HomeMy WebLinkAboutReso - CC - 144-2021DocuSign Envelope ID: 5FF9FE9D-8E6C-4AEE-89BA-F8A24CBD82DE
RESOLUTION NO. 144-2021
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BURLINGAME,
CALIFORNIA, ESTABLISHING SEWER RATES FOR CALENDAR YEARS
2022, 2023, AND 2024
The City Council of the City of Burlingame does resolve as follows:
WHEREAS, many of the City's sewer utility pipelines are 70 to 100 years old and are
approaching the end of their useful lives; and
WHEREAS, the City's wastewater treatment facility is over 80 years old, and many of the
facility's components are reaching the end of their useful lives, and
WHEREAS, the City has not implemented a sewer utility rate increase since July 2012;
and
WHEREAS, the City has been proactively replacing the aging infrastructure for more than
a decade, but still has a substantial backlog of capital improvement needs to address; and
WHEREAS, at the September 7, 2021 study session, staff and Bartle Wells Associates
(BWA), a rate consultant firm, presented the City Council with an overview of the sewer utility
system, including details of capital needs, finances, and rate adjustments necessary to cover the
escalating costs of materials and labor, while maintaining the Capital Improvement Program (CIP)
funding; and
WHEREAS, rate increases vary for different user classifications; and
WHEREAS, based on the revenue requirements to operate and maintain the City's sewer
utility system and the wastewater treatment facility, and fund the CIP and associated debt service,
the rate increases amount to an overall composite increase of approximately 9.0% annually in
2022, in 2023, and in 2024; and
WHEREAS, the proposed rates were calculated by projecting annual revenue
requirements and setting rates to recover the cost of providing service, including costs for
operations and maintenance expenses of the sewer utility system and wastewater treatment
facility, debt service, and high -priority capital improvements; and
WHEREAS, at the October 4, 2021 Council meeting, the City Council adopted an
ordinance amending Chapter 15.08 of the Burlingame Municipal Code, which allows
implementation of sewer rates by resolution; and
WHEREAS, in compliance with the requirements of Proposition 218, public hearing
notices were mailed to the rate payers on September 30, 2021 sufficiently in advance of the 45-
day notification requirement prior to the public hearing; and
WHEREAS, sewer utility charges include two components as follows:
DocuSign Envelope ID: 5FF9FE9D-8E6C-4AEE-89BA-F8A24CBD82DE
• Bi-Monthly Base or Minimum Charges: These are fixed charges that are billed
independently of winter water usage as shown in the table below. This is the
minimum charge a customer will have to pay towards the sewer service charges.
Volumetric Rates: Charges for single family residences and duplexes throughout
the service area will be billed based on a 3-year average of metered water usage
between January and April as measured in units of 1,000 gallons. All other
customers will pay based on the volumetric rates of 1,000 gallons of metered water
use, as presented in the table below.
NOW, THEREFORE, BE IT RESOLVED, DETERMINED, and ORDERED BY THE
COUNCIL AS FOLLOWS:
In accordance with the direction of the City Council on September 7, 2021 and pursuant
to the Proposition 218 Notice of Public Hearing, sewer utility charges be implemented as
follows.
ProposedRatesCurrent
Propose Sewe r Rate s Eff e ctive onor
+
January IT January I January
2024Sewer I
Single Family Residences & Duplexes
Volumetric rates p er 3, OOD gallons billed based on a 3-year average of water use from bills between tan nary
- April
su bject to a minimum bi-mon thly charge_
Single Family/Duplex
$12.25
$13.58 $14.91
$16.25
Commercial / Other Customers
Volumetric rages per 1,000 gallons of metered wader use, subject to a minimum brmon thly charge -
Multi -Unit Residential
$11.45
$13.Q5 $14.65
516.25
Light Commercial
13.53
14.44 15.35
16.25
Moderate/Heavy
21.97
23.30 25.63
27.45
Food Related
32.59
34.14 35.69
37.24
Institutional/Schools/Churches
4.80
6.71 8.62
10.52
Minimum Bi-Monthly Charge
The minimum charge only applies when volumetric sewer rates
rewit in a charge that is kywer than the minimum_
Minimum Bi-Monthly Charge
$24.50
$27.16
$29.32 $32.50
Monthly Equivalent
12.25
13.53
14.91 15.25
2. For single family residences and duplexes that have not established historical winter water
use data normally used to calculate sewer charges, the following rates would be levied on
a temporary basis until one year of winter water use data is available (from 2 bi-monthly
bills between January and April). Sewer bills would subsequently be based on the rates
shown on the table above.
DocuSign Envelope ID: 5FF9FE9D-8E6C-4AEE-89BA-F8A24CBD82DE
Bi-Monthly Sewer Rates for New Single Family/Duplex Connections
Effective Date:
January 01, 2022
January 01, 2023
January 01, 2024
1 Bedroom or Studio
$54.32
$59.64
$65.00
2 Bedrooms
$81.48
$89.46
$97.50
3 Bedrooms
$108.64
$119.28
$130.00
4 Bedrooms
$135.80
$149.10
$162.50
5 or More Bedrooms
$162.96
$178.92
$195.00
Ricardo Ortiz, Vice -Mayor
I, MEAGHAN HASSEL-SHEARER, City Clerk of the City of Burlingame, certify that the
foregoing Resolution was introduced at a regular meeting of the City Council held on the 15'" day
of November, 2021, and was adopted thereafter by the following vote:
AYES: COUNCILMEMBERS: BEACH, BROWNRIGG, COLSON, ORTIZ
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: O'BRIEN KEIGHRAN
Meaghan Hassel -Shearer, City Clerk