From
Ron McCuller
Title
Ordinance amending the Code of Ordinance, Chapter 26, "Utilities and Services" relating to fees for water, wastewater and stormwater utilities.
Presenter
Ron McCuller, Public Works Director
Recommend Action
Approve
Analysis
A cost of Service and Rate Study has been conducted and determined the necessary water and wastewater rates necessary to continue to provide such services to the community in compliance with Federal and State regulations as well as community standards. The rates represent an average increase of 4.00% with the increases generally uniform across all rate classes.
On July 26, 2012 the Finance and Government Committee, as well as on August 24, 2012 at the Budget Workshop the City Council reviewed the rate proposal and recommends the rate changes as recommended and set forth below.
Financial Consideration
The rate changes contained in this ordinance are expected to generate $2,098,496 in additional revenues for the City.
Body
AN ORDINANCE AMENDING CHAPTER 26, "UTILITIES AND SERVICES" OF THE CODE OF ORDINANCES OF THE CITY OF GRAND PRAIRIE, TEXAS BY CHANGING VARIOUS SECTIONS OF ARTICLES II AND III THEREOF, RELATING TO CHARGES FOR WATER, WASTEWATER AND STORMWATER UTILITY FEES; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH; AND TO BECOME EFFECTIVE OCTOBER 1, 2012.
WHEREAS, The Water and Wastewater Systems of the City are supported by revenues from an enterprise fund dedicated to support of these utility systems and;
WHEREAS, A cost of service and rate study has been conducted to determine costs and necessary rates to be charged in order to continue to provide water and wastewater services as required and;
WHEREAS, The City Council Finance and Government Committee has reviewed the proposed rates, concurs with, and recommends the rates set forth herein and;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1: THAT Article II, Chapter 26 of the Code of Ordinances, Section 26-23, Section 26-24, Section 26-25, Section 26-26, Section 26-29 and Section 26-30, and that Article III, Chapter 26 of the Code of Ordinances, Section 26-32 and Section 26-33 are amended by changing the charges for provision of municipal utility services as set out herein which are to become effective October 1, 2012.
Sec. 26-23. - Water rates.
A. Monthly charges. The water rates to be charged and collected by the city from all customers obtaining service from the waterworks system of the city shall be and are hereby fixed as follows:
Quantity |
Classification |
Rate |
Per 1,000 gallons, total usage 3,000 gallons or less |
Residential |
0.12 |
Per 1,000 gallons, if total usage more than 3,000 gallons, |
|
|
up to and including 20,000 gallons |
Residential |
3.29 |
Per 1,000 gallons, all quantities over 20,000 gallons |
Residential |
5.65 |
Per 1,000 gallons |
Commercial |
3.31 |
Per 1,000 gallons |
Industrial |
3.31 |
Per 1,000 gallons |
Governmental |
2.97 |
Minimum Fixed Charges Based on Meter Size |
|
⅝˝ or ¾˝ |
11.52 |
1˝ |
14.82 |
1¼˝ |
17.73 |
1½˝ |
19.24 |
2˝ |
30.44 |
3˝ |
94.40 |
4˝ |
117.05 |
6˝ |
175.47 |
8˝ |
244.21 |
10˝ |
254.80 |
12˝ |
268.11 |
B. Additional units. A meter charge as applicable per month for water services furnished shall be made for the first water connection made to quarters upon any premises and a unit charge of two dollars and thirty-five cents ($2.35) per month shall be made for each additional unit on such premises. The director of public works shall determine whether or not additional units exist on any premises.
Sec. 26-24. - Billing; delinquency; service restoration charges.
A. Water meters shall be read monthly and the consumer billed in writing, showing the amount of water consumed and the charges due by the consumer thereon; and such bill shall be due and payable within twenty-one (21) days from the rendition thereof. Such billing shall be deemed sufficient when sent to the last known address of the consumer. If such bills are not paid within thirty-five (35) days after the date of mailing thereof, water service shall be discontinued as to such nonpaying consumer and shall not be renewed until the full amount of said bill has been paid. In any addition, any consumer whose service has been discontinued shall pay a service restoration fee before such water service shall be restored. Said service restoration fee shall be:
Turned off $40.00
Turned off and locked 50.00
Turned off and meter pulled 75.00
Meter pulled and customer connects jumper 100.00
If service is restored between the hours of 8:00 a.m. and 5:00 p.m. on Monday to Friday, inclusive, of any week and shall be thirty dollars ($30.00) additional if made at any other time. In any case, where the water bill duly owing is paid by a check or electronic debit which does not clear the bank upon which it is drawn in a normal manner, a charge of twenty-five dollars ($25.00) shall be paid at the time said check is redeemed. If the check is not redeemed in the specified time, and the water is disconnected, the above service restoration charges shall apply.
B. There shall be a field service collection charge of twenty dollars ($20.00). A field service collection charge shall arise whenever any officer, agent or employee of the city collects, or attempts to collect, the amount in delinquency, at the location where the delinquency arose, during normal business hours. The thirty dollar ($30.00) charge in subsection (a) is applied for collections or collection attempts made in the field after normal business hours
C. Effective January 1, 2011, if payment is not received and processed within five (5) days of the due date, a late fee shall be assessed and applied to the bill. The late fee shall be 7.5% of all current charges, excluding tax and charitable contributions.
Cross reference-Meter reinstallation charge after removal for commission of offense, § 26-2.
Sec. 26-25. - Water service rates at building construction sites (not taken through a fire hydrant).
Until such time that a water meter may be installed to accurately measure all water usage at any construction site, the builder or developer shall pay the following charge per month or part thereof, based on the square footage of construction per structure. Charges begin on the date the taps fees are paid and billed each month until the permanent meter is installed.
|
Square Feet |
Amount |
|
Less than 2,500 |
39.03 |
|
2,500 to 7,499 |
78.06 |
|
7,500 to 19,999 |
187.34 |
|
20,000 to 49,999 |
562.05 |
|
50,000 to 99,999 |
967.97 |
|
Over 100,000 |
1,444.18 |
Sec. 26-26. - Stormwater utility fees.
(a) There shall be a fee on each monthly utility statement for the municipal stormwater utility system. The city manager is authorized to collect such fees in a manner consistent with this chapter, the City Chapter [Charter], and state law. The storm water utility fee will be a separate line item on the utility statement and shall be clearly identified as a separate fee.
(b) The following rates per month are hereby established:
(1) Residential accounts.
Each separately metered residential account serving a residence with house and additions footprint up to 1,000 square feet, per account $1.50
Each separately metered residential account serving a residence with house and additions footprint from 1,001 square feet to 2,500 square feet, per account $3.76
Each separately metered residential account serving a residence with house and additions footprint above 2,501 square feet, per account $4.35
Mobile homes with residential units which are not separately metered, per residential unit $1.50
Duplex, tri-plex, four-plex and multifamily with residential units which are not separately metered, per residential unit $2.89
(2) Nonresidential accounts.
The rates shall be calculated using a charge of one thousand one hundred fifty-five ten thousandths of a dollar ($.1155) per one hundred (100) square feet of impervious area according to the following formula:
Storm water Utility Fee (SWUT Fee) = (Total impervious Area) X (Rate)/100
(a) In the event that a site has multiple meters and multiple tenants, the impervious area of the common area of the site is divided between the tenants proportionately according to the building size as a percentage of the common area.
(b) Except as otherwise provided by this article, billing, fees and collection procedures shall be consistent with that of the water and sewer services.
(c) Storm water fees shall be identified separately on the utility billing. Billing shall be consistent with V.T.C.A., Local Government Code § 402.048.
(d) Delinquent fees shall be collected in a manner consistent with V.T.C.A., Local Government Code § 402.050.
(e) Where the City does not bill water, sewer or solid waste to a customer/Owner, the City is here by authorized to establish a "Storm Water Utility Only Account" and to bill the Storm Water Utility Fee to either the Customer or Owner.
(f) If the calculation for nonresidential accounts results in a fee of less than five dollars ($5.00), then a five dollar ($5.00) minimum bill designation is applied.
(g) The city may grant exemptions from the storm water fee pursuant to V.T.C.A., Local Government Code § 402.053.
(h) From time to time, the city manager or his designee(s) shall adopt rules for the administration of the storm water fee subject to council approval. These rules shall include a process for the appeal of the storm water fee as it is applied to an individual property.
Sec. 26-29. - Raw water rates.
Untreated water taken from the city's contracted water rights in Joe Pool Lake shall be metered by a meter approved by the director of public works or designee and charged at six dollars fifty two cents ($6.52) per one thousand (1,000) gallons and a monthly administration fee of ninety dollars seventy seven cents ($90.77).
Sec. 26-30. - Water taken from fire hydrants.
Water taken from the city's fire hydrants, other than that used by the various municipal departments for authorized purposes such as fire fighting, street cleaning and system flushing, shall be metered by an approved meter obtained from the public works department, possessing a City of Grand Prairie logo and backflow prevention device. A refundable deposit of one thousand dollars ($1,000) shall be charged. Water taken from fire hydrants shall be charged at a rate of six dollars fifty two cents ($6.52) per one thousand (1,000) gallons and a monthly administration fee of ninety-four dollars forty cents ($94.40).
Sec. 26-32. - Wastewater Service charges.
A. Monthly charges. The wastewater service rates to be charged and collected by the city from all customers obtaining services from the wastewater system of the city shall be and are hereby fixed as follows:
Quantity |
Classification |
Rate |
Per 1,000 gallons |
Residential |
3.22 |
Per 1,000 gallons |
Commercial |
3.91 |
Per 1,000 gallons |
Industrial |
3.91 |
Per 1,000 gallons |
Government |
3.46 |
Minimum Fixed Charges Based on Meter Size |
|
⅝˝ or ¾˝ |
10.50 |
1˝ |
11.37 |
1¼˝ |
13.26 |
1½˝ |
13.82 |
2˝ |
15.85 |
3˝ |
23.46 |
4˝ |
31.13 |
6˝ |
48.31 |
8˝ |
68.36 |
10˝ |
87.50 |
12˝ |
98.04 |
(1) Residential: Gallons of wastewater shall be based on average water usage during the months of November, December, January and February of each fiscal year (cold months' usage). For customers with all four (4) months billing history, the highest usage month may be dropped for the purpose of computing the winter average. Customers moving within or into the city will be billed at eighty (80) per cent of their current water consumption until a cold weather months' average is established. Those persons who reside in single-family residences shall pay a maximum of forty-nine dollars nineteen cents ($49.19) until usage is established. Wastewater billing shall be the lower of the current month's usage or cold months' usage.
(2) Commercial/Industrial/Governmental: Gallons of wastewater shall be billed based on water consumption multiplied by a factor of eighty hundredths (0.80), unless the director of public works determined that an unusual condition exists that would cause wastewater discharges to be unusually high. In such cases, the director may require that a wastewater meter be installed at the customer's expense. Said meter shall be installed pursuant to plans and specifications approved by the Director of Utilities, be installed in an approved location, be calibrated annually, and a certified calibration statement for said meter be annually provided to the City, and have a totalization device. The aforementioned calibration shall be witnessed by a representative of the Director of Public Works. In the event that a meter which measures the wastewater ceases to function properly, the volume shall be determined by immediately reverting to reading the water consumption, and using that volume for determination of sewage volume. If the Director finds that it is not practicable to measure the quantity of sewage by the aforesaid meters, he shall determine the quantity of the sewage in any manner or method he may find practicable in order to arrive at the percentage of water entering the sanitary sewer system of the City to determine the sewer service charge.
(3) Connection to quarters on premises: A minimum charge of three dollars eleven cents ($3.11) per month shall be made for each connection made to quarters upon premises.
(4) Additional units: In all cases where more than one (1) unit, whether residential, commercial, industrial or governmental, is supplied with water measured through a single meter, and the wastewater service charges made in connection therewith, not less than the minimum charge shall be made for each unit supplied water through such meter. The director of public works shall determine whether or not additional units exist on any premises.
(5) When city does not supply water: The charges set forth above are based upon the amount of water used as measured by a single meter in increments of one thousand (1,000) gallons. Where the water is furnished to single-family residential customers by a source other than the city, the monthly charge for wastewater service shall be a flat rate of twenty-seven dollars forty four cents ($27.44) or estimated otherwise by adding to the base wastewater charge an amount determined by multiplying the number of persons per household by the average gallons per capita per day for water use inside the home (as calculated annually by the utility) times 30.42 days divided by 1,000 times the current wastewater charge per 1,000 gallons. All other customer classes connected to the sanitary sewer who have a source of water supply must have a meter approved and tested by the public works department on that source of water supply, and the volume charge as set forth hereinbefore, shall be based on the sum of the volumes delivered by all sources of supply. In order to utilize the alternate methodology to estimate the flat rate, the customer must furnish the number of persons in the household and update such upon request by the City.
B. Reserved.
C. Reserved.
D. Outside city: The rates to be charged for sewer service to all persons, firms or corporations by the city at locations outside the city limits of said city shall be negotiated under a separate contract.
Cross reference-Industrial waste charges, § 26-57.
Sec. 26-33. - Billing; delinquency.
A. The provisions of Article II, Section 26-24 shall apply to wastewater charges as well.
Cross reference-Authority to disconnect service, § 26-61.
Sec. 26-34. - Wastewater tap and impact fee installment payments.
A. The director of utility services is authorized to add installment payments to monthly wastewater service charges or otherwise receive payment of tap and/or impact fees necessary for obtaining wastewater service for residential property to the city's wastewater collection system for a length of time determined by the director of public works, not to exceed five (5) years.
B. In order to obtain service by payment of installments, the owner of the residential property must agree to and sign a promissory note and lien prepared by the city attorney, with the following stipulations:
(1) The amount of each installment.
(2) Water and wastewater service may be discontinued to the property upon nonpayment of any scheduled installment.
(3) A lien be placed on the property superior to all other liens except a bona fide first mortgage lien and tax liens recorded prior to the recording of the city's lien in the deed or lien records in the county in which the property is located.
C. Interest added to the amount financed shall be up to the interest rate paid by the city on its current line of credit.
Sec. 26-35. - Service rate classification.
For the purpose of applying service rate classifications to individual accounts, the following definitions shall apply. The director of public works shall determine the appropriate rate classification for each account:
Residential - Single and multifamily properties used primarily for residential purposes.
Commercial - Entities engaged primarily in the sales of goods or services or other nonmanuafcturing commercial uses.
Industrial - Entities engaged primarily manufacturing, fabrication or assembly of products.
Governmental - Properties owned or operated by City, County, State or Federal governments, as well as properties owned or operated by public school or community college districts.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 18th DAY OF SEPTEMBER, 2012.