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HomeMy WebLinkAboutCC Res 7115 2021-02-22RESOLUTION 7115 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL ADJUSTING SEWER CHARGES WHEREAS, the City of Seal Beach (City) maintains a municipal wastewater collection system for sewer users within the City of Seal Beach; and WHEREAS, it has always been the policy of the City Council that the City's Wastewater Utility be self-supporting from charges made by the City for water furnished to customers and all services rendered in connection therewith; and WHEREAS, in order to adjust sewer rates, the City must comply with Article XIIID of the Constitution, more commonly known as Proposition 218; and WHEREAS; The City's last sewer rate adjustment was approved by City Council Resolution 5386 in October of 2005 which retained the monthly service charge of 22% of the bi-monthly water bill and increased the capital charge to City all wastewater system users. WHEREAS; since the 2005 sewer rate increase, a majority of the sewer capital projects have been completed and the sewer utility has accumulated sufficient funds for anticipated future CIP projects. WHEREAS, Raftelis Financial Consultants (Raftelis) was awarded a professional service agreement to prepare a comprehensive Water and Sewer Utility Rate Study at the November 12, 2019 City Council meeting; and WHEREAS, the scope of the Water and Sewer Rate Study included development of five year financial plans, Cost of Service Analyses, new rate designs, Customer Impact and Sensitivity Analyses, and a final Rate Study Report for both the water and sewer utility enterprise funds; and WHEREAS, the current City sewer rate structure is proposed to be changed to be more consistent with current industry practices; and WHEREAS, Raftelis has prepared a study and analysis dated December 18, 2020 and entitled "Water and Wastewater Study — Final Report / December 18, 2020"; (hereinafter, Rate Study); and WHEREAS, the Rate Study demonstrates that the proposed fees are in compliance with the substantive provisions of Proposition 218, to wit: (1) Revenues derived from the fee or charge do not exceed the funds required to provide sewer services; (2) Revenues derived from the fee or charge are not to be used for any purpose other than that for which the fee or charge was imposed; (3) The amount of a fee or charge imposed upon any parcel or person as an incident of property ownership does not exceed the proportional cost of the service attributable to the parcel; and (4) No fee or charge may be imposed for a service unless that service is actually used by, or immediately available to, the owner of the property in question. Fees or charges based on potential or future use of a service are not permitted. WHEREAS, On December 30, 2020 the City mailed the Public Hearing Notice on the Proposed Water and Wastewater Rate Adjustments (Notice) for a hearing to be held on February 22, 2021 relating to the proposed sewer charges in accordance with California Constitution Article XIIID Section 6; and WHEREAS, upon the close of February 22, 2021 majority protest hearing the City Clerk tabulated all written protests submitted by the owners of each identified parcel upon which the sewer charges are proposed in the days leading up to the majority protest hearing and prior to the close of the majority protest hearing and determined that the total number of protests submitted in opposition of the proposed sewer charges was less than 50% of the total number of affected parcels. THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE: Section 1. As authorized by Section 9.30.020 of Chapter 9 of the Seal Beach Municipal Code, the following sewer charges are adopted: A. Flat Monthly Sewer Charges ($/account) Both Single Family Residential (SFR) and Leisure World customer classes will be assessed flat monthly sewer charges. Effective dates for these flat charges shall be the first day of the months shown in the Table 1. Table 1 Customer Class Billing Frequency May January January January January 2021 2022 2023 2024 2025 Single Family Bi -monthly $48.04 $48.04 $48.04 $48.04 $48.04 Leisure World Monthly $1,098.42 $1,098.42 $1,098.42 $1,098.42 $1,098.42 B. Sewer Billing/Customer Service Charges ($/account) Multi -Family, Commercial, City, and Navy customer classes shall be accessed a bi-monthly fixed charge per sewer account as shown in Table 2. January 2022 January 2023 January 2024 Table 2 Multi -family $4.00 $4.00 Customer Class May 2021 January January January January Multi -family $1.22 $1.22 $1.22 $1.22 $1.22 Commercial $1.22 $1.22 $1.22 $1.22 $1.22 City $1.22 $1.22 $1.22 $1.22 $1.22 Leisure World* $0.61 $0.61 $0.61 $0.61 $0.61 Navy* $0.61 $0.61 $0.61 $0.61 $0.61 "Billed monthly. Leisure World fixed charge included in Table 1 C. Sewer Volumetric Rate ($/hcf) Multi -Family, Commercial, City, and Navy customer classes shall be accessed a uniform volumetric rate as shown in Table 3. Table 3 Customer Class May 2021 January 2022 January 2023 January 2024 January 2025 Multi -family $4.00 $4.00 $4.00 $4.00 $4.00 Commercial $4.00 $4.00 $4.00 $4.00 $4.00 City $4.00 $4.00 $4.00 $4.00 $4.00 Navy* $0.24 $0.24 $0.24 $0.24 $0.24 *Billed monthly Section 2. This Resolution shall be effective on the date that Ordinance 1688 becomes effective. '�_, PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 22nd day of February, 2021 by the following vote: AYES: Council Members: Kalmick, Massa-Lavitt, Moore, Sustarsic, Varipapa NOES: Council Members: None ABSENT: Council Members: None ABSTAIN: Council Members: None Jo almick, Mayor ATT T: � f Gloria D. Harper, City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Gloria D. Harper, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution 7115 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeti � held on the 22nd day of February, 2021. 44- 4z-�- — GI ,ria D. Harp6r, City Clerk