P O Box 138

Brownsville, MN 55921

507-482-6732

July 18, 2007

City Clerk’s Office

PO Box 138

City Residents

Brownsville, MN 55919

Residents:

After over two years of planning, on July 11^th the City Council approved the sewer construction project bid as submitted by Wapasha Construction in the amount of $780,174.00. The construction bid combined with the engineering costs on the project will bring the total cost of the reconstruction of the sewer treatment plant to $980,000. A preconstruction meeting took place on July 26^th, and the project is scheduled to begin before August 15^th with final completion by June 1, 2008. The project is designed to be completed in stages so that at no time will service to city residents be interrupted.

The City Council also held the annual Sewer Operations Public Hearing on July 11^th to set sewer user rates for the coming year. It was determined that the sewer user rate for sewer operations will remain the same at $16.00 per month. After reviewing the Sewer Capital Fund projections, the Council determined the portion of the monthly bill that is designated for sewer loan repayment will increase from $12.00 to $20.00 per month with the September bill. This increase is less than estimated by the engineering firm in the original planning stage. The reason for the smaller than anticipated increase can be attributed to the following: the total construction bid came in under the original projections; the city was fortunate to be able to sell revenue bonds at a favorable interest rate to finance the project; and the addition of new homes in the community that will be sharing the total cost of the re-construction.

The sewer rates established at the July 11, 2007 Public Hearing will go into effect with the September 1, 2007 billing period. Residents should expect a total increase of $8.00 per month per sewer user with the additional funds being directed toward payment of revenue bonds used to fund the sewer reconstruction project.

The City Council wishes to thank you for your questions and input during the important planning phase of the Wastewater Treatment Facility Modification project. The modifications and improvements will keep the city sewer plant in compliance with state and federal requirements for the foreseeable future.

By Order of the City Council

Michael J. Moriarty