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Home My WebLink About06-17 Reaffirming 10461-16 regarding Wastewater feesCITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR DEPARTMENT OF PUBLIC WORKS Eric Horvath, Director January 4, 2017 Mr. Tim Scott President, South Bend Common Council 4"' Floor, County -City Building South Bend, IN 46601 - Filed in Clerk's Office L0 wj s EEM1H FOWLER CITY CLERK, SOUTH BEND, IN Re: AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA REAFFIRMING ORDINANCE 10461 -16 FOR CUSTOMERS OUTSIDE THE CITY'S CORPORATE BOUNDARY Dear President Scott: The application of assessment fees and compact fees has been inconsistent and cumbersome. The purpose and intent of this ordinance is to reaffirm the passage on October 24, 2016 of Ordinance 10461 -16 (repealing compact fees and certain assessments) as it pertains only to changes in wastewater fees for customers outside the City's corporate boundary. Enactment of this ordinance shall satisfy the notice and public hearing required under Indiana Code 8- 1.5- 3 -8.1. A public hearing is hereby requested for the January 23, 2017 meeting whereby wastewater customers outside of the City's corporate boundary may be heard by Council. I look forward to discussing this ordinance at the Council's Committee meeting and at the public hearing. If you have any further questions or need additional information, please let me know. As always, thank you for your consideration. Sincerely, .uric C. Horvath City of South Bend Executive Director Public Works ORDINANCE NO. AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, REAFFIRMING ORDINANCE 10461 -16 FOR CUSTOMERS OUTSIDE THE CITY'S CORPORATE BOUNDARY STATEMENT OF PURPOSE AND INTENT The purpose and intent of this ordinance is to reaffirm the passage on October 24, 2016 of Ordinance 10461 -16 (repealing compact fees and certain assessments) as it pertains only to changes in wastewater fees for customers outside the City's corporate boundary. The charges related to wastewater customers outside the City's corporate boundary proposed in Ordinance 10461 -16 will be effective pending passage of this bill which first requires notice of the proposed changes to customers who are located outside the City's corporate boundary and a public hearing in front of Council. Enactment of this ordinance shall satisfy the notice and public hearing required under Indiana Code 8- 1.5- 3 -8.1. The changes enacted by Ordinance 10461 -16, as they relate to changes in water fees for customers inside or outside the City's corporate boundary or wastewater fees for customers inside the City's corporate boundary, remain intact. The Sections stated below only address wastewater fee changes. There are no language changes from Ordinance 10461 -16. Section 1. Sections 17 -79 of the City Code shall be repealed in its entirety and amended to read as follows: Sec. 17 -79. 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 the City at the time the application for service 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 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 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 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 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% 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. 2 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 day of 92017. Member, Common Council of the City of South Bend ATTEST: Kareemah Fowler, Clerk Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the City for his approval on the day of , 2017, at o'clock m. Kareemah 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 day of 52017. ;�LC HEARING 3 rd READING NOT APPROVED REFERRED ") 4SSED Pete Buttigieg, Mayor 3 Filed in Clerk's Office j, i.. KAREEMAH FOWLER CITY CLERK, SOUTH RE�iD, IN