HomeMy WebLinkAboutResolution No. 4185, Wastewater Rates for Fiscal Years 2010 and 2011
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Anna Rosenberry, Finance Director
Chris Kukulski, City Manager
SUBJECT: Resolution No. 4185 – Wastewater Rates
MEETING DATE: August 17, 2009
RECOMMENDATION: Adopt Resolution No. 4185 which includes wastewater rates
effective on September 1, 2009 and September 1, 2010.
BACKGROUND: Attached is Resolution 4185 that adopts wastewater rates for the next two
years. These rates are based on updates to the City’s Comprehensive Wastewater Rate study. A
copy of the original rate study, and the updated study, can be found online at
http://www.bozeman.net/bozeman/finance/Accounting/budgetDocuments.aspx
All rate elements increase by 10.2% in FY10 and an additional 10.2% in FY11.
FISCAL EFFECTS: This resolution is estimated to increase Wastewater Fund revenue by
approximately $485,000 in FY10 and an additional $504,000 in FY11.
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Wastewater charges are based on consumption of water during the winter quarter. Average
residential customers ($24.80/month) will see a monthly increase of $2.53 in FY10, and an
additional $2.79 in FY11.
ALTERNATIVES: As suggested by the City Commission.
Report compiled on August 12, 2009
Attachments: Resolution No. 4185
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COMMISSION RESOLUTION NO. 4185
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, ESTABLISHING RATES FOR WASTEWATER (SEWER)
SERVICE FOR THE CITY OF BOZEMAN.
WHEREAS, the City Commission of the City of Bozeman, following notice and
public hearing established a new Rate Schedule for the City of Bozeman’s Wastewater
(Sewer) Fund.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City
of Bozeman, Montana, that the new rates for wastewater services, based on a 30-day
month, shall become effective beginning with the bills due in September 2009 as follows,
to wit:
Section 1 – Metered Customers
Current Effective Effective
Wastewater Sept. 1 Sept. 1
Rate 2009 2010
Residential $12.13 $13.37 $14.73
Multi-Family $12.44 $13.71 $15.11
Commercial $12.44 $13.71 $15.11
Government $12.44 $13.71 $15.11
Montana State University $12.44 $13.71 $15.11
Industrial $32.44 $35.75 $39.40
Residential $2.01 $2.22 $2.44
Low Income $2.01 $2.22 $2.44
Multi-Family $2.06 $2.27 $2.50
Commercial $2.06 $2.27 $2.50
Government $2.06 $2.27 $2.50
Montana State University $2.06 $2.27 $2.50
Industrial $4.94 $5.44 $6.00
1. Pounds of BOD up to 830 lbs per day.$0.196/lb $0.216/lb $0.238/lb
2. Pounds of BOD in excess of 830 lbs per day.$0.281/lb $0.310/lb $0.341/lb
3. Peak BOD Demand Charge for Pounds of BOD in excess
of 830 lbs per day, highest monthly peak day.$0.243/lb $0.268/lb $0.30/lb
4. Pounds of SS in excess of 250 mg/l per day.$0.193/lb $0.213/lb $0.234/lb
5. Pounds of Phosphorus in excess of 5.0 mg/l per day.$3.226/lb $3.555/lb $3.918/lb
6. Pounds of Nitrogen in excess of 20 mg/l per day.$0.293/lb $0.323/lb $0.356/lb
City of Bozeman
Wastewater Rates
A. Service Charge
B. Volume Charge - $/HCF
C. Charges for Extra Strength Waste
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* For service dates of April through October, based on average of November through
March metered usage.
Explanatory note: Each customer shall pay a minimum monthly bill which includes the
monthly charge (A) plus an additional charge (B). For extra strength waste, a customer
shall additionally pay the extra strength charges (C).
Section 2 – Unmetered Customers
Effective on the September 2009 billing
Monthly Billing and
Customer Charges
Current
Wastewater
Rate
Effective
Sept. 1, 2009
Effective
Sept. 1, 2010
All Unmetered
Customers
$25.50/month $28.10/month $30.97/month
Section 3 – Special Charges
In certain cases, subdivisions and/or annexations have been approved on the condition
that the associated properties fund the operation of specific capital within the wastewater
system, usually lift stations. These charges are made on an annual cost-recovery basis,
and are charged in addition to all other account charges.
1. Users of the Baxter
Meadows Lift Station
All Customers, based on
meter size
5/8” meter – $4.20/month
1” – $5.46/month
1 ½” – $7.98/month
2” - $11.34/month
2. Users of the Laurel
Glen Lift Station
All Customers, based on
meter size
5/8” meter – $2.27/month
1” – $2.96/month
1 ½” – $4.32/month
2” - $6.14/month
Section 4 – Low Income Rate Assistance
Customers who apply for and qualify under the State’s Low Income Property Tax
Assistance Program, as set forth in Section 15-6-134 MCA, will receive a credit equal to
their monthly wastewater service charge listed above.
Section 5 – Billing Procedures
Charges for wastewater services under this schedule shall be made a part of the current
monthly water bill, to be shown by separate item on such bill. Separate payment of either
the charge for the water or the charge for the wastewater will not be accepted with prior
approval of the Director of Finance. Both charges must be paid at the same time; partial
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payments will be applied to the wastewater charge first, with any remainder being applied
to the water charge.
Charges for water used and wastewater service charges become due and payable upon
receipt of the bill. If any bill is not paid on or before the fifteenth day of that month, it
will then become delinquent; and if not paid in full by the fifteenth day of the following
month, water service to the premises involved may be discontinued (shut-off), after a ten-
day written notice. A charge of twenty five dollars ($25.00) shall be made for any
account requiring written shut-off notice. An additional charge of twenty-five dollars
($25.00) during regular business hours or seventy-five dollars ($75.00) during non-
business hours shall be made for reinstating a water service which has been discontinued
for non-payment of water and/or wastewater service charges.
Section 6 – ACH Incentive
For those customers who choose the automatic clearing house (ACH) payment option, a
one dollar ($1.00) discount will be taken from the total utility bill (total of water, sewer,
garbage). Bills will be mailed by the first working day of the month; with the automatic
payment being deducted on the 15th of the following month.
Section 7 – Late Fee
For those accounts that become delinquent, a 1.5 percent (1.5%) late fee will be assessed
on the next bill. The minimum late fee shall be $1.00.
Section 8 – Protests
In cases where wastewater service charges under this schedule are claimed to be unfair,
unreasonable, or not in proportion to charges made to other wastewater customers, the
person or persons against whom such charges are made may apply to the City Manager
for an adjustment, stating the circumstances. The City Manager, or his designated
representative, may make such adjustment of the wastewater charges as is deemed
necessary, fair and equitable.
PASSED AND ADOPTED by the City Commission of the City of Bozeman, Montana,
at a regular session thereof held on the 17th day of August, 2009; and effective beginning
with that billing period which will first appear on the September 2009 wastewater billing.
____________________________________
KAAREN JACOBSON
Mayor
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ATTEST:
__________________________________
STACY ULMEN, CMC
City Clerk
APPROVED AS TO FORM:
________________________________
GREG SULLIVAN
City Attorney
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