Mayor: City could lose $400K in reduced well water fees

Residents who use well water will be pleased to see reduced fees soon after action taken by the Terre Haute City Council tonight during the meeting at City Hall.

Although it was suggested the ordinance to amend city code for well water users in order to reduce minimum sanitary charges be put off another month while another ordinance was considered, the council nonetheless voted to pass it.

Mayor Duke Bennett opened discussion at the meeting saying he supports the well water ordinance, however he asked the City Council to consider tabling it, tying it together with the proposed stormwater fee that would also be tabled. He warned  that the change would reduce revenue for the city by about $400,000 per year.

Vice President Karrum Nasser responded after a motion  by Don Morris, seconded by Amy Auler to table the ordinance, that he didn't feel comfortable putting well water customers off any longer.

Council President Todd Nation agreed with Nasser.

"It's unfair for us to collect more money than we should, and I don't see any reason to table this," Nation said. The ordinance passed eight in favor, one voting against.

The next item for discussion was regarding the proposed stormwater fee that was halted by the Sanitary Board earlier in the week when they opted to table it before it reached the council tonight.
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Bennett encouraged communication with the council for suggestions on the controversial issue that has drawn many in the community to stand up against it.

Bennett/ ICN photo

Bennett also hoped to clarify some misconceptions within the public regarding the proposed stormwater fee just before the council voted to table the ordinance until Sept. 1, after much discussion.

​Bennett  pointed out there is general confusion about Payment in Lieu of Taxes (PILOT.) He explained it is set up in state code to help cities with finances for those who don't pay taxes.

"It couldn't be more transparent -- it's just another funding source that goes into the general fund," Bennett said.

Nation replied his problem with the PILOT is the amount., which he said he believes should be lower than $5 million.

Councilwoman Martha Crosses said because the PILOT flows into the General Fund, it needs to be discussed more openly, not just when issues such as the proposed stormwater fee come into play. She said expenses need to be looked at as part of overall financial health just as much as revenue.

Bennett noted that he's also heard misinformation circulating in the community involving a $139 million wastewater treatment plant bond.

"That money, we couldn't spend it if we wanted to, and it's not pooled," he said.

He also explained the stormater utility bill will include a fee, not a tax. It will be collected twice a year, he said.

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Devyn Mikell talks about food truck business/Lucy Perry photo

In other business:

• The council approved an ordinance creating mobile food vendor regulations. Indiana State University students have expressed interest in a food truck business. They expect to start serving food next month.

• The council approved resolutions to rescind 10-year property tax abatements  for EBC Inc and Crawford Industries.

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• The council tabled action on two appropriations for demolition of unsafe buildings.

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