HomeMy WebLinkAbout2007-067 Domestic Water Service Rates, Charges, Terms and Conditions; YMC Amendment f
ORDINANCE NO. 2007-__
AN ORDINANCE establishing rates, charges, terms and conditions for domestic water
system service, amending sections 7 68 043, 7 68.250 and 7 68.282
of chapter 7 68 of the City of Yakima Municipal Code, and providing
' for an effective date
WHEREAS, RCW 35 92.010 authorizes cities to own and operate water utilities, and
to regulate and control the use, distribution, and price for water utility service, and
WHEREAS, Article IX, Section 1 of the City Charter of the City of Yakima authorizes
the City Council to provide by ordinance rules and regulations for the control, management
and operation of all public utilities owned and operated by the City; and
WHEREAS, the City Council has established rates and charges for domestic water
service through the enactment of Yakima Municipal Code (YMC) chapters 7 68 and 7 75,
and
WHEREAS, the consulting firm of Financial Consulting Solutions Group, Inc has
completed a "2007 Domestic Water Utility Rate Study Report" for the City of Yakima, and
WHEREAS, the City Council finds and determines that the rates, charges, terms and
conditions for domestic water utility service set forth in this ordinance are fair, just and
reasonable, and
WHEREAS, the City Council finds and determines that adoption of this ordinance is in
the public interest; now, therefore,
BE IT ORDAINED BY THE CITY OF YAKIMA:
Section 1. Section 7 68 043 of Chapter 7 68 of the City of Yakima Municipal
Code is hereby amended to read as follows
"7.68.043 Service installation charges.
A— Applicants for new water service installations shall pay to the director of finance and
budget or his /her designee the installation charges as provided below which payment shall
be made prior to such installation being commenced
Three - quarter -inch service pipe with five - eighths -inch by three - quarter -inch or full three -
quarter -inch meter $8851,285 00
One -inch service pipe with one -inch meter 9351,325 00
The installation charge for a new water service where a meter larger than one -inch diameter
is to be installed or the service line is larger than one -inch shall be an amount adequate to
Page 1 of 5 pages
1 pay all costs of materials d,. installation and surface restoration as computed by the
water /irrigation manager or his /her designee "
Section 2. Section 7 68 250 of Chapter 7 68 of the City of Yakima Municipal
Code is hereby amended to read as follows
"7.68.250 Water services charges.
1 A. From February 1, 2005 -2008 through December 31, 20052008, the charge for domestic
water supplied within the City of Yakima shall consist of a ready -to -serve charge and a
charge for water consumed. Ready to serve charges are as follows.
Ready -to -Serve
Charges:
Meter size Charge per Two -
Month Period
3/4" and smaller $6
1" 10.6712.67
11 -1/2" I 18.2322.26
2" 27.3033.30
3" I 48.4659.06
14" 78.6995.83
6" 151.27187.74
8" 305.42371.62
10" 156.57555.46
12" 1 668:-44812.88
Charges for water consumed are as follows, expressed in rates per UOC, where "UOC"
means Unit of Consumption and equals 100 cubic feet of water
UOC Rate Per UOC
1 0-250 1 4426
1 Over 250 0:651.18
1 B For calendar years 2006 -2009 and beyond, the charge for domestic water supplied within
the City of Yakima shall consist of a ready -to -serve charge and a charge for water
consumed, as follows
Page 2 of 5 pages
Ready -to -Serve Charges per Two -Month Period
I Meter size 20062009 20072010 20082011 20092012
Jan 1 Jan 1 Jan 1 Jan 1
and beyond
%" and smaller I 8,259.79 9:0010.42 9:3511.04 9,7012.00
1" 12.0413.57 42.6014.47 1 43.0815.33 I 43.4916.18
1-1/2" 20.5722.94 25824.52 22.3525.95 22- 9627.33
2" 30434.24 32.3536.62 334838.74 34.-3340.76
3" 54. 6960.60 57 :4964.89 59.4668.62 60.8672.12
4" 88,8498.25 93.40105.26196.56111.30 98-75116.91
6" 174.10192.31 183.17206.09 489 - 32217.90 49348228.79
8" 344.70380.52 3624407.89 3744431.22 382, 94452.68
10" 545.29568.68 1542.25609.62 560.36644.47 572.44676.50
12" 754. 12832.15 793.64892.09 82388943.08 83766989.91
Charge for Water Consumed per UOC
UOC 20062009 20072010 20082011 20092012
Jan 1 Jan 1 Jan 1 Jan 1
and beyond
0 -250 1.2029 1.2436 1 1.2344 1.2551
Over 250 I 1 0029 1 0736 I 1 4544 1.2551
C A one -month period is defined as water service from one day up to thirty one days. A two -
month period is defined as water service for thirty two days to two months
D The minimum charge for domestic water for a one month period for all meter sizes except
3 / inch shall be one half the two -month Ready -to -Serve charge above plus the charge for
three (3) UOC at the 0 —250 UOC rate above The s/ inch meter size minimum charge for
domestic water for a one month period shall be the 3 / inch two month Ready -to -Serve charge
above plus the charge for three (3) UOC at the 0 —250 UOC rate above The minimum
charge for domestic water for a two month period for all meter sizes shall be the two -month
Ready -to -Serve charge above plus the charge for six (6) UOC at the 0 —250 UOC rate
above
E All charges for water supplied outside the city shall be computed by multiplying the
applicable rates set forth in paragraphs A through D of this section by one and one -half
Page 3 of 5 pages
F Home Kidney Dialysis A residential customer who undergoes kidney dialysis at his or her
home, or whose home is also the home of a different person who undergoes home kidney
dialysis, shall not be required to pay utility charges for domestic water service or sewer
service for the quantity of water that is necessary for the home dialysis In order to be
excused from utility charges under this subsection, the residential customer must present to
the director of finance and budget or their designee written documentation annually from a
recognized kidney dialysis center certifying that the person requires dialysis and the quantity
of water needed for that person's dialysis."
Section 3. Section 7 68.282 of Chapter 7 68 of the City of Yakima Municipal
Code is hereby amended to read as follows
"7.68.282 Fire service charges.
The bi monthly charge for each fire service shall be as follows
1 A. Charges within the City of Yakima commencing February 1, 20052008
Size of Feb. 1 — Dec. 20062009 20072010 20082011 20092012
Service 31, 2005 -2008 Jan 1 Jan 1 Jan 1 Jan 1
and beyond
2" 5.2576 5 5076 5 7576 6 00 6 00
3" 7.358.06 7.708.06 8.0506 8.40 8 7576
4" 11.5514.10 42 4014.88 12.6515.72 43.2016.60 13.7517.54
6" including 27. 3041.44 28.6043.78 29- 9046.26 34,2048.84 32:5051.56
hydrant only
8" 36.7588.26 II 38.5093.24 /10.2598.50 42.00104.00 II /13.75109.82
10" I 63.00158.70 66.00167.66 69.00177.12 720187.00 1 75.00197.46
12" 457.50256.48 465-00270.96 172.50286.26 480.00302.30 187.50319.121
B Charges for fire services outside the city limits shall be computed by multiplying the
applicable rate above by one and one -half
C The inside diameter of the pipe leading to a fire hydrant shall determine the service
charge Any fire hydrant installed and maintained by the city outside of city limits will be billed
as a fire service, which charge shall be terminated at such time as the responsible
consumer's property is annexed to the city "
Section 4. If any section, subsection, paragraph, sentence, clause or
phrase of this ordinance is declared invalid or unconstitutional for any reason, such
decision shall not affect the validity of the remaining portions of this ordinance
Page 4 of 5 pages
Section 5. This ordinance shall be in full force and effect 30 days after its
passage, approval, and publication as provided by law and by the City Charter
PASSED BY THE CITY COUNCIL at a regular m- = ing and si • ed d approved this
11th day of December, 2007 ,
David Edler, Mayor
ATTEST
/6121;erksa-A,
Deborah Moore, City Clerk
Publication Date 12/ /07 (ordinance certification)
Effective Date 1 Wins
Page 5 of 5 pages
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. ` ' 2 Z
For Meeting Of 12/11/2007
ITEM TITLE. Water Rate Adjustment Ordinance
SUBMITTED BY Dave Zabell, Assistant City Manager
Dave Brown, Water/Irrigation Manager
CONTACT PERSON/TELEPHONE. Dave Brown / 575 -6204
SUMMARY EXPLANATION The 2007 Domestic Water Utility Rate and Cost of Service Study
completed in October 2007, demonstrated the need for increases in the City's water rates. Council
held a study session on October 9, 2007 where they discussed the study and it's conclusions, accepted
public comment, and provided feedback to staff with regard to the report. The study was revised on
October 19, 2007 to reflect input from the October 9th Study Session.
On November 20, 2007 Council held a Public Hearing on the proposed 2008 Budget, which included
the proposed rate adjustments, and on November 27, 2007 Council held a Public Budget Review
Session on the Water/Irrigation 2008 Budget and Policy Issue where comments from the public about
the Domestic Water Utility Rate Study and proposed new rates were accepted.
Continued on next page
(continued on next page)
Resolution _ Ordinance X Contract Other (Specify)
Funding Source All Water Customers
APPROVED FOR SUBMITTAL. , / <<r_�
.,i ity Manager
STAFF RECOMMENDATION Staff respectfully requests City Council to enact the
accompanying ordinance.
BOARD /COMMISSION RECOMMENDATION
COUNCIL ACTION Pass Ordinance
The principal consideration in establishing the water rates is to establish customer rates which
generate sufficient revenues to support the Utility and are reasonably commensurate with the cost of
providing water service. Other considerations in designing rates included ease of implementation,
impact on customer bills, and incentives for water conservation. These rates also focused on
developing a phase -in strategy to more closely align the fixed and variables components of the rate
structure with cost of service, and to continue the City's policy to transition from a declining block rate
structure to single uniform volume rate.
At the December 4, 2008 Council Budget Wrap -up Session Council selected Option "C" from the 2008
Policy Issue. The proposed water rate adjustments are:
A rate strategy of equal annual rate increases of 5.5 over the five -year forecast period of 2008 through
2012. The 2008 rate schedule would become effective February 1, 2008, subsequent rate increases
approved by this legislation would be effective on January 1 of each year
Rates were designed in accordance with the City's policy to maintain an appropriate balance between
the fixed and volume rate components and to transition from a declining block volume rate structure
to a uniform block rate structure by 2009 If approved, this legislation would result in a bi- monthly
increase of approximately $0.93 in 2008 for a typical single family residential customer (3/4 -inch meter)
using 15 units of consumption or 11,220 gallons of water over the same period.
This ordinance also increases the three- quarter and one inch water service installation fees. Three -
quarter inch service is increased to $1,285.00 and the one inch service is increased to $1,325.00. This
increase in fees more accurately reflect the cost to the Utility to provide these services, and is more
appropriately apportioned to the applicant than spread as a cost to the general rate base.