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HomeMy WebLinkAbout04.a.1), 04.a.2) & 04.a.3) (Handout)r 0 Hand oaf 4.4.L) 4- 3) Items 4.a.1, 4.a.2 and 4.a.3 Central Contra Costa Sanitary District Capacity and Environmental & Development - Related Fees, Rates & Charges Public Hearings May 5, 2011 Central Contra Costa Sanitary District 0 Item 4.a.1 Schedule for Updating Capacity Fees and Development - Related Fees & Charges • Set Public Hearing Date - • Customer Outreach ------- • Conduct Public Hearing - • Fees & Charges effective April 7, 2011 April 7 to May 5, 2011 May 5, 2011 July 5, 2011 1 Capacity Fees • This one -time "buy -in" fee is charged at time of connection and is used for capital facility needs. • Annual Capacity Fee revenue has varied between 15 -45% of total Sewer Construction Fund revenue since it is dependent on rate of development. • Capacity Fees are adjusted annually to avoid larger increases that would be likely for multi -year adjustments. Capacity Fee Approach • 'Buy -in" calculation: Value of Assets = Capacity Fee Number of RUE 2 Recommended Capacity Fees Current Proposed % (per RUE) (per RUE) Change • Gravity Zone: $5,451 $5,465 +0.3% • Pumped Zone: $7,092 $7,071 - 0.3% Comparison of Capacity Fees Agency Dublin San Ramon Services District Mountain View Sanitary District Current CCCSO Pumped Zone Proposed CCCSD Pumped Zone Antioch (Delta Diablo Sanitation District for Treatment) Proposed CCCSD Gravity Zone Current CCCSD Gravity Zone Concord Pittsburg (Delta Diablo Sanitation District for Treatment) Bay Point (Delta Diablo Sanitation District for Treatment) West County Wastewater District Other agencies' fees are for 2010 -11 Capacity Fee $15,477 $8,745 $7,092 $7,071 $6,756 $5465 $5,451 $4,776 $4,358 $3,940 $2,613 3 Additional Revenue Potential • 2011 -12 (assuming 800 new units) Additional from Fee Increase TOTAL — Gravity Zone $ 6,300 $2,459,250 (450 units) — Pumped Zone ($7,350) $2,474,750 (350 units) Total: ($1,050) $4,934,000 _= aD Item 4.a.2 Environmental Services and Development - Related Rates & Charges • Recommended Rates and Charges: - Follow recent approach of annual adjustment for changes in salaries, benefits and overhead • Fifty -six fees would be increased from 1.4% to 15.8 %; twenty -five fees would remain the same. • Additional revenue from increased fees would be modest. C! /' Customer Outreach • Legal Notices published and posted. • - 180 Letter Reports to Interested Customers: — Home Builders Association — Applicants, Developers, Engineers, Business Owners and Contractors • Letter Reports handed out at Permit Counter. • Meeting for Customers: — Tuesday - April 27, 2011 at 10 a.m. Findings General • The District incurs substantial costs to provide environmental and development - related services and have made a substantial investment in assets that will benefit new users. 5 Findings General There is a strong and reasonable relationship between the actual added burden /District costs and the proposed fees, rates and charges. • The proposed fees, rates and charges are exempt from the California Environmental Quality Act (CEQA). Findings Capacity Fees • New users generate an added burden on services and facilities. To maintain an adequate level of service, maintenance of existing capacity, and construction of new capacity in the future is necessary. • The purpose of the Capacity Fee Program is to equalize the investment in assets between current and new users ensuring that new users pay their fair share for capacity. C. Findings Capacity Fees • Current fund balances and Capacity Fee revenue will be allocated to: ' — Life-cycle replacement, renovation, upgrading and improvements to maintain existing capacity. — Addition and expansion of facilities when needed or required to meet legal and regulatory requirements. — Equitable adjustment of contributions between current, new and contractual users. Findings Capacity Fees • Current fund balances and Capacity Fee revenue will be allocated to: — Fund the new user's share of the: • Sewer Construction Fund • Running Expense Fund • Debt Service Fund • Self Insurance Fund M, 510 1 Ice 7 Item 4.a.3 Resolution for Collections on the 2011 -12 County Property Tax Roll • Capacity Use Charges • CAD & AVAD Assessments • Other Installment Payments Questions...? ,,,, - F1