HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 10/20/2009 - ITEMS RELATING TO UTILITY RATES AND CHARGES FOR 20 ITEM NUMBER: 28 A-G
AGENDA ITEM SUMMARY DATE: October20, 2009
FORT COLLINS CITY COUNCIL STAFF: Brian Janonis
Terri Bryant
SUBJECT
Items Relating to Utility Rates and Charges for 2010.
RECOMMENDATION
Staff recommends adoption of the Ordinances on First Reading.
The Water Board reviewed the 2009-2010 Water Utilities' budgets, water, sewer and stormwater
plant investment fee changes, and monthly water and wastewater rate increases at its August 27,
2009 Board meeting. The Board voted 7-2 to approve the proposed budget and rate and fee changes.
The Electric Board reviewed the 2009-2010 Light and Power budget and the proposed increases to
the electric rates and development fees and charges at its meeting on September 14, 2009. The
Board voted 5-1 to support the proposed budget and voted 4-2 to support the proposed rate and
development fee changes.
FINANCIAL IMPACT
The rate Ordinances are projected to increase the annual operating revenues of the Wastewater Fund
by 10%,the Water Fund by 3%,and the Light and Power Fund by 9.5%. There are no rate increases
to stormwater monthly rates. The combined utility fees for a typical single family residence during
the high usage summer months will increase $9.95 per month.
Proposed water, wastewater and stormwater plant investment fees (PIFs) are updated to reflect a
new customer's impact on the system and maintain existing customers' equity in the system.
Proposed electric development fees and charges cover costs of new commercial and residential
development.The financial impacts vary by the size and nature of the development. If the proposed
fees are adopted,water,wastewater and stormwater plant investment fees,and electric development
fees and charges will increase. The combined utility development fees for a typical single family
residence(exclusive of raw water requirements which are not changing)will increase from$10,696
to $11,509 or 7.6%.
The proposed fees will be effective January 1, 2010.
October 20, 2009 -2- Item No. 28 A-G
EXECUTIVE SUMMARY
A. First Reading of Ordinance No. 113, 2009,Amending Chapter 26,Article III, Division 4 of
the City Code Relating to User Rates and Charges for Water.
B. First Reading of Ordinance No. 114,2009 Amending Chapter 26 of the City Code Relating
to Wastewater Rates and Charges.
C. First Reading of Ordinance No. 115,2009 Amending Chapter 26 of the City Code to Revise
Electric Rates, Fees and Charges.
D. First Reading of Ordinance No. 116,2009,Amending Chapter 26 of the City Code to Revise
Water Plant Investment Fees.
E. First Reading of Ordinance No. 117,2009,Amending Chapter 26 of the City Code to Revise
Sewer Plant Investment Fees.
F. First Reading of Ordinance No. 118,2009,Amending Chapter 26 of the City Code to Revise
Electric Development Fees and Charges.
G. First Reading of Ordinance No. 119,2009,Amending Chapter 26 of the City Code to Revise
Stormwater Plant Investment Fees.
Three Ordinances (A, B & C) establish monthly water, wastewater and electric rates.
Four Ordinances (D, E, F, & G) adopt revised water, sewer and stormwater plant investment fees
and electric development fees. The fees are one-time charges paid by developers or builders for the
cost of the utility infrastructure needed to serve new development. Per Council direction, plant
investment fees are reviewed on an annual basis and revised during the biennial budget cycle. Plant
investment fees(PIFs)for water,wastewater and stormwater were last updated with the 2008-2009
budget. Electric development fees and charges are updated annually.
BACKGROUND
PLANT INVESTMENT FEES (PIFs)
• WATER PLANT INVESTMENT FEES
The water plant investment fees are developed to recover the current value of past investment and
the current value of future growth-related investment through 2040. This method includes
calculating net water system equity, capacity units, and determining the net system equity per unit
as follows:
1. The water system assets are valued at replacement cost adjusted by the construction
cost index as published by Engineering News Record.
October 20, 2009 -3- Item No. 28 A-G
2. The net system equity is determined by subtracting outstanding debt principal from
total replacement costs and adding projected growth related to capital improvement
projects.
3. The result is divided by the future total plant capacity to determine unit cost.
The investment in plant increased only slightly compared to the prior study. Residential and multi-
family usage characteristics remain unchanged, resulting in no recommended increase in PIFs for
2010. Commercial use characteristics increased, resulting in higher PIF charges for 2010.
The following schedule details PIFs for the various customer classes.
WATER PLANT INVESTMENT FEES BY CUSTOMER CLASS
2009 PIFs 2010 Proposed
Peak Day Current Peak Day Proposed
Customer Class/Meter Size Usa e d Charge Usa e d Charge Change
Residential:
Single Family
Inside Use 191 $ 730 191 $ 730 0%
Outside Use-$/S . Ft. 864 $ 0.36 864 $ 0.36 0%
Multi-Family(per unit
Inside Use 133 $ 490 133 $ 490 0%
Outside Use-$/S . Ft. 263 $ 0.27 263 $ 0.27 0%
Non-Residential meter size
'/4 inch 1,730 $ 6,970 1,850 1 $ 7,530 8.0%
1 inch 5,110 $ 20,590 5,340 $ 21,730 5.5%
1 '/2 inch 10,300 1 41,510 11,130 $ 45,300 9.1%
2 inch 16,210 $ 65,330 16,970 $ 69,070 5.7%
3 inch 35,370 $142,540 38,800 $157,920 10.80/(
>than 3 inches Based on specific customer requirements
*differences due to rdunding
The impact to a typical single family residence remains at the 2009 rate of$3,826(8,600 sq. ft. lot).
• WASTEWATER PLANT INVESTMENT FEES
The wastewater plant investment fees are developed using a similar method to the water PIFs,by
assessing new customers based on an allocation of the costs of the existing facilities and the
projected growth-related improvements. While the gallons per day treated decreased slightly for
most customer classes, the increased investment in plant resulted in increased PIFs for each
customer class for 2010.
October 20, 2009 -4- Item No. 28 A-G
The proposed fees are shown in the following tables:
WASTEWATER PLANT INVESTMENT FEES
Customer Class/Meter Size Existing 2009 Pro osed 2010
Volume Current Volume Proposed
G d Charge G d Charge Change
Single Family 321 $ 3,194 300 $ 3,550 11.1%
Multi-Family/Per Unit 208 $ 2,069 210 $ 2,490 20.3%
Non-Residential meter size
'/4 inch 624 $ 6,206 1 600 $ 7,100 14.4%
1 inch 1,644 $ 16,361 1,510 $ 17,880 9.3%
1 %2 inch 2,854 $ 28,396 2 660 $ 31,490 10.9%
2 inch 5,122 $ 50,963 4,670 $ 55,290 8.5%
3 inch 12,209 $121,484 12,680 $150 130 23.6%
4 inch and above assessed on individual basis
Wastewater plant investment fees for a typical single-family residence in 2010 would increase from
$3,194 to $3,550, or 11.1%.
• STORMWATER PLANT INVESTMENT FEES
Plant investment fees for stormwater are adopted on a citywide basis. All new development must
provide on-site detention as specified in the master plan. Regional elements are sized to handle
existing flows and to work incoordination with on-site detention in new developments. Stormwater
PIFs pay for a developer's proportionate share of the system infrastructure as it exists at the time
they develop.
The unit of measure used to allocate the value of the existing system between new customers and
existing customers is acres of developed land,adjusted with a runoff coefficient(a measure of how
water runs off various surfaces). Proposed development fees are calculated by dividing the value
of the current system, less outstanding debt, by the total acres of land (existing developed and
developable)in the service area. This number is then adjusted by the average runoff for the system.
The result is the unit value of the existing system per acre of developed land.
Stormwater Plant Investment Fee
2009 2010 - %
Current Proposed Change
Fees Fees
$4 420 $6 313 42.8%
The significant increase in fees is due to the large investments in stormwater infrastructure over the
last few years. A typical single family residential stormwater PIF would increase from $749 to
$1,069, or$320.
• ELECTRIC PLANT INVESTMENT FEES
Electric development charges include the allocated and actual costs to the utility for each
commercial or residential development. The two components of these charges are the Electric
Capacity Fee for the off-site electric system, and the Building Site Charge for the on-site electric
costs. The electric development charges are typically increased annually to adjust for inflation and
October 20, 2009 -5- Item No. 28 A-G
cost increases. Increases average from 1% for residential and 1.9% for commercial development
in 2010.
The following tables compare current fees with proposed fees for residential and commercial
development for customer electric loads served by the utility where the Utility owns the transformer:
ELECTRIC DEVELOPMENT FEES AND CHARGES-RESIDENTIAL
Category Charge 2009 2010 % Inc
Per square foot $0.04919 $0.04968 1.0%
Per lineal front foot $9.77 $9.90 1.3%
C7 n 150 amp Single
w Family(Non Elec
ago Heat) $1 262 $1 278 1.3%
Electric 20 amp Single
Capacity Family(&Elec
Fee* Heat 150 am $2 143 $2 165 1.0%
150 amp Multi-
Family(Non Elec
Heat) $842 $852 1 1.2%
200 amp Multi-
Family(&Elec
Heat 150 am $1 505 $1 520 1.0%
Building Site Secondary 1/0 $658 $666 1.2%
Charges Service 4/0 $817 $823 0.7%
ELECTRIC DEVELOPMENT FEES&CHARGES
COMMERCIAL
2009 2010 %
Category Charge Existing Proposed Change
Per square foot $0.04919 $0.04968 1%
Per lineal front foot $37.64 $38.20 1%
Electric Service 208V ]-ph $1 202 $I 238 3%
Capacity Fee* Entrance(per o
240V I-ph $1,386 $1,429 3/0
100 amps) 208V 3-ph $2,081 $2,145 3%
Utility
Owned 240V 3-ph $2,401 $2,475 3%
Transformers 480V 3-ph $4 803 $4,950 3%
Building Site Primary Circuit 1 phase $8.90 $8.90 0%
Charges Primary Circuit 3 phase $19.12 $19.00 -1%
Transformer Install 1 phase $1 257 $1 317 5%
Transformer Install 3 phase $2 335 $2 409 3%
*Utility Owned Transformer
The impact to a typical single family residence (8,600 sq. ft. lot, 150 amp service) is an increase of
$37 from $3,027 to $3,064, or 1%.
In addition,when the customer owns the transformer, the proposed kVA service charge is reduced
by $10.10 per kilovolt-amp (WA) of service load rating for electric capacity fees for customer
electric loads served by the utility. Proposed revisions to code language also identify the applicable
WA service charge for the utility to receive customer generation in excess of the customer's electric
service provided by the utility. Since the Utilities do not provide substation capacity for this
customer owned generation, the WA service charges are reduced by $11.24 per WA.
October 20, 2009 -6- Item No. 28 A-G
SUMMARY OF PIF CHANGES AND COMPARISONS
The following table shows the overall impact of the proposed Plant Investment Fees and Electric
Development Charges on a typical single family residence.
Impact on Single Family Residential
Current Proposed Change
2009 2010
Water* $ 3,826 $ 3,826 0.0% $ 0
Raw Water** $ 5203 $ 5,203 0.0% $ 0
Wastewater $ 3,194 $ 3,550 11.1% $ 356
Stotmwater*** $ 749 $ 1069 43.0% $ 320
Electric* $ 3,027 $ 3,064 1.0% $ 37
Total $15 999 $ 16 712 4.6% $ 713
*Typical,based on lot size of 8,600 sq. ft.,70 foot frontage, 150 amp service
**No increase for Raw Water
***8,600 sq.ft. lot plus estimated 6, 156 sp.ft common area and right-of-way, light runoff coefficient
Comparison to other utilities is difficult due to differences in customer use patterns, the unique
capital needs of each utility,and different policy direction from governing bodies. The question of
how Fort Collins Utilities compare to other area utilities often arises. The graph below compares
water,wastewater, and stormwater PIFs and raw water requirements for a single family residence
for some neighboring communities.
Wastewater, Stormwater and Water Plant Investment Fees
(Including Cash in Lieu of Raw Water Fees)
$30,000 - -
$25,000
$20,000
77
$15,000
$10,000
$5,000
- -f I'm i
$ Ft Collins Ft Collins Loveland Boulder Longmont Greeley Windsor
2009 Prop 2010
Cl Raw Water Fees $5,203 $5,203 $5,229 $- $7,530 $5,615 $13,500
*Water PlF $3,826 $3,826 $5,470 $11.507 $8.244 $10,100 $6,725
■Storm Drainage PIF $749 $1,069 $489 $4.025 $709 $227 $632
*Wastewater PlF $3.194 $3,550 $2,420 $2.561 $3,310 $4,500 $3,700
®Wastewater PIF ■Storm Drainage PIF 13 Water PIF 13 Raw Water Fees
October 20, 2009 -7- Item No. 28 A-G
*Assumptions and data sources:
a. Building Type: Single Family Residential
b. Building Square Footage: 2,200 sq. ft.
c. Dwelling units: 1
d. Lot Size: 8,600 sq. ft, (Stormwater at 14,756 sq. ft.gross)
e. Water Tap Size: '/4"residential
f. Does not include the cost of tap and meter fees or development review fees
g. Data obtained from city web sites and/or staff of each city.
Note: Greeley drainage fees vary by basin. High is$704, Low is$69, Median is $280,Mean is$227. Raw water is
dedicated prior to development.
MONTHLY RATES
The City contracted with Red Oak Consulting to conduct a cost of service study for the water and
wastewater rates. Cost of service is a process to determine a customer class's proportionate share
of a utility system's annual costs. Best practices within the water utility industry recommend
performing cost of service analysis on a regular basis to ensure proper cost recovery from the
various rate classes.
Water Rates
Ordinance No. 113,2009,proposes to increase the water utility fund's revenue by 3%.The increase
includes a cost of service adjustment and varies by customer class. With the proposed rate,a typical
single family residential customer's monthly bill will increase from $60.90 to $63.22 or$2.32 per
month in 2010. This is based on a typical single family residential summer usage of 21,000 gallons.
During lower use in the winter (5,000 gallons per month), the average bill will increase
approximately$0.86. The rate increase is needed to generate revenues to fund capital replacement
projects. The chart below shows the impact of the cost of service adjustments to the proposed rate
increase by customer class:
WATER UTILITY
Proposed(1)
2010 Rate Increase
Customer Proposed Revenue Cost of Service by Customer
Class Adjustment Adjustment Class
Residential 3.0% 0.8% 3.8%
Duplex/Multi- 3.0% (2.9)% 0.0%
family
Commercial 3.0% (1.3)% 1.7%
(1)Adjustments are cumulative
Wastewater Rates
Ordinance No. 114,2009,proposes to increase wastewater revenue by 10%. The increase includes
a cost of service adjustment and varies by customer class. With the proposed rate, a typical single
family residential customer's monthly bill will increase from $24.48 to $27.28 or$2.80 per month
in 2010. This is based on a system average of 5,200 gallons per month winter quarter average
October 20, 2009 -8- Item No. 28 A-G
(WQA) water use. Council approved monthly wastewater rate increases in 2008 and 2009 at 12%
and 11%, respectively, to fund wastewater operations and meet the increase in long-term debt
service obligations for a major capital project to replace the trickling filter, make odor control
improvements and prepare for future regulation-based improvements at the Mulberry facility. A 9%
increase is proposed for 2011 and 8% in 2012 to maintain reserve requirements, meet debt service,
and continue operations and maintenance functions. The following table shows the impact of the
wastewater cost of service adjustment by customer class:
WASTEWATER UTILITY
Proposed(1)
2010 Rate Increase
Proposed Revenue Cost of Service by Customer
Customer Class Adjustment Adjustment Class
Residential 10.0% 1.30% 11.5%
Duplex/Multi-family 10.0% (.20)% 9.80%
Commercial 10.0% (2.5)% 7.30%
(1)Adjustments are cumulative
Electric Rates
The Utilities are proposing an electric rate increase of 9.5% in 2010 for all customer classes and
8.6% in 2011. The rate increase is made up of the following components:
Recommended Retail Electric 2010 2011
Rate Increase
Purchase Power 4.79% 4.71%
Purchase Power—Renewables 0.82% 0.00%
Energy Services 1.81% 1.81%
Advanced Metering Infrastructure(AMI) 2.08% 2.08%
Total Electric Rate Increase 9.50% 8.60%
Platte River's increases are due to several factors:
• Capital investments = $335 million over ten years: transmission approximately $149
million, production approximately$179 million, general at approximately$7 million (cost
of materials is increasing, underground transmission).
• Craig coal costs have increased.
• Reserve requirements increasing.
• Xcel Energy is beginning to charge for ancillary services.
• Surplus sales are decreasing (the margin from surplus sales subsidizes the rate to the
municipalities) as municipal energy consumption increases.
• Interest income has decreased due to lower interest rates.
Platte River's wholesale premium charge for renewable energy will increase from$0.012 per kWh
to $0.019 per kWh. The increase is due primarily to increasing the amount of generation plant
October 20, 2009 -9- Item No. 28 A-G
compared to renewable energy credits as directed by Platte River's Board approved Renewable
Policy. This increases Fort Collins annual cost to purchase renewable energy by$708,000 per year.
The Energy Services increase will fund additional conservation programs and customer initiatives
to support Energy Policy goals.
The Advance Metering Infrastructure (AMI) project is estimated to cost $21.5 million, with Light
and Power's share at$17.5 million. In order to fund the AMI project and keep reserves at minimum
policy levels, a 2.08%rate increase in retail electric rates is required for both 2010 and 2011. Each
2.08% rate increase is projected to generate approximately$1.66 million of revenue per year—not
the full cost of the project. AMI will also be funded through depletion of the reserves. While long
term savings from the AMI project are projected, the initial cash flows require a rate increase to
maintain reserves at minimal levels over the next five years. Federal stimulus funding is also being
pursued and; if obtained, the rate impact would be reduced.
Electric Rate Options
The chart below provides Council with the projected rate increases given the following
considerations:
Option 1 —9.5%, Recommended Budget
Option 2— 7.42%, Budget without AMI
Electric Rate Options for 2010
Cost for 700 kWh - $ Increase % Increase
Residential Rate from 2009 from 2009
2009 Rate $50.66
Option 1 - 9.5% $55.48 $4.82 9.5%
Option 2 - 7.42% $54.43 1 $3.77 1 7.4%
The Electric Rate Ordinance included in the recommendation is based on Option 1.
I
October 20, 2009 -10- 1 Item No. 28 A-G
Monthly Rate Summary
P
The following table summarizes the impact of the proposed rate increases on a typical single family
residential customer's monthly utility bill. In total,a"typical"customer's summer bill will increase
$9.94 per month.
Typical Residential Customer— onthl Utility Bill
Current Proposed $ %
2009 2010 Increase Increase
Electric
700 kWh per month $ 50.66 $ 55.48 $4.82 9.5%
Wastewater
5,200 gallons/month
winter quarter use $ 24..48 $ 27.28 $2.80 11.5%
Stormwater
8,600 s .ft. lot, light runoff $ 14.26 $ 14.26 $0.00 0%
Water
January 5,000 gallons $ 22.56 $ 23.43 $0.86 3.8%
July 21,000 gallons $ 60.90 $ 63.22 $2.32 3.8%
Total January Monthly Utility Bill $111.96 1 $120.45 $8.49 7.6%
Total July Monthly Utility Bill $150.30 $160.24 $9.94 6.6%
October 20, 2009 -11- Item No. 28 A-G
The following charts compare water,wastewater,stormwater and electric utility costs for eight Front
Range cities. They include the recommended 2010 increases for Fort Collins,Loveland,Longmont
and Colorado Springs, and 2009 known rates for Denver, Boulder, Greeley, and Aurora.
Residential Utilities 2009 Rate Comparison
July Water Use 21,000 Gallons
$250
$200
$150
$100
$50
Loveland Longmont Ft.Collins Co.Sprs'10
'10 Est '10 Esl Boulder'09 ,10 Denver'09 Greeley'09 Aurora'09 Est
®Stonnwater $1.0.39 $7.13 $6.95 $14.26 $7.40 $5.27 $7.70 $6.00
❑Wastewater $19.15 $20.20 $20.72 $27.28 $20.28 $20.70 $16.22 $32.59
■Water $37.54 $60.41 $57.03 $63.22 $63.62 $67.01 $114.80 $1.23.34
*ElecUic $52.51 $48.83 $75.53 $55.48 $75.53 $75.53 $75.53 $66.27
Residential Utilities 2009 Rate Comparison
January Water Use-5,000 Gallons
$140 - -
$120
$100
$80
$60
$40
$20
Longmont Loveland Ft.Collins Co.Sprs'10
'10 Est '10 Est Denver'09 Boulder'09 Greeley'09 '10 Aurora'09 Est
®Stormwater $7.13 $10.39 $7.40 $6.95 $5.27 $14.26 $7.70 $6.00
O Wastewater $20.20 $19.15 $20.28 $20.72 $20.70 $27.28 $16.22 $32.59
■Water $13.85 $12.17 $13.96 $18.85 $21.25 $23.43 $35.72 $25.92
*Electric $48.83 $52.51 $62.35 $62.35 $62.35 $55.48 $62.35 $66.27
Nate: Boulder, Denver, Greeley and Aurora electric provided by Xcel 2009 summer and winter
rates shown.
October 20, 2009 -12- Item No. 28 A-G
Customers can reduce their monthly bills through conservation. A 10% reduction in usages for a
typical residential customer would impact their monthly utility bill as follows:
Typical Residential Customer-Monthly Utility Bill
(With and Without 10% Reduction in Use)
Current Proposed $ % Proposed $Increase %
2009 2010 Increase Increase 2010 (Decrease) Increase
from from from 2009 (Decrease)
2009 2009 from 2009
No change in use 10% reduction in use*
Electric
700 kWh per
month $50.66 1 $55.48 $4.82 9.5% $50.36 $0.30 -0.6%
Wastewater
5,200
gallons/month
winter quarter
use W A $24.48 $27.28 $2.80 11.5% $25.91 $1.43 5.9%
Stormwater
8,600 sq.ft. lot,
-light runoff $14.26 1 $14.26 $0.00 0.0% $14.26 $0.00 0.0%
Water
January-5,000
gallons $22.56 $23.43 $0.86 3.8% $22.40 $0.16 -0.7%
July-21,000
gallons $60.90 $63.22 $2.32 3.8% $57.55 $3.36 -5.8%
Total January Mo.
-Utility Bill $111.96 $120.45 $8.49 7.6% $112.94 $0.98 0.9%
Total July
Monthly Utility
Bill $150.30 $160.24 $9.95 6.6% $148.08 $2.22 -1.5%
* 10% reduction in
use:
Electric 630 kWh per month
Wastewater 4,680 Winter Quarter Gal/Mo
Water:January 4,500 gallons, July 18,900 gallons
No change to Stormwater
ATTACHMENTS
1. Water Board Minutes excerpt from August 27, 2009 meeting relating to budget, rates and
PIFs.
2. Electric Board Minutes excerpt from September 14,2009 meeting relating to budget,rates,
and electric fees.
3. PowerPoint presentation
ATTACHMENT
Excerpt from Approved Water Board August 27, 2009, Minutes
Recorded by Meagan Peil, Customer Service Representative, Utilities
2010-2011 Budget Presentation
Utilities Finance Manager Terri Bryant presented the water, wastewater, stormwater, and
customer service and administration budgets for 2010-2011. The budget assumptions are
based on three percent inflation, no salary increases in 2010 with a two percent increase
in 2011, and conservative growth projections.
Water:
The proposed budget for water is $34.8 million in 2010 and $34.6 million in 2011. The
largest dip from 2009 to 2010/2011 is the Halligan Project. The rate increase proposed
would cover capital projects.
Wastewater:
The proposed budget for wastewater is $23.3 million in 2010 and $22.5 million in 2011.
Under capital projects, the dip is from the Mulberry Water Reclamation Facility.
Stormwater.-
The proposed budget for stormwater is $15.5 million in 2010 and $14.6 million in 2011.
There are no rate increases proposed for stormwater. Revenues have been stable, and
there is a decrease in capital projects. There has been no monthly rate increase for
stormwater since 2004. The Stormwater Master Plan was initially a 25-year plan, but is
now a 35-year plan. The level of protection changed after the 1997 flood at Council's
direction.
Cost of service:
Cost of service is a process to determine a proportionate share of a utility system's annual
cost by customer class. A cost of service study was completed, resulting in a proposed
2010 water and wastewater rate increase based on customer class and plant investment
fees. The adjustments are the amount of additional revenue needed to meet financial
obligations which means, "How much the utility needs", and the change in cost to
provide service to a customer class which means, "Who pays". Plant investment fees are
revised based on Council's direction. In this budget, water plant investment fees do not
increase for single families but increase for commercial customers by eight to 11 percent.
Wastewater plant investment fees increase 11 percent for single family and 20 percent for
commercial customers. Stormwater investment fees increase 42.8 percent due to
significant capital projects in 2008. The residential customer impact will be an increase of
approximately ten dollars on their bill.
Customer Service and Administration:
The proposed customer service and administration budget for 2010-2011 is $16 million
per year and includes Light and Power and water utilities. This fund area covers customer
services, meter reading, locates, education and safety. The $2.1 million increase goes to
fund critical new positions, payments for MIS services, space planning and relocating the
customer service division in March 2010. Also, code language is being changed to
address billing errors (under and over billing).
In summary, at the time this proposed budget goes forward to Council for consideration:
• Reserve policies are met;
• Debt coverage for all funds is met; and
Water Board Approved Minutes 1
August 27, 2009
• Water and wastewater proposed rate increases include cost of service adjustments,
and plant investment fees have been revised and updated per Council direction.
The challenges going forward for Utilities will be in the areas of asset management,
succession planning, rate stability and the 2 1" Century Sustainability Initiative.
Questions from the presentation:
How often are the costs of service studies done?
Todd Cristiano from Red Oak Consulting stated most utilities have a five year financial
plan because they are not very accurate if done further out. The last study was completed
in 1999 due to changes in administration.
Advanced Metering Infrastructure (AMI) was discussed. The meters can communicate
with our customers with daily meter reads to manage use. The meters can be used for
conservation and in order to accomplish this, the infrastructure and meters need to be
replaced. Implementation will occur in 2011 with the installation of the meters in 2010.
Can you explain why we are raising water rates?
New strategies are being developed regarding replacing parts of the distribution system.
One distribution project is planned for the Old Town area due to aging. Funds to build
reserves for these types of projects are needed to avoid a large rate increase. Also, with
less water usage, revenues decrease, and rates would have to be raised again to put
money in the reserves. A three percent increase keeps revenues stable.
Why weren't these being replaced before?
We were in a growth mode and were not replacing and repairing the system.
Motion:
Recommendation to Council to approve the Water, Wastewater, and Stormwater and
Customer Service and Administration Utilities' 2010-2011 Proposed Budgets and rate and fee
increases.
Board Member Pillard moved to approve the motion, and it was seconded by Board
Member Phelan.
Discussion on the motion:
Are there increases or decreases in full time employees in water, wastewater and
stormwater?
Full time employee cost was reduced by eliminating vacancies such as the water plant
supervisor position. Also, AMI will reduce the workforce in meter reading and customer
service, which will be reflected in the 2012 budget. Staff noted the increase in full time
employees in the customer service area are for the security coordinator and one full time
employee for the water conservation program. The asset management position was
funded through the 2008-2009 budgets.
Chairperson Janett will be supporting the motion because of the conservative growth
projections, more fairness embedded in cost of service changes and the asset management
direction is entirely appropriate. The planning for outdated, outmoded infrastructure is
Water Board Approved Minutes 2
August 27, 2009
critically important, as well as transition from a growth economy to a maintenance
economy.
Why are the plant investment fees going up?
Revenue is needed to replace the pipes.
Vote on the motion:
Yeas - 7,Nays—2 (reasons noted below)
Board Member Wockner stated three reasons for voting against the budget. First, Fort
Collins has the highest stormwater rates in America, and the stormwater program has
exorbitant rates. Also, money for the Halligan expansion project is still in this budget,
and it has not been proven the project is necessary. Last, growth is not paying its own
way, and the rate will be subsidizing growth.
Board Member Connor stated three reasons for voting against the budget. First, there is
not enough being done to aggressively reduce debt, primarily stormwater. Also, the
budget calls for increasing the number of full time employees during a time of economic
stress. Finally, his nay vote is a criticism of Council's philosophy toward fiscal
irresponsibility, and he made it clear it is not intended as a criticism of the job being done
by the Utilities Finance Manager or Utilities staff. He understands staff is directed by
Council.
Motion passed.
Motion:
Recommendation to Council to approve codification language of existing policy related to
billing errors.
Board Member Waskom moved to approve the motion, and Board Member Brown
seconded the motion.
Discussion on the motion:
Why don't we see the final language?
The language will be written at a later time; we are looking for a motion on the concept
of the language.
A friendly amendment was proposed to remove the word "language" from the original
motion.
Board Member Waskom accepted the friendly amendment, and it was seconded by Board
Member Brown.
The amended motion reads:
Recommendation to Council to approve codification of existing policy related to billing
errors.
Vote on the motion was unanimous. Motion passed.
Water Board Approved Minutes 3
August 27, 2009
ATTACHMENT
Excerpt from Approved Electric Board September 14, 2009, Minutes
Recorded by Meagan Peil, Customer Service Representative, Utilities
2010-2011 Budget Presentation
(Presentation available upon request)
Utilities Finance and Budget Manager Terri Bryant introduced Utilities Financial
Operations Manager Ellen Switzer to present the proposed 2010-2011 Light and Power
Budget.
Summary
In summary, the 2010 budget is $115, 985, 597, and the 2011 budget is $115,343, 797.
There is a proposed monthly rate increase of 9.5 percent in 2010 and 8.6 percent in 2011
which can be offset by conservation. The electric development fees will increase 1.2
percent for residential and 1.8 percent for commercial. Also, staff are exploring
codification for the billing error policy.
Motion:
Board Member Barnish moved that the Board recommend that City Council
approve the codification of the billing error policy.
Board Member Harris seconded the motion.
The vote on the motion was unanimous. Motion passed.
Electric Board Approved Minutes—Excerpt 1
September 14, 2009
UTILITY RATES
DEVELOPMENT FEES
Fort Collins City Council Meeting
October 20 , 2009
F�tf l
2010 Utility Proposed Monthly Rate Increases
• Electric rates are proposed to increase 9 . 5 %
• Water & Wastewater
— 2010 proposed monthly rate increases include a
revenue adjustment and cost of service adjustments
(COS ) , therefore rate increases will vary by customer
ATTACHMENT 3
class
• Water is proposing a 3% revenue adjustment
— Single Family Residential increase with COS = 3 . 8%
• Wastewater is proposing a 10 % revenue adjustment
— Single Family Residential increase with COS = 11 . 5 %
F�t
TYPICAL RESIDENTIAL CUSTOMER — MONTHLY UTILITY BILL
Current Proposed $ Increase % Increase
2009 2010 from 2009 from 2009
Electric
700 kWh per month $50.66 $55.48 $4.82 9.5%
Wastewater
5,200 gallons/month
winter quarter use (WQA) $24.48 $27.28 $2.80 11.5%
Stormwater
8,600 sq.ft. lot, light runoff $14.26 $14.26 $0.00 0.0%
Water
January 5,000 gallons $22.56 $23.43 $0.86 3.8%
July 21 ,000 gallons $60.90 $63.22 $2.32 3.8%
Total January Monthly Bill $111.96 $120.45 $8.49 7.6%
Total July Monthly Bill $150.30 $160.24
Residential Utilities 11 ' Rate Comparison
July Water Use 111 Gallons
11
$150 -
11
1
$- Loveland
1 1 Boulder '09 Ft. Collins AD Denver 1 ' ®® 1 Est
PLANT INVESTMENT FEES ( PIFs)
DEVELOPMENT CHARGES AND FEES
• Water, Wastewater and Stormwater PIFs
— reviewed annually; updated biennially
— directly related to new customers impact on the system
• Electric Development Fees and Charges — updated annually
— Recover allocated and actual costs of development
• Typical single family residence increases from $ 10 , 696 to
PLANT INVESTMENT FEES AND ELECTRIC DEVELOPMENT CHARGES
*IMPACT ON SINGLE FAMILY RESIDENTIAL LOT*
Current Proposed Change
2009 2010
Water* $3,826 $3,826 0.0% $0
Raw Water $5,203 $5,203 0.0% $0
Wastewater $3, 194 $3,550 11 . 1% $356
Stormwater* * $749 $ 1 ,069 43 .0% $320
Electric* ** $3,027 $3,064 1 .0% $37
Total $15,999 $16,712 4.6% $713
*Typical, based on lot size of 8,600 sq. ft
**8,600 sq. ft. lot plus estimated 6, 156 sq. ft. common area; light runoff coefficient
***8,600 sq. ft. lot, 70 ft. frontage, 150 amp service Ci of
f�
Wastewater, Stormwater & Water PIFs
(Including Cash in Lieu of Raw Water Fees)
$307000
$25,000
$20,000
$15,000 '
$10,000 . . .
$5,000
$-
Ft Collins Ft Collins Loveland Boulder Longmont Greeley Windsor
2009 Prop 2010
` ■ Wastewater PIF Storm Drainage PIF
Water PIF Raw Water Fees
ORDINANCE NO. 113 , 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26, ARTICLE III, DIVISION 4
OF THE CODE OF THE CITY OF FORT COLLINS
RELATING TO USER RATES AND CHARGES FOR WATER
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter, to fix, establish, maintain and provide for the collection of such rates, fees or charges
for utility services furnished by the City as will produce revenues sufficient to pay the costs
expenses and other obligations of the water utility, as set forth therein; and
WHEREAS , Section 26- 118 of the Code of the City of Fort Collins, requires that the City
Manager analyze the operating and financial records of the water utility during each calendar year
and recommend to the City Council the user rate fees to be in effect for the following year; and
WHEREAS , the City Manager and City staff have recommended to the City Council that
the following water use rates be imposed for the billing year beginning January 1 , 2010 ; and
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows :
Section 1 . That Section 26- 127 of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-127. Schedule B, meter rates.
(a) Residential Rates .
( 1 ) Residential customers with one ( 1 ) dwelling unit.
a. Base Charge. Residential customers with one ( 1 ) dwelling
unit shall pay a base monthly charge of twelve dollars and
forty-six cents ($ 12 .46) .
b. Quantity Charge. Residential customers with one ( 1 )
dwelling unit shall pay a monthly quantity charge as follows :
For the first seven thousand (7,000) gallons used per month,
a charge of one dollar and - - ninety-two
and eight-tenths cents ($f . 857 $ 1 . 928) per one thousand
( 1 ,000) gallons .
For the next six thousand (6,000) gallons used per month, a
charge of two dollars and thirteen and twenty-one and
six-tenths cents ($2 . f 3 5 $2 .216) per one thousand ( 1 ,000)
gallons .
For all additional gallons used per month, a charge of two
dollars and - - fifty-four and nine-tenths cents
($-2 .456 $2 . 549) per one thousand ( 1 ,000) gallons .
(2) Residential customers with two (2) dwelling units .
a. Base Charge. Residential customers with two (2) dwelling
units shall pay a base monthly charge of fourteen dollars and
sixty-three cents ($ 14. 63 ) .
b. Quantity Charge. Residential customers with two (2)
dwelling units shall pay a monthly quantity charge as follows :
For the first nine thousand (9,000) gallons used per month, a
charge of one dollar and eighty-five and seven-tenths cents
($ 1 . 857) per one thousand ( 1 ,000) gallons .
For the next four thousand (4,000) gallons used per month, a
charge of two dollars and thirteen and five-tenths cents
($2 . 135) per one thousand ( 1 ,000) gallons .
For all additional gallons used per month, a charge of two
dollars and forty-five and six-tenths cents ($2 .456) per one
thousand ( 1 ,000) gallons .
(3 ) Residential customers with more than two (2) dwelling units.
a. Base Charge. Residential customers with more than two (2)
dwelling units shall pay a base monthly charge of twelve
dollars and thirty-six cents ($ 12 . 36) for the first dwelling unit
and four dollars and twelve cents ($4. 12) for the second and
each additional dwelling unit.
b. Quantity Charge. Residential customers with more than two
(2) dwelling units shall pay a monthly quantity charge of one
dollar and seventy-nine and four-tenths cents ($ 1 . 794) per
one thousand ( 1 ,000) gallons used in the winter season
months of November through April. They shall pay a monthly
quantity charge of two dollars and twenty-four and three-
tenths cents ($2 . 243 ) per one thousand ( 1 ,000) gallons used
in the summer season months of May through October. The
-2-
meter reading date shall generally determine the seasonal
monthly quantity charge ; however, no customer shall be
billed more than six (6) full billing cycles at the summer
quantity charge .
(b) Nonresidential Rates.
( 1 ) Base charge. Nonresidential customers shall pay a base monthly charge
based on meter size as follows :
Meter Size Monthly Base
(inches) Charge
3�4 $ iO , 96$ 11 . 15
1 30 . 5831 . 10
1 %2 83 , f 584 , 56
2 125 . 31127 .44
3 19H5194 . 38
4 300.05305 . 15
6 582 , 06591 , 96
8 '_ ,028.2711045 . 75
(2) Quantity charges. Nonresidential customers shall pay a monthly quantity
charge of one dollar and - - fifty-five cents ($f . 524
$ 1 . 55) per one thousand ( 1 ,000) gallons used in the winter season months of
November through April. They shall pay a monthly quantity charge of one
dollar and ninety and sbt--ninety-three and eight-tenths cents ($i . 906$ 1 . 938)
per one thousand ( 1 ,000) gallons used in the summer season months of May
through October. The meter reading date shall generally determine the
seasonal monthly quantity charge; however, no customer shall be billed more
than six (6) full billing cycles at the summer quantity charge.
(3 ) Charges for excess use. Monthly water use in excess of the amounts
specified in the following table shall be billed at two dollars and nineteen an
one---twenty-two and eight-tenth cents ($2 . f 91 $2 . 228) per one thousand
( 1 ,000) gallons used in the winter season months ofNovember through April.
Monthly water use in excess of the amounts specified below shall be billed
at two dollars and - - seventy-eight and six-tenths cents
($2 . 739 $2 . 786) per one thousand ( 1 ,000) gallons used in the summer season
months of May through October. The meter reading date shall generally
determine the seasonal billing excess quantity charge ; however, no customer
shall be billed more than six (6) full billing cycles at the summer excess
quantity charge .
-3 -
Meter Size Specified Amount
(inches) (gallons per month)
3/4 1001000
1 3001000
11/z 6251000
2 1920000
3 11400,000
4 2950000
(c) Service outside the City. The monthly charge for water taken through a meter
by a user outside the City limits shall be the same as for like service within the City
limits as specified in Subsections (a) and (b) of this Section.
(d) Rates by special water services agreement. The rate structure and associated
charges for water service pursuant to a special water services agreement approved
by the City Council pursuant to § 26- 130 shall be as set forth in said agreement.
Section 2 . That the amendments to the Chapter 26 of the City Code contained herein
shall go into effect in January 1 , 2010 .
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009, and to be presented for final passage on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
-4-
ORDINANCE NO . 114, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS
RELATING TO WASTEWATER RATES AND CHARGES
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter to fix, establish, maintain and provide for the collection of such rates, fees or
charges for utility services furnished by the City as will produce revenues sufficient to pay the
costs expenses and other obligations of the wastewater utility, as set forth therein; and
WHEREAS , City Code Section 26-277 requires that the City Manager analyze the
operating and financial records of the wastewater utility during each calendar year and
recommend to the City Council the user rate fees or adjustments to be in effect for the following
year; and
WHEREAS , City Code Section 26-277 further requires that the user rates be revised as
necessary to assure equity of the rate system established and to assure that sufficient funds are
obtained to adequately operate and maintain the wastewater system; and
WHEREAS , the treatment performance of the Mulberry Wastewater Reclamation Plant
has significantly degraded and $31 . 8 million is required to upgrade the plant's secondary
treatment processes, to prepare the plant for future regulation-based improvements and to make
odor control improvements ; and
WHEREAS , such improvements are not related to growth and will require increased user
rates over a five year period in order to generate sufficient revenues to repay the debt necessary
to finance these improvements ; and
WHEREAS , wastewater rates and charges were increased in 2008 to finance the
necessary improvements and this is the third year in the five year period; and
WHEREAS , the City Manager and City staff have recommended to the City Council that
the following wastewater rates be imposed for the billing year beginning January 1 , 2010 .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows :
Section 1 . That Section 26-280 of the Code of the City of Fort Collins is hereby
amended to read as follows :
See. 26-280. Service charges established by category.
The schedule of rates for each category described in § 26-279 shall be as follows :
Category Class of Customer Rate
A Single-family residential $25 . 70 $28 . 66 per month
user (flat rate)
Single-family residential $ 11 . 33 $ 12 . 80 per month plus $2 .262 $2 .488 per
user (metered water use) 1 ,000 gallons of either winter quarter water use or
3 ,000 gallons, whichever is greater
B Duplex (two - family) $46 . 76 $44 .75 per month
residential users (flat
rate)
Duplex ( two - family) $ f5 . 13 $ 16 . 58 per month plus $2.262 $2 .488 per
residential u s e r s 1 ,000 gallons of either winter quarter water use or
(metered water use) 4,000 gallons, whichever is greater
C Multi-family residential $2.262 $2 .488 per 1 ,000 gallons of winter quarter
user (more than two water use, plus a base charge of $-79 $ 1 . 95 per
dwelling units including month per dwelling unit served
mobile home parks) and
winter quarter based
nonresidential user
D Minor nonresidential $2.262 $2 .488 per 1 ,000 gallons of water use,
user measured sewage flow or winter quarter water use,
whichever is applicable, plus the following
applicable base charge :
Size of water meter Basecharge
(inches)
3/a or smaller $�4$7 . 18
1 17 .4416 . 58
1 '/z 33 . 3 f33 . 37
2 59 . 0957 . 09
3 98.f991 .22
4 164 . 90144 . 06
6 808 .46631 . 51
8 $ 77 . 88729 . 17
E and F I n t e r m e di ate $2.262$2 .488 per 1 ,000 gallons of water use,
nonresidential user and measured wastewater flow or winter quarter water
Significant industrial use, whichever is applicable ; plus a surcharge of
user $2. f68$2 . 574 per million gallons for each milligram
per liter of suspended solids in excess of 2-50235
-2-
milligrams per liter; plus a surcharge of
$ 1 . 820$2 . 143 per million gallons for each milligram
per liter of BOD in excess of 200265 milligrams per
liter or a surcharge of $ H22$ 1 . 353 per million
gallons for each milligram per liter of COD in
excess of 300400 milligrams per liter, or a surcharge
of $3 . 259$4 . 007 per million gallons for each
milligram per liter of TOC in excess of +00130
milligrams per liter, whichever is applicable . The
user shall pay this calculated amount plus the
applicable base charge set forth below:
Size of water meter Base
(inches) charge
3/a or smaller G4$7 , 18
1 f 7 ,4416 , 58
11/z 35, 3 t33 , 37
2 59 0957 , 09
3 98,t991 .22
4 f64 90144, 06
6 808 ,46631 , 51
8 877 , 88729 , 17
G User outside City limits The rate for users outside the City limits shall be the
same as for like service inside the City limits as is
specified in Categories AF and H in this Section
H Special with agreement The rate pursuant to a special wastewater services
agreement approved by the City Council pursuant to
§ 26-290 shall be set forth in said agreement.
Section 2 . That Section 26-282 (a) of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-282. Wastewater strength or industrial surcharges and categories
established.
(a) The schedule of wastewater strength surcharge for customers located
either inside or outside the City limits shall be as follows :
-3 -
Parameter Excess over (mg/Z) Rate per
1, 000 gallons
BOD 200265 $0:00�20$0 . 002143
COD 3-004000 . 00 f f 220 . 001353
TOC +00130 0,0032590 , 004007
TSS 2-50235 0 . 002680 . 002574
Section 3 . That Section 26-289 of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-289. Miscellaneous fees and charges.
The following is a schedule of miscellaneous fees and charges :
Description Amount
( 1 ) Connection fees and service Fees shall be set forth as in §
charges 26-712(b)
(2) Industrial discharge permits :
a. Administration $ 76 . 00 annually
b . Surveillance Determined for each user
annually, based on direct
cost plus 15 % indirect costs,
billed monthly
(3 ) Laboratory support services Determined on a case-by-
case basis based on direct
cost plus 15 % indirect costs
(4) Determined on a case-by-case Cost plus 15 %
basis based on direct cost plus
15 % indirect costs
(5 ) Charges for disposal at the Fort
Collins Regional Sanitary Waste
Transfer Station:
a. Septic tanks, vaults, privies,
portable toilets :
Generated within Larimer $6$5-$0 . 061 per gallon
County
Generated outside Larimer $6-6�75$0 . 092 per gallon
County
b. Recreational vehicle sanitary
waste holding tanks :
Residential customers of the No charge for single disposal
City of Fort Collins
Wastewater Utility
-4-
Others $2 . 00 base fee plus $-. 05
$0 . 061 per gallon
(6) Miscellaneous fees Determined on a case-by-
case basis based on direct
costs plus 15 % indirect costs
Section 3 . That the amendments to the Chapter 26 of the City Code contained herein
shall go into effect in January 1 , 2010.
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009 , and to be presented for final passage on the 3rd day of November, A.D .
2009 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
- 5 -
ORDINANCE NO . 115 , 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26
OF THE CODE OF THE CITY OF FORT COLLINS
TO REVISE ELECTRIC RATES, FEES AND CHARGES
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter to fix, establish, maintain and provide for the collection of such rates, fees or
charges for utility services furnished by the City as will produce revenues sufficient to pay the
costs, expenses and other obligations of the electric utility, as set forth therein; and
WHEREAS , Platte River Power Authority ("Platte River") has increased the City ' s
wholesale cost of power approximately 6 . 3 % in 2010 ; and
WHEREAS , Platte River has increased the premium cost of renewable power from one
cent to 1 . 9 cents per kilowatt hour in 2010; and
WHEREAS , the costs associated with funding the energy efficiency and other programs
described in the Council-approved Energy Policy and the Advanced Metering Infrastructure
project will require additional revenues ; and
WHEREAS , the City Manager and City staff have recommended to the City Council the
following adjustments to the electric rates for all billings issued with meter readings on or after
January 1 , 2010 ; and
WHEREAS, based on the foregoing, it is the desire of the City Council to amend Chapter
26 of the City Code to revise electric rates, fees and charges .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows :
Section 1 . That Sections 26-464(c) and 26-464(d) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-464. Residential energy service, schedule R.
(c) Monthly rate. The monthly rates for this schedule are as follows :
( 1 ) Fixed charge, per account: fie- Four dollars and sixty-nine four cents
($3-69 $4 . 04) .
(2) Demand charge, per kilowatt-hour : Two and eighty-nine one-
hundredths cents ($0. 0288 $0 . 0289) ,
(3 ) Distribution facilities charge, per kilowatt-hour: One and
fifty-six eighty-nine one-hundredths cents ($$:6f56
$0 , 0189) ,
(4) Energy charge, per kilowatt-hour: f)nc Two and eighty=sip
twelve one-hundredths cents ($S0.0186 $0 . 0212) .
(5) In lieu of taxes and franchise : a charge at the rate of six and
zero-tenths (6. 0) percent of all monthly service charges
billed pursuant to this Section.
(d) Renewable resource. Renewable energy resources, including but not
limited to energy generated by the power of wind, may be offered on a voluntary
basis to customers at a premium of one and nine-tenths cents ($ . 019) per kilowatt
hour. The utility may establish and offer voluntary programs designed to increase
and enhance the use of energy generated by renewable energy resources in
support of Council adopted policy applicable to the utility.
Section 2 . That Sections 26-465 (c) and 26-465 (d) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-465. Residential demand service, schedule RD.
(c) Monthly rate. The monthly rates are as follows :
( 1 ) Fixed charge, per account: Six dollars and eight sixty-seven cents ($-6-fig
$6 , 67) ,
(2) Demand charge, per kilowatt: Four dollars and nineteen twenty-one cents
(" $4 .21 ) .
(3 ) Distribution facilities charge, per kilowatt-hour: One and twee forty-one
one-hundredths cents ($0. 0tt2$0 . 0141 ) ,
(4) Energy charge, per kilowatt-hour: 6ne Two and eighty-six twelve one-
hundredths cents ($0. 0186 $0 . 0212) .
(5 ) In lieu of taxes and franchise : a charge at the rate of six and zero-tenths
(6 . 0) percent of monthly service charges billed pursuant to this Section.
(d) Renewable resource. Renewable energy resources , including but not
limited to energy generated by the power of wind, may be offered on a voluntary
-2-
basis to customers at a premium of one and nine-tenths cents ($ . 019) per kilowatt
hour. The utility may establish and offer voluntary programs designed to increase
and enhance the use of energy generated by renewable energy resources in
support of Council adopted policy applicable to the utility.
Section 3 . That Sections 26-466(c), (d) , and (f) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-466. General service, schedule GS.
(c) Monthly rate. The monthly rates for this schedule are as follows :
( 1 ) Fixed charge, per account :
a. Single-phase, two-hundred- ampere service : T-vnrFive
dollars and eighty-fou one cents ($ 4 $ 5 . 01 ) .
b. Single-phase, above two-hundred-ampere service : Se°vert
Nine dollars and forty-si sixty-three cents ($ G $9 . 63 ) .
c . Three-phase, two-hundred-ampere service : Fom Six dollars
and sing-one seventy-eight cents (54-. 6f$6 . 78).
d. Three-phase, above two-hundred-ampere service : Eight
Ten dollars and seventy-three ninety cents $ 10 . 90) .
(2) Demand charge, per kilowatt-hour:
a. First two thousand (2 ,000) kilowatt-hours : Four and
fourteen sixteen one-hundredths cents ($0 . 04H $ 0 . 0416).
b. Next five thousand (5 ,000) kilowatt-hours : One and ninety-
five ninety- six one-hundredths cents ($0 . 0 f 95 $0 . 0196) .
c . All additional kilowatt-hours : Zero ($0. 00) .
(3 ) Demand charge, per kilowatt:
a. All kilowatts billed in excess of twenty-five (25) kilowatts :
Seven dollars and err twenty-seven cents ($ 24
$7 ,27) ,
-3 -
(4) Distribution facilities charge, per kilowatt-hour: One and forty-two sixty-
six one-hundredths cents ($0. 0142 $0 . 0166) .
(5 ) Energy charge, per kilowatt-hour: 9ne Two and eighty-six twelve one-
hundredths cents ($0. 0 t 86 $0 . 0212) .
(6) In lieu of taxes and franchise : a charge at the rate of six and zero-tenths
(6 . 0) percent of all monthly service charges billed pursuant to this Section.
(d) Renewable resource. Renewable energy resources, including but not
limited to energy generated by the power of wind, may be offered on a voluntary
basis to customers at a premium of one and nine-tenths cents ($ . 019) per kilowatt
hour. The utility may establish and offer voluntary programs designed to increase
and enhance the use of energy generated by renewable energy resources in
support of Council adopted policy applicable to the utility.
(f) Standby service charges. Standby service, if available, will be provided on
an annual contract basis at a level at least sufficient to meet probable
service demand (in kilowatts) as determined by the customer and
approved by the utility according to the following:
( 1 ) The monthly standby distribution charge shall be two three dollars and
fifty-five zero cents ($2sr5 $ 3 . 00) per kilowatt of contracted standby
service. This charge shall be in lieu of the distribution facilities charge .
For all metered kilowatts in excess of the contracted amount, the standby
distribution charge shall be sevei nine dollars and sixty-five zero cents
($5-. 65 $9 . 00) per kilowatt.
(2) In the event the contractual kilowatt amount is exceeded, the beginning
date of the contract period will be reset. The first month of the new
contract period will become the current billing month and such month's
metered demand shall become the minimum allowable contract demand
for the standby service. Requests for standby service may be subject to a
waiting period. An operation and maintenance charge may be added for
special facilities required to provide standby service .
Section 4 . That Sections 26-467(c), (d), (f), and (g) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-467. General service 50, schedule GS50.
-4-
(c) Monthly rate. The monthly rates for this schedule are as follows :
( 1 ) Fixed charge, per account: - Twenty-seven dollars and zero
seventeen cents ($2-r$27 . 17) . An additional charge of forty dollars and
zero cents ($40 . ) may be assessed if telephone communication service is
not provided by the customer.
(2) Coincident demand charge, per kilowatt: Thirteen dollars and twelve
eighteen cents (SH . f2 $ 13 . 18) but not less than one cent ($ . 01 ) per
kilowatt-hour.
(3 ) Distribution facilities demand charge, per kilowatt : Four Five dollars and
thirty-onc twenty cents ($ -3+ $5 . 20) .
(4) Energy charge, per kilowatt-hour: ene Two and eighty- six twelve one-
hundredths cents ($0. 0 t 86 $0 . 0212) .
(5 ) In lieu of taxes and franchise : a charge at the rate of six and zero-tenths
(6 . 0) percent of all monthly service charges billed pursuant to this Section.
(d) Renewable resource. Renewable energy resources, including but not
limited to energy generated by the power of wind, may be offered on a voluntary
basis to customers at a premium of one and nine-tenths cents ($ .019) per kilowatt
hour. The utility may establish and offer voluntary programs designed to increase
and enhance the use of energy generated by renewable energy resources in
support of Council adopted policy applicable to the utility.
(f) Standby service charges. Standby service, if available, will be provided on
an annual contract basis at a level at least sufficient to meet probable service
demand (in kilowatts) as determined by the customer and approved by the utility
according to the following :
( 1 ) Standby distribution charge .
a. The monthly standby distribution charge shall be three-
four dollars and sixty-two thirteen cents ($3-62 $4 . 13 ) per
kilowatt of contracted standby service. This charge shall be
in lieu of the distribution facilities charge . For all metered
kilowatts in excess of the contracted amount, the standby
distribution charge shall be ten twelve dollars and eighty-
six thirty-nine cents ($f0. 86 $ 12 . 39) per kilowatt.
b. In the event the contractual kilowatt amount is exceeded,
the beginning date of the contract period will be reset. The
first month of the new contract period will become the
-5 -
current billing month and such month's metered demand
shall become the minimum allowable contract demand for
the standby service . Requests for standby service may be
subject to a waiting period. An operation and maintenance
charge may be added for special facilities required to
provide standby service.
(2) Standby generation and transmission charge . All charges incurred by the
utility under Platte River Power Authority's applicable tariffs, as may be
amended from time to time, will be billed to the customer as a standby
generation and transmission charge.
(g) Excess circuit charge. In the event a utility customer in this rate class
desires excess circuit capacity for the purpose of controlling the available electric
capacity of a backup circuit connection, this service, if available, will be provided
on an annual contract basis at a level at least sufficient to meet probable backup
demand (in kilowatts) as determined by the customer and approved by the utility
according to the following :
( 1 ) The excess circuit charge shall be weighty-six cents
($0 .-75$0 . 86) per contracted kilowatt of backup capacity per month. For
any metered kilowatts in excess of the contracted amount, the excess
circuit charge shall be two dollars and testy—frvefifty-eight cents
$2 . 58) per kilowatt.
(2) n the event the contractual kilowatt limit is exceeded, a new annual
contract period will automatically begin as of the month the limit is
exceeded. The metered demand in the month of exceedance shall become
the minimum-contracted demand level for the excess circuit charge.
Section 5 . That Sections 26-468(c), (d), (f), and (g) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-468. General service 750, schedule GS750.
(c) Monthly rate. The monthly rates for this schedule are as follows :
( 1 ) Fixed charge, per account : Thirty-two dollars and sixty seventy-seven
cents ($3-0.60 $32 , 77) .
a. Additional charge for each additional metering point:
Twenty-five dollars and ninety-two cents ($25 . 92) .
-6-
b. An additional charge of forty dollars and zero cents ($40 .)
for each metering point may be assessed if telephone
communication service is not provided by the customer.
(2) Coincident demand charge, per kilowatt: Twelve dollars and nincty-two
ninety-eight cents ( 2 $ 12 . 98) but not less than one cent ($0 . 01 ) per
kilowatt-hour.
(3 ) Distribution facilities demand charge, per kilowatt:
a. First seven hundred fifty (750) kilowatts : Ftmr Five dollars
and tie twelve cents ($4—. 25 $ 5 . 12) .
b. All additional kilowatts : Two Three dollars and ire
seventy-one cents ($2-.91- $ 3 . 71 ) .
(4) Energy charge, per kilowatt-hour: E)nc and cighty-fince Two and nine-
one-hundredths cents ($0. 0183 $0 . 0209) .
(5 ) In lieu of taxes and franchise : a charge at the rate of six and zero-tenths
(6 . 0) percent of all monthly service charges billed pursuant to this Section.
(d) Renewable resource. Renewable energy resources, including but not
limited to energy generated by the power of wind, may be offered on a voluntary
basis to customers at a premium of one and nine-tenths cents ($ . 019) per kilowatt
hour. The utility may establish and offer voluntary programs designed to increase
and enhance the use of energy generated by renewable energy resources in
support of Council adopted policy applicable to the utility.
(f) Standby service charges. Standby service, if available, will be provided on
an annual contract basis at a level at least sufficient to meet probable service
demand (in kilowatts) as determined by the customer and approved by the utility
according to the following :
( 1 ) Standby distribution charge.
a. The monthly standby distribution charge shall be two three
dollars and eightq4bur thirty-nine cents ($ $4 $3 . 39) per
kilowatt of contracted standby service . This charge shall be
in lieu of the distribution facilities charge . For all metered
kilowatts in excess of the contracted amount, the standby
distribution charge shall be eight ten dollars and ft€ty
seventeen cents ($8 .-5-2 $ 10 . 17) per kilowatt.
-7-
b. In the event the contractual kilowatt amount is exceeded,
the beginning date of the contract period will be reset. The
first month of the new contract period will become the
current billing month and such month's metered demand
shall become the minimum allowable contract demand for
the standby service . Requests for standby service may be
subject to a waiting period. An operation and maintenance
charge may be added for special facilities required to
provide standby service.
(2) Standby generation and transmission charge. All charges incurred by the
utility under the Platte River Power Authority's applicable tariffs, as may
be amended from time to time, will be billed to the customer as a standby
generation and transmission charge.
(g) Excess circuit charge. In the event a utility customer in this rate class
desires excess circuit capacity for the purpose of controlling the available electric
capacity of a backup circuit connection, this service, if available, will be provided
on an annual contract basis at a level at least sufficient to meet probable backup
demand (in kilowatts) as determined by the customer and approved by the utility
according to the following :
( 1 ) The excess circuit charge shall be fifty-nitre seventy-one cents ($0 . 59
$0 . 71 ) per contracted kilowatt of backup capacity per month. For any
metered kilowatts in excess of the contracted amount, the excess circuit
charge shall be one two dollars and seventy-seven thirteen cents ($i —. 'R
$2 . 13 ) per kilowatt.
(2) In the event the contractual kilowatt limit is exceeded, a new annual
contract period will automatically begin as of the month the limit is
exceeded. The metered demand in the month of exceedance shall become
the minimum contracted demand level for the excess circuit charge.
Section 6 . That Section 26-469(b) of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-469. Special area floodlighting, schedule FL.
(b) Monthly rate . The monthly rates (including a six-and-zero-tenths-percent
charge in lieu of taxes and franchise) are as follows :
-8-
( 1 ) Charge per lamp, mercury vapor:
a. ne-hundred-seventy-five-watt : Fifteen Seventeen dollars
and sever twenty-six cents ($i5 . 76 $ 17 .26) .
b. Two-hundred-fifty-watt: Eighteert Twenty dollars and
six thirty-two cents ($ t 8 , 5 6 $20 . 32) ,
c . Four-hundred-watt: Twenty4btr Twenty-six dollars and
thirty-three sixty-four cents ($24 . 33 $26 . 64) .
(2) Charge per lamp, high-pressure sodium:
a. Seventy-watt: Six Seven dollars and sixty-six twenty-nine
cents ($6:66 $7 ,29) ,
b. One-hundred-watt: Nine Ten dollars and fbrty-two thirty-
one cents ($H-.42 $ 10 . 31 ) .
C. One-hundred-fifty-watt: Fourteen Sixteen dollars and
ninety thirty-two cents ($ t4 .90 S16 . 32) .
d. Two-hundred-fifty-watt: Nincteen Twenty dollars and
eighty-one cents ($i9-. $20 . 81 ) .
e. Four-hundred-watt: Tie Twenty-seven dollars and
teen forty-eight cents ($25.f0 $27 .48) ,
Section 7 . That Section 26-470(c) of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-470. Traffic signal service, schedule T .
(c) Monthly rate. The monthly rates (including a six-and-zero-tenths-percent
charge in lieu of taxes and franchise) are as follows :
( 1 ) Fixed charge, per account: Forty-nine Fifty-one dollars and fifty-one
eighty-two cents ($ f$ 51 . 82) .
(2) Charge, per kilowatt-hour: dam Five and eighty-six thirty-two one-
hundredths cents ($0. 04S6 $0 . 0532) ,
-9-
(3 ) Equipment rental charges, when applicable, will be determined by cost
analysis by the utility. Service extensions and signal installations made by
the utility shall be paid for by the City General Fund, subject to material
and installation costs at the time of installation.
Section 8 . That the amendments to Chapter 26 of the City Code contained herein
shall go into effect for all bills issued with meter readings on or after January 1 , 2010.
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009, and to be presented for final passage on the 3rd day of November, A.D .
2009 ,
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
- 10-
ORDINANCE NO . 116, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS
TO REVISE WATER PLANT INVESTMENT FEES
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter, to fix, establish, maintain and provide for the collection of such rates, fees or charges
for utility services furnished by the City as will produce revenues sufficient to pay the costs,
expenses and other obligations of the water utility, as set forth therein; and
WHEREAS , Section 26- 120 of the City Code provides that the rates and parameters of the
Water Plant Investment Fees be reviewed annually by the City Manager and presented to City
Council for approval no less frequently than biennially; and
WHEREAS , on November 20, 2007, the City Council adopted Ordinance No . 119, 2007,
which established the plant investment fees that are now in effect; and
WHEREAS , the City Council has determined that it is appropriate for new development to
contribute its proportionate share of providing capital improvements ; and
WHEREAS , City staff recommends that existing water plant investment fees be adjusted
based on the current replacement cost of the capital facilities that will be needed to serve new
development and by existing system capacity; and
WHEREAS , the City Manager and City staff have recommended to the City Council that
the following Water Plant Investment Fees to be effective January 1 , 2010 ; and
WHEREAS , based on the foregoing, it is the desire of the City Council to amend Chapter
26 of the City Code to revise water plant investment fees .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows :
Section 1 . That Section 26- 128 of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-128. Schedule C, water plant investment fees.
The water plant investment fee prescribed in § 26- 120 shall be payable by users both inside
and outside of the city, as follows :
( 1 ) Single-family residential buildings: For the first three-fourths (3/4) inch water
tap or meter, a fee of seven hundred thirty dollars ($730 .) for a single-family
residence, plus thirty-six cents ($ 0 . 36) for each square foot of lot area. For
lots greater than one-half acre, the lot size shall be deemed to be one-half
acre for the purpose of this calculation. For each additional tap or meters
larger than three-fourths (3/4) inch, the nonresidential rate shall apply.
(2) Residential buildings of two (2) or more dwelling units: For each residential
building unit a fee of four hundred ninety dollars ($490 .), plus twenty-seven
cents ($ 0. 27) for each square foot of lot area. The fee will provide for one
( 1 ) tap per residential building and an adequate number of additional taps to
serve common irrigable areas, if any. The number and size of taps shall be
determined by the General Manager based upon the criteria established in the
Uniform Plumbing Code as amended pursuant to Chapter 5 of the Code .
(3 ) Mobile home parks: For each mobile home park, a fee of four hundred ninety
dollars ($490 .) for each mobile home space in the park, plus twenty- seven
cents ($ 0 .27) for each square foot of lot area. The fee will provide for one
( 1 ) tap per mobile home park. The size of the tap shall be determined by the
General Manager based upon the criteria established in the Uniform
Plumbing Code as amended pursuant to Chapter 5 of the Code .
(4) Hotels, roominghouses, sororities, fraternities and similar uses: The
nonresidential rate shall apply.
(5) Nonresidential service:
a. Service to all nonresidential taps, including but not limited to taps for
commercial and industrial service, shall be charged according to the
size of the meter pursuant to the following schedule :
Meter Size Nonresidential Plant
(inches) Investment Fee
3/4 S 61970 . $79530 .
1 21 ,730 ,
1 '/z 4 f m5 f 0 .459300 .
2 65 , 330 69 ,070 .
3 0 157,920 .
b. The fee for all meters larger than three (3 ) inches shall be negotiated
with the General Manager and shall be based on estimated peak day
demand but shall not be less than the charge for a 3 " meter.
Section 2 . That the amendments to Chapter 26 of the City Code contained herein shall
go into effect on January 1 , 2010 .
-2-
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009, and to be presented for final passage on the 3rd day of November, A.D. 2009 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A . D . 2009 .
Mayor
ATTEST :
City Clerk
- 3 -
ORDINANCE NO . 117, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS
TO REVISE SEWER PLANT INVESTMENT FEES
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter to fix, establish, maintain and provide for the collection of such rates, fees or
charges for utility services furnished by the City as will produce revenues sufficient to pay the
costs expenses and other obligations of the wastewater utility, as set forth therein; and
WHEREAS , Section 26-277 of the City Code requires that the City Manager analyze the
operating and financial records of the wastewater utility during each calendar year and
recommend to the City Council the user rate fees or adjustments to be in effect for the following
year; and
WHEREAS , Section 26-283 of the City Code provides that the City Manager review the
rates and parameters of the Sewer Plant Investment Fees annually and present them to City
Council for approval no less frequently than biennially; and
WHEREAS, on October 21 , 2008 , the City Council adopted Ordinance No . 111 , 2008 ,
which established the sewer plant investment fees now in effect; and
WHEREAS , the City Manager and City staff have recommended to the City Council the
following adjustments to the Sewer Plant Investment Fees to be effective January 1 , 2010 ; and
WHEREAS , based on the foregoing, it is the desire of the City Council to amend Chapter
26 of the City Code to revise Sewer Plant Investment Fees .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows :
Section 1 . That Sections 26-283 (b) and (c) of the Code of the City of Fort Collins
are hereby amended to read as follows :
Sec . 26-283 . Sewer plant investment fees (SPIF) ; basis.
(b) The SPIF shall be based on and used for growth-related capital expansion
costs of wastewater collection, transmission and treatment facilities . The fee shall
vary with the number of dwelling units for residential users . For nonresidential
users, the fee shall be based on ( 1 ) quantity of discharge that may be determined
by size of water meter or other means of accurately measuring or calculating flow
quantity as approved by the General Manager and (2) and the sizc of the water
meter for nomesidential users the level of wastewater concentration of organic
and solid materials . The parameters and rates shall be reviewed by the City
Manager annually and fees shall be presented to the City Council for approval no
less frequently than biennially.
(c) No wastewater utility user shall make any changes or additions to the
property served or operations at the property that would significantly affect the
nature or quantity of the wastewater discharged and/or cause a change in the
category of use without first obtaining the approval of the General Manager and
paying a SPIF based on the altered service . Such changes include without
limitation the replacement of an abandoned service line, an increase in the water
or sewer tap size, an increase in the number of dwelling units, a change from
residential use to nonresidential use or a modification of production by a
nonresidential user.
Section 2 . That Sections 26-284 (a), (d) , and (f) of the Code of the City of Fort
Collins are hereby amended to read as follows :
Sec. 26-284. Sewer plant investment fees and surcharges established.
(a) The schedule of sewer plant investment fees, subject to the exceptions and
additional requirements provided in this Section, is as follows :
Category SPIF
A $35f 94, $35550 ,
B and C $2M69 . $2 ,490 . for each dwelling unit or mobile home space
Water meter
Category size (inches) Fee
D, E, F 3/a $ 6,206 .. $79100 .
1 f6 �36r 171880 ,
1 '/z 2$396 . 319490 .
2 501963 , 555290 ,
3 ift484 . 1509130 .
4 and above Calculated on an individual basis based on
peak wastewater flow (determined in the
manner set forth hereinafter) but not less
than the charge for a three-inch meter.
G Same as equivalent category, plus any
special sanitation district fees .
H Determined pursuant to paragraph (d) of
this Section.
(d) The amount of the plant investment fee and surcharge for each
nonresidential surcharged user, users in Category H and any user that is expected
to generate greater than its proportionate share of peak day flow at the treatment
-2-
plant for the applicable category (including both contributed wastewater volume
and volume related to infiltration and inflow), shall be calculated utilizing the
following formula:
SPIF = Site Flow x [Flow$ + (BOD x BOD,) + (TSS x TSS$)] +
I&I Flow x [Flow$ + (200 mg/l x BOD$) + (250 mg/l x TSS,)]
Where :
SPIF = Plant investment fee for Category H users and users discharging
wastewater with average concentrations of BOD and/or TSS which
exceed those average concentrations which are set forth in § 26-282(b)
under Category E-34
Site Flow = The user's proportionate share of peak day flow at the treatment
plant based on site flow discharge from user' s site including b
contributed wastewater volume and volume related to infiltia
and inflow
I&I Flow = That proportionate share of peak day flow due to infiltration and
inflow as allocated to user' s site flow discharge .
Flow$ _ $5 .. 3 f $6 . 34 per gallon (unit cost of facilities attributable to treating
wastewater flow)
BOD = Average BOD concentration for user category or measured BOD
concentration for the user as determined in accordance with
Subsection (c) of this Section, but not less than 200 mg/l
BODS = $ 0 .0 f f 6 $0 . 0138 per mg/l (unit cost of facilities attributable to treating
BOD)
TSS = Average TSS concentration for user category or measured TSS
concentration for the user as determined in accordance with Subsection
(c) of this Section, but not less than 250 mg/l
TSS$ = $0 , 009$0 , 0110 per mg/l (unit cost of facilities attributable to treating
TSS)
-3 -
(f) For purposes of this Section, the proportionate share of peak day flow at
the treatment plant for users in Categories D, E and F shall be deemed to be :
Water meter size (inches) Pnenak flow (gallons per day)
3/4 / V7600
1 �41 , 510
1 %z 32`T921660
2 �24,670
3 f % H5121680
4 and greater Calculated on an individual
basis based on user' s
proportionate share of peak
day flow at the treatment
plant ( including both
contributed wastewater
volume and volume related
to infiltration and inflow)
but not less than the peak
day flow for a three-inch
meter
Section 3 . That the amendments to Chapter 26 of the City Code contained herein shall
go into effect on January 1 , 2010 .
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009, and to be presented for final passage on the 3rd day of November, A . D .
2009 ,
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
-4-
ORDINANCE NO . 118, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26
OF THE CODE OF THE CITY OF FORT COLLINS
TO REVISE ELECTRIC DEVELOPMENT FEES AND CHARGES
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter to fix, establish, maintain and provide for the collection of such rates, fees or
charges for utility services furnished by the City as will produce revenues sufficient to pay the
costs, expenses and other obligations of the electric utility, as set forth therein; and
WHEREAS , the City Council has determined that it is appropriate for new development
to contribute its proportionate share of providing capital improvements ; and
WHEREAS , Section 26-471 of the City Code requires that the City Manager annually
review electric development fees and that the fees be presented to the City Council for approval
no less than annually; and
WHEREAS , on October 21 , 2008 , the City Council adopted Ordinance No . 113 , 2008 ,
which established the electric development fees now in effect; and
WHEREAS , the City Manager and City staff have recommended to the City Council the
following adjustments to the electric development fees and charges for all billings issued on or
after January 1 , 2010 ; and
WHEREAS, based on the foregoing, it is the desire of the City Council to amend Chapter
26 of the City Code to revise electric development fees and charges .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows :
Section 1 . That Section 26-472 of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-472. Residential electric development fees and charges.
(a) An Electric Capacity Fee ("ECF ") shall be paid for service to a single-
family or multi-family residential building as set forth in this Section. The user
shall not be responsible for actual construction of electric distribution system
infrastructure, but shall be required to pay the costs of such construction. The
amount of ECF for a new residential service shall be calculated as of the date of
invoicing by the utility, and shall be based upon the then applicable rates and
estimated costs of construction. No less than fifty (50) percent of the calculated
ECF shall be paid prior to the scheduling of any construction work required to
provide said service. ff the initial fifty (50) percent is not paid within sixty (60)
rei stied at the current rate as of thc rcissuance If there is an increase in the
ECF between the time of application for electric service and the actual payment
of the ECF, the rates in effect at the time of payment shall apply. Upon
completion of construction required to provide said new service, any remaining
ECF amounts due, including any adjustments to reflect the then-current rates and
actual costs of construction, shall be paid to the utility prior to the provision of
electric service .
(b) The ECF shall be the total of the site footage charge, dwelling charge and
systems modification charge, to be determined as follows :
( 1 ) The site footage charge shall be the combined total of:
a. Four and nine hundred nineteen sixty-eight thousandths cents
( H $0 . 04968) per square foot of developed site square
footage, including all applicable tracts but excluding the area
dedicated public rights-of-way; and
b. Nine dollars and scvcnty-scvcn ninety cents ( $ 9 . 90) per
lineal foot of the developed site abutting a dedicated street or
roadway.
(2) The dwelling unit charge shall be as follows :
a. For a single-family panel size with one-hundred-fifty-amp service
(nonelectric heat), one thousand two hundred sixty-two-seventy-
eight dollars ($i ,-2fr2. $ 1 ,278 .) per dwelling unit;
b. For a single-family panel size with two-hundred-amp service
(nonelectric heat or electric heaf) or with one-hundred-fifty-amp
service (electric heat) , two thousand one hundred forty-three-
sixty-five dollars ($2 , 143 . $2, 165) per dwelling unit;
C . For a multi-family panel size with one-hundred-fifty-amp service
(nonelectric heat) , eight hundred forty-two fifty-two dollars
($ft42-. $ 852 . ) per dwelling unit;
d. For a multi-family panel size with two-hundred-amp service
or with one-hundred-fifty-amp
service (electric heat) , one thousand five hundred five twenty
dollars ($ f ,5$5 . $ 1 ,520 . ) per dwelling unit.
(3 ) A system modifications charge will apply when a new or modified service
will require infrastructure in addition to or different from the standard
base electrical system model. The differential costs associated with such
system modifications will be included in the calculated ECF .
-2-
(c) A Building Site Charge ("BSC ") for any new or modified residential
service shall be paid prior to issuance of a building permit for the related
construction or modification. The BSC shall be based upon the current rates as of
the time of issuance of the building permit. The BSC shall be the total of the
secondary service charges, and any additional charges, determined as follows :
( 1 ) The secondary service charge shall be as follows :
Secondary Charge (up to 65 Plus Per Foot Charge For Each
Service Size feet) Foot Over 65
1 /0 service $-658 , 00 $ 666 , 00 "$4 . 84/Foot
4/0 service $$i 7 . 00 $ 823 . 00 $�6$ 5 . 80/FOOt
350 kCM $903 . 00 $910 , 00 $ � .z6$ 7 . 30/Foot
Service
1 /0 Mobile $5 i 4 . 00 $ 520 , 00 N/A
Home Service
4/0 Mobile $-644 . 00 $ 649 , 00 N/A
Home Service
(2) Actual special costs to the utility of installation of secondary service
resulting from site conditions shall be included in the BSC as additional
charges. Such conditions may include, but are not limited to, frozen or
rocky soil, concrete cutting and asphalt replacement.
Section 2 . That Section 26-473 of the Code of the City of Fort Collins is hereby amended
to read as follows :
Sec . 26-473 . Nonresidential electric development fees and charges .
(a) An Electric Capacity Fee ("ECF " ) shall be paid for service to any
nonresidential building, structure or other facility, as set forth in this Section. The
user shall not be responsible for actual construction of primary electric
distribution system infrastructure, but shall be required to pay the costs of such
construction. The customer shall be responsible for secondary service installation
from the point of delivery to the service panel. The amount of ECF for a new
nonresidential service shall be calculated as of the date of invoicing by the utility,
and shall be based upon the then-applicable rates and estimated costs of
construction. No less than fifty (50) percent of the calculated ECF shall be paid
prior to the scheduling of any construction work required to provide said service.
if the initial fifty (50) percent is not paid within sixty (60) days of the date of the
invoice, the invoice shall no longer be valid mid may be rcissucd at the curren
rate as of the reissuance date. If there is an increase in the ECF between the time
of application for electric service and the actual payment of the ECF, the rates in
effect at the time of payment shall apply. Upon completion of construction
required to provide said new service, any remaining ECF amounts due, including
any adjustments to reflect the then-current rates and actual costs of construction,
-3 -
shall be paid to the utility prior to the provision of electric service. The General
Manager of the utility may provide for alternate arrangements for a single, one
hundred percent payment of the ECF for a nonresidential project in the event that
the General Manager of the utility determines that the utility's costs cannot be
accurately estimated in advance, provided that any amount due shall be secured
by a written commitment and shall be paid prior to the provision of any electric
service.
(b) The ECF shall be the total of the site footage charge, kVA service
entrance charge and systems modification charge, to be determined as follows :
( 1 ) The site footage charge shall be the combined total of:
a. Four and nine hundred nineteen sixty-eight thousandths
cents ($0 . 049H $0 , 04968) per square foot of developed
site square footage, including all applicable tracts but
excluding the area of dedicated public rights-of-way; and
b. - Thirty-eight dollars and Maur twenty
cents ( 4 $38 .20) per lineal foot of the developed site
abutting a dedicated street or roadway.
(2) The kVA service entrmice-charge shall be determined as follows . fifty--
seven
dollars and finrty-four cents ($48 .44) per WA of service entrance r
a. For customer electric loads served by the utility the kVA
service charge shall be :
i. Utility owned transformers : The kVA service
charge shall be fifty-nine dollars and fifty-four
cents ($ 59 . 54) per kilovolt-amp (kVA) of service
load rating.
ii. Customer owned transformers : The kVA service
charge shall be forty-nine dollars and forty-four
cents ($49 .44) per kilovolt-amp (kVA) of service
load rating.
b . For the utility to receive customer generation in excess of
the customer' s electric service provided by the utility, the
following KVA service charge will also apply :
-4-
i. Utility owned transformers : The kVA service
charge shall be forty-eight dollars and thirty cents
($48 . 30) per kilovolt-amp (kVA) of generation
service rating in excess of the service load rating as
paid per subparagraph (2)a. i. above. Such ratings
shall be determined by the General Manager.
ii. Customer owned transformers : The kVA service
charge shall be thirty-eight dollars and twenty cents
($38 .20) per kilovolt-amp (kVA) of generation
service rating in excess of the service load rating
paid per subparagraph (2)a.ii. above. Such ratings
shall be determined by the General Manager.
(3 ) A system modifications charge will apply when a new or modified service
will require infrastructure in addition to or different from the standard
base electrical system model. The differential costs associated with such
system modifications will be included in the calculated ECF .
(c) A Building Site Charge ("BSC ") for extending primary circuitry to the
transformer for any new or modified nonresidential service shall be invoiced and
paid in the same manner and at the same time as the ECF is invoiced and paid
pursuant to Subsection (a) of this Section. The BSC shall be the total of the
primary circuit charge, transformer installation charge and any additional charges,
determined as follows :
( 1 ) The primary circuit charge for service from the utility source to the
transformer shall be as follows :
a. For single-phase service, a charge of eight dollars and
ninety cents ($ 8 . 90) per foot of primary circuit;
b. For three-phase service, a charge of nineteen dollars and
twelve ( 2 $ 19 . 00) per foot of primary circuit.
(2) The transformer installation charge shall be as follows :
a. For single-phase service, a charge of one thousand two
three hundred fifty - severr seventeen dollars
( 7 . $ 1 ,317 . ) per transformer;
b. For three-phase service , a charge of two thousand three
four hundred thirty—five nine dollars ($2 ,335 . $2,409 .) per
transformer.
-5 -
(3 ) Actual special costs to the utility of installation of service resulting from
site conditions shall be included in the BSC as additional charges . Such
conditions may include, but are not limited to, frozen or rocky soil,
concrete cutting and asphalt replacement.
(d) In lieu of fee structures set out in this Subsection, the ECF and BSC for
any new service exceeding five thousand (5 ,000) kilowatts in size will be
determined on a case-by-case basis so as to recover the direct and indirect costs
associated with extending primary circuitry to the user's point of delivery.
Section 3 . That the amendments to Chapter 26 of the City Code contained herein
shall go into effect for all bills issued on or after January 1 , 2010.
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D . 2009 , and to be presented for final passage on the 3rd day of November, A.D .
2009 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
-6-
ORDINANCE NO. 119, 2009
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 26 OF
THE CODE OF THE CITY OF FORT COLLINS
TO REVISE STORMWATER PLANT INVESTMENT FEES
WHEREAS , Article XII Municipal Public Utilities, Section 6 Municipal Utility Rates and
Finances, requires all net operating revenues of the City's utilities to be held within the respective
utility's fund; and
WHEREAS , the City Council is empowered and directed by Article XII, Section 6, of the
City Charter to fix, establish, maintain and provide for the collection of such rates, fees or charges
for utility services furnished by the City as will produce revenues sufficient to pay the costs,
expenses and other obligations of the storm water utility, as set forth therein; and
WHEREAS , Section 26-511 (a) of the City Code requires that the City Manager review the
rates and parameters of the Stormwater Plant Investment Fees annually and present them to City
Council for approval no less frequently than biennially; and
WHEREAS , on November 20, 2007, the City Council adopted Ordinance No. 124, 2007,
which established the stormwater plant investment fees now in effect; and
WHEREAS , the City Council has adopted stormwater basin master plans recommending
stormwater facilities that are necessary to provide for the proper drainage and control of flood and
surface waters within the City; and
WHEREAS , the City Council adopted Ordinance No . 168 , 1998 determining that all
developed lands within the City benefit by the installation of such stormwater facilities ; and
WHEREAS , existing stormwater rate payers have paid for the design, right-of-way and
construction of stormwater facilities identified in the drainage basin master plans that will benefit
and be utilized by new development; and
WHEREAS , the City Council has determined that new development should pay its
proportionate share of the costs of the stormwater infrastructure as it exists at the time of
development; and
WHEREAS , the City Manager and City staff have recommended to the City Council the
following adjustments to the Stormwater Plant Investment Fees to be effective January 1 , 2010; and
WHEREAS , based on the foregoing, it is the desire of the City Council to amend Chapter
26 of the City Code to revise stormwater plant investment fees .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows :
Section 1 . That Section 26-512(2) of the Code of the City of Fort Collins is hereby
amended to read as follows :
Sec. 26-512. Stormwater plant investment fees established.
(2) Plant investment fee base rate. The stormwater plant investment fee base rate
is four thousand four hundred twenty six thousand three hundred thirteen
dollars ( 0.$ 6,313 ) per gross acre of area.
Section 2 . That the amendments to Chapter 26 of the City Code contained herein shall
go into effect January 1 , 2010 .
Introduced, considered favorably on first reading, and ordered published this 20th day of
October, A.D. 2009, and to be presented for final passage on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk
Passed and adopted on final reading on the 3rd day of November, A.D . 2009 .
Mayor
ATTEST :
City Clerk