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HomeMy WebLinkAbout1996-06-04; Municipal Water District; 324; Setting Rates & Fees for Services. ‘ I -t . r . . '- CITY OF'tZ!ilESW - liGENDA]B-~u CARLSI~AD MUNICIPAL WATER DISTRICT - AGENDA BILL& AB# = TITLE: SETTING RATES AND FEES FOR MTG. 0614196 POTABLE WATER, RECLAIMED WATER AND WASTEWATER SERVICES CITY AlTY DEPT. CMWD CITY MGR. c RECOMMENDED ACTION: (JOINT CITY COUNCIL/CMWD BOARD OF DIRECTORS MEETING) Hold a public hearing and adopt Resolution No. 9 37 setting various rates and fees for potable water, reclaimed water and wastewater services provided by the Carlsbad Municipal Water District; and Adopt City Council Resolution No. ?6- f'?? setting various rates and fees for potable ,TEM EXPLANATION: water, reclaimed Water, and WaSteWater Services. In April of 1995, the Carlsbad Municipal Water District embarked on a rate study that was to look at the following issues and arrive at certain recommendations. Issues . Customers with large meters do not pay water delivery charges proportional to the demand they place on the system. Multi-family units are required to pay delivery charges for each multi-family unit in addition to the delivery charge established for each water meter. . Currently, water connection fees are based on Equivalent Dwelling Units (EDU’s) defined for sewer use. This allows some users to receive water service without paying their full share of connection fees. . The financing of several major capital improvement projects needs to be reviewed. . The Metropolitan Water District has revised its rate structure. As a result, CMWD rates need to be adjusted to produce adequate revenues to meet expenses. . The impacts of reclaimed water service on potable water need to be examined. . Residential wastewater service charges for single family and multi-family units need to be reviewed to enhance equity between these user groups. A review was done with input from a Citizens Review Committee (Committee). After educating Committee members on the various issues, the intent was to solicit input from the Committee to assist staff in identifying available alternatives to address these issues and to analyze the impacts of changes on the District as well as the Districts customers. This Committee produced a final report that represented their efforts to provide community input to the process of designing a new water rate structure. This Committee report was presented to the Water Commission and Board of Directors in September of 1995. Once the Committee’s report was presented and received, the consultant used the report to produce the Water and Wastewater Rate Study and Financial Plan. This plan has been reviewed by staff over the last few months and a final draft has been produced. The following recommendations are presented in the Plan: I Page 2 of Agenda Bill No. ,?a 7 Recommendations - Potable Water 1. Water Rates - Delivery Charge: Revise the monthly fixed charge (“Delivery Charge”) to more fairly reflect the demand each meter places on the system. This revision will result in an increase in the monthly fixed charge for each meter size and type of water user. Analvsis - The existing Delivery Charge is a fixed charge which includes a capacity charge and a customer charge that is fixed for each customer. This charge should be revised in accordance with Exhibit 3 (“Monthly Delivery Charges”) of the attached Resolution. This table shows the existing Delivery Charge in accordance with meter size. This existing charge has been adjusted to show the proposed new Delivery Charge as listed in the right- hand column. The proposed new charge more accurately reflects the demand each meter places on the water system. The adjusted Delivery Charge includes a portion of the new Ready-To-Serve (RTS) charge previously imposed by the Metropolitan Water District. The Delivery Charge should also be revised to create equity for Multi-family residential customers. This would be accomplished by charging only the Delivery Charge for the meter, based on size, and not for each additional residential unit as now exists. 2. Water Rates - Commodity Charge: Retain the existing rate structure and rates; i.e., no rate increase is recommended. Analvsis - The Commodity Charge (the charge for each unit of water consumed) reflects those costs that vary with the quantity of water used. These costs include the cost of purchasing and treating water. In addition, a part of the operations and maintenance costs, and capital costs of improvements are allocated to the Commodity Charge. The existing rate structure, including a conservation rate, should be retained. The Committee recommended that the conservation rate be extended to all classes of customers. This would be accomplished by establishing a conservation usage limit for each meter size as shown on Exhibit 5 (“Commodity Charges”) of the attached Resolution. This new rate includes the remaining portion of the Ready-To-Serve (RTS) charge, the balance of which is placed on the aforementioned delivery charge. A comparison of the allocation of water costs is presented on Exhibit 4 (“Allocation of Water Costs”) of the attached Resolution. The Metropolitan Water District is also imposing an increase of $5.00 per acre foot on imported water costs. Both of these charges are scheduled to take effect January, 1997. 3. Water Rates - Connection Fees: Revise the potable water Connection Fees from an Equivalent Dwelling Unit (EDU) basis to a meter size basis to more fairly reflect the demand each new meter places on the water system. Analvsis - The method of assessing Connection Fees should be revised and based on meter size rather than the existing EDU calculation. This “fair share” approach will result in some increases and some decreases in actual connection costs depending on the size of meter connected to the system. The recommended connection fees for different meter sizes are as shown on the attached Exhibit 2 (“Potable and Reclaimed Water Connection Fees”). Connection Fees should be revised annually to recover the increased New Demand Charge (NDC) previously charged by the Metropolitan Water District. Connection Fees . * * _ . Page 3 of Agenda Bill No. ‘76, Y should not be charged for retrofits if there is no increase in capacity. 4. Backflow Connection Program: The monthly fee for administering the backflow connection program should be increased from $2.50 to $3.00 per backflow account. Analvsis - The Backflow Connection Charge is required for non-residential users only and covers administrative costs related to maintaining records and administering the Backflow Program. 5. The Water Enterprise Fund: The Water Enterprise Fund Operating and Capital Replacement Reserves have adequate balances and do not need additional cash. Analvsis - For FY 199596, the Operating Reserve is at 49 percent. Normal utility practice is to provide a balance in the Operating Reserve of between 10 to 50 percent of annual operating expenses. This reserve is used for working capital and emergencies. Interest on the funds in this reserve may be used to finance operations. Normal utility practice is to maintain a Capital Replacement Reserve with a balance of between 50 to 100 percent of the average annual capital expense for the next five to ten years. The District has adequate reserves to meet this requirement. This reserve should be maintained at the present level to fund future capital replacement and upgrade projects. The Capital Expansion Reserve is projected to be depleted by the planned capital expansion projects due to the slow growth and reduced connection fee revenues. The District should consider delaying some of the capital expansion projects if the growth rate does not pick up. Recommendations - Reclaimed Water 1. Reclaimed Water - Commodity Charge: Implement a five percent discounted Commodity Charge rate for reclaimed water use with water users bearing the costs of retrofitting. Analvsis - The Committee recommended a five percent discount for reclaimed water use and let users bear the costs of retrofitting. Retrofits are required to convert, or replace potable water connections with reclaimed water connections to provide reclaimed water service. 2. Reclaimed Water - Connection Fees: Establish new reclaimed water connection fees as shown in Exhibit 2 of the attached Resolution. Analvsis - New reclaimed water connections should be charged a Connection Fee equal to that of potable water connections as shown on Exhibit 2 of the attached Resolution. Reclaimed water users are not required to pay San Diego County Water Authority’s connection fee. 3. Debt Financing: Seek low cost loans from the State Revolving Fund. Analvsis - The expansion of reclamation facilities will require debt financing? The District should seek low cost loans from the State Revolving Fund. . I Page 4 of Agenda Bill No. ‘!?a Recommendations - Wastewater Senrices 1. 2. 3. 4. 5. Wastewater Enterprise Fund: Increase wastewater rates based on a projection of three percent per year. Analvsis - The Wastewater Enterprise Fund is in good financial condition. Only small rate increases are needed to maintain pace with inflation. The projected rate increases are three percent per year. Wastewater Services Rates: Revise the rate system for charging wastewater services for residential multi-family units from the existing fixed rate to a water use-based (“flow based”) system; continue to charge single family homes a fixed charge. Analvsis - The Committee recommended that wastewater rates for residential customers be based on water use. This would be similar to rates for non-residential customers. Since the major portion of the wastewater service charges are from residential customers, and water use can vary significantly from year to year, this type of rate structure makes the District vulnerable to fluctuations in revenue. To ensure that revenues are not too high or too low, rates would need to be reviewed on an annual basis. Staff recommendation is to switch multi-family units to a water use-based system, but continue to charge single family homes a uniform charge. Flat or uniform residential rates, as well as rates based on average winter use for single family residences and based on monthly water use for multi- family residences, are presented on Exhibit 1 (“Wastewater Rate”) of the attached Resolution. It is recommended that multi-family wastewater rates be based on a portion (e.g., 90%) of monthly water use. It should be noted that the rate increase for single family units will be significantly higher and other users will actually benefit from a rate reduction. Wastewater Fee - Second Dwelling Units (Granny Flats): Implement a new wastewater fee for second dwelling units (“granny flats”). Analvsis - An additional wastewater fee should be charged for second dwelling units (“granny flats”) to ensure that adequate fees are collected for wastewater service. It is expected that these units will be used by single individuals in most cases; therefore, this new charge should be 40 percent of that for a single family residence Wastewater Services - Enterprise Reserves: The Wastewater Enterprise Reserves have adequate balances and do not need additional cash. Analvsis - The Wastewater Enterprise Reserves are in good condition and should be maintained to meet operating and capital replacement needs in the future. The Capital Expansion Reserve which is used to pay off debt service is being depleted at a fast pace because of reduced revenues from connection fees due to slow growth. Wastewater Services - Capital Improvement Projects: The District will need to issue debt of $5 million in 1996-97 and $4 million in 1998-99 to meet the cost of expansion- related wastewater capital improvement projects. Page 5 of Agenda Bill No. 3 I . FISCAL IMPACT: Water - Retail water rates must be increased to cover the wholesale increases from the Metropolitan Water District through the San Diego County Water Authority or an annual shortfall would exist that amounts to $ 390,000 for 1996-97. These increases represent the Ready-to- Serve charge to CMWD of $316,072 and the increase of $5.00 per acre foot to the cost of water. The increase of $415 to the Water Connection Fee represents the New Demand Charge that has been instituted by Metropolitan Water District. This connection fee must be increased to offset the New Demand Charge or a shortfall will occur when the District increases its average baseline imported water purchases. A monthly Backflow Device Inspection Fee of $2.50 is currently charged to cover the costs of administering the backflow connection program and the charge is made only to those customers requiring a backflow device. The recommended fee increase to $3.00 will cover the administration costs of maintaining records of the locations, tests and repairs on each backflow device. Reclaimed Water - A five percent discount for the commodity charge would result in a shortfall of $52,000 based on reclaimed water sales of 1,400 acre feet. This shortfall is proposed to be made up through a subsidy of the potable water rate. The effect on the potable water rate would be $0.01 per unit of water and results in the proposed $1.70 per unit rate. Wastewater - There is no fiscal impact to the wastewater enterprise fund as a result of the recommendations in this rate study. The adjustments to the single family residential customer and to the multi-family residential customer offset each other, therefore, total revenue remains unchanged. EXHIBITS: 1. Resolution No. ? 3 7 Setting Rates and Fees for Potable Water, Reclaimed Water and Wastewater Services. 2. City Council Resolution No. ?6- 177 setting Rates and Fees for Potable Water, Reclaimed Water and Wastewater Services. 5 RESOLUTION NO. 939 3 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CARLSBAD MUNICIPAL WATER DISTRICT SETTING 4 RATES FOR POTABLE WATER, RECLAIMED WATER 5 AND SEWER SERVICES 6 7 WHEREAS, the Metropolitan Water District (MWD) through the San Diego 0 County Water Authority (CWA) has increased the wholesale cost of water and imposed 9 a new Ready-To-Serve charge to the Carlsbad Municipal Water District (CMWD) to 10 help cover MWD’s costs necessary to meet water reliability and quality needs; and WHEREAS, retail water rates must be increased to cover the wholesale increases and the Ready-To-Serve charge to the CMWD from the Metropolitan Water 11 12 13 14 District or an annual shortfall would exist for 1996-97; and 15 WHEREAS, the Metropolitan Water District through the San Diego County 16 17 18 19 20 Water Authority has instituted a New Demand Charge to CMWD to help cover MWD’s capital improvement program costs; and WHEREAS, the CMWD’s Water Connection Fee must be increased by $415 per connection to offset the New Demand Charge or a shortfall will occur when the CMWD 21 II increases its average baseline imported water purchases; and WHEREAS, the Board recognizes the need to generate a larger portion of fixed costs from a fixed source of monthly water revenue to fund CMWD operations and 22 23 24 25 26 27 issues related to water and wastewater fees and charges; and maintenance; and WHEREAS, in April 1995 the CMWD embarked on a rate study to review various 28 -. 1. 2 WHEREAS, a Citizens Review Committee was formed to assist staff in 3 addressing issues and impacts related to designing a new water and wastewater rate 4 structure; and 5 WHEREAS, the findings of the Committee were summarized in a report that was 6 7 presented to the Water Commission and Board of Directors in September 1995; and a WHEREAS, the Committee’s report was used to produce the District’s Water 9 and Wastewater Rate Study and Financial Plan; and 10 WHEREAS, the Water and Wastewater Rate Study and Financial Plan 11 12 13 14 formulated recommendations for revisions to CMWD’s existing water and wastewater rate structure and associated fees; and WHEREAS, the Water and Wastewater Rate Study and Financial Plan was 1 15 /I reviewed and accepted by the Board at its meeting held on May 14, 1995. 16 17 la 19 20 21 22 23 24 25 26 27 28 NOW, THEREFORE, BE IT HEREBY RESOLVED, by the Board of Directors of the Carlsbad Municipal Water District, as follows: 1. That the above recitations are true and correct. 2. That the following revisions to water rates and fees shall become effective sixty (60) days from the date of Board adoption of this Resolution: a. Increase the monthly fee for administering the backflow connection program from $2.50 to $3.00 per backflow connection account. b. C. Implement a five percent (5%) discounted commodity charge rate for / reclaimed water use with reclaimed water users bearing the costs of retrofitting. Revise the rate system for charging wastewater services for residential multi-family units from the existing fixed rate to a water use-based (“flow based”) system and continue to charge single family homes a fixed charge, all in accordance with the attached Exhibit 1 (“Wastewater Rates”). - < , < . - . 7 ; : L c b E 7 e 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 d. Revise the potable water connections fees from an EDU basis to a meter size basis as shown on the attached Exhibit 2 (“Potable and Reclaimed Water Connection Fees”). These connection fees shall include MWD’s “New Demand Charge.” e. Implement new reclaimed water connection fees in accordance with the attached Exhibit 2 (“Potable and Reclaimed Water Connection Fees”). That the following revisions to water rates and fees shall become effective January 1, 1997: a. Revise the monthly potable water delivery charges in accordance with the attached Exhibit 3 (“Monthly Delivery Charges”) which includes the elimination of the fixed charge per dwelling unit on multi-family residences. b. Retain the existing potable water commodity rate as allocated on attached Exhibit 4 (“Allocation of Water Costs”), including a conservation rate for all customer classifications, all in accordance with attached Exhibit 5 (“Commodity Charges”). 4. That this Resolution shall become effective sixty (60) days after its adoption. PASSED, APPROVED AND ADOPTED at the regular meeting of the Board of Directors of the Carlsbad Municipal WaterDistrict held on the 4’h day of June, 1996, by the following vote, to wit: AYES: Board Members Lewis, Nygaard, Kulchin, Hall NOES: None ABSENT: Board Member Finnila n A P- ABSTAIN: None ATTEST: -ad-/PA - ALETHA L. RAUTENKRANZ, Secretary EXHIBIT 1 WASTEWATER RATES I Fiscal Year 1996-97 User Category Unit Cost Slhcf of Water Min./Max. Monthly Charge, $ Uniform Rate Group I Residential: Single Family Residence Multi-Family Residence (I) Mobile Home (I) $2.05 $2.05 $15.00 $15.00/$36.65 $15.001$36.65 Group II Commercial (2) Group Ill Commercial (2) $1.69 $15.00 $2.22 $15.00 Group N Commercial (2) I $3.51 I $15.00 I Group V Institutional Schools per ADA (3) Elementary Junior High Boarding $0.22* $0.43* $0.65* $3.23* Group VI Large Volume Users Beckman Micro Oper I Culligan $4.60 $1.31 $15.00 $15.00 (1) Multi-family Residential wastewater flow is 90 percent of metered water use. (2) Non-Residential wastewater f7ow is 95 percent of metered water use. (3) Schools - assumes a 2OO-day working year; ADA - Average Daily Attendance. Note: l Denotes charge per student based on ADA. , -_ ‘- -. EXHIBIT 2 POTABLE AND RECLAIMED WATER CONNECTION FEES II I Recommended Fees (11 II Meter Size DisDlacement I Turbine 518” $2,815 314” $4,043 1 ,I $6,438 II l-l 12” I $12,275 1 $14,050 II 2” I $18,680 I $22,520 II 3” I $33,225 I $49,263 II 4” I $52,375 I $84,450 II 6” I $98,750 I $175,938 II 8” 7 ~~ $148.400 I ~~ 5253.350 1 I - Turbo $140,750 $281,500 $492.625 (1) includes “New Demand Charge’; excludes San Diego County Water Authority Charge. As the New Demand Charge increases every year, the connection fee needs to be revised accordingly. EXHIBIT 3 -. MONTHLY DELIVERY CHARGES Meter Size Actual 1994-95 518” $8.50 314” $8.70 1 II $8.75 l-1 /2” $9.30 2” $25.70 3” $30.60 4” $37.65 6” $40.55 8” $46.15 Multi-Family Unit $4.90 per unit Recommended Rates (I) $9.25 $11.75 $16.75 $29.25 $44.25 $79.50 $129.50 $254.50 $404.50 Eliminated (1) Includes a portion of the new Ready-to-Serve (RTS) charge previously imposed by th.e Metropolitan Water District in 1995-96. . , EXHIBIT 4 ALLOCATION OF WATER COSTS Commodity Charge per Unit I Description of Costs I Existing 1 Recommended I Metropolitan Water District (MWD) $0.98 $0.99 MWD Ready-To-Serve Charges $0.00 $0.03 San Diego County Water Authority Carlsbad Municipal Water District Total Unit Charge (1) $0.54 (2) $.OSO $1.70 $1.70 (1) Includes 166 per unit for depreciation. (2) Includes lS$ per unit for depreciation and lg!. for reclaimed water. EXHIBIT 5 COMMODITY CHARGES Meter Size l-7 units/month, Single Family 5/8” 314’ 1 II l-l 12” 2” 3” 4” 6” 8” Conservation Rate Standard Water Rate Reclaimed Water Rate Actual 1994-95 $1.51 $1.51 $1.70 $1.70 Recommended Rates (I) Conservatiofl Block, per unit 7 10 16 30 45 79 123 228 336 $1.52 $1.70 $1.62 (1) includes the other portion of the previously imposed Ready-To-Serve (RTS) charge, fhe balance of which is placed on the District’s Delivery Charge. , . . . II t - - 1 2 RESOLUTION NO. 96-197 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA SETTING RATES FOR 4 POTABLE WATER, RECLAIMED WATER AND SEWER SERVICES WHEREAS, the Metropolitan Water District (MWD) through the San Diego 8 County Water Authority (CWA) has increased the wholesale cost of water and imposed 9 a new Ready-To-Serve charge to the Carlsbad Municipal Water District (CMWD) to help cover MWD’s costs necessary to meet water reliability and quality needs; and WHEREAS, retail water rates must be increased to cover the wholesale increases and the Ready-To-Serve charge to the CMWD from the Metropolitan Water 10 11 12 13 14 District or an annual shortfall would exist for 1996-97; and 15 WHEREAS, the Metropolitan Water District through the San Diego County 18 Water Authority has instituted a New Demand Charge to CMWD to help cover MWD’s 17 capital improvement program costs; and 18 19 WHEREAS, the CMWD’s Water Connection Fee must be increased by $415 per 20 connection to offset the New Demand Charge or a shortfall will occur when the CMWD 21 I/ increases its average baseline imported water purchases; and WHEREAS, the City Council recognizes the need to generate a larger portion of fixed costs from a fixed source of monthly water revenue to fund CMWD operations and 22 23 24 25 26 27 II various issues related to water and wastewater fees and charges; and maintenance; and WHEREAS, in April 1995 the CMWD embarked on a rate study to review 28 : : d I . f i f E 1c 11 12 13 14 15 18 17 18 19 20 21 22 23 24 25 26 27 28 WHEREAS, a Citizens Review Committee was formed to assist staff in addressing issues and impacts related to designing a new water and wastewater rate structure; and WHEREAS, the findings of the Committee were summarized in a report that was presented to the Water Commission and Board of Directors in September 1995; and WHEREAS, the Committee’s report was used to produce the District’s Water and Wastewater Rate Study and Financial Plan; and WHEREAS, the Water and Wastewater Rate Study and Financial Plan formulated recommendations for revisions to CMWD’s existing water and wastewater rate structure and associated fees; and WHEREAS, the Water and Wastewater Rate Study and Financial Plan was reviewed and accepted by the Board at its meeting held on May 14, 1995. NOW, THEREFORE, BE IT HEREBY RESOLVED, by the City Council of the City of Carlsbad, as follows: 1. 2. That the above recitations are true and correct. That the following revisions to water rates and fees shall become effective sixty (60) days from the date of City Council adoption of this Resolution: a. Increase the monthly fee for administering the backflow connection program from $2.50 to $3.00 per backflow connection account. b. C. Implement a five percent (5Oh) discounted commodity charge rate for reclaimed water use with reclaimed water users bearing the costs of retrofitting. Revise the rate system for charging wastewater services for residential multi-family units from the existing fixed rate to a water use-based (“flow based”) system and continue to charge single family homes a fixed charge, all in accordance with the attached Exhibit 1 (“Wastewater Rates”). L * . : : L c c f 7 E E 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 d. Revise the potable water connections fees from an EDU basis to a meter size basis as shown on the attached Exhibit 2 (“Potable and Reclaimed Water Connection Fees”). These connection fees shall include MWD’s “New Demand Charge.” e. Implement new reclaimed water connection fees in accordance with the attached Exhibit 2 (“Potable and Reclaimed Water Connection Fees”). 3. That the following revisions to water rates and fees shall become effective January 1,1997: a. Revise the monthly potable water delivery charges in accordance with the attached Exhibit 3 (“Monthly Delivery Charges”) which includes the elimination of the fixed charge per dwelling unit on multi-family residences. b. Retain the existing potable water commodity rate as allocated on attached Exhibit 4 (“Allocation of Water Costs”), including a conservation rate for all customer classifications, all in accordance with attached Exhibit 5 (“Commodity Charges”). 4. That this Resolution shall become effective sixty (60) days after its adoption. PASSED, APPROVED AND ADOPTED at the regular meeting of the City of Council of the City of Carlsbad held on 4th day of JUNE 1996, by the following vote, to wit: AYES: Council Members Lewis, Nygaard, Kulchin, Hall NOES: None ABSENT: Council Member Finnil ABSTAIN: None ATTEST: ALETHA L. RAUTENKRANZ, City C&k . -_ EXHIBIT 1 WASTEWATER RATES Fiscal Year 1996-97 User Category Group I Residential: Single Family Residence Multi-Family Residence (I) Mobile Home (I) Group II Commercial (2) Group Ill Commercial (2) Group IV Commercial (2) Group V Institutional Schools per ADA (3) Elementary Junior High Boarding Group Vl Large Volume Users Beckman Micro Oper I Culligan Unit Cost Slhcf of Water $2.05 $2.05 $1.69 $2.22 $3.51 $0.22* $0.43* $0.66” $3.23* S4.60 $1.31 MinJMax. Monthly Charge, $ $15.00/$36.65 $15.00/$36.65 $15.00 $15.00 $15.00 $15.00 $15.00 Uniform Rate $15.00 (1) Multi-Family Residential wastewater ffow is 90 percent ofmefered water use. (2) Non-Residential wastewater flow is 95 percent of metered water use. (3) Schools - assumes a 200&y working year; ADA - Average Daily Attendance. Note: * Denotes charge per student based on ADA. )7 - i EXHIBIT 2 POTABLE AND RECLAIMED WATER CONNECTION FEES Recommended Fees (1) Meter Size Displacement Turbine Turbo 518” $2,815 314” $4,043 I II $6,438 I -I/2” $12,275 $14,050 2” $18,680 $22,520 3” $33,225 $49,263 4” $52,375 $84,450 $140,750 6” $98,750 $175,938 $281,500 8” _ $148,400 $253,350 $492,625 (I) Includes “New Demand Charge”; excludes San Diego County Water Authority Charge. As the New Demand Charge increases every year, the connection fee needs to be revised accordingly. /- ? MONTHLY DELIVERY CHARGES EXHIBIT 3 Meter Size Actual 1994-95 518” $8.50 Recommended Rates (1) $9.25 II 314” I II $8.75 $16.75 I -I/2” $9.30 $29.25 2” $25.70 $44.25 3” $30.60 $79.50 4” $37.65 $129.50 6” $40.55 $254.50 II 8” Multi-Family Unit $4.90 per unit Eliminated (1) /n&&s a portion of the new Ready-to-Serve (RTS) charge previously imposed by the Metropolitan Water District in 199996. . - - . , EXHIBIT 4 ALLOCATION OF WATER COSTS DescriDtion of Costs Commodity Charge per Unit Existina Recommended Metropolitan Water District (MWD) $0.98 $0.99 MWD Ready-To-Serve Charges $0.00 $0.03 San Diego County Water Authority $0.18 $0.18 Carlsbad Municipal Water District Total Unit Charge (1) $0.54 (2) $.050 $1.70 $1.70 (I) Includes 1 6# per unit for depreciation. (2) Includes 1 Sg per unit for depreciation and I #. for reclaimed water. EXHIBIT 5 COMMODITY CHARGES Recommended Meter Size Actual 1994-95 Rates (I) Conservation l-7 units/month, Single Family $1.51 Block, per unit 518” 7 314” 10 1 II 16 l-l /2” 30 2” 45 3” 79 4” 123 6” 226 6” 336 Conservation Rate $1.51 $1.52 Standard Water Rate $1.70 $1.70 I Reclaimed Water Rate I $1.70 I $1.62 I (I) includes the other portion of the previously imposed Ready-To-Serve (RTS) charge, the balance of which is placed on the District’s Delivery Charge. . PROOF OF PUB’ - ATION (2010 8 2011 C.C.P.) STATE OF CALIFORNIA County of San Diego I am a citizen of the United States and a resident of the County aforesaid: I am over the age of eighteen years arid not a party to or interested in the above- entitled matter. I am the principal clerk of the printer of North County Times formerly known as the Blade-Citizen and The Times-Advocate and which newspapers have been adjudged newspapers of general circulation by the Superior Court of the County of San Diego, State of California, under the dates of June 30, 1989 (Blade-Citizen) and June 21, 1974 (Times- Advocate) case number 171349 (Blade-Citizen) and case number 172171 (The Times-Advocate) for the cities of Escondido, Oceanside, Carlsbad, Solana Beach and the North County Judicial District; that the notice of which the annexed is a printed copy (set in type not smaller than nonpareil), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit: May 22, 1996 I certify (or declare) under penalty of perjury that the foregoing is true and correct. Dated at California, this -day - b ------- % --mm-- - Signature NORTH COUNTY TIMES Legal Advertising This spat - , for the County Clerk’s Filing Stamp Proof of Publication of Notice of Public Hearing --------~----------------- Momla, to discuss revising vartous rat& end fees itef and wasteww services. as outttnexl in the feca a&water Rate Study and Financial Plan’. 3cummandakmsofthewmpietedRateStudyindudethe~ng: Revise monthly fixed Detivery Cherg~ to ~QI’O fatrty retled the,~ oech meter -places on ths system: this fevlsion will reqult in an kwxecae tn thd montbty ftxed charge for eat31 meter size. Mdntdnthee~irtingComm~RateatS1.70pprunitdmkr. ReviseConn&ionsFeestochagabasedonstzeofwatermeter. ’ lnoreasesaddtowconnedkm fmgramcWgefmm52.50@$3.00pefacunmt ,lmplement a flve percent dIscounted Commodtty Charge rate (SlB2 pi unit) for re&imedwaterusewtthwater~bartngthecustsofratMMg. Implement new r&aimed water ConmxNm F~WplhGWttotfUWofpottlM wqter. Revise the monthly chag~ for ‘btewab savloasia- -- fnnlltheexlstlngflxedrateJtoa’lHtsr- famllytiomessfhsddwrfja. w-m-~~dnok k@mtantanewwastewateffaebrasaMd~unit8(~fkls”)cakubW 4O%d.abtrgb~Feddenca ,- yot&wtK-~questionaor~,~~Eobonruy#43%2722. cufdaythrar(lhFridaybe~8~arn~#@p@: youLwth!2stherevidorwtottle SShlOOUlt.)QUlTU3ykth7lltOdtO beatttwplJblkllsarltlg~ .Mecilyucarkbadcltyckrk’sonlceat,,apriorbo,(lapl#eRI*(nll. 4RRLSBAD YURICIPAL’WATER DlSlt?lCT BOARD DF MRf%lDRS gal 46894 May 22, IQ96 I L . ._ _ _ ._ ..- .-A. ._--_ & ..; .A . . PROOF OF PUB -- ‘AVON (2010 & 2011 C.C.P.) - = STATE OF CALIFORNIA County of San Diego I am a citizen of the United States and a resident of the County aforesaid: I am over the age of eighteen years and not a party to or interested in the above- entitled matter. I am the principal clerk of the printer of North County Times formerly known as the Blade-Citizen and The Times-Advocate and which newspapers have been adjudged newspapers of general circulation by the Superior Court of the County of San Diego, State of California, under the dates of June 30, 1989 (Blade-Citizen) and June 21, 1974 (Times- Advocate) case number 171349 (Blade-Citizen) and case number 172171 (The Times-Advocate) for the cities of Escondido, Oceanside, Carlsbad, Solana Beach and the North County Judicial District; that the notice of which the annexed is a printed copy (set in type not smaller than nonpareil), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to-wit: Nay 22, 1996 I certify (or declare) under penalty of perjury that the foregoing is true and correct, Dated at California, this 27r.d day Of May ----- l&eJ2fjff--- NORTH COUNTY TIMES Legal Advertising This spat ; for the County Clerk’s Filing Stamp Proof of Publication of Notice of Public Hearinq ,-,-,,--A------- -,-,-,‘-,-, e CARLSBAD MUNlClPAL WAER MStiCT RMSK)NS TO WATER, RECLAIMED WATER AND WASTEWATER RATES AND FEES .R~Md&lOMOfthOUJr@&t~stu6yindudemd~ l Re~montMyfbtedDethrqChagetcrnon,faiclyrdkdti~~-- placegonthesye(sm:thisFsvlsionwHIresu(tin’aninaeaeok,thsmon(hlytked charge far each meter site. ;* ~ntdnItwdstinrJCommdtYRateats130perunttofwe&r. l RWeConnectkmsF~tocharge:basedon~dwclter~ *. ‘--~~~~rge~t25oto)3.oopec- l hvhsfnent a five wrcent dlrupuw cwnmodyy cm rate (sl.82 p8f unit) tar redahn~wateruxtwithwaterusenr~a~~cadodrebdlting. L a- Implement rmwreclaiti water carnectbn water. F~equhraltitO~dportable ,’ Raise the monthly cheges iir ~s8Mc8sfwbr komtheexlstingflx8drat&oaw8tw~ f8ll3tl!JlUpWiOflXti~. sYBteIn;wY~~ h ~plentsntarleww~8t8rf88fws8cwlddrrrmfnOwllts(’pmyn)(r’)~ 4o%of~shglaf8~r6iMmcw. Ifycwr,who~‘~Woammcnb,~~~~d4~~, MociaaY mough F@%iy w &oo am t&f!@@ pm bwJ~the&tcthsw**~~nd/or~~~ tees~-l,YW~YbeIlfMdtQ~only~ --epoM(chmingdoWberjinthba~‘wh raised by you or L _...__. ._ ~~CitydCWW8dUtYClWkbGffhet,WpMb cARLSsADMIIW)CICAL - Leoal----~ -~ . n#lER blSrrrrcT BOARD ff’D(RE- ~Msy22, loob r I -’ CARLSBAD MUNICIPAL WATER DISTRICT REVISIONS TO WATER RECLAIMED WATER AND WASTEWATER RATES AND FEES NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that the Board of Directors of the Carlsbad Municipal Water District will hold a public hearing on Tuesday, June 4, 1996 at 6:00 p.m. in the City Council Chambers located at 1200 Carlsbad Village Drive, Carlsbad, California, to discuss revising various rates and fees associated with water, reclaimed water and wastewater services, as outlined in the recently completed “Water and Wastewater Rate Study and Financial Plan.” Recommendations of the completed Rate Study include the following: 0 Revise monthly fixed Delivery Charge to more fairly reflect the demand each meter places on the system; this revision will result in an increase in the monthly fixed charge for each meter size. 0 Maintain the existing Commodity Rate at % 1.70 per unit of water. 0 Revise Connections Fees to charge based on size of water meter. 0 Increase Backflow Connection Program charge from $2.50 to $3 .OO per account. 0 Implement a five percent discounted Commodity Charge rate ($1.62 per unit) for reclaimed water use with water users bearing the costs of retrofitting. 0 Implement new reclaimed water Connection Fees equivalent to those of potable water. 0 Revise the monthly charges for wastewater services for residential multi-family units from the existing fixed rate to a water use-based system; continue to charge single family homes a fixed charge. 0 Implement a new wastewater fee for second dwelling units (“granny flats”) calculated 40% of a single family residence. If you who have questions or comments, please contact Bob Greaney at 438-2722, Monday through Friday between 8:00 am to 5:00 p.m. If you challenge the revisions to the water, reclaimed water and/or wastewater rates and fees in court, you may be limited to raising only those issues raised by you or someone else at the public hearing described in this notice, or in written correspondence delivered to the City of Carlsbad City Clerk’s Office at, or prior to, the public hearing. PUBLISH: May 22,1996 CARLSBAD MUNICIPAL WATER DISTRICT BOARD OF DIRECTORS