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HomeMy WebLinkAbout04. (Handout) School Billing Rates and Cost of Service Analysis Updated PresentationSchool Billing Rates and Cost of Service Analysis Finance Committee Danea Gemmell Planning and Development Services Division Manager November 10, 2015 Central Contra Costa Sanitary District Cost of Service Study Recommended a Change in School Rates Elementary Schools 5.0 gpd per student 5 gpd per student Intermediate Schools 5.3 gpd per student 10 gpd per student High Schools 5.6 gpd per student 15 gpd per student Central Contra Costa Sanitary Distract Wastewater Cost of Service Study May 21 2015 Prepared by Raftelis Financial Consultants In 4 (Wind our 1 Billing Methodology • Most non - residential rates based on water consumption data - Separate irrigation meter data, where available, is removed from calculation - Winter Quarter Average (December to March) is used for approximately 10% of customers • Schools are based on Student Count School Rates Adopted June 4, 2015 Elementary $5.77 per student Based on 5 gpd per student Intermediate $11.34 per student Based on 10 gpd per student High School $16.93 per student Based on 15 gpd per student 2 Board of Directors requested that staff review water consumption to validate the basis for the updated school rates Challenges • Only 16 of 84 schools have separate irrigation meters or recycled water • Large variations in schedule (winter break) affect Winter Quarter estimates • Significant site variations between schools (turf area, swimming pools, etc.) 's Three -part Analysis 1. Separate irrigation meters (9 month actual water consumption) compared to COS basis 2. Winter quarter average estimates (9 month) for ALL schools compared to COS basis 3. Actual water consumption (12 month) compared to total estimated wastewater Water Consumption Compared to Billed Wastewater Flow (Test 3) I I I High ;ntrrmedmte Ekm.ntary schoo's I Schools I schools I I I I I I I I I I I I I I I I I I I I I I I I I I I I I 1 1 I I I I I I I�I I I 1 sA I I t CY 2014 Water COnsumptran(M-F) . 7015-16 Billed wastewater Flow MG) . 1015-16 Billed Wastewater Flow at 156al,tstudent /day)IIiF) El Results Three -part Analysis supports • Elementary Schools 5 gallons per student /day • Intermediate Schools 10 gallons per student /day • High Schools 10 gallons per student /day vs. 15 gallons per student /day Proposed Revisions to Adopted Rates for Schools Elementary $5.77 per student Based on 5 gpd per student Intermediate $11.34 per student Based on 10 gpd per student High School $11.34 per student Based on 10 gpd per student 5 Impact • 15 high schools revised to 10 gallons per student per day basis $108,460 adjustment (reduction) Next Steps • Hearing to amend rate ordinance • Adjust bills for 15 high schools to new rates • Recalculate and resend bills (direct bills) or revise tax bills for April 10 (second installment) • Send letters to affected school districts C Questions, comments, discussion