOT payment and depreciation costs. Maccoux outlined the necessary percentage of rate increase to accomplish an annual rate of return between 4% and 6%.

Maccoux recommended an increase of water rates of approximately 40%. The board discussed the analysis of various increases on a residential user using approximately 5,000 gallons of water per month as follows: A 28% increase would mean $8.35 per month increase (.27 per day); A 32% increase would mean $9.55 per month increase (.31 per day); A 36% increase would mean $10.74 per month increase (.35 per day).

Village Administrator Bryan Gadow outlined the last PSC water rate case was completed by the Village in 2001, with a 14% increase and subsequent simplified rate cases approximately every three years of three percent each, averaging 1.88% per year over the period from 2001 to 2017. Board members expressed concerns over a large increase at one time, noting a preference for a simplified rate increase of three (3) percent every two years.

Maccoux and Gadow updated the Board on the current method of collecting the public fire protection fee being one-half the amount coming from the water utility billing and the other one-half being included in the tax levy. Maccoux noted the remaining portion on the tax levy could be transferred to the water utility billing as part of this rate case and would result in an additional $4.25 per month fee for residential customers. There was a discussion of possible uses for the funds if the fire protection fee is transferred to the water utility billing. The board expressed their desire that those funds go to fire protection projections such as a new fire truck or expansion of the fire station. They also discussed their desire to track the spending of the savings realized from the transfer of the public fire protection fee to the utility bill in the future budgets.

Following discussion, the board approved a 24 percent increase in water rates that would begin the beginning of next year. The board also approved a motion for the entire fire protection fee to be added to the utility bill.

The board approved a resolution hiring Bobbi Jo Brown as a police officer for the village. Administrator Gadow then provided the Oath of Office.

Gadow informed the Board that a letter of resignation had been received from Officer Cody Conover. Conover’s last day was by August 9, 2017.

Gadow also updated the board on complaints received about the Brazen Dropout Cycling Event. He said he would contact the event organizers to discuss the issues.

Concerns about from residents have been received in regards to the noise of the compressor units on the Casey’s General Store building and the lighting of the site. Gadow reported that he would be working with Casey’s to address the issue.