The INDEPENDENT, November 15, 2007
Tree Board plants one for Banks
Left to right; Mayor Teri Branstitre, Denise Holme, Levi Eck-
hardt, Tami Stewart, Jessica Steward, and Mitty Brady help
plant a tree for the Banks Tree Board.
The City of Banks reinstated
it’s Tree Board, this past Sep-
tember, after a few years with-
out a board. Tree Board mem-
bers are City Manager Jim
Hough, Tami Stewart, Mitty
Brady, and Dawn Soest.
The Banks Fire Depart-
ment’s new landscaping was
chosen as the place for the first
planting. The board worked
with the fire department to
choose a tree and the Acer
Palmatum, or Japanese Maple,
was chosen for its beautiful
scarlet fall foliage.
The board then held its ‘1st
Annual Fall Planting’, Novem-
ber 10 at the Banks Fire De-
partment to plant the chosen
tree. Mayor Teri Branstitre was
on hand to read a proclamation
commending the Banks Tree
Board for its superior service to
the City and citizens of Banks.
Said City Manager Hough, “We
encourage tree planting (by the
Tree Board) on public proper-
ty.”
The Tree Board intends to
work toward having Banks
again designated as a Tree
City, as they were in the past.
After the newly planted tree
was in the ground, and the
proclamation read, those in at-
tendance were invited to join
the Tree Board in refreshments
inside the fire department.
The next Tree Board meet-
ing will be held Wednesday,
December 5, at 7:00 p.m. in
Banks City Hall. The public is
welcome to attend.
Page 13
Rate study reviewed by Banks council
Results of the water rate
study were presented by
Shaun Pigott at the Banks City
Council work session on Tues-
day, November 13. The study
examined how Banks allocates
costs since the last change, in
2002, and identified options for
future changes. Currently, 48
percent of rates paid are from
the base of $16.65 per ac-
count, with 52 percent from vol-
ume charge. In September,
Council requested a conclusion
on rates considering the follow-
ing factors: Rates should not
reflect any subsidy from the
general fund (currently the city
includes subsidies in the gener-
al fund, an uncommon prac-
tice); a look at a targeted capi-
tal improvement program, leav-
ing the water depreciation fund
intact, and revision of ordi-
nances to allow automatic an-
nual rate adjustments that re-
flect cost escalation.
A 14 percent rate increase in
2002 was for a water rate
budget of $310,000; the water
budget currently is approaching
$564,000. The city balanced
revenues with expenditures in
2002 by using $150,000 from
the water depreciation fund,
$241,930 in 2006 from timber
sales, and $35,000 from the
city’s general fund, plus a draw-
down of beginning fund bal-
ances and transfers of SDC
Halloween Costume
Contest Winners
funds of $67,500 in 2004.
“There is no growth to support
[using] SDC” funds, Pigott not-
ed.
Pigott presented six rate op-
tions to consider for meeting
the 2008 revenue require-
ments: 1. Continuing the gener-
al fund subsidy with a base rate
of $22.46 plus $2.75 per ccf
creates an average billing of
$30.71, a 32 percent increase
over the current rate. 2. Elimi-
nate a $35,000 general fund
subsidy, change the base rate
to $26.50 plus $2.75 per ccf, for
an average billing of $34.75, a
49% increase. 3. Adding in-
creased personnel costs of
$52,000, a base rate of 30.75
and use of $2.96 per ccf, a 70
percent increase. 4. Debt fi-
nance the two capital improve-
ment projects (master plan and
interconnecting well), with no
increase in personnel costs, a
rate base of $26.50 and $3.11
per ccf for an average bill of
$35.83, a 54 percent increase.
5. Fund depreciation at
$25,000 (currently $50,000),
debt finance the two projects
with no increased personnel
costs, a base rate of $23.62,
and of $3.11 per ccf for an av-
erage bill of $32.95, a 42 per-
cent increase. 6. No funding of
depreciation, debt financing the
two projects, not including in-
creased personnel costs with a
base rate of $20.73, and $3.11
per ccf, for an average bill of
$30.06, a 29 percent increase
to rate payers.
The study showed that the
city’s water rates are consider-
ably lower than comparable ru-
ral city rates for a single-family
residence. Mayor Branstitre
questioned Pigott and council,
“where are we at now?” Pigott
responded that it is “…how far
council is willing to ramp rates
up.”
Please see page 14
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