Black Hawk’s new water rates leave small businesses gulping

Published: February 19th, 2009

City Aldermen will reconsider

Black Hawk City Council had a light agenda at their regular meeting of February 11, 2009. Aldermen Linda Armbright, Paul Bennett, Diane Cales, Kathy Doles, Tom Kerr and Greg Moates were present when Mayor David Spellman called the meeting to order at 3:00 p.m. The Council had spent the previous hour in a work session presentation by Holly Huyek of the North Clear Creek Mitigation Advisory Committee regarding improvements along south Highway 119.

Rethink Water Rates, Please

Sharon Perea, owner of the commercial building at 380 Gregory Street, asked the Aldermen to reconsider the water rates charged to non-casino businesses in Black Hawk, either by lowering the percentage they must pay or by raising the rates more gradually. Perea’s building has been in the City for 25 years, beginning as a family-owned jewelry store prior to gaming. It has also housed a real estate office, hardware store, casino and, until two weeks ago, antique store. Perea’s nephews’ business, Three Brothers Printing, now plans to move into the building.

The owners originally installed a ¾-inch tap, later replaced with a 2-inch tap to accommodate fire sprinklers during the 4 ½ years the building was a casino. Perea told the Aldermen the sprinkler system (required for casinos) was removed when the building was no longer being used for gaming and the larger tap has not been needed for over 12 years. When Black Hawk implemented new water rates, based on tap size, Perea’s monthly water charge went from $33 to $180. “That’s a 600% increase,” said Perea, “It’s not just a drop in the bucket for us.” City Manager Richard Lessner cautioned the Council they had budgeted $42,000 in revenues, based on the new water rates, and would need to make up that revenue elsewhere in the budget if they reduce the rates now. Mayor Spellman, commenting the City wants to encourage service businesses, said the Council would look at amending the City’s ordinance governing water rates, perhaps using square footage as a guide.

Marchant Street Easement

With Alderman Doles abstaining from the vote, the Council approved a Temporary Construction Easement for her property at 111 Marchant Street. The easement will allow repair and reconstruction of a retaining wall along the property line between the Doles’ residence and neighbors at 101 Marchant Street. The City awarded Preservation Grant money to widen Marchant Street wall. That includes grading and stabilizing the location along the two properties. The Lovingiers, owners of 101 Marchant, had agreed to a temporary easement at their property which was approved at the February 4th Council meeting.

Executive Session

Following the public meeting, the Aldermen met in Executive Session to consult with their attorney regarding matters concerning property, negotiations and legal questions.

Work Sessions Planned

At the request of the City Manager, the Aldermen will meet for a work session with the Historic Architectural Review Commission (HARC) at 2:00 p.m. on February 25, 2009, to discuss the City’s grant program. Their regular meeting will begin an hour later.

This entry was posted on Thursday, February 19th, 2009 at 7:45 pm and is filed under Community, Government, News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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