Agenda Information Sheet
DEPARTMENT: Utilities Administration
CM/ ACM: Howard Martin, Utilities, 349-8232
DATE: September 16, 2014
SUBJECT
Title
Consider adoption of an ordinance amending the schedule of wastewater rates contained in Ordinance No. 2013-234; providing for an amendment in the rates for residential wastewater service (Schedule SR); amending the mobile home park wastewater service (Schedule SMH); amending the commercial and industrial wastewater service (Schedule SC); amending the commercial/industrial wastewater service which measures with dedicated water meters (sub- meters) (Schedule SCD); amending the commercial /industrial wastewater service which measures with dedicated water meters (sub-meters) (Schedule SCS); amending the septage & chemical toilet disposal at the pecan creek water reclamation plant septage transfer station (Schedule SCH); amending the equipment services facilities and restaurant & food service establishments wastewater service (Schedule SEE); amending the metered wastewater inside and outside corporate limits (Schedule SM); amending the sale of treated wastewater effluent (Schedule SGE); amending the wholesale wastewater treatment service (Schedule SSC); amending the storm drainage fees schedule (Schedule SD); adding the stormwater reinspection fee- non-residential (schedule SDI): providing for a repealer; providing for a severability clause; and providing for an effective date. The Public Utilities Board recommends approval (6-0).
Body
BACKGROUND
During the budget presentations, the Public Utilities Board ("PUB") reviewed the Wastewater Utility budget and the proposed rate changes that could be implemented to support the proposed FY 2014-2015 budget and FY 2015-2019 CIP. As part of the Wastewater budget discussions, Wastewater department staff recommended and received PUB direction and approval for a 6% rate increase and steps to align rates with recommendations of the Cost of Service model.
The average residential customer using 6,000 gallons would incur the following monthly charge:
Current Proposed Increase
$32.25 $34.05 $1.80
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
Proposed FY 2014-2015 Utilities budgets and CIP's were presented to the PUB during May through July, 2014. This rate ordinance was approved by the PUB on July 28, 2014 by a vote of 6-0. The budgets, including draft rate ordinances, were presented to the City Council for review on August 5, 2014. This ordinance is scheduled for adoption on September 16, 2014.
SUMMARY
The proposed rate revenue increases include steps to align the rates with the recommendations of the Cost of Service model. Based on normal volumes, the proposed increases will generate the rate revenue needed to meet budget requirements.
FISCAL INFORMATION
The proposed rate increase will provide the revenues necessary to cover the cost of service to customers.
RECOMMENDATION
Staff recommends approval of the proposed ordinance, with an effective date of October 1, 2014.
EXHIBITS
1. Proposed FY 2014-2015 Wastewater Rate Ordinance
Respectfully submitted:
Howard Martin
Assistant City Manager/Utilities