LEWISTON – An appeal of the controversial municipal storm water utility fee could determine how the city collects that revenue going forward.

Councilors are scheduled to review property owner Bob Gladu’s appeal of the so-called rain tax. Gladu, owner of the Pepperell Mill at Lisbon Street and Adams Avenue and a strip mall at 445 Pleasant St., owes $41,675.47 in back storm water fees.

“The council hasn’t established how to proceed with these properties that haven’t paid yet,” Public Services Director David Jones said. “That’s what we’re expecting them to do Tuesday.”

Councilors are scheduled to discuss the issue in a closed-door executive session beginning at 6 p.m. Tuesday in City Hall. That will be followed by a public hearing beginning at 7 p.m.

The city adopted the storm water utility fee – dubbed a rain tax by many – in 2005 to pay for culvert maintenance, street-sweeping and storm sewer-line projects. It’s based on the amount of hard surface on each property, including roofs, sidewalks, parking lots and driveways.

Single-family homes pay $40 per year, duplexes $45 per year. All others, including businesses, churches and nonprofits, pay 4.4 cents per square foot. The fee brought in about $1.3 million to the city in 2007, and is expected to bring in $2 million in the 2008-09 fiscal year.

But some high-profile property owners have not paid the fee. Officials from the University of Southern Maine’s Lewiston-Auburn College said in July that they would not pay the fee on their 61 and 51 Westminster St. properties unless told to do so by the courts or the state Legislature. The college owes $8,725 on past due fees, according to the city.

It’s a portion of the $113,299 in outstanding rain fees that the city says it is owed. The city lists 419 accounts with unpaid balances, including 233 single-family homes and 147 larger buildings.

“This is the only appeal we’ve received so far,” said Public Services Director David Jones. “We expect the council to tell us how they want us to proceed, and that will guide us on future decisions.”