HomeMy WebLinkAbout2019-103 - Establishing Water Rates and Charges Effective January 1, 2020 and Four Years of Phased in Increases TheretoRESOLUTION NO. 2019-103
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH, CALIFORNIA, ESTABLISHING
WATER RATES AND CHARGES EFFECTIVE JANUARY
1, 2020 AND FOUR YEARS OF PHASED IN INCREASES
THERETO
WHEREAS, on March 12, 2019, the City of Newport Beach ("City") retained
Raftelis Financial Consultants, Inc., ("Raftelis") to conduct a Water Rate Study ("Study")
to analyze the current cost of providing water services to property owners and customers,
develop a ten-year financial plan and recommend an appropriate rate structure and water
charges;
WHEREAS, on May 16, 2019 and June 27 2019, the City's Utilities Department
("Utilities") and Raftelis presented the findings and recommendations of the Study to the
City's Finance Committee, and after thorough discussion and review, the Finance
Committee unanimously voted to forward the Study to the City Council of the City of
Newport Beach ("City Council") for final review and approval;
WHEREAS, on August 13, 2019, Utilities and Raftelis presented a draft of the
Study's findings and recommendations during a City Council study session;
WHEREAS, on September 24, 2019, Utilities and Raftelis presented the final
Study for City Council approval and requested City Council set a public hearing and
authorized mailing of 27,000 notices to property owners and water customers,
respectively, to inform them of the proposed water rates and to open the 45 -day notice
period in accordance with Proposition 218;
WHEREAS, on November 19, 2019, following a public hearing held in conformity
with Proposition 218, the City Council determined that no majority protest against the
proposed new water rates and charges existed;
WHEREAS, additionally on November 19, 2019, the City Council conducted a
second reading and adopted Ordinance No. 2019-16 amending Chapter 14.12 (Water
Rates and Charges) of the Newport Beach Municipal Code to set water rates and charges
by resolution of the City Council; and
WHEREAS, by adopting this resolution, the City Council intends to establish water
rates and charges effective January 1, 2020 and phased in increases over a four (4) year
period through January 1, 2024, pursuant to the schedule attached hereto as Exhibit "A"
and incorporated herein by this reference.
Resolution No. 2019-103
Page 2of3
NOW, THEREFORE, the City Council of the City of Newport Beach resolves as
follows:
Section 1: The City Council does hereby establish the water rates and charges
effective January 1, 2020 and phased in increases thereto through January 1, 2024, as
identified in Exhibit "A." The water rates and charges shall become effective according to
the schedule in Exhibit "A" which is incorporated herein by this reference. The City Council
directs staff to include the newly established water rates and charges and phased -in
increases thereto, as adopted by this resolution, in the City's Schedule of Rents, Fines
and Fees, or other successor document thereto as amended from time to time.
Section 2: The recitals provided in this resolution are true and correct and are
incorporated into the operative part of this resolution.
Section 3: If any section, subsection, sentence, clause or phrase of this resolution
is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the
validity or constitutionality of the remaining portions of this resolution. The City Council
hereby declares that it would have passed this resolution, and each section, subsection,
sentence, clause or phrase hereof, irrespective of the fact that any one or more sections,
subsections, sentences, clauses or phrases be declared invalid or unconstitutional.
Section 4: The City Council finds the adoption of this resolution is not subject to
the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in the
environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378)
of the CEQA Guidelines as set forth in California Code of Regulations, Title 14, Division
6, Chapter 3, because it has no potential for resulting in physical change to the
environment, directly or indirectly.
Resolution No. 2019-103
Page 3 of 3
Section 5: This resolution shall take effect on January 1, 2020, and the City Clerk
shall certify the vote adopting this resolution.
ADOPTED this 19th day of November 2019.
L10
Diane . Dif,
xon
Mayor
ATTEST:
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Aarbn C. Harp
City Attorney
Attachment(s): Exhibit A — Current and Newly Adopted Water Rates and Charges
EXHIBIT A
Table 1: Water Services
Effective
Effective
Effective
Effective
Effective
Current
JAN 1, 2020
JAN 1,
JAN 1,
JAN 1,
JAN 17
Meter Size (Inch)
Rates
2021
2022
2023
2024
5/8th
$17.27
$20.35
$21.86
$25.22
$27.0.9
_-__- 3/4th
_....$17.27
$20.35
_
$21.86
_$23.48
$23.48
$25.22
$27.09
1
$28.79 -
-$31.54
-- $33.88
$36.39
$39.09$41.99
_1 ----
$59.47
$63.88
$68.61
$73.69
$79.15
2
$92.12
$99.89
$107.29
$115.23
$123.76
3
$172.73
_$93.00_
$246.68
$264.94
$284.55
$305.61
$328.23
4
$287.88
$422.71
$454.00
$487.60
$523.69
$562.45
6
$575.76
$.897.73
$964.17
$1,035.52
$1,112.15
$1,194.45
8
$921.22
$1,568.33
$1,684.39
$1,809.04
$1,942.91
$2,086.69
10
$1,655.90
$2,350.70$2,524.66
. ....._.-_..-_. ____.-_....... .
$2,711.49
$2,912.15
$3,127.65
12
$2,663.48
$2,965.44
$3,184.89
$3,420.58
$3,673.71
$3,945.57
Per Dwelling Unit
Charge
$1.00
N/A
N/A
N/A
N/A
N/A
Usage Charges
Potable Water (per
hcf)
$3.08
$3.11
$3.35
$3.60
$3.87
$4.16
Table 2: Fire Protection
Services
Effective
Effective
Effective
Effective
Effective
Meter Size (Inch)
Current
JAN 1,
JAN 1,
JAN 1,
JAN 1,
JAN 1,
Rates
2020
2021
2022
2023
2024
5/8th ----
--$3.13
$10.34
$11.19
$12.02-
$12.91
$13.87
3/4th
$5_00
- -$10.41-
$10.59
$11.38
$12.23
-
$13.14
$14.12
1
$7.50
$11.07
---
$11.89
--- ----
$12.77
$13.72
$14.74
1 1/2
$10.00
$11.87
$12.75
$13.70
$14.72
$15.81
2. ._____ _ __
__ _- $12.50
$13.09
$14.06
$15.11
$16.23
$17.44_
3
$15.00
$14.76
$15.86
$17.04
$18.31
$19.67
4
$20.00
$19.78
$21.25
$22.83
$24.52
$26.34
6
$30.00
$37.72
$40.52
$43.52
$46.75
$50.21
8
$40.00
$68.70
$73.79
$79.26
$85.13
$91.43
10
$50.00
$115.28
$123.82
$132.99
$142.84
$153.42_
12
$60.00
$179.85
$193.16
$207.46
$222.82
$239.31
Table 3: Recycled Water (RW)
Rates
Effective
Effective
Effective
Effective
Effective
Meter Size (Inch)
Current
JAN 1,
JAN 1,
JAN 1,
JAN 1,
JAN 1,
Rates
2020
2021
2022
2023
2024
5/8th
--_ ------
--$20.47-
$10.34
$_11.11
$11_._94_
$12.83
_ 3/4th
$20.47
$10.34
_ -
$11.11
_ --_
$11.94
--- - - ---......_._$13.78.......
$12.83
$13.78
1 -$
- 34 13
$14.85
$15 95
$-17.14
$18.41
$19.78
1 1/2
$8.25
$26.10
$28.04
$30.12
$32.35
$34.75
2
$109.19
$39.61
$42.55
$45.70
$49.09
$52.73
3
$204.75$101.54
_
- $109.06
$117.14
$125.81
$135.12
4
$341.24
$172.47
$185.24
$198.95
$213.68
$229.50
6
$682.48
$363.88$390.81
$4.19.73
$450.80
_$484.16_
8
$1,091.97
$634.09
$681.02
$731.42
$785.55
$843.69
RW Usage Charge
(per hcf)
$1.92
$2.05
$2.12
$2.13
$2.21
$2.29
Pump Station Charge
$0.39
$0.53
$0.57
$0.62
$0.67
$0.72
STATE OF CALIFORNIA }
COUNTY OF ORANGE } ss.
CITY OF NEWPORT BEACH }
I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the
whole number of members of the City Council is seven; the foregoing resolution, being Resolution
No. 2019-103, was duly introduced before and adopted by the City Council of said City at a regular
meeting of said Council held on the 19th day of November, 2019; and the same was so passed and
adopted by the following vote, to wit:
AYES: Mayor Diane Dixon, Mayor Pro Tem Will O'Neill, Council Member Brad Avery, Council
Member Joy Brenner, Council Member Duffy Duffield, Council Member Jeff Herdman
NAYS: Council Member Kevin Muldoon
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of
said City this 20th day of November, 2019.
Leilani I. Brown
City Clerk
Newport Beach, California