2011/05/24 City Council Ordinance 837
AFFIDAVIT OF POSTING
STATE OF CALIFORNIA)
) ss
County of Sonoma )
Judv Hauff, under penalty of perjury, deposes and says:
That she is, and during all times herein mentiOlied was, the duly acting and qualified City
Clerk of the City of Rohnert Park, Sonoma County, California; and that on the 25th day of
Mav, 2011, she posted as required by law full, true, and correct copies of ORDINANCE NO.
837, "ADOPTING A NEW RATE STRUCTURE AND RATE PLAN FOR SEWER
SERVICE CHARGES" in the following places:
City Hall
130 Avram Avenue
Public Safety Department
500 City Center Drive
Rohnert Park Community Center
5401 Snyder Lane
Library
6250 Lynne Conde Way
www.rpcitv.orl! for website posting
Subscribed and sworn to before me
this 13th day of June, 2011.
~~~
e Deputy City C e -.. .
M:\Ordinances\Ordinances 2011\Affidavits ofPosting\Affidavit of Posting 837.doc
ORDINANCE NO. 837
AN UNCODIFIED ORDINANCE OF
THE CITY OF ROHNERT PARK ADOPTING A NEW
RA TE STRUCTURE AND RATE PLAN FOR
SEWER SERVICE CHARGES
WHEREAS, the City of Rohnert Park works each day with increasingly limited
financial resources to ensure that the sewer system is properly maintained to protect
residents and our environment from hazardous waste, spills and sewage leaks; and
WHEREAS, the City's Sewer fund, which is meant to pay for all sewer services,
currently has an annual deficit of over $2 million dollars; and
WHEREAS, the City of Rohnert Park is not only concerned about our
community's health and safety but is also legally obligated to pay its share of sewer costs
to other agencies providing services as part of a regional system; and
WHEREAS, the City has already made over $6 million in cuts in the past two
years from our general fund budget which supports essential City services such as police
and fire, 9-1-1, park maintenance, recreation programs, and street/pothole repair; and
WHEREAS, if the Sewer Fund reserve is depleted, General Fund monies will
need to be used, resulting in additional cuts to essential city services; and
WHEREAS, in studying this issue thoroughly, the volunteer Citizens' Sewer
Fund Stakeholders Group recommended to the City Council that Rohnert Park must
update its sewer rates to protect our City's health, safety and fiscal integrity; and
WHEREAS, delaying sewer repairs and maintenance only increases their cost to
City ratepayers over time, and can result in even more costly repairs and fines or
intervention by Regional, State, and Federal agencies; and
WHEREAS, even with a new sewer rate Rohnert Park will still have among the
lowest sewer rates in the region; and
WHEREAS, these rates are reasonable, reflect a proportionate distribution of
costs to each customer, and will cover the costs of providing sewer services within
Rohnert Park; and
WHEREAS, section 13.42.010 of the Rohnert Park Municipal Code provides that
the City Council shall establish rates for sewer service by ordinance; and
WHEREAS, Resolution No. 2011-19 accepting the Sewer Financial Planand
Rate Study prepared by The Reed Group, Inc., dated March 3, 2011, ("Reed Report")
Ordinance No. 837
(Page 1 of 6) .
OAK #4824-0395-9817 vi I
was passed by the City Council on March 8, 2011; and
WHEREAS, the Reed Report confirmed that since 2009, annual expenses for
sanitary services have exceeded revenues, resulting in a rapid reduction in the balance of
the sewer operating funds; and
.
WHEREAS, the City delivers wastewater to the Santa Rosa Subregional Sewer
System for the legally required treatment pursuant to an Agreement with the City of
Santa Rosa and other local agencies signed in 1975 (the "Subregional Agreement"); and
WHEREAS, the Subregional Agreement requires that the City meet certain state
and federal requirements, including adoption of a sewer service revenue program that
will fund operations, maintenance and replacement of the sewer system; and
WHEREAS, in 2005 the City entered into an Installment Purchase Agreement so
that it could issue Certificates of Participation to secure funds to repair and restore the
existing sewer operations as' well.as to provide for future system expansion, and
WHEREAS, the Installment Purchase Agreement includes covenants regarding
sewer rates and charges to assure that there will be adequate funds to maintain the sewer
operations and pay the indebtedness incurred under the Certificates of Participation; and
WHEREAS, the Reed Report demonstrates that the City is in breach of the
Certificate of Participation covenants and the Subregional Agreement, because the sewer
operation has no Net Revenue because costs of operation exceed revenue; and
WHEREAS, the Reed Report recommends that the existing sewer rate structure
be replaced by a new rate structure and rate plan that will (a) improve revenue
stabilityand proportionality in rates by assigning a greater portion of revenue to fixed
monthly rates; . (b) apportion fixed rates to meter size in recognition of the increase in
potential demands upon the system from larger meters; (c) establish new usage rates that
are adjusted to take into account the relative "strength" of the wastewater and the varying
costs for treating differing wastewater loadings; (d) retain a fee component apportioned
by system usage; and (e) calculate sewer service charges for schools based upon metered
water consumption; and
WHEREAS, the City Council has determined that the recommendations of the
Reed Report are sound and should be implemented;
WHEREAS, the City identified the parcels upon which the new rate structure and
rate plan are to be imposed, calculated the rate to be imposed on each parcel, and mailed
written notice to all record owners of properties upon which the new rate structure and
rate plan would be imposed, including the proposed rate, the basis for the calculation of
the rate, the reason for the rate and the date, time, and location for the public hearing to
be held on May 10, 2011 at 6:00 p.m. in the Council Chamber, which notice was mailed
Ordinance No. 837
(Page 2 of 6)
OAK #4824-0395-9817 v] I
at least than 45 days in advance of the hearing; and
WHEREAS, the City Clerk published further notice of the hearing on April 29th
and May 6th in a newspaper of general circulation in the City; and
WHEREAS, the City Council held the duly noticed public hearing and
considered all protests against the new rate structure and rate plan; and
WHEREAS, written protests against the new rates structure and rate plan were
not presented by a majority of owners of the identified parcels;
NOW, THEREFORE, the City Council oftheCity of Rohnert Park does ordain
as follows:
SECTION 1. In accordance with Article XIII D, Section 6(b), of the California
Constitution, the City Council finds based upon the Reed Report, and upon other
information received at several public meetings as well as at its public hearing on the
proposed new rate structure and rate plan that:
A. The revenues derived from the new rate structure and rate plan do not
exceed the funds required to provide sewer service because the rates are calculated to
allow the City to recover its costs.'
B. The revenues derived from the new rate structure and rate plan will not be
used for any purpose other than that for which they are is imposed because the revenue
will be kept in a separate fund used only for costs related to the provisions of sewer
servIce.
C. The charges under the new rate structure and rate plan do not exceed the
proportional cost of the sewer service attributable to each parcel, because they are based
upon relevant factors, including without limitation land uses, wastewater volume
estimated from adjusted water usage, meter sizes, and waste loading factors in
wastewater.
D. The charges under the new rate structure and rate plan will not be imposed
upon parcels for which sewer service is not available.
E. The charges under the new rate structure and rate plan will be used for
provision of sewer service rather than general governmental serVices.
SECTION 2. The City Council does further find and determine that the revenue
generated by the new rate structure and rate plan will only be used to sustain sewer
facilities and services, as authorized by Health and Safety Code section 5471.
SECTION 3. The following sewer service rate schedules are hereby adopted effective as
Ordinance No. 837
(Page 3 of 6)
OAK #4824-0395-98] 7 vI]
of the dates shown in Table 1 below:
Monthly Base Charge (per water meter, excluding irrigation meters)
Up to 3/4" meter $ 18.52 $ 23.15 $ 23.84 $ 24.56 $ 25.30
1 " meter $ 28.34 $ 35.43 $ 36.49 $ 37.58 $ 38.71
1 1/2" meter $ 52.68 $ 65.85 $ 67.83 $ 69.86 $ 71.96
2" meter $ 82.00 $ 1 02.50 $ 105.58 $ 108.75 $ 112.01
3" meter $ 150.48 .$ 188.10 $ 193.74 $ 199.55 $ 205.54
4" meter $ 248.27 $ 310.34 $ 319.65 $ 329.24 $ 339.12
6" meter $ 492;54 $615.68 $ 634.15 $ 653.17 $ 672.77
8" meter $ 785.79 $ 982.24 $1,011.71 $1,042.06 $1,073.32
Flow Charge ($/1,000 gal.)
. Multi-Family Residential $ 8.01 $ 10.01 $ 10.31 $ 10.62 $ 10.94
Non-Residential
Low Strength $ 837 $ 10.46 $ 10.77 $ 11.09 $ 11.42
Medium Strength $ 11 .22 $ 14.03 $ 14.45 $ 14.88 $ 15.33
High Strength $ 16.90 $ 21.13' $ 21.76 $ 22.41 $ 23.08
Notes:
(1) Individual dwelling units with individual city-owned meters shall be categorized as
single family residential customers. Multi-family units with master meters shall be charged as
Multi -Family Residential.
(2) Flow charges will be determined based on gallons of flow, rather than rounded to 1,000
gallon increments.
SECTION 4. Implementation of New Sewer Rate Structure.
A. All active accounts of the sewer system shall be subject to a monthly base
charge, as described in Table 1 above. Single family residential base charges will apply
to dwelling units with individual city-owned meters. Multi-family and non-residential
base charges will be based on the size of the domestic water meter (excluding irrigation
meters).
B. Both single family residential and multi-family residential accounts shall
be subject to a sewer flow charge. Sewer flow will be estimated on the basis of the lesser
of:
Ordinance No. 837
(Page 4 of 6)
OAK #4824-0395-9817 v I I
a. Actual monthly water usage in gallons, or
b. Average monthly water usage in gallons from the prior winter period
using water usage from billing cycles ending in December, January,
and February. The most recent average winter water usage calculation
shall be incorporated in billing beginning with bills occurring on or
after April 1 of each year. '
C. Non-residential accounts shall be subject to a sewer flow charge. Sewer
flow will be estimated on the basis of actual monthly water usage in gallons, exclusive of
any water used through dedicated irrigation meters.
D. Non-residential accounts shall be classified into strength classifications for
purposes of determining the appropriate sewer flow rate. The Director of Public Works,
or his designee, will determine which strength classification is to be assigned to each
non-residential account using industry standard information and data. The following are
examples of classifications:
a. Low'Strength -Bar without food, beauty salon, car wash, church,
convalescent home, dry cleaners, health club/spa, hospital, hotel/motel
without restaurant, self-service laundries, manufacturing without
process discharge, office building, public/municipal building, retail
stores,' schools.
b. Medium Strength - Auto repair facilities, auto service stations,
commercial laundry, hotel/motel with restaurant, mixed use including
restaurants, restaurant with grease interceptor, retail with food service.
c. High Strength - Bakery, bar with food, butcher, grocery with bakery,
butcher or food waste grinder, mortuary, restaurant without grease
interceptor.
E. The Director of Public Works may make adjustments to the estimates of
sewer flow proscribed in 4(B) and 4(C), above, when such estimates are determined to
not reasonably reflect actual usage of the sewer system.
F. Any customer may, at their own cost, install devices for measuring actual
sewer flow in accordance with standards proscribed by City. Such actual flow
measurements will then become the basis for determining sewer flow charges.
G. Any customer may, at their own cost, sample sewer discharges for
biochemical oxygen demand (BOD) and total suspended solids (TSS) in accordance with
standards prescribed by City. Such sewer strength information willthen be used by the
Director of Public Works to determine the appropriate strength classification, as follows:
the low strength classification shall apply in instances where the sum of BOD strength
and TSS strength (both in mg/l) does not exceed 600; the medium strength classification
shall apply in instances where the sum of BOD strength and TSS strength (both in mg/l)
Ordinance No. 837
(Page 5 of 6)
OAK #4824-0395-9817 v] I
exceeds 600 but does not exceed 1,200; and the high strength classification shall apply in
instances where to sum of BOD' strength and TSS strength (both in mg/l) exceeds 1,200.
H. The provisions of Section 13.44.055 of the Rohnert Park Municipal Code
shall not apply to fees established by this ordinance until such time as the City Council
elects to authorize liens pursuant to the Revenue Bond Law of 1941.
SECTION 5. Environmental Review. The City Council does find and determine, based
upon the information presented in the Reed Report and all other information presented
and considered during the public hearing process that the adoption of the new rate
structure and rate plan is for the purpose of meeting operating expenses, purchasing or
leasing supplies, equipment, and materials, meeting financial reserve needs and
requirements, and obtaining funds for capital projects necessary to maintain service
within existing service areas, and therefore exempt from the California Environmental
Quality Act under S15273 of the CEQA Guidelines.
SECTION 6. Severability. The City Council hereby declares that every section,
paragraph, sentence, clause and phrase of this ordinance is severable. Ifany section,
paragraph, sentence, clause or phrase of this ordinance is for any reason found to be
invalid or unconstitutional, such invalidity, or unconstitutionality shall not affect the
validity or constitutionality of the remaining sections, paragraphs, sentences, clauses or
phrases.
SECTION 7. Effective Date. This ordinance shall be in full force and effective 30 days
after its adoption and shall be published and posted as required by law.
This ordinance was introduced on the 10th day of May, 2011 and
DULY AND REGULARLY ADOPTED this 24th day of May
by a four-fifths voteofthe City Council as follows:
,2011
AYES:
NOES:
ABSENT:
ABSTAIN:
Four
(4)
(0)
(1)
(0)
Council Member Mackenzie
None
One
None
Council Members Ahanotu, Callinan, Stafford, and
Mayor Belforte
ATTEST:
CITY OF ROHNERT PARK
Ordinance No. 837
(Page 6 of 6)
OAK #4824-0395-9817 vII