HomeMy WebLinkAboutMinutes - Minutes - City Council - Meeting Date: 8/20/2012 MINUTES
CITY OF GLENDALE AD HOC CITIZEN TASK FORCE
ON WATER AND SEWER
PALO VERDE ROOM
ADULT CENTER
5970 W. BROWN STREET
GLENDALE,ARIZONA 85301
MONDAY,AUGUST 20,2012
6:00 p.m.
CALL TO ORDER
The meeting was called to order at 6 p.m. by Michael Ashcraft, facilitator. He gave a brief
overview of the agenda and anticipated timeframe for the evening's events. He informed the
Task Force that they are on schedule and after the September 17 meeting, the September 24
meeting might not be necessary. He explained that it may be possible to also vacate the Monday,
October 29 meeting due to prior commitments by a large number of TF members.
ROLL CALL
APPROVAL OF MINUTES OF THE MAY 21, 2012 MEETINGS
Sally Melling, Water Services Sr. Secretary, asked for approval of the Final Minutes for the July
16, 2012 meeting from the Task Force. Comm. Garland made a motion to approve, seconded by
Comm. Ray. The minutes were unanimously approved as written by voice vote.
Mike Ashcraft announced that the Task Force is at the half-way point in the schedule and
commended everyone for their efforts. He explained that priorities based on the committee's
areas of interest will begin to be finalized at the October 2 meeting. The results will be discussed
at the October 30 meeting and recommendations to Council will be drafted.
URBAN IRRIGATION PRESENTATION
Mark Fortkamp, Wastewater Collections Superintendent, presented information on the urban
irrigation program. He stated that the system is aged and in need of repair. A rehabilitation
study was conducted in April 1992 and determined it would cost between $6-7.2 million dollars
to bring the system current. At this time, repairs are only made as issues arise. At its peak,
1,600 customers received irrigation services. In 2011, 336 customers were served. The
irrigation delivery cycle lasts 7 months, from April through October. The system consists of
approximately 23 miles of lines, valves, and diversion boxes. Last year, the city received 561
acre feet of irrigation water. SRP currently has 2 lateral lines to feed Glendale, they are located
at 59th Avenue and 51St Avenue. He addressed several known problem causers for the system,
such as roots and aging pipes. He directed the members to several charts detailing the costs and
stated that 29% of the system's costs were recovered in 2011 from customer generated revenue.
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Task Force members were given the opportunity to ask questions. Comm. Livingston asked
what would happen if WS no longer provided the water for irrigation. (It's required by city
ordinance. Craig Johnson explained that a significant cost savings has been implemented this
year. Yes, the service could be terminated by working through the process with the City Council
to have it stopped by an ordinance. This is an item that could be discussed by the Task Force if
they choose at a later time with their recommendation to Council.) Comm. Sherwood asked if
there was a cheaper alternative in dealing with SRP. (Yes, some areas receive this service
directly from SRP Self-Serve. But SRP customers also have to pay costs to repair pipes,
maintain the system, etc.) Who is picking up the difference between what customers actually
pay and the how much it costs? (Every year the department goes before Council with their
budget needs and this cost comes out of the fund balance for the department.) Does the
irrigation service stay with the property or go with the owner if they move? (With the property.
If a property owner pulls out of the program, they are not allowed to join back in.) Does SRP
self-serve customers' water use the same pipes as the city's irrigation water? (Yes.) Is it all
untreated SRP water? (Yes.) Comm. Livingston pointed out that most people are growing their
food with irrigation water. He stated that if he was watering like they do, he would have a huge
water bill. He questioned why he should accept that. He would like a senior citizen rate
established. Another commissioner asked what effect it would have on the city if providing
irrigation was just stopped immediately. (Craig replied that the amount of water used is so small
that the effect is infinitesimal.) On the system, the infrastructure, landscaping, property values,
etc? (Too small to matter.)
Mark Fortkamp continued his presentation with current program facts. He stated that Salt River
Irrigation won a competitive bid which resulted in increased savings to the city. One
commissioner pointed out that the irrigation system has a tremendous amount of leaks. (Mark
agreed. And pointed out that maintaining it entails hand digging for the repairs.) (The system is
dynamic and not getting any better.) Comm. Stratton asked if Mark could give an estimate for a
12,000 sq. foot lot (with irrigation cost is $169) if the irrigation program was shut off. (Mark
estimates it would be an increase of 7 times more with metered water.) Comm. Sharp asked who
shares SRP lines. (Schools, customers, and self-servers.) If there was a break during the time
when no irrigation delivery was occurring, does the city still have an obligation to help pay? (It
depends on how the agreement was written.) A comment was made that government costs
money to function. That is a given. But the sentiment was expressed that people need to pay
their fair share. Comm. Loya asked how much more would irrigation customers have to pay if
the program was shut off? (Mark replied that to get the same amount of water that an irrigation
customer is seeing today, it would cost around 7 times more with metered water.) Comm. Loya
replied thatpeople aren't going to be able toPaY. Comm.
Short noted that the Historic
Preservation area in downtown Glendale would be hurt without the grasses, trees, landscaping,
etc. that irrigation provides and is an important aspect of the historic air.
BILLING AND CUSTOMER SERVICE PRESENTATION
Susan Matousek, Revenue Administrator, and Lisa Hord, Customer Service Manager, presented
information regarding the city's Billing and Customer Service departments. Susan broke out the
three groups Utility Billing, Customer Service, and Cashiering that are within the Customer
Service Division. Lisa explained that water meters are read in cycles each month. Cycle 1 is
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made up of approximately 22,000 accounts, cycle 2 has 18-19,000 accounts, cycle 3 has 12,000
customers, and cycle 4 has 8-9,000 customers.
They explained the voluntary donation program "From the Heart" that is used by agencies to
assist Glendale residents facing emergency situations.
The Customer Service division was discussed. Ten staff members are available for phone traffic.
There is 1 account specialist and 9 customer service representatives that handle about 10,000
calls each month. The Cashiering division has 7 staff members to handle lobby traffic, on-line
payments, Surepay, and mailed payments. There are also 4 drop boxes for payments, two
located at City Hall and two others at two Fry's Food store locations.
The disconnection process was explained with a detailed timeline of occurrences. About 6,000
disconnect notices are sent out each month, with 1,000 accounts actually being turned off. It was
stressed that customers are not immediately turned off for being late on their payments without
adequate notice. Due to the involved notification process, customers on their 3r1 month of
consumption when the water is actually turned off. The Revenue Recovery division has 3 staff
members — 1 account specialist and 2 representatives. They attempt to collect payment for
residential, and multi-family and commercial accounts that become delinquent. An item will be
presented for Council approval; Council will be asked to approve working with a 3rd party
collection agency in an attempt to collect for services provided in an effort to get delinquent
accounts paid.
Lisa explained how sewer rates are determined and the appeal process that customers can go
through.
Their budget was explained. New ideas were presented: payment kiosks for customer
convenience, outbound dialer for payment reminders but also as a cost saving measure, and
campaigns to encourage more payments made on the web site, on the autopay phone line, and
Surepay.
It was noted by several members of the Task Force that postage costs are very high and more
customers need to be getting their bills on-line rather than being mailed one.
Lisa distributed a customer service report showing peak and low phone and lobby customer
hours of use. Input was sought from TF members on allowing more training for staff members
by allowing fewer representatives to serve the public during low use hours. That lull will be
used to train staff members.
Comm. Livingston asked if there was a difference in bills between residential and commercial
users? (Yes, landlords and property managers get a few extra days due to possible address
differences. There are approximately 200-300 accounts.) He also asked how many of the
disconnects that are done are senior citizens. (Unable to track that. That information is not
collected on accounts.) He also asked if the commercial vs. residential rates are different.
(Craig answered there are different levels of rates.)
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Comm. Cruz asked if there were any cost savings to the customer service staff hours being
changed. (Lisa said that right now there is only about 1 hour per month that can be dedicated to
staff training. Employees would still be working, just that those hours would be spent on
training and tax research.)
The question was asked if landlords and/or homeowners are still held liable for tenant charges.
(No, that was changed.) It was asked if there was a way to track or some way know how many
HOA vs non-HOA foreclosures were done. (No, disconnects are handle administratively
without tracking of HOA areas.) A question was asked on how disconnects/reconnects are
handled. (There is an administrative fee of $54 added to the account total to handle the
additional work involved.) How will the kiosks work cost-wise? (A request for quotes is being
worked on currently to determine those costs and review feasibility.) Comm. Sherwood had 2
questions. He asked about merchant fees. (Yes, every time a credit card is used to pay a bill, we
are charged a fee.) And how large will collection write off recovery be? (Unknown right now.
There are no numbers available yet.) Clarification was requested on changing the staff hours:
staff will still be working, just not serving customers? (Yes, they will be in training or other
administrative tasks.) One commissioner suggested that the bill paying website be looked at. He
always has a great deal of trouble trying to log on. He also would like a way other than the
account number to access and pay the bill. Sometimes he doesn't have his bill with him (such as
at work) and has no way to pay his bill. He suggested accessing his bill by using the address,
make it as easy as possible to get it taken care of.
The suggestion was made to tack on the vendor fee to bills if customers choose to pay by credit
cards. (Lisa replied that option was being looked into.) Comm. Livingston asked about the
customer base. (Lisa explained that the lack of new accounts was definitely a negative impact on
the customer base, due to foreclosures but now houses are beginning to be rented out and that
has helped. New building across the city has now also begun to be seen again.) One
commissioner presented a serious problem that is experienced by financial institutions when
Surepay is implemented by customers. The issue is that payments are not credited to accounts
correctly and customers are then disconnected. (Lisa stated that it would be looked into.) The
question was asked if the 2,800 phone calls that come in to the city switchboard are not counted
as part of the 10,000 calls that customer service fields every month. (That is correct.)
FACILITATED EXERCISE ON PRESENTATIONS
Members discussed policy issues and areas of concern and indicated their top areas of interest in
the Blue/Red Dot poll. Results will be compiled by staff and distributed at the next meeting.
ADJOURNMENT
The meeting was adjourned at 8:36 p.m.
Respectfully submitted,
Sally Mi ing, Recordin ecretary