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HomeMy WebLinkAbout2014 05_OPWA_Adopting Water Rates_2014.07.01OWASSO PUBLIC WORKS AUTHORITY RESOLUTION NO. 2014-05 A RESOLUTION OF THE OWASSO PUBLIC WORKS AUTHORITY ESTABLISHING WATER SERVICE RATES WITHIN AND WITHOUT THE CORPORATE LIMITS OF THE CITY OF OWASSO AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, The Owasso Public Works Authority desires to establish the following rates for the provision of water service effective October 1, 2014: -Usage Tier Rates Minimum Meter Char a for First 1,000 gallons Meter Size Users Inside the Corporate Limits Users Outside the Corporate Limits 3/4" 11.50 $13.8 0 ill 12.40 $14.88 1 '/s " 14.40 $17.28 2" $15,40 $18.48 3" $30.40 $36.48 4" $35.40 $42.48 6" $50.40 $60,48 Hydrant $75.00 NA -Usage Tier Rates Volume Rate er 1,000 gallons -_Corporate Users Inside the Limits Users Outside the Corporate Limits First 1,000 gallons Minimum Meter Charge Minimum Meter Charge 2,000 gallons 5.02 $6.02 3,000 - 5,000 gallons $5.07 $6.08 6,000 - 10,000 gallons $5,12 $6.14 11,000-20,000 gallons $5.16 $6.19 21,000 gallons or more 15.21 $6.25 WHEREAS, The Owasso Public Works Authority desires to establish the following rates, fees and stipulations for metered fire hydrant water usage: • Deposit per meter of $750.00 • Minimum Meter Charge of $75.00 • Non - refundable service initiation fee of $10.00 • Water usage rate based on aforementioned tiered rate system • Penalty for failure to report meter readings by the tenth (1 Oth) day of each month of $25.00 NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY, THAT: Section One: From and after the effective date of this Resolution (as hereinafter set forth), the charge by the Authority for water service shall be adjusted in accordance with the above - referenced recital paragraphs and as specifically codified pursuant to Ordinance No. 1035 of the City of Owasso, Oklahoma ( "City "). Section Two: The water rates established pursuant to the Resolution shall become effective with the first utility billing cycle in October 2014, PASSED, ADOPTED AND APPROVED THIS 111 DAY OF JULY, 2014. rwO��s pis � Q o a 4 SEAL o m ATTt$:O % H 6O ••• °� A �/� Sherry Bishoo( Authority Sectktary APPROVED AS TO FORM: -am L404bC004- Juli Lombardi, City Attorney THE OWASSO PUBLIC WORKS AUTHORITY Jerdlberly, Chairman The City wit'. Limits. TO: The Honorable Chairman and Trustees Owasso Public Works Authority FROM: Linda Jones Finance Director SUBJECT: Resolution No. 2014 -05 Water Rate Increase DATE: June 27, 2014 BACKGROUND: iy The Owasso Public Works Authority purchases treated water from the City of Tulsa. On March 31, 2014, the City of Tulsa notified Owasso of a water rate increase effective October 1, 2014. Rates for water purchased by the OPWA from the City of Tulsa will increase from $2.96 to $117 per 1,000 gallons. Tulsa water is delivered to Owasso through three master meters. The monthly meter charge will also increase from $450.05 to $481.56 for a monthly meter fee increase of $31.51. In order for the City to recover the increased cost of service, staff proposes a rate increase of twenty -one cents per thousand gallons of water usage to customers inside the city limits plus the respective monthly increase based on the size of meter. Staff further proposes that rates for customers outside the city limits continue to be 20% more than rates for customers within the city limits in accordance with the previous OPWA resolution establishing the different rate structures for customers outside the city limits. The proposed minimum volume charge per 1,000 gallons of water usage would increase from $4.81 to $5.02 for customers inside the city. The monthly cost of the proposed rate increase to a city customer who uses 7,000 gallons of water with a 3/," meter would be $1.47 per month or $17.64 per year, an amount equal to the Tulsa rate increase. The proposed increase for rural customers using 7,000 gallons per month would be $1.75 or $21.00 per year. Rate changes require the approval of the Owasso Public Works Authority and the Owasso City Council through Trustee Resolution and City Council Ordinance. RECOMMENDATION: Staff recommends OPWA Trustee approval of Resolution No. 2014 -05 establishing the water rates to be effective October 1, 2014. ATTACHMENTS: OPWA Resolution No. 2014 -05 Letter from City of Tulsa CITY OF QTUIsa A New Kind of E'neWg ,. March 31. 2014 Mr. Roger Stevens, Public Works Director City of Owasso PO Box 180 Owasso, OK 74055 -0180 Clayton Edwards, Director. WATER AND SEWER DEPARTMENT RE: Fiscal Year 2014 -2015 Tulsa Wholesale Water Rates Dear Mr. Stevens: The City of Tulsa and Tulsa Metropolitan Utility Authority (TMUA) endeavor to ensure clear, timely and accurate communications with the communities to which we supply water, including the City of Owasso. Review and refinement of the Water Department's FY 14 -15 operating and capital budgets is underway, but the budgets on which Tulsa's City Council have been briefed anticipate approval of the proposed increase cited below. If approved, the new rates will be effective October 1, 2014. This letter is to give you sufficient notice to plan for the rate changes in your next budget cycle. The current rates and proposed Increase for FY 2014 -2016 are shown in the table below. Monthly Service Charge /Volume Charge Meter Size Current Rates Effective 1010112013 Proposed FY 2014-2016% Chan a Proposed FY 2014 -2015 Rates 5/8" $ 6.83 7.0 $ 7.31 1" $ 8.51 7.0 $ 9.11 1 '/z " $ 10.17 7.0 $ 10.88 2" $ 14.85 7.0 $ 15.89 3" $ 43.25 7.0 $ 46.28 4" $ 60.21 7.0 $ 64.42 6" $ 93.85 7.0 $ 100.42 8" $ 130.79 7.0 $ 139.95 178.10 7.0 $ 190.57 Volume Char a er 1,000 allons Permanent Service $ 2.96 7.0 $ 3.17 Limited Term Service $ 5.26 7.0 $ 5.63 Emer enc Service $ 9.57 7.0 $ 10.24 A listing of your active meters and accounts is attached. We will Inform you once the rates and the fiscal year 2015 budgets are approved. I can be reached at 918-596-7810 should you have any questions, or contact Utilities Services Manager Mark Weathers at 918 - 596 -9550. Best Regards, CITY LSA WATER ANO $EWER DEPARTMENT Clayton dwarfs, P.E., Director Attachment CITY HALL AT ONE TECHNOLOGY CENTER 175 E. 2 "d Street, Suite 885, Tulsu, OK 74103 Office (918) 596. 9550 Fax 918- 699 -3358 Email: mwcuthcrs@cityoftulsa.org www.cilyoffutsmorg Customer Name Account Status iService Address Meter Number' Type (Size CITY OF OWASSO 10368888 j Active 7595 N M(NGO RD DW70141654 ! 71 ,10" CITY OF OWASSO 10368888 1 Active 17595 N MINGO RD INPl70141620 71 16" CITY OF OWASSO 10368888 Act ve 7595 N MINGO RD INP/70141654 71 110" CITY OF OWASSO ; 10557536 Active 110600 N SHERIDAN RD NPR0190282 1 71 20" 7—W9Wes Wwk a=10_VWW4 Services wmgeNMefer lAMentt5p3p11. taxer ll,,Pmpu },- Imx UrAingw,AFFA^aw Maters