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HomeMy WebLinkAboutOrdinance 22374-08-2016 ORDINANCE NO. 22374-08-2061 AN ORDINANCE AMENDING SECTION 35-56 (b), (c) and (d) OF CHAPTER 35, "WATER AND SEWERS", OF THE CODE OF THE CITY OF FORT WORTH (2015), AS AMENDED, BY REVISING AND ADDING CERTAIN VOLUME RATES AND CHARGES; MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES; REPEALING ALL ORDINANCES AND PROVISIONS OF THE FORT WORTH CITY CODE IN CONFLICT HEREWITH; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. That Section 35-56(b) of Chapter 35 of the Code of the City of Fort Worth (2015), as amended, is hereby amended to read as follows: (b) The following schedule of rates per month, or fraction thereof, shall be the charges to all residential and nonresidential customers for furnishing water to such customers located within the city. The residential monthly volume charge for water service shall be the charges to the residential class, as defined in this chapter, for furnishing water to residential water customers located within the city. The nonresidential monthly volume charge for water service shall be the charges to the nonresidential customer class, as defined in this chapter, for furnishing water to nonresidential water customers located within the city. RETAIL WATER RATES Monthly Service Charge for Water Meter Size (inches) Monthly charge 5/8 X 3/4 $10.75 3/4 X 3/4 $11.00 1 $21.10 1-1/2 $39.15 2 $60.80 3 $160.10 4 $273.85 6 $580.80 8 $1,014.15 10 $1,519.75 Ordinance No.22374-08-2016 Page 1 of 5 The monthly volume charge for water service is as follows: Residential Customer Class Cubic Feet Rate First 600 or less cubic feet of water used $2.12 per month, per 100 cubic feet For the next 1,200 cubic feet of water used $2.93 per month, per 100 cubic feet For the next 1,200 cubic feet of water used $3.69 per month,per 100 cubic feet For all in excess of 3,000 cubic feet of $4.44 water used per month,per 100 cubic feet Commercial Customer Class Cubic Feet Rate All usage of water used per month,per 100 cubic feet $2.67 Industrial Customer Class Cubic Feet Rate All usage of water used per month,per 100 cubic feet $2.55 Super User Customer Class Cubic Feet Rate All usage of water used per month,per 100 cubic feet $2.38 Irrigation Meters Cubic Feet Rate First 5,000 or less cubic feet of water used $2.96 per month,per 100 cubic feet Next 5,000 cubic feet of water used $3.56 per month,per 100 cubic feet Ordinance No.22374-08-2016 Page 2 of 5 For all in excess of 10,000 cubic feet of $4.44 water used per month,per 100 cubic feet Gas Well Drillers Cubic Feet Rate All usage of water used per month,per 100 cubic feet $5.85 per month The service charges set out in the foregoing schedules are based upon the amount of water used as measured by meters. SECTION 2. That the monthly wastewater volume rates as described in Section 35-56(c)(1) and (c)(2) of Chapter 35 of the Code of the City of Fort Worth (1986), as amended, is hereby amended to read as follows: (1) Monthly Service Charge for Sewerage Service Only Meter Size (inches) Monthly charge 5/8 X 3/4 $6.50 3/4 X 3/4 $6.80 1 $9.40 1-1/2 $16.20 2 $24.30 3 $61.50 4 $104.10 6 $219.05 8 $381.35 10 $570.70 12 $715.10 (2) A monthly volume charge shall also be charged to residential customers in the amount of three dollars and sixty-two cents ($3.62) per one hundred (100) cubic feet of water used, and to nonresidential/non-monitored customers in the amount of four dollars and twenty-three cents ($4.23) per one hundred (100) cubic feet of water used, or wastewater produced, as more specifically set forth hereinafter. The monthly volume charges for residential class customers will be based on the individual customer's average monthly water use during the preceding winter quarter months of December, January and February. The volumes used to compute these charges are based on the amount of water used by the residential class customer as Ordinance No.22374-08-2016 Page 3 of 5 measured by a meter. Where no preceding winter quarter average is available from records, the director shall estimate a volume to be used for this monthly volume charge. The monthly charges to the nonresidential/non-monitored customers will be based on total water use as measured by appropriate meters, with the provision that if a customer can prove, to the satisfaction of the director, that a significant portion of the metered water usage does not enter the sanitary sewers, the customer will be charged for only that volume entering the sewers, as determined by a method approved by the director. SECTION 3. That the monthly volume rates for the monitored class as described in Section 35-56(d) of Chapter 35 of the Code of the City of Fort Worth (1986), as amended, is hereby amended to read as follows: Volume charge,per 100 cubic feet $2.71 BOD strength charge,per pound of BOD $0.2929 Suspended solids strength charge per pound of suspended solids $0.1558 Dissolved solids strength charge,per pound of dissolved solids (applicable to gas well drillers) $0.0420 Monitoring and pretreatment charge= Total actual cost The monitoring charge shall consist of all cost for personnel, material and equipment used to collect and analyze samples from the customer's wastewater to determine the strength of the wastewater produced and, when appropriate, to inspect pretreatment facilities, to administer pretreatment permit systems and to enforce ordinance requirements. Pretreatment requirements primarily affect industries that are subject to 40 CFR, Part 403, General Pretreatment Regulations. This schedule shall replace all other charges previously made for industrial waste strength. SECTION 4. This ordinance shall be cumulative of all provisions of ordinances and of the Code of the City of Fort Worth, Texas (2015), as amended, except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances and such Code, in which event conflicting provisions of such ordinances and such Code are hereby repealed. Ordinance No.22374-08-2016 Page 4 of 5 SECTION 5. It is hereby declared to be the intention of the City Council that the sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and, if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional phrase, clause, sentence, paragraph or section. SECTION 6. This ordinance shall take effect on January 1, 2017. APPROVED AS TO FORM AND LEGALITY: Christa . Lopez-Re nolds 0 Mary J. IQ49r,r Sr. Assistant City Attorney City Secretary ADOPTED: August 30, 2016 EFFECTIVE: January 1, 2017 Ordinance No.22374-08-2016 Page 5 of 5 60RETAIL RATES 2017 r'FUND IDENTIFIERS(FIDs): TO kind pDepartment ccoun roject ProgramActivity Budget ^^ Reference# Amoun ID _ _ID Year (Chartrield 2) 56001 0601000 4406_001 — 0d 56001.. ._._...0701000 - 4441001 $0.00 FROM Fund Department c c o u n Project Progra ctivity Budget Reference# moun ID ID Year Chartfield 2 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 8130/2016 - Ordinance No. 22374-08 2016 DATE: Tuesday, August 30, 2016 REFERENCE NO.: G-18806 LOG NAME: 60RETAIL RATES 2017 SUBJECT: Adopt Ordinance Revising Retail Water and Wastewater Rates and Charges and Amending Sections 35- 56(b), (c) and (d), Article III - Charges, of Chapter 35 - Water and Sewers of the City Code, Effective January 1, 2017 (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council adopt the attached ordinance revising retail water and wastewater rates and charges and amending Sections 35-56(b), (c) and (d), Article III - Charges, of Chapter 35 -water and sewers of the City Code, effective January 1, 2017. DISCUSSION: Each year the Water Department Staff conducts cost of service studies to establish annual operating revenue requirements for retail water and wastewater services. The resulting revenue requirements are shared with the informal Water and Sewer Retail Rate Structure Stakeholder Group which provides input concerning the City's fair and equitable cost allocation among the retail classes. The Stakeholder Group is made up of representatives of the Residential, Commercial, Industrial, Super User and Irrigation classes. Staff conducted four meetings with the Stakeholder Group to receive input and feedback on topics including untying Irrigation volumetric water rates from Residential rates and moving both Residential and Irrigation tier 2 rates to their cost of service, and continuing the fixed versus variable revenue recovery plan for retail water and sewer service. The Fiscal Year 2017 cost of service studies identified a need for an increase in retail revenue requirements of 1.38 percent for the water system and 1.10 percent for the wastewater system. The recommended Water and Sewer rates include continuation of the phased implementation of increased cost recovery from fixed service charges to improve revenue stability. The primary drivers of the system revenue requirement increases are a 7.17 percent increase in the raw water rate for Fiscal Year 2017; additional debt service and pay-go cash financing to support the City Council-adopted Capital Improvement Plan and improve debt service coverage ratios; and increases in transfers to the General Fund. To generate revenue required to meet the revenue requirements of the Water customer classes, Staff recommends small increases in the Water monthly service charges as part of the revenue stability plan. Based on the recommendations of the Stakeholder Group, Staff recommends setting the tier 2 volumetric rates for Residential and Irrigation classes at their cost of service. Increases in anticipated volumes for Commercial and Industrial customers enable a small decrease from current volumetric rates for these customer classes. The Super User class increases to its cost of service. For sewer service, Staff again recommends increases in the monthly service charges as part of the revenue stability plan for all but the smallest two meter sizes, which would remain unchanged. Staff recommends increasing the volumetric rate charges for the Residential class and the strength charges for Logname: 60RETAIL RATES 2017 Page 1 of 3 the Monitored Class, and decreasing the volume rate charges for the Non-Monitored and Monitored classes based on cost of service factors. RETAIL WATER RATES Meter SizeF Current Proposed 5/8" & 3/4" $10.50 $10.75 3/4" x 3/4" $10.25 $11.00 11" [ $19.25 $21.10 $35.00 $39.15 12" F $53.50 F $60.80 $139.00 $160.10 $237.001 $273.85 6 C $5020OF $580.80 (8" F $875.00 $1,014.15 1 $1,312.00 $1,519.75 [Customer Per 100 Cubic (Current Proposed _ Feet I�" Residential First 600 CF $2.07F $2.12 600 to 1,800 CF $2.96 $2.93 1,800 to 3,000 &F $3.69 F $3.69 Over 3,000 CF F $4.44 $4.44 Commercial All Usage $2.71 F $2.67 Industrial All Usage $2.59 $2.55 Super User All Usage F $2.36 $2.38 Irrigation 0 to 5,000 CF $2.96 $2.96 5,000 to 10,000 $3.69 $3.56 CF Over 10,000 CF $4.44 $4.44 Gas Wells All Usage F $5.77F $5.85 RETAIL WASTEWATER RATES Meter Size Current Proposed 5/8" & 3/4" $6.50 $6.50 3/4" $6.86F $6.80 1" F $7.70[_ $9.40 11/2" $105 $16.20. 2" $18.80 F $24.30 Logname: 60RETAIL RATES 2017 Page 2 of 3 3" 1$46.50 ( $61.50 4" w` $78.30 F $104.10 1-611 —[$-164-00[—$2-19 0-5 8" $285.00 F$381.35 10" $426.25 $570.70 12" $534.10 $715.10 Residential ICurrent Proposed Volume Charge (per 100 Cubic Feet)F $3.49 $3.62 Non-Monitored Current Proposed Volume Charge (per 100 Cubic Feet) $4.32F $4.23 Monitored Group Current Proposed Volume Charge (per 100 Cubic Feet) $3.00 $2.71 FBOD Charge (per Pound) 1$0.2926 $0.2929 TSS Charge (per Pound) $0.1350 $0.1558 TDS Charge (per Pound) for Gas Fso.0420[ $0.0420 Well Drillers This M&C does not request the approval of a business entity. FISCAL INFORMATION / CERTIFICATION: The changes proposed in this Mayor and Council Communication are anticipated to generate an additional $3,975,316 in revenue that will be used to provide needed funding for operations and to maintain the Water and Sewer System's infrastructure. The Director of Finance certifies that the Water Department is responsible for the collection and deposit of funds due to the City. FUND IDENTIFIERS (FIDs): TO Fund Department ccoun Project Program ctivity Budget Reference # moun ID ID Year (Chartfield 2) FROM Fund Department ccoun Project Program ctivity Budget Reference # �mounl ID 1D Year (Chartfield 2) CERTIFICATIONS: Submitted for City Manager's Office by: Jay Chapa (5804) Originating Department Head: John Carman (8246) Additional Information Contact: Robert Shook (8402) Loaname: 60RETAIL RATES 2017 Page 3 of 3 60WHOLESALE RATES 2017 FUND IDENTIFIERS (FIDS): O_ Fund Department Account Project Progra ctivi Budget Reference# Amount ID ID Year (Chartfield 2) 1560011 0601000 4406004 $0.00 56001 1 0701000 4441002 $0.0 ROM Fund Department ccoun Project Progra ctivity Budget Reference# moun ID ID Year (Chartfield 2)