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HomeMy WebLinkAboutRes2018-030 Sponsored by: Hunt CITY OF SEWARD,ALASKA RESOLUTION 2018-030 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,AMENDING THE SEWER TARIFF TO PROVIDE FOR A 2.1% RATE ADJUSTMENT BEGINNING JANUARY 15, 2018, ADDING A SEASONAL TURN-ON/TURN-OFF FEE, CLARIFYING THAT METERED RATES APPLY TO ALL CUSTOMERS OTHER THAN NON- COMMERCIAL RESIDENTIAL, AND OTHER MINOR HOUSEKEEPING CHANGES WHEREAS, the Seward City Council passed Resolution 2017-077 on November 27, 2017, for the purpose of amending the Sewer Tariff, and subsequently rescinded that resolution on April 9, 2018 via Resolution 2018-029; and WHEREAS, the 2018 Sewer Tariff as adopted via Resolution 2017-077 purported to increase sewer rates by only 2.1%, but due to a combination of billing system rate table errors and the incorrect classification of a number of customer accounts, the end result was a significantly higher impact on some customer's rates than intended by the Seward City Council; and WHEREAS, the attached Sewer Tariff accomplishes the original intent of Resolution 2017-077 in two ways; 1) it reduces the Class D (Large General Service and Industrial metered- rate customers) block rate structure to reflect an increase of only 2.1% over the rates previously applied to customers in the Class D rate class, despite those prior rates being significantly lower than the approved tariff; and 2) it restores the metered block rate structure for customers with meters who are currently classified as Class A, B or C and applies a 2.1% increase over the 2017 Class A, B, and C rates; and 3) it clarifies that all non-commercial residential customers who wish to install water meters,may be eligible for metered rates. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The Sewer Tariff for 2018 is hereby approved in substantial form as attached hereto. Section 2. All previous Resolutions in conflict herewith are hereby repealed effective January 1, 2018. Section 3. This resolution is retroactive to January 15, 2018. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9th day of April, 2018. CITY OF SEWARD, ALASKA RESOLUTION 2018-030 THE CITY OF SEWARD, ALASKA Ma ianna Keil, Vice ayor AYES: Casagranda, McClure, Slater, Horn Towsley, Keil NOES: None ABSENT: Squires ABSTAIN: None ATTEST: PAL 014.i.i 19'enda J. Ball.f, M C City Clerk (City Seal) ,.• of SEW**, s • SEAL I • = �4�TE OF.A..P." Sewer Rates and Charges - 2018 Rates for Sewer by Class of Service LUAL RATE ADJUSTMENT: The rates and fees herein provided are adjusted 2.1%beginning the first billing cycle of the 2018 calendar year. The rates thereafter will be adjusted annually beginning the first billing of each calendar year to reflect an average of the five previous published years' annual increase in the Consumer Price Index, All Items, 1982-84=100 for all Urban Consumers,Anchorage,Alaska Area("CPI")as published by the United States Department of Labor,Bureau of Labor Statistics. (For example,2018 rates reflect an increase based on the average CPI for 2011-2015.) GROUP A-RESIDENTIAL Group A includes all residential customers living in single family or multiple family living units. Multiple family units include multi-plexes, apartments and townhouses, but excludes hotels, motels and similar transient accommodations. All commercial residential customers with a water meter are eligible for Group D metered commercial sewer rates. Customers wishing to convert to metered rates are encouraged to consider that a pending Water and Sewer Rate Study may impact either or both ERU rates and metered rates, when deciding whether to invest in the costs of installing a water meter. GROUP B—SMALL GENERAL SERVICE Group B includes commercial enterprises where the use of water is incidental to the commercial activity and is Iprimarily limited to domestic and janitorial use. This class of service includes such businesses as hotels, motels, professional office buildings,barber shops,warehouses,libraries,public offices,churches and theaters,etc. Group B customers with water meters are eligible for Group D metered commercial sewer rates. Customers wishing to convert to metered rates are encouraged to consider that a pending Water and Sewer Rate Study may impact either or both ERU rates and metered rates, when deciding whether to invest in the costs of installing a water meter. GROUP C - LARGE GENERAL SERVICE Group C includes commercial enterprises where water usage is greater than in Small General Service and/or water is used for food preparation or other activities,but not for industrial processing. Group C customers with meters are eligible for Group D metered commercial sewer rates.Customers wishing to convert to metered rates are encouraged to consider that a pending Water and Sewer Rate Study may impact either or both ERU rates and metered rates, when deciding whether to invest in the costs of installing a water meter. GROUP D - METERED COMMERCIAL & INDUSTRIAL SERVICE Group D includes metered commercial and industrial enterprises(non-commercial residential Group A customers are not currently eligible for metered rates). BASIS FOR MONTHLY FEES AND CHARGES GROUPS A -D ION-METERED SERVICES City of Seward Sewer Tariff-Per 2018 Budget,Effective January 15,2018. Page 4-1 Non-metered sewer users in Groups A,B and C shall be charged at the rate of$65.64 per ERU per month, not including tax,when the water service and sewer service serve the same activities. If the activities serviced by the sewer services are different than those served by the water service, a water charge shall be computed based on the activities served by the sewer. The sewer rate shall then be computed at 1.2 times the established water charge. METERED SERVICES Users with metered service(Group D shall be charged for sewer service according to the rates listed below. The charge shall be based upon the quantity of metered water, except that those users having a sewer meter shall be charged for the quantity of sewage actually metered. The quantity of sewage will be adjusted if a significant amount of wastewater is not discharged into the city sewer system. Minimum Charge for Each Metered Service Service Size Minimum Monthly Charge 3/4" - 1" water service $56.00 1-1/2" -2" water service $92.66 2-1/4" - 4" water service $233.62 Over 4" water service $1,168.01 Charge for Consumption Gallons of Sewage Discharged per Month Charge per 1,000 Gallons Groups A, B & C Group D First 10,000 Gallons $8.23 $8.23 Next 40,000 Gallons $6.58 $6.58 Next 50,000 Gallons $5.46 $5.46 Next 100,000 Gallons $4.92 $4.92 All Additional Gallons $2.43 $2.43 GROUP E - SPECIAL RATES AND FEES Group E includes charges for other categories of service not included in Groups A through D. City of Seward Sewer Tariff-Per 2018 Budget,Effective January 15, 2018. Page 4-2 1. Users generating sewage with a BOD and Specified rate in rate tables times a factor of the SS loading in excess of mg/I (upon a deter- actual BOD and SS loading divided by 250, plus mination by the utility manager that the the cost of testing concentration and characteristics of the sewage will not cause a detrimental effect upon the sewer system and/or treatment plant[BOD = ABiological Oxygen Demand@ and SS = ASuspended Solids @] 2. Tank Truck Operators: Fresh sewage, or Per thousand gallons: $63.71 waste from portable or chemical toilets, provided the utility manager determines the waste will not be detrimental to the sewer system and/or treatment plant. NOTE: It is prohibited to discharge into the city=s sewer system, septic tank waste or any waste containing toxic or other materials that could cause the city=s discharge to violate the EPA or DEC discharge permit. 3. Recreational Vehicles: Individual RV No fee owners utilizing city-owned or approved dump sites Public and private campground operators $1.08 per day Per RV, camper or trailer permit,not [Operators must maintain sufficient records including tent campers. to compute a monthly payment, and such records shall be made available to the city upon request.] 4. Ship's Sewage: Not accepted 5. Sewer Service Connection Fee: Installed at property owner=s expense. Any work performed by the city will be charged at total cost, including labor, overhead, administration, materials and equipment PLUS a$153.80 connection fee. 6. Sewer Service Inspection Fee: This fee $123.04 shall be charged for services installed by anyone other than the city. Per Occurrence $965.31 PLUS Cost of repair,restoration or cleanup by city 7. Unauthorized Connection or Discharge PLUS State and/or federal penalties &charges into the City Sewer System: levied against the city or individuals City of Seward Sewer Tariff-Per 2018 Budget,Effective January 15,2018. Page 4-3 8. Restoration of Sewer Service and Repair Actual cost, including city overhead, adminis- of Damage by Owner or Contractor to tration, labor,materials and equipment City Facilities: 9. Locate Sewer Main: First Locate: No Charge Each Additional Locate: $96.52 Large projects requiring several locates will be under a special contract and may require a fee. 10. Security Deposit: If a water security deposit Domestic: $48.26 was paid,no additional deposit will be (Single family&duplex) required. If no water deposit was paid, the Commercial: $144.79 following deposits will be charged. Multi-Family: $144.79 11. Contractor Work: Any contractor tapping $5000.00 Bond or equivalent cash guarantee into a city sewer main, or otherwise working payable to the city on a city sewer main, must be properly licensed to perform the work and must provide: 12. Seasonal Turn-On and Seasonal Turn-Off Seasonal Turn-On: $262.56 (includes new account name or same account name; Seasonal Turn-Off: $262.56 waived if<2 months between turn-off and turn-on; Seasonal can apply to either summer or winter.) 13. Sewage Meter: Computed from the quantity of metered water delivered to the same activity unless a sewage meter has been installed. Sewage meters approved by the city may be installed at the user=s expense. 14. Delinquent Account Charges: Interest rate: 10.5% per annum Monthly late fee: $5.75 111 City of Seward Sewer Tariff-Per 2018 Budget,Effective January 15,2018. Page 4-4