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020-15 - Ordinance - Amending and Repealing Sections of Chapter 13 Public UtilitiesIntroduced by: Public Works Director Requested by: Public Works Director Drafted by: Public Works Director Reviewed by: City Attorney Introduced: November 10, 2015 Adopted: November 24, 2015 ORDINANCE NO. 020-15 AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON, RELATING TO WATER AND SEWER RATES, INCREASING CERTAIN WATER AND SEWER CHARGES AND FEES IN ACCORDANCE WITH THE 2014-2015 WATER/SEWER GAP ANALYSIS AND PROVIDING MISCELLANEOUS CODE REVISIONS, REMOVING THE CONSUMER PRICE INDEX ADJUSTMENT, AND SUCH RATES TO BE EFFECTIVE JANUARY 1, 2016; AMENDING SECTIONS 13.04.010, 13.04.020, 13.04.025, 13.04.030, 13.04.033, 13.04.035, 13.04.046, 13.04.050, 13.04.055, 13.04.120 AND REPEALING SECTIONS 13.04.065 OF THE PORT ORCHARD MUNICIPAL CODE. WHEREAS, the City Council initiated a Water/Sewer Gap Analysis on May 25, 2014 with Katy Isaksen & Associates, Inc. and after several iterations and public meetings, the final findings were presented to both the Port Orchard City Council and the Public by Katy Isaksen & Associates on October 27, 2015; and WHEREAS, several miscellaneous modifications and/or revisions to Section 13.04 of the Port Orchard Municipal Code are required to both implement the proposed water/sewer rate increases and to simplify the use of said code; and WHEREAS, it was determined by the City Attorney that the Consumer Price Index Adjustment, Section 13.04.065 of the Port Orchard Municipal Code, needed to be removed; and WHEREAS, the First Reading and Public Hearing on this matter were presented to both the Port Orchard City Council and the Public on October 27, 2015; now, therefore, THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. Section 13.04.010 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.010 Bimonthly water rates. Water rates are based on a bimonthly schedule and are a function of size of service plus consumption. (1) Effective January 1, 2016 and January 1 of each subsequent year shown, the water rates, as calculated bimonthly, are shown on the water rate table. (a)Single Connections. Single connections are where one customer is being served through a master meter and the billing is based on the flow through such master meter. The minimum bimonthly base rate is shown on the Water rate table, plus consumption charges for water usage in excess of 5,000 gallons are set forth in subsection (1)(c) of this section. b) Larger Meters. Base rate for the first 5,000 gallons is calculated based on the size of service plus the meter size cost difference as shown on the water rate table. Consumption charges for water usage in excess of 5,000 gallons are set forth in subsection (1)(c) of this section. (c) Consumption charges in excess of 5,000 gallons allotted per customer will be charged in the five tiers as shown in the water rate table. d) Multiple Connections. Multiple connections are where more than one customer is being served through a master meter and the billing is based on the flow through such master meter. The minimum bimonthly base rate is determined by the number of customers multiplied by the base rate plus the difference in cost between three -fourths -inch service and the actual meter size. The consumption charge will be computed by subtracting the amount equal to the number of customers multiplied by 5,000 gallons from the total gallons consumed. Consumption charges for water usage in excess of 5,000 gallons allotted per customer is set forth in subsection (1)(c) of this section. See water rate table. e) Properties Outside City Limits. Properties served outside the city limits shall have a 50 percent surcharge on the bimonthly rate. (f) Fire Hydrant Service: See the water rate table. (g) Temporary Service: See the water rate table. (h) Meter Rentals. All persons renting a meter shall pay a refundable deposit. The following rental fees plus sales tax listed in the water rate table shall apply to all persons renting a meter. Ordinance No. 020-15 Page 2 of 15 Water Rates 2016 2017 2018 2019 2020 a) Single Connections Bimonthly 3/4" Meter, 0-3,000 gal Base $35.10 $39.70 $44.30 $48.90 $53.50 3/4" Meter, 3,001-5,000 gal Base $53.50 $60.50 $67.50 $74.50 $81.50 5,001-10,000 gal per 1000g $2.45 $2.75 $3.05 $3.35 $3.65 10,001-20,000 gal per 1000g $2.55 $2.90 $3.20 $3.50 $3.85 20,001-30,000 gal per 1000g $2.65 $3.00 $3.35 $3.70 $4.05 30,001-50,000 gal per 1000g $2.80 $3.20 $3.55 $3.90 $4.30 50,001+gal per 1000g $3.00 $3.40 $3.80 $4.20 $4.60 b) Larger Meters 3/4" Meter, 0-5,000 gal per unit Bimonthly I Base 1 $53.50 $60.50 $67.50 $74.50 $81.50 3/4" Meter Base plus the following meter size differentials - Bimonthly 1" Meter, 0-5,000 gal Base+Diff. $2.00 $3.00 $4.00 $5.00 $6.00 1-1/2" Meter, 0-5,000 gal Base+Diff. $8.00 $12.00 $16.00 $20.00 $24.00 2" Meter, 0-5,000 gal Base+Diff. $14.00 $21.00 $28.00 $35.00 $42.00 3" Meter, 0-5,000 gal Base+Diff. $26.00 $39.00 $52.00 $65.00 $78.00 4" Meter, 0-5,000 gal Base+Diff. $50.00 $75.00 $100.00 $125.00 $150.00 6" Meter, 0-5,000 gal Base+Diff. $92.00 $138.00 $184.00 $230.00 $276.00 8" Meter, 0-5,000 gal Base+Diff. $134.00 $201.00 $268.00 $335.00 $402.00 10" Meter, 0-5,000 gal Base+Diff. $182.001 $273.00 $364.001 $455.00 $546.00 c) Plus Consumption charge in excess of 5,000 gallons - Bimonthly 5,001-10,000 gal per 1000g $2.45 $2.75 $3.05 $3.35 $3.65 10,001-20,000 gal per 1000g $2.55 $2.90 $3.20 $3.50 $3.85 20,001-30,000 gal per 1000g $2.65 $3.00 $3.35 $3.70 $4.05 30,001-50,000 gal per 1000g $2.80 $3.20 $3.55 $3.90 $4.30 50,001+gal per 1000g $3.00 $3.40 $3.80 $4.20 $4.60 d) Multiple Connections - where multiple units are served through one meter - Bimonthly Base rate per unit, 0-5,000 gal per unit) Base $53.501 $60.501 $67.501 $74.501 $81.50 Plus meter differential for actual meter size I as shown in b) above Plus consumption charges in excess of 5,000 gal -allotted per unit as shown in c) above el Outside City Limits 50% surcharge f) Fire Hydrant Service Bimonthly Schools per hydrant $13.80 $15.60 $17.40 $19.20 $21.00 Private Service per hydrant $25.30 $28.60 $31.90 $35.20 $38.50 g) Temporary Service Bimonthly Greater of flat rate (base + meter size differential) or as metered One -day Service: base rate $53.50 $60.501 $67.501 $74.50 $81.50 Plus meter differential for actual meter meter diff as shown in b) above per 1000g $2.80 $3.201 $3.551 $3.90 $4.30 Construction / Hydrant Account: base rate $53.50 $60.501 $67.501 $74.50 $81.50 Plus meter differential for actual meter meter diff as shown in b) above 0-50,000 gal per 1000g $2.80 $3.20 $3.55 $3.90 $4.30 50,001+gal per 1000g $3.00 $3.40 $3.80 $4.20 $4.60 h) Meter Rentals 30-day rental period Refundable deposit for meter rental; sales tax added to 30-day rental fees First60 days rental +tax $0.00 $0.00 $0.00 $0.00 $0.00 Next 120 days rental +tax $260.00 $270.00 $280.00 $290.00 $300.00 In excess of 180 days rental +tax $520.00 $540.00 $560.00 $580.00 $600.00 Ordinance No. 020-15 Page 3 of 15 Ordinance No. 020-15 Page 4 of 15 Section 2. Section 13.04.020 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.020 Bimonthly sewer rates. 1) Effective January 1, 2016 and January 1 of each subsequent year shown, the sewer rates, as calculated bimonthly, are shown as follows: Sewer Rates 2016 2017 2018 2019 2020 Class No. Class Description Description 1 Single-famiIyresidences and mobi le home on single parcel for each dwelling unit $111.00 $124.00 $137.00 $150.00 $163.00 2 Business and professional for each business with a fixture $111.00 $124.00 $137.00 $150.00 $163.00 for each business with an employee present, without a fixture $22.20 $24.80 $27.40 $30.00 $32.60 for each floor of an office building or retail complex that has a public or community bathroom $111.00 $124.00 $137.00 $150.00 $163.00 Plus the fol lowing surcharge, based on the store/office interior size: Small, less than 15,000 sf, or $0.00 $0.00 $0.00 $0.00 $0.00 Medium,15,000 to 30,000 sf, or $111.010 $124.00 $137.00 $150.00 $163.00 Large, More than 30,000 sf $222.00 $248.00 $274.00 $300.00 $326.00 3 Churches for the church, plus* $111.00 $124.00 $137.00 $150.00 $163.00 for the rectory, plus* $111.00 $124.00 $137.00 $150.00 $163.00 for the annex $111.00 $124.00 $137.00 $150.00 $163.00 *Class 6for educational parochialschools 4 Hotels & motels, rest homes & care centers, and Kitsap Countyjail base fee, plus $111.00 $124.00 $137.00 $150.00 $163.00 per unit $22.20 $24.80 $27.40 $30.00 $32.60 5 Apartments and mobile home parks per dwelling unit $111.00 $124.00 $137.00 $150.00 $163.00 6 ISchools for each pupil,teacher, maintenance and administrative person $3.30 $3.70 $4.10 $4.50 $4.90 7 Kitsap County courthouse (main complex) $4,329.00 $4,836.00 $5,343.00 $5,850.00 $6,357.00 8 Restaurants Based on theseating capacity as determined bythe building official Espresso Bar Seating notapplicable. Classification includes similar food preparation businesses which do not require the cooking of food or the maintenance of kitchen equipment. $111.00 $124.00 $137.00 $150.00 $163.00 Deli No seating $166.50 $186.00 $205.50 $225.00 $244.50 Small Seating for 1 to 50 $333.00 $372.00 $411.00 $450.00 $489.00 Medium Sea ti ng for 5 1 to 150 $499.50 $558.00 $616.50 $675.00 $733.50 Large Seating for more than150 $666.00 $744.00 $822.00 $900.00 $978.00 9 Laundromats base fee, plus $55.50 $62.00 $68.50 $75.00 $81.50 per washing machine $22.20 $24.80 $27.40 $30.00 $32.60 Laundromats with less than four washing machines are considered Class 2. Dry Cleaners without washing machines are Class 2. 10 Taverns $277.50 $310.00 $342.50 $375.00 $407.50 11 Car dealerships for sales and administrative office, plus $111.00 $124.00 $137.00 $150.00 $163.00 for service department, plus $111.00 $124.00 $137.00 $150.00 $163.00 for car washing when the water is used to determine cost sharing for the sewer treatment plant. $111.00 $124.00 $137.00 $150.00 $163.00 12 Post office $388.50 $434.00 $479.50 $525.00 $570.50 13 Grocery stores Basic fee, plus the fol lowi ng surcharges $55.50 $62.00 $68.50 $75.00 $81.50 Basic Store $55.50 $62.00 $68.50 $75.00 $81.50 Bakery $55.50 $62.00 $68.50 $75.00 $81.50 Wetted -Down Produce $111.00 $124.00 $137.00 $150.00 $163.00 Food Disposal $111.00 $124.00 $137.00 $150.00 $163.00 Meat Cuttin Area $222.00 $248.00 $274.00 $300.00 $326.00 14 Bowl i ng a I I ey, boat marina, health maintenance organizations and work base fee, plus $55.50 $62.00 $68.50 $75.00 $81.50 for each equivalent residential unit (ERU) as determined for the cost - sharing formula for the sewer treatment plant $55.50 $62.00 $68.50 $75.00 $81.50 15 Car washes base fee, plus $55.50 $62.00 $68.50 $75.00 $81.50 per car washing bay 1 $166.50 $186.00 $205.50 $225.00 $244.50 Ordinance No. 020-15 Page 5 of 15 Sewer Rates 2016 2017 2018 2019 2020 16 Beauty shops and barber shops $111.00 $124.00 $137.00 $150.00 $163.00 17 Day care Basic fee, plus $222.00 $248.00 $274.00 $300.00 $326.00 for less than or equal to 6 children $0.00 $0.00 $0.00 $0.00 $0.00 for 7 to 25 children $111.00 $124.00 $137.00 $150.00 $163.00 for more than 25 children use Class 6 rates 18 Gas stations for gasoline retail, which could include service bay $111.00 $124.00 $137.00 $150.00 $163.00 for non -automotive retail $111.00 $124.00 $137.00 $150.00 $163.00 19 Assisted living units base fee, plus $111.00 $124.00 $137.00 $150.00 $163.00 per unit with private kitchen $111.00 $124.00 $137.00 $150.00 $163.00 per unit without private kitchen or studio apartment $22.20 $24.80 $27.40 $30.00 32.60 20 Bed and breakfasts base fee, plus $111.00 $124.00 $137.00 $150.00 $163.00 per rentable bedroom $8.90 $9.90 $11.00 $12.00 $13.00 21 Public Market basic fee, plus the following surcharges $222.00 $248.00 $274.00 $300.00 $326.00 Nonfood retail $27.80 $31.00 $34.30 $37.50 $40.80 Nonfood service business $27.80 $31.00 $34.30 $37.50 $40.80 Juice/Soda/Ice Cream/Espresso Bar $111.00 $124.00 $137.00 $150.00 $163.00 Restaurant (consume and buy on premises) $222.00 $248.00 $274.00 $300.00 $326.00 Delicatessen (counter sales takeout ready -to -eat food products) $111.00 $124.00 $137.)0 $150.00 $163.00 Retail Meat/Seafood $111.00 $124.00 $137.00 $150.00 $163.00 Retail Bake $111.00 $124.00 $137.00 $150.00 $163.00 Special notes: a) Home occupations will not be charged additional sewer fees. b) For a combination of classes in one business, the highest rate will be selected c) In the event that an established rate class does not accurately reflect the impact on the sewer system, the city engineer may determine the specific monthly rate. d) Water accounts which serve a marina pier and do not have a connection to the sewer shall not be charged a sewer bill. A sewer bill will be charged and based on winter consumption if the water meter serves both the marina pier and any facility or pump station that is connected to the sewer system. For billing purposes, live-aboards will not be considered as a dwelling unit. e) Properties served which are outside the city limits shall have a 50 percent surcharge on the bimonthly rates. Ordinance No. 020-15 Page 6 of 15 Section 3. Section 13.04.025 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.025 Fee Schedule (1)The fees set forth below are referenced in sections 13.04.030, 13.04.033, 13.04.035, 13.04.040 of the POMC. Water Sewer Connection Fees POMC Section Water Capital Facility Charge 13.04.030 Sewer Wastewater Treatment POMC Section Section (1 a )O Facility Fee 13.04.040 (2) Res idenital - Per ERU $ 5,011.81 Per ERU $ 3,597.37 McCormick Land Co. Div 1-10 Per ERU $ 881.25 Water Capital Facility Charge Nonresidential - Based on meter size POMC Section 13.04.030 Section 1)(b) 3/4" $ 5,011.81 1" $ 8,358.58 1-1/2" $ 16,667.04 2" $ 26,677.31 3" $ 53,354.59 4" $ 84,499.10 Irrigation No connection fee POMC Section Water Inspection Fee 13.04.030 (7) & 13.04.033 (3) Per Meter $ 111.37 Connection Fees/Labor Installation Fees POMC Section 13.04.033 1 34' $ 1,113.73 1" $ 1,336.49 1-1/2" $ 1,670.61 2" $ 2,227.48 Larger Estimated case by case Water in Lieu of Assessment POMC Section 13.04.035 Per front foot $ 111.37 Sewer General Facility Fee POMC Section 13.04.040 (2) Per ERU $ 3,085.04 POMC Section Sewer Inspection Fee 13.04.040 (8 Per lateral connection $ 111.37 Ordinance No. 020-15 Page 7 of 15 (2) The fees set forth below are referenced in Section 13.04.050, 13.04.055, and 13.04.120 of the POMC. Billing andN iscellaneous Charges Billing Charges POMC Section 13.04.050 Water/Sewer Delinquency Notice at location $ 10.00 Water Shut off Fee $ 40.00 Meter Turn / Off Violations (as determined by City) $ 250.00 Damaging the Utility System POMC Section 13.04.120 Violation Fine (as determined by the City) $ 250.00 Miscellaneous Charges POMC Section 13.04.055 After Hours Turn On / Shut off $ 75.00 Notification to tenant of Water Shut off per Holdharmless Agreement $ 10.00 Service Fee for estimated or final billing closing requests $ 20.00 Section 4. Section 13.04.030 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.030 Water capital facility charge — Extension of water. (1) The water capital facility charge is designed to mitigate the impact of new demands on the existing water system and to require new users to pay their fair share of the value of the water system including, but not limited to, water supply, treatment, transmission, storage and distribution facilities. The water capital facility charge applies to new construction, changes in use, and building modifications which increase the total number of equivalent residential units (ERUs). An ERU is 180 gallons per day for nonresidential connections. Prior to connecting to the city's water system the property owner shall pay, in addition to other applicable charges, the applicable water capital facility charge. (a) The water capital facility charge for a residential connection is based on a set fee per ERU which is set forth in the City of Port Orchard Municipal Code section 13.04.025. An ERU for this purpose shall be computed based on the water meter size and shall be calculated according to the average flow factor of a displacement type meter where a three -quarter -inch meter shall have a flow factor equal to one ERU. An ERU for residential connections is one single-family dwelling unit, whether detached or attached and configured as an apartment unit, condominium unit, townhouse unit, or any other configuration. (b) The water capital facility charge for a nonresidential connection shall be calculated based on meter size as set forth in the City of Port Orchard Municipal Code section 13.04.025. (c) Per Resolution No. 1666, the city treasurer is authorized to waive the connection fee of the water systems which do not impact the fire flow storage requirements of the city. All other fees, charges and expenses shall be paid as in accordance with this chapter. Examples of these connections are irrigation systems, fire protection systems, and relocating service lines which cross private property. Ordinance No. 020-15 Page 8 of 15 (2) If, after connection of a nonresidential service, the actual water usage has increased or the property use expanded so that there are a greater number of ERUs being used on the property than for which the water capital facility charge was paid, the property owner shall pay to the city an additional water capital facility charge based upon the new or expanded use. The additional water capital facility charge shall be based upon the charge rate in effect at the time the increase in use is requested and/or detected, whichever first occurs. (3) Water Capital Facility Charge — Exception. The following exception applies to the assessment of the water capital facility charge. All four elements of the below -listed requirements must be present to qualify for the exception: (a) A nonresidential account paid the water capital facility charge at the time the property connected to the city's water system; (b) Sometime after the original connection, the property owner decides to construct a new building, change the original use, or modify the original building; (c) After the building improvements are completed, the total water usage for the nonresidential account will be equal to or less than the usage at the time of the original connection; and (d) The new construction, change in use, or building modification has not resulted in an additional direct connection to the city's water system or the establishment of an additional water account. (4) A credit against the water capital facility charge may be applied for those property owners that paid their assessments in full through a local improvement district formed by the city where such local improvement district is formed to finance the construction of any of the improvements that are a basis for calculating the value of the water capital facility charge. The credit shall be equal to that portion of the property owner's principal assessment, not including interest and penalties, which is directly applicable to the construction of the improvements that are a basis for calculating the value of the capital facility charge. The credit shall be applied at the time of payment of the water capital facility charge and shall not be used to reduce any assessments in the local improvement district. (5) A credit against the water capital facility charge may be applied for those property owners that construct at their own expense any of the improvements that are a basis for calculating the value of the water capital facility charge or for those property owners that pay a latecomer's fee toward those same improvements. The credit shall be the smaller of the following: (a) That portion of the design and construction costs of the latecomer's agreement that are directly applicable to the construction of the improvements that are a basis for the value of the water capital facility charge; or (b) That proportionate amount of the water capital facility charge that is attributable to the water facilities either constructed by the property owner or paid through a latecomer's fee. (6) The above provisions notwithstanding, the amount of any credit shall not exceed the amount of the water capital facility charge for the property to which the credit is being applied. (7) At the time the water capital facility charge is paid, a water inspection fee shall be paid. The water inspection fee is set forth in the City of Port Orchard Municipal Code section 13.04.025. Ordinance No. 020-15 Page 9 of 15 (8) All materials shall comply with the requirements of the city. If the city supplies any materials, the cost of these plus overhead and sales tax will be paid by the customer or property owner. (9) If a property owner requests a credit or exemption as described above, the director of public works shall make an administrative determination regarding the applicability and amount of the credit or exemption. The director's decision may be appealed to the hearing examiner. (10) The exceptions and credits described above shall not apply to any costs of construction incurred or payments made to the city for improvements that are a basis for the value of the capital facility charge and that were made 15 years or more prior to the date the property owner requests the exception or credit. Section 5. Section 13.04.033 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.033 Connection fees. (1) Connection fees are designed to reimburse the utility for the cost required to connect the new service to the water main. The labor installation fee is a flat fee set forth in the City of Port Orchard municipal Code section 13.04.025 plus associated materials plus sales tax based on the size of the water meter for service lines less than 25 feet. This fee is charged when installed by city employees. (2) If the water service line exceeds 25 feet, or if the proposed construction is unusually difficult, the connection fee will be based on an estimate completed by the city for the required labor and material. (3) If the service is connected by other than city employees, the water inspection fee per meter will be charged as set forth in the City of Port Orchard Municipal Code section 13.04.025. All materials shall comply with the requirements of the city. If the city supplies any materials, the cost of these, plus overhead and sales tax, will be paid by the customer. If the installation is satisfactory, the city shall set the meter if it is one inch or less in size. Larger meters shall be installed by the contractor. (4) All new construction, residential and commercial, on property which is located within 200 feet of a water main of the city shall be required to extend the water to and across the entire frontage of their property and connect to the city water system prior to the occupancy of the building. No new wells except municipal wells shall be constructed and no expansions of existing wells, except municipal wells, shall be permitted on properties that can be served, within 200 feet of a water main of the city, or are now served by the city water system. Section 6. Section 13.04.035 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.035 Water main fees in lieu of assessment. (1) Where all or a portion of the premises to be served has not been previously assessed or contributed its share towards the cost of installing a permanent main to serve such premises, or the property does not abut a water main, water service shall be provided upon payment of a water main fee as provided for in this section, in addition to the water capital facility charge set forth in POMC 13.04.030 and the connection fee set forth in POMC 13.04.033. (2) The water main fee shall be based on the frontage of the property served, as determined by the public works director. Properties situated on corner lots abutting utility mains on two sides shall have Ordinance No. 020-15 Page 10 of 15 the front footage charge computed by averaging the two sides. The fee shall be charged per front foot as set forth in the City of Port Orchard Municipal Code section 13.04.025. (3) Water main fees in lieu of assessment shall be charged on new accounts unless exempted as explained below: (a) The property has previously paid its share of a local water main as part of a water local improvement district and there are records to verify this; (b) The property has extended the local water main as required by the city and paid all costs associated with the extension; (c) The property has paid its equitable share of the cost of a previously installed local water main pursuant to a latecomer's agreement; or (d) The agreement for purchase and sale of assets of McCormick Water Company, Inc., waives the city fee in lieu of assessment for water services. These are the services within McCormick Woods, Campus Station, Kenmore Court, and McCormick 620. (4) If a property owner requests an exemption as described above, the director of public works shall make an administrative determination regarding the applicability and amount of the exemption. The director's decision may be appealed to the hearing examiner. (5) The exemptions described above in subsections (3)(a) through (c) of this section shall not apply to any costs of construction incurred or payments made to the city for improvements that are a basis for the value of the water main fee in lieu of assessment and that were made 15 years or more prior to the date the property owner requests the exemption. Section 7. Section 13.04.040 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.040 Sewer capital facility charge — Extension of sewer. (1) The sewer capital facility charge is designed to mitigate the impact of new demands on the existing sewer system and to require new users to pay their fair share of the value of the sanitary sewer system. The sewer capital facilities charge applies to new construction, changes in use, and building modifications that increase the total number of equivalent residential units (ERUs). An ERU is 180 gallons per day for nonresidential connections. An ERU for residential connections is one single-family dwelling unit, whether detached or attached and configured as an apartment unit, condominium unit, townhouse unit or any other configuration. The ERU consumption is based upon metered water consumption or comparison to similar accounts when metered water consumption data is not readily available. (a) Sewer Capital Facility Charge — Exception. The following exception applies to the assessment of the sewer capital facility charge. All four elements of the below -listed requirements must be present to qualify for the exception: (i) A nonresidential account paid the sewer capital facility charge at the time the property connected to the city's sewer system; Ordinance No. 020-15 Page 11 of 15 (ii) Sometime after the original connection, the property owner decides to construct a new building, change the original use, or modify the original building; (iii) After the building improvements are completed, the total sewer usage for the nonresidential account will be equal to or less than the usage at the time of the original connection; and (iv) The new construction, change in use, or building modification has not resulted in additional direct connection to the city's sewer system or the establishment of an additional sewer account. (2) The sewer capital facility charge consists of two components: the general facility fee and the wastewater treatment facility fee. The general facility fee and the wastewater treatment facility fees are set forth in the City of Port Orchard Municipal Code section 13.04.025. The properties within Divisions 1 through 10, inclusively, of the McCormick Woods Land Company shall have a wastewater treatment fee which is set forth in the City of Port Orchard Municipal Code section 13.04.025. (3) The sewer capital facility charge shall be paid before connecting to the city sanitary sewer system, or before changing the use, or increasing the total ERU count above the amount for which a sewer capital facility charge has been paid. If work is to be done that requires a sewer capital facility charge, it shall be paid before a permit shall be issued. (4) If, after connection of a nonresidential service, the actual sewer usage has increased or the property use expanded so that there are a greater number of ERUs being used on the property than for which the sewer capital facility charge was paid, the property owner shall pay to the city an additional sewer capital facility charge based upon the new or expanded use. The additional sewer capital facility charge shall be based upon the charge rate in effect at the time the increased use is requested and/or detected, whichever first occurs. (5) A credit against the sewer capital facilities charge may be applied for those property owners that paid their assessments in full through a local improvement district formed by the city, where such local improvement district is formed to finance the construction of any of the improvements that are a basis for calculating the value of the sewer capital facilities charge. The credit shall be equal to the amount of the property owner's principal assessment, not including interest and penalties. The credit shall be applied at the time of payment of the sewer capital facilities charge and shall not be used to reduce any assessments in the local improvement district. (6) A credit against the sewer capital facilities charge may be applied for those property owners that construct at their own expense any of the improvements that are a basis for calculating the value of the sewer capital facilities charge or for those property owners that pay a latecomer's fee toward those same improvements. The credit shall be the smaller of the following: (a) That portion of the design and construction costs of a latecomer's agreement that is directly applicable to the construction of the improvements that are a basis for the value of the sewer capital facilities charge; or (b) That proportionate amount of the sewer capital facilities charge that is attributable to the sewer facilities either constructed by the property owner or paid through a latecomer's fee. Ordinance No. 020-15 Page 12 of 15 (7) The above provisions notwithstanding, the amount of credit shall not exceed the amount of the sewer capital facilities charge for the property to which the credit is being applied. (8) At the time the sewer capital facilities charge is paid, a sewer inspection fee shall be paid per lateral connection to the main. The sewer inspection fee is set forth in the City of Port Orchard Municipal Code section 13.04.025. (9) All materials shall comply with the requirements of the city. If the city supplies any materials, the cost of these plus overhead and sales tax will be paid by the customer. (10) Extension of Sewer to Property Contiguous to the City Shall Annex — Exception. Property lying within the urban growth boundary and contiguous to the Port Orchard city limits shall annex to the city as a condition of sewer connection. In the alternative, the city may elect to defer annexation and require the owner to execute a utility extension agreement as described in subsection (11) of this section. (11) Requirement for Utility Extension Agreement. (a) Property lying within the urban growth area which is not contiguous to the Port Orchard city limits shall be permitted water and/or sewer connection only upon entering into an appropriate agreement with the city containing a waiver of protest to annexation/limited power of attorney authorizing annexation at such time as the city determines the property should be annexed to the city. Application for extension of utilities is subject to the following provisions: (i) Application fees as established by the city council shall be paid upon the submittal of a signed utility extension agreement (UEA) requesting water and/or sewer for property outside the city, but located within the urban growth area; (ii) The applicant will bear the entire cost of water and/or sewer connection pursuant to this chapter, as written or hereafter amended, subject to any provision in effect at the time of connection for latecomer reimbursement; (iii) The applicant will be subject to all applicable provisions of this chapter, as written or hereafter amended, for extension of city utilities, the payment therefore, and all enforcement provisions therein; and (iv) The UEA shall not be executed prior to the time formal application is made for approval of the project for which utilities are requested. The term of said agreement shall terminate at the time any project application or approval expires or is revoked for any reason. A new agreement shall also be required for any extension of project application or approvals or when the director of planning determines that a substantial change or addition has been made to the project. (b) The city may disconnect the utilities for failure of the applicant or his/her successors or assigns, for violation of this chapter, or for violation of the terms and conditions of the UEA. (c) Following execution, such agreement shall be recorded by the city clerk in the chain of title for such property in the records of the Kitsap County auditor. Ordinance No. 020-15 Page 13 of 15 Section 8. Section 13.04.050 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.050 Billing. (1) The water and/or sewer charges shall be billed by the city treasurer bimonthly, on the last day of the bimonthly period, to the property owner. The charges and rates shall be due to the treasurer, who is authorized and empowered to collect and receipt for such payments, on the first day of the month following the receipt of services. (2) Charges remaining unpaid 25 days after the due date shall be considered delinquent and shall be subject to an additional charge of 10 percent of the unpaid balance as a penalty. (3) When a water and/or sewer bill shall become delinquent and a city employee must go to the premises during normal working hours for the purpose of hanging a written notice on the door, there shall be a charge added to the account set forth in the City of Port Orchard Municipal Code section 13.04.025. (4) If the delinquent water and/or sewer charges remain unpaid over a period of 30 days after the due and payable date, service will be discontinued by turnoff. Service will not resume thereafter until the delinquent charges and penalties, together with a turnoff fee, have been paid in full. The turnoff fee shall be set forth in the City of Port Orchard Municipal Code section 13.04.025. (a) It is unlawful for the owner or occupant of the premises to turn on/off the water, cause damage, or cause it to be turned on after it has been shut off or locked by the city. The above charges under subsection (4) of this section will apply if the city has to return to re -shut off an account that is supposed to be turned off at the meter for nonpayment. Violations will result in a fee as determined by the City which is set forth in the City of Port Orchard Municipal Code section 13.04.025. (5) Where both water and sewer delinquent charges are involved, the customer shall not be billed double penalties. Section 9. Section 13.04.055 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.055 Miscellaneous charges. (1) The charge for turning on or shutting off service, other than the regular City Hall business hours, and anytime on weekends or holiday, shall be set forth in the City of Port Orchard Municipal Code section 13.04.025. (2) In order for a landlord to shut off a tenant's water, the landlord must be the responsible party for the account, and the landlord must sign a hold harmless agreement and pay a service charge set forth in the City of Port Orchard Municipal Code section 13.04.025. The city will give advance notice at the service address of at least eight hours, or such greater time as is required by law. (3) When a closing agent requests, by law, a final billing of utility services to real property being sold, the utility shall provide the requesting party with a written estimated or actual final billing. There will be a service fee charged for each request set forth in the City of Port Orchard Municipal Code section l'n4ms Ordinance No. 020-15 Page 14 of 15 Section 10. Section 13.04.065 of the Port Orchard Municipal Code is hereby repealed. Section 11. Section 13.04.120 of the Port Orchard Municipal Code is hereby amended to read as follows: 13.04.120 Damaging the utility system. No unauthorized person shall maliciously, willfully or negligently break, damage, destroy, uncover, deface or tamper with any structure, appurtenance or equipment that is part of the public water or sewer system. No person shall connect another structure, apartment, or dwelling unit with a temporary hose or other pipe not permitted by the Uniform Plumbing Code for the purpose of providing water to that structure, apartment, or dwelling unit. Violations will result in a fee as determined by the City which is set forth in the City of Port Orchard Municipal Code section 13.04.025. Section 12. EFFECTIVE DATE. The changes to the Port Orchard Municipal Code described in Section 1 above, shall be effective January 1, 2016. Section 13. SEVERABILITY. If any section, sentence, clause or phrase of this ordinance should be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity of constitutionality of any other section, sentence, clause or phrase of this ordinance. Section 14. PUBLICATION. A summary of this Ordinance may be published in lieu of the entire' ordinance, as authorized by State Law. PASSED by the City Council of the City of Port Orchard, APPROVED, by the Mayor and attested by the Clerk in authentication of such passage this 241h day of November, 2015. ATTEST: Brandy Rinearson, CIVIC, City Clerk APPROVED AS TO FORM: ' .SSSINFI!(ll fl ,tip OFAT 0 e Carol orris, City Attorney= SEAL , e , � •fie. 0 =9T • FMB ER ; � e��?;�` i OFFWA`�N����� JJ, Timothy C. Matthes, Mayor Sponsored by: Rob Putaansuu, Councilmember Ordinance No. 020-15 Page 13 of 13 NOTICE OF CITY OF PORT ORCHARD ORDINANCE The following is a summary of an Ordinance approved by the Port Orchard City Council at their regular Council meeting held November 24, 2015. ORDINANCE NO. 020-15 AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON, RELATING TO WATER AND SEWER RATES, INCREASING CERTAIN WATER AND SEWER CHARGES AND FEES IN ACCORDANCE WITH THE 2014-2015 WATER/SEWER GAP ANALYSIS AND PROVIDING MISCELLANEOUS CODE REVISIONS, REMOVING THE CONSUMER PRICE INDEX ADJUSTMENT, AND SUCH RATES TO BE EFFECTIVE JANUARY 1, 2016; AMENDING SECTIONS 13.04.010, 13.04.020, 13.04.025, 13.04.030, 13.04.033, 13.04.035, 13.04.046, 13.04.050, 13.04.055, 13.04.120 AND REPEALING SECTIONS 13.04.065 OF THE PORT ORCHARD MUNICIPAL CODE. Copies of Ordinance No. 020-15 are available for review at the office of the City Clerk of the City of Port Orchard. Upon written request a statement of the full text of the Ordinance will be mailed to any interested person without charge. Thirty days after publication, copies of Ordinance No. 020-15 will be provided at a nominal charge. City of Port Orchard Brandy Rinearson City Clerk Published: Friday, December 4, 2015