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HomeMy WebLinkAbout1979-04-17; City Council; 2261-4; Sewer Cpacity Fees<- CITY OF CARLSBAD DATE : Apri 1 17, 1979 DEPARTMENT: Pub I i c Works Dept. Initial: Hd. _R C. Mgr. J SEWER CAPACITY FEES- Subject: Statement of the Matter Sewer capacity fees are presently $500 per equivalent dwelling unit. 1977, this fee was raised from $250 per unit to $500 per unit. This fee is no longer adequate to meet the escalated costs of those future capital con- struction projects, including Encina Phase Ill, needed to serve future develop- men t. The attached memorandum indicates the estimated capital construction costs for the next ten years. Based on the number of new connections expected from the Phase 111 expansion it can be seen that the $500 fee is no longer adequate and that a fee of $1,000 would be more appropriate. In early Exhibits. I. Memo to City Manager dated Apri I 9, 1979 2. Ordinance No* Recommendat ion If Counci I concurs,. your action is to introduce Ordinance No. 70‘5-2 Counci.1 Action: 4-17-79 Council introduced Ordinance 7057, amending the Municipal Code to increase the sewer system connection fees. 5-1-79 Ordinance No. 7057 was adopted. TO : FROM : DATE : SUBJECT: MEMORANDUM City Manager Pub1 ic Works Administrator April 9, 1979 SEWER CAPACITY FEES Sewer capacity fees are presently $500 per equivalent dwelling unit (EDU). These revenues go to the Sewer Construction Fund. This fund is used primarily to finance the costs of expanding treatment facilities and installing new collector and transmission facilities as more capaci- ty is required. In new tract development the developer pays for instal- lation of the system. We are currently on moratorium. No new sewer capacity permits are being issued. The present transmission and treatment system adequately handles currently developed properties, but with the expansion to treat- ment capacity, new facilities will be necessary to serve future develop- ment. In early 1977, this fee was raised from $250 per unit to $500 per unit. Because of a rapid escalation of the inflationary rates, it has been recommended that we review the fee at this time. The other owners of Encina, for the most part, have connection fees that are greater than Carlsbad's. The fees for these agencies are: Vi sta $I ,000 San Marcos 1,000 Enc 1 n i tas 1,000 Leucad i a 600 Buena 500 The topic of capital construction needs was discussed in a report to the City Manager dated February 25, 1977. That report indicated that capi- tal construction costs for the next ten years (1977-1987) were estimated to be $800,000. If we assumed an annual capital cost escalation of 12$, it would take $135,000 per year to finance this I0-year program. The to- tal over IO years is $1,350,000. To this potential capital demand we must add the cost of the Encina Phase Ill upgrading and expansion. The tenta- tive estimate for Carlsbad's share is now set at $2,000,000. If we pro- vide for a contingency amount of 20%, the result is $2,400,000. a I0-year total of approximately $3,750,000. It is appropriate that these funds be raised by charges to the development that will benefit from such facilities. This gives There is approximately $900,000 currently available in the Sewer Con- struction Fund. The 874% grant funds for the Phase If1 program are paid out on a reimbursement basis. It is suggested that, for planning purposes, the present fund balance be reserved to insure a cash flow balance and not figure in the capital generation schedule. t -2- The number of EDUs expected to be available for Carlsbad from the Phase Ill expansion is 4,400. It can reasonably be expected that over the next 10 years, approximately 400 EDUs will go to new City facilities leaving a balance of 4,000. With $3,750,000 to be financed over the next 10 years and approxi- mately 4,000 new EDUs to finance this construction, it can be seen that the current $500 capacity fee is insufficient. Taking the 4,000 new EDUs and dividing this amount into $3,750,000 gives us $937.50/EDU. Since the figures in this report are based on estimated costs and it is uncertain whether the 12% cost escalation will hold in a period of increased treatment facility construction, and since most agencies in the area charge $1,000, it is recommended that we establish a new sewer ca- pacity fee of $1,000. Ronald A. Beckman, P.E. Pub1 ic Works Administrator RAB: MDL: VEB . -- .- .. . __ . . . . , .. P .. 1 4 5 6 7 a 9 20 . 11 12 13 14 .15 16 17 ' 18 19 . ' 20 21 22 23 24 25 26 27 28 ORDINANCE NO. 7057 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AMENDING CHAPTER 13.08 OF THE MUNICIPAL CODE BY THE AMENDMENT OF SECTIONS ' 13.08.080 TO INCREASE THE SEWER SYSTEM CONNECTION FEES WHEREAS, the City Council of the City of Carlsbad, California, finds that the sewer connection fees established for the City of Carlsbad are inadequate; and WHEREAS, said Council finds that the connection fees hereafter set forth are reasonable and are required in the public interest; NOW, THEREFORE, the City Council of the City of Carlsbad, California, does ordain as follows: SECTION 1: Title 13, Chapter 13.08 of the Carlsbad Municipal Code is amended by the amendment of Section 13.08.080 to read as follows: "Section 13.08.080 Sewer Connection Fees. Except as herein- after provided, every person who connects one or more living units to the City sewer system shall pay the City, prior to the issuance of a sewer connection permit, a connection fee of one thousand dollars per living unit. All sewer connection fees shall be placed in the joint sewer construction fund and shall be used to pay for capital improvements of said system. For a period of five years from June 30, 1974 the fee for a living unit or occupied mobile home space in existence and within the City limits on or before said date shall be fifty dollars, providing the connection to the sewer system is completed within said period." - EFFECTIVE DATE: This ordinance shall be effective 30 days after adoption. The City Clerk of the City of Carlsbad shall certify to the adoption ofathis ordinance and cause it to be .. . 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ?ublished once in the Carlsbad Journal within fifteen days after its adoption. .r INTRODUCED AND FIRST READ at a regular meeting of the Carlsbad 2ity Council held on the 17th day of Apri 1 , 1979, and thereafter PASSED AND ADOPTED-at a regular meeting of said City Zouncil held on the 1 st day of May , 1979, by the Eollowing vote, to wit: AYES: Councilmen Packard, Skotnicki, Anear, Lewis and NOES : None Councilwoman Casler ABSENT: None RONALD C. PACKARD, MAYOR - 4TTEST: (SEAL) . MEMORANDUM TO: City Manager FROM : City Engineer DATE : May 4, 1979 SUBJECT: CARLSBAD HIGH SCHOOL CONCESSION STAND You referred the request of Carlsbad High School for a sewer connection to the Agenda Bill process. I have reviewed the City code for possible EDU determination. stand is "Restaurant - No Seating." This category is assgined a flow of 2.67 EDU's. The most appropriate category for the concession I contacted Mr. Crawford, District Superintendent, about the concession stand. games. other sporting events that take place on the football field. Assuming the concession stand is utilized 10 times a year for approximately four hours at each event, I find the equivalent use to be approximately 1/50th of a normal "Restaurant - No Seating" or 0.05 EDU. He indicated that its primary use would'be for home football He also mentioned that it may be utilized for track meets and In that the contribution to the sewer is insignificant; the concession stand is on the school grounds serving a school use; schools require one EDU per 30 pupils; and Carlsbad High School already has a school allocation, I find the concession stand to be a school use and not required to obtain a sewer a1 1 oca ti on. LE:mmt \ + -.J GQffIlSbQd urniff i@d ~h@@IldiSGfiGO 001 pine avenue carlsbad,california 92000 729-9291 April 30, 1979 Mr. Paul D. Bussey City Manager City of Carl sbad 1200 Elm Avenue Carl sbad, Cal ifornia 92008 Dear Mr. Bussey: The Booster Club at Carlsbad High School is planning to purchase an 18’ x 24’ building for use as a concession stand. The building will be located adjacent to the high school football field on a concrete pad constructed by district maintenance personnel. As part of the facility, the district would like to make available running water and a sewage drain. would the city issue the Carlsbad Unified School District a sewage permit? For the purpose described above, Sincerely , District Superintendent aw ROBERT A. CRAWFORD BOARD OF EDUCATION THOMAS L. CURTIN. M.D. W. ALLAN KELLY JOHN J. MAMAUX RICHARD R. O’NEIL. M.D. MARY A. SCHERR