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HomeMy WebLinkAboutAmending Various Sections of Chapter 17 Adjust Sewer Rates and Charges Incrementally Through 2016ORDINANCE No. 10290-14 Passed by the Common Council of the City of South Bend, Indiana Attest: Attest: February 10 20 14 Presented by me to the Mayor of the City of South Bend, Indiana February 11 20 14 City Clerk esident of Common Council Approved and signed by me Ff B 4 U A4 1 i3 20 /� 7� i City Clerk ORDINANCE NO. 1, () 1 �6 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 2016 STATEMENT OF PURPOSE AND INTENT On June 28, 2010 South Bend enacted a sewer rate adjustment through Ordinance #10019 -10 which set rates for the years 2010 through 2013. At this time the 2013 rates in Ordinance #10019 -10 apply to South Bend's sewer utility customers. South Bend received a National Pollution Discharge Elimination Permit ( NPDES) in conjunction with a Long Term Control Plan (LTCP) required by the federal Environmental Protection Agency (EPA) and the Indiana Department of Environmental Management (IDEM) to greatly reduce combined sewage overflow (CSO) events in the St. Joseph River in compliance with the Clean Water Act. The LTCP resulted from a negotiated consent decree to resolve a complaint by EPA and IDEM alleging that South Bend had violated sections of the federal Clean Water Act. South Bend's cost of complying with the LTCP and its NPDES Permit in 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 total EPA mandated changes to the City's sewage treatment system, as recognized in Ordinance #10019 -10. 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. The sewer rates which have been in effect for the past four years were implemented on an incremental basis to correspond with projected near future increased costs of Clean Water Act remediation, and the expected increased costs of general operation and maintenance over a four year period. The additional income to the utility will pay for improvements to separate sewers, to reduce sewage overflows to basements, and to increase capacity of the Wastewater Treatment Plant. This incremental approach to maintaining a fiscally sound sewer utility capable of complying with South Bend's federal NPDES Permit should be continued for the next four years to avert potential double digit rate hikes in the near future. The rates set forth in this ordinance remain highly competitive with those of similarly situated Indiana cities. 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 works. 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 Metered Rates 2940* 244 2492 2043 2014 2015 2016 (per 100 cubic feet) $9-88 $2$3 $2,23 $2,43 2.55 $2.68 $2.81 Base - Monthly Charge 5/8 inch meter P9-94 247 23y 23-.0 27.11 28.47 29.89 3/4 inch meter V&87 $44-W 12LL4 $38.37 $40.29 1 inch meter 4S9 30:0 34.30 9_4 62.46 165.59 Jk&E 1 1/2 inch meter 3�9 442. 422.1_ 140.18 $147.18 $154.54 2 inch meter $1 -7-589 9 -99,62 4g$ 27:67 239.05 $251.01 $263.S 6 3 inch meter 91,3 g37A 07600 3}9� 545.70 $572.98 $601.63 4 inch meter 7-} '�77 -1g gq7 923-3 969.54 $1,018.02 $1,068.92 6 inch meter 9- 396-33 9 -740:0 $gFy63 2.0y7 -.35 $2,170.72 $2,279.25 $2,393.22 8 inch meter 8441! 344&4 $ . . 6 368361• $3,867.7 4 061.18 4 264.24 10 inch meter 44330 q -83636 })-.63 33g6Eg $6,033.38 $6,335.05 $6,651.81 12 inch meter 639304 6- 968 -4+. 39357 g�.79a $8,693.13 $9,127.78 $9,584.17 *Rates effeetive july 2010 PeeembeF 3- 9010. Rates feF2011,2-12 And 2013 are f�f fiall alendafyeafs. Unmetered Monthly Rate Per Single Family Dwelling 2410* 244 244 2443 2014 2015 2016 Unit $3304 $36,01- %3923 $42.78 $44.92 $47.16 $49.52 (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. (a) 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 Streneth of Waste Surcharges 2010* 204 20Q 204-3 2014 2015 2016 - Suspended Solids (Per Pound) $0:44 $0:46 $04-7 $0-49 $0.20 $0.21 $0.22 (Concentration Limit 250 mg /1) - Biochemical Oxygen Demand (Per $4.49 $441- $0-23 $4.25 $0.26 $0.28 $0.29 Pound) (Concentration Limit 250 mg/I) - Ammonia Nitrogen (Per Pound) $1.34 $1.37 $1.44 $1.51 (Concentration Limit 25 mg/1) - Phosphorous (Per Pound) $1:72 $1-8-7 $2-.04 $2-23 $2.34 2.46 $2.58 (Concentration Limit 10 mg/1) (c) The determination of suspended solids, biochemical oxygen demand, ammonia- nitrogen, phosphorus, ammonia and COD contained in the waste shall be in accordance with the latest copy of "Standard Methods for the Examination of Water and Wastewater," 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 may be used for calculating the BOD surcharge. Section IV. 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 2017 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 for 2017 and thereafter shall commence by June 2016. The Mayor and Common Council retain ultimate authority and responsibility for the operations and finances of the Municipal Utilities. Section V. This Ordinance shall be in full force and effect on March 1, 2014 after adoption by the Common Council and approval by the Mayor. Attes . l City Clerk —� Presented by me to the Mayor of the City of South Bend, Indiana on the day of ,, 2 0 L`i, at fl `,) o'clock k . m. City C •k k Approved and signed by me on the 13 day of F£ BR NAP¢ i 2 D f N, at S o'clock P m. lk REAFV\ RING t0-N 4S Su�s� PUBLIC k'EA Z-' 3 rd REAu11NG 'L- 0--1j NOT APPROVE@ REFERPED PASSED Mayor, ' y of 5P& Bend, Indiana T1 16 an eCi Off CITY CURK, 30U';' -H i3END, IN CITY OF SOUTH BEND PETE BUTTIGIEG, MAYOR .DEPARTMENT OF PUBLIC WORKS February 7, 2014 President Oliver Davis South Bend Common Council 4th Floor, County -City Building South Bend, IN 46601 In Re: Sewer Rates and Charges Dear President Davis; As a result of ongoing discussions between the Administration and Council, the attached substitute bill amends the original bill by reducing to 5% the rates over the next three years. I will make the formal presentation and am available if you have questions. Sincerely, Eric Horvath, PE Public Works Director TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: Your Committee of the Whole, to whom was referred: BILL NO. 64 -13 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 2016 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 as substituting the rate from 9 % to 5 % and changing the year from 2017 to 2016. This bill was heard by the Utilities Committee. Valerie Schey Chairperson, Committee of the Whole