2022/02/08 City Council Resolution 2022-020 RESOLUTION NO. 2022-020
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK
ADOPTING FIVE-YEAR WATER RATE SCHEDULE AND TEMPORARY WATER
SHORTAGE SURCHARGE STRUCTURE
WHEREAS, the Reed Group, Inc./Hildebrand Consulting prepared the 2021 Water Rate
Study that outlines the need and basis for an adjustment to existing water rates in order to continue
to maintain and operate the City's water utility; and
WHEREAS, findings from the 2021 Water Rate Study were presented to the City council
on October 26, 2021 and City council accepted the water rate study report on November 23, 2021,
directing staff to proceed with the rate adjustment process for the proposed rates, including
notifying property owners and conducting a public hearing prior to final adoption; and
WHEREAS, the Proposition 218 Omnibus Act (as set forth in Government Code section
53756 and 53756) authorizes that the City to adopt a five-year schedule of water rates with
automatic rate adjustments in order to keep pace with changes in operating and maintenance costs,
and help the utility maintain a prudent operating and capital reserve; and
WHEREAS, in compliance with article XIIID of the California Constitution and the
Proposition 218 Omnibus Act, the City of Rohnert Park (City) must notify all affected property
owners of a public hearing on the proposed water rate increases; and
WHEREAS, the City notified property owners and rate payers of the proposed rates with
a Public Notice on December 16, 2021; and
WHEREAS, Section 13.44.030 of the Rohnert Park Municipal Code provides that the City
Council shall by resolution establish water rates; and
WHEREAS, the City has identified the parcels upon which the charges will be imposed,
and mailed written notice to all parcels, wherein the City provided notice of the proposed charges,
the amount of the proposed charges, the basis for the calculation, the reason for the charge, and
the date,time, and location for a public hearing on the proposed charges not less than 45 days after
the notice; and
WHEREAS, the City Council held the duly noticed public hearing and considered all
written protests; and
WHEREAS, written protests against the water rates were not presented by a majority of
affected property owners and ratepayers;
NOW, THEREFORE, the City Council of the City of Rohnert Park does hereby resolve
as follows:
Section 1. Findings. The above recitals are incorporated herein as if set forth herein in
full and each is relied upon independently by the City Council for its adoption of this Resolution.
In accordance with Article XIII D, Section 6(b), of the California Constitution, and in reliance on
the 2021 Water Rate Study previously adopted and approved by the City Council and the materials
presented by staff, the City Council finds that:
1. The revenues derived from the water service charges shall not exceed the funds
required to provide water service, because the rates are calculated to allow the City to
recover its costs.
2. The revenues derived from the water service charge will not be used for any purpose
other than that for which the charge is imposed, because the revenue will be kept in a
separate fund used only for costs related to the provision of water service.
3. The amount of the charge does not exceed the proportional cost of the water service
attributable to each parcel, because it is based upon necessary pipe size and water
consumption.
4. The water service charge will not be imposed upon parcels for which water service is
not immediately available.
5. The water service charge will be used to enable the City to provide water service rather
than general governmental services.
Section 2. Adoption. Pursuant to Government Code section 53756,the five year schedule
of water rates and temporary water rate surcharge structure set forth in Exhibit A is hereby adopted,
and such rates and charges shall be effective March 1, 2021.
Section 3. Environmental Review. This action is not a project within the meaning of
Section 15378 of the CEQA(California Environmental Quality Act) Guidelines,because it has no
potential for resulting in physical change in the environment, directly or ultimately. In the event
that this resolution is found to be a project under CEQA, this action is statutorily exempt from
CEQA pursuant to Public Resources Section 21080(b)(8) and CEQA exemptions contained in
CEQA Guidelines section 15273 (a), because it constitutes the establishment of charges for the
purpose of obtaining funds to meet the water utility's financial and service obligations for ongoing
operation and maintenance, debt service, and capital improvements within existing service areas,
and also exempt under the common-sense exemption set forth in CEQA Guidelines section 15061
(b) (3), because it can be seen with certainty to have no possibility of a significant effect on the
environment.
Section 4. Severability. The City Council hereby declares that every section, paragraph,
sentence, clause and phrase is severable. If any section, paragraph, sentence, clause or phrase of
this Resolution, including any individual rate or fee or component thereof, is for any reason found
to be invalid or unconstitutional, such invalidity, or unconstitutionality shall not affect the validity
or constitutionality of the remaining provisions of this Resolution.
Resolution 2022-020
DULY AND REGULARLY ADOPTED this 8th day of February, 2022.
CITY OF ROHNERT PARK
J ckie El
ATTEST:
Sylvia Lop evas, City Clerk
Attachments:
1. Exhibit A: City of Rohnert Park Water Rates, effective March 1, 2022
GIUDICE: HOLLINGSWORTH-ADAMS: Pt .le STAFFORD: Atste LINARES: Pale. ELWARD: e -
AYES: (s ) NOES: ( ) ABSENT: ( ) ABSTAIN: ( )
Resolution 2022-020
3
Exhibit A
City of Rohnert Park Water Rates, effective March 1, 2022
Table 1-5-Year Water Rate Schedule
Proposed
March 1, January 1, January 1, January 1, January 1,
2022 2023 2024 2025 2026
Rate Revenue Increases: 5.0% 5.0% S.0% 5.0% 5.0% _I
Current
Single Family Usage Rate(Shah)
Tier 11 $0.003420 $0.003570 $0.003749 $0.003936 $0.004133 $0.004340
Tier 2 $0.004630 $0.004940 $0.005187 $0.005446 $0.005718 $0.006004
Multi-Family and Non-Residential Usage Rate($/gal.)
Uniform Rate $0.003980 $0.004330 $0.004547 $0.004774 $0.005013 $0.005264
Fixed Monthly Service Charges
Up to 1" $29.13 $29.63 $31.11 $32.67 $34.30 $36.02
1.5" $54 63 $55.28 $58.04 $60.94 $63.99 $67.19
2" $85.21 $86.06 $90.36 $94.88 $99.62 5104.60
$156.55 $157.87 $165.76 $174.05 $182.75 $191.89
4" $258.48 $260.47 $273 49 $287.16 $30152 $316.60
6" $513.33 $516.96 $542.81 $569.95 $598.45 $628.37
$819.14 $824.75 $865.99 $909.29 $954.75 $1,002.49
1 For the first 3,000 gallons per month
Table 2--Temporary Water Shortage Surcharge Structure
Normal Stage 1 Stage 2 Stage 3 Stage 4 Stage 5 Stage 6 I
Supply Voluntary Mandatory Mandatory Mandatory Mandatory Mandatory
Assumed Demand Reduction-> None 15% 25% 35% 46% 50%
IWater Shortage Surcharge t--> None None 54se 10% 15% 2044 1
Water Usage Rate v'Ath Surcharge Applied(Sjgallon)2
Single Family Residential
Tier 1(040 ascogaljrno) 50.00357 $0 al3S7 50.00357 50.00375 S0.00393 $0.00411 S0.00428
Tier 2(above 3,000 gal/mo) 50.00494 SO.00494 50.00494 50,00S19 50,00543 50.03669 50.00593
Multi-Family and Non-Residential
All Water Usage SO 00433 SO 00433 50.00433 50.00455 60.00476 $0.00498 50.00520
Hydrant Meters
Construction Water 50.00796 50.00796 50.00796 SO 00236 $0.00876 50.00915 50.00956
Fixed Monthly Charge 3
Service Charge Varies No changes to the service charge-----
Notes;
'Temporary water shortage surcharges are incremntal increases in the normal water usage rates appplied during periods of water shortage,
declared by the City Council.
This table shows the temporary water shortage surcharges applied to the proposed rate increases(for March 2022)for illustrative purposes.
The percentages shown in this table would be applied to any then-current rates in future years.
No changes to the fixed monthly services charges would be imposed as a result of declared water shortages.