HomeMy WebLinkAboutOrdinance 10286~~
a ti __ ~'~ J
.~ Qrn
ORDINANCE NO ~®~U`(~
AN ORDINANCE APPROPRIATING $69,555.00 TO THE WATER & SEWER OPERATING FUND, FUND 45,
SEWER ADMINISTRATION ACCOUNT NO 70-10-00, AND DECREASING THE UNRESERVED, UNDESIGNATED
RETAINED EARNINGS BY THE SAME AMOUNT FOR THE PURPOSE OF FUNDING A CONSULTING STUDY ON
THE WHOLESALE COST OF WASTEWATER SERVICE, WASTEWATER RATE DESIGN, AND RECOMMEND
WASTEWATER RATE MODIFICATIONS IN CONFORMANCE WITH THE WASTEWATER SERVICE CONTRACTS,
PROVIDING FORA SEVERABILITY CLAUSE, MAKING THIS ORDINANCE CUMULATIVE OF PRIOR
ORDINANCES AND REPEALING ALL PRIOR ORDINANCES IN CONFLICT HEREWITH, PROVIDING FOR
ENGROSSMENT AND ENROLLMENT, AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS'
SECTION 1.
That in addition to those amounts allocated to the various City departments for the
Fiscal Year 1988-89 and in the Budget of the City Manager, there shall also be increased
appropriations in the Water & Sewer Operating Fund, Fund 45, Account No 70-10-00, in the
amount of $69,555 00, thereby decreasing the unrestricted, undesignated Retained Earnings
by the same amount, for the purpose of funding a consulting study on the wholesale cost of
wastewater service wastewater rate design, and recommend wastewater rate modifications
in conformance with the wastewater service contracts
SECTION 2.
Should any portion, section or part of a section of this ordinance be declared invalid,
inoperative or void for any reason by a court of competent jurisdiction, such decision,
opinion or judgement shall in no way impair the remaining portions, sections, or parts of
sections of this ordinance, which said remaining provisions shall be and remain in full
force and effect.
SECTION 3.
That this ordinance shall be cumulative of Ordinance No 10151 and all other
ordinances and appropriations amending the same except in those instances where the
provisions of this ordinance are in direct conflict with such other ordinances and
appropriations, in which instance said conflicting provisions of said prior ordinances and
appropriations are hereby expressly repealed
SECTION 4.
The City Secretary of the City of Fort Worth is hereby directed to engross and enroll
this ordinance by copying the caption and effective date into the minutes of the City
Council and by filing this ordinance in the ordinance records of the City of Fort Worth.
SECTION 5
This ordinance shall take effect and be in full force and effect from and after the
date of its passage, and it is so ordained.
APPROVED AS TO FORM AND LEGALITY•
City Attorney
Date
--- - e ~~ --~--
Adopted ___ __ ~/ ___
Effective ~ l ~ ~~
--------------
~~
MA9 TER F~LE• I =
ACCOUNTINQ-~.^~ ~~~~ ®~ JL ®U G~ 7' V' ®Y `~~ ~~L~Y..~L~Y
.. ~ «.. ..
TRAN3PORTATION'PU6UC .WO 1~``~J~ ®,~Q ~~ .l/ ~®~~ ^~ l/ ~®~~~~~ ^~~/.,~®~
NATER ApMINISTRATidN i ~ v/~ ~ ,~ tr1Lt//V ~LL1/• ll/V t11V• l/L/i
MANAOEMENTBER c~~.TSE REFERENCE SUBJECT EMPLOYMENT OF KPMG PEAT MARWICK O PAGE
NUMBER
4-11-89 **C-11578 CONDUCT A WHOLESALE WASTEWATER RATE ~ lof 2
RECOMMENDATION
It i`s• recommended that the City Council
1. -`Adopt the attached supplemental appropriation ordinance appropriating
.__..$69,555.00 to the Water & Sewer Operating Fund 45, Sewer Administration
--Account No. 70-10-00 from the Water & Sewer Operating Fund 45
~~~Unreserved, Undesignated Retained Earnings for the purpose of funding a
"~'"consulting study on the wholesale cost of wastewater service, wastewater
~~rate design, and recommend wastewater rate modifications in conformance
with the wastewater service contracts.
2. Authorize the City Manager to execute a contract to employ KPMG Peat
Marwick Main & Co. to perform the study outlined below fora maximum fee
not to exceed $69,555.00.
nrcriiccrnN
Long-term wholesale wastewater contracts are presently in effect between Fort
Worth and their wholesale customers. Under the terms of these contracts, the
Wastewater Advisory Committee, which consists of representative from each
wholesale customer submits a list of five qualified consultants of which the
Water Director must select one to perform the Wholesale Wastewater Cost of
Service and Rate Study. It is proposed that KPMG Peat Marwick Main & Co. be
employed to conduct this study and recommend rate modifications in
conformance with the wastewater service contracts. These rates will go into
effect October 1, 1989.
Principal elements of the proposed study would include
I. Review of Existing Wholesale Wastewater Contracts and Charges.
II. Analysis; of,Cos~ts for City Wholesale Wastewater Service.
1. '6., e.
A. Lathe"r"~and~-compile historical data over a three-year period.
B. Determine operation and maintenance expenses, depreciation
expense, and'rate of return of the Fort Worth wastewater utility
for fiscal year 1990, by using actual data for the twelve month
period ending. September 30, 1988, adjusted for all known and
measurable changes in cost data which have incurred since the last
audited financial statements.
rt
III. Establish R~exvenue Requirements which include Rate Base,
Depreciation Expense, Operating Expense, and Embedded Interest
Cost.
DATE REFERENCE suB~ECr EMPLOYMENT OF KPMG PEAT MARWICK TO PAGE -•
NUMBER CONDUCT A WHOLESALE WASTEWATER RATE 2,=, of r2
4-11-89 ** C-11578 STUDY --
~'.c. e
IV. Allocate Costs of Service-to the Functional Costs and determine
Cost Allocation for Customer Demand Factors, Infiltration/Inflow,
Wastewater Functions, and Wholesale Classes.
U. Design Rates for Outside City Wholesale Wastewater Service.
VI. Provide a Rate Model and User Manual to Assist The Water Depart-
ment in Performing Future Cost of Service Studies.
VII. Conduct Status Meetings with the Wastewater Advisory Committee.
KPMG Peat Marwick Main & Co. comply with the City of Fort Worth's MBE/WBE
policy.
FINANCING
Upon adoption of the Supplemental Appropriations Ordinance, sufficient funds
will be available in the Water & Sewer Operating Fund 45, Sewer
Administration, 70-10-00 to finance the proposed fee of $69,555.00. This
expenditure will be made from Index Code 381418. The available balance in
the Unreserved, Undesignated retained earnings of the Water and Sewer
Operating Fund 45 will be $129,958,720 after this transfer.
RAM mmc
BY
CITY t~UyCIL
~~~ ~1 ~
C ~.~..~,
seczecauy ~f t!-~
Ci:y of For Worth, 'TbX61f
SUBMITTED FOR THE
OIF ICEABY GER'S Ruth Ann McKinney DISPOSITI^O APPROOVEDCIL. PROCESSED BY
ORIGINATING ^ OTHER (DESCRIBE)
DEPARTMENT HEAD• R Sawey CITY SECRETARY
FOR ADDITIONAL INFORMATION
CONTACT Gra.tZk2 8402 ~~ DATE
w~r.rir
f • 9 '~
~ ~'? f 1