Drafter
Clerk 05/11/2005
Title
AN ORDINANCE determining the monetary requirements for the disposal of sewage for the fiscal year beginning January 1, 2006, and ending December 31, 2006, setting the sewer rate for the fiscal year beginning January 1, 2006, and ending December 31, 2006, and approving the amount of the sewage treatment capacity charge for 2006; in accordance with RCW 35.58.570 and amending Ordinance 12353, Section 2, as amended, and K.C.C. 4.90.010 and Ordinance 11398, Section 1, as amended, and K.C.C. 28.84.055.
Body
BE IT ORDAINED BY THE COUNCIL OF KING COUNTY:
SECTION 1. Ordinance 12353, Section 2, as amended, and K.C.C. 4.90.010 are each hereby amended to read as follows:
A. Having determined the monetary requirements for the disposal of sewage, the council hereby adopts a ((2005)) 2006 sewer rate of twenty-five dollars and sixty cents per residential customer equivalent per month. Once a sewer rate ordinance becomes effective, the clerk of the council is directed to deliver a copy of that ordinance to each agency having an agreement for sewage disposal with King County.
B. The King County council approves the application of Statement of Financial Accounting Standards No. 71 (FAS 71) to establish a rate stabilization reserve for the purpose of leveling rates between years.
C. As required for FAS 71 application amounts are to be placed in the rate stabilization reserve from 2005 operating revenues and removed from the calculation of debt service coverage for 2005. The reserve balance shall be an amount at least sufficient to maintain a level sewer rate between 2005 and 2006, and shall be used solely for the purposes of: maintaining the level sewer rate in 2006; and if additional reserve balance is available, moderating future rate increases beyond the 2005-2006 period. If the estimated amount of the reserve, as shown in the financial forecast, Attachment A to this ordinance, needs to be adjusted to meet debt service coverage requirements for 2005, the county executive shall notify the council of the change by providing an updated financial forecast.
D. Beginning August 23, 2004, and at the end of every calendar quarter thereafter, the executive shall provide a report to the council on the latest cost information on the Brightwater project, including an analysis of the potential impacts on the sewer rate and/or the capacity charge or both.
((E. The executive shall file a report with the clerk of the council by August 23, 2004, for distribution to the council, including members of the budget and fiscal management committee and regional water quality committee, detailing the value engineering analysis for the Brightwater project (including treatment, conveyance and outfall facilities) and the associated potential cost savings. In addition the report will discuss the phasing options for components of the Brightwater project that may provide savings and lessen impacts to the sewer rate and capacity charge.
F. The executive shall file a report with the clerk of the council to coincide with his transmittal of the proposed 2005 King County budget in October 2004 for distribution to the council, including members of the budget and fiscal management committee and regional water quality committee, detailing options for phasing or deferring non-Brightwater conveyance facilities currently anticipated in the 2006-2011 six-year capital improvement program or in the thirty-year Regional Water Services Plan capital plan. The report shall include the findings and recommendations of the metropolitan water pollution abatement advisory committee available at the time regarding phasing strategies or any changes in design standards.))
SECTION 2. Monetary requirements for the disposal of sewage for the fiscal year beginning January 1, 2006, and ending December 31, 2006. The council hereby determines the monetary requirements for the disposal of sewage as follows:
Administration, operating, maintenance repair and replace (net of other income): $62,681,812.
Establishment and maintenance of necessary working capital reserves: $6,168,334.
Requirements of revenue bond resolutions (not included in above items and net of interest income): $143,209,093.
TOTAL: $212,059,238.
SECTION 3. Ordinance 11398, Section 1, as amended, and K.C.C. 28.84.055 are each hereby amended as follows:
A. The amount of the 1994 metropolitan sewage facility capacity charge adopted by K.C.C. 28.84.050.O. shall be seven dollars per month per residential customer or residential customer equivalent for fifteen years.
B. The amount of the 1995 metropolitan sewage facility capacity charge adopted by K.C.C. 28.84.050.O. shall be seven dollars per month per residential customer or residential customer equivalent for fifteen years.
C. The sewage treatment capacity charge shall be seven dollars per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 1996, and December 31, 1996.
D. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be seven dollars per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 1997, and December 31, 1997.
E. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be ten dollars fifty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 1998, and December 31, 1998.
F. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be ten dollars fifty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 1999, and December 31, 1999.
G. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be ten dollars fifty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2000, and December 31, 2000.
H. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be ten dollars fifty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2001, and December 31, 2001.
I. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be seventeen dollars and twenty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2002, and December 31, 2002.
J. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be seventeen dollars and sixty cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2003, and December 31, 2003.
K. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be eighteen dollars per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2004, and December 31, 2004.
L. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be thirty-four dollars and five cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2005, and December 31, 2005. For connections occurring between and including January 1, 2006, and December 31, 2006, said amount shall be thirty four dollars and five cents per month per residential customer or equivalent for fifteen years, to be reviewed, approved or changed during 2005. For connections occurring between January 1, 2007, and December 31, 2007, said amount shall be thirty four dollars and five cents per month per residential customer or equivalent for fifteen years, to be reviewed, approved or changed during 2006.
M. The amount of the sewage treatment capacity charge adopted by K.C.C. 28.84.050.O. shall be thirty-four dollars and five cents per month per residential customer or equivalent for fifteen years for sewer connections occurring between and including January 1, 2006, and December 31, 2006.
In accordance with adopted policy FP-12.3.d. in the Regional Wastewater Services Plan, K.C.C. 28.86.160.C., it is the council's intent to base the capacity charge upon the costs, customer growth and related financial assumptions used in the Regional Wastewater Services Plan as updated through every three-year review of the Regional Wastewater Services Plan in accordance with adopted Regional Wastewater Services Plan policy WWPP-5.
In accordance with adopted policy FP-12.3.c., King County shall pursue changes in state legislation to enable the county to require payment of the capacity charge in a single payment, while preserving the option for new ratepayers to finance the capacity charge.
((If the state legislature grants King County the ability to require an upfront capacity charge in 2005, the executive shall within thirty days transmit an ordinance to the council that reduces the capacity charge assessed to sewer connections, occurring on and after January 1, 2005, and shall refund the difference between the new amount and the amount that has already been paid)).
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