Hearing about sewer rates is June 5

Portland residents will have a chance to express their thoughts on a proposed sewer rate increase that would help pay for major wastewater infrastructure improvements.

Portland City Council formally introduced a four-year plan to raise sewer rates at Monday evening’s meeting.

It also heard tax abatement proposals from two local industries, considered a proposal for adding new affordable housing in the city and discussed road closures for the Main Street water main project.

The new sewer rate proposal would increase monthly rates on July 1 of each year for the next four years. For a family that utilizes 4,000 gallon of water a month, that would mean a $5.75 increase to the monthly rate each year, or a total of a $23 monthly rate increase by 2020. The increase is slated to be used to pay for state-mandated improvements to the city’s wastewater treatment plant, part of a pair of agreed orders between Portland and the Indiana Department of Environmental Management. Funds raised from the rate increases would also be put toward the city’s proposed Harrison Street sewer project, which is expected to alleviate flooding in the downtown area by improving flow of stormwater during periods of heavy rain.

Council will hold a public hearing at 5:30 p.m. June 5 in council chambers at Portland Fire Department, 1616 N. Franklin St., and will vote on first reading of the proposal. If it passes on first reading, it will need to be approved again on second reading before going into effect.

Council members Judy Hedges, Janet Powers, Bill Gibson, Judy Aker, Michele Brewster, Kent McClung and Don Gillespie also voted to forward two tax abatement proposals to the city’s tax abatement advisory committee.

One of those would place a 10-year abatement on major improvements to the facilities of FCC Indiana. Michael Shepherd, an FCC employee, said the $26 million improvements are part of new plant projects with Ford, General Motors and Toyota.

“This year we have new projects with Ford and GM both, and we actually have projects with Toyota starting up in 2017,” Shepherd said. “With Toyota, the new equipment is about $3 million, and about $12 million for Ford and GM. We also have a lot of other equipment that we have to put in place for capacity reasons, with our existing customers and existing products.”

In total, the proposed abatement would save FCC $961,000 over five years. The improvements are expected to create 29 new jobs.

Representatives from Dayton Progress also presented an abatement proposal to lessen the tax burden on the company’s upgrade of its Phoenix grinder, electrical improvements and other equipment renovations.

The abatement would save Dayton Progress $7,555.02 over a five-year period, and representatives from the company said they plan to hire six new employees in the near future.

Council also heard a proposal Michael Rodriguez of Herman Kittle Properties, the same company that proposed a new apartment complex on the site of the former book bindery lot in 2016.

Rodriguez said he wanted to float the idea of another housing project to council before the company begins preliminary work on acquiring properties and assessing costs, to gauge support. On Herman Kittle’s previous book bindery project, council members expressed their disapproval, citing the proximity to parks and high volume nature of the complex.

This time around, Herman Kittle proposed a series of different structures throughout the city, each serving different housing needs.

At 510 W. High St., it proposes adding 15 to 20 units of housing for seniors, utilizing an already existing structure that once housed Jay County Hospital. At 510 S. Bridge St., the former Sheller Globe location, the company would add an estimated 40- to 50-unit apartment complex. And then at three different properties where blighted homes have been demolished, the company would construct three homes, each to be used for single family housing.

Rodriguez said the company would not need to do all of the projects to be able to move forward, but said it would likely need to reach at least 50 units for it to be feasible. The company is the sixth largest developer in the United States and is headquartered in Indianapolis. Council made no commitments on the project, but members said they will consider the proposals and get back with Rodriguez about their thoughts. Rodriguez said that if the company is able to gauge council’s support by mid-June, Herman Kittle will be able to move forward with plans.

Mayor Randy Geesaman also discussed expected closures on Main Street for the next few months as a part of the replacement of a century-old water line.

Geesaman said contractors will begin in the next few days by closing the intersection of Charles and Main streets. After work is complete at the intersection, work will continue east on Main Street, closing one block of the street at a time. Once work reaches the intersection of Middle and Main street, where the street widens, the north side of main street will be closed for a block at a time until work is completed. Each evening, contractors will open the street for residents to move their vehicles.

In other business, council:

•Heard from Russel Clark, a Bridge Street resident, that adding no parking on one side of the street would have a major impact on residents, especially during holidays and other times when extra parking is necessary. He encouraged residents to use their off-street parking, and also asked that council proceed with caution when trying to improve traffic flow conditions on the street.

•Heard from Geesaman that Jay County Jail inmates will be working to help city employees to move rubbish and debris as a part of clean up week. Gibson said individuals who don’t get their trash out in time because of rain or other reasons should call the street department to have them come by and pick it up.

•Approved $662,597.12 in claims.