HomeMy WebLinkAbout08.a. CONSIDER RESCINDING THE BOARD ACTION OF MARCH 18, 2010 TO AUTHORIZE PROVIDING PROP 218 NOTICE OF A SEWER SERVICE CHARGE INCREASE FOR 2010-2011 FISCAL YEAR_ Central Contra Costa Sanitary District
~,- --' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: Aprll 1, 2010 No.: 8 . a . Administrative
Type of Action: RESCIND PRIOR ACTION
subject: CONSIDER RESCINDING THE BOARD ACTION OF MARCH 18, 2010 TO
AUTHORIZE PROVIDING PROP 218 NOTICE OF A SEWER SERVICE CHARGE
INCREASE FOR 2010-2011 FISCAL YEAR
submitted ay: Kenton L. Alm, District Initiating Dept./Div.: Administrative
Counsel
REVIEWIED~AND RECOMMENDED FOR BOARD ACTJON:
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K. Alm E. Boehme James M. Kelly,
General Manager
ISSUE: On March 18, 2010 the Board of Directors authorized the Secretary of the
District to provide public notice of a proposed sewer service charge rate increase of up
to $16.00 for the 2010-2011 fiscal year. The Board President requested this matter be
placed on this agenda for consideration of rescinding that action in order to potentially
avoid the notice mailing expenses faced with circumstances where there may not be
sufficient votes in favor of a sewer service charge increase.
RECOMMENDATION: Consider motion to rescind prior action of the Board and
reconsider the issue of authorizing mailing of a public notice for a potential sewer
service charge increase of up to $16.00 for fiscal year 2010-2011, effective July 1,
2010.
FINANCIAL IMPACTS: The total cost of printing and mailing of the public notice to
District ratepayers is estimated to be approximately $70,000.00.
ALTERNATIVES/CONSIDERATIONS: Consider and reject rescinding prior action
authorizing staff to prepare and send a Proposition 218 notice for a maximum of $16.00
sewer service charge increase for fiscal year 2010-2011.
BACKGROUND: As set forth in the position paper provided for March 18, 2010
(attached hereto as Attachment A), Proposition 218 requires a written public notice to
be provided at least 45 days prior to a public hearing. As noted under Financial
Impacts above, the cost of the mail notice is not insignificant. On March 18, 2010, the
Board authorized staff to provide the public notice on a 2-1 vote with one abstention
and one member not present. Additional discussion ensued, but no motion for
reconsideration was made at that meeting.
N:IADMINSUPIADMINIDIST-SEC\Position PaperslPosition Paper re Prop 218.doc_2.DOC
POSITION PAPER
Board Meeting Date: April 1, 2010
subject CONSIDER RESCINDING THE BOARD ACTION OF MARCH 18, 2010 TO
AUTHORIZE PROVIDING PROP 218 NOTICE OF A SEWER SERVICE CHARGE
INCREASE FOR THE 2010-2011 FISCAL YEAR
The issue presented is whether the Board should consider rescinding its prior action
due to the potentiality that there may not be four affirmative votes available for an
increase of the sewer service charge this year. The Sanitary District Act at Section
6520.5 of the Health and Safety Code specifically provides increasing fees for district
services requires passage by a "two thirds vote of the members of the board."
Similarly, Health and Safety Code Section 5471, which provides more general authority
for entities providing water and sewer services, also requires that increases in fees be
approved by "a two thirds vote of the members of the legislative body thereof." On a
five member board, this requires four affirmative votes for any increases in fees.
The basis of this request to consider rescinding the former action is to allow for
additional discussion and possible modification of the prior decision. The substantive
issue is whether a notice should be sent if it is the Board's sense that there will not be
four votes for any proposed increase this year. Regardless, no final vote or action to
increase rates can be taken at this meeting.
Counsel informed the Board on March 18, 2010, that a motion for "reconsideration"
brought at the same meeting requires the subsequent motion to be made by a member
that voted in the majority on the original action. However, at subsequent meetings a
prior decision can be repealed, rescinded or amended if the subject is properly placed
on the agenda and a new motion amending, repealing or rescinding is properly made
and approved. At a subsequent meeting, the motion to rescind, repeal or amend does
not have to be made by a member that voted with the majority on the formerly approved
action. In order to allow for reconsideration of this item by all members of the Board,
Board President McGill asked that it be placed on the April 1, 2010 Board agenda.
RECOMMENDED BOARD ACTION: Consider rescinding the prior action of the Board
authorizing mailing of a Proposition 218 notice and reconsider the issue of authorizing
the Secretary of the District to provide a public notice of proposed sewer service rate
increase of up to $16.00 for fiscal year 2010-2011, effective July 1, 2010.
N:WDMINSUPIADMINIDIST-SEC1Position PaperslPosition Paper re Prop 218.doc_2.DOC