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Home My WebLink About10019-10 Amend Code - Ch 17 Sewer Rates & Charges through 2013ORDINANCE No. Passed by the Common Council of the City of South Bend, Indiana June 28, ~~ 10 City Clerk U ~~~ ~esident of Common Council June 28, 10 JO Approved and signed by me 20 City Clerk 20 Presented by me to the Mayor of the City of South Bend, Indiana BILL N0.26-10 (SUBSTITUTE) ORDINANCE NO. ` ~~`~ ~~ ~ AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AMENDING VARIOUS SECTIONS OF CHAPTER 17, ARTICLE 2, OF THE SOUTH BEND MUNICIPAL CODE TO ADJUST SEWER RATES AND CHARGES INCREMENTALLY THROUGH 2013 STATEMENT OF PURPOSE AND INTENT On November 28, 2005 South Bend enacted a sewer rate adjustment through Ordinance #9639-OS which set rates for the years 2006 through 2009. At this time the 2009 rates in Ordinance #9639-OS apply to South Bend's sewer utility customers. ,South Bend is under a mandate from the federal Environmental Protection Agency (EPA) to greatly reduce combined sewage overflow (CSO) events in the St. Joseph River in compliance with the Clean Water Act. The cost of meeting this mandate and protecting the St. Joseph River is substantial, and South Bend has prudently planned for this remediation through a 20 year environmental infrastructure improvement and replacement process. The cost of river protection through improvements to the sewage utility's infrastructure is financed through sewer rates, and South Bend's current rates are inadequate to cover EPA mandated changes to the City's sewage treatment system. Additionally, South Bend's basic costs of operation and maintenance of its sewer utility have increased despite innovative cost savings programs initiated by the City's Environmental Services Department. It, therefore, becomes necessary to increase sewage utility rates across the board for all users and it is prudent to do so on an incremental basis to correspond with expected increased costs of Clean Water Act remediation, and the expected increased costs of general operation and maintenance. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND as follows: Section I. Chapter 17, Article 2, Division 4, Section 17-20 of the South Bend Municipal Code be and hereby is amended to read as follows: Section 17-20. Rates established. Every person whose premises are served by said sewage works shall be charged for the service provided. These charges are established in order that the sewage works shall recover revenue which is proportional to its use of the treatment works in terms of volume and load. User charges are levied to defray the cost of operation and maintenance (including replacement) of the treatment avorks. User charges are subject to the rules and regulations adopted by the U.S. Environmental Protection Agency published in the Federal Register February 17, 1984 (40 C.F.R. 35.2140). Replacement costs, which are recovered through the system of user charges, shall be based upon the expected useful life of the sewage works equipment. Section II. Chapter 17, Article 2, Division 4, Section 17-21 of the South Bend Municipal Code be and hereby is amended to read as follows: Section 17-21. Sewage rates determination. (a) Generally. For the use of the service rendered by sewage works, rates and charges shall be collected from the owners of each and every lot, parcel or real estate or building that is connected with the City sanitary system or otherwise discharges sanitary sewage, industrial wastes, water or other liquids, either directly or indirectly, into the sanitary sewage system of the City of South Bend. Such- rates and charges include user charges, debt service costs, excessive strength surcharges and other service charges, which rates and charges shall be payable as hereinafter provided. (b) Schedule of Rates and Charges (1) The sewage rates and charges shall be based on the quantity of water used on or in the property or premises subject to such rates and charges as the same is measured by the water meter there in use, plus a base charge based on the size of water meter installed, except as herein otherwise provided. For the purpose of billing and collecting the charges for sewage service, the water meters shall be read monthly and the users shall be billed each month (or period equaling a month). The water usage schedule on which the amount of said rates and charges shall be determined is as follows: Schedule of Rates and Charges 2896 2997 2898 2894 2010* 2011 2012 2013 Metered Rates (per 100 cubic feet) ~~ $4:44 $-K9 ~1,~4 1.88 2.05 2.23 2.43 Base Monthly Charge 5/8 inch meter Q,~ Q,~-~`.'6 $-1~-94 ffia-8-46 19.94 21.73 23.69 25.82 3/4 inch meter $~1~89 ~'~ X22:83 $24-88 26.87 29.29 $31.93 34.80 I inch meter $38:57 X35:46 $39-93 e^~ 45.94 50.07 54.58 59.49 1 1/2inch meter $68-69 ~Sr84 ~5~ $45:43 103.09 112.37 $122.48 133.50 2 inch meter Q,~ ~1--34-54 $-1-49-34 $1~8 175.80 191.62 208.87 227.67 3 inch meter $267.96 $39~-1-2 $348:49 ~~'m-58 401.31 437.43 476.80 519.71 4 inch meter X4'74-:41- 6 ~3-(~8 $669:4-9 713.01 777.18 847.13 923.37 6 inch meter Q'm=-o6=-34 4 X6-98_ $-1~8-)-3 1 596.38 1740.05 1 896.65 2 067.35 8 inch meter $4-,8rh?88 1• $-2~-'~6-2b $2,633.72 2 844.42 3 100.42 3 379.46 3 683.61 10 inch meter ~2;452~-'r ~3~45:62 $3-,764-14 $46 4 437.03 4 836.36 5 271.63 5 746.08 12 inch meter e^~o X54 Q`,^~2 $S,~)-448 6 393.04 6 968.41 7 595.57 8 279.17 *Rates effective July 10, 2010-December 3i, 2010. Rates for 2011, 2012 and 2013 aze for full calendar years. Unmetered Monthly Rate 2986 2997 2998 2999 2010* 2011 2012 2013 Per Single Family Residential Dwelling Unit $2-1,x}8 -~8 $28-96 $3(~-54 33.04 36.01 39.25 42.78 *Rates effective July ]0, 2010-December 31, 2010. Rates for 201 1, 2012 and 2013 are for full calendar years. (2) For the service rendered to the City of South Bend said City shall be subject to the same rates and charges established in harmony therewith. (3) In order to recover the cost of monitoring industrial wastes, the City shall charge the user not less than $100.00 per sampling event plus the actual cost for collecting and analyzing the sample(s) as determined by the City or by an independent laboratory. This charge will be reviewed on the same basis as all other rates and charges in this ordinance. (c) Former Wholesale Users. (1) Billing for sewage services to previously designated Class II wholesale users shall be in accordance with the executed intermunicipal contract for wastewater treatment services, but such contracts shall not be extended after their expiration dates due to elimination of the wholesale class of users. This shall not affect authority to enter special rate contracts as provided in Section 17-29 of this Chapter. Section III. Chapter 17, Article 2, Division 4, Section 17-23 of the South Bend Municipal Code be and hereby is amended to read as follows: Section 17-23. Heavy demand surcharge. (al In order that the rates and charges may be justly and equitably adjusted to the service rendered to users, the City shall base its charges not only on the volume, but also on strength. and character of the stronger-than-normal domestic sewage and wastes which it is required to treat and dispose of. The City shall require the user to determine the strength and content of all sewage and wastes discharged, either directly or indirectly into the sanitary sewage system, in such manner, by such method and at such times as the City may deem practicable in light of the conditions and attending circumstances of the case, in order to determine the proper charge. The user shall furnish a central sampling point available to the City at all times. (b) Normal sewage domestic waste strength should not exceed ammonia-nitrogen in excess of twenty-five (25) milligrams per liter of fluid, suspended solids in excess of two hundred fifty (250) milligrams per liter of fluid, biochemical oxygen demand in excess of two hundred fifty (250) milligrams per liter of fluid, or phosphorus in excess of ten (10} milligrams per liter of fluid. Additional charges for treating stronger-than-normal domestic waste shall be made on the following basis: Excess Strength of Waste Surcharges 2990 2997 2998 2999 2010* 2011 2012 - Suspended Solids (Per Pound) $9-947 ~9:-1-1-2 X9:424 X9:4-3~ 0.146 0.159 0.173 (Concenrration Limit 250 mg/1) - Biochemical Oxygen Demand $9:-124 ~9:-148 $9-1~i4 $9:-174 0.193 0.210 0.229 (Per Po~md) (Concentration Limit 250 mg/1) - Ammonia Nitrogen (Per Pound) $9~1- ~2 ~9:$S7 ~9.~-34 1.009 1.100 1.199 (Concentration Limit 25 mg/1) - Phosphorous (Per Pound) $~--144 ~-1-3-16 $-1=42 1.719 1.874 2.043 (Concentration Limit 10 mg/I) *Rates effective July 10, 2010-December 31, 2010. Rates for 2011, 2012 and 2013 are for full calendar years (c) The determination of suspended solids, biochemical oxygen demand, ammonia- nitrogen, phosphorus, ammonia and COD contained in the waste shall be in accordance with tree latest copy of "Standard Methods for the Examination of Water and Wastev;ater," as written by the American Public Health Association, the American Water Works Association and the Water Pollution Control Federation, and in accordance with "Guidelines Establishing Test Procedures for Analysis of Pollutants," 40 C.F.R. Part 136. (d) If the City and the user can agree upon the relationship between BOD and COD, then COD maybe used for calculating the BOD surcharge. Section 1V. Chapter 17, Article 2, Division 4, Section 17-25 of the South Bend Municipal Code be and hereby is amended to read as follows: Section 17-25 Review of rate schedule. ,.The sewage rates and charges set forth in the preceding section 17-21 shall be revised- and adjusted for calendar year 299 2014 to assure adequacy in the cost of maintaining the City sewer works in sound physical and financial condition necessary to render adequate and effective service. However, until such adjustment, the sewage rates and charges in the preceding Section 17-21 shall remain in full force and effect. Discussions between the City Administration and the Common Council concerning sewer rates far 29-1-9 2014 and thereafter shall commence by June 2991 2013. The Mayor and Commc-n Council retain ultimate authority and responsibility for the operations and finances of the Municipal Utilities. 2013 0.189 $0.250 1.307 2.227 Section ~V. This Ordinance shall be in full force and effect from and after adoption by the Common Council and approval by the Mayor. Council A es c ity erk Presented by me to the Mayor of the City of South Bend, Indiana on the ~~ day of ~-.-Fl~~-,~`"'~; 2 Ol' , at ~S/o'clock ~. m. ~. City rk DEG Approved and signed by me on the 2J day of ~'' "-~-- , 2v~ o , at ,~- ~ f~, o'clock ~. m. f Mayor, City o outh Bend, Indiana ~ st REt,DIt; Pua~~c E~EA~~~r~~ (~-LB-~o 3rd F,EADiNG (o -~ - / p, NOT APPROVED REFERRED PASSED l,~-L~3-ra GS Su~iS~-~-~us~~", Fj~~'~ X17 ~~~1'~~'~ ~ii4~$ JUN 2 5 2010 JCHP; `JCG3u ~ CITY CLEFK, £,0. pcPtD, IN. TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: Your Committee of the Whole, to whom was referred: BILL NO. 26-10 A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AMENDING VARIOUS SECTIONS OF CHAPTER 17, ARTICLE 2, OF THE SOUTH BEND MUNICIPAL CODE TO ADJUST SEWER RATES AND CHARGES INCREMENTALLY THROUGH 2013 Respectfully report that they have examined the matter and that in their opinion, this bill is being recommended to the full Council with a favorable recommendation. ~ J J~-~-~S~~~c~ Ann Puzzello Chairperson, Committee of the Whole 1400 COUNTY-CITY BUILDING 227 W. JEFFERSON BOULEVARD SOUTH BEND, INDIANA 46601-1830 PHONE 574/235-9241 FAx 574/235-9892 TDD 574/ 235-5567 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR DEPARTMENT OF LAW CHARLES S. LEONE CITYATTORNEY June 25, 2010 Mr. Derek Dieter President, South Bend Common Council 4"' Floor, County-City Building South Bend, IN 46601 ALADEAN M. DEROSE CHIEF ASSISTANT CITYATTORNEY Re: Substitute Version -Bill No. 26-10: Sewer Rate Ordinance Dear President Dieter: Attached is a substitute version of Bill No. 26-10 which adjusts sewer rates and charges through calendar year 2013. The only change between this substitute and the ordinance as originally filed is the effective date of the sewer rate change. If this Bill passes at the Council's June 28 meeting, the effective date will be July 10, not July 1, 2010. The original effective date of July 1 was based upon an understanding that public hearing would take place June 14. With the change in the public hearing date, a change in the ordinance effective date becomes necessary. Thank you for your consideration of this substitute Bill which will be presented by Public Works Director Gary Gilot and Environmental Services Director Jack Dillon. Sincerely, /'~ AMD/cw Enclosure cc: Gary Gilot Jack Dillon Aladean M. DeRose Chief Assistant City Attorney Ft'f~~i !n Cl:;r~'~ OffiCe JUN 2 5 2010 J%~'t7 V~'~CP~E CITYC~,EriC, ~~?. Ew°VD, IN. THOMAS L. BODNAR CHERYL A. GREENE ANN-CAROL NASH JEFFREY M. JANKOWSKI LAWRENCE J. METEIVER JEFFREY L. SANFORD JOHN E. BRODEN 1400 COUNTY-CITY BUILDING 227 W. JEFFERSON BOULEVARD SOUTH BEND, INDIANA 46601-1830 PHONE 574/ 235-9241 FAx 574/235-9892 TDD 574/ 235-5567 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR DEPARTMENT OF LAW CHARLES S. LEONE CITYATTORNEY June 22, 2010 Mr. John Voorde, Clerk City of South Bendl 227 W. Jefferson Blvd., Suite 400 South Bend, IN 46601 Re: Certification of Compliance with Notice Requirement Dear Mr. Voorde: AI.ADEAN M. DEROSE CHIEF ASSISTANT CITYATTORNEY Attached for inclusion in the City Clerk's record of Bill #26-10 to amend rates for the City's sewer customers is the Certification of Compliance with Notice Requirement of I.C. 36-9-23-26 signed by mail clerk Nancy Yarbrough. Attached to the Certification is a copy of the actual notice sent to sewer utility customers residing outside City limits. I was included in the mailing which was deposited with the City Postal Service on June 17, 2010, and I received my copy June 18, 2010 Thank you for your assistance in this matter. ' cer 1 ,, - adean M. DeRose Chief Assistant City Attorney AMD/nb Attachment cc: Gary Gilot Jack Dillon ~~~';~ ~ 2 2~1~ THOMAS L. BODNAR CHERYL A. GREENE ANN-CAROL NASII JEFFREY M. JANKOWSKI LAWRENCE J. METEIVER JEFFREY L. SANFORD JOHN E. BRODEN (6/17/2010) Brian Wood -Sewer Certification of Compliance 2010.doc Page 1 CERTIFICATION OF COMPLIANCE WITH NOTICE REQUIREMENT OF I.C. 36-9-23-26 The undersigned hereby certifies that on June ~ 1 , 2010, in conformity with I.C. 36-9- 23-26 the undersigned placed in the United States Postal Service with first class postage affixed, notices addressed to each and all users of the City of South Bend sewage works located outside the municipal boundaries of the City of South Bend. The notice mailed to all such users is identical to the notice which is attached to this certification (Exhibit "1" hereto). The names of South Bend's sewage works users located outside the City's corporate boundaries to whom notice was mailed was obtained from the City of South Bend Water Works Division of the Department of Public Works, which is responsible for billing outside users for the sewage works utility. The sewage customer list maintained by the Water Works Department is updated on a regular basis, and the sewage customer list obtained for purposes of the sewage rate notice was determined to be complete and accurate as of June ~ ~n , 2010. I affirm under penalties for perjury this ~ 1 ~ day of June, 2010 that the above, foregoing representations are true and accurate. ~~~ Signature Printed Name and Title /UanC~{ ~~ ~~/ ~ ~ - ~~'w~~-,.~~/ ~C~~ NOTICE OF PUBLIC HEARING -SEWER RATE CHANGE To: South Bend Sewage Works Users Located Outside City Limits YOU ARE HEREBY NOTIFIED that the South Bend Common Council will hold a public hearing to consider enactment of Bill No. 26-10, which.proposes to increase sewer service rates for all users of the City of South Bend sewage works. The date, time, and place of the public hearing are as follows: DATE: Monday, June 28, 2010 TIME: 7:00 p.m. PLACE: South Bend Common Council Chambers 4th Floor County-City Building 227 West Jefferson Blvd. South Bend, IN 46601 The new sewer rates amending the South Bend Municipal Code proposed in Bill 26-10 appear below and are underlined. These new rates will be in effect from 2010 through 2013. CURRENT PROPOSED NEW RATES RATES ~8A9 2010 2011 2012 2013 Metered Rates (per 100 cubic feet) x-74 1.88 2.05 2.23 2.43 Base Monthly Charge 5/8 inch meter $-15:46 19.94 21.73 23.69 25.82 3/4 inch meter X4.88 26.87 29.29 31.93 $34.80 1 inch meter $4~ 34 45.94 50.07 54.58 $59.49 1 1/2 inch meter $95:45 103.09 112.37 122.48 133.50 2 inch meter Q,~B 175.80 191.62 $208.87 227.67 3 inch meter $3~1-58 401.31 437.43 476.80 519.71 4 inch meter $f~69-1-9 $713.01 $777.18 $847.13 $923.37 6 inch meter Q,~ 1 596.38 1 740.05 1 896.65 2 067.35 8 inch meter ~ 2 844.42 $3,100.42 3 379.46 $3,683.61 10 inch meter Q^~g 4 437.03 4 836.36 5 271.63 $5,746.08 12 inch meter Q~,°~.~ 6 393.04 6 968.41 7 595.57 $8,279.17 Unmetered Monthly User Rate Any Unmetered Residential User (Based on 800 Cubic Feet Per Month) $38:59- 33.04 36.01 $39.25 42.78 The heavy demand surcharge rates are also being increased: (1) Suspended Solids from $0.135 per pound to $0.146 in 2010 up to $0.189 in 2013; Biochemical Oxygen Demand from $0.179 per pound m 2009 to $0.193 in 2010 up to $0.250 in 2013; Ammonia Nitrogen from $0.934 per pound in 2009 to $1.009 in 2010 up to $1.307 in 2013; and Phosphorous from $1.592 per pound in 2009 to $1.719 in 2010 up to $2.227 in 2013. * * * :~ * ~ A full copy of Bill 26-10 is available for public inspection in the South Bend City Clerk's office located in Room 455 of the County-City Building. If you have any objection to this proposed rate change you must attend Common Council's meeting on June 28, 2010 to be heard. SHOULD THE COUNCIL POSTPONE PUBLIC HEARING ON THIS BILL, IT WILL NOTIFY INTERESTED PERSONS OF THE NEW HEARING DATE AT THE JUNE 28, 2010 HEARING. CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR OFFICE OF THE MAYOR June 9, 2010 Council President Derek Dieter South Bend Common Council 4th Floor County-City Building South Bend, IN 46601 i!~' _ .._ ^y ~ ~ ~! ``.• Re: Bi1125-10 Amend Tax Abatement Ordinance and Bi1126-10 Adjust Sewer Rates Dear President Dieter: At yesterday's Community and Economic Development committee meeting, the Chamber of Commerce and Project Future requested a 60-day delay in hearing the tax abatement bill so that they could present an alternate approach. In order to provide the time for this new input, I request that the date for 2nd Reading, Public Hearing and 3rd Reading for Bi1125-10 be changed from June 28th to the Council's regularly scheduled meeting on August 9, 2010. In the interim period, I ask that we continue to meet to clarify any questions about Substitute Bi1125-10 so that Council would be ready to cast a vote at its first meeting in August. I am pleased that the Chamber and Project Future are engaged in this dialogue. I have included representatives from their organizations in discussions about 25-10 and have made changes based on their input. We want the best possible bill that represents the values of our community and is a positive tool for economic development efforts. On a related matter, Bi1126-10 to adjust sewer rates had 1st Reading at the May 24th meeting of the Council. It was sent to the Utilities Committee for review but a date was not set for consideration by the full Council. I respectfully request that this bill be put on the June 28th agenda for 2nd Reading, Public Hearing and 3rd Reading. Councilmember Oliver Davis has set a committee meeting for June 23rd to allow time for questions and discussion of this bill. Delay in acting on this rate adjustment will require higher rates in order to meet debt coverage requirements. As we meet with EPA and the Department of Justice concerning a consent decree, we also need to show continued progress toward meeting the requirements of the Clean Water Act. Thank you for your consideration of this request. Sincerely, Stephen J. Luecke COUNTY-CITY BUILDING • 227 W JEFFERSON BOULEVARD • SOUTH BEND, INDIANA 466OI PHONE 574/235-9261 • Fnx 574/235-9892 • TDD 574/235-5567