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HomeMy WebLinkAbout3847 Ordinance ORDINANCE NO. AN ORDINANCE authorizing operating cash transfers from the Sewer Utility to the Stormwater Utility and adding Section 13.60.085 of the Pasco Municipal Code entitled"Sewer Utility Funding Source." WHEREAS, the Water and Sewer Utility Fund is comprised of the following utilities: Water, Sewer, Process Water Reuse Facility, Stormwater Management, and Irrigation; and WHEREAS, the Stormwater Management Utility was formed to comply with Chapters 35.67 and 35A.80.010 of the Revised Code of Washington to promote public health, safety and welfare by promoting an approach to the management of surface and stormwater runoff created on City streets and delivery to City-owned stormwater facilities; and WHEREAS, the Stormwater Utility was created by Ordinance No. 3386 in 1999 and monthly rates were authorized; and WHEREAS, the Sewer Utility and the Stormwater Utility share the common goal of prevention of contamination of existing groundwater supplies; and WHEREAS, the growth in number of customers has increased in proportion to the growth in the other utilities of the City; and WHEREAS, even with the growth in the number of customers, the present Stormwater Utility rates have not been sufficient to cover the operating costs over the past several years; and WHEREAS, the Sewer Utility benefits from the activities of the Stormwater Utility and can provide annual ongoing funding for the Stormwater Utility, and WHEREAS, the City Council finds, after review of a cost of service study completed by HDR Engineering, and further analysis by city staff, that the monthly fee in the Stormwater Utility for all classes of customers could remain the same with ongoing annual funding from the Sewer Utility; and WHEREAS, it is desirable to have sufficient cash reserves in the Stormwater Utility to finance reasonable capital construction costs without incurring debt, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO HEREBY ORDAIN AS FOLLOWS: Section 1. An initial cash transfer from the Sewer Utility to the Stormwater Utility is authorized in the amount of $650,000 before December 31, 2007, to cover accumulated cash shortfalls of the Stormwater Utility and to compensate for the eight years of benefit to the Sewer Utility. Section 2. Ongoing operational transfers from the Sewer Utility to the Stormwater Utility are authorized for up to 50% of Stormwater Utility operational expenses per year, beginning in 2008. Section 3. The following section shall be added to Chapter 13.60 (Stormwater Management Utility) of the Pasco Municipal Code. 13.60.085 SEWER UTILITY FUNDING SOURCE. Stormwater Utility funding shall be received from the Sewer Utility in an amount not to exceed 50% of annual Stormwater Utility operation expenditures. Annual operating expenditures shall not include capital project expenditures. Section 4. This Ordinance shall take full force and effect immediately, after its approval, passage and publication as required by law. PASSED by the City Council of the City of Pasco, Washington and approved as provided by law this 3rd day of December, 2007. y- Joyce o ayor ATTEST: APPROVED AS TO FORM: Debra Clark, City Clerk Leland B. Kerr, City Attorney Sewer Utility Funding Source Ordinance Page 2