HomeMy WebLinkAboutA001 - Council Action Form dated March 10, 2020 ITEM # 30
DATE 03-10-20
COUNCIL ACTION FORM
SUBJECT: WATER AND SEWER RATE ADJUSTMENTS FOR FY 2020/21
BACKGROUND:
Each year as a part of the annual budget process, staff updates a spreadsheet model for
the Water and Sewer Funds that reflects current and projected operating and capital
expenses for the utilities over the next ten years, and the resulting annual ending fund
balance in each of the funds. This model is used to establish a long-range pattern of rate
increases that will fully fund these self-funded enterprise utilities, including a 25%
operating reserve.
During the development of the FY 2020/21 budget, staff determined that a two percent
(2%) increase to water rates and a five percent (5%) increase to the sewer rates would
be needed, effective July 1, 2020. While the revenue estimated to be generated from the
rate increases was appropriated in the FY 2020/21 budget, no formal action has yet been
taken to adjust the rates. Attached to this Council Action Form is a draft ordinance
that will increase the water rates by 2% and the sewer rates by 5%, effective for all
bills mailed on or after July 1, 2020.
The slides attached to this Council Action Form provide a summary of the fund balance
analysis in a format that is very similar to what has been used in prior years. Highlights
from these slides will be shared at the Council meeting in a brief presentation.
ALTERNATIVES:
1. Approve on first reading, an ordinance that adjusts water rates by two percent (2%)
and sewer rates by five percent (5%), effective for bills mailed on or after July 1, 2020.
2. Direct staff to make modifications to the rate ordinance.
3. Do not take any action to adjust water or sewer rates, and give staff direction on
expenditure reductions in order to maintain positive fund balances.
MANAGER'S RECOMMENDED ACTION:
The proposed rate increase is necessary to fund the on-going operations and
maintenance budget plus the anticipated capital improvements projects. Therefore, it is
the recommendation of the City Manager that the City Council adopt Alternative No. 1,
thereby approving on first reading an ordinance that adjusts water rates by two percent
(2%) and sewer rates by five percent (5%) effective for bills mailed on or after July 1,
2020.
ORDINANCE NO.
AN ORDINANCE TO AMEND THE MUNICIPAL CODE OF THE CITY
OF AMES, IOWA, BY REPEALING CHAPTER 28, SECTION 201(1)
(b)(ii)(a)(b), 2(b)(ii)(a)(b), 3(b)(ii)(a)(b), 4(b)(ii)(a)(b), 5(b)(ii)(a)(b), 7, 8,
SECTION 304 (3) AND ENACTING A NEW CHAPTER 28, SECTION
201(1)(b)(ii)(a)(b), 2(b)(ii)(a)(b), 3(b)(ii)(a)(b), 4(b)(ii)(a)(b), 5(b)(ii)(a)(b), 7, 8,
SECTION 304 (3). THEREOF, FOR THE PURPOSE OF INCREASE OF
WATER RATES AND CHARGES; REPEALING ANY AND ALL
ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT TO THE
EXTENT OF SUCH CONFLICT; AND ESTABLISHING AN EFFECTIVE
DATE.
BE IT ENACTED,by the City Council for the City of Ames,Iowa,that:
Section One. The Municipal Code of the City of Ames, Iowa shall be and the same is hereby amended by
repealing Chapter 28, Section 201(1)(b)(ii)(a)(b),2(b)(ii)(a)(b), 3(b)(ii)(a)(b),4(b)(ii)(a)(b), 5(b)(ii)(a)(b), 7, 8, Section
304 (3) and enacting a new Chapter 28, Section 201(1)(b)(ii)(a)(b), 2(b)(ii)(a)(b), 3(b)(ii)(a)(b), 4(b)(ii)(a)(b),
5(b)(ii)(a)(b), 7, 8, Section 304(3) as follows:
Sec.28.201.WATER RATES AND CHARGES
The rates and charges for water supplied to consumers by the water utility of the city, to be billed on or after July 1,
2020 are as follows:
(1) Residential Rates.
(a) Availability. The residential rate shall apply to all customer accounts within the Ames
corporate limits serving properties that are intended for occupancy by a single family as defined by the Ames
Zoning Ordinance, provided that such accounts consist of no more than two dwelling units served by a single water
meter or to multiple unit residential structures (such as apartment buildings) where every dwelling unit is separately
metered. The rate does not apply to domestic uses that consist of more than two dwelling units served by a single
meter or to water accounts that provide service for common areas such as shared laundry facilities or for general
property maintenance.
(b) Rate per billing period. For each monthly billing period a residential rate customer:
(i) shall be charged a minimum charge based on meter size, and in
addition
(ii) shall be charged for water usage during the billing periods as follows:
(a) for bills mailed on or between July 1 and October 31 (summer
period):
$0.0243 per cubic foot for the first 1000 cubic feet of usage
$0.0428 per cubic foot for the next 1500 cubic feet of usage
$0.0644 per cubic foot for all usage over 2500 cubic feet
(b) for bills mailed on or between November 1 and June 30(winter
period):
$0.0243 per cubic foot
(Ord. No. 4351, 5-8-18; Ord. No. 4382, 4-9-19)
(2) Non-residential(Commercial)Rates
(a) Availability. The non-residential rate shall apply to all accounts that do not meet the
criteria for residential,irrigation and yard water,rural water,or non-peaking industrial rates.
(b) Rate per billing period: For each monthly billing period a non-residential customer:
(i) shall be charged a minimum charge based on meter size,and in
addition
(ii) shall be charged for water usage during the billing periods as follows:
(a)for bills mailed on or between July 1 and October 31 (summer
period):
$0.0318 per cubic foot
(b) for bills mailed on or between November 1 and June 30(winter
period):
$0.0243 per cubic foot
(Ord. No. 4351, 5-8-18; Ord. No. 4382, 4-9-19)
(3) Non-Peaking Industrial Rate.
(a) Availability. The non-peaking industrial rate shall be available to all non-residential rate
customers who meet the following criteria:
(i) Average winter usage greater than 100,000 cubic feet per
billing period. Average winter usage per billing period will be calculated
by taking the sum of the usage during the most previous December,
January, and February billing periods and dividing by three.
(ii) A summer peaking factor equal to or less than 120%. The summer
peaking factor shall be computed by taking the largest consumption billed during the
most recent summer billing periods (bills mailed July, August, September, and October)
and dividing it by the average winter usage, with the result expressed as a percentage.
(b) Rate per Billing Period. For each monthly billing period a non-peaking industrial rate
customer:
(i) shall be charged a minimum charge based on meter size,and in addition
(ii) shall be charged for water usage during the billing periods as follows:
(a)for bills mailed on or between July 1 and October 31 (summer period):
$0.0243 per cubic foot
(b)for bills mailed on or between November 1 and June 30(winter period):
$0.0243 per cubic foot
(Ord. No. 4351, 5-8-18; Ord.No. 4382, 4-9-19)
(4) Irrigation and Yard Water Service Rate.
(a) Availability. The irrigation and yard water rate shall apply to all separately metered
water uses that meet one of the following criteria:
(i) Serves primarily outdoor water uses, such as irrigation systems and
outside hose bibs.
(ii) Serves cooling towers, spray ponds, evaporative condensers, chillers, or
such similar uses where water is used as a medium for cooling.
(iii) Serves as a temporary water service, whether for irrigation purposes
or for other outdoor uses.
(b) Rate per Billing Period. For each monthly billing period an irrigation and yard water rate
customer:
(i) shall be charged a minimum charge as described below, and in addition
(ii) shall be charged for water usage during billing periods as follows:
(a)for bills mailed on or between July 1 and October 31 (summer period):
$0.0350 per cubic foot for the first 2000 cubic feet of usage
$0.0644 per cubic foot for the next 3000 cubic feet of usage
$0.1072 per cubic foot for all usage greater than 5000 cubic feet.
(b)for bills mailed on or between November 1 and June 30(winter period):
$0.0243 per cubic foot
(Ord. No. 4351, 5-8-18; Ord.No. 4382, 4-9-19)
(5) Rural Water Rate.
(a) Availability. The rural water rate shall apply to all customer accounts
outside the Ames corporate limits,except those covered by a separate wholesale contract or agreement for
service.
(b) Rate per billing period. For each monthly billing period, a rural water rate
customer:
(i) shall be charged a Rural water minimum charge
based on meter size.
(ii) shall be charged for water usage during billing periods as follows:
(a)for bills mailed on or between July 1 and October 31 (summer
period):
$0.0402 per cubic foot for the first 2000 cubic feet of usage
$0.0740 per cubic foot for the next 3000 cubic feet of usage
$0.1233 per cubic foot for all usage greater than 5000 cubic feet.
(b) for bills mailed on or between November 1 and June 30(winter
period):
$0.0274 per cubic foot for all consumption
(Ord. No. 4351, 5-8-18; Ord.No. 4382, 4-9-19)
(6) Water Rate and Charge Adjustments. It shall be the duty of the director of water and
pollution control to review and recommend to the city council revisions of the rates and charges
established and set out in this division at intervals appropriate to provide for the funding needs of the
utility.
(7) Minimum charges. For each monthly billing, each customer shall be charged a
minimum monthly charge based on the size of the water meter (s) and/or irrigation meter (s) at each
location. The minimum monthly charge may be prorated, based on a 30-day billing period, for the
customer's initial and/or final bills, provided that in no case shall the minimum monthly charge be less
than five dollars and ninety-six cents($5.96).
The minimum monthly charge for each water meter location shall be as follows:
Residential,
Non-residential,
Size of Non-peaking Industrial, Yard Water Rural Water
Meter and Irrigation Accounts Accounts Accounts
5/8"or 5/8"x3/4" 12.40 4.70 14.27
3/4 inch 24.81 7.29 28.53
1 inch 49.62 10.16 57.07
1-1/2 inch 99.25 14.01 114.14
2 inch 198.49 18.64 228.27
2 inch,battery of 2 384.46 -- 442.13
2 inch,battery of 3 570.51 -- 656.08
3 inch 396.89 24.24 456.43
4 inch 669.72 30.13 770.18
6 inch 1,116.20 36.09 1,283.63
8 inch 2,232.39 42.04 2,567.25
10 inch 3,348.59 47.55 3,850.88
(Ord. No. 4351, 5-8-18; Ord. No. 4382, 4-9-19)
(8) Multiple dwellings—Mobile home parks. Multiple dwellings,including mobile
home parks,may be serviced from a single water meter. However,there shall be a surcharge added to
the water rates set forth above, to be calculated as follows:
For a 5/8 inch meter serving 2 or more dwelling units............. 3.57/month/unit
For a 3/a inch meter serving 4 or more dwelling units............... 3.57/month/unit
For a 1 inch meter serving 8 or more dwelling units................ 3.57/month/unit
For a 1-1/2 inch meter serving 16 or more dwelling units........ 3.57/month/unit
For a 2 inch meter serving 30 or more dwelling units................. 106.86/month
for the first 30 units plus$5.55/month per unit
for each additional unit in excess of 30 units
For a 3 inch or larger meter serving any number of dwelling units.......... 4.91/month/unit
Sec. 28.304. SEWER RATES ESTABLISHED.
(1) Each user shall pay for the services provided by the City based on its use of the treatment
works as determined by water meter readings or other appropriate methods acceptable to the City.
(Ord. 4199, 11-25-14)
(2) For all users, monthly user charges shall be based on actual water usage, except
where a practical method of wastewater measurement is available. If a user has a consumptive
use of water, or in some other manner uses water which is not discharged into the wastewater
collection system, the user charge for that contributor may be based on readings of a wastewater
meter(s) or separate water meter(s) installed and maintained at the user's expense and in a
manner acceptable to the City.
(3) For each monthly billing on or after July 1, 2020, each customer shall be charged
a minimum monthly charge. The minimum charge for each location shall be eleven dollars and
fifty-eight cents ($11.58). The minimum monthly charge may be prorated, based on a 30-day
billing period, for the customer's initial and/or final bills, provided that in no case shall the
prorated minimum monthly charge be less than four dollars and forty-five cents ($4.45). In
addition, for all water metered beginning with the first cubic foot each month, each user shall
pay two dollars and ninety-six cents ($2.96)per 100 cubic feet.
(Ord. No. 3168, Sec. 1, 4-28-92; Ord. No. 3326, Sec. 2, 5-9-95; Ord. No. 3834, 5-24-05; Ord. No.
3956, 06-10-08;Ord. No. 4037, 5-11-10; Ord. No. 4144, 5-14-13; Ord. No. 4814, 5-27-14; Ord.
No. 4215, 5-12-15; Ord. No. 4351, 5-8-18)
Section Two.All ordinances, or parts of ordinances,in conflict herewith are hereby repealed to the
extent of such conflict,if any.
Section Three. This ordinance shall be in full force and effect from and after its passage and
publication as required by law.
Passed this day of
Diane R.Voss,City Clerk John A.Haila,Mayor
t'W/A1�A j�
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FY 2020-2021 Water & Sewer Rates
Entry signage at the Ames Water Treatment Plant
March 10, 2020 and Ames Water Pollution Control Facility
POLLUTIONCITY OF
Aio7u, Ames,
CONTROL
Outline
• National & State-Wide Trends in Rates
s
�I�II�YI'
• Projected Need for Revenue Increase
• Translating Revenue Needs to Rates
• Customer Perspective
Water meters lined up on a test bench
• Council Direction
•
1 t
1 Mom
� pFer
National & State-Wide Trends Visitors at the inaugural open house tours
of the new Ames Water Plant
National and State Trends
Data sources include:_ �—
i
• 2018 Cost of Clean Water Index
National Association of Clean Water Agencies
• 2019 Water and Wastewater Rate Survey f _ "
� r
American Water Works Association
• 2019 Iowa Water and Wastewater Rate Survey
City of Ames Water and Pollution Control
Solids Contact Unit in service
Ames Water Plant
National Trends
2018 Cost of Clean Water Index, NACWA Projected National Annual Change
in Cost, Based on Approved and
Anticipated Rate Increases-
NACWA
• Average annual wastewater bill has doubled 8%
nationally in last 15 years
6%
• Wastewater utilities expect charges to increase from
3.4% to 3.7% per year for the next 5 years 4" 3.6, 3.5/0 3.7% 3.4/0 3.6,
• Nationally, the average increase in 2018 was 1.6x the 2%
rate of inflation
117t" consecutive ear that sewer rates national) 0%
` y y 2019 2020 2021 2022 2023
have outpaced inflation)
National Trends
2019 Water & Wastewater Rate Survey,
American Water Works Association
• 79% of Drinking Water Utilities nationally have '
increased rates in the past two years
• 77% of Wastewater Utilities nationally have increased
rates in the past two years.
• Lowest costs for both water and sewer were in the
Midwest
Water main break repair in Ames
circa 1953
National Trends
2014 to 2019 '
M p
Average Annual Increase in Water Rates: 4.8%
- I J
Average Annual Increase in Sewer Rates: 4.1% 0000 a
I
Average Annual Increase in CPI . 2.0/
Sources: 2014 Water and Wastewater Rate Survey,AWWA/Raftelis Financial Consultants Cogeneration switchgear
2019 Water and Wastewater Rate Survey,AWWA/Raftelis Financial Consultants Ames Water Pollution Control Facility
Recent Rate Adjustments in Ames
Water Sewer
FY 15/16 4% 5% y �r
FY 16/17 -- --
FY 17/18 -- --
FY 18/19 3.5% 3%
FY 19/20 7% --
Annual Average 2.9% 1.6%
pH meter and buffers
Ames Water Plant
Ames Trends vs . National Trends
rWater
National Average Annual Increase: 4.8% _
Ames Average Annual Increase: 2.9% w;A: `
Treatment \
Plant ''Q'r'
Sewer
National Average Annual Increase: 4.1% �1
Ames Average Annual Increase: -L.0% �� = " "0
www.cltyaramea.or �
g/water ,`!
Average Annual Increase in CPI : 2.0% P rottiry
ec nrotr
National and CPI Data:2014—2019
Ames Data:2015—2019
Smart Water Conservation Promotion
Water& Pollution Control Dept.
Iowa Trends
2019 Iowa Water & Wastewater Rate 5 u rvey,
City of Ames, Iowa
Percent of Utilities with a rate increase in past two years:
AMEv
• Drinking Water: 76% (22 of 29)
• More than 5%: 59% (17 of 29) -
• More than 10%: 28% (8 of 29)
7
• Wastewater: 72% (31 of 43) _
• More than 5%: 53% (23 of 43)
• More than 10%: 23% (10 of 43)
Bloomington Road Elevated Tank
atsunset
Ames Trends vs . Iowa Trends
2015-2019 Trends
Water
Iowa Average Annual Increase: 5.9%
times Average Hnnuai increase:
Sewer
Iowa Average Annual Increase: 5.1% '
Ames Average Annual Increase: 1.6 %
Average Annual Increase in CPI : 2.0%
Iowa,Ames, and CPI Data:2015—2019
1 million gallon elevated tank
Mortensen Road and County Line Road
Iowa Trends in Water Rates
1999-2019, Cities with population >10,000 with lime softening, 600 cf per month
$50 ■ ■
■ 1
$40 ■
$30Iowa do JL
■ ■ ■ i �*
■
$20 ■ _s
'olopop—Air
$10 ■
$0
1998 2003 2008 2013 2018
— — — — — — — — —0 Statewide Median Ames Rates
Ames is at the 361" percentile, based on 2019 rates
12
ComparingAcross Water Demand Thresholds
Cities with population >10,000 with lime softening, 2019
$50.00 $900.00
$9,000.00
■ $80.00 $800.00 ■ $8,000.00
■
■
$40.00 ■ $700.00
$7,000.00
■
■ $600.00
$60.00
$6,000.00
■ ■
$30.00 $500.00 $5,000.00
■
n
$400.00 $4,000.00
' $40.00 ■
$20.00 . $300.00 $3,000.00
■
■
■ $200.00 $2,000.00
■
■
$10.00 $20.00 $100.00 $1,000.00
600 cf 1,000 cf 10,000 cf 100,000 cf
• Statewide Median Ames Rates
13
Iowa Trends in Sewer Rates
1999-2019, Cities with population >10,000, 600 cf per month
$70
$60
■
$50
$40
$30 ■
■
dw
$20 i ■
■
$10
$0
1998 2003 2008 2013 2018
— — — — — — — — —0 Statewide Median Ames Rates
Ames is at the 241" percentile, based on 2019 rates
14
ComparingAcross Sewer Demand Thresholds
Cities with population >10,000, 2019
$60.00 $100.00
• $1,000.00 $10,000
■
$50.00 �
$80.00 $800.00 $8,000
■
■
$40.00 • ■ ■
$60.00 ■
■ $600.00 $6,000
$30.00
1 '■ $40.00 . $400.00 $4,000 -�
$20.00 ■ '
■ . 11
■$10.00 $20.00 - $200.00 ■ $2,000
■
$0.00 • $0.00 $0.00 $0
600 cf 1,000 cf 10,000 cf 100,000 cf
Statewide Median Ames Rates
15
Iowa section Iowa section \
American Water American Water -
Works Association Works Association \
2017
2018
ater Taste Water Taste
Testing Testing
Competition Competition
Ames Ames
me Water Plant Water Plant
Voted Best Tasting Water
In Iowa at the Voted Best Tasting Water
IA-AWWA Annual Conference in Iowa at the
IA-AWWAAnnual Conference
Revenue Need and Rate Adjustments in Ames Best Tasting Water in Iowa
2017& 2018
Water Revenue Sources
FY 19/20 Amended Budget
All Other Revenues, Rate-Derived Revenue,
$431,145 $10,365,400
Grants & Donations,
$42,290
ISU Contract Sales,
$949,000
Total Revenue Estimate: $11.79M
Water Rate- Derived Revenue
FY 19/20 Amended Budget
Consumption,
Yard Meter Minimum $5,721,000
Charge, $73,400
Multi-unit Charge,
$355,000
Minimum Charge,
$4,216,000
Rate-Derived Revenue Estimate:
$10.37M
18
Sewer Revenue Sources
FY 19/20 Amended Budget
ISU Contract,
$1,365,000
NADC Contract,
$414,000
Rate Derived
Revenue, NVSL Contract,
$,7,111,0 0 $46,000
Pretreatment / FOG
$230,500
All Other Revenues,
$229,500
Total Revenue Estimate: $9.40M
Sewer Rate- Derived Revenue
FY 19/20 Amended Budget
Minimum Charge,
$2,3 78,000
r
Consumption,
$4,733,000
Rate-Derived Revenue Estimate:
$7.11M
20
Current Water Rates ( $/cf)
I
Winter
All customers; all consumption $0.0238
Summer I
Residential
Block 1 (First 1,000 cf)
Block 2 (Next 1,500 cf) $0.0238
Block 3 (Over 2,500 cf) $0.0420
Irrigation &Yard Water $0.0631
Block 1 (First 2,000 cf) �/y 0
Block 2 (Next 3,000 cf) $0.0343 I�l
Block 3 (Over 5,000 cf) $0.0631
$0.1051
Non-Residential
All consumption $0.0311
Non-Peaking Industrial Piping in High Service Pump Room
All consumption $0.0238 Ames Water Plant
Current Sewer Rates ( $/cf
Minimum Charge $11.03
All customers, per month
Prorated Minimum $4.24
Consumption, per 100 cubic feet $2.82
All customers, all consumption j
Primary Digester
Ames Water Pollution Control Facility
Water Fund Rate Model — No Adjustments
25,000
20,000
15,000
10,000
5,000 _
,^n 3.5% 7.0%
0 0
o
C 18-19 19-20 20-21 21-22 3-2 IK 2 -
� -5,0002171
-10,000
c
-15,000
m
-20,000
c -25,000
W
-30,000
-35,000
-40,000
-45,000
-50,000
Ending Fund Balance OOperating Reserve Percentage Rate Increase
23
Sewer Fund Rate Model — No Adjustments
20,000 T
15,000
10,000
N
O
c 5,000
m 18-19 19-20 20-21 21-22 22-23 23-24 24-25 25-26 2 8
m
c -5,000
C
c
w
-10,000
-15,000
-20,000 AW
Ending Fund Balance OOperating Reserve s Percentage Rate Increase
24
r r
"OKI 1,
Developing Rate Recommendations old Water Pollution Control Facility
Circa 1955
GuidingPhilosophy on Rates
• Rate increases should be done with smaller
percentage increases on a more frequent
basis, as opposed to larger increases on a
less frequent basis.
• Slowly grow the operating reserve in each _
Fund over time until it reaches 25% of the
Fund's annual operating expenses
Limestone sign salvaged from the 1924
water plant, relocated to the new facility
Water and Sewer Rate Projections
Last Current Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
Year Year
18-19 19-20 20-21 21-22 22-23 23-24 24-25 25-26 26-27 27-28 28-29 29-30
Water Fund 3.5% 7% 2% 8% 2% 9% 2% 9% 9% 9%
Sewer Fund 3% 5% 5% 8% 8% 8%
J
I � 04
�r
�- --�
J&Al �� ZEN
Water Fund Rate Model
25,000
20,000
N
O
O
O
15,000
m
U
C
R
R
m
10,000
C
W
5,000
3.5% 11 r.0% 2.0% 8.0% 2.0% 9.0% 2.0% 9.0%
0 R 1
18-19 19-20 20-21 21-22 22-23 23-24 24-25 25-26 26-27 27-28 28-29 29-30
Ending Fund Balance _Operating Reserve Percentage Rate Increase
28
Sewer Fund Rate Model
20,000
15,000
N
O
O
O
N
12 10,000
m
m
C
C
W
5,000
3% - 5% ■ 5% ■ 8% � 8% , - -
0
18-19 19-20 20-21 21-22 22-23 23-24 24-25 25-26 26-27 27-28 28-29 29-30
Ending Fund Balance L Operating Reserve s Percentage Rate Increase
29
Rate Projections vs . Statewide Trends
Projected Ames Monthly Water and Sewer Bill vs 6-year Statewide Trends
600 cubic feet per month
$225.00
$200.00
$175.00
$150.00
$125.00
$100.00
$75.00
$50.00
$25.00
$-
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029
Statewide Range ---Ames Residential —a—Statewide Median
30
Revised Water Rates
2%
Existing Increase New
Winter
All customers; all consumption $0.0238 $0.0005 $0.0243
Summer
Residential
Block 1 (First 1,000 cf)
Block 2 (Next 1,500 cf) $0.0238 $0.0005 $0.0243
Block 3 (Over 2,500 cf) $0.0420 $0.0008 $0.0428
Irrigation &Yard Water $0.0631 $0.0013 $0.0644
Block 1 (First 2,000 cf) w
Block 2 (Next 3,000 cf) $0.0343 $0.0007 $0.0350 }
Block 3 (Over 5,000 cf) $0.0631 $0.0013 $0.0644 ■••�
$0.1051 $0.0021 $0.1072
Non-Residential
All consumption $0.0311 $0.0006 $0.0318 Bloomington Road Elevated Tank (BRET)
as seen from above
Non-Peaking Industrial
All consumption $0.0238 $0.0005 $0.0243
Revised Sewer Rates
5%
Existing Increase New /
Minimum Charge $11.03 $0.55 $11.58
9 f
1
All customers, per month
Prorated Minimum $4.24 $0.21 $4.45
Consumption, per 100 cubic feet $2.82 $0.14 $2.96
All customers, all consumption
G
Entry sign into the Trickling Filter Pump Station
Ames Water Pollution Control Facility
Associated Rates and Fees
• Water minimum bills, multiple dwelling unit fees would also adjust bye%
• Sewer high-strength surcharge, FOG, hauled waste, other sewer-associated
fees would adjust by 5%
• Meter setting fees would be adjusted based on actual cost recovery
• Add and adjust fees for selected laboratory analytes
460 ow
IF
Mason Mingo -m-
71
NO
Ames Water Plant
- GL
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4.
Ilk
IL
Customer Perspective Visitors waiting to tour new Water Plant
2017 Ribbon-cutting Ceremony
ACITY OF
A mes..
VVATER&POLLUTION CONTROL 34
Sample Customer Bill — Median Use Residential
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
600 kWh and 600 cf $81 .10 $4.95 $26.44 $27.95 $140.44
Electric ECA -$3.96 -$3.96
Totals $77.14 $4.95 $26.44 $27.95 $136.48
Increase Due to Rate Change $0.00 $0.00 $0.53 $1 .40 $1 .93
Totals $77.14 $4.95 $26.97 $29.35 $138.41
% Impact on Total Bill 1 .41%
35
A-, �
Council Direction City Council Members serving during design and
construction of the new Ames Water Treatment Plant
Recommended Direction & Timeline
• Adopt on first reading an ordinance to
• Adjust Water Rates by 2%
• Adjust Sewer Rates by 5% `d RIVER VALLEY LOW HEAD DAM '•
• New rates effective July 1, 2020 � 1984
DEDICATED AS A MEMORIAL TU
• Timeline
• First
DR. MERWIN D. DOUGAL
1928 1982 � �
� PROFESSOR, IOWA STATE UNIVERSITY, '
reading on • (tonight) 1962 1982
t A NATIONALLY KNOWN AND RESPECTED EDUCATOR,
' • • read• • on March , ENGINEER. AND EXPERT IN WATER RE50URCES
UNSELFISHLY CONTRIBUTED HIS TIME AND EXPERTISE AS A
�°• CONCERNED CITIZEN TO ENHANCE THE WATER SUPPLY OF +�:• .
Third• reading . • adoption on March 4 � THE CITY OF AMES -
Memorial plaque at the Low head Dom
Located in North River ValleyPark
t'W/A1�A j�
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FY 2020-2021 Water & Sewer Rates
Entry signage at the Ames Water Treatment Plant
March 10, 2020 and Ames Water Pollution Control Facility
POLLUTIONCITY OF
Aio7u, Ames,
CONTROL
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• a tttttttt�t� t�1NW7w t� ,�r ;,y N i • � �wa-——�
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CITY OF
Ames,
VVATER&POLLUTION CONTROL 39
Sample Customer Bill — Minimal Use Residential
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
100 kWh and 100 cf $20.45 $4.95 $14.54 $13.85 $53.79
Electric ECA -$0.66 -$0.66
Totals $19.79 $4.95 $14.54 $13.85 $53.13
Increase Due to Rate Change $0.00 $0.00 $0.29 $0.69 $0.98
Totals $19.79 $4.95 $14.83 $14.54 $54.11
% Impact on Total Bill 1 .84%
40
Sample Customer Bill — Median Use Residential
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
600 kWh and 600 cf $81 .10 $4.95 $26.44 $27.95 $140.44
Electric ECA -$3.96 -$3.96
Totals $77.14 $4.95 $26.44 $27.95 $136.48
Increase Due to Rate Change $0.00 $0.00 $0.53 $1 .40 $1 .93
Totals $77.14 $4.95 $26.97 $29.35 $138.41
% Impact on Total Bill 1 .41%
41
Sample Customer BiII — Large Residentia
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
1 ,000 kWh and 11000 cf $129.62 $4.95 $35.96 $39.23 $209.76
Electric ECA -$6.60 -$6.60
Totals $123.02 $4.95 $35.96 $39.23 $203.16
Increase Due to Rate Change $0.00 $0.00 $0.72 $1 .96 $2.68
Totals $123.02 $4.95 $36.68 $41 .19 $205.84
% Impact on Total Bill 1 .32%
Sample Customer Bill — Small Commercial ( GP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
2,000 kWh and 600 cf $254.40 $4.95 $30.82 $27.95 $318.12
Electric ECA -$13.20 -$13.20
Totals $241 .20 $4.95 $30.82 $27.95 $304.92
Increase Due to Rate Change $0.00 $0.00 $0.62 $1 .40 $2.02
Totals $241 .20 $4.95 $31 .44 $29.35 $306.94
% Impact on Total Bill 0.66%
43
Sample Customer Bill — Small Commercial ( GP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
5,000 kWh and 11000 cf $612.60 $4.95 $43.26 $39.23 $700.04
Electric ECA -$33.00 -$33.00
Totals $579.60 $4.95 $43.26 $39.23 $667.04
Increase Due to Rate Change $0.00 $0.00 $0.87 $1 .96 $2.83
Totals $579.60 $4.95 $44.13 $41 .19 $669.87
% Impact on Total Bill 0.42%
44
Sample Customer Bill — Small Commercial ( GP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
10,000 kWh and 3,000 cf $1 ,209.60 $9.90 $117.62 $95.63 $1 ,432.75
Electric ECA -$66.00 -$66.00
Totals $1 ,143.60 $9.90 $117.62 $95.63 $1 ,366.75
Increase Due to Rate Change $0.00 $0.00 $2.35 $4.78 $7.13
Totals $1 ,143.60 $9.90 $119.97 $100.41 $1 ,373.88
% Impact on Total Bill 0.52%
Sample Customer Bill — Commercial ( LP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
20,000 kWh and 5,000 cf $2,181 .81 $9.90 $179.82 $152.03 $2,523.56
Electric ECA -$132.00 -$132.00
Totals $2,049.81 $9.90 $179.82 $152.03 $2,391 .56
Increase Due to Rate Change $0.00 $0.00 $3.60 $7.60 $11 .20
Totals $2,049.81 $9.90 $183.42 $159.63 $2,402.76
% Impact on Total Bill 0.47%
46
Sample Customer Bill — Commercial ( LP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
60,000 kWh and 15,000 cf $6,221 .55 $14.85 $515.15 $434.03 $7,185.58
Electric ECA -$396.00 -$396.00
Totals $5,825.55 $14.85 $515.15 $434.03 $6,789.58
Increase Due to Rate Change $0.00 $0.00 $10.30 $21 .70 $32.00
Totals $5,825.55 $14.85 $525.45 $455.73 $6,821 .58
% Impact on Total Bill 0.47%
47
Sample Customer Bill — Commercial ( LP
Electric Storm Water
Electric / Water Use Summer Water Summer Sewer Total
1007000 kWh and 20,000 cf $10,284.95 $44.55 $719.30 $575.03 $11 ,623.83
Electric ECA -$660.00 -$660.00
Totals $9,624.95 $44.55 $719.30 $575.03 $10,963.83
Increase Due to Rate Change $0.00 $0.00 $14.39 $28.75 $43.14
Totals $9,624.95 $44.55 $733.69 $603.78 $11 ,006.97
% Impact on Total Bill 0.39%
48