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HomeMy WebLinkAbout1980-07-15; City Council; 6230; Establishing sewer service chargesc CITY OF CARLSBAD Initial: AGENDA BILL NO. 6 ^ sLO Dept. Head_^ DATE: JULY 15, 1980 •' C. Atty DEPARTMENT: ENGINEERING . C. Mgr. SUBJECT: RESOLUTION ESTABLISHING SEWER SERVICE CHARGES STATEMENT OF THE MATTER At their meeting of July 1, 1980, the City Council directed staff to return to them with documents increasing the sewer service fee by two dollars a month to offset costs of upgrading the existing Encina Sewage Treatment Plant. FISCAL IMPACT - The proposed two-dollar capital facilities surcharge on the monthly sewer service fee will generate about $750,000 for the Sewer Construction Fund over the next three years. ' • • EXHIBITS Staff Report Resolution No.£«a </</. RECOMMENDATION Adopt Resolution No. Council Action: 7-15-80 Council adopted Resolution 6244, setting sewer service charges. MEMORANDUM - July 2, 1980 TO: ASSISTANT CITY MANAGER/DEVELOPMENT FROM: CITY ENGINEER 6J~* SUBJECT: SEWER SERVICE FEE - CAPITAL FACILITIES SURCHARGE At their meeting of July 1, 1980, the City Council considered a plan to finance the needs of the sewer construction fund over the next three years. The majority of expenditures from the fund will be toward the Encina Phase III Upgrading and Expansion Project. According to the Brown and Caldwell "Financial Plan and Revenue Program" for the Encina Phase III Enlargement and Upgrading of September, 1979, Carlsbad's share of the project is $3,167,000. On June 16, 1980, the Encina General Manager revised this cost estimate to $3,399,778. Brown and Caldwell's September, 1979 report described Carlsbad's local share of Phase III as follows: Local share of eligible upgrading costs $ 957,000 Local share of ineligible upgrading costs 1,439,000 Local share of eligible enlargement costs 252,000 Local share of ineligible enlargements costs 519,000 Total $3,167,000 Carlsbad's share of eligible upgrading costs (amount left over after Feds pay 75% and State pays 12.5%) is going to be about $957,000. The per- centage of this cost which relates to the existing capacity at Encina should be borne by present sewer users rather than being passed on to developers. Seventy-five percent of the upgrading work is required to bring the existing treatment plant up to the secondary treatment levels mandated by Federal regulations. Therefore, the City should attempt to raise $750,000 from present users prior to completion of Phase III. This can be accomplished by raising the sewer user fee by $2 per EDU and applying it to the Sewer Construction Fund. The existing resolution setting sewer service fees was adopted by Council on October 2, 1979. These charges are still adequate to offset the cost of operations and maintenance of Carlsbad's sewage collection and treatment. The $2 surcharge would be deposited in the Sewer Construction Fund and utilized for capital improvements. At such time as the Phase III Encina Project is complete and in operation, the capital facilities charge would be deleted and a new sewer service charge developed. LE:mmt C: City Attorney Finance Director. 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 27 28 RESOLUTION NO. 6244 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, SETTING SEWER SERVICE CHARGES WHEREAS, Section 13.12.020 of the Carlsbad Municipal Code pro- vides that all persons served by the City sewer system shall pay a sewer service charge; and WHEREAS, the City Council, upon recommendation of the City Manager, has determined to add a two-dollar per month capital facilities surcharge to the sewer service fee; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad as follows: 1. That the above recitations are true and correct. 2. That the monthly sewer service charge will consist of a service charge and a capital facilities surcharge which shall be applicable to all premises in the City hooked up to Encina Water Pollution Control Facility. 3. That the capital facilities surcharge will be effective beginning September 15, 1980, as shown on Exhibit "A" attached hereto and incorporated herein by reference. 4. That the monthly capital facilities surcharge will be placed in the Sewer Construction Fund and shall be used to pay for the capital improvements of s.aid system. PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad held the 15thday of July ,1980, by the following vote, to wit: AYES: Council Members Packard, Casler, Anear, Lewis and Kulchin NOES: None ABSENT: None 26 "^^.^\ ATTEST: RONALD C. PACKARD, Mayor ALETHA L. RAUTENKRANZ, City Clerk] (SEAL) c CAPITAL FACILITIES SURCHARGE EXHIBIT "A1 CLASSIFICATION: A. Residential (1) For each single-family dwelling (2) For each unit a duplex, flat, apart- ment, court, multiple dwelling, mobile home complex or trailer court B. Commercial & Industrial (1) For each unit of a motel, hotel, rooming, lodging or boarding house, ten units or less -Each additional unit over ten -Each unit with kitchen facilities (2) Bakeries, markets with disposals, mortuaries and restaurants (3) Schools and all other commercial uses not listed above Monthly Sewer Service Charge $3.25 $3.25 $1 $1 30 00 $3.25 L25 $3.25 (4) Car washes, wash racks, laundries and other enterprises where water is $3.25 per EDU + the primary commodity to carry on $0.32 per each said business and said water is dis- 100 cubic feet charged into the sanitary sewer system (5) Each enterprise where water is the primary commodity to carry on said business, said water characteristics exceed the sewer service area average for suspended solids (S.S.) $0.32 x (C180+ S.S.34- 360) (6) For each unit of an office of commer- cial building or any establishment having facilities for trailers, campers or boats $3.25 Monthly Capital Facilities Surcharge $2.00 $2.00 $0.80 $0.60 $2.00 $2.00 $2.00 $2.00 per EDU + $0.20 per each 100 cubic feet $0.20 x (C180+ S.SJ 4- 360) $2.00