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Home My WebLink AboutCOUNCIL - AGENDA ITEM - 10/16/2012 - ITEMS RELATING TO UTILITY RATES, FEES, AND CHARGESDATE: October 16, 2012 STAFF: Brian Janonis Lance Smith AGENDA ITEM SUMMARY FORT COLLINS CITY COUNCIL 22 SUBJECT Items Relating to Utility Rates, Fees and Charges for 2013. A. First Reading of Ordinance No. 113, 2012, Amending Chapter 26 of the City Code to Revise Water Rates and Charges. B. First Reading of Ordinance No. 114, 2012, Amending Chapter 26 of the City Code to Revise Electric Rates, Fees and Charges. C. First Reading of Ordinance No. 115, 2012, Amending Chapter 26 of the City Code to Revise Electric Development Fees and Charges. EXECUTIVE SUMMARY The following monthly rate increases are recommended for 2013: Service % Annual Increase Water 4.0% Electric 4.33% The proposed water increase is a flat 4% across the board to all customer classes. The electric rate increases which average 4.33% are proposed to vary by customer class from 3.35% to 5.33%. The proposed changes will impact individual electric customers more or less than the customer class averages and will vary by season. Electric development fees are proposed to decrease an average of 2.4% for residential and decrease an average of 1.6% for commercial development. There are no changes in the monthly rates for wastewater or stormwater services being proposed for 2013. With the rate changes contained in the proposed Ordinances, a typical single family customer’s monthly utility bill will increase $5.01 in the summer from $162.96 to $167.97 and $2.95 from $131.03 to $133.98 in non-summer months. BACKGROUND / DISCUSSION The recommended 2013 rate increases reflect the rates and revenues that are proposed in the City Manager’s Recommended 2013-2014 Budget. All proposed rates would be effective for meter readings on or after January 1, 2013. A. Monthly Water Rates - First Reading of Ordinance No. 113, 2012, Amending Chapter 26 of the City Code to Revise Water Rates and Charges. Staff proposes a 4% water rate increase. The need for this increase is due to the High Park Fire. The increase is a flat across the board increase to all rate classes. With the proposed rate, a typical single family residential customer’s monthly bill will increase 4% as shown in the following table: October 16, 2012 -2- ITEM 22 The High Park Fire in June 2012 affected the watershed serving Fort Collins Utilities on the Cache Le Poudre. Initial estimates of costs associated with stabilizing the soil suggest it could cost Fort Collins Utilities up to $10 million. With the City of Greeley and the Tri-districts also being affected by the fire, inter-governmental coordination of these erosion control efforts have reduced the estimated cost for soil stabilization by Fort Collins Utilities to $4-5 million. Fort Collins Utilities continues to work with federal agencies to determine if any federal funds exist to reimburse Fort Collins Utilities for these efforts. At this time Fort Collins Utilities cannot be assured of any federal funds in 2013, yet the mitigation efforts need to continue in the spring of 2013. There was an increase in demand for water during the hot, dry 2012 summer which is not expected to continue into 2013. The longer term trend of decreasing demand due to conservation efforts has resulted in operating revenues remaining at the same level over the last 5 years even with the recent rate increases (3% in 2007, 2010 and 2011 and 6% in 2012). Some revenue growth is expected in 2012 over 2011 due to higher demand. However, it is not sufficient to maintain water rates at the 2012 levels given the uncertainty around the weather and the anticipated increase in operating and maintenance costs associated with the High Park Fire. The vast majority of the costs of operating the water system are fixed and do not vary based on customer demand. However, the High Park Fire has affected the metal content in water taken from the Cache Le Poudre resulting in higher variable treatment costs for the foreseeable future. This rate increase is not related to Halligan Reservoir which is to be funded from the Water Rights Reserve. The Water Rights Reserve is funded by developers’ cash-in-lieu-of water rights payments and is restricted to the purchase of water rights and water storage only. A new rate class is being proposed for service to commercial customers with an average daily use in excess of 2.0 million gallons. B. Monthly Electric Rates - First Reading of Ordinance No. 114, 2012, Amending Chapter 26 of the City Code to Revise Electric Rates, Fees and Charges. Fort Collins wholesale and retail electric rates are among the lowest in the region and nation. This will continue to be true following the 4.33% electric rate increase proposed for 2013. The 4.33% increase is the system annual average and will not be applied to all customer rate classes. Based on a cost-of-service study the proposed rates vary by rate class and season as follows: October 16, 2012 -3- ITEM 22 1T his is a new rate class proposed for 2013 The 4.33% overall annual increase consists of a 3.83% increase for purchased power from Platte River Power Authority (PRPA) and a 0.5% increase for the new Fort Collins Solar Program, which is included in the City Manager’s Recommended Budget. Platte River’s 2013 purchase power rate increase is due to several key factors: • Reduced surplus sales • Increased fuel costs • Increased renewable energy costs The higher increases for the commercial rate classes are due to purchased power costs being a higher percentage of total costs for these rate classes. A new rate class is being proposed for service to industrial customers connected directly to a substation. Customers who qualify for this rate class do not share in the costs associated with the operation and maintenance of the distribution infrastructure between the substations and meters. The renewable energy purchased from PRPA is increasing from $0.019 per kilowatt-hour to $0.024 per kilowatt-hour. This increase is due to the higher costs of purchasing Renewable Energy Credits (RECs) with the associated energy compared to purchasing RECs that are not bundled with the associated energy. Maintenance and decommissioning costs for some of the Vestas turbines at Medicine Bow are also accounted for in the price increase. Staff is also proposing to delete the Code duplication and clarify the terms of payment for each rate class by referring all rate classes to Section 26-713. October 16, 2012 -4- ITEM 22 Monthly Utility Bill Summary The following chart summarizes the impact of the proposed rate changes on a typical single family residential customer during the summer: The following chart summarizes the impact of the proposed rate changes on a typical single family residential customer during the non-summer months: The average non-summer utility bill is expected to be $142.80 in 2013 and the average utility bill in the Summer is expected to be $183.51 in 2013, or 29% higher than the non-summer bill. The following two charts compare Fort Collins Utilities’ monthly utility bill to others along the Front Range in 2012 at non-summer rates and then at summer rates. October 16, 2012 -5- ITEM 22 October 16, 2012 -6- ITEM 22 C. Plant Investment Fees (PIFs) and Electric Development Fees - First Reading of Ordinance No. 115, 2012, Amending Chapter 26 of the City Code to Revise Electric Development Fees and Charges. City Code requires staff to present water, wastewater and stormwater plant investment fees to Council for approval no less than every other year. These fees were last changed in 2011 effective on January 1, 2012. No changes are recommended for 2013 for water, wastewater and stormwater plant investment fees. Electric Development Fees Electric development fees are also required to be approved by City Council no less than every second year although historically staff has recommended annual changes. The current electric development fees were approved by Council in 2011 and were effective January 1, 2012. There is a small decrease in fees recommended for 2013. Electric development fees recover both actual on-site costs (building site charges) and allocated off-site costs (electric capacity charges) to serve commercial or residential development. These fees are adjusted annually to reflect changes in costs of labor and materials. While some costs continue to increase, an adjustment to the development fee model used to calculate the fees has resulted in a decrease in costs of approximately 2% for most developments. The table below shows the changes for a typical single family lot and a model commercial development. FINANCIAL / ECONOMIC IMPACTS The rates are projected to increase 2012 annual operating revenues of the Water Fund by 4% and the Light and Power Fund by 4.33%. The projected revenue from the rate increases is included in the City Manager’s Recommended 2013- 2014 budget projections. The increases are necessary to fund purchased power, the Fort Collins Solar Program, and to ensure treated water quality is not diminished as a result of the High Park Fire. The proposed rate ordinances will increase costs for a typical residential customer by $5.01 in the summer from $162.96 to $167.97 and $2.95 from $131.03 to $133.98 in non-summer months. Utility programs can help customers to reduce their water and electric use and to lessen the financial impact of the rate increases. ENVIRONMENTAL IMPACTS Funding from the proposed electric rate increase will allow the Utilities to continue programs and services aimed at meeting the goals and objectives of the Energy Policy and Climate Action Plan. Accurate seasonal price signals may delay/ avoid the need for additional peak electric generation. Water rates provide funding for conservation programs and environmental regulatory compliance. October 16, 2012 -7- ITEM 22 STAFF RECOMMENDATION Staff recommends adoption of the Ordinances on First Reading. BOARD / COMMISSION RECOMMENDATION At its September 20, 2012 meeting, the Water Board unanimously voted to recommend approval of the proposed 2013 water. The Energy Board unanimously recommended approval of the proposed 2013 electric increase at its October 4, 2012 meeting. The draft Board minutes are attached. PUBLIC OUTREACH Notice of the proposed electric rate changes was published in the Coloradoan on September 30, 2012, and a mailing was sent city electric customers outside of the city limits in accordance with state requirements. Commercial customers have been advised of the proposed increases. Staff plans to conduct outreach to all customers following adoption of the Ordinances. ATTACHMENTS 1. Water Board minutes, September 20, 2012 2. Electric Board minutes, October 5, 2012 3. Powerpoint presentation Attachment 1 Excerpt from Unapproved Water Board Minutes, September 20, 2012 Water Rate Discussion/Review and Provide Recommendation on 2013 – 2014 Utilities Budget (Attachments available upon request). Utilities Financial Operations Manager Ellen Switzer introduced the item. This item was also discussed at the Work Session on September 6, 2012. Ms. Switzer presented information on the Budget Assumptions. These include the following:  Inflation estimated at 0 percent in 2013  Inflation estimated at 3 percent in 2014  2.25 percent salary increases in 2013  2 percent salary increases in 2014 Ms. Switzer presented information on Rates and Fees Highlights. These include the following:  No increases for stormwater utility rates  Water rates are proposed to increase 4 percent in 2013 and 2014 due to the High Park Fire  Wastewater rates will not increase in 2013 and are proposed to increase 3 percent in 2014  Plant Investment Fees are updated biennially with no increase expected in 2013. Ms. Switzer presented information on the 2013 – 2014 Proposed Water Budget, including graphs outlining the budget summary and the water fund revenues for water, wastewater, and stormwater. She also presented information on 10 year rate projections for all Utilities (electric, water, wastewater, and stormwater). In summary, reserve policies for all funds are met, debt coverage is met for all funds, and small annual levelized increases will be necessary for Water and Wastewater. Staff recommends support for the City Manager’s Recommended Budget and recommends approval for the proposed rate increases. A board member asked for the total budgeted amount for water, wastewater, and stormwater. Ms. Switzer stated the budget breakdown is as follows: $28 million for water, $20 million for wastewater, and $14 million for stormwater. Discussion on the motion: There was no discussion on the motion. Vote on the motion: It passed unanimously. Discussion on the motion: There was no discussion on the motion. Board Member Brown moved that the Water Board recommend that the City Manager’s Recommended Budget be adopted by City Council for the 2013-14 Biennial Budget. Board Member Brunswig seconded the motion. Vice Chairperson Malers moved that due to the unexpected costs of the High Park Fire, the Water Board recommend that City Council adopt the proposed 4 percent water rate increase in 2013. Board Member Brown seconded the motion. Attachment 1 Excerpt from Unapproved Water Board Minutes, September 20, 2012 Vote on the motion: It passed unanimously. Attachment 2 Excerpt from Unapproved Energy Board Minutes, October 4, 2012 Page 1 of 3 2013 Light and Power Budget and Rate Recommendations (Attachments available upon request). Mr. Catanach introduced the item and introduced Utilities Financial Operations Manager Ellen Switzer. Ms. Switzer presented background information on the City’s Budgeting for Outcomes (BFO) process. City Council identifies key outcomes. These include transportation, safe community, economic health, environmental health, culture, parks, and recreation, neighborhood livability, and high performing government. The budget is developed around these themes. The BFO process includes the following steps:  Sellers develop Budget Offers  Results Teams review the offers and meet with sellers  Drilling Platforms developed by Results Team  Budget Lead Team reviews, tweaks, and develops the Recommended Budget. The team consists of the City Manager, his direct reports, and members of the City’s budget staff.  Council adopts final budget with their changes. Ms. Switzer presented information on the budget assumptions:  Inflation estimated at 2 percent per year  2.5 percent salary increases in 2013 and 2 percent salary increases in 2014  Growth projections at approximately 0.7 percent per year (either through new customers or increased usage) Ms. Switzer presented information on revenues for the 2012, 2013, and 2014 budget and presented a graph showing revenue comparison. She also presented a graph showing the breakdown between industrial, commercial, and residential customers. A board member asked what happens to the interest earnings from reserves. Ms. Switzer stated the earnings are available to be appropriated based on projected revenues. Ms. Switzer presented information on electric rates and fees. 2013 electric rates are increasing 4.33 percent. This includes a Platte River Power Authority (PRPA) pass through of approximately 3.83 percent. 2014 rates are increasing 3.5 percent. This includes a PRPA pass through of approximately 3 percent. She presented a graph showing the percent increase by customer class for 2013 electric rates and a chart showing the impact on a typical residential customer from 2012 to 2013. There is a new substation rate proposed for 2013 for customers served directly from the substation. The rate does not include distribution costs. There is also an increase in the Green Energy Program Premium from 1.9 cents to 2.4 cents per kWh. This is a direct pass through from PRPA. A board member asked what drives the increase from PRPA. Ms. Switzer stated they have been asked to buy more renewable energy credits that include the delivery of the power. Mr. Catanach also stated that some of the contracts have escalation clauses. There will be no changes in rate forms. Average electric development fees will decrease slightly for single family residential and commercial customers. Attachment 2 Excerpt from Unapproved Energy Board Minutes, October 4, 2012 Page 2 of 3 Ms. Switzer presented information on expenditures. The 2012 original budget is $112.8 million. The 2013 recommended budget is $119.6 million. The 2014 recommended budget is $124.9 million. Ms. Switzer presented a graph showing the Light and Power Fund Budget Summary from 2012 to 2014. She noted purchase power will increase the most because of the PRPA rate increases. The increase also includes upgrades to current infrastructure. Light and Power Operations will increase slightly. The Energy Services budget will remain approximately the same. Ms. Switzer presented information on the City Manager’s Recommended Budget Funded Offers:  Purchase Power of $80.3 million (2013) and $80.4 million (2014) with a 5.1 percent PRPA rate increase.  System additions and replacements to continue existing programs.  Light and Power Operations funding also includes one full time employee (FTE) for maintenance of the telecommunication systems and radios. This position is necessary because the Information Technology (IT) Department will no longer provide this service.  Payment in Lieu of Taxes (PILOT). PILOT is 6 percent of the Operating Revenue.  Energy Services funding includes a .5 FTE staffing increase.  Customer Service and Admin (CSA) funding (this provides services to all Utilities). Light and Power pays 40.4 percent of joint utilities expenses.  Solar Programs include Small Scale Community Renewables (rebates), the Solar Garden, and Fort Collins Solar Program (FIT).  Capital Projects include Computerized Maintenance Management System, Electric Vehicle Charging Stations, and Substations. Unfunded offers include the following:  Utilities Service Center expansion and improvements (this will be addressed outside the BFO process)  Design software for Light and Power Engineering staff Ms. Switzer presented a graph showing Light and Power Revenues and Expenditures. Summary  Most requested offers funded  Moderate rate increases  Will continue to draw down Light and Power reserves  Reserve policies met  Debt coverage met Staff recommends the Energy Board support the City Manager’s Recommended Budget and proposed rate increase. Highlights from the discussion:  A board member asked for an explanation between the PRPA pass through rate increases of 3.83 percent for 2013, 3 percent for 2014, and the 5.1 percent PRPA rate increase listed under Purchase Power. Ms. Switzer stated purchase power costs are not 100 percent of the budget. Other expenditures have to be recovered as well. Attachment 2 Excerpt from Unapproved Energy Board Minutes, October 4, 2012 Page 3 of 3  A board member asked if the Utilities-scale solar and biomass projects were funded. Mr. Catanach responded these offers were funded and will be part of a purchase power agreement. This would occur during the next budget cycle.  A board member asked if the offers would meet the City’s Renewable Energy Standard (RES) goal. Mr. Catanach stated these offers would only meet half of the goal. Utilities would work with PRPA during the 2015 budget cycle to meet the remaining part of the goal.  A board member noted there is no mention of the 2014 increase in the suggested board motion. Ms. Switzer stated that typically staff would ask for a recommendation for the 2014 rate increase next year.  A board member asked if the board should make a recommendation on the design software. Mr. Catanach stated this is not necessary at this time. If this became necessary, it would be during the mid-year budget adjustment. Vote on the motion: Yeas: Behm, Cunniff, Kronkosky, Moore, O’Neill, Plate, Rothe, and Wolley. Nays: None. The motion carried. Vote on the motion: Yeas: Behm, Cunniff, Kronkosky, Moore, O’Neill, Plate, Rothe, and Wolley. Nays: None. The motion carried. Vice Chairperson Rothe moved that the Energy Board recommend that City Council adopt the proposed 4.33 percent electric rate increase in 2013 and the revisions to the Electric Development Fees. Board Member Moore seconded the motion. Vice Chairperson Rothe moved that the Energy Board recommend that City Council adopt the City’s Manager Recommended 2013-2014 Budget for the Light and Power Fund. Board Member Wolley seconded the motion. 1 1 2013 Utility Rates and Fees Ordinances First Reading October 16, 2012 2 3 Ordinances – Effective January 1, 2013 • Monthly Water Rates • Monthly Electric Rates • Electric Development Fees ATTACHMENT 3 2 3 Monthly Utility Rate Increases • Electric – by customer class – within classes – seasonally • Water – across the board to all customers Utility Average Annual Increase Electric 4.3% Stormwater 0.0% Water 4.0% Wastewater 0.0% 4 Electric Rate Increase • Two components in 4.33% increase + 3.83% retail impact from PRPA’s 5.0% increasefor wholesale purchased power + 0.5% for the Fort Collins Solar Program • New Substation Service Rate Class • Fort Collins Electric Rates remain among the lowest in the state and nation 3 5 Rate Increases Vary by Rate Class & Season Proposed 2013 Electric Rate Increases By Class and Season 0% 1% 2% 3% 4% 5% 6% Residential Residential Demand Small Commercial Small/medium Commercial Medium Commercial Large Commercial Substation Rate System % Increase Over 2012 Non‐Summer Summer Annual 6 Water Rate Increase • Fund fire mitigation efforts and increased treatment costs • Slow use of reserves and maintain debt coverage 4 7 Monthly Residential Utility Bills Current Estimated $ % 2012 2013 Increase Increase Electric 700 kWh/mo Wastewater 4,800 gal/mo WQA Stormwater 8,600 sq.ft. lot, light runoff Water 15,000 gal/mo Total Estimated Average Monthly Utility Bill $162.96 $167.97 $5.01 3.1% Typical Residential Customer – Monthly Utility Bill SUMMER $51.33 $14.26 $66.49 $69.46 $2.97 4.5% $30.88 $30.88 $0.00 0.0% $14.26 $0.00 0.0% $53.37 $2.05 4.0% Current Estimated $ % 2012 2013 Increase Increase Electric 700 kWh/mo Wastewater 4,800 gal/mo $30.88 $30.88 $0.00 0.0% WQA Stormwater 8,600 sq.ft. lot, light runoff Water 5,000 gal/mo Total Estimated Average Monthly Utility Bill $131.03 $133.98 $2.95 2.2% $25.58 $26.60 $1.02 4.0% Typical Residential Customer – Monthly Utility Bill WINTER $62.24 $1.93 3.2% $14.26 $14.26 $0.00 0.0% $60.31 8 Regional Rate Comparison Electric Rate Comparison ‐ 700 kWh per Month $55.76 $57.25 $57.25 $60.31 $64.95 $64.95 5 9 Regional Rate Comparison Water Rate Comparison Average Residential Use January & July $14.02 $14.16 $20.16 $25.57 $26.59 $27.80 $18.70 $31.31 $38.41 $31.69 $32.32 $42.12 $43.84 $51.32 $53.37 $63.40 $54.30 $59.30 $91.11 $93.51 $0 $20 $40 $60 $80 $100 Loveland Longmont Boulder Ft. Collins ‐ 2012 Ft. Collins ‐ 2013 Greeley Denver Windsor Aurora Co.Sprs $/Mo. for Residential Customer Avg Jan. 5,000 Gal. Avg July 15,000 Gal. 10 Plant Investment Fees • By Code, PIF/ Electric Development Fees are to be adjusted at least biennially – PIFs were updated in 2012 • Proposed Change in 2013 – Electric Development Fees: • Residential -2.4% • Commercial -1.6% 6 11 Next Steps • October 30, 2012 City Council Work Session – Utility Bills and Conservation Programs Review • November 6, 2012 City Council Agenda –2nd reading of these 3 ordinances • January 1, 2013 – 2013 rates effective 12 Questions? ORDINANCE NO. 113, 2012 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS TO REVISE WATER RATES AND CHARGES WHEREAS, the City Council is empowered and directed by Article XII, Section 6, of the Charter of the City of Fort Collins, Colorado, to from time to time 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 Poudre watershed was damaged by the 2012 High Park fire and will result in additional operating and capital costs for treatment and mitigation; and WHEREAS, the Water Board considered the proposed water rates, fees and changes for 2013 at its September 20, 2012 meeting and recommended approval of the rate changes by an unanimous vote; and WHEREAS, the City Manager has recommended to the City Council that the following water use rates be imposed for the billing year beginning January 1, 2013 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That Section 26-41 of the Code of the City of Fort Collins is hereby amended by the addition of two new definitions which read in their entirety as follows: Average daily demand shall mean the annual total water demand divided by the number of days in the year. Peaking factor shall mean the ratio of the highest amount of water delivered in a single day for the year to the average daily demand for that year. Section 2. That Section 26-126 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-126. Schedule A, flat rates for unmetered construction water use. For residential and nonresidential premises under construction with a planned meter size greater than one (1) inch, no flat unmetered water service will be provided. For residential and nonresidential premises under construction with a planned meter size of one (1) inch or less, the following flat rates will apply per month until the permanent meter is set: ¾-inch construction service, flat charge per month $24.02 $24.98 1-inch construction service, flat charge per month $45.80 $47.63 Section 3. That Section 26-127 (a) Residential Rates and that Section 26-127 (b) Nonresidential Rates 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 thirteen dollars and sixty fourteen dollars and fourteen cents ($13.6014.14). 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 two dollars and ten and five-tenths eighteen and nine tenths cents ($2.1052.189) per one thousand (1,000) gallons. For the next six thousand (6,000) gallons used per month, a charge of two dollars and forty-one and nine-tenths fifty-one and six tenths cents ($2.4192.516) per one thousand (1,000) gallons. For all additional gallons used per month, a charge of two dollars and seventy-eight and three-tenths eighty-nine and four-tenths cents ($2.7832.894) 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 fifteen dollars and ninety-seven sixteen dollars and sixty-one cents ($15.9716.61). b. Quantity Charge. Residential customers with two (2) dwelling units shall pay a monthly quantity charge as follows: -2- For the first nine thousand (9,000) gallons used per month, a charge of two dollars and two and eight-tenths ten and nine tenths cents ($2.0282.109) per one thousand (1,000) gallons. For the next four thousand (4,000) gallons used per month, a charge of two dollars and thirty-three and one-tenth forty-two and four-tenths cents ($2.331 2.424) per one thousand (1,000) gallons. For all additional gallons used per month, a charge of two dollars and sixty-eight and two-tenths seventy-eight and nine-tenths cents ($2.6822.789) 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 thirteen dollars and forty-nine fourteen dollars and three cents ($13.4914.03) for the first dwelling unit and four dollars and forty-ninesixty-seven cents ($ 4.494.67) 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 ninety-five and nine-tenths two dollars and three and seven- tenths cents ($1.9592.037) 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 forty-four and nine-tenths fifty-four and seven-tenths cents ($2.4492.547) 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. (b) Nonresidential Rates. (1) Base charge. Nonresidential, except for special users as described in Subsection 26-127 (c) customers shall pay a base monthly charge based on meter size as follows: -3- Meter Size (inches) Monthly Base Charge ¾ $ 12.1712.66 1 33.9535.31 1½ 92.3396.02 2 139.14144.71 3 212.22220.71 4 333.16346.49 6 646.30672.15 8 1,141.751187.42 (2) Quantity charges. Nonresidential customers shall pay a monthly quantity charge of one dollar and sixty-nine and three-tenths seventy-six and one- tenth cents ($1.6931.761) 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 eleven and six-tenthstwenty and one-tenth cents ($2.1162.201) 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 forty- three and three-tenths fifty-three cents ($2.4332.530) per one thousand (1,000) gallons used in the winter season months of November through April. Monthly water use in excess of the amounts specified below shall be billed at three dollars and four and two-tenths sixteen and four-tenths cents ($3.0423.164) 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. Meter Size (inches) Specified Amount (gallons per month) ¾ 100,000 1 300,000 1½ 625,000 2 1,200,000 3 1,400,000 4 2,500,000 Section 4. That Sections 26-127 (c) and (d) are renumbered as 26-127 (d) and (e) respectively and that a new section 26-127 (c) of the City Code is added as follows: -4- (c) High Volume Industrial Rates. 1. High volume industrial rates apply to any customer with an Average daily demand in excess of 2,000,000 gallons per day. The specific rate for any qualifying customer shall be based upon the applicable peaking factor for that customer as follows: Peaking Factor Monthly charge per thousand gallons 1.00-1.09 $1.430 1.10-1.19 1.490 1.20-1.29 1.550 1.30-1.39 1.600 1.40-1.49 1.660 1.50-1.59 1.710 1.60-1.69 1.770 1.70-1.79 1.830 1.80-1.89 1.880 1.90-1.99 1.940 > 2.00 2.000 Section 5. That the amendments to the Chapter 26 of the City Code contained herein shall go into effect in for meter readings on or after January 1, 2013. Introduced, considered favorably on first reading, and ordered published this 16th day of October, A.D. 2012, and to be presented for final passage on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk -5- Passed and adopted on final reading on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk -6- ORDINANCE NO. 114, 2012 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 costs are increasing due to reduced wholesale market prices and surplus sales, increased costs of coal, and increased operating costs for aging plants; and WHEREAS, Platte River Power Authority will increase the City’s wholesale cost of power approximately 5.1% in 2013; and WHEREAS, the City’s increased wholesale power costs will require a 3.83% increase in the City’s electric rates; and WHEREAS, the City Manager’s recommended 2013 budget includes an appropriation of $500,000 for the Fort Collins Solar Program; and WHEREAS, the cost of the Solar Program will require a 0.5% rate increase; and WHEREAS, the Energy Board considered the proposed electric rates, fees and changes for 2013, at its October 4, 2012 meeting and recommended approval of the rate changes by an unanimous vote; and WHEREAS, the City Manager and staff have recommended to the City Council the following electric rate adjustments for all billings issued with meter readings on or after January 1, 2013; 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), (d), (e), (m) and (p) 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: four dollars and forty-eight cents ($4.48). (2) Distribution facilities charge, per kilowatt-hour: two and fifty-six-hundredths fifty-nine one-hundredths cents ($0.02560.0259). (3) Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: a. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: five and thirty-one sixty-eight one-hundredths cents ($0.0531 0.0568). b. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: six and eighty-nine seven and twenty-six one- hundredths cents ($0.06890.0726). c. For all additional kilowatt hours per month, per kilowatt hour: ten and five forty-two one-hundredths cents ($0.10050.1042). (4) Energy and demand charge, during the non-summer season billing months of January through May and September through December: a. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: four and eighty-two five and five one-hundredths cents ($0.04820.0505). b. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and twentyforty-three one-hundredths cents ($0.05200.0543). c. For all additional kilowatt hours per month, per kilowatt hour: six and three twenty-six one-hundredths cents ($0.06030.0626). (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) Medical assistance program. (1) The rates described in Subsection (c) above shall be discounted for those electric customers to whom this rate schedule applies and who apply for such discount, as long as: a. the applicant's annual household income falls below sixty (60) -2- percent of the Larimer County Area Median Income (as determined by the Federal Housing Authority); and b. the application is accompanied by a certified, signed statement from a licensed physician that electrical durable medical equipment used at the residential premises is medically necessary and that such medical equipment has been assigned a Healthcare Common Procedure Coding System number; and/or c. A certified, signed statement from a licensed physician that air conditioning at the residential premises is medically necessary for a resident thereof who, in the absence of the air conditioning, may suffer medical deterioration due to a severe immune-compromising medical condition, including, but not limited to, multiple sclerosis, quadriplegia, paraplegia, scleroderma or hemiplegia; and d. the application is accompanied by a sworn affidavit from the applicant verifying that all information contained in the application, including, if applicable, the representation that air conditioning will be operational at the applicant's address during the summer billing months, is true and correct. (2) Applications for rate discounts under this Section must be submitted annually in accordance with an administratively established schedule. (3) The discounted rates for customers with electrical durable medical equipment only shall be calculated as follows: a. Fixed charge, per account: four dollars and forty-eight cents ($4.48). b. Distribution facilities charge, per kilowatt hour: two and fifty-six fifty-nine one-hundredths cents ($0.02560.0259). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and ninety-fivethree and twenty one- hundredths cents ($0.02950.0320). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: six and eighty-nine seven and twenty-six one- hundredths cents ($0.06890.0726). -3- 3. For all additional kilowatt hours per month, per kilowatt hour: ten and five forty-two one-hundredths cents: ($0.10050.1042). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and sixty-onetwo and seventy-six one- hundredths cents ($0.02610.0276). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and twentyforty-three one-hundredths cents ($0.05200.0543). 3. For all additional kilowatt hours per month, per kilowatt hour: six and three twenty-six one-hundredths ($0.06030.0626). e. 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. (4) The discounted rates for customers with medical needs requiring air conditioning only shall be calculated as follows: a. Fixed charge, per account: four dollars and forty-eight cents ($4.48). b. Distribution facilities charge, per kilowatt hour: two and fifty-six fifty-nine one-hundredths cents ($0.02560.0259). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and ninety-twothree and fourteen one- hundredths cents (0.0292$0.0314). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: three and seventy-sevenfour and one one- hundredths cents ($0.03770.0401). 3. For all additional kilowatt hours per month, per kilowatt hour: -4- ten and five forty-two one-hundredths cents ($0.10050.1042). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: four and eighty-two five and five one- hundredths cents ($0.04820.0505). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and twenty forty-three one-hundredths cents ($0.05200.0543). 3. For all additional kilowatt hours per month, per kilowatt hour: six and three twenty-six one-hundredths cents ($0.06030.0626). e. 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. (5) The discounted rates for customers with electrical durable medical equipment and medical needs requiring air conditioning shall be calculated as follows: a. Fixed charge, per account: four dollars and forty-eight cents ($4.48). b. Distribution facilities charge, per kilowatt hour: two and fifty-six fifty-nine one-hundredths cents ($0.02560.0259). c. Energy and demand charge, during the summer season billing months of June, July and August, with the summer season billing month determined by the month the meter is read, and provided that no customer shall be billed more than three (3) full billing cycles at the summer rate. The energy and demand charge shall be billed as follows: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: one and eighty-ninetwo and five one- hundredths cents ($0.01890.0205). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: two and forty-fivesixty-two one-hundredths cents ($0.02450.0262). 3. For all additional kilowatt hours per month, per kilowatt hour: -5- ten and five forty-two one-hundredths cents ($0.10050.1042). d. Energy and demand charge, during the non-summer season billing months of January through May and September through December: 1. For the first five hundred (500) kilowatt hours per month, per kilowatt hour: two and sixty-oneseventy-six one-hundredths cents ($0.02610.0276). 2. For the next five hundred (500) kilowatt hours per month, per kilowatt hour: five and twentyforty-three one-hundredths cents ($0.05200.0543). 3. For all additional kilowatt hours per month, per kilowatt hour: six and three twenty-six one-hundredth cents ($0.06030.0626). e. In lieu of taxes and franchise: a charge at the rate of six and zero- tenths (6.05) percent of all monthly service charges billed pursuant to this Section. (6) Notwithstanding the foregoing, no rate established under this Subsection shall reflect a discount exceeding an amount consistent with the use of one hundred fifty (150) kilowatt hours per month for the operation of electrical durable medical equipment or, if applicable, an additional amount consistent with the use of three hundred fifty (350) kilowatt hours per month for air conditioning. (7) A decision that an applicant does not qualify to participate in this program for a medical or financial reason may be appealed to the Utilities Executive Director, who shall, prior to making his or her decision, and as he or she deems appropriate, confer with one (1) or more medical or financial experts in reviewing such appeal. (e) Renewable resource. Renewable energy resources, including but not limited to energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-tenths two and four tenths cents ($.0190.024) 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. (m) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date.Due dates and delinquency procedures shall be as set forth in Section 26-713. (p) Net metering -6- (5) The customer-generator’s consumption of energy from the utility shall be measured on a monthly basis and, in the event that the qualifying facility has produced more electricity than the customer-generator has consumed, the customer-generator shall receive a monthly credit for such production. During the second calendar quarter of each year, the customer-generator shall receive payment for the net excess generation accrued for the preceding twelve (12) months. The credit per kilowatt hour for the energy delivered to the electric utility under this provision shall be provided at the summer season energy charge as specified in SubsectionSubparagraph (c) (3)(a). Section 2. That Sections 26-465 (c), (d), (f) and (m) 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: seven dollars and twenty-four cents ($7.24). (2) Demand charge, per kilowatt: two dollars and forty-three fifty cents ($2.432.50). (3) Distribution facilities charge, per kilowatt-hour: two and eighty-eightninety- one one-hundredths cents ($0.02880.0291). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: three and seventy-twoeighty-eight one-hundredths cents ($0.03720.0388). b. During the non-summer season billing months of January through May and September through December: three and fifty-five seventy- seven one-hundredths cents ($0.03550.0377). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including but not limited to energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-two and four-tenths cents ($.0190.024) per kilowatt hour. The utility may establish and offer voluntary programs designed to -7- 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 one dollar and twenty-one twenty two cents ($1.211.22) 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 three dollars and sixty-three sixty-seven cents ($3.633.67) 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. (m) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date.Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 3. That Sections 26-466 (b), (c), (d), and (n) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-466. General service, schedule GS. (b) Applicability. (1) This schedule applies to individual commercial and industrial services, served at the established secondary voltage of the City's distribution system; and optionally, for apartments and multiple dwellings in existence prior to January 1, 1980, where more than one (1) dwelling or single living quarters are served through one (1) meter. Single-phase motors from one (1) to five (5) horsepower may be connected with the approval of the utility. This schedule applies to an individual single or three-phase service with an energy-only meter and for demand metered services with an average metered demand of not greater than twenty-five (25) kilowatts. (2) This schedule does not apply to single-family, individually metered residential units unless: -8- a. the energy delivered to such a unit is also used for commercial or business use and the commercial/business energy use comprises more than 50% of the total energy use for the unit; and b. the unit is not eligible for a home occupation license as specified in Article 3 of the Land Use Code. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: a. Single-phase, two-hundred-ampere service: three dollars and sixty- eight cents ($3.68). b. Single-phase, above two-hundred-ampere service: ten dollars and eighty-three cents ($10.83). c. Three-phase, two-hundred-ampere service: five dollars and fifty-nine cents ($5.59). d. Three-phase, above two-hundred-ampere service: thirteen dollars and twenty-four cents ($13.24). (2) Demand charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: two and sixty-seveneighty-nine one-hundredths cents $0.02670.0289). b. During the non-summer season billing months of January through May and September through December: one and thirty-nineforty one- hundredths cents ($0.01390.0140). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities charge, per kilowatt-hour: One and eighty-one eighty- four one-hundredths cents ($0.01810.0184). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: three and seventy-twoeighty-eight one-hundredths cents ($0.03720.0388). -9- b. During the non-summer season billing months of January through May and September through December: three and fifty-five seventy- seven one-hundredths cents ($0.03550.0377). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero- tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (6) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including but not limited to energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-tenthstwo and four-tenths cents ($.0190.024) 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. (n) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date.Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 4. That Sections 26-467 (c), (d), (f), and (o) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-467. General service 25, schedule GS25. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: a. Single-phase, two-hundred-ampere service: three dollars and sixty- eight cents ($3.68). b. Single-phase, above two-hundred-ampere service: ten dollars and eighty-three cents ($10.83). c. Three-phase, two-hundred-ampere service: five dollars and fifty-nine cents ($5.59). d. Three-phase, above two-hundred-ampere service: thirteen dollars and twenty-four cents ($13.24). -10- (2) Demand charge, per kilowatt: a. During the summer season billing months of June, July and August: seven dollars and sevensixty-four cents ($7.077.64). b. During the non-summer season billing months of January through May and September through December: four dollars and thirty- sixthirty-eight cents ($4.364.38). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities charge, per kilowatt-hour: one and eighty-oneeighty- four one-hundredths cents ($0.01810.0184). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: three and seventy-two eighty-eight one-hundredths cents ($0.03720.0388). b. During the non-summer season billing months of January through May and September through December: three and fifty-fiveseventy- seven one-hundredths cents ($0.03550.0377). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including, but not limited to, energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-tenths two and four-tenths cents ($.0190.024) 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 four dollars and twenty- seven thirty-five cents ($4.274.35) per kilowatt of contracted standby service. -11- 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 twelve dollars and eighty-one thirteen dollars and five cents ($12.8113.05) 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. (o) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date.Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 5. That numbered Section 26-468 (c), (d), (f), (g), (k) and (r) of the Code of the City of Fort Collins are hereby amended to read as follows: Sec. 26-468. General service 50, schedule GS50. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: twenty-one dollars and two cents ($21.02). 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: a. During the summer season billing months of June, July and August: ten dollars and thirty-sixeleven dollars and eighteen cents ($10.3611.18). b. During the non-summer season billing months of January through May and September through December: seven dollars and seventy- sixeighty cents ($7.767.80). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: five dollars and fifty- twosixty-five cents ($5.525.65). (4) Energy charge, per kilowatt-hour: -12- a. During the summer season billing months of June, July and August: three and seventy-twoeighty-eight one-hundredths cents ($0.03720.0388). b. During the non-summer season billing months of January through May and September through December: three and fifty-fiveseventy- seven one-hundredths cents ($0.03550.0377). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including, but not limited to, energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-tenths two and four-tenths cents ($.0190.024) 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 four dollars and forty-eightfifty-nine cents ($4.484.59) 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 thirteen dollars and forty-fourseventy-six cents ($13.4413.76) 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 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 -13- 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 ninety-fiveninety-seven cents ($0.950.97) 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 eighty-fiveninety-two cents ($2.852.92) 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. (k) The distribution facility demand charge used by the utility is designed to recover the costs of operating and maintaining the electric distribution system, including customer service and administrative functions, and it is based on a per unit rate tied to the peak demand (kW) of a customer's monthly electric use. Under the utility's billing system, cost recovery is based on a twelve-month model. Monthly billing is one-twelfth (1/12) of the annual cost recovery required for given service and the twelve-month use patterns serve as the reference base for monthly billings. (1) The distribution facilities demand shall be determined for each point of delivery by suitable meter measurement of the highest one-hour integrated demand occurring during the billing period and shall not be less than seventy (70) percent of the highest distribution facilities demand (in kilowatts) occurring in any of the preceding eleven (11) months. (2) If the Utilities Executive Director determines that the calculation described in Paragraph (1) above does not recover the customer's share of the actual distribution facilities costs, the customer's distribution facilities demand charge may be determined according to a billing calendar designed to fully recover said customer's share of the distribution facilities costs. (r) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date.Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 6. That numbered Sections 26-469 (c), (d), (f), (g), (k) and (s) of the Code of the -14- City of Fort Collins are hereby amended to read as follows: Sec. 26-469. General service 750, schedule GS750. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: sixty-one dollars and ninety-six cents ($61.96). a. Additional charge for each additional metering point: fifty-four dollars and seventy-four cents ($54.74). 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: a. During the summer season billing months of June, July and August: ten dollars and twentyeleven dollars and one cents ($10.2011.01). b. During the non-summer season billing months of January through May and September through December: seven dollars and sixty- foursixty-nine cents ($7.647.69). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: a. First seven hundred fifty (750) kilowatts: five dollars and forty- fourseventy-three cents ($5.445.73). b. All additional kilowatts: three dollars and twenty-fiveforty-two cents ($3.253.42). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: three and sixty-seveneighty-two one-hundredths cents ($0.03670.0382). b. During the non-summer season billing months of January through May and September through December: three and forty-nineseventy- one one-hundredths cents ($0.03490.0371). -15- c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including but not limited to energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of one and nine-tenths two and four-tenths cents ($.0190.024) 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 dollars and fortyfifty-eight cents ($3.403.58) 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 dollars and twentyseventy-four cents ($10.2010.74) 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 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 -16- (in kilowatts) as determined by the customer and approved by the utility according to the following: (1) The excess circuit charge shall be seventy-twoseventy-six cents ($0.720.76) 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 seventeentwenty-nine cents ($2.172.29) 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. (k) Distribution facilities demand. The distribution facilities demand charge used by the utility is designed to recover the costs of operating and maintaining the electric distribution system, including customer service and administrative functions, and it is based on a per-unit rate tied to the peak demand (kW) of a customer's monthly electric use. Under the utility's billing system, cost recovery is based on a twelve-month model. Monthly billing is one-twelfth (1/12) of the annual cost recovery required for given service and the twelve-month use patterns serve as the reference base for monthly billings. (1) The distribution facilities demand shall be determined for each point of delivery by suitable meter measurement of the highest one-hour integrated demand occurring during the billing period and shall not be less than seventy-five (75) percent of the highest distribution facilities demand (in kilowatts) occurring in any of the preceding eleven (11) months. (2) If the Utilities Executive Director determines that the calculation described in Paragraph (1) above does not recover the customer's share of the actual distribution facilities costs, the customer's distribution facilities demand charge may be determined according to a billing calendar designed to fully recover the customer's share of the distribution facilities costs. (s) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date. Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 7. That Section 26-470 through 26-474 of the Code of the City of Fort Collins shall be renumbered as Sections 26-471 through 26-475 respectively. Section 8. That a new Section 26-470 shall be adopted to read as follows: Sec. 26-470. Substation service, schedule SS. (a) Availability. The Substation service, schedule SS shall be available within the -17- corporate limits of the City and the suburban fringe. (b) Applicability. This schedule applies to customers served directly from a City substation who do not utilize any part of the City’s electric distribution circuits to receive service. This schedule applies only to individual services with an average metered demand of seven hundred fifty (750) kilowatts or greater. (c) Monthly rate. The monthly rates for this schedule are as follows: (1) Fixed charge, per account: sixty-one dollars and ninety-six cents ($61.96). (2) Coincident demand charge, per kilowatt: a. During the summer season billing months of June, July and August: ten dollars and eighty-four cents ($10.84). b. During the non-summer season billing months of January through May and September through December: seven dollars and fifty-seven cents ($7.57). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (3) Distribution facilities demand charge, per kilowatt: two dollars and fifty-four cents ($2.54). (4) Energy charge, per kilowatt-hour: a. During the summer season billing months of June, July and August: three and seventy-seven one-hundredths cents ($0.0377). b. During the non-summer season billing months of January through May and September through December: three and sixty-six one- hundredths cents ($0.0366). c. The meter reading date shall generally determine the summer season billing months; however, no customer shall be billed more than three (3) full billing cycles at the summer rate. (5) In lieu of taxes and franchise: a charge at the rate of six and zero-tenths (6.0) percent of all monthly service charges billed pursuant to this Section. (d) Renewable resource. Renewable energy resources, including but not limited to energy generated by the power of wind, may be offered on a voluntary basis to customers at a premium of two and four-tenths cents ($.024) per kilowatt hour. The utility may establish and offer voluntary programs designed to increase and enhance -18- the use of energy generated by renewable energy resources in support of Council- adopted policy applicable to the utility. (e) 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 dollars and twenty-eight cents ($2.28) 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 six dollars and eighty-three cents ($6.83) 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 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. (f) Service charge. Service charges and connection fees shall be as set forth in Subsection 26-712(b). (g) Conservation assistance, rebates and incentives. The utility may establish programs to assist customers or provide incentives to customers in order to reduce energy consumption or system peak demands consistent with Council-adopted policy applicable to the utility. Such programs may include financial or technical assistance, incentives or rebates and shall be consistent with program objectives approved by the Utilities Executive Director. (h) Coincident demand. The coincident demand for any month shall be the customer's sixty-minute integrated kilowatt demand recorded at the hour coincident with the monthly system peak demand for Platte River Power Authority. The monthly system peak demand for Platte River Power Authority shall be the maximum coincident sum of the measured demands for the participating -19- municipalities recorded during the billing month. (i) Distribution facilities demand. The distribution facilities demand charge used by the utility is designed to recover the costs of operating and maintaining the City’s electric system including customer service and administrative functions, and it is based on a per-unit rate tied to the peak demand (kW) of a customer's monthly electric use. Under the utility's billing system, cost recovery is based on a twelve- month model. Monthly billing is one-twelfth (1/12) of the annual cost recovery required for given service and the twelve-month use patterns serve as the reference base for monthly billings. (1) The distribution facilities demand shall be determined for each point of delivery by suitable meter measurement of the highest one-hour integrated demand occurring during the billing period and shall not be less than seventy-five (75) percent of the highest distribution facilities demand (in kilowatts) occurring in any of the preceding eleven (11) months. (2) If the Utilities Executive Director determines that the calculation described in Paragraph (1) above does not recover the customer's share of the actual distribution facilities costs, the customer's distribution facilities demand charge may be determined according to a billing calendar designed to fully recover the customer's share of the distribution facilities costs. (j) Interruptible service. Interruptible service may be provided in accordance with the terms and conditions described in a special services agreement between the customer and the utility. (k) Power factor adjustment. Power factor shall be determined by using watt and volt-ampere reactive measurements collected by the electric meter at the point of service. The power factor calculated from such measurements shall be the basis of billing adjustment until satisfactory correction has been made. Review shall be conducted on a monthly basis by the utility. If the power factor falls below ninety- percent lagging, a power factor adjustment may be made by increasing the coincident and distribution facilities demand by one (1) percent for each one (1) percent or fraction thereof by which the power factor is less than ninety-percent lagging. This adjustment shall be based on the power factor at the time of maximum demand as recorded during the billing period. (l) Service rights fee in certain annexed areas. A fee for defraying the cost of acquisition of service rights from Poudre Valley Rural Electric Association (PVREA) shall be charged for each service in areas annexed into the City after April 22, 1989, if such area was previously served by PVREA. The service rights fee will be collected monthly for a period of ten (10) consecutive years following the date of acquisition by the City of electric facilities in such area from PVREA. If service was previously provided by PVREA, the fee shall be twenty-five (25) percent of charges for electric -20- power service. For services that come into existence in the affected area after date of acquisition, the fee shall be five (5) percent of charges for electric power service. In the event that the City Council has determined that a reduction of the service rights fee is justified in order to mitigate the economic impacts to a lot or parcel of land at the time of annexation of said lot or parcel of land, the service rights fee charged pursuant to this Subsection may be reduced by the City Council pursuant to a schedule set forth in the ordinance annexing said parcel or lot. The service rights fee charged pursuant to this Subsection shall not be subject to the charge in lieu of taxes and franchise otherwise required in this Subsection. (m) Special services. Special services or complex service arrangements that are beyond those required for service under this rate schedule may be arranged by a written services agreement that the Utilities Executive Director may negotiate and enter into on behalf of the utility. Said agreement shall establish the terms and conditions for any special services or arrangements and shall incorporate by reference the requirements of this Chapter, as applicable. Any special services agreement modifying the rates, fees or charges for said services from those set forth in this Article shall be subject to approval by the City Council in accordance with Section 6 of Article XII of the Charter. (n) Parallel generation. Customers may operate all or part of their instantaneous energy or capacity needs by operation of a qualifying facility in parallel with the utility system, provided that electric service is being rendered under the special services provisions of this schedule, and provided further that such facility is constructed, operated and maintained in accordance with the provisions of the electric service rules and regulations. The credit for the energy delivered to the electric utility under this provision shall be provided at applicable Platte River Power Authority avoided cost rates. Parallel generation will be provided consistent with all of the requirements contained in Platte River Power Authority's Tariff Schedule 3: Parallel Generation Purchases, as may be amended from time to time. All charges incurred by the utility under this tariff will be billed to the customer. If a customer is receiving net metering service, such customer's service shall also be governed by the net metering service terms and conditions described in Subsection (v) below, and the credit for energy delivered to the electric utility shall be calculated as described in that Subsection. (o) Commodity delivery. If the electric utility authorizes the delivery of electric capacity or energy utilizing the utility's distribution system under mandatory provisions of state or federal law, a credit will be applied to the customer's monthly electric bill based upon the electric utility's displaced costs as credited to the utility by its supplier of electric energy. Capacity, energy, standby capacity, backup capacity and special services shall be delivered, metered, billed, dispatched and controlled in accordance with a special services agreement with the electric utility. (p) Contract period. The applicant shall take electric service under this or any -21- other applicable schedule which is in effect during the term of the contract subject to adjustment from time to time by the City Council. All contracts under this schedule shall be for twelve (12) months with automatic renewal on a year-to-year basis. The contract may be terminated at the end of the term upon the giving of one (1) year's advance written notice to the City or may be terminated upon the giving of one (1) year's advance written notice to the City in the event of vacation of the premises or a change in ownership or tenant occupancy status. (q) Payment of charges. Due dates and delinquency procedures shall be as set forth in Section 26-713. (r) Rules and regulations. Service supplied under this schedule is subject to the terms and conditions set forth in the electric utility rules and regulations as approved by the City Council. Copies may be obtained from the Utility's Customer Service Office. (s) Net metering. (1) Net metering service is available to a customer-generator producing electric energy exclusively with a qualifying facility using a qualifying renewable technology when the generating capacity of the customer-generator's qualifying facility meets the following two (2) criteria: a. the qualifying facility is sized to supply no more than one hundred twenty (120) percent of the customer-generator's average annual electricity consumption at that site, including all contiguous property owned or leased by the customer-generator, without regard to interruptions in contiguity caused by easements, public thoroughfares, transportation rights-of-way or utility rights-of-way; and b. the rated capacity of the qualifying facility does not exceed the customer-generator's service entrance capacity. (2) The energy generated by an on-site qualifying facility and delivered to the utility's electric distribution facility shall be used to offset energy provided by the utility to the customer-generator during the applicable billing period. (3) The customer-generator and electric service arrangements shall be subject to the requirements and conditions described in the City of Fort Collins Utility Services Interconnection Standards for Generating Facilities Connected to the Fort Collins Distribution System. (4) A customer-generator who receives approval from the electric utility to obtain net metering service shall be subject to the monthly rates described above for this rate schedule. -22- (5) The customer-generator's consumption of energy from the utility shall be measured on a monthly basis and, in the event that the qualifying facility has produced more electricity than the customer-generator has consumed, the customer-generator shall receive a monthly credit for such production. During the second calendar quarter of each year, the customer-generator shall receive payment for the net excess generation accrued for the preceding twelve (12) months. The credit per kilowatt hour for the energy delivered to the electric utility under this provision shall be provided at the summer season energy charge as specified in Subsection (c) of this Section. Section 9. That renumbered Section 26-471 (e) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-470471. Special area floodlighting, schedule FL. (e) Payment of charges. The foregoing rates are net. Payment becomes delinquent twenty-five (25) days after the billing date. Due dates and delinquency procedures shall be as set forth in Section 26-713. Section 10. That renumbered Section 26-472 (c) of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-471472. 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: seventy-three dollars and sixteen cents ($73.16). (2) Charge, per kilowatt-hour: six and eighteen oneforty-two one-hundredths cents ($0.06180.0642). (3) 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 11. That all amendments to Chapter 26, Article IV, Division 3 pertaining to subsections entitled “Payment of charges” herein are effective 10 days after adoption of this ordinance on second reading and that the remaining 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, 2013. -23- Introduced, considered favorably on first reading, and ordered published this 16th day of October, A.D. 2012, and to be presented for final passage on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk Passed and adopted on final reading on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk -24- ORDINANCE NO. 115, 2012 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 electric development fees be reviewed annually by the City Manager and that the fees be presented to the City Council for approval no less than biennially; and WHEREAS, on November 1, 2011 the City Council adopted Ordinance No. 143, 2011, which established the electric development fees now in effect; and WHEREAS, the City Manager and staff have recommended to the City Council the following adjustments to the electric development fees and charges for all invoices paid on or after January 1, 2013; 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 26-473 (b) and (c), “Residential electric development fees and charges” of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-473. Residential electric development fees and charges. (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 five hundred fifty thousandths cents ($0.049500.04550) per square foot of developed site square footage, including all applicable tracts but excluding the area dedicated public rights-of-way; and Secondary Service Size Charge (up to 65 feet) Plus Per Foot Charge For Each Foot Over 65 1/0 service $ 642.00646.00 $4.654.71/Foot 4/0 service $ 821.00790.00 $5.825.51/Foot 350 kCM Service $ 818.00892.00 $6.547.24/Foot 1/0 Mobile Home Service $503.00505.00 N/A 4/0 Mobile Home Service $646.00624.00 N/A b. ten dollars and eight two cents ($10.0810.02) per lineal foot of the developed site abutting a dedicated street or roadway. (2) The dwelling unit charge shall be as follows: a. or a single-family panel size with one-hundred-fifty-amp service (nonelectric heat), one thousand two hundred eighty-oneseventy- three dollars ($1,281.1,273.) per dwelling unit; b. For a single-family panel size with two-hundred-amp service or with one-hundred-fifty-amp service (electric heat), two thousand one hundred sixty-fivesixty-nine dollars ($2,165.2,169.) per dwelling unit; c. For a multi-family panel size with one-hundred-fifty-amp service (nonelectric heat), eight hundred fifty-four forty-nine dollars ($854.849.) 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 nineteeneighteen dollars ($1,519.1,518) 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. (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: (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 -2- conditions may include, but are not limited to, frozen or rocky soil, concrete cutting and asphalt replacement. Section 2. That Section 26-474 (b) and (c), “Nonresidential electric development fees and charges” of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-474. Nonresidential electric development fees and charges. (b) The ECF shall be the total of the site footage charge, kVA service charge and systems modification charge, to be determined as follows: (1) The site footage charge shall be the combined total of: a. four and ninefive hundred fifty thousandths cents ($0.049500.04550) 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-eightforty dollars and thirtyeleven cents ($38.3040.11) per lineal foot of the developed site abutting a dedicated street or roadway. (2) The kVA service charge shall be determined as follows. a. For customer electric loads served by the utility the kVA service charge shall be: 1. Utility owned transformers: the kVA service charge shall be fifty-nine fifty-six dollars and foursixty-eight cents ($59.0456.68) per kilovolt-amp (kVA) of service load rating. 2. Customer owned transformers: the kVA service charge shall be forty-eightforty-six dollars and fifty-ninetwenty-three cents ($48.5946.23) 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: 1. Utility owned transformers: the kVA service charge shall be forty-eightforty-six dollars and fifty-nine twenty-three cents ($48.5946.23) 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 Utilities Executive Director. -3- 2. Customer owned transformers: the kVA service charge shall be thirty-eight thirty-five dollars and nine seventy-three cents ($38.0935.73) 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 Utilities Executive Director. (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 nine dollars and fifteeneighteen cents ($9.159.18) per foot of primary circuit; b. for three-phase service, a charge of eighteenseventeen dollars and zeroninety-five cents ($18.17.95) per foot of primary circuit. (2) The transformer installation charge shall be as follows: a. for single-phase service, a charge of one thousand twothree hundred seventy-eight dollars ( $1,278.1,300.) per transformer; b. for three-phase service, a charge of two thousand three hundred eighty-five dollars ($2,385.2,380.) per transformer. (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. Section 3. That the amendments to Chapter 26 of the City Code contained herein shall go into effect for all invoices paid on or after January 1, 2013. -4- Introduced, considered favorably on first reading, and ordered published this 16th day of October, A.D. 2012, and to be presented for final passage on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk Passed and adopted on final reading on the 6th day of November, A.D. 2012. _________________________________ Mayor ATTEST: _____________________________ City Clerk -5- $69.46 $70.54 $77.99 $80.77 $82.96 $‐ $20 $40 $60 $80 $100 Longmont Loveland '12 Winter Loveland '12 Summer FC '12 Winter FC '13 Winter FC '12 Summer FC '13 Summer Xcel ‐ Winter Co. Sprs Xcel ‐ Summer P.V.REA $/Month Residential