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HomeMy WebLinkAbout2006-064 Irrigation Utility Service Charges & Rates; YMC Amendment 7.24.100 and 7.24.110 A ORDINANCE NO 2006 -64 AN ORDINANCE relating to irrigation utility service charges and exemptions, amending the annual irrigation operation and maintenance charges, deleting exemption provisions that will not be renewed after expiration in November, 2006 and amending the rate effective date, and amending sections 7.24 100 and 7.24 110 of the City of Yakima Municipal Code BE IT ORDAINED BY THE CITY OF YAKIMA. Section 1. Section 7.24 100 of the City of Yakima Municipal Code is hereby amended to read as follows. "7.24.100 Annual rates and charges. A. Annual charges shall be calculated as a function of the total square footage ( "TSF ") of each lot, tract, or parcel served. This annual charge is comprised of the following components. Operation and Maintenance ( "O &M ") charge = $0 0145 x TSF, January 1, 2008 Operation and Maintenance ( "O &M ") charge = $0 0152 x TSF, January 1, 2009 Operation and Maintenance ( "O &M ") charge = $0 0161 x TSF, January 1, 2010 Operation and Maintenance ( "O &M ") charge = $0 0170 x TSF Capital Improvement Program ( "CIP ") charge = $0 0140 x TSF B All moneys billed and collected pursuant to this section shall be deposited in the irrigation operating fund pursuant to YMC Section 3 112.020 Section 2. Section 7.24 110 of the City of Yakima Municipal Code is hereby amended to read as follows. "7.24.110 Effective date for rates. The rates set forth in YMC Section 7.24 100 shall become effective on February 1, 2007 and shall remain in effect until amended by action of the city council." Section 3. 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, signed and approved this 12th day of December, 2006 A 1.4.1,4, ATTEST David E • - a or Y _ CT1CIerk Publication Date. 12 -15 -06 Effective Date 1 -14 -07 (jc)ord /Irrigation Charges 1 , 4 BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No 17 * 8 For Meeting Of 12/12/2006 ITEM TITLE 2007 to 2010 Irrigation 0 & M Rate Adju- ment SUBMITTED BY Dave Zabell, Assistant City Manager Dave Brown, Water /Irrigation Manager 4 .) Rita Anson, Finance Director CONTACT PERSON/TELEPHONE Dave Brown, 575 -6204 SUMMARY EXPLANATION Council discussed the proposed Irrigation Operation & Maintenance (0 & M) rate increase policy issue at the November 14, 2006 budget review session At the December 5, 2006 Council meeting the Irrigation 0 & M rate increase policy issue was approved to increase 0 & M Rates by 5 5% for the next four years. The proposed adjustments will increase rates for 0 & M from $0 0137 per square foot to $0 0145 per square foot on February 1, 2007, to $0 0152 per square foot on January 1, 2008, to $0 0161 per square foot on January 1, 2009 and to $0 0170 per square foot on January 1, 2010 Revenues are estimated to increase by approximately $66,000 in 2007, by $69,500 in 2008, by $69,700 in 2009 and by 69,800 in 2010 This ordinance removes the 0 & M rate exemption that Council enacted on October 18, 2005, which had a one year sunset clause The principal considerations in increasing the irrigation rates were to establish rates for customers that generate sufficient revenues to bring the Utility into balance without level of service reductions and are reasonably commensurate with the cost of providing water service Other considerations in designing rates included ease of implementation and a phase -in strategy to lessen the financial impact on irrigation utility customers. Resolution _ Ordinance X Contract Other (Specify) Funding Source All Irrigation Customers APPROVED FOR SUBMITTAL. ��� A City Manager STAFF RECOMMENDATION Staff respectfully requests City Council to enact the accompanying ordinance BOARD /COMMISSION RECOMMENDATION COUNCIL ACTION Ordinance passed. ORDINANCE NO. 2006-64