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Home My WebLink AboutCOUNCIL - AGENDA ITEM - 11/15/2011 - PUBLIC HEARING AND FIRST READING OF ORDINANCE NO. (2)DATE: November 15, 2011 STAFF: Brian Janonis Ellen Switzer AGENDA ITEM SUMMARY FORT COLLINS CITY COUNCIL 18 SUBJECT Public Hearing and First Reading of Ordinance No. 161, 2011, Amending Chapter 26 of the City Code Relating To Utility Connection Fees And Miscellaneous Charges. EXECUTIVE SUMMARY This Ordinance increases the after-hours service connection fees from $46.00 to $85.35 for customers who request utility connection after normal business hours. It also establishes a trip charge of $19.65 for special requests during normal business hours. The Ordinance establishes a monthly meter reading charge of $11.00 for those customers who opt out of the Advanced Meter Fort Collins program. The fee recovers additional costs incurred by the Utilities for a manual meter reading once the advanced metering infrastructure is in place. BACKGROUND / DISCUSSION The Ordinance increases the after-hours service connection fees from $46.00 to $85.35 for customers who request utility connection on weekends or holidays and after 5:00 p.m. on weekdays. The proposed change reflects the Utilities’ costs to connect the utilities after normal working hours. The Ordinance also establishes a trip charge for special requests for service during working hours. (Example: temporary disconnect requested by an electrician or plumber working on a customer premise.) The fee would not apply for service requests related to system outage or repairs. A monthly fee for manual meter reading is also established by the ordinance. This will be a fee to recover the cost of manual meter readings for customers who choose to opt out of the Advanced Meter Fort Collins program for electric and/or water meters. The manual meter reading charge is proposed to be $11.00 per month for one or both metered services. The fee is calculated to cover the cost of labor and equipment required to make a manual read of the meter(s) each month. All customers are eligible and encouraged to participate in Advanced Meter Fort Collins. Those customers who allow the installation of an advanced meter will not require a manual reading and will not incur this fee. The fee will not become effective until after advanced metering infrastructure is installed in the non-participating customer’s vicinity. The fee is not intended to be a penalty for opting out of Advanced Meter Fort Collins but is an equitable means to recover the costs of reading the optional mechanical meters. FINANCIAL / ECONOMIC IMPACTS The proposed fees cover the Utilities’ expense of providing the service connections and manual meter reads from those customers who cause Utilities to incur the expense. Customers who opt out of Advanced Meter Fort Collins will not have granular utility usage data available to aid them in making well-informed water and electric purchasing decisions. ENVIRONMENTAL IMPACTS Monthly manual meter reading will require vehicle miles that are normally avoided through the advanced metering infrastructure. In addition, customers who opt out of Advanced Meter Fort Collins will not have granular metering data available to aid in electricity and water conservation and efficiency. November 15, 2011 -2- ITEM 18 STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on First Reading. BOARD / COMMISSION RECOMMENDATION The Water Board recommended approval of the after-hours service fees and special trip charge as part of their water/wastewater rate recommendation at its September 15, 2011 meeting. The manual meter reading charge was not discussed. At its October 5, 2011 meeting, the Electric Board recommended approval of the after-hours service fees and special trip charge as part of its electric rate recommendations. The specific manual meter reading charge was discussed, but the amount was unknown at the time and was estimated at $10 to $20 per month. The after-hours service fees were presented to the Council Finance Committee on October 17, 2011, as part of the overall utility rate discussion. PUBLIC OUTREACH Notice of the proposed electric rate changes was published in Coloradoan on October 30, 2011 and a mailing was sent to city electric customers outside of the city limits in accordance with PUC requirements. ATTACHMENTS 1. Water Board Minutes, September 15, 2011 2. Electric Board Minutes, October 5, 2011 ORDINANCE NO. 161, 2011 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26 OF THE CODE OF THE CITY OF FORT COLLINS RELATING TO UTILITY CONNECTION FEES AND MISCELLANEOUS CHARGES WHEREAS, the City Council is empowered and directed by Article XII, Section 6 of the City Charter to by ordinance 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 such utility, as set forth therein; and WHEREAS, Utility bill account and miscellaneous charges apply to all City utility customers receiving any utility service pursuant to the terms of Chapter 26; and WHEREAS, due to the increased costs associated with after-hour service connection or trip charges; and WHEREAS, there are increased costs associated with manually reading meters of those customers who opt not to allow installation of an advanced meter. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That paragraph (b) of Section 26-712 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 26-712. Utility bill and account charges authorized; procedures. . . . (b) The following account and miscellaneous fees and charges shall apply to all City utility customers receiving service pursuant to the terms of Chapter 26, whether within or outside of the corporate limits of the City, except as otherwise expressly stated: Service connection fee for account with one or more metered services (including non metered services for the same account) $19.65 Customer-initiated rate change (after 90 days of new service) $19.65 Service connection fee for account with only non-metered services (stormwater, wastewater, wind, flat commercial electric, sprinkler clocks, cable towers and floodlights) $10.00 Service fee to reinstate an account to the owner/property manager between tenants $10.00 Meter reading charge, per month, for those customers who request the option of mechanical electric meter and/or a mechanical water meter instead of the standard advanced metering equipment $11.00 per month Turn-off notice fee $10.00 Reconnect fee per service for water or electric following disconnection for delinquency $20.00 Trip charge for special services requested by customer during normal service hours $19.65 After-hours reconnect or after-hours trip charge for special service requested by customer - Water (after 5:00 p.m. weekdays or weekend/holiday) $46.00 $85.35 After-hours reconnect or after-hours trip charge for special service requested by customer - Electric (after 5:00 p.m. weekdays or weekend/holiday) $55.45 $85.35 Return item fee (check, electronic fund transfer, credit card, etc.) $25.00 Owner-requested repair disconnect fee, per trip $20.00 Research/document fee per hour $20.00 Other miscellaneous charges will be based on direct cost plus 15% indirect costs. . . . Section 2. That the amendments to Chapter 26 of the City Code contained herein shall go into effect on January 1, 2012. -2- Introduced, considered favorably on first reading, and ordered published this 15th day of November, A.D. 2011, and to be presented for final passage on the 6th day of December, A.D. 2011. _________________________________ Mayor ATTEST: _____________________________ City Clerk Passed and adopted on final reading on the 6th day of December, A.D. 2011. _________________________________ Mayor ATTEST: _____________________________ City Clerk -3-