07-Ordinance establishing residential and commercial water and sewer ratesCITY COUNCIL AGENDA ITEM BRIEFING SHEET
Submittal Date:
Originating Department:
Presented By:
Agenda Item No.:
OS-30-11
Council Date:
Finance
Gene Anderson
7,
06-13-11
RECOMMENDED MOTION:
Presentation, First reading, deliberate and possibly act on an Ordinance establishing residential and commercial
water and sewer rates in accordance to the cost of service study conducted by J Stowe & Company.
POLICY ISSUE(S):
Fiscal Management
Darrell Cline with J Stowe & Company will be present to review the 2011 Cost of Service Study and
answer any questions concerning the findings of that study.
The last water and sewer rate increase occurred in August of 2008.
The current water and wastewater rates are not sufficient to meet the test year budgeted revenue
requirements and the City's Rate Maintenance Policy. Therefore, it is recommended that the City
increase its current retail Residential water rates by 2.7%, its current retail Commercial water rates by
5.4%, and its current retail wastewater rates by 13.0%. The following illustrates the increase in
the average water and sewer residential and commercial monthly bills with 5/8" or 3/4" meters.
Current Residential Water & Sewer Average Bill $46.98 Proposed Bill $50.79 Change $3.81
Current Commercial Water & Sewer Average Bill $55.88 Proposed Bill $61.31 Change $5.43
Maintaining the financial integrity of the System is a key factor in the City's bond rating.
BOARD/COMMISSION RECOMMENDATION:
None
EXHIBITS:
Ordinance
ACTION:
BUDGET INFO:
❑ Financial Report ❑ Minute Order
Expense
$NA
❑ Department Report ❑ Resolution
Budgeted Amt.
$NA
❑ Presentation ~ Ordinance
❑ P
bli
H
i
y'I'D Actual
$NA
u
c
ear
ng ❑ Other
Acct. Name
NA
Acct. Number
NA
FISCAL NOTES:
None
REVIEWED AND APPROVED BY:
Z Administration Z City Clerk ❑ Community Development ❑ EMS/IT E Finance ❑ Fire
❑ Municipal Court Z Legal ❑ Library ❑ Police ❑ Eng./Public Works ❑ Utilities
City of Paris 132 Revised 2/04/08
D RAFT
ORDINANCE N0.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS,
AMENDING SECTIONS 34-22(b), WATER RATES, SECTION 34-23(a), (b)
AND (c), SEWER RATES, TO REFLECT CHANGES RECOMMENDED BY THE
2011 WATER AND SEWER RATE STUDY; PROVIDING A REPEALER
CLAUSE, A SEVERABILITY CLAUSE, A SAVINGS CLAUSE, A PENALTY
CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on the 13th day of June, 2011, the City Council of the City of Paris, Texas,
were presented with a water and sewer rate study prepared by J Stowe & Company, with
certain findings and recommendations for proposed water and sewer rate increases; and,
WHEREAS, the Water and Sewer Rate Study recommends a two point seven percent
(2.7%) increase in residential water rates, a five point four percent (5.4%) in commercial
water rates, and a thirteen percent (13%) Increase in sewer rates be adopted by the City
Council; and,
WHEREAS, the City Council has determined that it is in the best interest of the City
of Paris and its citizens to implement the proposed rates for water and sewer services
recommended by the 2011 Water and Sewer Study by amending portions of Chapter 34,
Water, Sewer, and Sewage Disposal, of the City Code of Ordinances.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
PARIS, TEXAS:
Section 1. That the findings set out in the preamble to this ordinance are hereby
in all things approved.
Section 2. That Subsection (b) of Section 34-22 of the Code of Ordinances of the
City of Paris, Texas, be, and the same is hereby amended to read in its entirety as follows:
"Sec. 34-22. Water rates.
* * *
(b) Charges for water furnished by the City, measured in cubic feet, are
established as follows based upon customer class and meter size and
incorporate a base monthly cost which includes the cost for the first
increment of water, and a cost per one hundred (100) cubic feet or portion of
one hundred (100) cubic feet used above the first increment:
Page 1 of 4
33
RESIDENTIAL CLASS
METER SIZE
(Inches)
3/4 or less
1 and Larger
METER SIZE
(Inches)
3/4 or less
1 through 2
3
4
6
8 and larger
BASE COST FOR FIRST
INCREMENT
(In Cubic Feet)
$ 9.05 for first 200
$44.12 for first 1,000
SERVICE !N
EXCESS OF BASE
(For Each Additiona1100 Cubic Feet)
$ 3.06
$ 3.06
COMMERCIAL/IND USTRIAL CLASS
BASE COST FOR FIRST
INCREMENT
(In Cubic Feet)
$ 11.32 for first 200
$ 45.28 for first 1,000
$162.55 for first 3,000
$2,671.00 for first 100,000
$4,005.00 for first 150,000
$5,341.00 for first 200,000
SERVICE IN
EXCESS OF BASE
(For Each Additional 100 Cubic Feet)
$ 3.14
$ 2.57
$ 2.57
$ 2.57
$ 2.57
$ 2.57"
Section 3. That Subsections (a), (b) and (c) of Section 34-23 of the Code of
Ordinances of the City of Paris, Texas, be, and the same are hereby amended to read in its
entirety as follows:
"Sec. 34-23. Sewer rates - For customers using City water.
(a) Charges for sewer service furnished by the City to residential, commercial
and industrial customers shall be based upon customer class and meter size,
incorporating a base monthly cost for the first increment of usage and a cost
for each additional one hundred (100) cubic feet or portion of one hundred
(100) cubic feet above the first increment, as follows:
RESIDE/VTIAL CLASS
METER SIZE
(/nches)
3/4 or less
1 and Larger
BASE COST FOR FIRST
INCREMENT
In Cubic FeetJ
$11.11 for first 200
$51.82 for first 1000
Page 2 of 4
SERVICE IN
EXCESS OF BASE
(For Each Additional 100 Cubic Feet)
$ 4.50
$ 4.50
34
COMMERCIAL/IND USTRIAL CLASS
BASE COST FOR FIRST
METER SIZE INCREMENT
(Inches) (In Cubic Feet)
3/4 or less
$ 14.80 for first 200
1 through 2
$ 51.82 for first 1000
Larger than 2
$104.83 for first 2,000
SERVICE IN
EXCESS OF BASE
(For Each Additiona1100 Cubic Feet)
$ 4.68
$ 4.68
$ 4.68
(b) Monthly residential customers' wastewater volume for purposes of
assessing the sewer charge shall be based upon one hundred percent (100%)
of the actual metered potable water consumption averaged for the preceding
November, January, and February consumption, which shall be known as the
"flat winter average." Customers that do not have recorded water usage for
each of the winter average months will have their winter average calculated
based on the residential class average of 650 cubic feet.
Monthly commercial and industrial customers' wastewater volume shall
be based upon one hundred (100) percent of the actual metered potable
water consumption, except those customers whose wastewater is metered,
and their volume shall be based upon one hundred (100) percent of the
metered wastewater. The former shall be billed for one hundred (100)
percent of the metered potable water and the latter shall be billed for one
hundred (100) percent of the metered wastewater.
(c) Users desiring to discharge sewage into the City's sewerage system, the
strength of which sewage exceeds two hundred fifty (250) parts per million
biochemical oxygen demand (BOD), two hundred fifty (250) parts per million
of total suspended solids, (TSS), or thirty (30) parts per million of ammonia
(NH3), and which is acceptable under Article III of this chapter, may do so
upon written permission of the city and by paying a monthly treatment
charge in the amount of ninety cents ($0.90) per pound of biochemical
oxygen demand (BOD) in excess of the allowable biochemical oxygen
demand (BOD); thirty-seven cents ($0.37) per pound of total suspended
solids (TSS) in excess of the allowable total suspended solids (TSS); and
seventeen cents ($0.17) per pound of ammonia (NH3 ) in excess of the
allowable ammonia strength. The city shall make the necessary tests of the
user's sewage strength to determine this charge. The charge prescribed by
this subsection shall be in addition to the charges prescribed in subsection
(a) hereof."
Section 4. That the water and sewer rates established in Sections 2 and 3 above
shall be effective with July 1, 2011 consumption, and will be reflected in water and sewer
billings beginning August 1, 2011.
Page 3 of 4
27)
Section 5. All provisions of the ordinances of the City of Paris, Texas in conflict with
the provisions of this ordinance are hereby repealed, and all other provisions of the ordinances
of the City of Paris not in conflict with the provisions of this ordinance shall remain in full force
and effect.
Section 6. The repeal of any ordinance or part of ordinances affected by the
enactment of this ordinance shall not be construed as abandoning any action now pending
under or by virtue of such ordinance or as discontinuing, abating, modifying, or altering any
penalty accruing or to accrue, or as affecting any rights of the municipality under any section or
provisions of any ordinance at the time of passage of this ordinance.
Section 7. It is the intention of the City Council of the City of Paris that this ordinance,
and every provision hereof, shall be considered severable, and the invalidity or partial
invalidity of any section, clause, or provisions of this ordinance shall not affect the validity of
any other portion of this ordinance.
Section 8. Any person violating any of the provisions of this ordinance shall be
guilty of a Misdemeanor and, upon conviction, shall be fined in accordance with Section 1-6
of the Code of Ordinances and each and every day's continuance of any violation of the
above-enumerated section(s) shall constitute and be deemed a separate offense.
Section 9. That by a supermajority vote of _ ayes and _ nays, the City Council
voted to suspend the rule requiring two readings before adoption of this ordinance.
Section 10. That this ordinance shall become effective from and after its passage
on the first reading and publication as required by law.
PASSED AND ADOPTED this 13th day of June, 2011.
Joe McCarty, Mayor Pro Tem
ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
Kent McIlyar, City Attorney
Page 4 of 4
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