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HomeMy WebLinkAboutOrdinance 26561-10-2023 (2) ORDINANCE NO. 26561-10-2023 AN ORDINANCE AMENDING SECTION 12.5-340 "CATEGORIES OF DRAINAGE UTILITY RATES" TO ESTABLISH A NEW SCHEDULE OF CHARGES FOR EACH RESPECTIVE BILLING TIER; PROVIDING THIS ORDINANCE SHALL BE CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, on January 24, 2006 the City Council of the City of Fort Worth adopted Ordinance No. 16781-01-2006 to establish a municipal Drainage Utility System (M&C G-15066); and WHEREAS, on January 24, 2006 the City Council of the City of Fort Worth also adopted Ordinance No. 16782-01-2006 to amend the City Code by adding Division IV, Section 12.5-336 through 12.5-347, entitled "Municipal Drainage Utility System" to Article III of Chapter 12.5, by which the rules and regulations of the Drainage Utility System would be governed (M&C G-15067); and WHEREAS, the Municipal Drainage Utility Systems Act (the "Act"), Texas Local Government Code §§ 552.042 et seq., as amended, authorizes the City to prescribe a basis upon which to fund the municipal Drainage Utility System and to assess the fees and charges to support the municipal Drainage Utility System; and WHEREAS, Section 552.045 of the Act authorizes the City to establish a schedule of drainage charges and to revise those drainage charges after three published notices and a public hearing; and WHEREAS, on March 7, 2006, the City Council revised the rates and charges for the Municipal Drainage Utility System (Ordinance 16843-03-2006; M&C G-15107); and WHEREAS, on September 4, 2007, the City Council revised the rates and charges for the Municipal Drainage Utility System (Ordinance 17742-09-2007; M&C G-15858); and WHEREAS, on December 2, 2008, the City Council further revised the rates and charges for the Municipal Drainage Utility System (Ordinance 18381-12-2008; M&C G- 16374); and WHEREAS, on September 15, 2009 the City Council further revised the rates and charges for the Municipal Drainage Utility System (Ordinance 18819-09-2009; M&C G- 16701); and WHEREAS, on September 20, 2011 the City Council further revised the rates and charges for the Municipal Drainage Utility System (Ordinance 19908-09-2011; M&C G- 17384); and WHEREAS, on October 15, 2019 the City Council further revised the rates and charges for the Municipal Drainage Utility System (Ordinance 23884-10-2019: M&C 19-0242); and WHEREAS, on June 13, 2023 the City Council adopted Ordinance No. 26205-06-2023 (M&C No. 23-0474) to amend the City Code to replace outdated definitions for different categories of properties to ensure correct stormwater utility rates are charged to each respective property within the Municipal Drainage Utility System; and WHEREAS, the City Council finds that an increase in the rates is now warranted to continue to provide funds for the necessary stormwater infrastructure and maintenance; and WHEREAS, the first public notice of a public hearing for this ordinance to establish a new Equivalent Residential Unit (ERU) charge and schedule of residential drainage charges was published on September 22, 2023 in the Fort Worth Star-Telegram in accordance with the requirements of the Act on or before the 30th day before the date of the hearing; and WHEREAS, in setting the schedule of charges for drainage utility service, the calculations are based on an inventory of the parcels within the City and the actual or, in the case of low occupancy residential property, estimated impervious area on the benefitted properties; and WHEREAS, it is the intent of the City to fund the Municipal Drainage Utility System to fairly and equitably allocate the cost of storm water control to properties in proportion to storm water runoff potential for each type of property. NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. That Section 12.5-340 "Categories of Drainage Utility Rates", of the City Code of the City of Fort Worth (2015), as amended, is hereby amended to read as follows: SECTION 12.5-340 CATEGORIES OF DRAINAGE UTILITY RATES. (a) The city council finds that impervious cover increases runoff and associated pollutants. For the purposes of calculating the drainage utility fee, an ERU shall be the established standard billing unit. One ERU shall be billed at $6.61 per month. Each benefitted property shall be categorized as one of the following: (1) Low occupancy residential property. A Low occupancy residential property shall be placed in one of four billing tiers based on residential square footage, identified below, with building permits or the most recent appraisal district data used as a means of estimating the total amount of impervious area on the property. The median single-family residential parcel in Fort Worth has been determined to have approximately 2,600 square feet of impervious area or surface or one ERU. (2) High occupancy residential/non-residential property. Fees for High occupancy residential/non- residential properties shall be based on the total estimated impervious area on each parcel, with building permit information, aerial photography, or actual measurement used as a means of estimating the total amount of impervious area on the property, divided by 2,600 square feet to determine the number of ERUs or billing units. (b) The city council finds that it is equitable to assess the drainage utility fee to each low occupancy residential user on the basis of four low occupancy residential billing tiers and such rates are hereby established. Low Billing Unit Billing Monthly Occupancy — Basis Rate, Billing Tier Equivalent Effective Residential January Units 1, 2024 ERU Tier 1 0.5 ERU Up to $3.31 1,300 square feet Tier 2 1.0 ERU 1,300 $6.61 to 2,475 square feet Tier 3 1.5 ERU 2,476 $9.92 to 3,394 square feet Tier 4 2.0 ERU 3,394+ $13.23 square feet SECTION 3. 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. SECTION 4. 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 5. This ordinance shall take effect on January 1, 2024. APPROVED AS TO FORM AND LEGALITY: CITY SECRETARY4-0 Jn UOGUUOC" Thomas R. Hansen Jannette S. Goodall 0 o 0 Assistant City Attorney City Secretary �� ao 0 y4y �Q 00000-00 ®q� ADOPTED: October 31,2023 EFFECTIVE: January 1, 2024 s City of Fort Worth, Texas Mayor and Council Communication DATE: 10/31/23 M&C FILE NUMBER: M&C 23-0940 LOG NAME: 20SWM INCREASE FY24 SUBJECT (ALL)Conduct a Public Hearing and Adopt Ordinance Amending Section 12.5-340 of the City Code, Revising Monthly Fees Assessed for the Municipal Drainage Utility System to be Effective January 1,2024 (PUBLIC HEARING-a. Report of City Staff:Jennifer Dyke; b. Citizen Presentations;c.Council Action:Close Public Hearing and Approve the M&C) RECOMMENDATION: It is recommended that the City Council conduct a public hearing and adopt the attached ordinance amending Section 12.5-340 of the City Code, revising monthly fees assessed for the Municipal Drainage Utility System to be Effective January 1,2024. DISCUSSION: Due to the need for critical capital improvements and increased maintenance service levels for the City's drainage system,the Transportation and Public Works Department Stormwater Management Division is recommending an increase to the monthly stormwater utility rate of $0.86/Equivalent Residential Unit(ERU)as a part of the Fiscal Year(FY)2024 Budget request.An ERU equals 2,600 square feet of impervious surface.This 15%fee increase will support capital delivery for high priority, phased flood mitigation improvement projects and a 5-year plan for improved maintenance service levels consisting of increased culvert inspection and cleaning,increased channel maintenance, and more drainage pipe condition assessment, inspection,cleaning, and repair. In February and June 2023,staff met with the Stormwater Management Program Stakeholder Group to update stakeholders on the program's efforts,as well as to discuss and get feedback on a potential fee increase and proposed FY24 work efforts. The Stakeholder Group is comprised of community members representing residential homeowners,civic groups,developers,and large rate payers. The table below shows what the new fee would be for the four tiers of low occupancy residential properties as well as all high occupancy residential/non-residential property,which includes properties such as apartments,commercial, industrial,and institutional land uses. The residential square footage is based on appraisal district data used as a means of estimating the total amount of impervious area on the property. Low Occupancy Billing Unit—Billing Basis Existing Proposed Billing Tier Equivalent Monthly Monthly Rate, Residential Rate Effective January Units (ERU) 1,2024 Tier 1 0.5 ERU Up to 1,300 $2.88 $3.31 square feet Tier 2 1.0 ERU 1,300 to $5.75 $6.61 2,475 square feet Tier 3 1.5 ERU 2,476 to $8.63 $9.92 3,394 square feet Tier 2.0 ERU 3,394+ $11.50 $13.23 square feet High Per ERU Actual $5.75 per $6.61 per ERU Occupancy (2,600 impervious ERU Residential/Non- square feet surface Residential of Property impervious surface) The Stormwater Utility Fee increase will result in approximately$146,879.00 per year in additional Stormwater Utility Fee payments by the City organization. Section 552.045(c)and (d)of the Local Government Code requires publication of any intended revision to a municipality's schedule of drainage charges three times prior to a public hearing and adoption of rates.City Staff published notification of this hearing along with the proposed ordinance in the Fort Worth Star-Telegram on September 22,2023,September 29,2023 and October 6,2023. A Form 1295 is not required because:This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendation and adoption of the attached ordinance,funds will be deposited into the Stormwater Utility Fund.The Transportation&Public Works Department and Financial Management Services are responsible for the collection and deposit of funds due to the City and prior to any expense or expenditure being incurred,the Transportation&Public Works Department also has the responsibility to validate the availability of funds. Submitted for City Manager's Office by. William Johnson 5806 Originating Business Unit Head: Lauren Prieur 6035 Additional Information Contact: Monty Hall 8662