013-08 - Ordinance - Amending Chapter 13.04 Water and SewerORDINANCE NO. 013-08
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON,
REGARDING WATER RATES AND CONNECTION CHARGES; SEWER
INSPECTION FEES; AND AMENDING PORT ORCHARD MUNICIPAL
CODE CHAPTER 13.04
WHEREAS, the Port Orchard City Council last revised water rates in December 1999 and
last revised the water connection fee in May 2003; and
WHEREAS, the City of port Orchard retained a consultant to evaluate water rates and
connection fees to determine whether the rates and charges are sufficient to fund the City's water
system including ongoing maintenance and operations, as well as the capital improvements set forth
in the City's current six year Capital Improvement Plan that is a part of the latest adopted
Comprehensive Water System Plan; and
WHEREAS, the City's consultant has recommended an increase in water rates and water
connection fees to meet the Washington State Department of Health's financial viability test for the
water system to develop an operating budget that demonstrates sufficient revenues to meet all
operating expenses; and
WHEREAS, the City Council desires that increases to existing rate payers should be kept to
reasonable levels, and that the costs associated with future growth should be paid by that growth
and not by existing rate payers; and
WHEREAS, the adoption of this ordinance setting water rates and connection fees is
consistent with the City's Comprehensive Plan and with the goals and policies of the Growth
Management Act; now, therefore,
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO ORDAIN
AS FOLLOWS.
SECTION 1. Effective Date. This ordinance shall be effective July 1, 2008.
SECTION 2. Port Orchard Municipal Code 13.04.010 is hereby amended to read as follows:
13.04.010 Bimonthly water rates.
Water rates are billed on a bimonthly schedule. The water rates, as calculated
bimonthly, are shown below:
(1) Cost for the first 5,000 gallons, bimonthly.
Size of Service Bimonthly Rate
3%4" $ 19.GO
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Page 2 of 11
1"
$ 20.00
1-1/2"
$ 23.00
2"
$ 26.00
Y
$ 32.00
4"
$ 44.00
611
$ 65.00
8"
$ 86.00
IV
$ 110.00
(2)
Consumption Charge
RATE 1
0 to 3,000 gallons
$15.00
RATE 2
3,001 to 5,000 gallons
$19.00
RATE 3
5,001 — 30,000 gallons
Rate 2 plus $2.10/1,000 gal
RATE 4
30,001 — 50,000 gallons
Rate 2 plus Rate 3 plus $2,20/1,000 gal
RATE 5
50,001 — 100,000 gallons
Rate 2 plus Rate 3 plus Rate 4 plus
$2.30/1,000 gal
RATE 6
100,001 — 150,000 gallons
Rate 2 plus Rate 3 plus Rate 4 plus
Rate 5 plus $2.40/1,000 gal
RATE i
In excess of 150,000 gallons
Rate 2 plus Rate 3 plus Rate 4 plus
Rate 5 plus Rate 6 plus $2.50/1,000 gal
(3) Fire Hydrant Service.
Schools $12.00 per hydrant
Private Service $22.00 per hydrant
(4) Temporary Construction,
One -Day Service $2.20/1,000 gallons or $19.00
whichever is greater
Construction Account As metered:
0 — 50,000 gallons $2.20/1,000 gallons
50,001— 100,000 gallons $2.30/1,000 gallons
100,001 — 150,000 gallons $2.40/1,000 gallons
In excess of 150,000 gallons $2.50/1,000 gallons
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Page 3 of 11
(5) 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 billing is determined by the number of
customers multiplied by a rate of $19.00. 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. The rate of the consumption above 5,000 gallons will be $2.10
per 1,000 gallons up to 30,000 gallons, $2.20 per 1,000 gallons from 30,001 to 50,000
gallons, $2.30 per 1,000 gallons from 50,001 to 100,000 gallons, $2.40 per 1,000 gallons
from 100,001 to 150,000 gallons and $2.50 per 1,000 gallons in excess of 150,000 gallons.
(6) Properties Outside City Limits. Properties served outside the city limits shall
have a 50 percent surcharge on the monthly rate.
(7) Hydrant Meter Rentals. All persons renting a hydrant meter shall pay a
refundable deposit. The following rental fees shall apply to all persons renting a hydrant
meter: the first 60 days, no charge; the next 120 days, $250 for each 30 day period; in
excess of 180 days, $500 for each 30 day period.
SEEN 3. Port Orchard Municipal Code 13.04.030 is hereby amended to read as follows:
13.04.030 Water Capital Facility Charge.
(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
$4,500 per ERU. 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 below:
Meter Size Capital Facility Charge
3/a" $4,500
1" $7,505
1-1/2" $14,965
2" $23,953
3" $47,906
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4" $75,870
(2) If, after connection of a non-residential service, the actual water
usage has increased or the property use expanded so that there is 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 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:
(i) A non-residential account paid the water capital facility charge
at the time the property connected to the city's water system;
(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
water usage for the non-residential account will be equal to or less than the usage of
the time of the original connection; and
(iv) 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:
(i) 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
(H) 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.
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Page 5 of 11
(b) 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, an inspection fee
shall be paid. The inspection fee is $100 per lateral connection to the main.
(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 4. Port Orchard Municipal Code Chapter 13.04 is hereby amended by adding a
new section to read as follows:
13.040.033 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 plus sales tax based on the size of the water meter for service lines less than
25 feet. Installed by city employees:
Meter Size Fee
3/4" $1,000 + cost of meter and associated materials
1r' $1,200 + cost of meter and associated materials
1— 1/2" $1,500 + cost of meter and associated materials
2" $2,000 + cost of meter and associated materials
Larger meters Estimated on a case -by -case basis
(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
inspection fee of $100.00 per meter will be charged. 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
Ordinance No.013-08
Page 6 of 11
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.
SECTION5. Port Orchard Municipal Code Chapter 13.04 is hereby amended by adding a
new section 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 the front footage charge computed
by averaging the two sides. The fee shall be $100 per front foot.
(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 late comers 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 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 subsection 3(a) through (c) 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.
Ordinance No.013-08
Page 7 of 11
SECTION 6. Port Orchard Municipal Code Chapter 13.04 is hereby amended by adding a
new section to read as follows:
13.04.037 Extension of water to property contiguous to the city.
Property lying within the urban growth boundary and contiguous to the Port Orchard
city limits shall annex to the city as a condition of water connection. In the
alternative, the city may elect to defer the annexation and require the owner to
execute a utility extension agreement as described in POMC 13.04.040(11).
SECTION 7. Port Orchard Municipal Code Chapter 13.04 is hereby amended by adding a
new section to read as follows:
13.04.039 Payment.
All charges and fees set forth in this Chapter 13.04 shall be paid in full prior to any
issuance of permits and the physical connection of the private service line to the
water system.
$E!QTION a;, Port Orchard Municipal Code Chapter 13.04 is hereby amended by adding a
new section to read as follows:
13.04.065 CPI adjustment.
(1) Commencing November 1, 2009, and on November 15t of each
successive year thereafter, unless otherwise adjusted by the City Council during the
previous six month period, all charges and fees set forth in this chapter, but
excluding water rates, shall automatically be adjusted based upon the All Urban
Consumers Price Index for the Seattle — Tacoma — Bremerton area as published by
the U.S. Department of Labor, Bureau of Labor Statistics for the prior June.
(2) The City Council shall review the water rates annually and shall adjust
them as it deems appropriate.
SECTION 9. Port Orchard Municipal Code Section 13.04.040(8) is hereby amended to read
as follows:
(1) 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 (ERU's). 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.
Ordinance No.013-08
Page 8 of 11
(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;
(H) Some time 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 of 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 is $2,770.00 per ERU. The Wastewater Treatment Facility Fee is
$3,230.00 per ERU. Provided, however, the properties within Divisions 1 through 10,
inclusively, of the McCormick Woods Land Company shall have a Wastewater
Treatment Fee of $791.25 per ERU.
(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 is a greater number of
ERU's being used on the properly than for which the Sewer Capital Facility Charge
was paid, the properly 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
Ordinance No.013-08
Page 9 of 11
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
latecomer's agreement that are 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.
(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, an inspection
fee shall be paid. The inspection fee is $100 per lateral connection to the main.
(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 POMC 13.04.040(11).
(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 Ch. 13.04 EMC, as written or hereafter amended,
subject to any provision in effect at the time of connection for latecomer
reimbursement;
(Hi) The applicant will be subject to all applicable provisions
of Ch. 13.04 EMC, as written or hereafter amended, for extension of city utilities,
the payment therefore, and all enforcement provision 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
Ordinance No-013-08
Page 10 of 11
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 successor's or assigns for violation of Ch. 13.04 EMC; 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.
SECTION 10. Port Orchard Municipal Code Section 13.04.050(2) is hereby amended to
read as follows:
(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 months 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 premise during normal working hours for the purpose of
hanging a written notice on the door, there shall be a $10.00 charge added to the
account.
(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 $20.00,
unless the same account should become delinquent during a 12-month period. On a
second occurrence, the turnoff fee shall be $30.00. On the third occurrence and
each subsequent occurrence, the turnoff fee shall be $40.00
(5) Where both water and sewer delinquent charges are involved, the
customer shall not be billed double penalties.
SECTION 11. Savings Clause. Those sections of Port Orchard Municipal Code Chapter
13.04 which are amended by this ordinance shall remain in force and effect until the effective date of
this ordinance.
SECTION 12. This ordinance shall be in full force and effect five (5) days after posting and
publication as required by law. A summary of this Ordinance may be published in lieu of the entire
ordinance, as authorized by State Law.
Ordinance No.013-08
Page 11 of 11
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 27th dayofl��y 2008. Y
ATTEST:
Michelle Merlino, City Clerk
APPROVED AS TO F RM:
City Attorney
Lary Copal , MAC,°'
Sponsored by:
Rob Putaansuu, Councilmember
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 May 27, 2008.
ORDINANCE NO. 013-08
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON,
REGARDING WATER RATES AND CONNECTION CHARGES; SEWER
INSPECTION FEES; AND AMENDING PORT ORCHARD MUNICIPAL CODE
CHAPTER 13.04
Copies of Ordinance No. 013-08 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. 013-08 will be
provided at a nominal charge.
City of Port Orchard
Nicole Stephens
Office Assistant II
Publish: Port Orchard Independent
June 4, 2008