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HomeMy WebLinkAboutAmend Chapter 17, Article 7, Section 17-56. Sewer Service Fund and ChargesORDINANCE No. 9326-02 Passed by the Common Council of the City of South Bend, Indiana Play 13, 2p 02 Attest: Attest: Presented by me to the Mayor of the City of Sout/t Bend, Indiana Mav 14, 20 02 City Clerk President of Common Coccncil Ciry Clerk Approved and signed by me May 14, 2p 02 Mayor ORDINANCE NO. ~ ~ 2 ~ . ~ ~- AN ORDINANCE OF THE SOUTH BEND COMMON COUNCIL AMENDING CHAPTER 17, ARTICLE SEVEN, SECTION 17-56 OF THE SOUTH BEND MUNICIPAL CODE REGARDING THE SEWER SERVICE FUND AND CHARGES STATEMENT OF PURPOSE AND INTENT In 1999, the South Bend Common Council passed Ordinance No. 9059-99 which reduced the monthly assessment from ninety-four cents ($0.94) to seventy-nine cents ($0.79). Since passing this ordinance the number of repair and the average cost of a repair has risen. The revenues received from this charge no longer cover the expenses. The Common Council believes that the proposed amendment is in the best interests of the City. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AS FOLLOWS: Section I. Chapter 17, Article 7, Section 17-56 of the South Bend Municipal Code shall be, and is hereby amended to read as follows: Section 17-56. Purpose, assessment of charges; deposit in separate fund. (a) The sum of one dollar and eighteen cents ($1.18) per month shall be added to sewer service charges for all sewer users which are not industrial or bulk water customers. All of said sums so collected shall be deposited in a separate fund of the Bureau of Sewers. (b) All funds collected under section 17-60 of this article, "Charges to private sewer owner; payment," shall also be deposited in this separate fund of the Bureau of Sewers. ( c) All of said sums of money so collected shall be deposited in a separate fund of the Bureau of Sewers, and said fund shall be used solely to address the repair and/ or replacement of failing private sewer connections ,and to address administrative and inspection costs associated with this program. SECTION II.. This section shall be in full force and effect upon passage by the Common Council, approval by the Mayor, and proper leg publication. ~ ~~ 1 st READING~~l~ ~i~~~ ~~ ~I~e o-r~~ ~f$!C~ PUBLIC HEARINGS-~3 '0Z Member, South Bend Comm n Council ~3 rd READING y-~3' ~' App j 5 2002 pp NOT APPROVED ~ REFERREI} ~ 1C33~RTTAJ, DDJ~ PASSE6 S~13 -aZ ~ cl'CYCL~Rfi~, sa. cE~,D, Ira COMMITTEE REPORT TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: Your Committee of the Whole, to whom was referred: BILL NO. 26-02 A BILL OF THE SOUTH BEND COMMON COUNCIL AMENDING CHAPTER 17, ARTICLE SEVEN, SECTION 17-56 OF THE SOUTH BEND MUNICIPAL CODE REGARDING THE SEWER SERVICE FUND AND CHARGES 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. Karl King Chairman 1316 COUNTY-CITY BUILDING 227 W. JEFFERSON BOULEVARD SOUTH BEND, INDIANA 46601-1830 PHONE 219/235-9251 Fax 219/235-9171 TDD 219/235-5567 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR DEPARTMENT OF PUBLIC WORKS GARY A. GILOT~ P.E. DIRECTOR OF PUBLIC WORKS Mr. Roland Kelly President, Common Council of the City of South Bend 400 County City Building South Bend, Indiana 46601 Apri15, 2002 Re: Ordinance Amending Chapter 17, Article Seven, Section 17-56 of the South Bend Municipal Code Regarding The Sewer Service Fund and Charges. Dear Mr. Kelly: Enclosed is a copy of a proposed Ordinance relating to a rate increase of 50% for the Sewer Repair fund. Dollars from this fund cover all but $500 of the repair of residential lateral sewers. As you will recall, we lowered the rate to $0.79 per month from $0.94 per month through ordinance 9059-99. Expenses for the repairs covered by this "insurance" fund have averaged $644,112 in 2000 and 2001. Total revenues received as rates have averaged $368,504 over this same period. Deductible revenues have averaged about $105,000 over this two year period. The increase in expenses is due to an increase in the number of repairs, 170 in 1999 to 205 in 2001, and to an increase in the average cost of each repair, $1,841 in 1999 to $2,786 in 2001. The enclosed ordinance calls for a new monthly rate of $1.18. Given that we have 38,000 customers, this amounts to an annual revenue of $538,080. Coupled with the deductible revenues of approximately $100,000, we will be able to continue to offer this service and maintain our reserves . The enclosed proposed Ordinance is submitted with the request that it be heard on first reading at the Common Council meeting to be held on Monday, April 22, 2002, with the final reading and adoption on Monday, May 13, 2002. I will be the person who will be giving the presentation at the public hearing pertaining to the proposed Ordinance. Should you have any questions, please do not hesitate to call. iiec~ il~ C~+~~-~'s ®~fc~~ E ~ APR 1 ~ 200? ~ Enclosure ~- ~~°~° • Sincerely, ohn J. ~ lon, Ph.D. Director, Division of Environmental Services cc: Aladean M. DeRose, Chief Assistant City Attorney ENGINEERING ENVIRONMENTAL SERVICES CENTRAL SERVICES STREETS WATER WORKS CARL' LITTRELL, P.E. JOHN J. DIUON, PH.D. MATT CFILEBOWSKI SAM HENSLEY ,]OHN F. STANCATI 219/235-9251 219/277-8515 219/235-9316 219/235-9244 219/235-9322 FAx 219/235-9171 FAx 219/277-8980 Fax 219/235-9007 FAx 219/235-9272 Fax 219/235-9728