RESOLUTION NO. 122-03

A RESOLUTION ADOPTING A WASTEWATER PLANT INVESTMENT FEE

EFFECTIVE JANUARY 1, 2004

Recitals:

WHEREAS, the sewer bond covenants and the Persigo Agreement, between the City and Mesa County require that a rate study be conducted every five years; and,

WHEREAS, in 2001, the City retained Black and Veatch to complete the required rate study, concentrating on the plant investment fees; and,

WHEREAS, Black and Veatch employed a "System Buy-In Method" calculation whereby each new property connecting to the sewer system would "buy in" to the capacity of the sewer system; and,

WHEREAS, The City Council and the County Commissioners agreed in December 2001 that the rate should be gradually increased, given the length of time that the rate had stayed at $750 per single family equivalent unit (EQU). In January 2002 the rate was increased from $750 to $1,000 per EQU and in accordance with that plan, the rate is proposed to increase again.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND JUNCTION that:

Effective January 1, 2004, the Plant Investment Fee shall be increased from $1,000 per EQU to $1,250 per EQU.

PASSED and ADOPTED this 17^th day of December, 2003.

 /s/: Harry Butler

 President of the City Council Pro Tem

Attest:

/s/: Stephanie Tuin

City Clerk