Title
Consider and take action on a resolution updating and adopting a schedule of fees pertaining to water and wastewater rates per section 114-115 of the Code of Ordinances of the City of League City, Texas entitled “Schedule of fees, charges and deposits” (Director of Finance)
Background:
Approval of this resolution will authorize adjustments to the water and wastewater rates and other fees based on the recommendation from Willdan’s 2019 Water and Wastewater Rate Study and Financial Forecast as presented to City Council on November 19 and December 17, 2019.
This resolution is a companion agenda item with Ordinance 2020-03. Ordinance 2020-03 references multiple fees that are contained within this proposed resolution. With the fees relocated to a fee schedule instead of the City's Code of Ordinances, Council will be able to review and update the fees with greater ease.
The Council last took action to update water and wastewater rates and fees on August 11, 2015. Since that time, increases in wholesale purchase cost, daily operations and expenses, growth with increase in service demands, and significant current and future infrastructure investments have dictated the need to update rates. Specifically, $500M in water and wastewater infrastructure needs over the next ten years have been identified.
Willdan presented various scenarios to council to consider at the meeting on November 19, 2019. Based on council feedback from that meeting Willdan refined the options to Scenario I - a simple rate adjustment, Scenario II - a rate adjustment which considers meter size, and Scenario III - a rate adjustment which considers meter size and incorporates winter averaging. Council supported Scenario II - a rate increase which considers meter size.
To summarize, approval of this action will do the following:
- Increase transparency by locating all utility rates in one table;
- Improve Council flexibility by allowing the utility rates to be amended via resolution;...
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