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HomeMy WebLinkAboutResolution No. 05-C0939 0 RESOLUTION NO. 05-C93 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA AMENDING THE SCHEDULE OF WATER RATES AND CHARGES FOR THE AZUSA LIGHT AND WATER DEPARTMENT. WHEREAS, pursuant to Section 78-36 and Section 78-37 of the Azusa Municipal Code, the rates and charges of the City of Azusa water utility are set by a Resolution passed by the Council; and WHEREAS, pursuant to Section 15079.1 of the guidelines for the implementation of the California Environmental Quality Act (CEQA) stipulates that the review provisions of CEQA do not apply to matters of government finance when the funds are for (1) meeting operating expenses; (2) purchasing or leasing supplies, equipment or materials; (3) meeting financial reserve needs and requirements; and (4) obtaining funds for capital projects necessary to maintain a service within existing service areas; and WHEREAS, the City of Azusa has a need to review the schedule of rates and charges for the City of Azusa's Water Utility; and WHEREAS, the City of Azusa has provided public notice by direct mail to each customer of the City of Azusa's Water Utility 45 days in advance of this public hearing to consider a 3% increase in water rates; and WHEREAS, the proposed revisions by nature pertain to government finance in meeting operating expenses and obtaining funds for capital projects necessary to sustain and maintain water service within existing service areas. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF AZUSA DOES HEREBY RESOLVE AS FOLLOWS: Section 1. The City's schedule of rates and charges for its Water Utility are hereby amended to read as on Exhibit A which is attached to this Resolution and made a part of it; and Section 2. The review provisions of the California Environmental Quality Act do not apply to these amendments; and Section 3. The amended rates and charges of the City of Azusa Water Utility shall take effect for all bills rendered on and after November 1, 2005; and E Ll Section 4. The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED AND ADOPTED THIS 17`h DAY OF OCTOBER, 2005. 1 HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Azusa at a regular meeting thereof, held on the 17' day of October, 2005 by the following vote of the Council: AYES: COUNCIL MEMBERS: HARDISON, CARRILLO, HANKS, CHAGNON NOES: COUNCIL MEMBERS: NONE ABSENT: COUNCIL MEMBERS: ROCHA 0 0 EXHIBIT "A" PROPOSED WATER RATE SCHEDULES Attached rates reflect a 3% increase where indicated by strikethroughs. OCTOBER 17, 2005 WATER RATE SCHEDULE EFFECTIVE NOVEMBER 1, 2005 (Adopted by Resolution No. 05-C93) The following schedule of rates is fixed and established as the rates to be collected by Azusa Light & Water for supplying water to its customers within the certificated service territories of the City of Azusa: A. METER SERVICE CHARGE: The basic monthly meter service charge for water supplied to domestic, commercial, industrial, and municipal customers of Azusa Light & Water shall be as follows: Service Size Monthly Charge 5/8" —3/, " $31.22 $11.56 F, 19.522 20.11 1.5" 35-85 36.93 2" 3732 59.04 3" 109.24 112.49 4" 176.48 181.77 6" 340.92 320.25 8" 449.78 463.27 10" 588.79 606.45 12" 735-83 757.90 EFFECTIVE 11/1/2005 Water Rate Schedule - 1 Water Rate Schedule (continued) B. COMMODITY CHARGE: The commodity charge is measured in increments of cubic feet. One cubic foot is 7.48 gallons of water. Each unit of water is billed as 100 cubic feet or 748 gallons. One hundred cubic feet is commonly referred to as CCF. Each meter size is allotted a quantity of water considered to be average for that size of service, units in excess of that allotment represents a heavier use of the facilities of the water system, and therefore are billed according to the commodity rate schedule. Service Size Units Rate (per CCF) 5/8" —3/,9'— 1" 0-17 cef $0.798 $0.822 > 17 cef $4-16 $1.30 1.5" — 2" 0-50 ccf $0.798 $0.822 > 50 ccf $1.30 3"- 4" 0-200 ccf $0.798 $0.822 > 200 ccf 6 1.30 6" —12" 0-600 ccf $0.798 $0.822 > 600 ccf $1.30 Golf Course $0.98 $1.01 C. MINIMUM CHARGE: The minimum charge shall be the monthly meter service charge. D. FIRE SERVICE CHARGE: Fire service connections are provided for fire protection only. If a fire service is used for any purpose other than for fire fighting, a minimum charge of 556:69 58.40 shall be assessed in addition to the commodity charge for the actual amount of water used. If a fire service customer uses a fire service for other than emergency fire fighting repeatedly, the customer, upon notice of the water utility manager, may be disconnected from service for violation of the intended use of a fire service connection. The Monthly Charge for such service shall be X94 $8.18 per pipe diameter -inch. EFFECTIVE 11/1/2005 Water Rate Schedule - 2 Water Rate Schedule (continued) E. LIFELINE RATE: Upon written application to Azusa Light & Water, a water customer who meets the following standards is eligible for a "9 $2.20 discount from the basic monthly meter service charge. The Lifeline Rate may only be extended to City of Azusa residents. 1. The customer must be either: a. 62 years of age or older; or b. Disabled within the definition of 20 C.F.R. 404.1505 and presently is receiving disability Social Security benefits. 2. The customer must be a resident of a single-family dwelling unit With a water meter no larger than 3/4". 3. The customer shall have been a water customer at the service address for at least the previous 12 months prior to the application for the lifeline rate. 4. The customer's household income is at or below 60% of the Los Angeles County median income level. 5. Low-income customers who qualify for the lifeline rate shall re -apply every 12 months. F. SPECIAL ZONE RATE: The City of Azusa Light & Water has defined a special distribution zone rate to recover costs identified with the service associated with that specifically designated service area. For water supplied to this defined area, the charges shall be double the above applicable rates. The area was specifically designated through an agreement between the City of Irwindale and the City of Azusa, wherein, the City of Irwindale requested the City of Azusa extend its water utility service into the City of Irwindale in order to provide water service to those special customers in the City of Irwindale. This rate applies to water customers with accounts specially coded for that purpose. EFFECTIVE 11/1/2005 Water Rate Schedule - 3 Water Rate Schedule (continued) G. MULTIPLE DWELLING UNIT CONNECTION RATE: If one meter connection serves two or more separate dwelling units, stores, shops or other concerns doing business separate and apart from each other, whether in the same building or not, the first unit is charged the basic meter service charge, billed by the meter size rate; all additional units, stores, shops or other concerns are billed at the lowest meter service charge rate above. H. REPLACEMENT WATER COST ADJUSTMENT FACTOR (RWCAF): The Replacement Water Cost Adjustment Factor has been established to recover the costs of imported water required to fulfill the water systems requirements under the judgment of the adjudication of the Main San Gabriel Basin Watermaster. Each year in May the Main San Gabriel Basin Watermaster recommends to the Superior Courts of California the adoption of a basin safe yield. Said safe yield fluctuates annually from a historic low of 140,000 acre feet of allowable extraction to a historic high of 230,000 acre feet of extraction. This variable results in fluctuations of purchased imported water requirements for the City of Azusa. When the safe yield is high, the RWCAF is reduced, and when the safe yield is low the RWCAF is set higher. The Azusa Light & Water shall determine the RWCAF pursuant to the following methodology prior to the beginning of each year for the City of Azusa's water system. The Director of Utilities shall notify the City Council of the new RWCAF. It shall be applied to all water bills beginning the first billing cycle of the new fiscal year. 1. Determine Azusa's Integrated Production Rights (R) for the following fiscal year based on the Safe Yield declared by the Main San Gabriel Basin Watermaster in the spring of each year. 2. Project Azusa's total water production (P) based on estimated sales (S) in units (CCF) of water, for the following year. 3. Derive the amount of Replacement Water (W) required by subtracting (R) from (P). 4. Derive costs ($) associated with (W) from the Main San Gabriel Basin Watermaster which include replacement water costs from the responsible agencies, administrative charges and in lieu.fees. 5. Derive RWCAF by dividing ($) by (S). 6. If the RWCAF is less than $0.01/CCF, then apply $0.01/CCF commencing in July until the month ($) is attained, than discontinue the charge. EFFECTIVE 11/1/2005 Water Rate Schedule - 4 Water Rate Schedule (continued) Nothing in this section is meant to preclude the Director of Utilities from practicing sound ground water management activities. Each year the RWCAF is set independent from cyclic storage and conjunctive use of ground water which is managed separately, and for the benefit of the public utility. I. WATER SYSTEM DEVELOPMENT FEE: The City of Azusa adopted an Ordinance in 1988 creating a Water System Development Fee. The City Council determined that future development within the water system service area would result in increased demands that would exceed the capacity of the existing water system. The Water System Development Fee was created to fund the cost of the future water system improvements and is imposed upon future development within the water system service area. Land Use Category Development Acres Per Acre $ Per Unity/SF/AC Residential Single -Family 620 $8,903.00 $1,483.90/Unit Residential Multi -Family 38 $15,207.00 $950.45/Unit Commercial -Low 958 $6,824.00 $0.68/SF Industrial 667 $7,344.00 $0.29/SF School 8.7 $5,751.00 $5,751.00/AC Park 184 $2,632.00 $2,632.00/AC J. WATER SYSTEM ANNEXATION FEE: The City of Azusa adopted an Ordinance in 1996 creating a Water System Annexation Fee to allow properties outside the existing service area to be served by the existing water system. Land Use Category Development Acres Per Acre $ Per Unity/SF/AC Residential Single -Family 620 $3,879.00 $646.57/Unit Residential Multi -Family 38 $6,626.00 $414.13/Unit Commercial -Low 958 $2,973.00 $0.29/SF Industrial 667 $3,200.00 $0.12/SF Park 184 $1,147.00 $1,147.00/AC School 8.7 $2,506.00 $2,506.00/AC K. CHARGES FOR OUTSIDE CITY LIMITS: For water supplied by Azusa Light & Water for use outside the incorporated limits of the City, the Charges shall be double the applicable rates within the incorporated limits of the City. EFFECTIVE l l/1/2005 Water Rate Schedule - 5 0 0 Water Rate Schedule (continue) L. FIRE SERVICE INSTALLATION CHARGE: Estimated fire service connection charges, including Double Detector Check for installation of fire protection laterals, includes labor, overhead, equipment and materials. The City will be responsible for installation of Double Detector Check assembly. In the event the estimated charge is more than the actual cost of installation, the applicant will receive a refund. If the deposit is less than the actual installation cost, the applicant will be billed for additional charges. Lateral Size Total Deposit 10" x 6" $ 6,800 10" x 8" $ 7,900 12" x 6" $ 8,600 12" x 8" $ 8,600 10" x 10" $10,000 M. FIRE HYDRANT INSTALLATION CHARGE: Estimated fire hydrant installation charge for installing fire hydrants will include labor, overhead, materials and equipment. In the event the estimated charge is more than the actual cost of installation, the applicant will receive a refund. If the deposit is less than the actual installation cost, the applicant will be billed for additional charges. Materials/Labor Total Deposit 12" Main or less $5,000 EFFECTIVE U/1/2005 - Water Rate Schedule - 6 Water Rate Schedule (continued) N .7 DOMESTIC METER INSTALLATION CHARGE: Charges for installation of meters include labor, equipment and materials and overhead. An estimate of installation charges Will be determined by the Utility and a deposit in that amount will be required prior to commencement of installation. In the event the estimated charge is more than the actual cost of installation, the applicant will receive a refund. Should the deposit be less than the actual installation cost, the applicant will be billed for the additional charges. RESIDENTIAL SERVICE WITH FIRE SPRINKLER SYSTEM: The following three rate components shall be applied to residential properties that are required to have fire sprinkler systems, where such properties: (1) have lot sizes less than one-quarter of an acre (10,890 square feet); and (2) have an actual meter service that is larger than 1". Monthly Charge 1. Meter Charge: $ 19.52 20.11 2. Commodity Charge: Units (ccf--100 cubic feet) 0-17 cef >17 ccf Fire Service Charge: $7:94 $8.18 per pipe diameter inch EFFECTIVE I I/1/2005 Rate (per ccfl $0.798 $0.822 1.30 Water Rate Schedule - 7