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Home My WebLink About75B - PH - METERED WATER RATE CHANGEREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JUNE 6, 2011 TITLE: PUBLIC HEARING - RESOLUTION REVISING THE METERED WATER RATE AND SEWER SERVICE CHARGE OF THE CITY L k?L, CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ? As Recommended ? As Amended ? Ordinance on 1st Reading ? Ordinance on 2nd Reading ? Implementing Resolution ? Set Public Hearing For_ CONTINUED TO FILE NUMBER Adopt a resolution revising the metered water rate and sewer service charge of the City effective July 1, 2011. DISCUSSION The City's metered water rate and sewer service charge are adjusted annually as part of the overall City budget process. The proposed increased rates will enhance the City's Capital Improvement Program (CIP) to ensure sufficient water and sewer capacity. With the increased rates to fund the CIP and maintenance programs, the City will continue to reduce the number of leaks and spills. Both water and sewer consumption rates are based on 100 cubic foot (CCF) units of measurement (approximately 748 gallons). The water rate has two tiers. The Base Rate includes consumption up to 44 CCF during a bimonthly billing period. The typical single-family residential customer consumes approximately 40 CCF during a bimonthly billing period. The Tail Block Rate is charged for all water consumed above the Base Rate allocation. The sewer service charge is a flat charge based on metered water consumption at a premise. The current water Base Rate of $2.673 per CCF is proposed to increase to $2.727. The Tail Block Rate is proposed to increase from $3.097 to $3.154 per CCF. The Sewer Service Charge is proposed to increase from $0.338 to $0.345 per CCF. This equates to a 2% increase in each of the respective rates. ENVIRONMENTAL IMPACT In accordance with the California Environmental Quality Act, the recommended action is not considered a CEQA project. Therefore, no environmental documentation is required. 75B-1 Public Hearing - Resolution Revising the Metered Water Rate and Sewer Service Charge of the City June 6, 2011 Page 2 FISCAL IMPACT The water Base Rate increase of $0.0537 per CCF will add $1.07 to the typical single family monthly water bill of 20 CCF. The typical monthly sewer bill will increase by $0.14. APPROVED AS TO FUNDS AND ACCOUNTS: r Raul Godinez II Executive Direct Public Works Agency Exhibit: 1. Resolution Francisco Gutierrez Executive Director Finance & Management Services Agency 75B-2 Jxs4/05/11 RESOLUTION NO. 2011- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA REVISING THE METERED WATER RATE AND SEWER SERVICE CHARGE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1: The City Council of the City of Santa Ana hereby, finds, determines and declares as follows: A. Santa Ana Municipal Code, Chapter 39, Article II regulates connection to water mains within the City. 1. Pursuant to Santa Ana Municipal Code section 39.21 the City Council shall set metered water rates by resolution. 2. The metered water rate shall be set to maintain a potable water supply and provide standby readiness. 3. It is necessary to increase the metered water rate to reimburse the City for increased costs of repair, replacement, and maintenance of the water system and facilities, including increased materials, labor and overhead costs and water capital improvement program costs. B. Santa Ana Municipal Code, Chapter 39, Article III regulates connection to sewer mains within the City. 1. Pursuant to Santa Ana Municipal Code section 39.55.4 the City Council shall set reasonable sewerage service fees by resolution. Said fee shall be used to operate, maintain, repair and replace the City owned sewer system and facilities. 2. It is necessary to increase the sewer service charge to reimburse the City for increased costs of repair, replacement and maintenance of the sewer system and facilities, including increased materials, labor and overhead costs and sewer capital improvement program costs. 3. The rate increase will be placed into a fund that will be used only to repair and replace sewer mains and laterals located within the street right of way, and which have outlived their useful life and provide preventive EXHIBIT 1 7 _3 Resolution No. 2011-XXX Page 1 of 3 maintenance and operation of the sewer collection system. No moneys from this fund would be placed in the city's general fund. 4. There is a reasonable relationship between the imposition of the fee imposed in that the use of the sewer creates an impact on its condition, requiring its maintenance, repair and replacement. C. On June 6, 2011, the City Council of the City of Santa Ana held a noticed public hearing to review the proposed metered water rate and sewer rate increases. D. Based upon the testimony, reports and other evidence submitted on these matters, this City Council makes the above-specified findings. Section 2: The Metered Water Rate is hereby set as follows: Water Usage Charge - water consumption charge based on units of one- Hundred cubic feet (750 gallons) 0 - 44 ccf (units) $2.727 Over 45 ccf (units) $3.154 Multifamily Dwelling 0-44 ccf of water per dwelling unit $2.727 Over 45 ccf per dwelling unit $3.154 Section 3: The Sanitary Sewer Charge is hereby set as follows: Sewer Service Charge Per unit of water $0.345 Bi-monthly flat charge (un-metered) $13.80 Section 4: If any charge, fee, section, subsection, sentence, clause, phrase or word of this Resolution is for any reason held to be invalid by a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council hereby declares that it would have passed and adopted this Resolution, and each and all provisions hereof, irrespective of the fact that one or more provisions may be declared invalid. Section 5: The increased metered water rate and sanitary sewer fees shall be operative from and after July 1, 2011. Ordinance No. NS-XXX A Page 2 of 3 _4 ADOPTED this day of June, 2011. Miguel A. Pulido Mayor APPROVED AS TO FORM: Joseph Straka, Interim City Attorney By: Jose Sandoval Chief Assistant City Attorney AYES: NOES: Councilmembers: Councilmembers: ABSTAIN: Councilmembers: NOT PRESENT: Councilmembers: CERTIFICATION OF ATTESTATION AND ORIGINALITY I, MARIA D. HUIZAR, Clerk of Council, do hereby attest to and certify the attached Resolution No. to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Clerk of Council City of Santa Ana 7C?_C Resolution No. 2011-XXX J J Page 3 of 3 "T! Af' Alice J. Center Carole Reeves 1638 E. 15th Street Santa Ana, CA 92701 Office of the Clerk of the Council Santa Ana City Hall 20 Civic Center Plaza Santa Ana, CA 92701 Re: Proposed increase in Water and Sewer fees and charges Dear Sirs: April 25, 2011 I am writing to protest to any increase in the Water and Sewer fees and charges. The money I pay to this is already beyond what I can afford! It is not possible to continue paying these high rates. I am 93 years old and trying to stay in my home with my daughter. These prices are running us out of house and home. Please do not raise the cost of these services. Thank you. Sincerely, Alice J. Center r Carole Reeves 75B-6 Eileen M. Lovett 1461 Longmont Place Santa Ana, CA 92705 April 26, 2011 Office of the Clerk Santa Ana City Hall 20 Civic Center Plaza Santa Ana, CA 92701 re: proposed water usage increase in charge To Whom It May Concern, I am in receipt of your letter outlining the proposed changes to our water usage charges. I am writing in protest of this proposal and wish this letter to be entered into the minutes. I also want this letter forwarded to the City Council members so they may take it under consideration as they review all public comments. Proposing increases to citizens who have been struggling financially for the last three years is reprehensible. After suffering job losses and possibly even foreclosures of their homes, increasing a basic human necessity such as water is a cruel blow. Surely the benefits package of employees can better absorb these costs than can the average American, let alone those on fixed incomes, reduced incomes or no incomes at all. Additionally, there are no variances allowed for citizens who have pools, large animals (such as horses) or larger lot sizes. The "typical monthly water bill of 20 units..." is not at all typical for the area in which I live and where the water consumption is greater due to the size of the properties and their amenities. Cumulatively over the course of a year, these increases may impact many residents negatively. Please vote against this proposal. Water is a basic necessity and increasing its price is too heavy a price for cash-strapped Americans to pay. Sincerely, Eileen M. Lovett 75B-7 April 28, 2011 RE: 1522 N. Sycamore St, #A-D Santa Ana, CA 90701 Water and Sewer Charge Increase To Whom It May Concern: 77i f V1, I' - iii' 10= 0 7 I protest to the increase of water & sewer charges. Our water bill has already been increased tremendously since last year, due to the drought and; yet, rent rates went down due to high vacancy. Thank you. Best regards, Pai-tze Chung Property Owner 75B-8 May 1, 2011 Santa Ana City Council 20 Civic Center Plaza Santa Ana, CA 92701 To Whom it May Concern: c 5 I'd like to propose to you that you do the opposite of what you're attempting to do with this increase; that is, institute a reduction in the water and sewer charges by the amounts you've listed on your notice. The council instituted an uncalled for increase last year, so at the very least, if a reduction is not feasible, I propose that you freeze and continue to freeze for a period of three years, the current rates. Government entities at all levels have their hands in the pockets of the citizenry at ever-increasing intervals and depths. Wanton spending by these entities must stop now. If you need money, look to your own operations and cut out all non-essential spending; for instance, you sent me two notices: on one was your notice printed in English and Spanish, and on another was your notice printed in English and Vietnamese. First, you could save the one sheet, second, you can stop printing ALL governmental notices in any language but English. On each notice you can put a sentence in however many languages you wish pointing the non-English speaking people to the appropriate website link, and a note suggesting that they have a friend translate the letter for them if they do not have a computer available. If something is important, they'll get it translated. Spending money to print things in different languages is absurd. I'm sure there are thousands of other areas where you wise people could save the city untold amounts of money. I suggest you look into it, and stop looking into my wallet. Rega s, Kurt Volmer 2328 Valencia Ave Santa Ana, CA 92706 75B-9 a D NI I HAY -9 Pik 3: 31 CLCr.1f. U,' °i CIL li?\ an - -'I*, "klik /T _ f I 1 l 9 rte./ -- - = E l ? C) C/ ? I 1 U?- .? r-6) -/ ;dc " 660 U? 31%t 5 t SG. ? ? ",- -\ y tel. ?;? t s 1-e ff? C-4Y<<- lrl?(-k ? (, r 5 ? - / „v c,,- -,/ II 75B-11 iI A S t_6. May 19, 2011 City of Santa Ana Municipal Utility Services 20 Civic Center Plaza Santa Ana, CA 92702 Subject: City Water and Sewer service proposed increase Evelyn P. Bell 1266-D E. McFadden Ave Santa Ana, CA 92705 Home: (714) 541-9143 Work (714) 567-7569 On behalf of San Souci Homeowner Association, I am writing to protests the proposed increase for city water and sewer service. San Souci Condominiums (One hundred units) 1301-1325 S. Standard Ave 1250-1272 E. McFadden Ave I am a long time residence of the same address for over 35 years. My address is 1266-D E. McFadden Ave, Santa Ana. I am presently on the board of directors for San Souci Homeowner Association. We just recently had an increase in our association dues do to loss monies because of the current economy. Our water bill take up a major part of money we receive each month. I plan on appear at the hearing on this matter on June 6, 2011 at 6:00. Sincerely -? Evelyn P. Bell 75B-12 May 24, 2011 To: The Office of the Clerk of the Council Santa Ana City Hall, 20 Civic Center Plaza Santa Ana, California 92701 From: Won Cha CDHF Management, Inc. 314 W. 4th Street Santa Ana California 92701-4503 Subject: Written Protest against Proposed rate increase for Water Usage charge and Sanitary Sewer Charge Please consider this letter as an official written protest for the proposed adjustments in water and sewer rate for the City of Santa Ana. Sincerely, Won Cha 75B-13 75B-14