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During the comment period for the Clearwater plan in August, we exposed Milwaukie's intergovernmental agreement that would have limited their sewer rate to $ 13.00 per month, forever. That special rate limit would have cost our district about $29 million over the next 25 years. At the commissioners meeting on September 1st. we were told that the agreement was changed and that the new rate was for only 1 year and subject to review. After the meeting, the city manager told us Milwaukie never intended this, but that "it was just a typo". About a month later Milwaukie submitted another signed agreement with these modifications: 1) The term of the new agreement shall be 10 years. 2) Rates not to exceed $13 per EDU/month for the July 1, 2006 through June 30, 2007. |
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It sounds OK until you take a closer look and see that it's the same old problem again: 1) There is no provision in this new contract to change, review, or increase the monthly rates within the 10 year period of the contract. 2) Using the Clearwater plan's rate tables v. the $13 per month limit, this IGA will cost our district $9 million over the next 10 years. |
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Bottom line- Milwaukie did it again. This time their IGA will cost our district $ 9 million over the next 10 years! |