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HomeMy WebLinkAboutAgenda Report - April 19, 1995P, CITY OF LODI COUNCIL COMMUNICATION AGENDA TITLE: Public Hearing to Consider Increasing Water Rates Effective June 1, 1995 MEETING DATE: April 19, 1995 PREPARED BY: Public Works Director RECOMMENDED ACTION: That the City Council conduct a public hearing on the recommended water rate increases described in the staff report and take the appropriate action. BACKGROUND INFORMATION: The condition and needs of the City's water system have been reported to the City Council and the public in a series of Council Shirtsleeve Sessions, written reports and public notifications over the course of the past year and a half. The November 1993 "Water Utility Status Report" contained most of this information. A one-page summary of the report was included in the "Annual Water Quality Report for 1993* mailed to all water customers in April 1994. A report on water rates and the "Water Storage Tank Study"was presented to the Council at a Shirtsleeve Session in May 1994. Additional Shirtsleeve and regular Council Meeting presentations were made in March 1995. Very briefly, the bottom line is that the City needs to put more money into its water utility. Old pipes in the City's water system should be replaced on a regular basis. Regular replacement of other major parts — wells, generators, valves and fire hydrants -- are also needed and should be undertaken on something other than an emergency basis. In addition, financial resources of the utility have been drained in complying with Federal and State drinking water standards for DBCP, a pesticide found in minute quantities in the groundwater. To meet customers'water demands in peak summer periods, new treatment and storage facilities will be needed. And, while a State loan has been secured for these improvements, additional revenue is needed to repay the loan. The issue of the water utility's rate structure has been discussed. There are problems With the City's metered water rate, which affects most industrial and commercial customers. The major problem is that an unreasonable amount of water is included in the minimum charge. In addition, the relationships between metered rates and flat rates, and the minimum meter charges, have not been evaluated in over 20 years. Finally, State law now requires installation of water meters on all new services. Thus, we will eventually have some metered residences and some on flat rates. In the long run, these rate equity problems will need to be solved by installing water meters for all customers. The amount of additional revenue needed is complicated by the City's 4in-lieu' tax on utility revenue. Per adopted Council policy, 20% of the water utility's revenue is transferred to General Fund in -lieu of taxes that might be paid by a private utility. While the logic and details of the amount of this tax could be debated endlessly, it has been a long-standing practice going back to the incorporation of the City when the citizens acquired the privately - owned water and electric utilities. APPROVED: 4F* %mill' THOMAS A. PETERSON recycled paper City Manager VVTRAJNCR.DOC wi6 Public Hearing to Consider Increasing Water Rates Effective June 1, 1995 April 19, 1995 Page 2 A summary of the revenue needs of the water utility is shown below: Purpose Annual Amount Amount with 20% Tax % Increase Repay State Loan $ 271,000 $ 325,000 12% O&M of DBCP Filters $ 158,000 $ 190,000 7% System Replacement, O&M Needs $ 717,000 $ 860,000 31% Meter Retrofit Program $ 550,000 $ 660,000 24% Total: $ 1,696,000 $2,035,000 74% While surveys show Lodi's water rates are at least 43% below those of other cities, it is not recommended to raise rates 74% all at once. Industries have requested rate increases be stepped over some number of years and that they be planned in advance. Aside from customer acceptance, 4 would be impractical from staffing and operational considerations to try and increase expenditures that much at one time. The last water rate increase was made in 1991. It was an across-the-board increase of 5%. Staff has recommended that a rate increase be adopted effective June 1, 1995, and that a rate analysis be done to plan subsequent rate increases starting in 1996. The recommended rate increase is 22% on the flat rates, 10% on the minimum metered rates, 5% on the metered charge for water, and eliminate the water allowance included in the minimum metered rate. This recommendation is based on the present in -lieu tax policy and will provide sufficient revenue to handle DBCP compliance in the short term and some funds for system replacement. The flat -rate increase translates to $2.33 per month on a three-bedroom home and $3.04 per month on the average non-residential account. The increase for the metered customers varies considerably. Twenty percent of the 883 non-residential metered customers will have increases of less than $3.04 per month. The average increase is 31%, or$14.10 per month. Most of the increase is due to the elimination of the water allowance in the minimum charge. To ease this increase, staff recommends that, upon request of the customer, the City install a smaller meter at no charge, thereby reducing the minimum charge. Another option is to reduce the allowance rather than eliminate it completely. The recommended rate increase and the revenue produced is summarized in Exhibit A, Option 1. and detailed in Exhibits B and C. Suggestions have been made that all or part of the rate increase revenue not be subject to the in -lieu tax. One suggestion was that the portion pertaining to DBCP compliance not be subject to the tax. This is shown as Option 2 in Exhibit A. Another suggestion was that none of the increased revenue be subject to the tax which is shown as Option 3 in Exhibit A. In all cases, the net new revenue to the Water Fund is the same as that of the recommended increase. The City Code (LMC § 13.08.010) provides for water rates to beset by resolution. The attached resolution is written with the appropriate "blanks* to be filled in depending on whic"ption is selected by the Council. FUNDING: None needed. L. Ronsko r. Works Director Prepared by Richard C. Prima, Jr., City Engineer Attachments cc: City Attorney Water/Wastewater Superintendent DBCP Committee Chamber of Commerce Lodi Industrial Group WTRAJNCR.DCC 04/12/95 Water Rate Increase Options Rate Changes A. General Fund "in -lieu tax policy B. Flat Rate Increase: C. Metered Rate: C1. Base Charge Increase: C2. Water Charge Increase: C3. Water Allowance Estimated Revenue Changes F; Flat Rate: Metered Rate: Total: Total In -lieu Tax: Net New Revenue to Water Fund: Increase per month for 3-1 Exhibit A Option 1 Option 2 Option 3 As is - 20% No tax on increased No tax on revenue for DBCP increased revenue (Reduce in -lieu tax (Reduce in -lieu tax Option 3 to 17.49k) to ie.8%) 22% 17.7% 16.7% 10% 8.0% 7.6% 5% 4.0% 3.8% Eliminate Eliminate Eliminate (arreduce) resent Revenue Increased Revenue Option 1 Option 2 Option 3 $ 2,327,000 $ 2,839,000 $ 2,738,000 $ 2,716,000 $ 480,000 $ 624,000 $ 617,000 $ 615,000 $ 2,807,000 $ 3,463,000 $ 3,355,000 $ 3,331,000 $ 561,000 $ 693,000 $ 585,000 $ 561,000 $ - $ 524,000 $ 524,000 $ 524,000 )edroom home: $ 2.33 $ 1.87 $ 1.77 WTRAOPT2.XLS Water Rate Analysis - Flat Rates Proposed Rate Increase: 22% Exhibit B 1 of 3 FLATRATEXLS Present Annual Annual Code Account Type Rate Number Revenue % New Rate Revenue AOI Apt. - I Br. $ 6.30 1,646 $ 124,437.60 5.3% S 7.69 $ 151,813.87 A02 Apt. - 2 Sr. $ 7.66 2,968 $ 269,256.96 11.6% $ 9.22 $ 328,493.49 A03 Apt. - 3 Br. $ 9.07 91 $ 9,904." 0.4% $ 11.07 $ 12,083.42 A04 Apt. - 4 Br. $ 10.88 0 $ $ 13.27 $ - A05 Apt. - 5 Sr. $ 13.06 0 $ $ 15.93 $ - A06 Apt. - 6 Br. $ 16.67 0 $ $ 19.12 $ - A07 Apt. - 7 Br. $ 18.21 0 $ $ 22.95 $ - HOI Residence -11 Br. $ 7.35 sm $ 52,743.60 2.3% $ 8.97 $ 64,347.19 H02 Residence - 2 Br. $ 8.82 4,448 $ 470,776.32 20.2% $ 10.76 $ 574,347A I H03 Residence - 3 Br. $ 10.58 7,908 $ 1,003,999.68 43.1% $ 12.91 $ 1,224,879.61 H04 Residence - 4 Br. $ 12.70 1,116 S 170,078.40 7.3% $ ISA9 $ 2D7,495.65 H05 Residence - 5 Br. $ 15.24 93 $ 17,007.84 0.7% $ 18.69 $ 20,749.56 HOS Residence - 6 Br. $ 18.29 5 $ 1,097.40 0.0% $ 22.31 $ 1,338.83 H07 Residence - 7 Br. $ 21.94 1 $ 263.28 0.0% $ 26.77 $ 3211.2D 011 Multi Fam. pd by owner $ 14.70 0 $ - - $ 17.93 $ - 012 Multi Fam. pd by owner $ 16.17 7 $ 1,358.28 0.1% $ 19.73 $ 1,657.10 013 Mufti Fam. pd by owner $ 17.93 0 $ - - $ 21.87 $ - 014 Multi Fam. pd by owner $ 20.05 0 $ - - $ 24.46 $ 022 Mufti Fern. pd by owner $ 17.64 7 $ 1,481.76 0.1% S 21.52 $ 1,807.75 023 Multi Fam. pd by owner $ 19.40 3 $ 698.40 0.0% $ 23.67 $ 852.05 024 Multi Fam, pd by owner $ 21.62 0 $ - - $ 26.26 $ - 033 Multi Fam. pd by owner $ 21.16 1 $ 253.92 0.0% $ 26.82 $ 309.78 034 Mufti Forn. pd by owner $ 23.28 0 $ - - $ 28.40 $ - 044 Multi Fam. pd by owner $ 26AI 0 $ - - $ 31.00 $ - 045 Multi Fam. pd by owner $ 231.08 1 $ 2,772.96 0.1% $ 281.92 $ 3,383.01 11 Mufti Farn. pd by owner $ 14.70 0 $ - - $ 117.93 $ - I I I Mufti Fern. pd by owner $ 22.05 5 $ 1,323.00 0.1% S 26.90 $ 1,614.06 112 Multi Fam. pd by owner $ 23.62 2 $ 564.48 0.0% $ 28.69 $ 688.67 113 Multi Fam. pd by owner $ 25.28 1 $ 303.36 0.0% S 30.24 $ 370.10 114 Multi Fam. pd by owner $ 27AO 0 $ $ 33.43 $ - 122 Multi Fam. pd by owner $ 24.99 4 $ 1,199.52 0.1% $ 30AS $ 1,463.41 123 Mufti Fern. pd by owner $ 26.75 0 $ $ 32." $ - 124 Multi Fam. pd by owner $ 28.87 0 $ - $ 35.22 $ 133 Multi Fam. pd by owner $ 28.51 0 $ - $ U.78 $ 134 Multi Fam. pd by owner 30.63 0 $ - $ 37.37 $ 144 Mufti Fam. pd by owner 32.76 0 $ - $ 39.97 $ 222 Mufti Fam. pd by owner $ 26.46 2 $ 635.04 0.0% $ 32.28 $ 774.75 223 Multi Fam. pd by owner $ 28.22 0 $ - - $ 34A3 $ - 224 Multi Fafn. pd by owner $ 30.34 0 $ - - $ 37.01 $ - 233 Multi Fern. pd by owner $ 29.92 0 $ - - $ 36.68 $ - 234 Multi Fam. pd by owner $ 32.10 0 $ - - $ 39.16 $ - 244 Multi Fam. pd by owner $ U.23 0 $ - - $ 41.76 $ - 245 Mufti Fam. pd by owner $ 31JS 0 $ - - $ 38.74 $ - 246 Multi Fam. pd by owner $ 33.87 0 $ $ 41.32 $ 247 Multi Fam. pd by owner $ 35.99 0 $ $ 43.91 $ 248 Multi Fam. pd by owner $ 38.11 0 $ $ 4GAO $ 249 Mufti Fam. pd by owner $ 62.92 0 $ $ "All $ - 300 Mufti Fam. pd by owner $ 15.87 2 $ 380.88 0.0% $ 19.36 $ 464.67 301 Mufti Fam. pd by owner $ 17.93 0 $ - - $ 21.87 $ - 302 Mufti Fam. pd by owner $ 26AS 0 $ - - $ 32.28 $ - 303 Mufti Fam. pd by owner $ 18.90 1 $ 226.80 0.0% $ 23.06 $ 276.70 304 Multi Fern. pd by owner $ 113AO 0 $ - - $ 138.35 $ - 305 Muftl Fam. pd by owner 111 98.20 0 $ - - $ 1197.60 $ 306 Multi Fam. pd by owner $ 163.20 0 $ - $ 199.84 $ 307 Multi Fam. pd by owner $ 223.02 0 $ - - $ 272.08 $ 308 Multi Fam. pd by owner $ 270.90 0 $ - - $ 330.60 $ - 309 Multi Fam. pd by owner $ 268.30 1 $ 3,099.60 0.1% $ 316.13 $ 3,781.51 310 Mufti Fam. pd by owner $ 1,512.00 0 $ - $ $ 311 Multi Fam. pd by owner $ 27.46 0 $ - - $ 33.50 $ - 312 Mufti Fam. pd by owner $ 26.20 7 S 2,116.80 0.1% $ 30.74 S 2,582.50 313 Mufti Fern. pd by owner $ 31.60 1 $ 378.00 0.0% $ 38A3 $ 461.16 314 Multi Fam. pd by owner $ 30.24 4 $ 1,451.52 0.1% $ 36.29 S 1,770.86 1 of 3 FLATRATEXLS Water Rate Analysis - Flat Rates Proposed Rate Increase: 22% Exhibit B 2 of 3 FLATRATEALS Present Annual Annual Code Account Type Rate Number Revenue % New Rate Revenue 315 Muni Fam. pci by owner 4 60.40 3 $ 1,814.40 MT- $ 61.49 $ 2,213.57 316 Mufti Fam. pd by owner 45.36 2 $ 1,088.64 0.0% S 65.0 S 1,328.14 317 Multi Fam. pd by owner 49.14 1 $ 589.68 0.0% $ $9.95 $ 719.41 318 Multi Fam. pd by owner $ 51.66 1 $ 619.92 0.0% $ 63.03 S 756.30 319 Mufti Fam. pd by owner $ 66.70 2 $ 1,360.80 0.1% $ $9.17 $ 1,660.18 320 Multi Fam. pd by owner $ 52.92 1 $ 635.04 0.0% $ ".56 $ 774.75 321 Multi Fam. pd by owner $ 63.00 2 $ 1,512.00 0.1% $ 76.86 $ 1,844.64 322 Multi Fam. pd by owner S 69.30 1 $ 831.60 0.0% $ 84.55 S 1,014.55 323 Multi Fam. pd by owner 63.50 3 $ 2,286.00 0.1% $ 77.47 $ 2,788.92 324 Multi Fam. pd by owner 75.60 2 $ 1.814.40 0.1% $ 92.23 $ 2,213.57 325 Mufti Fam. pd by owner 88.20 1 $ 1,058.40 0.0% $ 107.60 $ 1,291.25 326 Mufti Fam. pd by owner $ 102.81 1 $ 1,233.72 0.1% $ 125.43 $ 1,505.14 327 Mufti Fam. pd by owner $ 105.114 0 $ $ 129.12 $ - 328 Multi Fam. pd by owner $ 120.96 0 $ $ 147.67 $ 329 Multi Fern. pd by owner $ 257." 0 $ $ 313.59 $ - 330 Mufti Farn. pd by owner $ 480.81 1 $ 5,769.72 0.2% $ 586.59 $ 7,039.06 331 Mufti Fern. pd by owner $ 707.61 1 $ 8,491.32 0.4% $ 863.28 $ 10,359.41 332 Mufti Fam. pd by owner S 1,121.90 1 $ 13.462.80 0.6% S 1,368.72 $ 16,424.62 333 Mufti Fam. pd by owner $ 51.66 2 $ 1,239.84 OA% $ 63.03 $ 1,512.60 334 Multi Fern. pd by owner $ 211.68 1 $ 2,540.16 0.1% $ 258.25 $ 3,099.00 335 Multi Fam. pd by owner $ 13.23 0 $ - - $ 16.14 $ - 336 Multi Fam. pd by owner $ 44.10 1 $ 529.20 0.0% S 53.80 $ 645.62 337 Multi Fern. pd by owner $ U.02 1 $ 408.24 0.0% $ 41.50 $ 498.05 338 Multi Fam. pd by owner $ 90.72 1 $ 1,088.64 0.0% $ 110.68 $ 1,328.14 339 Multi Fam. pd by owner $ 60.48 0 $ - $ 73.79 $ - 340 Multi Fam. pd by owner $ 56.70 0 $ - - $ 69.17 $ - 341 Multi Fam. pd by owner $ 45.36 1 $ 544.32 0.0% $ 65.0 $ 664.07 342 Mufti Fam. pd by owner $ 73.08 1 $ 876.96 0.0% $ 89.16 $ 1,069.89 343 Mufti Fam. pd by owner $ 78.12 1 $ 937.44 0.0% $ 96.31 $ 1,143.68 344 Multi Fam. pd by owner $ 68.04 1 $ 816.48 0.0% $ 83.01 $ 9N.1 1 345 Mufti Fam. pd by owner $ 48.38 1 $ 580.56 0.0% $ 59.02 $ 708.28 346 Mufti Fam. pd by owner $ 30.74 0 $ - - $ 37.60 $ - 347 Mufti Fern. pd by owner S 27.72 1 $ 332.64 0.0% $ 33.82 $ 405.82 348 Mufti Fam. pd by owner $ 40.32 1 $ 483.84 0.0% $ 49.19 $ 590.28 349 Multi Fam. pd by owner S 35.28 1 $ 423.36 0.0% S 43.04 $ 516.50 350 Mufti Fam. pd by owner S 34.02 1 $ 408.24 0.0% $ 41.50 $ 498.05 351 Mufti Fam. pd by owner $ 37.80 2 $ 907.20 0.0% $ 46.12 $ 1,106.78 352 Multi Fam. pd by owner $ 46.62 2 $ 1,118.88 0.0% $ 56.88 $ 1,36&03 353 Multi Fam. pd by owner $ 42.38 1 $ 580.56 0.0% S 59.02 $ 708.28 354 Multi F&n. pd by owner $ 57.96 1 $ 695.52 0.0% $ 70.71 $ M.53 355 Multi Fun. pd by owner $ 70.58 0 $ - - $ 36.08 $ 356 Multi Fam. pd by owner $ 74.34 0 $ - - $ 90.69 $ - 357 Multi Fam. pd by owner $ ".26 1 $ 771.12 0.0% $ 78.40 $ 940.77 358 Multi Fam. pd by owner $ 25.92 1 $ 1,028.16 0.0% $ 104.53 $ 1,254.36 359 Multi Fam. pd by owner $ 96.55 2 $ 2,293.20 0.1% $ 116.57 $ 2,797.70 360 Multi Fam. pd by owner $ 100.80 1 $ 1,209.60 0.1% $ 122.98 $ 1,475.71 361 Mufti Fam. pd by owner $ 98.20 2 $ 2,116.80 0.1% $ 107.60 $ 2,582.50 362 Mufti Fam. pd by owner $ 176AG 1 $ 2,116.80 0.1% $ 215.21 $ 2,582.50 363 Mufti Fam. pd by owner S 252.00 0 $ - $ 307A4 $ - 364 Mufti Fern. pd by owner $ 226.80 1 $ 2,721.60 0.1% $ 276.70 $ 3,320.35 WS Mufti Fern. pd by owner $ 2U.36 1 $ 2.812.32 0.1% $ 285.92 $ 3.431.03 366 Mufti Fain. pd by owner $ 326.08 1 $ 3,900.96 0.2% $ 396.60 $ 4,75917 367 Mufti Fern. pd by owner $ 337.68 1 $ 4,052.16 0.2% $ 411.97 $ 4,943.64 368 Multi Fam. pd by owner $ 282.24 1 $ 3,386.88 0.1% S 344.33 $ 4,131.99 369 Multi Fam. pd by owner $ 33SA2 1 $ 4,037.04 0.2% $ 410.43 $ 4.925.19 370 Mufti Fam. pd by owner $ 372.96 1 $ 4,475.52 0.2% $ 455.01 $ 5,460.13 371 Multi Fam. pd by owner $ 362.80 1 $ 4,233.60 0.2% S 430.42 $ 5,164.99 372 Multi Fam. pd by owner $ 679.60 1 $ 6,955.20 0.3% $ 707.11 $ 8,485.34 373 Multi Fam. pd by owner $ 617AO 1 $ 7,408.80 0.3% $ 763.23 $ 9,038.74 374 Mufti Fam. pd by owner $ 932AO 1 $ 11,188.80 0.5% $ 1,137.53 $ 13,650.34 375 Multi Fam. pd by owner $ 403.20 0 $ - - S 491.90 $ - 376 Mufti Fam. pd by owner $ 30.87 1 $ 370.44 0.0% $ 37.86 $ 451.94 2 of 3 FLATRATEALS Water Rate Analysis - Flat Rates Proposed Rate Increase: 22% Exhibit B Total: # Commercial/industrial Accounts: 19,421 $ 2,327,298.36 100.0% $ 2,839,304.00 Net increase: $ 612,005.64 329 $ 54,476.64 $ 66,461.50 Avg/Mo. $ 13.80 Net increase: $ 11,984.86 Average IncreaselMo.: $ 3.04 Note: Deleted non-residential codes with no customers since all new ones will be metered. 3 of 3 FLATRATEXILS Present Annual Annual Code Account Type Rate Number Revenue % New Rate Revenue 377 MuM Pam. pd by owner 4 26.46 1 $ 317.52 0.0% $ 32.28 3 387.37 378 Muld Fam. pd by owner $ 21A2 1 $ 257.04 0.0% $ 26.13 $ 313.59 379 Multi Fam. pd by owner $ 13.86 0 $ - - $ Ism $ - 380 Mulli Farn. pd by owner $ SOAB 2 $ 1,451.52 0.1% $ 73.79 $ 1,770.85 381 Multi Farn. pd by owner $ 132.30 0 $ - - $ ISIA11 S - 382 Mull Fam. pd by owner $ 15.12 0 $ - - $ 18AG $ 499 Mufti Farn. pd by owner $ W $ - - $ - $ - 500 City Flat Rate Aect. $ 47.62 3 $ 1.714.32 0.1% $ 58.10 $ 2,091.47 501 City Flat Rate Acct. $ 26.46 3 $ 952.56 0.0% $ 32.28 $ 1,162.12 W2 City FM Rate Acct. $ 15.87 4 $ 761.76 0.0% $ 19.36 $ 929.35 503 City Flat Rate Acet. $ 10.58 19 $ 2,412.24 0.1% $ 12.91 $ 2,942.93 504 City Flat Rate Acct. $ 35.36 1 $ 424.32 0.0% $ 43.14 $ 517.67 505 City Fiat Rate Acct. $ 39.69 1 $ 476.28 0.0% $ 4SA2 $ 581.06 SW City Flat Rate Acct. $ 34.04 10 $ 4,084.80 0.2% $ 41.63 $ 4,983.46 515 Non-ResldentiaJ Flat Rate $ 10.68 270 $ 34,279.20 1.5% $ 12.91 $ 41,820.62 524 Non -Residential Flat Rate $ 13.23 1 $ 158.76 0.0% $ 16.14 $ 193.69 530 Non -Residential Flat Rate $ 14.02 a $ 1,345.92 0.1% $ 17.10 $ 1,642.02 536 Non -Residential Flat Rate $ 15.87 10 $ 1,904.40 0.1% $ 19.36 $ 2,323.37 542 Non -Residential Flat Rate $ 17AS 10 $ 2,095.20 0.1% $ 21.30 $ 2,556.14 554 Non-Resildential Flat Rate $ 21.10 13 $ 3,300.96 0.1% $ 25.82 $ 4,027.17 557 Non-Residentlal Flat Rate $ 22.22 1 $ 266.64 0.0% $ 27.11 $ 325.30 569 Non -Residential Flat Rate $ 26AS 1 $ 317.52 O.D% S 32.28 $ 387.37 575 Non -Residential Flat Rate $ 28.04 1 $ 336.48 0.0% $ 34.21 S 410.51 581 Non-Residentiall Flat Rate $ 29.63 2 $ 711.12 0.0% $ 38.15 $ 867.57 584 Non -Residential Flat Rate $ 31.76 1 $ 381.00 0.0% $ 38.74 $ 464.82 589 Non -Residential Flat Rate S 68.79 1 $ 825.48 0.0% $ 83.92 $ 1,007.09 6M Non -Residential Flat Rate $ 42.33 1 $ 507.96 0.0% $ 51.64 $ 619.71 629 Non -Residential Flat Rate ".46 1 $ 533.40 0.0% $ 54.23 $ 650.75 638 Non -Residential Flat Rate 47.62 1 $ 571.44 0.0% $ 58.10 $ 697.16 647 Non -Residential Flat Rate $ 62.12 1 $ 625.44 0.0% $ 63.59 $ 763.04 665 Non -Residential Flat Rate $ 58.211 1 $ 698.52 0.0% 71.02 $ 852.19 692 Non -Residential Flat Rate $ 70.38 2 $ 1,689.12 0.1% 86.86 $ 2,060.73 698 Non -Residential Flat Rate, $ 74.08 1 $ 888.96 0.0% $ 90.38 $ 1,084.53 736 Non -Residential Flat Rate $ 120.96 1 $ 1,451.52 0.1% $ 147.57 $ 1,770.65 746 Non -Residential Flat Rate $ 132.30 1 $ 1,587.60 0.1% $ ISIAI $ 1,936.87 Total: # Commercial/industrial Accounts: 19,421 $ 2,327,298.36 100.0% $ 2,839,304.00 Net increase: $ 612,005.64 329 $ 54,476.64 $ 66,461.50 Avg/Mo. $ 13.80 Net increase: $ 11,984.86 Average IncreaselMo.: $ 3.04 Note: Deleted non-residential codes with no customers since all new ones will be metered. 3 of 3 FLATRATEXILS Exhibit C Metered Water Rate Changes Existing Water Charge: $ 0.285 per 100 cubic feet ($0.38 perlOOOgallons) Proposed Increase: 5% New Water Charge: $ 0.299 perlOOcubicfeet ($0.40 per1000gallons) Base Charge Increase: 10% Monthly Base Charges: # gallons included in base charge Meter Size Existing Charge New Charge Existing New 3/4- $10.58 $11.64 27,800 0 in $15.87 $17.46 41,700 0 1 V2" $21.16 $23.28 55,500 0 2" $26.46 $29.11 69,400 0 3" $37.04 $40.74 97,200 0 4' $47.62 $52.38 125,000 0 6" $68.79 $75.67 180,500 0 8" $89.96 $98.96 236,100 0 MTR-RATE.XLS OF,( ,17P, 0 7f Ov� On March 16, 1995 in the City of Lodi, San Joaquin County, California, I deposited in the United States mail, envelopes with first-class postage prepaid thereon, containing a copy of the Notice attached hereto, marked Exhibit "A"; said envelopes were addressed as is more particularly shown on Exhibit "B" attached hereto. There is a regular daily communication by mail between the City of Lodi, California, and the places to which said envelopes were addressed. I declare under penalty of perjury that the foregoing is true and correct. Executed on March 16, 1995, at Lodi, California. Jacqueline L. Taylor Acting City Clerk Linda S. Nichols Deputy City Clerk demail/fonns CITY OF I- -)DI NOTICE - PUBLIC HEARING Carnegie Forum Date: April 19,1995 305 West Pine Street, Lodi Time: 7:00 p.m. For information regarding this notice please contact: Jennifer M. Perrin City Clerk Telephone: (209) 333-6702 NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that on Wednesday, April 19, 1996 at the hour of 7:00 p.m., or as soon thereafter as the matter may be heard, the City Council will conduct a Public Hearing at the Carnegie Forum, 305 West Pine Street, Lodi, to consider the following matter: a) consider increasing water rates, starting June 1, 1995, to address the Dibromochloropropane (DBCP) issue and start on the capital and maintenance issues. All interested persons are invited to present their views and comments on this matter. Written statements may be filed with the City Clerk at any time prior to the hearing scheduled herein, and oral statements may be made at said hearing. If you challenge the subject matter in court, you may be limited to raising only those issues you or someone else raised at the Public Hearing described in this notice or in written correspondence delivered to the City Clerk, 221 West Pine Street, at or prior to the Public Hearing. By Order of the Lodi City Council: r Jacqu line V L. Taylor 1tv at r Acting ity Clerk Dated: March 16,1995 Approved as to form: Bobby W. McNatt City Attorney JUTYURMFORMNOTGEN.00C X13/95 MR BILL DAUER MR BOB GRAF HELMUTH HOFF M D EXECUTIVE DIRECTOR EXECUTIVE VICE PRESIDENT 1010 W ELM ST LMH FOUNDATION INC PACIFIC COAST PRODUCERS LODI CA 95240 999 S FAIRMONT AVE STE 110 P 0 BOX 1600 LODI CA 95240 LODI CA 95241-1600 DR FRANK V JOHNSON JR LODI OPTOMETRY GROUP P 0 BOX 68 LODI CA 95241 MR LES DABRITZ EXECUTIVE DIRECTOR LODI CHAMBER OF COMMERCE P 0 BOX 386 LODI CA 95241 D8CP0UT2.D0C MS VICKIE VAN STEENBERGE PRESIDENT LODI IRON WORKS P 0 BOX 1150 LODI CA 95241-1150 MS SHERI DEL TORO LODI INDUSTRIAL GROUP c/o CHAMBER OF COMMERCE P 0 BOX 386 LODI CA 95241 MR BOB WHEELER PLANT MANAGER GENERAL MILLS P 0 BOX 3002 LODI CA 95241 4. 1 Int ( k1k CITY COUNCIL STEPHEN). MANN, Mayor CITY OF LODI DAVID P. WARNER Mayor Pro Tempofe CITY HALL, 221 WEST PINE STREET RAY G. DAVENPORT PHILLIP A. PENNINO P.O. BOX 3006 JACK A. SIEGLOCK LODI, CALIFORNIA 95241-1910 (209) 333-6706 FAX (209) 333-6842 April 13, 1995 SEE MAILING LIST ATTACHED THOMAS A. PETERSON City Manager JENNIFER M. PERRIN City Clerk BOB McNATT City AMorney SUBJECT: Public Hearing to Consider Increasing Water Rates Effective June 1, 1995 Enclosed is a copy of background information on an item on the City Council agenda of Wednesday, April 19, 1995, at 7 p.m. The meeting Will be held in the City Council Chamber, Carnegie Forum, 305 West Pine Street The Council will conduct a public hearing on this item. You are welcome to attend and speak at the appropriate time. If you wish to write to the City Council, please address your letter to City Council, City of Lodi, P. 0. Box 3006, Lodi, California, 95241-1910. Be sure to allow time for the mail. Or, you may hand -deliver the letter to City Hall, 221 West Pine Street If you wish to address the Council at the Council meeting, be sure to fill out a speaker's card (available at the Carnegie Forum immediately prior to the start of the meeting) and give it to the City Clerk. If you have any questions about communicating with the Council, please contact Jennifer Perrin, City Clerk, at (209) 333-6702. If you have any questions about the item itself, please call Richard Prima at (209) 333-6706. ck L. onsko P orks Director I �ic - I JLR/lrn Enclosure cc: City Clerk NWTRAINC.00C MAILING LIST FOR 4/19/95 PH TO CONSIDER INCREASING WATER RATES EFFECTIVE JUNE 1, 1995 MR BILL DAUER EXECUTIVE DIRECTOR LMH FOUNDATION INC 999 S FAIRMONT AVE STE 110 LODI CA 95240 OR FRANK V JOHNSON JR LODI OPTOMETRY GROUP P 0 BOX 68 LODI CA 95241 THE ABOVE SIX ARE THE DBCP COMMITTEE MEMBERS MR BOB GRAF EXECUTIVE VICE PRESIDENT PACIFIC COAST PRODUCERS P 0 BOX 1600 LODI CA 95241-1600 MS VICKIE VAN STEENBERGE PRESIDENT LODI IRON WORKS P 0 BOX 1150 LODI CA 95241-1150 MR LES DABRITZ MS SHERI DEL TORO EXECUTIVE DIRECTOR LODI INDUSTRIAL GROUP LODI CHAMBER OF COMMERCE CIO CHAMBER OF COMMERCE P 0 BOX 386 P 0 BOX 386 LODI CA 95241 LODI CA 95241 ALSO SENT TO: ERIC VANHOVE ROBERT PAULAT PLANT MGR GENERAL MILLS PACIFIC COAST PRODUCERS P 0 BOX 3002 P 0 BOX 880 LODI CA 95241 LODI CA 95241 05CPC0MM.DCC HELMUTH HOFF M D 1010 W ELM ST LODI CA 95240 MR BOB WHEELER PLANT MANAGER GENERAL MILLS P 0 BOX 3002 LODI CA 95241 RESOLUTION NO. 95-54 A RESOLUTION OF THE LODI CITY COUNCIL ADOPTED PURSUANT TO SECTION 13.08.010 OF THE LODI MUNICIPAL CODE, PROVIDING FOR AND ESTABLISHING RATES TO BE CHARGED FOR WATER SERVICE WHEREAS, pursuant to the requirements of Government Code Section 54354.5, a Public Hearing was held on April 19, 1995, to consider adoption of a resolution setting and establishing an amended fee schedule for water service rates. NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council: SECTION 1: The schedule of water service rates for the City of Lodi shall be as shown on Exhibit "A" attached hereto and made a part hereof. SECTION 2: The rates established by this resolution shall be effective June 1, 1995 or applied to the next full billing cycle following adoption. SECTION 3: All resolutions and parts of resolutions in conflict herewith are repealed insofar as such conflict may exist. Dated: April 19, 1995 I certify that Resolution No. 95-54 was passed and adopted by the City Council of the City of Lodi in a regular meeting held April 19, 1995 by the following vote: AYES: Council Members - Pennino, Sieglock, Warner and Mann (Mayor) NOES: Council Members - Davenport ABSENT: Council Members - None ABSTAIN: Council Members - None 4 J QILINE L. i�AYL41- g ity C Aing ity Cler'i 95-54 Water Rate Increase Rate Changes A. General Fund Oln-lieu tax policy B. Flat Rate Increase: C. Metered Rate: C1. Base Charge Increase: C2. Water Charge Increase: C3. Water Allowance Adopted April ig, 1995 Estimated Revenue Changes Present Revenuel Increased Revenue Exhibit A WTRAOPT2XLS FlatRate: $ 2,327,000 1 $ 2,738,000 Metered Rate: $ 480,000 $ 617,000 Total: $ 2,807,000 3,355,000 Total In -lieu Tax: $ 561,000 N $ 585,000 Net New Revenue to Water Fund: $ $ 524,000 Increase per month for 3 -bedroom home: $ 1.87 Exhibit A WTRAOPT2XLS Attachment I to Exhibit A Water Rate AnalysIs - Flat Rates Rate Increase: 17.7% 2 of 3 FLATRATEXLS Present Code Account Type Rate New Rate 315 Multi Farn. po by owner $ 60AO $ 69.32 316 Multi Farn. pd by owner S 45.36 $ 63.39 317 Mufti Fam. pd by owner $ 49.14 $ 57.24 318 Mufti Fam. pd by owner $ 61.66 $ 60.80 319 Mufti Fam. pd by owner $ 56.70 $ 66.74 320 Multi Fam. pd by owner S 52.92 $ 62.29 321 Multi Fam. pd by owner S 63.00 $ 74.15 322 Multi Farn. pd by owner $ 69.30 S 81.57 323 Multi Farn. pd by owner S 63.50 $ 74.74 324 Mufti Fam. pd by owner S 76.60 S 88.98 325 Multi Farn. pd by owner S 88.20 $ 103.81 326 Mufti Farn. pd by owner S 102.81 $ 121.01 327 Mufti Farn. pd by owner S 105.84 $ 124.67 328 Mufti Fern. pd by owner S 120.96 $ 142.37 329 Multi Fam. pd by owner $ 257.04 $ 302.54 330 Multi Fam. pd by owner $ 480.81 $ 666.91 331 Multi Fam. pd by owner $ 707.61 $ 832.86 332 Multi Fam. pd by owner $ 1,121.90 $ 1,320AS 333 Murd Fam. pd by owner $ 61.66 $ 60.80 334 Mufti Farn. pd by owner S 211.68 S 249.16 335 Multi Farn. pd by owner $ 13.23 $ 15.57 336 Multi Farn. pd by owner S 44.10 $ 51.91 337 Multi Farn. pd by owner $ U.02 $ 40.04 338 Mufti Farn. pd by owner $ 90.72 S 106.78 339 Mufti Fam. pd by owner $ 60.48 $ 71.18 340 Mufti Farn. pd by owner $ 66.70 $ 60.74 341 Mufti Farn. pd by owner $ 45.36 $ 63.39 342 Mufti Farn. pd by owner $ 73.08 $ 86.02 343 Multi Farn. pd by owner $ 78.12 $ 91.96 344 Multi Fam. pd by owner $ 68.04 $ 80.08 345 Multi Fam. pd by owner $ 48.38 $ 66.94 346 Mufti Fam. pd by owner $ 30.74 $ 36.18 347 Multi Farn. pd by owner $ 27.72 $ 32.63 348 Multi Farn. pd by owner $ 40.32 $ 47AS 349 Mufti Farn. pd by owner S 35.28 $ 41.52 350 Multi Farn. pd by owner $ U.02 $ 40.04 351 Mufti Farn. pd by owner $ 37.80 $ 44A9 352 Mufti Farn. pd by owner $ 46.62 $ 54.87 353 Mufti Farn. pd by owner $ 48.38 $ 66.94 354 Multi Farn. pd by owner $ 57.96 $ 68.22 355 Multi Fam. pd by owner $ 70.56 $ 83.05 356 Multi Farn. pd by owner $ 74.0 $ 87.50 357 Multi Fern. pd by owner $ 64.26 $ 75.63 358 Mufti Farn. pd by owner $ 85.68 $ 100.85 359 Muki Farn. pd by owner $ 95.56 $ 112AG 360 Mufti Fam. pd by owner $ 100.80 $ 118.64 361 Mufti Farn. pd by owner $ 88.20 $ 103.81 362 Mufti Farn. pd by owner $ 17SAO $ 207.62 363 Multi Fam. pd by owner $ 262.00 $ 296.60 364 Mufti Farn. pd by owner $ 226.20 $ 266.94 365 Multi Fam. pd by owner $ 234.36 $ 276.84 366 Mufti Fam. pd by owner $ 325.08 $ 382.82 367 Multi Fam. pd by owner $ 337.68 $ 397AS 368 Multi Farn. pd by owner S 282.24 S 332.20 369 Multi Farn. pd by owner $ 336.42 $ 396.97 370 Mufti Fam. pd by owner $ 372.96 S 438.97 371 Multi Farn. pd by owner S 352.80 $ 415.25 372 Multi Farn. pd by owner S 579.60 $ 682.19 373 Mufti Fam. pd by owner S 617.40 S 726.68 374 Mufti Farn. pd by owner $ 932.40 3 1,097.43 375 Mufti Farn. pd by owner $ 403.20 S 474.57 376 Mufti Farn. pd by owner $ 30.87 S 36.33 2 of 3 FLATRATEXLS Attachment I to Exhibit A Water Rate Analysis - Flat Rates Rate Increase: 17.7% 1 of3 FLATRATEXLS Present Code Account Type Rate New Rate AOI Apt. - I Br. S 6.30 $ 7.42 A02 Apt. - 2 Br. $ 7.56 $ 8.90 A03 Apt. .3 Br. $ 9.07 $ 10.68 A04 Apt. - 4 Br. $ 10.88 $ 12.81 A05 Apt. - 5 Br. 4 13.06 $ 16.37 A06 Apt. - 6 Sr. $ 15.67 $ IBA4 A07 Apt. - 7 Br. 18.81 $ 22.14 HOI Residence - I Br. 7.35 8.65 H02 Residence - 2 Br. 8.22 10.38 H03 Residence - 3 Br. 10.58 112A6 H04 Residence - 4 Br. 12.70 14.95 H05 Residence - 5 Br. 15.24 17.94 HOG Residence - 6 Sr. $ 18.29 4 21.53 H07 Residence - 7 Br. $ 21.94 $ 25.82 Oil Multi Farn. pd by owner 3 14.70 $ 17.30 012 Mufti Fern. pd by owner $ 16.17 $ 119.03 013 Mufti Fern. pd by owner $ 17.93 S 21.10 014 Mufti Fern. pd by owner $ 20.05 $ 23.60 022 Mufti Fern. pd by owner $ 17.64 $ 20.76 023 Mufti Fern. pd by owner $ 19AD $ 22.83 024 Multi Fern. pd by owner $ 21.52 $ 25.33 033 Multi Fern. pd by owner $ 21.16 $ 24M 034 Multi Fam. pd by owner $ 23.28 $ 27AD 044 Multi Farn. pd by owner $ 25AI $ 29.91 045 Multi Fam. pd by owner $ 231.08 S 271.98 11 Multi Fern. pd by owner $ 14.70 S 17.30 111 Multi Fern. pd by owner $ 22.06 $ 25.95 112 Multi Fern. pd by owner $ 23.52 $ 27.68 113 Mufti Fern. pd by owner $ 25.28 $ 29.75 114 Mufti Farn. pd by owner $ 27AO $ 32.26 122 Mufti Fam. pd by owner $ 24.99 $ 29.41 123 Mufti Fern. pd by owner $ 26.76 $ 31AS 124 Multi Farn. pd by owner $ 28.87 $ 33.98 133 Multi Fam. pd by owner $ 28.61 S 33.66 134 Multi Fern. pd by owner $ 30.63 $ 36.05 144 Multi Fam. pd by owner $ 32.76 $ 38.56 222 Multi Fam. pd by owner $ 26.46 $ 31.14 223 Mufti Fern. pd by owner $ 28.22 3 33.21 224 Multi Farn. pd by owner $ 30.0 S 35.71 233 Multi Fern. pd by owner $ 29.98 $ 35.29 234 Mufti Fern. pd by owner $ 32.10 $ 37.78 244 Mufti Fern. pd by owner $ 34.23 $ 40.29 245 Mufti Fern. pd by owner $ 31.75 $ 37.37 246 Multi Fern. pd by owner $ 33.87 S 39.86 247 Mufti Fern. pd by owner S 35.99 $ 42.36 248 Multi Farn. pd by owner $ 38.11 $ ".86 249 Multi Fam. pd by owner $ 52.92 $ 62.29 300 Multi Fern. pd by owner $ 15.87 $ 18.62 301 Multi Farn. pd by owner $ 17.93 $ 21.10 302 Mufti Fam. pd by owner $ 26.46 $ 31.14 303 Multi Fern. pd by owner $ 18.90 $ 22.25 304 Multi Fern. pd by owner $ 113.40 $ 1133A7 305 Mufti Fern. pd by owner $ 88.20 $ 103.81 306 Multi Fern. pd by owner $ 163.80 $ 192.79 307 Mufti Farn. pd by owner $ 223.02 $ 262.49 308 Mufti Fam. pd by owner $ 270.90 $ 318.85 309 Mufti Farn. pd by owner $ 258.30 $ 304.02 310 Multi Farn. pd by owner $ 1,612.00 $ 1,779.62 311 Multi Fam. pd by owner $ 27AS $ 32.32 312 Mufti Fern. pd by owner $ 25.20 $ 29.66 313 Multi Fam. pd by owner $ 31.50 $ 37.08 314 Multi Fam. pd by owner $ 30.24 $ 35.59 1 of3 FLATRATEXLS Attachment I to Exhibit A Water Rate Analysis - Flat Rates Rate Increase: 17.7% 3 of 3 FLATRATEALS Present Code Account Type Rate New Rate 37711516 Fam. pd by owner $ 26AS $ 31.14 378 Mufti Fam. pd by owner $ 21A2 $ 25.21 379 Multi Fam. pd by owner $ 13.86 $ 16.31 380 Multi Fam. pd by owner $ GOAS $ 71.18 361 Multi Fam. pd by owner $ 132.30 $ 166.72 382 Multi Fam. pd by owner $ 15.12 $ 17.80 499 Multi Fam. pd by owner $ . $ 500 City Flat Rate Acct. $ 47.62 $ 56.05 501 City Flat Rate Acct. $ 26.46 $ 31.14 502 City Flat Rate Acct. $ 15.87 $ 118.68 503 City Flat Rate Acct. $ 10.58 S 112A5 504 City Flat Rate Aect. $ 35.36 $ 41.62 505 My Flat Rate Acct. $ 39.69 $ 48.72 506 City Flat Rate Acci. $ U.04 $ 40.07 515 Non-Residentiall Flat Rate $ 10.58 $ 12AS 524 Non-Residentiall Flat Rate $ 13.23 $ 15.57 530 Non-Residentiall Flat Rate $ 14.02 $ 16.50 536 Non-Residentiall Flat Rate $ 16.87 $ 18.68 542 Non -Residential Flat Rate S 17AS $ 20.55 554 Non -Residential Flat Rate $ 21.16 $ 24.91 557 Non -Residential Flat Rate $ 22.22 $ 26.15 569 Non -Residential Flat Rate $ 26AS $ 31.14 575 Non-Residentiall Flat Rate $ 28.04 $ 33.00 581 Non -Residential Flat Rate $ 29.63 $ U.87 584 Non -Residential Flat Rate $ 31.75 $ 37.37 SM Non -Residential Flat Rate 68.79 $ 80.97 623 Non -Residential Flait Rate 42.33 S 49.82 629 Non -Residential Flat Rate $ 44.45 $ 62.32 638 Non -Residential Flat Rate $ 47.62 S 56.05 647 Non -Residential Flat Rate $ 52.12 $ 61.35 665 Non -Residential Flat Rate $ 58.21 $ 68.61 692 Non -Residential Flat Rate $ 70.38 $ 82.84 698 Non -Residential Flat Rate $ 74.08 S $7.19 736 Non -Residential Flat Rate $ 120.96 $ 142.37 746 Non -Residential Flat Rate $ 132.30 $ 155.72 3 of 3 FLATRATEALS Metered Water Rate Changes Existing Water Charge: $ Proposed Increase: New Water Charge: $ 0.285 perlOOcubicfeet 4% 0.296 perlOOcubicfeet Base Charge Increase: 8% Attachment 2 to ExhibitA Approdmately ($0.38 perIO00gallons) Appradmately ( $ 0.40 per 1000 gallons) Monthly Base Charges: # gallons included in base charge: Meter Size Existing Charge New Charge Existing New %" $10.58 $11.43 27,800 0 1" $15.87 $17.14 41,700 0 11/2" $21.16 $22.85 55,500 0 2" $26.46 $28.58 69,400 0 3" $37.04 $40.00 97,200 0 4" $47.62 $51.43 125,000 0 6" $68.79 $74.29 180,500 0 8" $89.96 $97.16 236,100 0 MTR—RATEALS