HomeMy WebLinkAboutPackets - Council Packets (1016) AGENDA
JOINT STUDY SESSION
ORO VALLEY TOWN COUNCIL AND
WATER UTILITY COMMISSION
APRIL 26, 2006
ORO VALLEY COUNCIL CHAMBERS
11000 N. LA CANADA DRIVE
JOINT STUDY SESSION AT OR AFTER 5:30 P.M.
CALL TO ORDER
ROLL CALL
1) INTRODUCTIONS
2) PRESENTATION ON WATER RATES ANALYSIS REPORT
3) DISCUSSION ON PROPOSED WATER RATES INCREASES
4) DISCUSSION OF SCHEDULE
a) Public Hearing for Proposed Water Rates Increase scheduled on May 17, 2006
at 7:00 p.m. at Council Chambers
ADJOURNMENT
POSTED: 4/19/0/6
4:00 p.m.
Ih
When possible, a packet of agenda materials as listed above is available for public
inspection at least 24 hours prior to the Council meeting in the office of the Town
Clerk between the hours of 8:00 a.m. — 5:00 p.m.
The Town of Oro Valley complies with the Americans with Disabilities Act (ADA).
If any person with a disability needs any type of accommodation, please notify the
Town Clerk's Office at least five days prior to the meeting at 229-4700.
TOWN OF ORO VALLEY
COUNCIL COMMUNICATION JOINT STUDY SESSION: April 26, 2006
TO: HONORABLE MAYOR & COUNCIL MEMBERS
WATER UTILITY COMMISSION MEMBERS
FROM: Philip C. Saletta, P.E., Water Utility Director
Shirley Seng, Water Utility Administrator
SUBJECT: Discussion on Proposed Water Rate Increases
SUMMARY:
One of the responsibilities of the Oro Valley Water Utility Commission is to forward a recommendation on
water rates to the Town Council. Several financial scenarios were evaluated based on review
of the Utility's
estimated cash reserves and revenue requirements which included costs related to personnel,
operations/maintenance, capital improvements and existing and future debt service.
The Commission has recommended the following changes for water rates, fees and charges for _
g FY 2006 07.
➢ 5.0% increase in base rates and commodity rates for potable and reclaimed water rates
➢ Increase the Groundwater Preservation Fee by $0.04for the 1,000
er
pgallonspotable and reclaimed
water rates
➢ Establish a Construction Water Rate equal to $4.76 per 1,000 gallons
➢ Establish a "Time & Materials"rate for Hydrant Meter Relocation
➢ Increase the existing Backflow Permit Fee from $35 to $50
➢ Increase Construction Inspection Fees: $1,350 for 0-500 feet, $1.30er foot thereafter
er
The average residential customer has a 5/8" x 3/4" water meter, uses 10,000allons of water
g per month and, if
the proposed rates are adopted, would experience a 5.8% increase which $2.00 to equates
q per month. The
current charge for 10,000 gallons is $34.55 and would increase to $36.55. The 5.8% increase includes the
proposed increase in water rates and the Groundwater Preservation Fee.
As required by Arizona State Statutes, the Notice of Intention to Increase Water Rates was
to published in The
Daily Terriorial on April 13th, more than 20 days prior to the public hearing date. Although g not required by
statute, the Utility will mail a letter to each water customer that provides theublic information hearing and
describes the proposed increases. Additionally, this letter will be mailed to contractors and developers with
plans currently in the development review process. A list of contractors/developers was
p provided by the
Community Development Dept.
The proposed water rates, fees and charges are detailed in the Water Rates Analysis Report that p has been on file
with the Town Clerk since April 6, 2006. At the Public HearingMay17, 2006, the Council onncil will consider a
Resolution to increase water rates, fees and charges. If the Resolution is on adopted May17th
p , the new rates
would become effective June 17, 2006.
TOWN OF ORO VALLEY
COUNCIL COMMUNICATION Page 2 0
f2
Utility staff will make a presentation on the proposed water rate increases at this Joint Study Session.
ATTACHMENTS:
1. Resolution No. (R) 06-23
2. Required publication of Resolution No. (R) 06-23 in The Daily Territorial on April 13, 2006
3. Letter to be mailed to all customers, contractors and developers
WaterUtility Adm niMtor
Lfir
,t,ty
f
Water . 'li y Director,
!II` , lirt
Town Manager
RESOLUTION NO. (R) 06- 23
A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF
ORO VALLEY, ARIZONA PROVIDING NOTICE OF INTENT TO
ESTABLISH AND INCREASE WATER RATES, FEES AND CHARGES
FOR THE ORO VALLEY WATER UTILITY
WHEREAS, the Town of Oro Valley is a political subdivision of the State of Arizona vested
with all associated rights, privileges and benefits and is entitled to the immunities and
exemptions granted municipalities and political subdivisions under the Constitution and laws of
the State of Arizona and the United States; and
WHEREAS, pursuant to ARS 9-511, et seq., the Town has the requisite statutory authority to
acquire, own and maintain a water utility for the benefit of the landowners within and without
the Town's corporate boundaries; and
WHEREAS, pursuant to ARS, 9-511, et seq., the Town finds it necessary to consider
establishing and increasing water rates, fees and charges for the Oro Valley Water Utility; and
WHEREAS, pursuant to ARS 9-511, etc. seq., the Town is required to give a Notice'of Intent at
a regular Town Council meeting to increase water rates, fees and charges; and
WHEREAS, the Town has completed a water rates analysis report, attached here to as Exhibit
"A", which supports the establishing and increasing water rates, fees and charges for the Oro
Valley Water Utility; and
WHEREAS, not less than twenty (20) days prior to the public hearing, the Town shall cause to
be published one time in a newspaper of general circulation with the Town's boundaries, a
Notice of Intention showing the date, time and place of the hearing.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE
TOWN OF ORO VALLEY, ARIZONA:
1. This Resolution serves as the Notice of Intent which is hereby publicly given for
the Town of Oro Valley to establish and increase water rates, fees and charges.
2. To hold a public hearing at the regular meeting of the Mayor and Council at 7:00
p.m. on May 17, 2006 in the Council Chambers of the Town Hall, the Town of
Oro Valley, 11000 N. La Canada Drive, Oro Valley, Arizona to deliberate and
vote on the proposed increases.
F:\Water Utility\Misc\Water Rate Incrcases\RcsoIution Noticc of Intent to Increase Water Rates.doc Town Attorney's Ofl ce//ea'031006
PASSED ANDADOPTED by the Mayor and Town Council of the Town of Oro Valley,
. Arizona this 5m day of APRIL , 2006.
TOWN OF ORO VALLEY
Paul H. Loomis, Mayor
ATTEST:
;,--,/,---
+�-
t.,,,-----t-e,----
Kat yn Cuvelier, Town Clerk
APPROVED AS jj ORM:
/ / , /
Melinda Garr. . , Town Attorney
PUBLISH: DAILY TERRITORIAL
April 13, 2006
F:\Water Utility\Misc\Water Rate lncreases\Rcsolution Notice of intent to increase Water Ratcs.doc Town Attorney's OfficeJ/ca/031006
1 ne wally I erritorlai
•
APRIL 13,2006
tial hearing or,if counsel is'appointed at tion with the Town's boundaries; a No- FOR COURT COSTS";AND DECLAR _-56.A jury cancellation fee shall be
the initial termination hearing, within tice of Intentionshowing the date,time ING AN EMERGENCY. imposed on an •
twenty (20) days of appointment of and place of the hearing... P Y party-who re-�.
. . . -WHEREAS the Town Council finds that. quests a jury trial and then de-
counsel. - NOW, THEREFORE, BE IT RE- revision of fees payable in the Marana cides.
4. In the event you'personally appear SOLVED BY THE MAYOR AND Municipal Court is in the best interests_ eee#,i#-within five days before
and contest the allegations, a pre-trial COUNCIL OF THE TOWN OF ORO of the Town and its residents. - el-the trial and after the court
conference or status conference and VALLEY,ARIZONA: NOW,THEREFORE,BE IT ORDAINED _ _ has arranged for
termination adjudication hearing will be 1.This Resolution serves as the Notice BY THE MAYOR AND COUNCIL OF g
mpaneled. not
scheduled. of Intent which is hereby-publicly given • THE TOWN OF MARANA,as follows: to proceed wto ith'the jury trial,
5. Requests for reasonable accommo- for the Town of Oro Valley to establish SECTION 1.Title 5 of the Marana Town•-•
dation for persons with disabilities must and increase water rates, fees and Code is hereby revised by amending• . The
- be made to the court by the parties at charges. section 5-6-1 entitled"Fee schedule for = a u cancellation
least three(3)working days in advance 2.To hold a public hearing at the regu- court costs" as follows (with'deletions fee`shall equal-a the actual
of a scheduled court proceeding and - lar meeting of the Mayor and Council at shown with otei osu#e and additions costs.incurred to cancel the
can be made by calling(520)740-2000. 7:00 p.m.on May 17,2006 in the Coun- shown with double underlining): jury
RESPECTFULLY SUBMITTED this cil Chambers of the Town Hall, the Chapter 5-6 FEES.: • -
-
day of March,2006. Town of Oro Valley, 11000 N.La Can- Section 5-6-1 Fee schedule for court typically
TERRY GODDARD . ada Drive,Oro Valley,Arizona to delib- costs - I+e�ee$100 to ae-$400i.
THE ATTORNEY GENERAL erate and vote on the proposed in- A.The following fees'. 'are established
HELENA S.SEYMOUR creases. to recover costs associated with
Assistant Attorney General - • PASSED AND ADOPTED by the Mayor the fees charged to the town treas-
PUBLISH:The Daily Territorial and Town Council of the Town of Oro --ury for returned checks and addi-
Mar.23,30;Apr.6,13,2006 Valley, Arizona this 5th day of April, tional costs incurred due to court
hrgastelum/162590 a.s 2006. :. - non-appearance.
`�� • TOWN OF ORO VALLEY
. ;; - . 1. The fee for the taking of a de- -ef _
P u i c - _Paul H.Loomis,Mayor ATTEST:_ - fault judgment shall be$65-$38.
Kathryn Cuvelier, Town Clerk AP- 2. The fee for all returned checks 6. Each defendant allowed to^.-
PROVED AS TO FORM: Melindashall be$20 per item.
. Notices ,,... Garrahan,Town Attorney complete community service in
" B.The following municipal court fees lieu of paying anyfine, fee or
Exhibit"A"is available for public review are established to be
surcharge shall be charged a
NOTICE in the Office of the Oro Valley Town fee of$5 to cover part of the
STATE OF CALIFORNIA DIVISION Clerk between the hours of 8 AM - 5 cost of monitoring his or her
OF WORKERS'COMPENSATION PM, Monday thru Friday. The Townetiortee—te-44€4erwier4e—voko—iriewprogress on completing the
Carlos Gonzales-Pena Applicant, vs. Hall offices are located at 11,000 N.La imposed community ser-vice.
Active Plastering; Virginia Surety Co. Canada Drive,Oro Valley,AZ. in addition to fees otherwise as- 7. A$40 fee for service of pros-
Admin.by Applied Risk Services Defen- _ PUBLISH:The Daily Territorial sessable by statute. ess on an order of harassment,
dams.Case No.FRE 0217223 NOTICE '
April 13,2006 1 Any person who has been con- subject to the limitations set
OF INTENTION TO DISMISS pnresR06-23 a.s victed of a misdemeanor crimi- forth in'A.R"S.§12-1809(D).
NOTICE IS HEARBY GIVEN THAT nal offense in the Marana town 8. In addition to any other remedy ".
THE:(X)Application in the within matter PUBLIC NOTICE Court and sentenced to a term allowed by law,the town attor-
will be dismissed for:(X) Failure to Ap- MARANA ORDINANCE NO.2006.07 of incarceration in any detention
ney.is authorized to institute
pear at the Hearing (Rule 10562) (X) RELATING TO DEVELOPMENT; AP- . - facility authorized by law shall any appropriate action for re-- .
Request of the party who filed thea i- PROVING AND AUTHORIZING RE- be required to pay a jail reim- covery of any;,and all monies
tion to dismiss. Unless Good Cause to VISED PLAN REVIEW FEES. -_ bursement fee in the amount ac- , owed_or.-dueto the Marana -'
the contrary be shown within 45 days WHEREAS, The Town of Marana de- tually paid by the town for that • town court includin but not a
from date of order.Good Cause will not sires to establish an updated compre- -incarceration. limited to restitution fees
be found by mere objection, but rather 2. Upon a defendant's conviction sanctions, surcharges, assess_,,
hensive fee schedule to address and in- P
by specific response to the basis for dis at trial or conviction byplea
elude plan review fees for the various mems,penalties,bonds,costs, ::
missal together with copies of any addi- development services;and agreement -the Marana town and fees.A defendant who de-•` .
tional documentary evidence that the • WHEREAS,Exhibit"A"presents the re- Court.shall..impose a enema -
parties wish to be considered and an of- faults in his or her obligation for
vised plan review fee schedule;and $25 per citation prosecution fee - the payment of.monies owed• .
fer of proof as to any oral testimony to WHEREAS, plan review fees were against each defendant unless a or due to the court is liable for
•
- amended in•
be presented at a hearing before the 2005 by Ordinance No. higher or lower amount is im- all costs of collection including
� ,
WCAB including the identity of the wit- 2005.16;and -posed by a written plea agree- attorney fees and costs, and
nesses and the substance of said testi- WHEREAS,modifications and additions ment based upon the actual fees and charges assessed by
mony. Pursuant to Rule 10500,GLSBR to that fee schedule are necessary to cost of prosecution services and a collection agency licensed
is designated to serve this Notice on all fully recover the costs of providing such the indigent status of the defen- pursuant to title 32, chapter 9,
parties shown on the Official Address reviews. dant. Arizona Revised Statutes,.that
Record. 3-23-06/s/SUSAN K.SHAM- NOW THEREFORE BE.IT ORDAINED 4evo- is engaged to collect and en-
PANIER Workers'Compensation Judge by the Mayor and Council of the Town es force that obligation.
Served by mail on all parties On the Of- of Marana,Arizona as follows: C.The-magistrate'shall retain the ' . 1
ficial Address Record on:By:/s/. Section 1. The•amended and newlyes- - 46-14),
PUBLISH:The DailyTerritorial power to waive all or any part of .':.
tablished plan review fee schedule at- fee assessments if any of the fol--
April 6,13,20,27,2006 tached and referenced as Exhibit"A"•is - lowing conditions apply:
pngonzalez o.t hereby adopted. _ Af4es4a—Reviee41--g4s4444es; 1. The defendant is found by.the
Section 2. The adoption of this ordi- b*- Marana town courtto._be indi-
........i.. PUBLIC NOTICE nance shall have the effect of repealing s- gent; .
RESOLUTION NO.(R)06-2$ those portions of all previous ordi- 2. The fee imposed upon a defen-
A RESOLUTION OF THE MAYOR nances, resolutions, or motions that dant causes,a hardship on the -
AND COUNCIL OF THE TOWN OF adopt fees different from those set forth - defendant or the defendant's •-• -'•I
ORO VALLEY, ARIZONA PROVIDING in Exhibit A. ;, immediate family;or
NOTICE OF INTENT TO ESTABLISH Section 3. In the event that any provi- 3. In the opinion of the magistrate -
AND INCREASE WATER RATES, -sion or any portion of any provision of the waiver would be in the-in- -
FEES AND CHARGES FOR THE ORO this ordinance or application thereof is te - terest of justice,
VALLEY WATER UTILITY held invalid, illegal or•unenforceable, 3. An administrative warrant fee D.There is hereby established a -
WHEREAS,the Town of Oro Valley is a such invalidity, illegality or unenforce- in the amount of$20 shall be court improvement fund which
political subdivision of the State of Ari- ability shall have no effect on the re- - imposed to cover the Marana shall be used exclusively to en-
zona vested with all associated rights, maining portion of any provision or any town court's costs-for process- hance the technological, opera- -
privileges and benefits and is entitled to other provision or their application, '::ing warrants when a Marana. tional and security capabilities of-
the immunities and exemptions granted which can be given effect without the in- town •court magistrate'issues a the Marana town court.The court
municipalities and political subdivisions valid provision or application and to this warrant-for'failure to comply improvement fund shall be estab-
under the Constitution and laws of the end the provision of this ordinance shall with a court order;.failure to lished as a designated fund ac=
State of Arizona and the United States; be deemed to be severable. pay a fine, failure to pay resti= count with the town treasurer.
and Section 4. This ordinance shall become -. tution or failure to appear. The court shall:collect the court
• .WHEREAS, pursuant to.ARS 9-511,et effective thirty days.after.adoption by 4: The Marana town-court shall improvement fees as defined in
seq.,the Town has the requisite.statu- _the Town-Council. • impose a court improvement this section and.deposit them in
fee in the amount of$s-$20
tory authority to acquire,own and main- PASSED AND ADOPTED- BY.THE�. per - the court improvement fund ac-
"tain a water utility for the benefit of the . MAYOR AND COUNCIL OF THE citation which"shall be appliedcount:Half of the court improve-
landowners :within and without the• - TOWN_OF MARANA,"ARIZONA, this by the court on all fines,sane- ment fund shall be available for
Town's corporate boundaries;and 4th day of April, 2006. _Mayor Ed tions, _penalties and assess- use as determined by the court
WHEREAS,pursuant to ARS,9-511,et Hones ATTEST: __ Jocelyn C. Bron-, mems imposed by the court. for training, additional contract
seq., the Town finds it necessary to son, Town Clerk APPROVED AS TO • work,-temporary court help, and
consider establishing and increasing FORM: Frank Cassidy,Town Attor- other similar purposes, as docu-
• water rates, fees and charges for the ney mented in a manner requested
Oro Valley Water Utility;and All exhibits are on file and available for - by the town manager. The town = ��
WHEREAS �!
pursuant to ARS 9-511; viewing from 8:00 a.m. to'5:00 p.m., treasurer shall invest the monies
etc.seq.,the Town is required to give a Monday through.Friday excluding holi- in the fund in the same manner -
Notice of Intent at a regular Town Coun- days, in the Office of the Town Clerk, as town funds.Interest earned on_
cil meeting to increase water rates,fees 11555 W. Civic Center Drive, Marana, fund monies shall be deposited in
and charges;and AZ 85653. - the fund. --
WHEREAS,the Town has completed a PUBLISH:The Daily Territorial , SECTION 2: IT IS FURTHER OR-
. water rates analysis report, attached April 10,11,12,13,2006 ---DA1NED that,-since it is necessary for
here to as Exhibit "A", which supports pnord2006.07 a.s •...the preservation of the peace, health
the establishing and increasing water • _ .. - and safety of the Town of Marana that
rates,fees and charges for the Oro Val- PUBLIC NOTICE this ordinance become immediately ef-
ley Water Utility;and- MARANA ORDINANCE NO.2006.08 fective, an emergency is hereby de-
WHEREAS, not less than twenty (20)• RELATING TO MUNICIPAL COURT; Glared to exist,and this ordinance shall
be effective immediately upon its•pas-
. .. ..1•..F.1♦.. ..L.. nnnr,n..r1�r���4i�w-...... .. .-... .- .... ,..days prior to the public hearing, the REVISING COURT FEES;AMENDING
SCA
PLLE Y gq��o2
%lc4`\„ i
°VNDED 191
April 28, 2006
Dear Oro Valley Water Customer:
On April 5, 2006 the Oro Valley Town Council adopted a resolution that scheduled a Public Hearingto discuss
uss
water rates. That hearing will be held in conjunction with the regularly scheduled Town Council meeting as
shown below. The Town values and encourages public participation and comments.
WHAT: Public Hearing on Proposed Water Rate Increase
WHEN: Wednesday, May 17, 2006 at or after 7:00 p.m.
WHERE: Oro Valley Town Council Chambers
11000 N. La Canada Dr., Oro Valley,AZ
Based on a Water Rates Analysis, the Oro Valley Water Utility Commission has recommended a fiveP ercent
(5%) water rate increase for this coming fiscal year. It has also been recommended that the Groundwater
Preservation Fee (GPF) increase from $0.21 to $0.25 per 1,000 gallons. The average residential customer uses
approximately 10,000 gallons of water per month and would experience a total monthly increase of$2.00. The
Water Rates Analysis Report is available for public review in the office of the Town Clerk, Oro Valley Town
Hall, 11000 N. La Canada Dr., Oro Valley. If approved by the Town Council, new rates would become
effective on June 17, 2006.
Although monthly base rates vary depending on the meter size, the commodity rates (coster gallons)1,000g ) are
the same for all meter sizes. The table below illustrates the current and proposed rate design for customers with
a 5/8"x 3/4"water meter. The majority of all residential customers have a meter of this size.
Base Rate Tier 1 (cost per 1,000 gals.) Tier 2 (cost per 1,000 gals.) Tier 3 (coster gals.)
1,000g )
Current Proposed Current Proposed Current Proposed Current Proposed
$12.65 $13.25 $1.98 $2.08 $2.68 $2.81 $3.58 $3.76
The following table provides a sample of water bills depending on your water usage. Please note that the
sample bills do not include sales tax or sewer charges.
Water Use in Gallons Current Bill (inc. GPF) Proposed Bill (inc. GPF) Amount of Increase
5,000 $ 23.60 $ 24.90 $ 1.30
10,000 $ 34.55 $ 36.55 $ 2.00
15,000 $49.00 $ 51.85 $ 2.85
In addition to these proposed increases, the Town Council will be considering increases for the following
service fees and charges:
➢ Establish construction water rate for meters larger than 1 inch at $4.76 per 1,000 gallons
➢ Establish a "Time & Materials"rate to relocate hydrant meter&backflow assemblies
➢ Increase Backflow Permit Fee from$35 to $50
➢ Increase new development construction inspection fees,repeat pressure tests &repeat bacteria test
Flat fee of$1,350 to inspect 0— 500 feet, add $1.30 per foot thereafter
Repeat pressure tests increase from $60 to $72; Repeat bacteria tests increase from $75 to$85
Should you have any questions, please contact our Customer Service Representatives at (520)� ) 229-5000. Our
office hours are Monday through Friday, 8:00 a.m. to 5:00 p.m.
Sincerely,
Philip C. Saletta, P.E., Water Utility Director
Shirley Seng, Water Utility Administrator