Resolution 12-026 Fee Schedule Amendment to Provide that a Multifamily Residential Account Customer is Charged Only a Single Monthly Sewer and Water Customer Charge and Increasing Customer Charge for All Customers

CITY OF HOMER
HOMER, ALASKA

Lewis

RESOLUTION 12-026

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, AMENDING THE CITY OF HOMER FEE SCHEDULE TO PROVIDE THAT A MULTIFAMILY RESIDENTIAL ACCOUNT CUSTOMER IS CHARGED ONLY A SINGLE MONTHLY SEWER AND WATER CUSTOMER CHARGE AND INCREASING THE WATER AND SEWER CUSTOMER CHARGE FOR ALL CUSTOMERS TO COVER THE RESULTING BUDGET DEFICIT.

WHEREAS, The Homer City Council, through adoption of Resolution 11-094(S), established new water and sewer customer service charges for individual units within multi-family dwellings and lowered the consumption levy for these units from commercial to residential rates;

WHEREAS, The Council has since received testimony that the new customer service charges place an undue burden on property owners, the elderly, and low income residents; and

WHEREAS, It is in the public interest to redistribute the costs of maintaining and operating the water and sewer system and to insure that the utility fund budget is balanced; and

WHEREAS, It is the intent of this resolution to provide that multifamily residential unit account customers pay only a single monthly water and sewer customer service charge, that these units continue to pay residential rates for consumption, and that the budget be balanced by increasing the water and sewer customer service charge for all customers across the board.

NOW, THEREFORE, BE IT RESOLVED by the City Council of Homer, Alaska, that the City of Homer Fee Schedule is amended as follows:

SEWER FEES:
Sewer Connection and Extension Permit Fee

Single Family/Duplex $255
Multi-Family/Commercial/Industrial $330

Sewer Rate Schedule.

All sewer utility services shall be billed according to the following schedule. This schedule is for monthly sewer services and is in addition to any charges for connecting or disconnecting the service, installation of the service or any assessment of the improvements.

Customer Classification* Monthly Customer Charge Charge per Gallon Usage Charge per 1,000 Gallons of Water
Single Family Residential $25.52 $0.00997 $ 9.97
Multi-Family Residential** $25.52 $0.00997 $ 9.97
Commercial $25.52 $0.01264 $12.64

Seasonal monthly sewer customer charge will be $12.76 or one half off the regular monthly customer charge.

*-Customer classification definitions for determining water rates:

Single Family Residential – A unit providing housing for one household; with less than 25% of the building area used for business or commercial purposes.

Multi-Family Residential - A building or lot occupied by more than one household: contained within one building or several building within one complex. Examples of multi-family units include duplexes, four-plexes and up, apartments, condominiums, co-housing projects, and multiple structures on one lot (where units are normally rented or occupied for longer than one month at a time). Examples of units not considered as multi-family include hotels, motels, B&B’s seasonal rooms/cabins (where units are routinely rented or occupied for less than one month at a time.)

Commercial - Any user not defined as Residential.

** Multi-Family Residential Units pay one customer service charge

Sewer System Residential or Residential Equivalent Dischargers Who Are Not Water System Users:

Sewer system dischargers who are not water system users shall be charged at the rate of $54.90. Variable rate $34.90 based on 3,500 gallons per month plus monthly customer charge $20. The City reserves the right to adjust this rate based on the characteristics of the service for non-residential or non-residential equivalent users. Customers who receive septic service shall be charged an additional $6.00* per month.

Sewer System Dischargers Who Are Members of Kachemak City LID:
Kachemak City Local Improvement District (LID) members have contributed to the initial cost of the sewer treatment plant and the collection system. Kachemak City LID dischargers connected within the LID and the City of Homer shall bill Kachemak City in one lump sum at the rate of $60.90. Variable rate $34.90 based on 3,500 gallons per month plus monthly customer charge of $20 plus septage cost $6.00* per month for each residential or residential equivalent discharger. Kachemak City shall be responsible for payment to the City of Homer.

Domestic sewer service customers who use large quantities of City water in addition to their domestic use shall be allowed, with the Public Works Director's approval, to install an additional water meter on the domestic water use line for the purpose of metering and charging for domestic sewer system use. Sewer system use will be billed monthly.

The City will allow, upon approval by Public Works and a permit from the Public Works Department, a second water usage meter – called a seasonal sewer meter – for each customer that desires to measure the flow of City water that is not discharged to the sewer system during the summer growing season, June 15 through September 15. Rates noted above do not apply.

Seasonal Sewer Meter Fee is $211.97.

WATER FEES:

Water Connection Fee

Single Family/Duplex $300
Multi-Family/Commercial/Industrial $375

Water Rate Schedule.

All water utility services shall be billed according to the following schedule. This schedule is for monthly water service and is in addition to any charges for connecting or disconnecting the service, installation of the service or any assessment of the improvements.

Customer Classification* Monthly Customer Charge Charge per Gallon Usage Charge per 1,000 Gallons of Water
Single Family Residential $32.50 $0.00442 $ 4.42
Multi-Family Residential** $32.50 $0.00442 $ 4.42
Commercial $32.50 $0.01140 $11.40
Bulk $32.50 $0.01269 $12.69

Season monthly water customer charge will be $16.25 or one half off the regular monthly customer charge.

*-Customer classification definitions for determining water rates:

Single Family Residential – A unit providing housing for one household; with less than 25% of the building area used for business or commercial purposes.

Multi-Family Residential - A building or lot occupied by more than one household: contained within one building or several building within one complex. Examples of multi-family units include duplexes, four-plexes and up, apartments, condominiums, co-housing projects, and multiple structures on one lot (where units are normally rented or occupied for longer than one month at a time). Examples of units not considered as multi-family include hotels, motels, B&B’s seasonal rooms/cabins (where units are routinely rented or occupied for less than one month at a time.)

Commercial - Any user not defined as Residential.

** Multi-Family Residential dwellings pay one Customer Service Charge

PASSED AND ADOPTED by the City Council of Homer, Alaska, this ________ day of ______________, 2012.

CITY OF HOMER

_____________________________
JAMES C. HORNADAY, MAYOR
ATTEST:

______________________________
JO JOHNSON, CMC, CITY CLERK

Fiscal Note: Annual loss $172,000 covered by increases to water and sewer customer charges for all customers. Revenue Neutral.