HomeMy WebLinkAboutNB 3 WATER METERS 03-15-82I~TE:
TO:
FROM:
S UB,J ECT:
NEW BUSINESS
Inter-eom
MARCH 11, 1982
HONORABLE MAYOR AND CITY COUNCIL MEMBERS
BOB LEDENDECKER, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER
UNIT FEE FOR MULTIPLE UNITS SERVICED BY ONE WATER METER
This staff report is New Business, Item No. 3. On the attached
Resolution No. 82-25, line 10, the effective date has been left
blank. This date will not be available until Monday and will be
presented verbally to the Council.
BOB LEDENDECKER
DIRECTOR OF PUBLIC WORKS/
CITY ENGINEER
db
Attachments
DATE: ~ 10, 1982
TO:
FROM:
$ UBJ ECT:
Inter-Corn
BTLL h~]STON, CITY MANAGER
BOB L~DENDECKER, DIRECIOR OF PUBLIC ~13R~S/ClTY ENGINEER
MONE~ BUCKLEY, ADMINISTRATIVE ASSISTANT
UNIT FEE FOR ~3LTIPLE UNITS SERVICfD BY ONE ~ATER
~TI(~N:
Adopt the attached resolution impl~nenting a $6.50 per unit bi-monthly service
fee on all multiple dwellings currently being serviced by only one water meter.
BACKG~DUbD:
Approximately eight years ago, the Public Utilities C~m~ission allowed the Tustin
Water Works to institute and collect, on a bi-monthly basis, a set fee per meter
(fee determined by meter size) to help defray ongoing operational and
infrastructure maintenance costs.
Currently, Tustin water rates are based on this established water meter service
charge, plus consumption. That is, there is the bi-monthly service fee per meter
(dependent on meter size) and additional charges for the amount of water consumed
in a two month period. This billing method is economically inequitable to both
the single family resident and to the City.
Example:
siT~of Dwelling le Family
Multiple Family (Tri-plex)
Meter Service Cons~,~tion Total
Size Charge Charge Bill
5/8" $6.50 $5.00 $11.50
5/8" 6.50 5.00 11.50
This example reifies the inequities to the single family dweller. In essence,
three families (the tri-plex) pay the same amount of money for water in a two
month period as does one family living in a single unit. The City also suffers
the loss of the basic service fee for the additional units.
ANALYSIS:
On January 18, 1982, twenty-three Orange County cities (see Attacfmlent %A) were
surveyed to determine their method of water billing. Of the 23 cities, nine
utilized private agencies (see Attachment B), eight billed bymeter size and
cons~,ption only (see Attacknent C), six billed by meter size, cons~,~tion and/or
unit (see Attachment D).
Forty-three percent of the cities having their own water agency utilized the
concept of a fee per unit. The fees ranged from two dollars per unit to eight
dollars per unit with an average of $4.07 per unit.
UNIT FEE FOR ~JLTIPLE UNITS SERVICED BY (lgE ~IZ~TER ~-TER
MARCH 10, 1982
PAGE TWO
While conducting the survey, it was ascertained that none of the cities
experienced any problems implementing this fee concept as the fee per unit was
instituted at the inception of the billing process. It was interesting to note
that only two cities were able to determine the amount of revenue generated from
the fee per unit concept - La Palma, $7,200/year and Brea, $230,610/year. (For
survey recap, see Attachment D. ) All surveyed cities agreed to forward fee
schedules and resolutions/ordinances. These are available upon request.
On March 2-4, 1982, Water Division personnel compiled an actual field count of all
~ultiple dwelling units within the Tustin water system. The field check revealed
that 10,569 dwelling units are being serviced by 888 meters. In order to
establish parady ~mong water customers, staff proposes to eliminate the bi-monthly
meter fee for multiple dwellings; and, in its place, implement a $6.50 per unit
bi-monthly service fee. This is the same dollar 8z,ount that is currently imposed
on the single family unit via the meter fee. Staff feels that this billing method
will spread ongoing costs equally ~mong all consumers.
The following chart will shcw the bi-monthly and annual revenues that can be
generated if the fee per unit concept is implemented.
% OF UNITS 10,569 @ $6.50/UNIT $68,698.50 $412,191
MINOS REVENUE GENERATED
BY ~ METER FEE
-12,169.51
-73,017~06
$56,528.99 $339,173.94
CONCI~SIflg:
The unit fee concept is quite feasible and is in accord with several other Orange
County cities. The concept is also quite practical as it establishes equitability
among water customers and generates revenue needed to help upgrade and then
maintain a currently deteriorating water infrastructure as well as to help defray
ongoing daily operational costs. Once the overall system is upgraded, these fees
(meter and unit) could possibly be r~u~d o~ perhaps eliminated. It is possible
to start billing by this method ~//~ /~9 ~.
ADMINISTRATIVE ASSISTANT ~
DIRECTOR OF PUBLIC ~ORKS/
CITY ENGINEER
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Attachments
~A
CITIES SURVEYED
NAME OF CITY
Newport Beach
Brea
Fountain Valley
La Habra
La Palma
Westminster
Costa Mesa
Cypress
Irvine
Los Alamitos
Placentia
Villa Park
Yorba Linda
Laguna
Stanton
Fullerton
Anaheim
Garden Grove
Cerritos
Santa Ana
Orange
Huntington Beach
Buena Park
Shiela
Carol
Ms. Theuret
Ester Cambron
Jill Kell~
Mrs. Perring
Mr. Saunders
Dana
Sharon Mslancon
Diane Rosancrans
Dave Urban
Dusty Drew
John Vanholle
Ms. Davey
640-2231
990-7687
963-8321
526-2227
523-7700
898-3311
754-5327
828-2200
754-3684
827-8670
993-8117
998-1500
777-5000
494-1041
891-2521
738-6382
999-5100
638-6691
523-3710
834-4142
532-0356
536-5599
521-9900
x211
x254
CITIES USING PRIVATE SERVICE
Costa Mesa
Cypress
Irvine
Los Alamitos
Placentia
Villa Park
Yorba Linda
Laguna
Stanton
CITIES BILLING BY ~25TER SIZE AND/OR(]ONSUMPTION ONLY
Fullerton
Anaheim
Garden Grove
Cerritos
Santa Ana
Orange
Huntington Beach
Buena Park
~D
CITIES HAVING ADDITIONAL FEES PER UNIT
BEACH
Bill According To:
Meter size
Consumption
Unit Rates
Multiples $2.40/Unit
Hotel/Motel $1.20/Unit
Experienced no problem instituting/utilizing. Do not have a projection on annual
revenue. Will send a copy of fee schedule/resolution.
BREA
Bill According To: Consumption
Unit Rate $8.00/Unit
Experienced no problem insitiuting/utilizing. Projected revenue generated from
unit rate $230,610/Year. Will send copy of fee schedule/resolution.
Bill According To: Consumption
Unit Rate $2.00/Unit
Experienced no probl~u instituting/utilizing. Do not have projected annual
revenue figures. Will send copies of fee schedule/resolution to Finance
Department.
Bill According To:
Meter Size
Cons~,~tion
Unit RAte $4.00/Unit
Experienced no problems instituting/utilizing.
Will send copy of fee schedule/resolution.
Do not have projected revenue.
LA PAL~A
Bill According To:
Meter Size
Cons~tion
Unit Rate $3.00/Unit
Experienced no problems instituting/utilizing. Projected revenue generated from
unit rate $7,200/Year. Will send copy of fee schedule/resolution.
WESTMINSTER
Bill According To:
Meter Size
Cons, ,,,~tion
Unit or Rate
$5.00/Unit
*When billing a combination system is used - the highest dollar figure being
the billing critereon.
Experienced no problems instituting/utilizing. Do not have projected revenue.
Will send copy of fee schedule/resolution.
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RESOLUTION NO. 82-25
A RESOLUTION OF T~E CITY COUNCIL OF THE
CITY OF TUSTIN, CALIFOI~N-/A, ADJUSTING
B~=~ER SERVICE RATES
~?/~AS, the Tustin Water Service has experienced increased
costs of operations; and
WHEREAS, it has become necessary to adjust certain water service
rates to recover the additional costs of operations;
NOW, THEREFORE, the City Council of the City of Tustin does
hereby resolve as follows:
1. Effective ~t~--/~, 1982, the adjusted bi-monthly water
usage rates and charges are hereby established:
Water Usage Charges:
a. 0 to 600 cubic feet ..... $0.295 per 100 cubic feet
b. Over 600 cubic feet ..... 0.467 per 100 cubic feet
Meter Charges:
c. Plus bi-monthly service charge per meter (except for
meters serving more than one residential unit):
5/8" x 3/4" METER
1"
1 1/2" METER
2" METER
3" METER
4" METER
6" METER
........ $ 6.50
......... 9.74
......... 13.10
......... 17.85
......... 33.04
......... 44.55
......... 74.50
Multiple Residential Charges:
d. Plus bi-monthly service charge for service where more
than one residential unit is served by a meter:
$6.50 per residential unit.
2. Bi-monthly fire line and detector check valve charges:
4" fire service
5" fire service
6" fire service
8" fire service
10" fire service
12" fire service
$31.36 per service
39.20 per service
47.04 per service
62.72 per service
78.40 per service
94.08 per service
3. Construction water from metered fire hydrants:
All water sold ....... $0.39 per 100 cubic feet
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4. Construction water from un-metered fire hydrants:
Ail water sold ....... $0.11 per 100 gallons
Minimum ~harge ....... 5.60 per application
5. Water usage rates for un-metered developments during
construction:
For each commercial or industrial unit,
or each residential dwelling unit of a
redevelopment ............ $10.00 for first two months
of the construction period
and $5.00 for each additional
month or portion thereof.
PASSED AND ADOPTED at a regular meeting of the City Council of the
City of Tustin, California, held on the day of , 1982.
MAYOR
JGR: se :D: 3/4/82
JGR: se:R: 3/9/82
JGR:se:R: 3/10/82
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