Mitchell residents could soon see rate increases for water and sewer services, as the Mitchell City Council will consider approving a resolution on Monday that would raise the rates over the next two years.

The proposed water and sewer rate increases are intended to help the city of Mitchell fund major upcoming infrastructure projects, according to City Administrator Stephanie Ellwein’s documents attached to the council agenda. The council will take action on the resolution during Monday’s meeting at City Hall.

For city water rates, the resolution would increase the base rate for water costs by 91 cents, along with a unit rate increase of 25 cents, which would go into effect September 2020, if approved. That means the water rate change would equate to an average monthly increase of $2.33 for a 4,000 gallon user, bringing the total to $27.72 per year, according to Ellwein’s documents.

The second water rate proposed increase would go into effect May 2021, which would raise the base fee by $3.24, meaning there would be no increase to the unit rate. Broken down further, that means the second water rate increase would result in an average monthly increase of $3.24, bringing the annual increase to a total cost of $28.88 for the year.

For the proposed sewer rate increases, the resolution would raise the base rate by $2.55, and the unit rate by 16 cents, which would go into effect Sept. 1, 2020. That means the increase would raise the cost for sewer services by $3.41 per month, equating to an annual increase in the amount of $40.89 for a 4,000 gallon user, according to Ellwein. The second rate hike for sewer services would increase the base fee by $6.71 per month, resulting in a $80.52 increase for the full year.

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During the recent July 6 council meeting, Public Works Director Kyle Croce broke down the wastewater projects that the city is seeking to fulfill, which includes building a groundwater storage tank and a request to repaint and replace a valve on the west town water tower.

Of the utility and water system projects, the construction of a 2.5 million gallon groundwater storage tank estimated at a cost of roughly $5 million is a top priority, Croce said.

The two water and utility projects are among several that are resulting in the city’s proposal to increase the water and sewer rates for city residents.

Consent agenda

The following actions will be considered as part of the consent agenda:

  • Approve the minutes of the July 6 City Council work session, and the July 6 council meeting.

  • Approve the minutes of the June 22 Planning and Zoning Commission meeting, June Parks and Recreation Board meeting, and July 1 Public Library Board meeting..

  • Approve department reports.

  • Approve the following raffle permits: Duck Unlimited with the drawing to be held on Aug. 29, 2020 and Oct. 1, 2020.

  • Approve to set the date for the following bid openings to be held Aug. 5, 2020 at 1:30 p.m. in City Hall: A bid for Loma Linda sanitary sewer improvements, Project No. 2020-30; A bid for rock salt project No. 2020-27.

  • Approve change order No. 6 for Sanborn Boulevard and utility improvements for phases II and III to H&W Contracting, LLC, project No. 2019-22.

  • Approve a special event license application for the Palace City Pre-Sturgis Party to be located On Main Street, which requires closing the following streets: Main Street from Fourth Avenue to Seventh Avenue, and Fifth Street from Lawler to Rowley to the half block west of Sixth Avenue from 1 p.m. to 11 p.m., Sixth Avenue Plaza, and closure of the Fifth Avenue and Main Street parking lot as well as the Corn Palace Plaza parking lot. The application also includes obtaining a consumption permit from 5 p.m. to 10 p.m. in the above described area, which includes public property only, along with a noise permit for Thursday, Aug. 6, 2020.

  • Approve a special event and consumption application and noise permit for Village Bowl and Thirsty’s, located at 1500 N. Duff St. suite F, using a portion of the Village Bowl parking lot on Aug. 14, 2020, at 3 p.m. extending to Aug. 16, 2020 at midnight, for a car show and beer garden for Cruisin’ for a Cause.

  • Approve July 20 pay estimates.

Other business

  • Recite the Pledge of Allegiance, receive invocation from Assembly of God, and hear citizens' input.

  • Hear quarterly report from Mitchell Area Development Corporation.

  • Hold hearings on the following alcohol licenses: Transfer RL-5771 Retail (On-Sale) Liquor License from Mitchell Area Development Corporation, 601 North Main Street, Mitchell to Mitchell Area Chamber of Commerce, Inc., 601 North Main Street, Mitchell. This license will be active; Mitchell Chamber of Commerce for a new Retail (On-Off Sale) Wine License and Cider, located at 601 North Main Street, Mitchell, South Dakota; Mitchell Chamber of Commerce for a new Retail (On-Off Sale) Malt Beverage & SD Farm Wine, located at 601 North Main Street, Mitchell, South Dakota; Exchange Club of Mitchell for a Special Event Malt Beverage License from August 5th through August 16th for the State Amateur Baseball Tournament.

  • Meet as Board of Adjustment.

  • Set the date for the following hearings: Aug. 3, 2020, Skyler Sievert’s, and owner of CJG Properties LLC, have applied for a conditional use permit to operate a family residential childcare center at 809 N. Wisconsin St., legally described as lot 4, block 52, capital addition, in the city of Mitchell. The property is zoned R4 High Density Residential District; Aug. 3, 2020, Steven Ahlers’ request for the property legally described as west 56 feet of outlot No. 7A, southwest quarter of section 15, township 103 north, range 60 west, in the city of Mitchell (126 W. 15th Ave.) to change from R2 Single Family Residential District to Highway Oriented Business District, along with the request for a front yard variance of 20 feet vs. 25 feet under R2 District, the HB District requires 30 feet, and a backyard variance of 15 feet the R2 District requires 25 feet, the HB District setback is 0. Ahlers is requesting to construct a storage garage that may be used for personal and commercial use.

  • Hold hearing and take action on the following applications: Michael Miller’s application for a backyard variance of 13 feet vs. 16 feet as required for replacing a detached garage that was destroyed by a fire located at 412 N. Burr St., legally described as lots 6A and 7A, block 31, Cooley and Guernsey Addition, in the city of Mitchell. The said real property is zoned R2 Single Family Residential District; Adam and Katie Koch’s application for a side yard variance of 3 feet vs. 8 feet as required for construction of a garage at 2212 Kelly Dr., legally described as Lot 1 Ex. West 150 feet, Country Living Estates, northeast quarter, Section 14, Township 103 North, Range 60 West, Davison County, South Dakota. The said real property is zoned UD Urban Development District; Logan and Chelsey Smith’s application for a conditional use permit to operate a family residential childcare center in their home at 1008 E. Seventh Ave., legally described as Lot 13, Block 13, Wilkinson's Addition, in the city of Mitchell.The property is zoned R4 High Density Residential District.

  • Reconvene as City Council.

  • Award Mid-Continental Restoration’s $44,375 quote for the Department of Public Safety building repointing project.

  • Approve the city to make window repairs for the 223 N. Main St. building, the former location of the Crafty Fox, which is estimated to cost around $60,000.

  • Approve authorization to execute contractual documents with the state of South Dakota for the receipt of CARES Act funds to address the COVID-19 public health crisis.

  • Approve agreement to reimburse local government COVID-19 recovery fund reimbursement.

  • Approve Resolution No. R2020-45, a plat of tract A of Stratton’s Addition in the south 940.50 degrees of the southwest quarter of section 1, township 103 north, range 61 of the fifth prime meridian in Davison County.

  • Approve Resolution No. R2020-46, a plat of lot 2 in tract H, Wild Oak Golf Club Addition in the city of Mitchell.