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Agenda Section: t i —Lk CITY OF NEW BRIGHTON Report Number: p _D54 REQUEST FOR COUNCIL CONSIDERATION Report Date: February 24, 2004 ITEM DESCRIPTION: ORDINANCE AND RESOLUTION ESTABLISHING A BILLING METHOD AND RATES TO PAY FOR THE OPERATING THE STREET LIGHTING SYSTEM DEPT. HEAD'S APPROVAL: MANAGER'S REVIEW/RECOMMENDAT No comments to supplement this report Comments attached EXPLANATION: Due to the loss of Local Government Aid (LGA) in 2002 and 2003, the City was forced to look into numerous service cuts and alternative revenue sources. One of the alternative revenue sources identified was the direct billing of residents and businesses to pay for the costs of street lighting. The purpose of this item is to recommend Council approval of the attached City Ordinance and Resolution establishing a billing method and rates to pay for the operation of the street lighting system. The majority of the City's street lights are leased from Xcel Energy and are located at street intersection which provides a light spacing of approximate 300 feet east/west by 600 feet northlsouth. The street lights are attached to power poles in areas of the City that have aerial power lines and on dedicated wooden poles in areas of the City that have underground electric service. There are a few small areas of the City that have a more ornamental post top street light and a closer street light spacing. All of the leased street lights are paid for on a flat monthly rate. The current rates are $8.94 per street light per month in the aerial electric service areas and $14.84 per street light per month in the underground electric service areas. There are a few higher wattage street lights in the system that are slightly more expensive. There are currently 605 leased street lights. In addition to the leased street lights there are two City owned street light systems located on Silver Lake Road and in the Old Downtown area. The City owned street light systems have a much closer light spacing and higher light level because of the higher level of activity and traffic. The City pays Xcel Energy for electricity and basic maintenance, consisting of bulb and ballast replacement and cleaning, on the City owned systems. The cost for the Silver Lake Road system is a flat rate of $3.84 per month per light for electric power and $1.95 per light per month for maintenance. There are 167 street lights on the Silver Lake Road system. The cost for the Old Downtown system is $2.89 per light per month for electricity and $2.15 per light per month for maintenance on 150 watt lights and $2.04 per light per month for electricity and $2.05 per light per month for maintenance on 100 watt lights. There are 106 street lights on the Old Highway 8 system. The City is responsible for all other maintenance and repair costs on the City owned systems such as painting poles and repairing shorts. A copy of the street lighting bill for January of 2004, and a map of the street lighting system are attached. RECOMMENDATION: To Waive the reading and adopt the attached Ordinance and Resolution establishing a billing method and rates to pay for the operation of the street lighting system. Leslie Proper, Public Works Director I:\COUNCIL\REPT]RTS\2004\Enginooring\street light ord.doc