HomeMy WebLinkAboutOrdinance 95-13RECORD OF ORDINANCES
Dayton Legal Blank, Inc.
Ordinance No. 95 -13
Passed
Form No.30043
20
AN ORDINANCE AMENDING CHAPTER 51 ESTABLISHING
USER FEES AND CAPACITY CHARGES FOR THE SANITARY
SEWER SYSTEMS, AND DECLARING AN EMERGENCY
WHEREAS, a financial analysis of the City's Water and Sewer Funds is conducted
annually as part of the Capital Improvements Program update; and
WHEREAS, the financial analysis is completed to evaluate the water and sewer
system rate structure and projected fund balance in the Water and Sewer Funds;
and
WHEREAS, the City's goal is to maintain water and sewer rate structures, which
are adequate to ensure the Water and Sewer Funds (Enterprise Funds) are self -
supporting, including the costs of operations, maintenance of the systems, debt
service obligations and necessary capital replacements; and
WHEREAS, based on the financial analysis completed as part of the 2014 — 2018
Capital Improvements Program update, it is necessary to amend the fees for the
sanitary sewer user fees and capacity charges.
NOW, THEREFORE, BE IT ORDAINED by the Council of the City of Dublin,
State of Ohio, f. of the elected members concurring:
Section 1, Section 51.64 of the Codified Ordinances to be amended to read as
follows:
(A) The following rate is the charge for sewer service and use and is based on
metered consumption of water for the area of the City served by the City of
Columbus:
Rate Per 1,000 Cubic Feet
Effective Date OM &R Debt Service Total
January 1, 2014 $7.22 $3.63 $10.85
January 1, 201 $7.54 $ 3.56 $11.10
(B) These rates are in addition to the sewer rates charged by the City of
Columbus.
(C) The following rate is the charge for sewer service and use for the area of
the City serviced by Delaware County:
Flat Rate Per Month
Effective Date OM &R Debt Service Total
January 1, 2014 $7.95 $4.00 $11.95
January 1, 2015 $8.28 $3.92 $12.20
t
(D) These rates are in addition to the sewer rates charged by the Delaware
County.
(E) Fees received from use of the sewer system shall be deposited in the Sewer
Fund and used for the operation and maintenance of the system, including capital
improvements and any related debt service.
RECORD OF ORDINANCES
Dayton Legal Blank, In Form No. 30043
Ordinance No. 95 - Passed Pane 2 of 2 . 20
Section 2 . This ordinance is declared to be an emergency necessary for the
immediate preservation of the public peace, health, safety or welfare, and for the
further reason that the new rates must be in effect on January 1, 2014. Therefore
this ordinance shall be effective on January 1, 2014.
n Id
Passed this day of jDgf , 2013
i
• - • • • ffii .-
ATTEST:
Clerk of Council
�I
CITY OF DUBLIN-
Office of the City Manager
5200 Emerald Parkway • Dublin, OH 43017 -1090
Phone: 614 - 410 -4400 • Fax: 614 - 410 -4490
To: Members of Dublin City Council
From: Marsha I. Grigsby, City Managervy p
Date: November 14, 2013
Memo
Initiated By: Angel L. Mumma, Deputy City Manager /Director of Finance & Administration
Re: Ordinance No. 95 -13 - Amending Chapter 51, Establishing User
Fees and Capacity Charges for the Sanitary Sewer System
Summary
A financial review of the City's Water and Sewer Funds was completed as part of the annual
update of the City's Capital Improvements Program (CIP). The review included financial
projections through 2022 for operating costs, capital improvement projects, and existing and
projected debt service obligations. Based on the review and analysis of the operations for both
funds, it was determined that adjustments to the user fees in the sewer fund were warranted.
As discussed during the presentation of the overview information at the CIP workshop, the City
has established for both the Water and Sewer Funds a target year -end fund balance of 25% of the
historical value for each system's capital assets. Although the Water Fund year -end balance did
not meet the target fund balance, it remains close and is projected to remain between 20 and
23% through 2022.
The Sewer Fund has not met the target fund balance because of the amount of its annual debt
service obligations. The Sewer Fund has significant annual debt service obligations as a result of
the construction of the Upper Scioto West Branch Interceptor ( USWBI). The debt payment for the
USWBI is $1,350,725 per year through 2017 with a final payment of $675,560 in 2018. Additional
debt was issued in 2009 in the amount of $2.2 million, and $2.54 million in 2012 to finance the
lining of existing sanitary sewer lines and manhole rehabilitation. Additionally, as part of the 2014
— 2018 CIP, $2 million is anticipated to be issued for similar improvements to the sewer system.
As part of the CIP workshop, an increase in the sewer surcharge was briefly discussed. At that
time, the projected fund balance took into account a $0.25 per MCF increase effective January 1,
2014, and a $0.50 per MCF increase each January 1, 2015, January 1, 2016, and January 1, 2017.
The discussion at that time was to have no change to the water surcharge.
In reviewing current sewer revenues and expenditures as well as more definitive expenditures for
2014, the recommendation is to adjust the sewer charge as follows:
• Effective 1/1/2014 and on 1/1/2015, an increase of $0.25 per thousand cubic feet
(MCF) in sewer charges.
This adjustment is reflected in Ordinance 95 -13.
Ordinance 95 -13 — Amending Chapter 51 Establishing User Fees and
Capacity Charges for the Sanitary Sewer System
November 14, 2013
Page 2 of 3
Implementation of the recommended user fees for the Columbus Service Area will result in the
following rates per MCF:
*These rates are in addition to rates charged by the City of Columbus.
Based on the average Equivalent Residential Unit (ERU) of 1,100 cubic feet of water usage per
month, the average quarterly Dublin surcharge costs are estimated as follows:
Water *
Sewer *
Total
Current rate - 2013
$ 3.30
$10.60
$13.90
2014 increase
0
.25
.25
January 1, 2014
Surcharge
$3.30
$10.85
$14.15
2014 increase
0
.25
.25
January 1, 2015
Surcharge
$3.30
$11.10
$14.40
*These rates are in addition to rates charged by the City of Columbus.
Based on the average Equivalent Residential Unit (ERU) of 1,100 cubic feet of water usage per
month, the average quarterly Dublin surcharge costs are estimated as follows:
The recommended sanitary sewer system user fee adjustments also apply to the area that is
served by Delaware County ( Wedgewood Hills, Campden Lakes, and Wedgewood Glen). Delaware
County charges a flat rate user charge and the monthly Dublin user charge reflected in the
ordinance is based on an ERU of 1,100 cubic feet of water usage per month and the user fee rates
per MCF.
Water
Sewer
Total
Current rate - 2013
$10.89
$34.98
$45.87
January 1, 2014
$10.89
$35.81
$46.79
January 1, 2015
$10.89
$36.63
$47.61
The recommended sanitary sewer system user fee adjustments also apply to the area that is
served by Delaware County ( Wedgewood Hills, Campden Lakes, and Wedgewood Glen). Delaware
County charges a flat rate user charge and the monthly Dublin user charge reflected in the
ordinance is based on an ERU of 1,100 cubic feet of water usage per month and the user fee rates
per MCF.
*These rates are in addition to rates charged by Delaware County.
Sewer — Monthly *
Sewer — Quarterly
Current rate - 2013
$11.60
$34.80
January 1, 2014
$11.95
$35.85
January 1, 2015
1 $12.20
$36.60
*These rates are in addition to rates charged by Delaware County.
Ordinance 95 -13 — Amending Chapter 51 Establishing User Fees and
Capacity Charges for the Sanitary Sewer System
November 14, 2013
Page 3 of 3
Based on implementation of the recommended increase in the sewer fees, staff would anticipate
the fund balance and percentage of system value to be as follows over the next five years:
Year ending December 31
Fund Balance
Percentage of System Value
2013
$6,024,286
9.78%
2014
5,167,310
8.39%
2015
4,014,556
6.51%
2016
2,259,039
3.67%
2017
1,312,215
2.13%
2018
1,002,209
1.63%
Without the increase, staff anticipates the fund balance declining each year with a balance in 2018
of $624,752, which would be 1.01% of the system value.
The rate structures for both the water and sanitary sewer systems will continue to be reviewed as
part of the annual CIP updates. Based on the need to continue lining the sanitary sewer lines, it is
highly likely that additional modifications and /or increases will be needed in the future.
Also attached for Council's review is information compiled by the City of Columbus which, prior to
the January 1, 2013 adjustment shows the suburban surcharge for each of the entities in which
Columbus does the billing. Additionally, we have included a comparison of the sanitary sewer and
water capacity charges /tap fees which were increased by five percent effective January 1, 2013.
The 3/4" tap size fee had been increased in 2009; however, fees for the 1" tap size to the 6" tap
size hadn't been increased since 1992. Fees for the 8" to 16" tap size were established in 1995 and
hadn't been modified since that time.
Recommendation
Staff recommends that Ordinance 95 -13 be adopted at the second reading /public hearing on
December 9, 2013.
RESIDENTIAL
i CONSECUTIVE
WATER I SEWER RATES
EFFECTIVE
JANUARY 1,
r
WATER USAGE CHARGES PER CCF PER MONTH
SUBURBAN SURCHARGES
PER
RESIDENTIAL
CONSECUTIVE
AU CU DU
IR<2"Mtr AC CC DP
MM
CCF
SEWER
SERVICE CHARGES &USAGE CHARGES
SF SR
r WTR SVC
FIRST
SWR SVC
SEWER
- CHARGE
5C CFPER
RATE RATE CODE
-
WATER
CHARGE
USAGEPER
MONTHLY
_
MO
CODE QUARTER
SURCHARGE
MONTHLY
CCF
0.1472 2
31.75
7.27
2.596
2.886
WQIC 2.596 QQIC
QMIC
N/A
N/A
10.86
3.62 3.720
0.1023
County Rural 47.63
10.91
3.894
4.329
WQNC 3.894 QQNC
QMNC
N/A
N/A
10.86
3.62 4.060 0.0607
Brice 41.28
9.45
3.375
3.752
WQBR 3.375 QQBR
QMBR
N/A
N/A
10.86
3.62 4.060 0.0607
Brookside Estates 41.28
9.45
3.375
3.752
WQBE 3.375 QQBE
QMBE
1.97
0.59
10.86
3.62 4.060 0.0607
Dublin 41.28
9.45
3.375
3.752
WQDU 3.375 QQDU
QMDU
.330
1.060
10.86
3.62 4.060 0.0607
Grandview 41.28
9.45
3.375
3.752
WQGV 3.375 QQGV
QMGV
12%
12%
10.86
3.62 4.060 0.0607
Grove City 41.28
9.45
3.375
3.752
WQGC 3.375 QQGC
QMGC
.315
.355 / 2.00M
10.86
3.62 4.060 0.0607
Groveloort 41.28
9.45
3.375
3.752
WQGP 3.375 QQGP
QMGP
15%
N/A
10.86
3.62 4.060 0.0607
Hamilton Meadows 41.28
9.45
3.375
3.752
WQHM 3.375 QQHM
QMHM
1.97
0.59
10.86
3.62 4.060 0.0607
0.0652
Hilliard 41.28
9.45
3.375
3.752
WQHL 3.375 QQHL
QMHL
14.25%
10%
10.86
3.62 4.060
0.0607
Marblecliff 41.28
9.45
3.375
3.752
WQMC 3.375 QQMC
QMMC
10%
15%
10.86
3.62 4.060 0.0607
Minerva Park 41.28
9.45
3.375
3.752
WQMP 3.375 QQMP
QMMP
.55/.274D
.086
10.86
3.62 4.060 0.0607
New Albany 41.28
9.45
3.375
3.752
WQNA 3.375 QQNA
QM NA
N/A
N/A
10.86
3.62 4.060 0.0607
Obetz 41.28
9.45
3.375
3.752
WQOB 3.375 QQOB
QMOB
N/A
N/A
WA
3.62 N/A 0.0607
Rickenbacker 41.28
9.45
3.375
3.752
WQRB 3.375 QQRB
QMRB
N/A
N/A
10.86
3.62 4.060 0.0607
Ridgewood 41.28
9.45
3.375
3.752
WQRW 3.375 QQRW
QMRW
1.97
0.59
10.86
3.62 4.060 0.0607
Riverlea 41.28
9.45
3.375
3.752
WQRV 3.375 QQRV
QMRV
N/A
N/A
10.86
3.62 4.060 0.0607
Upper Arlington 41.28
9.45
3.375
3.752
WQUA 3.375 QQUA
QM UA
10%
18%
10.86
3.62 4.060 0.0607
Urbancrest 41.28
9.45
3.375
3.752
WQUR 3.375 QQUR
QMUR
.20/1.08M
.20/1.08M
10.86
3.62 4.060 0.0607
Valleyview 41.28
9.45
3.375
3.752
WQW 3.375 QQW
QMVV
N/A
N/A
10.86
3.62 4.060 0.0607
Village Park 41.28
9.45
3.375
3.752
WQVP 3.375 QQVP
QMVP
1.97
0.59
10.86
3.62 4.060 0.0607
Whitehall 41.28
9.45
3.375
3.752
WQWH 3.375 QQWH
QMWH
N/A
N/A
10.86
3.62 4.060 0.0607
Worthington 41.28
9.45
3.375
3.752
WQWO 3.375 QQWO
QMWO
.075
.075
10.86
3.62 4.060 0.0607
For 5/8" meter only -- larger meters & Senior Citzen, see Service Charge Rate Sheet Minerva Park water surcharge revised 4/19/04 - $100.00 annual charge added (.274 per day) /surcharge per ccf changed from $.46 to $.55
3 Columbus Stormwater Charge / Hilliard Stormwater Effective 4/1/10 D- Charge per day (Minerva Park) %- Percent of water or sewer commodity charges= surcharge
3 County Rural Rate where county sewer maintenance fee is applicable Grandview surcharges started 7/1/04 M- Minimum surcharge charge per month
Market Rate Comparisons - Water Capacity /Tap Fees
Tap Size
City of Dublin
Current Current Fireline
Fee - domestic water Capacity Fees
City of New Albany
Current
Fee - domestic water
City of Westerville
Current
Fee - domestic water
City of Grove City
Current
Fee - domestic water
City of Marysville
Current
Fee - domestic water
Union County
Current
Fee - domestic water
N/A N/A Note: Typical residential home taps are 3/4 ". Commercial tap sizes vary depending
(1)
( (B)
(1) (A)
(1)
(1)
(3)
(3)
5/8"
N/A
N/A
N/A
N/A
N/A
$4,950
$5,445
3/4"
$1,890
378.00
$1,224
$ 714
$1,153
$ 7,423
$8,165
1.0"
$3,090
618.00
$ 2,098
$1,207
$1,200
$12,372
$13,609
1.5"
$7,370
1,474.00
$3,947
$3,214
$1,250
$24,746
$27,220
2.0"
$13,110
2,622.00
$ 6,096
$11,257
$1,300
$39,592
$43,551
3.0"
$28,070
5,614.00
$11,790
$26,531
$1,412
$74,235
$81,658
4.0"
$44,790
8,958.00
$18,185
$42,071
$2,512
$123,726
$136,098
6.0"
$99,650
19,930.00
$35,821
$97,789
$4,973
$247,451
$272,196
8.0"
$180,920
36,184.00
$56,954
$152,350
$8,032
$395,921
$435,513
10.0
$274,690
54,938.00
$81,634
$195,470
$11,582
N/A
N/A
12.0"
$384,550
76,910.00
N/A
$122,367
$21,646
N/A
N/A
16.0"
$428,720
85,744.00
N/A
$337,065
$25,134
N/A
N/A
(1) - Columbus fee is separate. Fireline capacity fees are separate as are any front footage fees and meter fees.
(3) - Fireline capacity fees are separate as are any front footage fees and meter fees. All properties within a development south of Fladt Road are subject to an additional $1,950 tap fee or developer
driven installation of 36" waterline along Industrial Parkway.
(A) - Established at 60% of the Columbus water capacity fee.
Market Rate Comparisons - Sanitary Sewer Capacity /Tap Fees
Tap Size
City of Dublin
Fees
City of New Albany
Capacity and Tap Fees
City of Westerville
Fees
City of Grove Citv
Fees
City of Marysville
Fee - sanitary sewer
(sewer permit is separate)
Union County
Fee - sanitary sewer
(sewer permit is separate)
N/A N/A Note: Typical residential home taps are 3/4 ". Commercial tap sizes vary depending
(
( (B)
( (C)
(
1.5"
$7,286 $10,147
5/8"
N/A
N/A
N/A
N/A
$6,562
$7,874
3/4"
$2,210
$1,652
$1,550
$3,288
$9,842
$11,810
1.0"
$3,580
$2,797
$ 3,250
$3,552
$16,405
$19,686
1.5"
$9,180
$5,464
$8,550
$7,103
$ 32,808
$39,369
2.0"
$15,900
$8,638
$14,100
$11,365
$ 52,493
$62,991
3.0"
$ 33,150
$16,886
$29,350
$22,730
$98,425
$118,110
4.0"
$ 51,740
$ 26,149
$45,900
$35,516
$164,040
$196,484
6.0"
$117,600
$51,648
$103,500
$71,033
$328,080
$393,696
8.0"
$206,980
$82,220
$175,950
$113,652
$524,929
$629,914
10.0"
$322,560
$117,866
$273,200
$163,374
N/A
N/A
12.0"
$464,580
N/A
N/A
$305,439
N/A
N/A
16.0"
$517,660
N/A
N/A
$338,936
N/A
N/A
(2) - Columbus fee is separate. Any front footage fee is separate as is inspection or permit fees.
(B) - Established at 50% of the Columbus sewer capacity fee.
(C) - Tap fees are not included: SFD = $150; multi - family is $75 per unit.
11/15/2013
City of Columbus
Tap Size
Water Capacity Charge Sewer Capacity Charge
(Excludes fire)
5/8"
N/A N/A Note: Typical residential home taps are 3/4 ". Commercial tap sizes vary depending
3/4"
$2,186 $3,044 on the use and type of operations.
1.0"
$3,643 $5,074
1.5"
$7,286 $10,147
2.0"
$11,658 $16,236
3.0"
$23,314 $32,472
4.0"
$36,429 $50,737
6.0"
$72,856 $101,475
8.0"
$116,570 $162,360
10.0"
$167,570 $233,392
12.0"
$313,283 $436,342
16.0"
$ 349,085 $484,194
11/15/2013