Fort Walton Beach Council agenda — 10-28-14--regular — reading text

$ 71. 44 $ 74. 65 $ 76. 52 $ 78. 43 8. 0" & 10.0" 97. 76 $ 107. 05 $ 111. 87 $ 114. 67 $ 117. 54 Multi- Residential Additional per Unit $ 6. 90 $ 7. 56 $ 7. 90 $ 8. 10 $ 8. 30 Gallonage Rate Per 1, 000 gal Block 1 ( 0 - 2, 000 gal per unit) 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 Block 2 ( 2, 001 - 4, 000 gal per unit) $ 2. 78 $ 3. 04 $ 3. 18 $ 3. 26 $ 3. 34 Block 3 ( 4, 001 - 8, 000 gal per unit) $ 3. 40 $ 3. 72 $ 3. 89 $ 3. 99 $ 4.09 Block 4 ( 8, 001 + gal per unit) S5. 10 $ 5. 58 $ 5. 83 S5. 98 $ 6. 13 N Wastewater 1, 2 Monthly Base Charge per Unit E Residential 20. 44 $ 22. 38 $ 23. 39 $ 23. 97 $ 24. 57 0 Commercial 24. 53 $ 26. 86 $ 28. 07 $ 28.77 $ 29. 49 Gallonage Rate Per 1, 000 gal Residential ( capped at 16k/ unit) a. Block 1 ( 0- 2, 000 gallons) 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 a' Block 2 ( 2, 001 - 16, 000 gallons) $ 6. 42 $ 7. 03 $ 7. 35 $ 7. 53 $ 7. 72 Commercial Block 1 ( 0- 2, 000 gallons) 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 $ 0. 00 s Block 2 ( 2, 001 - 16, 000 gallons) $ 7. 71 $ 8. 44 $ 8. 82 $ 9. 04 $ 9. 27 Diminishing Charge 1. 3 Monthly Base Charge per Unit 0. 39 $ 0. 18 $ 0. 05 $ 0. 00 $ 0. 00 Rate ( per 1, 000 Gal) 0. 38 $ 0. 18 $ 0. 05 $ 0. 00 $ 0. 00 1. Outside City customers subject to 125 percent surcharge per 180. 19 F.S. 2. Residential billing cap of 14, 000 gallons per month per EMC. 3. Subject to annual review and adjustment. 15 Packet Pg 80  11. 1: 6 , Revenue Sufficiency and Rate Adjustments 2014 Utility Rate Study Stormwater The stormwater division, as identified through the previous revenue sufficiency analysis, requires certain fee adjustments to adequately provide for the budgeted and the improvement needs forecasted in the Stormwater Master Plan. To achieve the required levels of revenues for each fiscal year through 2018/ 19, the fee adjustments will need to be as follows: Stormwater Fee Adjustments And Resulting Stormwater Fees 2014/ 15 2015/ 16 2016/ 17 2017/ 18 2018/ 19 4 Fee Adjustment per ERU per mo. $ 0. 50 $ 0. 75 $ 0. 25 $ 0. 25 $ 0. 25 E Resulting Fee per ERU per mo. 3. 50 $ 4.25 $ 4. 50 $ 4. 75 $ 5. 00 c a) E a Revenue Sufficiency with Proposed Rate and Fee Adjustments Water and Wastewater An important element in identifying the adequacy of the proposed rate adjustments is the ability of u En the water and wastewater division to not only provide for operating expenditures and debt service a, coverage but also accumulate reserves for creditworthiness and assist as a source to fund capital u improvements. The combination of the previously mentioned debt service modifications, introduction of the Diminishing Charge and strategic across the board water and wastewater rate v adjustments result in revenues adequate to address the forecasted requirements of the water and o wastewater division from fiscal year 2015/ 16 through fiscal year 2018/ 19. However, in consideration of the objective of keeping the rate impact on customers to a minimum, it is suggested that the shortfall r+ identified for fiscal year 2014/ 15 be addressed from existing reserve funds. 0N The results of the proposed rate adjustments on the water and wastewater division' s ability to meet minimum levels of revenue sufficiency are shown in Table 12 and illustrated on Graph 5. tri 2 Table 12 ea Ce P roforma Operating Statement- Combined Water and Wastewater 2014/ 15 2015/ 16 2016/ 17 2017/ 18 2018/ 19 n m User Fee Revenue 9, 261, 600 $ 10, 090, 900 $ 10, 522, 800 $ 10, 810, 400 11, 136, 000 Other Operating Revenues 285, 500 294, 700 300, 500 308, 000 314, 400 u_ Total Revenues 9, 547, 100 $ 10, 385, 600 $ 10, 823, 300 $ 11, 118, 400 11, 450, 400 O& M Expenses 7, 624, 300 7, 730, 600 7, 880, 500 8, 078, 600 8, 310, 300 o Net Revenue 1, 922, 800 $ 2, 655, 000 $ 2, 942, 800 $ 3, 039, 800 3, 140, 100 Senior Debt Service 498, 500 596, 300 710, 300 714, 100 716, 100 SRF Debt Service 705, 900 891, 700 957, 600 957, 600 957, 600 E 718, 400 1, 167, 000 $ 1, 274, 900 $ 1, 368, 100 1, 466, 400 Operating Balance $ w Renewal and Replacement 428, 700 467, 400 514, 300 539, 800 555, 900 al Transfer to General Fund 519, 200 532, 200 545, 600 559, 200 573, 200 t Other 50, 400 51, 800 53, 300 54, 800 56, 300 n. Capital From Rates& 279, 900) 115, 600 161, 700 214,300 281, 000 c Operating Surplus ( Deficit) a) E U f3