HomeMy WebLinkAbout034 - 05/01/2012 - AMENDING SECTION 26-464 OF CITY CODE TO ESTABLISH A MEDICAL ASSISTANCE PROGRAM FOR ELECTRIC CUSTOMER ORDINANCE NO. 034, 2012
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING SECTION 26-464 OF THE CODE OF THE CITY OF FORT COLLINS
TO ESTABLISH A MEDICAL ASSISTANCE PROGRAM FOR ELECTRIC CUSTOMERS
WHEREAS, on December 6, 2011, the City Council adopted Ordinance No. 166, 2011,
increasing the residential energy electric rate effective February 1, 2012; and
WHEREAS, the City Council directed City staff to develop a medical assistance program
that would reduce the impact that such rate increase may have on customers who have below
average income and who use electrical medically necessary equipment at a Fort Collins electric
customer address; and
WHEREAS, Section 40-3.5-104(3), Colorado Revised Statutes, allows the governing body
of a municipal utility, for good cause shown, to make changes to its rates or charges without
providing 30 days' notice to the public of the text of the changes to the rates schedule; and
WHEREAS,on March 6,2012, the City Council delayed consideration of this Ordinance in
order to provide staff additional time to add elements to the medical assistance program with input
from medical personnel and to allow for citizen outreach; and
WHEREAS, Utilities staff has since conducted outreach with local physicians, citizen
groups, and other interested citizens; and
WHEREAS, the summer season billing months under the City's tiered rate system begin in
June, 2012, which makes the enactment of this Ordinance time-sensitive; and
WHEREAS, staff has provided 30 days advance written notice to out-of-city customers that
a public hearing regarding a possible amendment to the City Code that would allow for discounted
rates to qualifying customers would be postponed from March 20, 2012 to April 17, 2012; and
WHEREAS,staff has also published notice in the Coloradoan newspaper to the same effect;
and
WHEREAS, City staff has developed a medical assistance program that would reduce the
monthly electric bill of qualifying electric customers.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That Section 26-391 of the Code ofthe Cityof Fort Collins is hereby amended
by the addition of a new definition"electrical durable medical equipment"which reads in its entirety
as follows:
Electrical durable medical equipment shall mean that medical equipment that is
powered or charged by electric energy and is used by individuals, primarily and
customarily to serve a medical purpose, in their homes, that can withstand repeated
use, that is generally not useful to individuals in the absence of an illness or injury
and is appropriate for use in the home.
Section2. That Section26-391 of the Code ofthe Cityof Fort Collins is hereby amended
by the addition of a new definition of"Healthcare Common Procedure Coding System number"
which reads in its entirety as follows:
Healthcare Common Procedure Coding System number shall mean that number that
has been assigned to a particular piece of durable medical equipment in accordance
with the Healthcare Common Procedure Coding System maintained by the United
States Centers for Medicare and Medicaid Services, a standard coding system used
in the medical industry.
Section 3. That Section 26-464(d) of the Code of the City of Fort Collins is hereby
amended to read in its entirety as follows,with existing subsections(d)through(o)to be renumbered
accordingly:
Sec. 26-464. Residential energy service, schedule R.
(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 60 (sixty)
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 thatelectrical durable medical equipment used at
the residential premises is medically necessary and thatsuch medical
equipment has been assigned a Healthcare Common Procedure
Coding System number; and/or
2. 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
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limited to, multiple sclerosis, quadriplegia, paraplegia,
scleroderma or hemiplegia; and
3. the application is accompanied by a sworn affidavit from the
applicant verifying that all infonnation 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
one-hundredths cents ($0.0256)
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:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: two and ninety-five one-hundredths cents
($0.0295).
ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: six and eighty-nine one-hundredths cents
($0.0689).
iii. For all additional kilowatt hours per month,per kilowatt hour:
ten and five one-hundredths cents ($0.1005).
d. Energy and demand charge, during the non-summer season billing
months of January through May and September through December:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: two and sixty-one one-hundredths cents
($0.0261).
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ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: five and twenty one-hundredths cents
($0.0520).
iii. For all additional kilowatt hours per month,per kilowatt hour:
six and three one-hundredths ($0.0603).
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
one-hundredths cents ($0.0256)
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:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: two and ninety-two one-hundredths cents
($0.0292).
ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: three and seventy-seven one-hundredths cents
($0.0377).
iii. For all additional kilowatt hours per month,per kilowatt hour:
ten and five one-hundredths ($0.1005).
d. Energy and demand charge, during the non-summer season billing
months of January through May and September through December:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: four and eighty-two one-hundredths cents
($0.0482).
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ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: five and twenty one-hundredths cents
($0.0520).
iii. For all additional kilowatt hours per month,per kilowatt hour:
six and three one-hundredths cents ($0.0603).
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
one-hundredths cents ($0.0256)
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:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: one and eighty-nine one-hundredths cents
($0.0189).
ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: two and forty-five one-hundredths cents
($0.0245).
iii. For all additional kilowatt hours per month,per kilowatt hour:
ten and five one-hundredths cents ($0.1005).
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d. Energy and demand charge, during the non-summer season billing
months of January through May and September through December:
i. For the first five hundred(500)kilowatt hours per month,per
kilowatt hour: two and sixty-one one-hundredths cents
($0.0261).
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ii. For the next five hundred(500)kilowatt hours per month,per
kilowatt hour: five and twenty one-hundredths cents
($0.0520).
iii. For all additional kilowatt hours per month,per kilowatt hour:
six and three one-hundredths cents ($0.0603).
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.
(6) Notwithstanding the foregoing,no rate established under this subsection shall
reflect a discount exceeding an amount consistent with the use of 150
kilowatt hours per month for the operation of electrical durable medical
equipment or, if applicable, an additional amount consistent with the use of
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 or more medical or financial
experts in reviewing such appeal.
Section 4. That the rate discounts established by this Ordinance shall apply to those
electric utility bills that are issued to a qualifying customer on or after the date that such customer
has been determined to be eligible for the discounts.
Section 5. That the City Council hereby finds that the amendments to Chapter 26,
Section 464 of the City Code contained herein serve a purpose that is beneficial to the ratepayers of
the electric utility.
Section 6. That the City Council hereby finds pursuant to Colorado Revised Statutes
Section 40-3.5-104(3),good cause exists to establish the medical assistance program withouthaving
published the text of the proposed City Code changes 30 days in advance.
Section 7. That the City Manager is hereby directed to submit a written report to the City
Council on or before May 11, 2013, with regard to the implementation of the provisions of this
Ordinance, including, but not limited to, the number of applications received by the City for
discounted rates under the program established by the Ordinance, the total cost incurred by the
Utilities as a result of such discounts,the types of medical equipment used at the premises to which
the discounted rates apply, and any recommended changes that might make the program more
effective.
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Introduced, considered favorably on first reading, and ordered published this 17th day of
April, A.D. 2012, and to be presented for final passage on the 1 st day of May, A.D. 2012.
yor
ATTEST:
Interim City Clerk
Passed'and adopted on final reading on the 1 st day of May, A.D. 2012.
M yor
ATTEST-:
Interim City Clerk
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