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Home My WebLink AboutCOUNCIL - AGENDA ITEM - 04/20/2010 - SECOND READING OF ORDINANCE NO. 036, 2010, AMENDIN DATE: April 20, 2010 STAFF: Brian Janonis _ Patty Bigner • • • Second Reading of Ordinance No. 036, 2010, Amending Section 26-283 of the City Code to Authorize the Utilities General Manager to Establish Temporary Arrangements for Use of City Wastewater System Capacity. EXECUTIVE SUMMARY This Ordinance, unanimously adopted on First Reading on April 6, 2010, authorizes temporary wastewater service arrangements. Generally,Utilities customers establish parameters forwastewater discharge flows and pay associated plant investment fees prior to service delivery. In some instances, usually with an expansion of service, parameters for wastewater service cannot be determined until the expansion is complete. This Code change provides general guidelines for this specific type of service agreement. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1. Copy of First Reading Agenda Item Summary-April 6, 2010 (w/o attachments) ATTACHMENT 1 DATE: April 6, 2010 SUMMARYAULNDA ITEM STAFF: Brian Janonis _ Patty Bigner COLLINS CITY COUNCIL First Reading of Ordinance No.036,2010,Amending Section 26-283 of the City Code to Authorize the Utilities General Manager to Establish Temporary Arrangements for Use of City Wastewater System Capacity. EXECUTIVE SUMMARY �1 This change to Chapter 26 of the City Code provides authorization fob temporary wastewater service arrangements. Generally, Utilities customers establish parameters foHwastewater discharge flows and pay associated plant investment fees prior to service delivery. In some instances] usually witH,al n expansion of service, parameters for wastewater service cannot be determined-until the-expansion is complete. This Code change provides general guidelines for this specific type of service agreement. BACKGROUND / DISCUSSION Chapter 26, Sections 26-283 and 26-284 describe the basis and establish charges for sewer plant investment fees. At times, a customer may be unable to accurately calculate wastewater flows due to changes or expansion of a manufacturing or business process. Since blocks of wastewater capacity are generally available, this type of arrangement allows the Wastewater Utility to use excess capacity to generate revenue, and allows the customer to meet temporary business needs. 0 FINANCIAL IMPACT rf n' P 1__Z./ �_ u u This City Code amendment does not have long term financial impacts. In the short term, the Wastewater Utility benefits from the revenue generated from excess capacity. SUSTAINABILITY: ECONOMIC, ENVIRONMENTAL AND SOCIAL IMPACTS The type of Code amendment described in this Ordinance provides more financial flexibility to the City's Wastewater Utility customers,supporting business expansion or changes without requiring overpayment of sewer plant investment fees while service needs are being established. Once service needs are established, sewer plant investment can be identified more accurately, along withAt e-deteermination�of capital•needs, if any. The Utility benefits from the use of excess capacity on a temporary basis. Proper(s¢mg of facilities�'red�uces/the environmental impact of both the business and the Utility. This change is tempor`ary in nature and-does n`ot(have a long or short term impact on the public health of the community, and `does notrhave,a s ignific�Unt impact on'service levels. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BOARD / COMMISSION RECOMMENDATION At its March 25, 2010 meeting, the Water-Board voted unanimously to recommend Council approve the proposed Code revision for temporary wastewater serviced P ATTACHMENTS L--,/-7 1. Draft minutes from the Water Board meeting of March 25, 2010 ORDINANCE NO. 036, 2010 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING SECTION 26-283 OF THE CODE OF THE CITY OF FORT COLLINS TO AUTHORIZE THE UTILITIES GENERAL MANAGER TO ESTABLISH TEMPORARY ARRANGEMENTS FOR USE OF CITY WASTEWATER SYSTEM CAPACITY WHEREAS,on occasion, City wastewater customers require temporary wastewater service for interim conditions or uses, and the City Code does not include express provisions governing the manner in which such temporary service would be provided; and WHEREAS,the City Council desires to authorize the Utilities General Manager to have and exercise the authority to establish temporary arrangements for the provision of City wastewater services, including the authority to impose a temporary wastewater plant capacity charge, in accordance with the standards and requirements set forth herein. NOW THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-283(a) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-283. Sewer plant investment fees (SPIF); basis. (a) An applicant desiring to connect to the wastewater utility shall pay the utility a sewer plant investment fee (SPIF) as prescribed in § 26-284 of this Article in addition to any other connection fee or charge imposed by this Article. Except to the extent that the deferral of all or any portion of such payment has been approved by the City Council by resolution or except as provided in either Subsection (e) or Subsection (g) of this Section, this fee shall be paid in full at the time the sewer connection permit is issued.In the case of an increase in SPIF rates between the time of application for the permit and the applicant's actual payment of sewer connection charges, the rates in effect on the date of payment shall apply. Section 2. That Section 26-283 of the Code of the City of Fort Collins is hereby amended by the addition of a new subsection (g), to read as follows: (g) If the General Manager determines that sufficient excess wastewater system capacity is available, and if a customer requires temporary service for a temporary use or condition not exceeding three(3)years in duration,the General Manager may arrange for the provision of temporary wastewater service through a special services agreement in the manner prescribed in § 26-290 of this Article. (1) If the full SPIF due in connection with any such service is not paid prior to connection or deferred as provided in Subsection (a), above, the associated special services agreement shall require the customer to pay a temporary wastewater plant capacity charge each month, which charge shall be one- twelfth (1/12) of eight (8) percent of the calculated SPIF charge, based on BOD, TSS and monthly discharge volume in gallons. These payments will not be credited against any SPIF amount due in connection with service to the customer for any subsequent temporary or permanent use or condition, regardless of whether the permanent use or condition is the same as, or comparable to, the temporary use or condition. (2) The customer shall also be required to pay any and all other service and connection fees or charges associated with the temporary wastewater service as generally imposed by this Article, including but not limited to monthly service charges for discharged wastewater. If charges for temporary wastewater service are based upon estimates of the quantity or characteristics of the wastewater discharged and the actual quantity or characteristics are subsequently measured and found to have exceeded the discharge limits for which any fees or charges have been paid, the customer shall be required to pay such additional temporary wastewater plant capacity charges, monthly charges,or other charges required in light of the underestimate of discharged flows. (3) Except as set forth herein, all requirements for wastewater discharges in this Article, including but not limited to industrial pretreatment and other regulatory requirements, shall apply to temporary wastewater service. ' Section 3. That all action not inconsistent with the provisions of this Ordinance heretofore taken by the City or its officers and otherwise directed toward the authorization of temporary wastewater services hereby ratified, approved and confirmed. Section 4. That, if any section, subsection,paragraph,clause or other provisions of this Ordinance shall for any reason ,be held to be invalid or unenforceable, the invalidity or unenforceability thereof shall not affect any of the remaining sections, subsections, paragraphs, clauses or provisions of this Ordinance. Introduced, considered favorably on first reading, and or d published this 6th day of April, A.D. 2010, and to be presented for final passage on the th day of April, A.D. 2019. Mayor ATTEST: VWL City Clerk -2- Passed and adopted on final reading on the 20th day of April, A.D. 2010. Mayor ATTEST: City Clerk -3-