ORD 93-39 UTILITY RATES, FEES AND CHARGESORDINANCE No. 93 — 39
AN ORDINANCE OF THE CITY OF BAINBRIDGE ISLAND,
WASHINGTON RELATING TO UTILITY RATES, FEES AND
CHARGES; AND AMENDING SECTION E OF ORDINANCE
82-20, AS SUBSEQUENTLY AMENDED.
WHEREAS, a structure for establishing water and sewer rates, charges
and fees was put into place by Ordinance 82-20; and
WHEREAS, Section E of Ordinance 82-20, which specifies those rates,
charges and fees has been subsequently amended on various occasions including
amendment by Ordinances 83-09, 84-25, 86-08, 86-19, and 91-13; and
WHEREAS, there have been major changes to the City's water and sewer
utility during the past seven years, which changes require structural as well as
amount changes to the City's utility rates, charges and fees; and
WHEREAS, the Finance Committee of the City Council has held public
hearings on September 9 and November 15, 1993, to discuss these changes; now,
therefore,
THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND, WASHINGTON,
DO ORDAIN AS FOLLOWS:
SECTION 1. Those sections of all prior ordinances which amend Section E
of Ordinance 82-20 are repealed.
SECTION 2. Section E of Ordinance 82-20 is amended to read as follows :
SECTION E. Water and Sewer Rates, Charges and Fees.
1. SYSTEM PARTICIPATION FEES
a. RESIDENTIAL
Water: $2,400.00/ living unit
Sewer : $2,600.00 / living unit
b. INDEPENDENTLY METERED SPRINKLER SYSTEMS
Independently metered irrigation sprinkler systems for all structures
except single family residences and multi—family buildings of four
units or less :
City Engineer determines the maximum flow in gallons
perminute of all zones in the sprinkley system that may
run concurrently; divide by 10; round down to the nearest
whole number; and multiply by $2,400.00.
c. NON—RESIDENTIAL AND OTHER (and application other than
residential or an irrigation sprinkler shall be considered "other")
Water : $2,400.00 / each set of ten (10) fixtures or portion thereof
Sewer : $2,600.00 / each set of ten (10) fixtures or portion thereof
et ANNUAL ADJUSTMENT
System Participation fees shall be adjusted every two years by
the City's Finance Director by updating the formula shown as
Attachment A to this ordinance, which formula was used in the
computation of the fees shown in Section E (1) (a) and E(1) (b)
of this ordinance in accordance with RCW 35.92.035 and RCW
82.02.020.
2. CONNECTION to City Lines by City Staff.
A connection fee shall be charged in the amount of the City's cost
of labor, material and equipment plus 25 % for engineering and
administration. Water meter connection fees for 3/4" and 1" lines
shall be in the amount established by resolution of the city council.
Installation for larger pipe sizes shall be calculated on a case by
case basis.
3. CONNECTION to City Lines By OTHER than City Staff.
WATER METER CONNECTION ("Drop in") fees shall be charged at
rates as established by resolution of the city council.
4. INSPECTION FEES.
a. WATER connections not performed by the City's Staff shall be
inspected by the City and shall be charged an inspection fee
in the amount as established by resolution of the city council.
An additional fee shall be charged for each reinspection..
b. SEWER connections not performed by the City's Staff shall be
inspected by the City and shall be charged an inspection fee
in the amount as established by resolution of the city council.
An additional fee shall be charged for each reinspection..
c. If the City Staff need to dig up a water or sewer installation in order
to inspect it, a DIG UP Fee shall be charged in the amount established
by resolution of the city council in addition to the inspection fee.
5. SERVICE RATES.
a. CATEGORIES OF USERS.
Category 1 — Single Family Residences.
Category 2 — Multiple Dwellings
Residences including but not limited to apartment houses,
condominiums, multiple residences served by a single meter,
and mobile home courts: Each single dwelling unit shall
constitute one unit for purposes of this rate schedule.
Category 3 — Commercial.
Commercial users including but not limited to retail sales.
Each set of 10 (ten) fixtures or portion thereof shall constitute
one unit for purposes of this rate schedule.
Category 4 — Mixed Use / Other.
Any users other than those in Categories 1, 2, 3 and 5.
Rates for Mixed Use customers shall be calculated additively
based on the appropriate charges for each use and allowing
a reduction to the total for any overlap.
Category 5 — Industrial Users.
b. WATER RATES
The monthly rate for all categories of users shall be as follows
Base Rate : $12.00 per month per unit PLUS
Users of 0 to 500 cubic feet
$ .80
per 100 cubic feet
Users of 501 to 1000 cu ft
.90
per 100 cubic feet
Users of 1001 to 1500 cu ft
1.00
per 100 cubic feet
Users of 1501 to 2000 cu ft
1.10
per 100 cubic feet
Users of 2001 to 5000 cu ft
1.20
per 100 cubic feet
Users of 5001 to 7500 cu ft
1.35
per 100 cubic feet
Users of 7501 to 10000 cu ft
1.50
per 100 cubic feet
Users of over 10000 cubic feet
1.60
per 100 cubic feet
c. SEWER RATES
Effective January 1, 1994, sewer rates shall be as follows
Category 1 $13.96 per month per unit PLUS
$1.62 per 100 cu. ft. of water used
Category 2: $16.67 per month per unit PLUS
$1.62 per 100 cu. ft. of water used
Category 3 : $34.77 per month per unit PLUS
$1.62 per 100 cu. ft. of water used
Category 4 : $37.09 per month per unit PLUS
$1.62 per 100 cu. ft. of water used
Category 5 : Set by individual contract
d. SEWER RATES FOR USERS WITHOUT WATER SERVICE
Sewer rates for users who do not contract with the city for provision
of water service shall be 125 % of the average sewer rate for all users
in the same category as the user charged by this rate.
e. SUMMER SEWER AVERAGING
The City's Finance Director is authorized to adjust the sewer
billings for the three summer billing months of mid—June
through mid—September if the charge is not reflective of each
customer's actual water consumption. The adjustment shall be
to the sewer billing for all customers in Categories 1 and 2
for the prior months of December through May.
SECTION 3. This Ordinance shall take effect and be in force on and after
January 1, 1994.
PASSED by the City Council this 16th day of December, 1993.
APPROVED by the Mayor this 17th day of December, 1993.
SAM R ATO, Mayor
ATTEST/AUTHENTICATE: ;
USAN P. KASPER, City Clerk
APPROVED AS TO FORM:
ROD P. KASEGUMA, City Attorney
FILED WITH THE CITY CLERK: September 13, 1993
PASSED BY THE CITY COUNCIL: December 16, 1993
PUBLISHED: December 22, 1993
POSTED: December 22, 1993
EFFECTIVE DATE: January 1, 1994
ORDINANCE 93 — 39
ATTACHMENT A TO ORDINANCE 93-39
FORMULA FOR CALCULATING WATER & SEWER
PARTICIPATION FEES
(1) Historical capitalized book cost of the city's water / sewer
system by year built.
(2) Up to 10 years imputed interest on the capitalized book cost
calculated at the city's cost of issuing revenue bonds with a
maturity of 10 years or more in the year in which the
capitalized improvements were built.
(3) Total chargeable water / sewer cost = (1) + (2).
(4) Maximum chargeable cost = (3) divided by the number of
units presently connected to the City's water / sewer system.
(5) Ratio of existing connected units to "likely" full buildout in
the city's water / sewer service area (in 1993, this ratio was 61.7
(6) Maximum cost adjusted for partial buildout = (4) X (5)
(7) Actual Participation Fee = (6) X [ 1 — (7) ]
(8) Amount in (7) rounded DOWN to the nearest $100.00.
THE CITY HAS DETERMINED THAT THE OPERATIVE FACTOR
DETERMINING WATER AND SEWER PARTICIPATION CHARGES IS THE
CONNECTION ITSELF RATHER THAN THE LOCATION OF THAT
CONNECTION WITHIN THE CITY'S SERVICE AREA OR THE NUMBER OF
FRONT FEET ATTRIBUTABLE TO A PARTICULAR PARCEL OF LAND.
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
COST OF EXISTING CAPITAL INFRASTRUCTURE
YEAR BUILT
-------------------------------------------------------------------------------
WATER
SEWER **
DRAIN
TOTAL
1993 (Aug YTD)
$215,712
$48,341
n/a
$264,053
1992
85,291
38,556
39,316
163,163
1991
468,310
75,207
125,102
668,619
1990
337,906
135,359
24,902
498,167
1989
541,930
4,402
88,034
634,366
1988
113,354
126,642
3,550
243,546
1987
57,130
0
167,772
224,902
1986
29,627
68,533
0
98,160
1985
19,953
28,575
0
48,528
1984
15,566
9,284
0
24,850
1983
94,221
69,156
0
163,376
1982
2,189
145,842
0
148,031
1981
0
20,587
0
20,587
1980
216,837
452,366
0
669,203
1979
81,288
278,347
0
359,635
1978
0
2,401,497
0
2,401,497
1977
16,412
(219,302)
0
(202,890)
1976
20,086
43,056
0
63,142
1975
6,202
62,059
0
68,261
1974
8,459
9,765
0
18,224
1973
5,343
0
0
5,343
1972
2,982
1,449
0
4,431
PRIOR TO 1972
2,612,798
---------
0
0
2,612,798
TOTAL
4,951,595
---------
3,799,722
---------
448,676
---------
9,199,993
** Excludes amount funded by grants.
November 24, 1993
R. Eells
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
COST OF BORROWING TO BAINBRIDGE ISLAND
November 24, 1993 R. Eells
I
ACTUAL COST
STD & POORS
ACTUAL COST
OR STD & POORS
YEAR
-------------------------------------------------------------------------------
MUNI INDEX
TO WINSLOW
DIFFERENTIAL
+ AVG DIFF'L
1993
1992
6.41%
7.49%
1991
6.899c
7.97%
1990
7.25%
8.33%
1989
7.24$
7.74$
0.50%
7.749c
1988
7.76%
8.8496
1987
7.7316
8.55;-
0.82
8.55%
1986
7.38
8.46%
1985
9.1896
10.26W
1984
10.1596
11.235
1983
9.47$
11.2596
1.78%
11.25%
1982
11.57$
12.65%-
1981
11.23$
12.00%
0.77%
12.00%s
1980
8.51%s
9.8896
1.37%
9.88%
1979
6.39%5
7.47%
1978
5.90°s
6.98%-
.98%1977
1977
5.56%
6.64%-
.64%1976
1976
6.49%
7.57%
1975
6.8996
7.97%-
1974
6.091;
7.1715
1973
5.18$
6.40%
1.22%
6.4096
1972 & PRIOR
4.25$
5.321s
(1960 - 72)
AVERAGE
1.08$
November 24, 1993 R. Eells
I
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
TOTAL COST OF WATER IMPROVEMENTS
November 24, 1993 R. Eells
IMPUTED
YEAR
-------------------------------------------------------------------------------
CAPITAL COST
INTEREST RATE
YEARS
INTEREST
1993
$215,712
0.0096
1
$0
1992
85,291
7.4996
2
12,768
1991
468,310
7.9796
3
111,905
1990
337,906
8.33%
4
112,525
1989
541,930
7.74%
5
209,619
1988
113,354
8.84%
6
60,090
1987
57,130
8.55$
7
34,192
1986
29,627
8.46%
8
20,040
1985
19,953
10.00%
9
17,958
1984
15,566
10.00%
10
15,566
1983
94,221
10.0006
10
94,221
1982
2,189
10.00%
10
2,189
1981
0
10.0016
10
0
1980
216,837
9.88°s
10
214,127
1979
81,288
7.47$
10
60,683
1978
0
6.98%
10
0
1977
16,412
6.64$
10
10,890
1976
20,086
7.57°s
10
15,196
1975
6,202
7.97$
10
4,940
1974
8,459
7.17%
10
6,061
1973
5,343
6.4096
10
3,420
1972
2,982
5.32%
10
1,588
PRIOR TO 1972
2,612,798
---------
5.321c
10
1,391,141
TOTAL
4,951,595
---------
2,399,116
November 24, 1993 R. Eells
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
TOTAL COST OF SEWER IMPROVEMENTS
--------- ---------
TOTAL 3,799,722 2,728,447
** Excludes amount funded by grants.
November 24, 1993 R. Eells
IMPUTED
YEAR
-------------------------------------------------------------------------------
CAPITAL COST **
INTEREST RATE
YEARS
INTEREST
1993
$48,341
0.00%
1
$0
1992
38,556
7.4916
2
5,772
1991
75,207
7.97%
3
17,971
1990
135,359
8.3316
4
45,075
1989
4,402
7.74%
5
1,703
1988
126,642
8.84%
6
67,134
1987
0
8.55$
7
0
1986
68,533
8.46%
8
46,357
1985
28,575
10.00%
9
25,717
1984
9,284
10.00%
10
9,284
1983
69,156
10.00%
10
69,156
1982
145,842
10.00%6
10
145,842
1981
20,587
10.00%
10
20,587
1980
452,366
9.88%
10
446,711
1979
278,347
7.47°6
10
207,791
1978
2,401,497
6.98%5
10
1,675,084
1977
(219,302)
6.64%
10
(145,510)
1976
43,056
7.575
10
32,573
1975
62,059
7.97%5
10
49,431
1974
9,765
7.1716
10
6,997
1973
0
6.40
10
0
1972 & PRIOR
1,449
5.32$
10
771
(1960 - 72)
--------- ---------
TOTAL 3,799,722 2,728,447
** Excludes amount funded by grants.
November 24, 1993 R. Eells
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
ADJUSTMENT FOR PARTIAL BUILDOUT
percentage of buildout 61.79k
*** Shown at 80 °s of the 1192 units projected at maximum
buildout to adjust for :
(1). Less than 100 °c utilization, and
(2). Units built outside existing
"service area."
November 24, 1993 R. Eells
EXISTING
"LIKELY"
FULL
TYPE OF UNIT
----------------------------------------------------------------
UNITS
ADDITIONS
BUILDOUT
RESIDENTIAL BY ZONE
R - 2.9
112
R - 3.5
268
R - 4.3
357
R - 6
54
R - 8
39
R - 14
33
Commercially Zoned
41
Outside Winslow
290
n/a
TOTAL RESIDENTIAL
-----
1,194
-----
245
-----
1,439
MULTIFAMILY
837
954 ***
1,791
COMMERCIAL & OTHER
153
159
312
TOTAL
-----
2,184
-----
1,358
-----
3,542
percentage of buildout 61.79k
*** Shown at 80 °s of the 1192 units projected at maximum
buildout to adjust for :
(1). Less than 100 °c utilization, and
(2). Units built outside existing
"service area."
November 24, 1993 R. Eells
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
MAXIMUM WATER PARTICIPATION FEE BASED ON
NUMBER OF WATER CUSTOMERS -- AUGUST, 1993
HISTORICAL COST OF CONSTRUCTION $4,951,595
IMPUTED INTEREST COST 2,399,116
TOTAL CHARGEABLE COST 7,350,710
DIVIDED BY NUMBER OF UNITS 1,815
EQUALS MAXIMUM CHARGEABLE COST PER NEW UNIT $4,049.98
MAXIMUM COST ADJUSTED FOR 61.7 $ BUILDOUT $2,497.24
November 24, 1993
R. Eells
NUMBER
NUMBER
CLASS OF CUSTOMER
BILLED
OF UNITS
----------------------------------------------------------------
Single Family
994
994
Multi -Family
36
72
Other/Commercial
144
144
Special Account
19
19
Senior
20
20
Multi -Family (Indiv)
6 Units
2
12
7 Units
2
14
13 Units
1
13
14 Units
1
14
15 Units
1
15
18 Units
2
36
24 Units
3
72
28 Units
1
28
29 Units
1
29
30 Units
1
30
32 Units
2
64
33 Units
1
33
40 Units
1
40
45 Units
1
45
60 Units
1
60
61 Units
1
61
TOTAL
1,235
1,815
HISTORICAL COST OF CONSTRUCTION $4,951,595
IMPUTED INTEREST COST 2,399,116
TOTAL CHARGEABLE COST 7,350,710
DIVIDED BY NUMBER OF UNITS 1,815
EQUALS MAXIMUM CHARGEABLE COST PER NEW UNIT $4,049.98
MAXIMUM COST ADJUSTED FOR 61.7 $ BUILDOUT $2,497.24
November 24, 1993
R. Eells
BAINBRIDGE ISLAND -- UTILITY PARTICIPATION FEES
MAXIMUM SEWER PARTICIPATION FEE BASED ON
NUMBER OF SEWER CUSTOMERS -- AUGUST, 1993
TOTAL
961 1,543
HISTORICAL COST OF CONSTRUCTION ** $3,799,722
IMPUTED INTEREST COST 2,728,447
TOTAL CHARGEABLE COST ** 6,528,169
DIVIDED BY NUMBER OF UNITS 1,543
EQUALS MAXIMUM CHARGEABLE COST PER NEW UNIT $4,230.83
MAXIMUM COST ADJUSTED FOR 61.7 °s BUILDOUT $2,608.75
** Excludes amount funded by grants.
November 24, 1993
R. Eells
NUMBER
NUMBER
CLASS OF CUSTOMER
BILLED
OF UNITS
----------------------------------------------------------------
Single Family
707
707
Multi -Family
38
76
Commercial
119
119
"Other"
10
10
Flat Rate Residential
46
46
Flat Rate Commercial
3
3
Senior
15
15
Flat Rate Senior
1
1
Multi - 4 Digit Consum
22
566
TOTAL
961 1,543
HISTORICAL COST OF CONSTRUCTION ** $3,799,722
IMPUTED INTEREST COST 2,728,447
TOTAL CHARGEABLE COST ** 6,528,169
DIVIDED BY NUMBER OF UNITS 1,543
EQUALS MAXIMUM CHARGEABLE COST PER NEW UNIT $4,230.83
MAXIMUM COST ADJUSTED FOR 61.7 °s BUILDOUT $2,608.75
** Excludes amount funded by grants.
November 24, 1993
R. Eells