HomeMy WebLinkAboutRepealing Sections of Ch 17 Article 10 Regarding Compact Fees and Assessments and Replacing Such Fees and Assessments with System Development ChargesORDINANCE No.
10461 -16
Passed by the Common Council of the City of South Bend, Indiana
October 24, 20 16
Attest:
Attest:
Presented by me to the Mayor of the City of South Bend, Indiana
Approved and signed by me
October 25, Z0 16
OJ-13&f." 16
20 1
President of Common Council
City Clerk
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ORDINANCE NO. I Q 'f (Q I - I (-V
AN ORDINANCE OF THE COMMON COUNCIL OF THE
CITY OF SOUTH BEND, INDIANA REPEALING CERTAIN
SECTIONS OF CHAPTER 17, ARTICLE 10 REGARDING
COMPACT FEES AND ASSESSMENTS AND REPLACING
SUCH FEES AND ASSESSMENTS WITH SYSTEM
DEVELOPMENT CHARGES
STATEMENT OF PURPOSE AND INTENT
The City of South Bend owns and operates a water and sewer utility. The South Bend City
Code has contained, for many years provisions, which would impose compact fees and
assessments for water and /or sewer utility service. The application of said compact fees and
assessments has been inconsistent.
This Council has caused to be prepared a study which recommends system development
charges to be imposed upon connection of new customers to its water or sewer utility and to new
uses by existing customers that would materially change the demands on the water and /or sewer
utility.
The City has determined that in place of compact fees for sewer service, the City should
instead, recover an outside City surcharge for sewer service. Further, the City has determined that
it is appropriate to implement system development charges for both water and sewer service which
have been computed using what is known as the "Equity Method." It is appropriate to exempt
connections to new structures which replace an older structure of similar use located on the same
property.
Section 1. Sections 17 -79 of the City Code shall be repealed in its entirety and
amended to read as follows:
Sec. 17 -79. Wa4er- main lines within City limits; assessment of installation ,.har-ges System
Development Charge for Wastewater inside and outside City limits.
1. For purposes of this section "ERU" shall be defined as an equivalent
residential unit which means a single family residence. For purposes of customers
that are not single family residences, one ERU shall equal estimated wastewater flows
of 310 gallons per day. No customer will be less than one ERU. There will be no
partial ERU's. The City shall round down to the closest applicable ERU calculation
at all times.
2. Except as provided in Subsections 5. and 6. of this Section, for every
new connection to the South Bend Municipal Sewer Works, a system development
charge of $1,145 shall be collected per ERU and additional portion thereof to be
connected. All charges shall be billed by Paid to the Citv at the time the application
for service eenneetion is filed.
3. System development charges per ERU shall also be collected from
existing customers undertaking activities producing a permanent increase in
wastewater flow of greater than 4-50 310 gallons per day. This subsection shall not
apply to an existing customer who has, by contract, purchased reserved capacity from
the City so long as the customer's flows remain within the reserved capacity. A
permanent increase shall be deemed to have occurred when the average flow rate for
six (6) consecutive months exceeds the current flow rate by at least 310 gallons per
day.
4. For multifamilv structures (e.a., apartments, condominiums, mobile
home communities), each individual unit shall be one ERU. For all other types of
structures, the ERU calculation shall be based upon the ratio of Average Daily Flow
as computed pursuant to 327 IAC 3 -6 -11 in relationship to 310 gallons per day. For
structures not listed in 327 IAC 3 -6 -11, the ERU shall be calculated as the relationship
between the Average Dailv Flow reported in the sewer capacity certification for the
structure and 310 gallons per day.
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1. For purposes of this section "ERU" shall be defined as an equivalent
residential unit which means a single family residence. For purposes of customers
that are not single family residences, one ERU shall equal estimated wastewater flows
of 310 gallons per day. No customer will be less than one ERU. There will be no
partial ERU's. The City shall round down to the closest applicable ERU calculation
at all times.
2. Except as provided in Subsections 5. and 6. of this Section, for every
new connection to the South Bend Municipal Sewer Works, a system development
charge of $1,145 shall be collected per ERU and additional portion thereof to be
connected. All charges shall be billed by Paid to the Citv at the time the application
for service eenneetion is filed.
3. System development charges per ERU shall also be collected from
existing customers undertaking activities producing a permanent increase in
wastewater flow of greater than 4-50 310 gallons per day. This subsection shall not
apply to an existing customer who has, by contract, purchased reserved capacity from
the City so long as the customer's flows remain within the reserved capacity. A
permanent increase shall be deemed to have occurred when the average flow rate for
six (6) consecutive months exceeds the current flow rate by at least 310 gallons per
day.
4. For multifamilv structures (e.a., apartments, condominiums, mobile
home communities), each individual unit shall be one ERU. For all other types of
structures, the ERU calculation shall be based upon the ratio of Average Daily Flow
as computed pursuant to 327 IAC 3 -6 -11 in relationship to 310 gallons per day. For
structures not listed in 327 IAC 3 -6 -11, the ERU shall be calculated as the relationship
between the Average Dailv Flow reported in the sewer capacity certification for the
structure and 310 gallons per day.
5. For customers with greater than 20 ERUs as calculated pursuant to
subsection 4. of this Section, the ERU shall be adjusted based upon the Peaking Factor
as computed herein. The Peaking Factor shall be calculated by dividing the Peak
Daily Flow by the Average Daily Flow, both as reported in the sewer capacity
certification. In no event will a Peaking Factor less than 2.0 be used for purposes of
the adjustment described in this Subsection. The Peaking Factor divided by 4.0 (the
Peaking Factor for residential connections) will be multiplied by the number of ERUs
for purposes of computing the system development charge owed by the customer. The
City Board of Works may execute a contract with the customer authorizing an
increase to the initial System Development Charge based upon actual usage data that
is collected after connection.
6. Where a prospective customer seeks to connect a new structure on
property which replaces a prior structure of a similar use what was located on the
same property and which was connected to the South Bend Municipal Sewer Works,
no system development charge will be collected. For instance, if the prior structure
was a single family structure and the new structure is to be used as a multi - family
structure, a system development charge, as contemplated herein this Ordinance, shall
be charged. The Board of Public Works shall make the final determination of whether
the new property structure is a similar use to the prior property structure for the
purposes of this subsection.
Section 2. Section 17 -80 of the City Code shall be repealed in its entirety and amended
to read as follows:
Sec. 17 -80. Water line outside City limits; assessment E) f i sta4 atio,, , har-R�System
Development Charge for Water inside and outside City limits.
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1. For purposes of this section "ERU" shall be defined as an equivalent
residential unit which means a single family residence. For purposes of customers
that are not single family residences, one ERU shall equal estimated water flows of
310 gallons per day. No customer will be less than one ERU. There will be no partial
ERU's. The City shall round down to the closest applicable ERU calculation at all
times.
2. Except as provided in Subsections 5. and 6. of this Section, for every
new connection to the South Bend Municipal Water Works, a system development
charge of $500 shall be collected per ERU and additional portion thereof to be
connected. All charges shall be billed by Raid to the Citv at the time the annlication
for service couneetion is filed.
3. System development charges per ERU shall also be collected from
existing customers undertaking activities producing a permanent increase in water
flow of greater than 310 4-50 gallons per day. This subsection shall not apply to an
existing customer who has, by contract, purchased reserved capacity from the City so
long as the customer's flows remain within the reserved capacity. A permanent
increase shall be deemed to have occurred when the average flow rate for six (6)
consecutive months exceeds the current flow rate by at least 310 gallons per day.
4. For multifamily structures (e.g., apartments, condominiums, mobile
home communities), each individual unit shall be one ERU. For all other types of
structures, the ERU calculation shall be based upon the ratio of Average Daily Flow
as computed pursuant to 327 IAC 3 -6 -11 in relationship to 310 gallons per day. For
structures not listed in 327 IAC 3 -6 -11, the ERU shall be calculated as the relationship
between the Average Daily Flow reported in the water capacity certification for the
structure and 310 gallons per day.
5. For customers with greater than 20 ERUs as calculated pursuant to
subsection 4. of this Section, the ERU shall be adjusted based upon the Peaking Factor
as computed herein. The Peaking Factor shall be calculated by dividing the Peak
Daily Flow by the Average Daily Flow, both as reported in the water capacity
certification. In no event will a Peaking Factor less than 2.0 be used for purposes of
the adjustment described in this Subsection. The Peaking Factor divided by 4.0 (the
Peaking Factor for residential connections) will be multiplied by the number of ERUs
for purposes of computing the system development charge owed by the customer. The
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1. For purposes of this section "ERU" shall be defined as an equivalent
residential unit which means a single family residence. For purposes of customers
that are not single family residences, one ERU shall equal estimated water flows of
310 gallons per day. No customer will be less than one ERU. There will be no partial
ERU's. The City shall round down to the closest applicable ERU calculation at all
times.
2. Except as provided in Subsections 5. and 6. of this Section, for every
new connection to the South Bend Municipal Water Works, a system development
charge of $500 shall be collected per ERU and additional portion thereof to be
connected. All charges shall be billed by Raid to the Citv at the time the annlication
for service couneetion is filed.
3. System development charges per ERU shall also be collected from
existing customers undertaking activities producing a permanent increase in water
flow of greater than 310 4-50 gallons per day. This subsection shall not apply to an
existing customer who has, by contract, purchased reserved capacity from the City so
long as the customer's flows remain within the reserved capacity. A permanent
increase shall be deemed to have occurred when the average flow rate for six (6)
consecutive months exceeds the current flow rate by at least 310 gallons per day.
4. For multifamily structures (e.g., apartments, condominiums, mobile
home communities), each individual unit shall be one ERU. For all other types of
structures, the ERU calculation shall be based upon the ratio of Average Daily Flow
as computed pursuant to 327 IAC 3 -6 -11 in relationship to 310 gallons per day. For
structures not listed in 327 IAC 3 -6 -11, the ERU shall be calculated as the relationship
between the Average Daily Flow reported in the water capacity certification for the
structure and 310 gallons per day.
5. For customers with greater than 20 ERUs as calculated pursuant to
subsection 4. of this Section, the ERU shall be adjusted based upon the Peaking Factor
as computed herein. The Peaking Factor shall be calculated by dividing the Peak
Daily Flow by the Average Daily Flow, both as reported in the water capacity
certification. In no event will a Peaking Factor less than 2.0 be used for purposes of
the adjustment described in this Subsection. The Peaking Factor divided by 4.0 (the
Peaking Factor for residential connections) will be multiplied by the number of ERUs
for purposes of computing the system development charge owed by the customer. The
City Board of Works may execute a contract with the customer authorizing an
increase to the initial System Development Charge based upon actual usage data that
is collected after connection.
6. Where a prospective customer seeks to connect a new structure on
Property which replaces a prior structure of a similar use what was located on the
same property and which was connected to the South Bend Municipal Water Works,
no system development charge will be collected. For instance., if the prior structure
was a single family structure and the new structure is to be used as a multi- family
structure, a system development charge, as contemplated herein this Ordinance, shall
be charged. The Board of Public Works shall make the final determination of whether
the new property structure is a similar use to the prior property structure for the
purposes of this subsection.
Section 3. Section 17 -81 of the City Code shall be repealed in its entirety and amended
to read as follows:
For wastewater collection service rendered to customers whose connection is located outside
the corporate limits of the City of South Bend, a surcharge of 0 44% will be charged prior to
January 1, 2017, 7% surcharge will be charged from January 1, 2017 through December 31,
2017 and 14% surcharge from January 1, 2018 and beyond shall be added to the total
amount billed. Notwithstanding the above, an Indiana municipality or special district
organized under the laws of Indiana that is subiect to this Section 17 -81, who have adopted
sewer rates under either Indiana Code 36 -9 -23 or Indiana Code 13 -26 -11 for the purpose of
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For wastewater collection service rendered to customers whose connection is located outside
the corporate limits of the City of South Bend, a surcharge of 0 44% will be charged prior to
January 1, 2017, 7% surcharge will be charged from January 1, 2017 through December 31,
2017 and 14% surcharge from January 1, 2018 and beyond shall be added to the total
amount billed. Notwithstanding the above, an Indiana municipality or special district
organized under the laws of Indiana that is subiect to this Section 17 -81, who have adopted
sewer rates under either Indiana Code 36 -9 -23 or Indiana Code 13 -26 -11 for the purpose of
City Board of Works may execute a contract with the customer authorizing an
increase to the initial System Development Charge based upon actual usage data that
is collected after connection.
6. Where a prospective customer seeks to connect a new structure on
Property which replaces a prior structure of a similar use what was located on the
same property and which was connected to the South Bend Municipal Water Works,
no system development charge will be collected. For instance, if the prior structure
was a single family structure and the new structure is to be used as a multi- family
structure, a system development charge, as contemplated herein this Ordinance, shall
be charged. The Board of Public Works shall make the final determination of whether
the new property structure is a similar use to the prior property structure for the
purposes of this subsection.
Section 3. Section 17 -81 of the City Code shall be repealed in its entirety and amended
to read as follows:
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For wastewater collection service rendered to customers whose connection is located outside
the corporate limits of the City of South Bend, a surcharge of 0 44% will be charged prior to
January 1, 2017, five percent (5 %) surcharge will be charged from January 1, 2017 through
December 31, 2017, a ten percent (10 %) surcharge from January 1, 2018 through December
31, 2018 and a fourteen (14 %) surcharge from January 1, 2019 and beyond shall be added
to the total amount billed. Notwithstanding the above, an Indiana municipality or special
district organized under the laws of Indiana that is subject to this Section 17 -81, who have
adopted sewer rates under either Indiana Code 36 -9 -23 or Indiana Code 13 -26 -11 for the
purpose of providing such sewer service, shall be qualified for a credit in the amount of five
percent (5 %) from January 1, 2017 through December 31, 2017, ten percent (10 %) from
January 1, 2018 through December 31, 2018 and fourteen percent (14 %) in 2019 and beyond.
Section 4. Section 17 -86(b) of the City Code shall be repealed in its entirety.
Section 5. The paragraphs, sentences and words of this Ordinance are severable, and
if any portion hereof is declared unconstitutional, invalid or unenforceable by a court of
competent jurisdiction, such declaration shall not affect the remaining portions of this
Ordinance.
Section 6. This Ordinance shall take effect upon its passage by this Common Council
and approval by the Mayor.
PASSED AND ADOPTED by the Common Council of the City of South Bend, Indiana
this a +-h day of cgcti" 2016.
President, o on ouncil of the
City of South Bend
. .........
Section 5. The paragraphs, sentences and words of this Ordinance are severable, and
if any portion hereof is declared unconstitutional, invalid or unenforceable by a court of
competent jurisdiction, such declaration shall not affect the remaining portions of this
Ordinance.
Section 6. This Ordinance shall take effect upon its passage by this Common Council
and approval by the Mayor.
PASSED AND ADOPTED by the Common Council of the City of South Bend, Indiana
this a +-h day of cgcti" 2016.
President, o on ouncil of the
City of South Bend
ATTEST:
KaP6e ah Fowler, Cle k
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the City for
his approval on the a5 -" day of Q4JZb -Pi , 2016, at 10 o'clock 6t- m.
areemah Fowler Clerk
Having examined the foregoing Ordinance, I do now, as the Mayor of the City of South Bend,
approve said Ordinance and return the same to the Clerk of the City of South Bend this 26+µ
day of Od -otot/ , 2016.
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PUBLIC lHEAR05 Io /ZP i llp
3 rd REA.DNG 10101 I
NOT APPROVED
REFERRED 11f lit
PASSED ID/9i+/ IV
Pete Butti g, or
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Filed in Clerk's Office
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KAREE r � M,Ri FOWLER
CITY CLERK, SOUTH SEND, IN