SOUTH COAST WATER DISTRICT

Transcription

1 SOUTH COAST WATER DISTRICT ORDINANCE NO. 215 An Ordinance of the Board of Directors of South Coast Water District Reestablishing Rates, Fees and Charges applicable to Customers for Water Services and Facilities and Sanitary Sewer Collection, Treatment and Disposal Services and Facilities, Continuing Water and Sewer Standby Charges, Continuing Certain Miscellaneous and Delinquent Charges, Conditions of Service and District Annexation Fees, for the Period Commencing August 1, 2013 and thereafter until Repealed, and Repealing Certain Ordinances inconsistent herewith WHEREAS, the Board of Directors has determined that it is necessary to reestablish the District s rates, fees and charges for water and sanitary sewer services, certain miscellaneous and delinquent charges, as the same have previously been set forth in District Ordinances 213, 212, 208, 197, 196 and 194 ( Rate Change); WHEREAS, the Rate Change will provide needed revenue to the District for the provision of (i) water services and facilities, and (ii) sanitary sewer collection, treatment and disposal services and facilities, and (iii) for the protection of public health and safety; WHEREAS, the Board of Directors adopts findings in support of the rates, fees and charges set forth in this Ordinance No. 215 as follows: The Board of Directors of South Coast Water District does hereby FIND: A. The South Coast Water District ( District ) has set and restructured rates from time to time as set forth in District Ordinances 213, 212, 208, 197, 196 and 194 for the purposes of collecting revenue necessary to fund but not exceed the reasonable costs of capital improvements, maintenance, and operating expenses of the District s water and sewer operations and facilities; and B. Imported water provides 75% of the water supply delivered to District customers. The District has anticipated the steadily rising cost of imported water due to annual cost increases that have been levied by its wholesale water supplier (anticipated a 5% increase per year going forward for the next several years); and C. Beginning in April 2013, the District has conducted a full revenue needs analysis for operating and capital programs as reflected in the 2013/2014 Budget as adopted at Board meetings held April 24 and June 27, 2013, and as a result, the District has modeled the revenues needed from customers within each class of service to pay the fixed and variable costs associated with providing service (the model having been provided in previous years by an independent financial and engineering consulting firm following objectives set by the District s Board to establish an inclining block Ord. 215 V1 1

2 rate structure, encouraging conservation of water and set in accordance with industry standard rate principles of the AWWA, hereinafter the Rate Study );; and D. On April 29, 2013, the District Board of Directors reviewed the projected results of the Rate Study, which addressed the financial requirements of the District based on fixed and variable costs, and said report identified the structure, and required rates, fees and charges for water and sanitary services; and E. On April 29, 2013, the District Board directed staff to proceed to notify the customers and community within the District s service area that the District Board would consider rate changes as proposed in the Rate Structure Study; and F. On June 7, 2013, notices were mailed to property owners and bill payers announcing the availability for review of a public report on the proposed water and sewer service charges per parcel ( Rate Notices ); and G. On June 26, 2013, 25 persons attended the community information forums, obtaining information and providing comments and responses to the proposed water and sewer service charges; and H. The Rate Notices identified the reasons for the rates, fees and charges and advised customers of community informational forums held on June 26, 2013, and a public hearing held on July 25, 2013 to receive and review comments and protests on the proposed water and sewer service charges; and I. On July 25, 2013 the Board received comments during the Public Hearing and following discussion, the matter was continued to a Board Meeting on July 29, 2013; and J. On April 24 and June 27, 2013, the Board of Directors approved the Capital and Operations Budget for the period beginning July 1, 2013 (the Budget ), which sets forth the financial requirements of the District, which may from time to time be revised by action of the Board of Directors; and K. The requirements for revenues set by this Ordinance 215 are detailed in the Budget, and the revenues derived under the provisions of this Ordinance will be used for the acquisition, construction, reconstruction, maintenance, and operation of water service and facilities, and sanitary sewer collection, treatment and disposal services and facilities of the District; to repay principal and interest on debt instruments, and/or to repay federal or state loans for the construction and reconstruction of said water and sewerage facilities, together with costs of administration, miscellaneous expenses and provisions for necessary reserves; and L. The properties upon which the water and sanitary sewer fees established by this Ordinance are levied, will place demand on the water supply system and discharge wastewater to the District s collection, treatment and disposal facilities, and the costs of operating and maintaining said facilities have increased due in part to increased regulatory limitations and requirements to upgrade the supply and distribution system and the collection and treatment process; and that said costs will exceed the amounts of any Ad Valorem tax revenues derived from said property; and Ord. 215 V1 2

3 M. The standby charges imposed by previous District Ordinance 188 shall continue as set forth herein, the same standby charges are grandfathered having been originally set by District Resolution No /98 and District Ordinance 185 (and later restated in Ordinances 194, 196 and 197); and N. The standby charges of the District are deemed assessments pursuant to California Constitution Article XIIID. The standby charges comply with the provisions of Article XIIID in that they are existing charges first set by the Board of Directors of the District prior to November 6, The standby charges are not increased, and the methodology for the charges is the same as in previous years; and O. District costs of installation of parts and facilities to connect property or structures to the District s systems are now set forth in District Ordinance 207; and P. The annexation fees previously imposed by District Ordinance 188 (as later restated in Ordinances 194, 196, 197, 208, and 212) are reestablished as set forth herein to reflect the approved changes to Capital Facilities Capacity Charges as adopted in District Ordinance 207. The annexation fees do not exceed the estimated amount required for the addition of territory into the District s service area; and Q. The District has complied with the provisions of California Constitution Article XIIID as to the method used to establish the water and sanitary sewer rates, fees and charges set forth in this Ordinance 215, in that: (i) revenues derived from the rates, fees, and charges do not exceed the costs of water and sanitary sewer services, (ii) revenues from the rates, fees, and charges are allocated by the District to provide the services for which the amounts are imposed, and (iii) water and sanitary sewer services are actually used by or are immediately available to persons requesting service and paying the rates, fees and charges; (iv) the fees are established upon a rational basis between the fees charged and the service and facilities provided; and R. The District desires to establish rates, fees and charges as set forth herein for the time period August 1, 2013 through June 30, 2015, and thereafter until reestablished as reasonably necessary to provide for the services for which the amounts are imposed. S. The adoption of this Ordinance 215 is statutorily exempt under the California Environmental Quality Act from further environmental assessment pursuant to the provisions of California Public Resources Code Section 21080(b)(8), and 14 California Code of Regulations Section 15273(a) as providing funding of operations, maintenance and capital expenses of the District; and T. That pursuant to California Health & Safety Code Section , the filing of the report stating the amounts of water sanitary sewer service rates, fees, and charges per parcel was duly noticed, as required by law, by publication once each week for two (2) consecutive weeks in the Orange County Register, a newspaper of general circulation within the boundaries of the District. The published information included the notice of the Public Hearing on July 25, 2013 at Dana Point City Council Chambers located at Golden Lantern, Dana Point, California, to consider oral or written objections or protests regarding such report; and U. Written protests were not presented by a majority of the property owners and bill payers receiving notice; and Ord. 215 V1 3

4 V. Following the consideration of all protests and comments at the Public Hearing the Board desires to continue the structure and reestablish rates, fees and charges detailed herein for water and sanitary sewer services, continue water and sewer standby charges, and continuing certain other miscellaneous and delinquent charges, conditions of service and District annexation fees; NOW, THEREFORE, the Board of Directors of South Coast Water District does hereby ORDAIN: SECTION 1 WATER SERVICE FEES Section 1.01 Charges, Levy and Collection The levy and collection of rates, fees and charges for water service set forth herein shall be made in accordance with District Ordinance 209. Section 1.02 Water Service Charges A water service charge based on meter size for each year in accordance with the following: Water Meter Size * 3/4 $ $ $ $ $1, $1, $2, $2, $4, $4, $8, $8, $18, $18, Section 1.03 Water Usage Charges The following rates shall be charged monthly for water consumed within South Coast Water District beginning August 1, 2013, and changing thereafter on July 1 of each successive year, in accordance with the following: A. Single family residential: A conservation promoting inclining tiered rate for single-family residences shall apply where one residence is served by one meter. The unit commodity charge per 100 cubic feet (CCF) of potable water (1 CCF equals 748 gallons) consumed is as follows: Ord. 215 V1 4

5 Consumption Range (CCF) Per Unit Of Water Per Unit Of Water* First 1-5 Units $2.16 $ Units $4.07 $ Units $6.10 $ Units $8.13 $ Units $10.16 $10.45 B. Other potable water customers, including but not limited to commercial/business and HOAs (with master meters only): The unit charge per 100 cubic feet (CCF) for all other potable water served is as follows: Per Unit of Water * Per Unit of Water $4.02 $4.13 C. Dedicated irrigation meters (potable water): Dedicated irrigation meters (potable water) shall be read and billed on a monthly bill cycle. To encourage conservation, the District shall provide a web-based account reading of usage for customers with dedicated irrigation meters (potable water). Customers are encouraged to review usage information monthly to insure the opportunity is taken to achieve the highest level of conservation of water possible given weather conditions. For all potable water served via dedicated irrigation meter(s) an inclining block usage charge shall apply for each 100 cubic feet (CCF) of potable water applied for irrigation, as follows: Per Unit Of Water * Per Unit Of Water Tier 1 $4.07 $4.18 Tier 2 $6.10 $6.27 Tier 3 $8.13 $8.36 The tier to be applicable shall be determined based on a comparison of the then current monthly usage to a one-time calculation of a 5-year average Ord. 215 V1 5

6 ( ) consumption history ( Historical Average ) for each of four seasonal periods: Winter Spring Summer Fall Months January, February, March April, May, June July, August, September October, November, December If consumption is seventy-five percent (75%) or less than the Historical Average for the applicable seasonal period, the Tier 1 rate shall be charged for the current consumption. If the consumption is between seventy-six percent (76%) and one hundred percent (100%) of the Historical Average for the applicable seasonal period, the Tier 2 rate shall be charged for the portion of the consumption equal to usage over 75% and up to one hundred percent (100%) of the Historical Average, and the balance of the consumption thereafter shall be charged the Tier 3 rate. For new potable irrigation meters (dedicated), the irrigation customer will be charged the Tier 1 rate for the first year of usage. At the end of the first year, the District shall compute and apply the seasonal averages (for four seasonal periods), and the applicable rate shall be charged in the second year for each Tier of consumption as set forth in this Section 1.03.C. Beginning in the third year, the Historical Average will be updated yearly for the new potable irrigation meter and applied to calculate a change in the seasonal consumption averages until five (5) years of service has been provided. Thereafter, the fixed five (5) year Historical Average for the applicable seasonal consumption shall be charged for each Tier of consumption as set forth in this Section 1.03.C. D. Recycled water: The unit charge per 100 cubic feet (CCF) for recycled water is as follows: Per Unit Of Water Per Unit Of Water* $3.62 $3.72 E. Water used for construction purposes. The charges for construction water will be as outlined in 1.03.B. Recycled water will be used if and when available and appropriate, but will be billed in accordance with 1.03.B. Users of water for construction purposes shall be billed monthly. Where the amount of construction water to be used is minimal, the General Manager, at his discretion, may charge a flat rate for the purchase of said water. At the discretion of the General Manager, construction water may be provided at a Ord. 215 V1 6

7 charge of $10.00 per 2000 gallon truck capacity and the purchaser shall provide the load counts on a monthly basis. F. Construction water. If construction jumpers are installed, a monthly charge covering both water service fees (meters) and usage charges will apply as follows: METER SIZE MONTHLY RATE 3/4 inch and smaller $ inch $ /2 inch $ inch $25.00 G. Ultra low flow user rate. The ultra low flow consumer rate shall apply to single family residential customers (one meter per dwelling unit) that conserve water using no more than 5 CCF (units) of water per monthly billing period (measured over the preceding one year period of service). a. Multiple residences served by one meter do not qualify for the ultra low flow consumer rate as the consumption pattern cannot be isolated. b. The single-family residence connection must be a 3/4 meter. c. Customers shall apply to the District via the Customer Service Manager and request the ultra low consumer rate for water service. If the account history reveals that, within the preceding twelve (12) billing periods (not to exceed 1 year), the customer s water consumption has not exceeded 5 CCF per period, then the customer will be qualified for the ultra low flow consumer rate program for the next twelve (12) monthly billing periods. d. From time to time with the concurrence of the General Manager, the Customer Service Manager shall prepare, update as necessary and revise a form agreement for customer request of the ultra low flow consumer rate, which shall provide no less than the following terms: (1) Customer will make best efforts to maintain low water use, (2) acknowledge the program is for a 12 month period, (3) indicate understanding that re-application to the program will be required at the end of the 12 month period, (4) indicate that future participation will be contingent on remaining a low use customer (no more than 5 CCF per monthly period over the 12 month period). Ord. 215 V1 7

8 e. The ultra low flow consumer rate shall consist of a credit to appear on the tax bill or District monthly billing (in 1/12 th increments) of an amount equal to one-half (1/2) of the annual water service charge (meter charge) as set forth in Section 1.02 and one-half (1/2) of the base service for sewer fees as set forth in Section For the total water consumption (usage), the applicable water tier rate will still apply to the charge for water service (as set forth in Section 1.03 A.). The sewer usage charges shall accrue in accordance with Section Section 1.04 Meter Installation Charges See District Ordinance 207 SECTION 2 SEWER SERVICE FEES Section 2.01 Charges, Levy and Collection The levy and collection of rates, fees and charges for sewer service set forth herein shall be made in accordance with District Ordinance 209. Section 2.02 Sewer Service Charges An annual service charge beginning for each year and ending June 30 of the following year, in accordance with the following: Customer Type * Residential Single Family $ $ Residential Duplex $ $ Residential Triplex $ $ Residential Fourplex $ $ Multiple Residential $ $ A. The annual base service charge for all other customers (for example, business, commercial, institutional), shall be as follows: Ord. 215 V1 8

9 * $ $ The annual base charge in this Section 2.02.A shall be a credit back to the customer as 1/12 th of the annual amount in each monthly period in which the customer pays for sewer usage pursuant to Section 2.03 below. Provided, however, that no credit will accrue below a monthly sewer usage billing of $0. Section 2.03 Sewer Usage Rates The following rates to be charged monthly for sewer usage within South Coast Water District. The rates accrue per 100 cubic feet (CCF) of water usage. A. All Residential * $1.07 $1.20 B. All Other Customers (for example, business, commercial, institutional): * CUSTOMER Per Unit of Water Per Unit of Water Car Wash $6.05 $6.54 Office Building $6.13 $6.62 Community Building $6.13 $6.62 Limited Food Service Establishment $6.13 $6.62 Food Service Establishment - Using Best Practices & Grease Interceptor $6.13 $6.62 Public Multi-Use Facility With Food Service $7.85 $8.38 Commercial/Public Other $6.13 $6.62 Association Guardhouse $6.13 $6.62 Association Recreation Without Food Service $6.13 $6.62 Laundry/Cleaners $6.16 $6.66 Retail Store $6.21 $6.71 Recreation Facility - No Food Service $6.28 $6.78 Commercial/Public Multi-Use Facility - No Food Service $6.28 $6.78 Ord. 215 V1 9

10 Health Building $6.28 $6.78 Auto Garage $6.42 $6.92 Beauty Salon/Barber $6.62 $7.13 Hotel/Motel No Food Service $6.80 $7.31 Food Service Establishment Using Best Practices $6.80 $6.54 Hotel/Motel With Food Service or Spa $7.85 $7.31 Recreation Facility With Food Service $7.85 $8.38 Public Restaurant or Park With Food Service $7.85 $8.38 Commercial Multi-Use Facility With Food Service $7.85 $8.38 Commercial Food Service Establishment Not Using Best Practices & Grease Interceptor $7.85 $8.38 SECTION 3 WATER AND SEWER STANDBY CHARGES Section 3.01 Water Standby Charges Water Standby Charges shall continue as set at Ten Dollars ($10.00) per acre or Ten Dollars ($10.00) per parcel of land less than one acre. Due to the grandfathering of these charges, such amounts shall apply only within the portion of the District known as the former South Coast Water Service Area. Section 3.02 Sewer Standby Charges Sewer Standby Charges shall continue as set at Ten Dollars ($10.00) per acre or Ten Dollars ($10.00) per parcel of land less than one acre. Due to the grandfathering of these charges, such amounts shall apply only within the portion of the District known as the former South Coast Sewer Service Area. SECTION 4 ANNEXATION FEES Section 4.01 Annexation fees shall be paid by the proponent of annexation of any territory to the District and are a condition to securing the agreement of the Board of Directors of the District to such annexation. Annexation fees shall include payment of all costs incurred in processing the annexation, including but not limited to engineering, environmental assessments, legal and Ord. 215 V1 10

11 processing fees, Local Agency Formation Commission fees and charges, and other related expenses, if any. Unless otherwise determined to be unrepresentative of the costs associated with the assets of the District, the fees per parcel annexed shall be set consistent with the then current Capital Facilities Capacity Charges (Ordinance 207, as the same may be amended or restated from time to time). Section 4.02 In addition to Annexation Fees, the Board of Directors may determine such other reasonable terms and conditions to proposed Annexation as are equitable to the addition of the territory to the existing District, including but not limited to: A. The annexed territory shall be subject to all District Ordinances, Resolutions, Policies and Programs. B. The territory, upon annexation, shall be subject to all ad valorem taxes required for the retirement of existing and future bonds. C. The annexed territory shall be withdrawn from the jurisdiction of any special district providing the same services as the District will provide within the annexed area. SECTION 5 MISCELLANEOUS AND DELIQUENT CHARGES AND CONDITIONS OF SERVICE Section 5.01 Service Connection Conditions A. Water No person may disturb, tamper with, cover over, paint or deface any District water service facility, meter, valve, hydrant or other above ground equipment or structure of any type. The owner is responsible for the water line connection at all points behind the District s meter including, but not limited to, any and all pressure regulators, valves, connections, etc. to the structure side of the meter. In the event the District elects to assist a customer in resolution of any issue regarding water service on the customer side of the meter, the District shall be reimbursed at the actual cost to the District by the customer, and the same shall be added as a service cost to the account of the customer if unpaid within 30 (thirty) or more days after invoicing. District service meters shall be kept free from obstructions, including plants, structures, over growth or coverings of any kind and will not be interfered with or tampered with. Upon 10 (ten) days prior to notice from the District, service may be terminated if owner or customer does not comply with these conditions. If water service is terminated due to obstructions, a payment of a $40.00 turn on charge shall be made prior to the restoration of service. The turn on fee shall be $ if the service is restored between the hours of 5:00 p.m. and 7:30 a.m. or weekends and holidays. The fee for providing the notice described herein shall be $ Ord. 215 V1 11

12 If a meter/service has been tampered with or damaged in any way there will be a minimum $50.00 charge applied to the account per occurrence. When a meter has been shut off an Unauthorized Reconnection Notice, which will read as follows, will be attached to the meter: Discontinued Service Notice Service at this meter has been discontinued. To reinstate service, please call South Coast Water Service at (949) Personnel are available 24 hours a day including weekends. Unauthorized reconnection of water service is punishable by a $ fine plus imprisonment. California Penal Code Section 498. The District may at its option enforce the above notice. B. Sewer The lateral service connection shall be maintained in good condition free of grease, roots, and other obstructions in accordance with District Ordinances 190 and 201; and the maintenance of the lateral is the responsibility of the owner of the property from the structure to the mainline in the street owned by the District, including the saddle or actual point of connection to the mainline. In the event the District elects to assist a customer in resolution of any issue regarding sewer lateral connection or private sewer line, the District shall be reimbursed at the actual cost to the District by the customer, and the same shall be added as a service cost to the account of the customer if unpaid within 30 (thirty) or more days after invoicing. C. Rates, Charges and Conditions Charges for water and sewer shall accrue per day of service provided and shall be a debt due the District from the applicant owner or renter of the property to which connection is made and shall continue to be a debt until paid. Failure to receive mail shall not be recognized as a valid excuse for failure to pay water or sewer charges when due. Change in occupancy of property supplied with District water or sewer and changes in mailing addresses of consumers of District water or sewer must be filed in writing at the District office. In addition to all other charges, all customers shall pay a $20.00 service startup fee at the time of filing application for new service or application for transferring service to a new party. When an owner or consumer requests a final bill for water or sewer service the water shall be turned off unless the new owner or consumer has on file in the water office a signed application for service. Ord. 215 V1 12

13 Any person in possession of property under a lease or rental agreement may make application for water or sewer service on the regular water or sewer application or by letter, provided that the property owner or his agent has previously applied for and continues to guarantee payment for such service. The tenant applicant shall make a deposit in an amount not to exceed $50.00 with the District for each residential or commercial service, which deposit shall be returned to the tenant applicant without interest and less the amount of any unpaid water or sewer bills when service to the tenant is terminated. The owner of the property shall be liable for the payment of any unpaid water or sewer charges incurred by the lessee or tenant. The District must provide a mailed notice of a delinquent water charge and the impending termination of water service at the service address and/or a mailed notice to the billing address if different from service address at least 7 days prior to the proposed termination, which period shall not commence until five business days after the posting of the notice. Also, the District may make a reasonable, good faith effort to contact an adult person residing at the premises of the customer by telephone or in person at least 24 hours prior to any termination of water service. After providing the notice described herein, the water may be turned off and shall not be turned on again until payment of the amount due plus a $40.00 turn on charge is made. The turn on fee shall be $ if water service is turned on between the hours of 5:00 p.m. and 7:30 a.m. or weekends and holidays. The fee for providing the notice described herein shall be $ When an individual or entity receiving water service has been delinquent in his water bills twice in succession or three times in any calendar year, the District may, after giving the individual or entity written notice of that by mail addressed to its last known mailing address, require such individual or entity to put up a deposit not less than $100.00, or 4.0 times the maximum bill. Failure to pay this deposit within 15 days may result in termination of service. The District will add a charge of $25.00 to the users account for each returned check. The District may elect to have delinquent water or sewer user charges for the fiscal year collected on the tax roll together with the general taxes in accordance with District Ordinance 209. The amounts of the penalties assessed with respect to delinquent water or sewer charges shall be added annually to and collected on the tax roll with the delinquent charges. The General Manager has the authority to set terms and charges for delinquent water and sewer customers. These charges shall be equitable for the District s costs incurred. The General Manager has the authority to adjust rates and charges within category of customer based on equitable factors. D. Fire Prevention Connection The owners of property may request connection with an existing District water main for the purpose of obtaining water for use upon such property for fire prevention purposes. As a condition for granting such service connection and for service thereafter, the District shall require that applicant furnish and install a detector check valve and required shut-off valves, housed in a ventilated, reinforced concrete vault, together with appropriate piping, fittings and other appurtenances all as may be required by the District. As a further condition, applicant shall at Ord. 215 V1 13

14 his/her sole cost and expense, keep, repair and maintain during the entire period of such service said detector check valve, shut-off valves, vault and other appurtenances in good order, condition and repair as may be required by the District. Further, applicant shall grant or cause to be granted to District such permanent easement or right-of-way as may be necessary to the District to at all times inspect such meter vault and instruments located therein, in, over, through and under such parcel of land, the location and dimensions of which parcel as shall be deemed adequate by the District and which easement shall be in form satisfactory to the Attorney for the District. When an automatic fire sprinkler service connection is installed, the control valve there on shall be left closed and sealed until a written order to turn on water is received from the consumer. After the water is turned on, the District shall not be liable for damages of any kind whatsoever that may occur on or to the premises served by reason for the installation, maintenance or use of such service connection or because of fluctuation of pressure of interruption of water supply. Upon making such connection, the District is authorized to establish a fire prevention service charge, and said charges are hereby established as follows: SIZE MONTHLY RATE 2 inch $ inch $ inch $ inch $ inch $ inch $29.00 This service charge is in addition to the water usage rates set by Section 1.03 if water flow occurs through the meter. Said fire prevention standby charges are in addition to the service availability standby charges authorized by California Water Code Section et seq., and as continued at Section 3. SECTION 6 GENERAL PROVISIONS Section 6.01 General If any provision(s) of this Ordinance, or the application to any person or circumstance is held invalid by order of court, the remainder of the Ordinance or the application of such provision(s) to other persons or other circumstances shall not be affected. This Ordinance shall take effect immediately upon adoption. Ord. 215 V1 14

15 The Secretary of the Board shall certify to the adoption of this Ordinance and shall cause a summary to be published in a newspaper of general circulation as required by law and shall post a certified copy of the full text of this Ordinance in the District administrative office and two other public places within the District within 10 days after adoption. Section 6.02 Repeal of Provisions District Ordinances 213, 212, 208, 204, 197, 196, 194, 188 and all resolutions and policies inconsistent herewith are hereby repealed. PASSED AND ADOPTED by the affirmative vote of a majority of the Board of Directors of the South Coast Water District at a Special Meeting held July 29, President ATTEST: Secretary Ord. 215 V1 15