Resolution Number 10-02-02-02RESOLUTION NO. 10-02-02-02
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, REVISING AND INCREASING WATER
COMMODITY AND SERVICE CHARGES
WHEREAS, the City of San Juan Capistrano provides water service to its
customers; and
WHEREAS, the City Council imposes rates and charges on water customers to
fund ongoing operational and debt service costs of the Water Enterprise, pay for future
capital improvements needed to meet future demands on the water system, and
maintain adequate emergency and debt service reserves; and
WHEREAS, the City of San Juan Capistrano last revised its Schedule of Water
Rates and Charges on November 20, 2007, and
WHEREAS, in 2009, Black & Veatch Corporation prepared a Water Rate Study
on behalf of the City (Revenue Requirements, Cost of Service Allocations, and Rate
Design for the Water and Wastewater Utilities Report dated November 2009, Revision
2), which evaluated the. Water Enterprise's financing and capital facilities needs,
determined the estimated funds needed to adequately finance the operations, capital
improvements and debt obligations for the Water Enterprise, reasonably allocated the
Water Enterprise's projected revenue requirements to the various customer classes in
accordance with their respective service requirements, and recommended a suitable
schedule of water rates that produce revenues adequate to meet the Water Enterprise's
financial needs in accordance with estimated reasonable customer costs of service; and
WHEREAS, the Water Rate Study recommends revisions and increases in the
customer class codes and fixed monthly service charges as more particularly identified
as Scenario #2b on Page ES -10 of the Executive Summary of the Water Rate Study.
WHEREAS, the Water Rate Study identifies the cost to purchase water from
other public agencies (i.e., water commodity costs) as a significant component of the
operational costs of the Water Enterprise over which the City has limited control;
. WHEREAS, effective January 1, 2009, Government Code Section 53756
authorizes any agency providing water service to adopt a schedule of fees or charges
for a period not to exceed five (5) years authorizing automatic adjustments that pass
through increases or decreases in wholesale charges for water adopted by another
public agency from which it purchases water; and
WHEREAS, the Water Rate Study identifies the financial impact on the City's
Water Enterprise operations due to MTBE contamination of the City's water production
wells to be significant and not included in the projected operational costs of the Water
Enterprise and recommends an operational surcharge based on meter size to offset the
2/2/2010
financial impact of the MTBE contamination; and
WHEREAS, the City Council has determined that the rates and charges for water
usage should be modified in accord with the findings and recommendations set forth in
the 2009 Water Rate Study, prepared by Black & Veatch Corporation, and the
legislative findings herein, that automatic adjustments to the commodity adjustment
charge that pass through future increases in wholesale water charges should be
authorized in order to adequately finance the operations, capital improvements and debt
obligations for the Water Enterprise; and,
WHEREAS, the City Council has determined that an MTBE operational
surcharge should be implemented until the Groundwater Recovery Plant is at maximum
capacity or MTBE is being effectively treated at all the City's production wells, without
additional cost to the City, whichever occurs first. However, this charge should be
based on water usage as opposed to meter size and has directed staff to develop a
surcharge for future City Council consideration and implementation; and,
WHEREAS, the City Council has determined the following with regard to the
rates and charges for water usage established by this Resolution: (i) the fees and
charges are not imposed as a condition of approval of a development project, as
defined in California Government Code section 66001; (ii) the fees and charges are
established upon a rational basis between the fees charged each customer and the
service and facilities provided to each customer of the City's Water Enterprise; (iii) the
revenues derived from the fees and charges do not exceed the estimated reasonable
cost to provide the capital facilities and water services for which they are levied; (iv) the
revenues derived from the fees and charges shall not be used for any other purpose
than that for which the fees and charges are imposed; (v) the fees and charges do not
exceed the proportional cost of the water service attributable to each consumer; (vi) the
fees and charges are imposed on water services which are immediately available to the
consumer; (vii) the fees and charges are not levied for general governmental services;
and (viii) the rates and charges are not discriminatory or excessive, are sufficient under
Government Code section 54515, comply the provisions or covenants of any
outstanding revenue bonds of the City payable from the revenues of the Water
Enterprise, comply with the provisions of Title 5, Division 2, Chapter 6 of the California
Government Code, and are in compliance with all other applicable law; and
WHEREAS, in accordance with Proposition 218 and Government Code Section
53755, notice of a public hearing to consider the proposed adjustments in waster rates
and charges and containing such information required to be included pursuant to
California law (the "Proposition 218 Notice") was mailed on December 11, 2009 to all
record owners of affected property to the addresses as they appear on the latest
equalized assessment roll and to all water service customers located on the affected
parcels at the addresses to which the City customarily mails the billing statements; and
WHEREAS, pursuant to California Government Code section 66016 notice of the
2 2!212010
time and place of this hearing, including a genera[ explanation of the matter to be
considered and a statement that the data required by Government Code section 66016
has been available for public review at the City, was mailed to interested parties
requesting notice at least fourteen (14) days prior to the hearing; and
WHEREAS, pursuant to California Government Code section 66016 the City
made available to the public the Water Rate Study, the addendum, and other data
documenting the estimated costs required to provide services for which the proposed
modified rates and charges will be levied and the revenue sources anticipated to
provide the services; and
WHEREAS, on February 2, 2410, in accordance with applicable legal
requirements, the City Council conducted a duly noticed public hearing to consider the
proposed adjustments in water rates and charges set forth herein, at which public
hearing all those who wished to speak for or against the proposed adjustments in water
rates and charges were heard; and
WHEREAS, written protests against the proposed adjustments in water rates and
charges were not presented by a majority of the property owners, as the total number of
properties on which the rates are imposed as shown on the last equalized assessment
roll of Orange County totaled 16,089 and the City received a total of 23 written protests;
and
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San
Juan Capistrano does hereby adopt the water rate adjustment increase as
recommended by the Study, and more particularly set forth in Exhibit A, attached and
incorporated herein by reference.
Be it further determined that the rate increase shall become legally effective as of
February 1, 2010.
PASSED, APPRovE AND ADOPTED\this 2nd d y of February 2010.
DRES USO, MAYOR
3 2/2/2010
STATE OF CALIFORNIA }
COUNTY OF ORANGE )ss.
CITY OF SAN JUAN CAPISTRANO }
1, MARIA MORRIS, appointed City Clerk of the City of San Juan Capistrano, do hereby
certify that the foregoing Resolution No. 10-02-02-02 was duly adopted by the City
Council of the City of San Juan Capistrano at a Regular meeting thereof, held the 2 I
day of February 2010, by the following Vote:
AYEr5: C , NCIL MEMBERS: Allevato, Nribar, Nielsen, Freese and Mayor Uso
NVE C" UNCIL MEMBER: None
A S / OUNCIL MEMBER: None
IS, City g1,6rk
4 2!212010
City of San Juan Capistrano
Water Service Charges/Commodity Charges - Effective February 1, 2010
City of San Juan Capistrano
Water Service ChargeslCommodity Charges - Effective July 1, 2010
($Iec�
($!cc€)
($lcc�
($lcci
518"
15.25
Residential - Regular Lot
2.47
3.29
4.94
9.05
V
22.88
Residential - Large Lot
2.47
3.29
4.94
9.05
1.5"
34.31
Master Meter Residential
3.07
4.09
6.14
11.25
2"
47.98
Multi w Own irrigation
2.73
3.64
5.46
10.01
3"
80.83
Multi w10 Irrigation - Regular
2.73
3.64
5.46
10.01
4"
127.34
Multi w!o Irrigation - High Density
2.73
3.64
5.46
10.01
6"
244
Landscape
2.12
2.83
4.25
7.78
8"
385.06
Agriculture
2.18
2.9
4.35
7,98
Misc. Flat Rate Use
38.28
Commercial
2.38
3.17
4.76
8.72
Mobile Homes
1.53
Construction
4.94
4.94
4.94
4.94
Temp Service - Jumper
15.25
Non -Potable
2,08
2.77
4.16
7.62
No Charge
0
No Charge
0
0
0
0
Firelines
68.63
Firelines
4.94
4.94
4.94
4.94
Construction
80.83
City Farm - (non -tiered)
2.4
3.2
4.8
8.8
Recycled Water
15.25
Recycled Water
2.08
2.77
4.16
7.62
City of San Juan Capistrano
Water Service ChargeslCommodity Charges - Effective July 1, 2010
($ICcf
($Jccf
($ICCO
($1ccQ
518"
18.00
Residential - Regular Lot
2.91
3.88
5.83
10.68
1"
27.00
Residential - Large Lot
2.91
3.88
5.83
10.68
40A9
Master Meter Residential
3.62
4.83
7.25
13.28
2"
56.62
Multi w Own Irrigation
3,22
4.30
6.44
11.81
3"
95.38
Multi wlo Irrigation - Regular
3.22
4.30
6.44
11.81
4"
150.26
Multi wlo Irrigation - High Density
3.22
4.30
6.44
11.81
6"
287.92
Landscape
2,50
3.34
5.02
9,18
8"
454.37
Agriculture
2.57
3.42
5.13
9.42
Misc. Fiat Rate Use
45.17
Commercial
2.81
3.74
5.62
10,29
Mobile Homes
1.81
Construction
5.83
5.83
5.83
5.83
Tomp Service - Jumper
18.00
Non -Potable
2.45
3.27
4.91
8,99
No Charge
0.00
No Charge
0.00
0.)0
0.00
0.00
Firelines
80.98
Firelines
5.83
5.83
5.83
5,83
Construction
95.38
City Farre - (non -tiered)
2.83
3.78
5.66
10.38
Recycfed Water
18,00
Recycled Water
2.45
3.27
4.91
8.99
City of San Juan Capistrano
Water Service Charges/Commodity Charges -- Effective July 1, 2411
City of San Juan Capistrano
Water Service Charges/Commodity Charges - Effective July 1, 2012
($Iccf)
($Iccf)
Mccf)
($lecf)
518"
18.53
Residential - Regular Lot
3.00
4.00
6.00
11.00
1"
27,81
Residential - Large Lot
3.00
4.00
6.00
11.00
1.51,
41.70
Master Meter Residential
3.73
4.97
7.46
13.67
2"
58.31
Multi w Own Irrigation
3.32
4.42
6.64
12.17
3"
98.24
Multi w/o irrigation - Regular
3.32
4.42
6.64
12.17
4"
154.77
Multi w/o Irrigation - High Density
3.32
4.42
6.64
12.17
6"
296.56
Landscape
2.58
3.44
5.17
9.46
8"
468.00
Agriculture
2.65
3.52
5.29
9.70
Misc. Flat Rate Use
46.53
Commercial
2.89
3.85
5.79
10.60
Mobile Hames
1.86
Construction
6.00
6.00
6.00
6.00
TempService- Jumper
18.53
Non -Potable
2.53
3.37
5.06
9.26
No Charge
0.00
No Charge
0.00
0.00
0.00
0.00
Firelines
83.41
Firelines
6.00
6.00
6,00
6.00
Construction
98.24
City Farm - (non -tiered)
2,92
3.89
5.83
10,70
Recycled Water
18,53
Recycled Water
2.53
3.37
5.06
9,26
City of San Juan Capistrano
Water Service Charges/Commodity Charges - Effective July 1, 2012
EXHIBIT A
($Iccf)
($/ccf
($Iccf)
($/ccl)
518"
19.09
Residential - Regular Lot
3.09
4.12
6.18
11.33
1"
28.64
Residential - Large Lot
3,09
4.12
6.18
11.33
1.5"
42.95
Master Meter Residential
3.84
5.12
7.69
14.08
2"
60.06
Multi w Own Irrigation
3.42
4.56
6.84
12.53
3"
101.19
Multi w/o Irrigation - Regular
3.42
4.56
6.84
12.53
4"
159.41
Multi w/o Irrigation - High Density
3.42
4.56
6.84
12.53
6"
305.45
Landscape
2.65
3.54
5.32
9.74
8"
462.04
Agr€culture
2,73
3.63
5.45
9.99
Misc. Flat Rate Use
47.92
Commercial
2,98
3.97
5.96
10.92
Moble Homes
1.92
Construction
6.18
6,18
6.18
6.18
TempService- Jumper
19.09
Non -Potable
2.60
3.47
5,21
9.54
No Charge
a.00
No Charge
0.00
0,00
0.00
0.00
Firelines
85.92
Firelines
6.18
6.18
6.18
6.18
Construction
101,19
City Farm - (non -tiered)
3.00
4.01
6.01
11.02
Recycled Water
19.09
Recycled Water
2.60
3.47
5.21
9.54
EXHIBIT A
City of San Juan Capistrano
Water Service Charges/Commodity Charges - Effective July 1, 2013
EXHIBIT A
($Iccf
($lcct}
($Iccf
($lcct}
518"
19.66
Residential - Regular Lot
3.18
4.24
6.37
11.67
1"
29.50
Ressdent€al - Large Lot
3.18
4.24
6.37
11.67
44.24
Master Meter Residential
3.96
5.27
7.92
14.51
2"
61.87
Multi w Own Irrigation
3.52
4.69
7,04
12.91
3"
104.22
Multi w/o Irrigation - Regular
3.52
4.69
7.04
12.91
4"
164.19
Multi w/o Irrigation - High Density
3.52
4.69
7.04
12,91
V.
314.62
Landscape
2.73
3.65
5.48
10.03
8"
496,50
Agriculture
2.81
3.74
5.61
10.29
Misc. Fiat Rate Use
49.36
Commercial
3.07
4.09
6.14
11.24
Mobile Homes
1.97
Construction
6.37
6.37
6.37
6,37
Temp Service - Jumper
19.56
Non -Potable
2.68
3.57
5.36
9.83
No Charge
0.00
No Charge
0.00
0.00
0.00
0.00
Firelines
86.48
Firelines
6.37
6.37
6.37
6.37
Construction
104.22
City Farm - (non -tiered)
3.09
4.13
6.19
11.35
Recycied Water
19.66
Recycled Water
2.68
3.57
5.36
9.83
EXHIBIT A