HomeMy WebLinkAboutResolutions - No. 2005-203RESOLUTION NO. 2005-203
A RESOLUTION OF THE LODI CITY
COUNCIL ESTABLISHING WATER RATES
WHEREAS, the Council of the City of Lodi finds as follows:
1. The City of Lodi provides water supply to its citizens;
2. The City charges customers of these utilities a charge to fund the on-going
operation and maintenance of the water supply;
3. The City discovered the chlorinated solvents perchioroethylene (PCE) and
trichloroethylene (TCE) in its groundwater in 1989, both of which are identified as
hazardous to human health by state and federal regulators. The City then began
a program to attempt to identify the responsible parties and secure recoveries to
fund the remediation. Thereafter, the City was itself alleged to be a potentially
responsible party for the contamination arising from the operation of its water
and wastewater utilities and ultimately entered into a number of settlements with
third parties in connection with the program;
4. The net cost for these activities has been borne by the water fund until fiscal
year 2004-05, in which approximately half was also advanced from the
wastewater fund. While the total and final cost of remediation including past
costs and net of settlements with third parties is not precisely known, it has been
reasonably estimated by staff and consultants at $45.7 million. These costs
could be fairly borne by either the water or wastewater funds or both since the
City's alleged liability arises from both operations. Due to rate covenants
associated with existing and anticipated financing in the wastewater utility, the
overall impact will be lower on water rates than on wastewater rates. Thus, the
City Public Works Director has recommended increases to the current water
rates;
5. The Council directed that notice of a hearing thereon be given to the property
owners in the City, with such notice to include, among other matters, the
information required to be included pursuant to California law;
6. Such notice has been mailed to those property owners, at least 45 days before
the hearing, as evidenced by a Certificate of Mailing on file with the City Clerk;
7. The Council also directed that notice of a hearing thereon be given with such
notice to include the information required to be included pursuant to
Government Code Section 54354.5;
8. Such notice has been published once each week for two weeks in the Lodi
News -Sentinel as evidenced by Proofs of Publication on file with the City Clerk
and additional notice has been provided in City utility bills;
9. On September 21, 2005, the City Council conducted said public hearing, at
which time the City Council heard all objections and protests to the proposed
increased rates;
10. Written protests against the proposed increased rates were not presented by a
majority of the property owners,
follows:
NOW, THEREFORE, BE !T RESOLVED by the City Council of the City of Lodi as
Section 1. Recitals. The foregoing recitals are true and correct.
Section 2. Lew of Chardes. Pursuant to Section 13.08.010 of the Lodi Municipal
Code, the increased water rates as attached hereto as Exhibit "A" are hereby approved.
Section 3. Subsequent Adjustments. The rates shown in Exhibit A may be adjusted
periodically by resolution, with Council approval following a public hearing, in an amount not to
exceed the percentage change in the Consumer Price Index since the previous adjustment.
The index used shall be the unadjusted San Francisco — Ail Urban Consumers Index as
published by the United States Bureau of Labor Statistics or other index as approved by the
City Council by resolution.
Section 4. Council Review. Staff shall report to Council within five years of the
adoption of the attached rate schedule regarding the actual revenues and expenses of the
remediation program to that date and projected future revenues and expenses for Council
consideration of any needed adjustments to the rates.
Section 5. Program Accounting: The Finance Director is directed to account
separately for all income and expenses of the remediation program so that the cost of the
program can be readily compared to the funds raised by the rates set forth in Exhibit A.
Section 6. Effective Date. This resolution shall take effect from and after the date of
its passage.
Dated: September 21, 2005
I hereby certify that Resolution No. 2005-203 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held September 21, 2005, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Hitchcock, and Johnson
NOES: COUNCIL MEMBERS — Mounce and Mayor Beckman
ABSENT: COUNCIL MEMBERS None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKSTON
City Clerk
2005-203
Proposed Water Rates Fiscal Years 2005/06 through 2007/08
Flat Rates
Single -Family
Residential
1 BR - House
• 2 BR - House
3 BR - House
4 BR - House
5 BR - House
6 BR - House
7 BR - House
Multi -Family
Residential
1 BR - APT
2 BR - APT
3 BR - APT
4 BR - APT (2)
Base
13.67
16.41
19.68
23.64
28.36
34.03
40.82
11.73
14.07
16.88
20.26
Current Rates
Effective 5/1/2005
PCE!
lrtifr.
TCE
4.97 0.00
5.97 0.00
7.15 0.00
8.60 0.00
10.32 0.00
12.38 0.00
14.85 0.00
4.27
5.12
6.14
7.38
Flat- Rate Commercial Customers - Varies
Metered Rates
(3)
5/8" x 3/"" meter
'/" meter (Standard)
1" meter
1 ''A" meter"
• 2" meter
3" meter
4" meter
6" meter
8" meter
10" meter
0,00
0.00
0,00
0.00
Base Infr.
Base $/ccf $/ccf
15.77
23.65
31.53
39.43
55.19
70.96
102.50
134.06
165.60
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
City of Lodi Water Rate Table
Monthly
Total Base
18.64 13,67
22.38 16.41
26.83 19.68
32.24 23.64
38.68 28.36
46.41 34.03
55.67 40.82
16.00
19.19
23.02
27.64
PCE/
TCE
0.00
0.00
0,00
0.00
0,00
0.00
0.00
0.00
0.00
11,73
14.07
16.88
20.26
Rates Effective
1/112006
PCE/ Monthly
Infr, TCE Total
4.97 2.43 21.07
5.97 2.92 25.30
7.15 3,50 30,33
8.60 4.20 36.44
10.32 5.04 43.72
12.38 6.05 52.46
14.85 7.26 62.93
4.27
5.12
6.14
7.38
2,09
2.50
3.00
3.60
18.09
21.69
26.02
31.24
Base
13.67
16.41
19.68
23.64
28.36
34.03
40.82
11.73
14.07
16.88
20.26
Rates Effective (1)
7/1/2006
PCE/
Infr. TCE
4.97 4.86
5.97 5.84
7.15 7.00
8.60 8.41
10.32 10.09
12.38 12.10
14.85 14.52
4.27
5.12
6.14
7.38
4.17
5,00
6.00
7.21
Monthly
Total
23.50
28.22
33,83
40.65
48.77
58.51
70.19
20.17
24.19
29.02
34.85
Flat rates increase 13.05% 01/01/06 Flat rates increase 11.545% 07/01/06
Base
14.35
15.77
23.65
31.53
39.43
55.19
70.96
102.60
134.06
165.60
Base
$icer
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
Infr.
$Iccf
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
PCE/
TCE
3.19
3.50
5.25
7.00
8,76
12.26
15.76
22.77
29.75
36.75
(1) Rates effective each July 1 will be adjusted for changes in the Consumer Price Index
(2) Pius 20% for each additional bedroom
(3) Monthly total for metered customers depends on amount of water used; ccf = one hundred cubic feet
(4) Established City Utility Discounts apply to above rates
75
Base
14.35
15.77
23.65
31.53
39.43
55.19
70.96
102,60
134.06
165.60
Base
/ccf
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
Infr.
$/ccf
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
PCE!
TCE
6.37
7.00
10.51
14.00
17.51
24.51
31.52
45.53
59.50
73.50
Exhibit A
Rates Effective (1)
7/1/2007
PCE/ Monthly
Base Infr. TCE Total
13.67 4.97 7.29 25.93
16.41 5.97 8.76 31.14
19.68 7.15 10.50 37.33
23.64 8.60 12.61 44.85
28.36 10.32 15.13 53.81
34.03 12.38 18.16 64.57
40.82 14.85 21.78 77.45
11.73
14.07
16,88
20.26
4.27
5.12
6.14
7.38
6,26
7.51
9,01
10.81
22.26
26.70
32.03
38.45
Flat rates 'increase 10.35% 07/01/07
Base
14.35
15.77
23.65
31.53
39.43
55.19
70.96
102.60
134.06
165.60
Base
;fccf
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
0.490
Infr.
Sled
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
0.233
PCE!
TCE
9.56
10,50
15.76
21.01
26,27
36.77
47.28
68.30
89.25
110.25