HomeMy WebLinkAbout038 - 03/20/2018 - ESTABLISHING RENTAL RATES AND DELIVERY CHARGES FOR USE OF WATER AVAILABLE UNDER THE CITY'S RAW WATER ORDINANCE NO. 038, 2018
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ESTABLISHING RENTAL RATES AND DELIVERY CHARGES
FOR USE OF WATER AVAILABLE UNDER THE CITY'S RAW
WATER INTERESTS FOR 2018 THROUGH MARCH 2O21
WHEREAS, the City holds title to or otherwise has ownership interests in various water
rights, water right decrees, shares in ditch and reservoir companies ("shares"), and contractual
rights to the delivery of water that are sources of supply of raw and untreated water (together,
"Raw Water Interests"); and '
WHEREAS,the amount of water available under the City's Raw Water Interests,at certain
times, may be greater than the immediate needs of the City and its inhabitants, and is thus
potentially available for use by persons outside of the City as a rental; and
WHEREAS, the City has various agreements and understandings pursuant to which the
City allows persons outside of the City and certain City departments to use water available under
the City's Raw Water Interests, provided that a charge for the delivery of such water is paid; and
WHEREAS,pursuant to Article XII, Section 4 of the City Charter, if at any time the water
supply is greater than the immediate needs of the City and its inhabitants, the City Council may
authorize the City Manager to permit the use of such surplus water by consumers outside the City
at such rates as the City Council may prescribe, provided that no vested right shall accrue under
such permits; and
WHEREAS, pursuant to Article XII, Section 6 of the City, Charter, the City Council shall
by ordinance from time to time fix, establish,maintain,and provide for the collection of such rates,
fees, or charges for water furnished by the City as will produce revenues sufficient to pay the cost
of operation and maintenance of the City's utilities in good repair and working order and to provide
and maintain an adequate working capital fund for the day-to-day business operations of the
utilities; and
WHEREAS, City staff has recommended rental rates and delivery charges for the use of
water available under the City's Raw Water Interests for a period of approximately three years,
through March 2021, which the Water Board has also recommended; and
WHEREAS, City Council finds that the rental rates and delivery charges set forth herein
are appropriate and will provide revenues that offset the cost of operation and maintenance of the
City's Raw Water Interests and associated infrastructures and to keep the City's utilities in good
repair and working order and to provide and maintain an adequate working capital fund for the
day-to-day business operations of the utilities.
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NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
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Section 1. That the City Council hereby makes and adopts the.determinations and
findings contained in the recitals set forth above.
Section 2. That the City Manager and the Utilities Executive Director are hereby
authorized to make water available under the City's Raw Water Interests available for use by
persons outside of the City and certain City departments, provided; that such water can be rented
or delivered without adversely affecting the City; that no vested right shall accrue under such use;
and that appropriate rental rate or delivery charge set forth herein is applied,which may be adjusted
as the City Manager or the Utilities Executive Director determine necessary to reflect the
remaining yield for the prevalent market price of the water or shares being rented in order to
prevent undue economic loss to the City; and that the final price may be rounded up to the nearest
dollar.
Section 3. That the City Manager and the Utilities Executive Director are hereby
further authorized: to impose on such rentals and deliveries such additional terms and conditions
as they deem appropriate to protects the interests of the City in and to the City's Raw Water
Interests; and to deny any request for a rental or delivery, to the extent allowed by law, as they
deem appropriate to further the interests, policies, and values of the City.
Section 4. That all previous authorizations to make water available under the City's
Raw Water Interests are repealed in their entirety.
Section 5. That the rental rates set forth in the table below are hereby approved as the
City's rental rates for 2018 through March 2021,provided that the rental rate for fully consumable
water shall apply through March 2021.
RATES FOR RENTALS OF SURPLUS RAW WATER
Type of Water Rate Per Acre Foot
Arthur Irrigation Company 120% of Annual Assessment
Colorado-Big Thompson Water from the Rental Rate for North Poudre Irrigation
Northern Colorado Water Conservancy Company (Seasonal Agricultural and Multiple
District (NCWCD) associated with Shares in Use Water) + any NCWCD transfer fees
the North Poudre Irrigation Company calculated at the time of transfer
Larimer County Canal No. 2 Irrigating 120% of Annual Assessment
Company
New Mercer Ditch Company 120% of Annual Assessment
North.Poudre Irrigation Company: $15.00 per acre foot
Early Agricultural Use Water
North Poudre Irrigation Company: (Annual Assessment / (Sum of Allocation of
Seasonal Agricultural and Multiple Use Water Seasonal Agricultural Use and Multiple Use
Water per share)) + $2.00 per acre foot
Pleasant Valley and Lake Canal Company 120% of Annual Assessment
Fully Consumable Sources $400.00 per acre foot
Sherwood Reservoir Company 120% of Annual Assessment
Sherwood Irrigation Company 120% of Annual Assessment
Warren Lake Reservoir Company 120% of Annual Assessment
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Type of Water Rate Per Share
Water Supply and Storage Company Annual Assessment+ $1,000.00 share
Section 6. That the delivery charges set forth in the table below are hereby approved
as the City's delivery charges for 2018 through March 2021.
RAW WATER DELIVERY CHARGES
Type of Water Rate Per Share
Arthur Irrigation Company 110%of Annual Assessment
Colorado-Big Thompson Water from the Rental Rate for North Poudre Irrigation
Northern Colorado Water Conservancy Company (Seasonal Agricultural and Multiple
District Use Water) + any NCWCD transfer fees
calculated at the time of transfer
Larimer County Canal No. 2 Irrigating 110% of Annual Assessment
Company
New Mercer Ditch Company 110% of Annual Assessment
Pleasant Valley and Lake Canal Company 110% of Annual Assessment
Sherwood Reservoir Company 110% of Annual Assessment
Sherwood Irrigation Company 110% of Annual Assessment .
Warren Lake Reservoir Company 110% of Annual Assessment
Type of Water Rate Per Acre Foot
Fully Consumable Sources $120.00 per acre foot
Introduced, considered favorably on first reading, and ordered published this 6th day of
March, A.D. 2018, and to be presented for final passage on the 20th day of March, A.D. 2018.
Mayor
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Passed and adopted on final reading on the 20th day of March, A.D. 2018.
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Mayor T2sn
ATTEST:
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City ClYrk
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