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Home My WebLink About05.c. Review draft Position Paper to conduct a public hearing to consider amendments to Exhibit A of Ordinance No. 309, “An uncodified ordinance of the Central Contra Costa Sanitary District adopting an updated schedule of capacity fees, rates and charge Page 1 of 13 Item 5.c. All" BOARD OF DIRECTORS ' POSITION PAPER MEETING DATE: FEBRUARY23, 2021 SUBJECT: REVIEW DRAFT POSITION PAPER TO CONDUCTA PUBLIC HEARING TO CONSIDER AMENDMENTS TO EXHIBITAOF ORDINANCE NO. 309, "AN UNCODIFIED ORDINANCE OF THE CENTRAL CONTRA COSTA SANITARY DISTRICTADOPTING AN UPDATED SCHEDULE OF CAPACITY FEES, RATES AND CHARGES" AND TO CONSIDER THE INTEREST RATE CHARGED FOR THE NON-RESIDENTIAL CAPACITY FEE INSTALLMENT PAYMENT PROGRAM SUBMITTED BY: INITIATING DEPARTMENT: BRYAN MCGLOIN, MANAGEMENT ANALYST ENGINEERING AND TECHNICAL SERVICES- THOMAS BRIGHTBILL, SENIOR ENGINEER PDS-RATES AND FEES REVIEWED BY: DANEA GEMMELL, PLANNING AND DEVELOPMENT SERVICES DIVISION MANAGER JEAN-MARC PETIT, DIRECTOR OF ENGINEERING AND TECHNICAL SERVICES PHILIP LEIBER, DIRECTOR OF FINANCE AND ADMINISTRATION KENTON L. ALM, DISTRICT COUNSEL ISSUE Changes to an existing ordinance require approval of the Board of Directors. BACKGROUND A proposed change to the existing Capacity Use Charge Program in the Central San District Code would, if approved, require a change to Ordinance No. 309, "Schedule of Capacity Fees, Rates and Charges." In addition, staff is proposing that the interest rate for the new Non-Residential Installment Payment Program be lowered to better reflect current economic conditions. Changes to Ordinance No. 309 (Exhibit A) Ordinance No. 309, the Schedule of Capacity Fees, Rates and Charges, contains certain rates for the existing Capacity Use Charge Program on the last page of Exhibit A. If the proposed District Code changes are approved, the Capacity Use Charge Program would be eliminated and a new Non- Residential Capacity Fee Installment Payment program would be created. If the code change is approved, the following changes to the ordinance would be required. February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 131 of 178 Page 2 of 13 1. Adding terms of the new Non-Residential Capacity Fee Installment Payment Program: These terms include the interest rate for agreements signed during the year, the number of annual payments, and the collection of the first payment at the time that the permit is issued. 2. Removing the terms relating to new Capacity Use Charge Program agreements: Central San has 16 active agreements in the program. It is assumed that these existing agreements will continue until their end dates or until terminated by the business owner. I n order to accommodate these existing agreements, the annual per-hundred cubic foot (HCF) charges specified by the agreements will need to be updated each year and included on each future Schedule of Capacity Fees, Rates and Charges until all the agreements have been completed. A marked-up copy of Exhibit A is attached. Changes to the Interest Rate Central San currently charges 6% interest for the existing Capacity Use Charge Program and for the Contractual Assessment Districts (CADs). The 6% figure is based on Central San's historic use of "the greater of LAI F plus one or 6%" where "LAI F" is the interest rate published by the California State Treasurer's Office's Local Agency Investment Fund. Recent discussions have questioned whether 6% is too high based on current economic conditions. In response to these concerns, Central San's Director of Finance and Administration has proposed that Central San adopt a lower rate, which would be calculated as follows: 1. A Base Rate consisting of Central San's Borrowing Cost or Opportunity Cost of Funds: If Central San borrowed funds, and a portion of those funds are allocated towards providing loans to customers, that interest rate shall constitute the base rate. Otherwise, the opportunity cost of the funds used for providing loans should be used to establish a base rate. This would be calculated to include the following: • The LAI F rate for the most recent quarter(0.84%), which is the rate that earns on invested funds with the County Treasurer. • I n recognition of the yield curve for a loan that can extend for 15 years, a differential consisting of the spread between the 20-year T-Bill and the three-month T-Bill rates, which would account for the full term of the agreement. The differential for these two rates is 1.40%. 2. Ongoing loan administration costs: • To cover annual costs of administration, such as placing the charges on the property tax bill each year, answering questions about pay-off amounts, and similar activities, a 0.50% adder would be included in the rate. Using current figures of 0.84% plus 1.40% plus 0.50%, staff proposes an interest rate of 2.74% to be used for financing loans provided to customers. This would be re-calculated annually and would apply to loans extended during the upcoming year. The advantages of this approach include: • The rate is "cost neutral" and does not provide for a subsidy to specific customers. • The rate is not higher than needed to accomplish cost neutrality. • The rate would be updated annually to ensure the above objectives continue to be met. If this change to interest rates is approved, staff is proposing to review terms and conditions for CADs during the regular annual update process for the Schedule of Environmental and Development-Related Fees and Charges. February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 132 of 178 Page 3 of 13 ALTERNATIVES/CONSIDERATIONS If the proposed District Code updates are approved, the Board of Directors could: 1. Modify Exhibit A to add the draft terms for the new Non-Residential Capacity Fee Installment Payment Program and interest rate as shown in the attached markup; or 2. Modify Exhibit A to add different terms for the new Non-Residential Capacity Fee Installment Payment Program; or 3. Provide some other direction to staff. The Board of Directors could also: 1. Set the interest rate for financing under the proposed Non-Residential Capacity Fee Installment Payment Program at 2.74% as calculated in the Background section above; or 2. Set the interest rate for financing under the proposed Non-Residential Capacity Fee Installment Payment Program to some other amount; or 3. Provide some other direction to staff. FINANCIAL IMPACTS In recent years, Central San has entered into between one and three Capacity Use Charge Program agreements each fiscal year. These agreements have included financing amounts varying between $15,000 and $30,000. Applying a 6% interest rate to a hypothetical average $22,500 agreement financed over 15 years would generate approximately$12,300 in interest over the life of the agreement. Adjusting the interest rate to the proposed 2.74% level for that same agreement would reduce the amount of lifetime interest to approximately$5,300, or a difference of roughly$7,000. COMMITTEE RECOMMENDATION The Finance Committee reviewed this item at its February 23, 2021 meeting and recommended RECOMMENDED BOARD ACTION Approve the proposed amendments to Exhibit A of Ordinance No. 309, "An uncodified ordinance of the Central Contra Costa Sanitary District adopting an updated Schedule of Capacity Fees, Rates and Charges" and to interest rates charged for the Non-Residential Capacity Fee Installment Payment Program as presented. Strategic Plan Tie-In GOAL ONE: Customer and Community Strategy 1—Deliver high-quality customer service ATTACHMENTS: 1. Exhibit A to Ordinance 309 Markup 2. Exhibit Ato Ordinance 309 Final February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 133 of 178 Page 4 of 13 ATTACHMENT 1 EXHIBIT "A" SCHEDULE OF CAPACITY FEES, RATES, AND CHARGES (Uncodified) The Capacity Fees, Rates, and Charges listed below were established by Central Contra Costa Sanitary District Ordinance No. 309 adopted June 4, 2020. These fees, rates, and charges shall be applied to all new connections or added burdens for which fees become due and payable on or after July 1, 2020 in accordance with the provisions of District Code Chapter 6.12. Gravity Capacity Fee $6,803 / RUE* Pumping Capacity Fee $1,585 / RUE *A residential unit equivalent (RUE) is a measure of sewage volume and strength equivalent to a typical residential household. Gravity Zone Fee Zone 1 = Gravity Capacity Fee Pumped Zone Fee (Zone 2) = Gravity Capacity Fee + Pumping Capacity Fee Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program LU Single-family residences Dwelling Unit 1.000 1.000 LA Multiple-family residences, apartments Dwelling Unit 0.847 0.847 LD Duplex Dwelling Unit 0.847 0.847 LM Mobile homes Dwelling Unit 0.847 0.847 LT Condominium Dwelling Unit 0.847 0.847 LS Accessory structure Dwelling Unit 0.847 0.847 connected to sewer on same parcel with Single- family residence (not meeting Accessory Dwelling Unit(3) criteria LE Accessory Dwelling Dwelling Unit 0 0 Unit(3)—within existing space LN Accessory Dwelling 1,000 sq. ft. 0.425 0.425 Unit(3)— new structure LC Common areas 1,000 sq. ft. 0.200 0.200 Page 1 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 134 of 178 Page 5 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES - CONTINUED Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program AB Auto body/painting 1,000 sq. ft. 0.484 0.467 AD Auto dealerships 1,000 sq. ft. 0.484 0.467 AL Aircraft services 1,000 sq. ft. 0.484 0.467 AR Auto repair/maintenance 1,000 sq. ft. 0.484 0.467 AS Service stations 1,000 sq. ft. 0.484 0.467 BT Transportation services 1,000 sq. ft. 0.432 0.467 AC Car washes 1,000 sq. ft. 21.127 22.829 yes AW Car washes with recycling 1,000 sq. ft. 3.522 3.805 yes Barbers / beauty salons / BB pet grooming 1,000 sq. ft. 0.725 0.783 BC Dry cleaners, no laundry 1,000 sq. ft. 0.259 0.279 BR Retail sales 1,000 sq. ft. 0.259 0.279 Equipment repair/ repair BE services 1,000 sq. ft. 0.228 0.247 Contractors/ business BK services 1,000 sq. ft. 0.228 0.247 BN Nurseries / lumberyards 1,000 sq. ft. 0.228 0.247 IL Light industrial 1,000 sq. ft. 0.228 0.247 BH Meeting halls / studios 1,000 sq. ft. 0.290 0.313 EA Auditoriums /theaters 1,000 sq. ft. 0.290 0.313 EC Cinemas 1,000 sq. ft. 0.290 0.313 EM Entertainment 1,000 sq. ft. 0.290 0.313 EB Bowling alleys 1,000 sq. ft. 0.311 0.336 BZ Miscellaneous commercial 1,000 sq. ft. 0.510 0.551 EG Golf courses / country clubs 1,000 sq. ft. 1.166 1.391 EH Health clubs / spas 1,000 sq. ft. 1.166 1.391 ET Tennis clubs 1,000 sq. ft. 1.166 1.391 IW Warehouses 1,000 sq. ft. 0.136 0.147 BM Markets 1,000 sq. ft. 0.556 0.601 BS Supermarkets 1,000 sq. ft. 0.880 0.601 BX Shopping centers 1,000 sq. ft. 1.057 1.142 OB Business offices 1,000 sq. ft. 0.295 0.319 OF Financial institutions/ banks 1,000 sq. ft. 0.295 0.319 OG Government offices 1,000 sq. ft. 0.295 0.319 OS Fraternal / service offices 1,000 sq. ft. 0.295 0.319 OM Medical offices 1,000 sq. ft. 0.637 0.688 OV Veterinary clinics 1,000 sq. ft. 0.637 0.688 RD Delicatessens 1,000 sq. ft. 1.562 1.294 RN Bars 1,000 sq. ft. 1.562 1.294 Page 2 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 135 of 178 Page 6 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES - CONTINUED Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program RI Ice cream parlors 1,000 sq. ft. 1.562 1.294 RY Yogurt shops 1,000 sq. ft. 1.562 1.294 RS Restaurants dine-in 1,000 sq. ft. 4.010 2.738 yes RT Restaurants take-out 1,000 sq. ft. 4.010 2.738 yes Patio seating in excess RC of 300 square feet(4), 1,000 sq. ft. 1.166 0.825 banquet facilities RB Bakeries retail 1,000 sq. ft. 4.061 2.178 yes BL Laundromats 1,000 sq. ft. 13.506 14.594 yes SF Skilled nursing facilities 1,000 sq. ft. 2.216 2.347 yes Residential care facilities FE for the elderly 1,000 sq. ft. 0.932 0.987 HP Hospitals 1,000 sq. ft. 2.891 3.124 LH Hotels/ motels 1,000 sq. ft. 1.926 1.272 CH Churches 1,000 sq. ft. 0.242 0.261 Private and Public Schools Use codes SD, SE, SH, SI, SU Schools with cafeteria and qvm /showers Classroom 0.860 1.000 Schools with gym / showers and no cafeteria Classroom 0.774 0.900 Schools with cafeteria and no gym / showers Classroom 0.516 0.600 Schools without cafeteria or gym / showers Classroom 0.430 0.500 (1) Fees for multi-use buildings shall be determined by considering each use separately. (2) "Unit-of-measure" shall mean the basic unit that quantifies the degree of use of a particular parcel (e.g. dwelling unit, square footage). Square footage of an improvement shall be based upon the gross exterior dimensions of the structure. (3)Accessory Dwelling Units are 1,200 sq. ft. maximum and meet criteria of Gov't Code Sect 65852.2. (4) Patio seating capacity fees charged for patios at Dine-in Restaurants (RS)and Bars (RN). Page 3 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 136 of 178 Page 7 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES — CONTINUED Special Studies The fees for Special Studies shall be as established in the Schedule of Environmental and Development-Related Fees, Rates, and Charges pursuant to the provisions of Chapter 6.30 of the District Code. The following user groups require a special study to determine the appropriate capacity fees. Administrative fees to conduct special studies for these user groups shall be waived. Use Code User Group BP Parking lots CM Cemeteries MO Mortuaries with embalming or cremation facilities EP Parks / playgrounds ES Swimming pools EF Large fitness / athletic clubs LR Residence hotels IE Electronic industries IH Heavy industries IP Permitted industries IR Laboratories / research facilities -- Improvements with garbage disposals -- Public facilities -- Special billings -- Utilities Values for use in the RUE formula in Section 6.12.050(D)(2) shall be: FLORU = 200 gpd BODRU = 200 m /I TSSRU = 215 m /I A = 0.69 B = 0.14 C = 0.17 Page 4 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 137 of 178 Page 8 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES — CONTINUED Non-residential Capacity Fee Installment Payment Program Interest Rate — Each payment for agreements signed after March 19, 2021, shall include interest calculated at 2.74% annually. Number of Payments — Up to fifteen equal annual payments (one per fiscal year), at the option of the applicant. The first annual payment shall be due at the time the permit is issued with the each of the remaining payments charged on the annual property tax bill. Capacity Use Charge Program For existing Capacity Use Charge Agreements, (entered into, prior to March 19, 2021): The monffimum "initial payment" thFeshold gravity GapaGity fee RUE factor shall be 1.562 RI Kiper ene theusand square feet Capacity Chafge Capacity Use " Charge Rates Pumping tltvityyCapaGity Current Year CapaGity res Fee RUE ($Wenth RUE FaG r €ac#Ar , Use /RI E/1 nnn (RUE/1,000 Annual Code User Group $/HCF�� pp��(�� AG (mar� � 4—.562 . 9 l'YJ $FYt.7 AW Car ieiaehee with reGyGlin/r 4—.562- 3-.805114.44- 41. �Q I aundremats 4-.562 44-m594 $5 Q7• v #R u 2 3.124 $ 39 $3-9ar�+ �+ L44 44 ettel/.N.41 ettell4-.562 4-.92-6 $ 21.2-5 $2.5 RB Ro lLe ries (retofl) 4362 2-478 �87 RS Restaurants (dine-in) 4-.56-2 2_.T39 $-44��9�+ w$6+.442+ RT Restaurants (paper 1.562 2.738 $ 142. $6.42 service / no dishwashers Skilled nurcinrr faGMiec 4-662 2.347 $ 38.17 The annual payment for each agreement signed prior to March 19, 2021, will be reviewed. If the annual payment would be higher under the new Non-residential Capacity Fee Installment Payment Program, the difference will be waived for the customer. If the annual payment would be lower under the new program, the lower payment will be charged for that year. The anRual interest Fate for Ga!GulatiOR of capaGity use charges shall be as established in the Qnhedule of ERVirenmental and Development_Related Fees and Gharnes pursuant to the Provisions of Chapter 6.30 of the District Code Page 5 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 138 of 178 Page 9 of 13 ATTACHMENT 2 EXHIBIT "A" SCHEDULE OF CAPACITY FEES, RATES, AND CHARGES (Uncodified) The Capacity Fees, Rates, and Charges listed below were established by Central Contra Costa Sanitary District Ordinance No. 309 adopted June 4, 2020. These fees, rates, and charges shall be applied to all new connections or added burdens for which fees become due and payable on or after July 1, 2020 in accordance with the provisions of District Code Chapter 6.12. Gravity Capacity Fee $6,803 / RUE* Pumping Capacity Fee $1,585 / RUE *A residential unit equivalent (RUE) is a measure of sewage volume and strength equivalent to a typical residential household. Gravity Zone Fee Zone 1 = Gravity Capacity Fee Pumped Zone Fee (Zone 2) = Gravity Capacity Fee + Pumping Capacity Fee Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program LU Single-family residences Dwelling Unit 1.000 1.000 LA Multiple-family residences, apartments Dwelling Unit 0.847 0.847 LD Duplex Dwelling Unit 0.847 0.847 LM Mobile homes Dwelling Unit 0.847 0.847 LT Condominium Dwelling Unit 0.847 0.847 LS Accessory structure Dwelling Unit 0.847 0.847 connected to sewer on same parcel with Single- family residence (not meeting Accessory Dwelling Unit(3) criteria LE Accessory Dwelling Dwelling Unit 0 0 Unit(3)—within existing space LN Accessory Dwelling 1,000 sq. ft. 0.425 0.425 Unit(3)— new structure LC Common areas 1,000 sq. ft. 0.200 0.200 Page 1 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 139 of 178 Page 10 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES - CONTINUED Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program AB Auto body/painting 1,000 sq. ft. 0.484 0.467 AD Auto dealerships 1,000 sq. ft. 0.484 0.467 AL Aircraft services 1,000 sq. ft. 0.484 0.467 AR Auto repair/maintenance 1,000 sq. ft. 0.484 0.467 AS Service stations 1,000 sq. ft. 0.484 0.467 BT Transportation services 1,000 sq. ft. 0.432 0.467 AC Car washes 1,000 sq. ft. 21.127 22.829 yes AW Car washes with recycling 1,000 sq. ft. 3.522 3.805 yes Barbers / beauty salons / BB pet grooming 1,000 sq. ft. 0.725 0.783 BC Dry cleaners, no laundry 1,000 sq. ft. 0.259 0.279 BR Retail sales 1,000 sq. ft. 0.259 0.279 Equipment repair/ repair BE services 1,000 sq. ft. 0.228 0.247 Contractors/ business BK services 1,000 sq. ft. 0.228 0.247 BN Nurseries / lumberyards 1,000 sq. ft. 0.228 0.247 IL Light industrial 1,000 sq. ft. 0.228 0.247 BH Meeting halls / studios 1,000 sq. ft. 0.290 0.313 EA Auditoriums /theaters 1,000 sq. ft. 0.290 0.313 EC Cinemas 1,000 sq. ft. 0.290 0.313 EM Entertainment 1,000 sq. ft. 0.290 0.313 EB Bowling alleys 1,000 sq. ft. 0.311 0.336 BZ Miscellaneous commercial 1,000 sq. ft. 0.510 0.551 EG Golf courses / country clubs 1,000 sq. ft. 1.166 1.391 EH Health clubs / spas 1,000 sq. ft. 1.166 1.391 ET Tennis clubs 1,000 sq. ft. 1.166 1.391 IW Warehouses 1,000 sq. ft. 0.136 0.147 BM Markets 1,000 sq. ft. 0.556 0.601 BS Supermarkets 1,000 sq. ft. 0.880 0.601 BX Shopping centers 1,000 sq. ft. 1.057 1.142 OB Business offices 1,000 sq. ft. 0.295 0.319 OF Financial institutions/ banks 1,000 sq. ft. 0.295 0.319 OG Government offices 1,000 sq. ft. 0.295 0.319 OS Fraternal / service offices 1,000 sq. ft. 0.295 0.319 OM Medical offices 1,000 sq. ft. 0.637 0.688 OV Veterinary clinics 1,000 sq. ft. 0.637 0.688 RD Delicatessens 1,000 sq. ft. 1.562 1.294 RN Bars 1,000 sq. ft. 1.562 1.294 Page 2 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 140 of 178 Page 11 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES - CONTINUED Residential Unit Equivalence (RUE) Factors0) Number of RUE = Unit of Measure Count Multiplied by the RUE Factor Gravity Pumping Eligible for Capacity Capacity Capacity Use Unit of Fee RUE Fee RUE Use Charge Code User Group Measure(2) Factor Factor Program RI Ice cream parlors 1,000 sq. ft. 1.562 1.294 RY Yogurt shops 1,000 sq. ft. 1.562 1.294 RS Restaurants dine-in 1,000 sq. ft. 4.010 2.738 yes RT Restaurants take-out 1,000 sq. ft. 4.010 2.738 yes Patio seating in excess RC of 300 square feet(4), 1,000 sq. ft. 1.166 0.825 banquet facilities RB Bakeries retail 1,000 sq. ft. 4.061 2.178 yes BL Laundromats 1,000 sq. ft. 13.506 14.594 yes SF Skilled nursing facilities 1,000 sq. ft. 2.216 2.347 yes Residential care facilities FE for the elderly 1,000 sq. ft. 0.932 0.987 HP Hospitals 1,000 sq. ft. 2.891 3.124 LH Hotels/ motels 1,000 sq. ft. 1.926 1.272 CH Churches 1,000 sq. ft. 0.242 0.261 Private and Public Schools Use codes SD, SE, SH, SI, SU Schools with cafeteria and qvm /showers Classroom 0.860 1.000 Schools with gym / showers and no cafeteria Classroom 0.774 0.900 Schools with cafeteria and no gym / showers Classroom 0.516 0.600 Schools without cafeteria or gym / showers Classroom 0.430 0.500 (1) Fees for multi-use buildings shall be determined by considering each use separately. (2) "Unit-of-measure" shall mean the basic unit that quantifies the degree of use of a particular parcel (e.g. dwelling unit, square footage). Square footage of an improvement shall be based upon the gross exterior dimensions of the structure. (3)Accessory Dwelling Units are 1,200 sq. ft. maximum and meet criteria of Gov't Code Sect 65852.2. (4) Patio seating capacity fees charged for patios at Dine-in Restaurants (RS)and Bars (RN). Page 3 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 141 of 178 Page 12 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES — CONTINUED Special Studies The fees for Special Studies shall be as established in the Schedule of Environmental and Development-Related Fees, Rates, and Charges pursuant to the provisions of Chapter 6.30 of the District Code. The following user groups require a special study to determine the appropriate capacity fees. Administrative fees to conduct special studies for these user groups shall be waived. Use Code User Group BP Parking lots CM Cemeteries MO Mortuaries with embalming or cremation facilities EP Parks / playgrounds ES Swimming pools EF Large fitness / athletic clubs LR Residence hotels IE Electronic industries IH Heavy industries IP Permitted industries IR Laboratories / research facilities -- Improvements with garbage disposals -- Public facilities -- Special billings -- Utilities Values for use in the RUE formula in Section 6.12.050(D)(2) shall be: FLORU = 200 gpd BODRU = 200 m /I TSSRU = 215 m /I A = 0.69 B = 0.14 C = 0.17 Page 4 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 142 of 178 Page 13 of 13 SCHEDULE OF CAPACITY FEES, RATES AND CHARGES — CONTINUED Non-residential Capacity Fee Installment Payment Program Interest Rate — Each payment for agreements signed after March 19, 2021, shall include interest calculated at 2.74% annually. Number of Payments — Up to fifteen equal annual payments (one per fiscal year), at the option of the applicant. The first annual payment shall be due at the time the permit is issued with the each of the remaining payments charged on the annual property tax bill. Capacity Use Charge Program For existing Capacity Use Charge Agreements, (entered into, prior to March 19, 2021): Capacity Use Charge Rates Use Annual Code User Group ($/HCF) RS Restaurants (dine-in) $6.42 RT Restaurants (paper $6.42 service / no dishwashers) The annual payment for each agreement signed prior to March 19, 2021, will be reviewed. If the annual payment would be higher under the new Non-residential Capacity Fee Installment Payment Program, the difference will be waived for the customer. If the annual payment would be lower under the new program, the lower payment will be charged for that year. Page 5 of 5 February 23, 2021 Regular FINANCE Committee Meeting Agenda Packet- Page 143 of 178