HomeMy WebLinkAboutA003 - Council Action Form dated June 9, 2009 ITEM #
DATE 0 9-09
COUNCIL ACTION FORM
SUBJECT: WILLOW CREEK HOMEOWNERS ASSOCIATION REQUEST FOR
ONE-TIME EXCEPTION FROM SEWER RATE ORDINANCE
BACKGROUND:
Joan Marquardt, representing the Willow Creek Homeowners Association, submitted
the attached letter to the City's Utility Accounts Supervisor requesting a one-time
exception to section 28.304.9 of the sewer rate ordinance. This section limits
exemptions from the sewer charges to 5,000 cubic feet per calendar year, with the
entire exemption granted over no more than two consecutive billing cycles.
A pipe broke in the crawl space under Willow Creek's unit 902 during the January 2009
billing cycle. The water soaked into the ground and eventually flowed into a sump
pump. The sump pump is not connected to the sanitary sewer system. The break was
repaired during the April billing period. An estimated 94,450 cubic feet of water flowed
from the leak during the four billing periods, resulting in $1,586.76 in additional sewer
charges. If you apply the current two consecutive billing period requirement, an
estimated 61 ,900 cubic feet flowed from the leak during this time period, resulting in
$1 ,039.92 in additional sewer charges.
The sewer rate allows for an exemption of up to 5,000 cubic feet of water usage in a
calendar year if, in any billing period, more than 2,000 cubic feet of water is used in
such a way that the water does not reach the sanitary sewer system. The exemption is
based on the premise that the water does not reach the sanitary sewer system, so the
Sewer Utility does not incur any costs. The entire exemption must be granted for no
more than two consecutive billing periods. The purpose of limiting the exemption to two
consecutive billing periods is to encourage the prompt repair of leaks.
ALTERNATIVES:
1 . Direct staff to submit a rate ordinance revision removing the 5,000 cubic foot total
calendar year exemption. This alternative will give the customer a credit on
61 ,900 cubic feet of water usage totaling $1,039.92. The customer request will
be held in abeyance until the final adoption of the rate ordinance revision.
2. Approve a one-time exception to the rate ordinance regarding the 5,000 cubic
foot calendar year total, and direct staff to credit the customer's account for the
sewer charges on 61,900 cubic feet of water usage totaling $1,039.92. This
option retains the two consecutive billing period requirement.
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3. Approve a one-time exception to the rate ordinance regarding the 5,000 cubic
foot total calendar year exemption and the two consecutive billing period
requirement, and direct staff to credit the customer's account for the sewer
charges on 94,450 cubic feet of water usage totaling $1,586.76.
4. Deny the customer request for a credit on the customer's sewer bill above what
is currently prescribed in the existing rate ordinance. Under this option, the
customer will receive a $84 credit to the homeowners association sewer bill.
MANAGER'S RECOMMENDED ACTION:
The Sewer Utility does not incur any costs for water used in such a way that the water
does not reach the sanitary sewer system. The purpose of the current ordinance
provision is to provide customers with relief from sewer charges for one-time events
where water is used in such a way that the water does not reach the sanitary sewer
system. The purpose can still be achieved by limiting the exemption to no more than
two consecutive billing periods within a 12-month period without limiting the total
exemption to 5,000 cubic feet.
Therefore, it is the recommendation of the City Manager that the City Council adopt
Alternative No. 1, thereby directing staff to prepare a rate ordinance revision removing
the 5,000 cubic foot total calendar year exemption. The customer request will be held in
abeyance until the modified rate ordinance has been presented to City Council for
adoption. This option will result in a $1,039.92 credit to the homeowners association
sewer bill.
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