HomeMy WebLinkAbout4701 Ordinance - Amending PMC 3.35.160, 13.15.030 and 13.45.060 Water Rights FeesORDINANCE NO.4701
AN ORDINANCE OF THE CITY OF PASCO, WASHINGTON,
AMENDING THE PASCO MUNICIPAL CODE SECTION 3.35.160 WATER
UTILITY, ADJUSTING THE WATER RIGHTS ACQUISITION FEE; SECTION
13.15.030 CONNECTION OUTSIDE CITY LIMITS — WATER RIGHTS, AND
SECTION 13.45.060 ASSIGNMENT OF WATER RIGHTS —EXTENSION OF
CITY WATER SERVICES BEYOND CITY LIMITS..
WHEREAS, recent water rate studies and fees of utility systems are generally conducted
on periodic intervals to ensure they provide adequate revenue for the utilities, and to ensure rates,
charges, and fees are, and continue to be, in conformance with State law; and
WHEREAS, the purchase of water rights by the City of Pasco (City) to support future
development is becoming increasingly more difficult as landowners recognize the increased
market value of water rights; and
WHEREAS, the market for water rights acquisition has increased significantly over the
past several years such that the value of water rights far exceeds the City's current Water Rights
Acquisition Fee of $1,725.00 per acre-foot; and
WHEREAS, the increase in value of water rights has resulted in developments within the
City choosing to pay the current Water Rights Acquisition Fee of $1,725.00 per acre-foot and
selling their water rights for a higher amount based on the current market value; and
WHEREAS, staff is also aware that some owners of property within the City are
transferring their water rights to properties outside the City and then paying the current Water
Rights Acquisition Fee of $1,725.00 per acre-foot; and
WHEREAS, it is increasingly more difficult for the City to acquire water rights at the
current market price as landowners recognize the increased market value of water rights and the
City's lack of sufficient funds collected from the current Water Rights Acquisition Fee; and
WHEREAS, owners of water rights are showing more interest in leasing water rights
through long-term contracts rather than selling the water rights, which would put cities like Pasco
in a position of owning nothing after making 20 years of lease payments; and
WHEREAS, in September 2022, the City contracted with Darryll Olson of Pacific
Northwest Project to evaluate the water rights market and provide a recommendation to the City
regarding the fair market value of water right purchases; and
WHEREAS, in October 2022, Pacific Northwest Project provided the City with the results
of their market analysis and estimated a current water rights value of $4,150.00 per acre-foot, a
140.6% increase over the current Water Rights Acquisition Fee; and
Ordinance — Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 1
Version 09.01.23
WHEREAS, it is in the City's best interest to discourage payment of the Water Rights
Acquisition Fee and instead have developers transfer available water rights to the City to help
serve new development in Pasco; and
WHEREAS, to ensure the City's ability to purchase water rights in the future to adequately
serve new developments, the proposed Water Rights Acquisition Fee includes a 50% surcharge to
account for future increases in market value and encourage the transfer of water rights to the City
rather than payment of the Water Rights Acquisition Fee; and
WHEREAS, the PMC Section 13.45.060 "Assignment of Water Rights - Extension of
City Water Services beyond City Limits" requires, as a condition of extending water beyond the
City limit to serve new development, water rights must be transferred to the City; and
WHEREAS, it is in the City's interest to require the transfer of available water rights to
the City for all new development both within and beyond the city limit.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO,
WASHINGTON DO ORDAIN AS FOLLOWS:
Section 1. That Section 3.35.160 entitled "Water utility effective January 1, 2022" of
the Pasco Municipal Code shall be and hereby is amended and shall read as follows:
3.35.160 Water ut* ity effective January 1, 2022.
Fee/Charge
Reference
2021
2022
2023
2024
2025
2026
Inside city:
Consumption -per 100
cubic feet:
Residential/commercial
$0.88
$0.94
$1.00
$1.07
$1.12
$1.18
13.20.050
Bulk - per 1,000
gallons
$1.45
$1.54
$1.64
$1.75
$1.84
$1.93
13.20.080
Residential - single-
family base fees:
3/4 and 5/8 inch - per
month
$20.55
$21.89
$23.31
$24.83
$26.07
$27.37
13.20.020
1 inch - per month
$30.81
$32.82
$34.95
$37.22
$39.08
$41.03
13.20.020
Senior reduced/low income:
3/4 and 5/8 inch - per
month
$6.83
$7.27
$7.74
$8.24
$8.65
$9.08
3.65.150
1 inch -per month
$10.30
$10.97
$11.68
$12.44
$13.06
$13.71
3.65.150
Ordinance - Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 2
Version 09.01.23
Fee/Charge
Reference
2021
2022
2023
2024
2025
2026
Commercial - base
fees:
3/4 inch - per month
$28.97
$30.85
$32.86
$35.00
$36.75
$38.59
13.20.030
1 inch - per month
$42.37
$45.12
$48.05
$51.17
$53.73
$56.42
13.20.030
1- 1 /2 inch - per month
$81.60
$86.90
$92.55
$98.57
$103.50
$108.68
13.20.030
2inch -per month
$130.86
$139.37
$148.43
$158.08
$165.98
$174.28
13.20.030
3 inch - per month
$178.74
$190.36
$202.73
$215.91
$226.71
$238.05
13.20.030
4 inch - per month
$257.54
$274.28
$292.11
$311.10
$326.66
$342.99
13.20.030
6 inch - per month
$402.01
$428.14
$455.97
$485.61
$509.89
$535.38
13.20.030
8 inch - per month
$557.10
$593.31
$631.88
$672.95
$706.60
$741.93
13.20.030
Fee/Charge Reference
Outside City; effective 11 / 1 /02:
Consumption - per 100 cubic feet:
Residential/commercial
90% surcharge
13.20.090
Bulk - per 1,000 gallons
90% surcharge
13.20.090
Residential - single-family base fees:
3/4 and 5/8 inch - per month
90% surcharge
13.20.090
1 inch - per month
90% surcharge
13.20.090
Senior reduced/low income
90% surcharge
13.20.090
Commercial - base fees:
All sizes
90% surcharge
13.20.090
Fee/Charge
Reference
Fire hydrants:
Meter rental:
Refundable deposit Not to exceed 13.20.080
110% of Cost, as
determined by the
Director of Finance
Ordinance - Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 3
Version 09.01.23
Fee/Charge
Reference
2021
2022
2023
2024
2025
2026
Nonrefundable removal fee
$30.00
13.20.080
Monthly base rental fee
$62.00
Late payment and not returning meter
$50.00
after 48 hrs. (per day)
Hydrant rental — outside corporate
$20.00
13.20.070
limits, per year
Charges for water meters and services:
Meter and service costs equal to
13.45.010
average cost to City based on prior
year
Move meter for owner
Cost + 15%
13.30.060
Change meter size
Cost + 15%
13.30.050
Water system capital expansion/replacement charges
Inside City limits:
3/4-inch meter
$360.00
13.25.010
1-inch meter
$601.00
13.25.010
1-1/2-inch meter
$1,198
13.25.010
2-inch meter
$1,918
13.25.010
3-inch meter
$3,599
13.25.010
4-inch meter
$5,999
13.25.010
6-inch meter
$11,995
13.25.010
8-inch meter
$19,192
13.25.010
10-inch meter
$27,591
13.25.010
Outside City limits:
3/4 — 10-inch meter
90% surcharge
13.25.020
Front footage (per foot):
Ordinance —Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 4
Version 09.01.23
Fee/Charge
Reference
2021
2022
2023
2024
2025
2026
Residential:
In and out City limits $20.00 13.45.020
Commercial:
In and out City limits $25.00 13.45.020
Square Footage (per sq. ft.):
Residential:
In and out City limits $0.0388 13.45.020
Commercial:
In and out City limits $0.0426 13.45.020
Water rights acquisition fee —per acre $ 4 ,''�W 4 150.00 13.45.060(2)
foot 21.05.120(2)
Base water rights acquisition fee —per $G� 1 245.00 13.15.030(1)
residential unit � On$4,150.00
per acre foot x potable use factor .30)
Potable water irrigation fee (no
irrigation water available)
Equal to 50% of the 13.15.030(1)
area of the lot or
parcel to be served
expressed in acres
or portion of acres
x 3.5-acre feet of
water x
, 72 :0$4,150.00
(per acre foot)
Water rights transfer fee $1,000.00 13.15.030(5)
[Ord. 4561 § 1, 2021; Ord. 4406 § 2, 2018; Ord. 4252, 2015; Ord. 4160, 2014; Ord. 4139, 2014;
Ord. 3961, 2010; Ord. 3827, 2007; Ord. 3693 § 1, 2004; Ord. 3655, 2004; Ord. 3610, 2003; Ord.
3575, 2002; Ord. 3553, 2002; Ord. 3543, 2002; Code 1970 § 3.07.160.]
Ordinance — Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 5
Version 09.01.23
Section 2. That Section 13.15.030 entitled "Connection Outside City Limits — Water
Rights" of the Pasco Municipal Code shall be and hereby is amended and shall read as follows:
13.15.030 Connection Within or Outside City Limits — Water Rights
Any application for a new water service connection to serve real property located
outside the City limits of the City of Pasco, except for those properties for which water rights,
or payment in lieu of water rights, have been received by the City pursuant to PMC 13.45.060,
shall be conditioned upon the transfer to the City of water rights associated with the property; or,
if such water rights are not available or are inadequate to meet the water needs of the property to
be served, upon payment to the City of a water rights acquisition fee in lieu of transfer, determined
as follows:
(1) Amount of Water Rights or Payment in Lieu. The amount of transferred water rights or
the fee in lieu of transfer pursuant to this section and PMC 13.45.060 shall be sufficient to serve
the number of residential units supplied by the connection for in-house domestic water service and
irrigation water service sufficient to cover 50 percent of the lot or parcel of real property to be
served by the water connection.
If the property to be served by City water service had a certificate, permit, application, or
claim to a water right for withdrawal of ground or surface waters, or such other water rights as
may be appurtenant to such property, including well water rights, within ten years prior to
submittal to the City of a development proposal or application for City water services, and the
water rights are no longer available for transfer to the City, a 50% surcharge shall be added to the
water rights acquisition fee.
(a) Irrigation Water Service Available. If the property to be served by the City is located
within and served by the Franklin County Irrigation District, or other public or private irrigation
provider acceptable to the City for landscaping irrigation purposes, the property shall continue to
be served by the District or other irrigation provider and the applicant for water service shall only
be required to transfer three -tenths acre-foot of water rights per residential unit or its equivalent,
or provide a payment in lieu for said quantity as directed by subsection (3) of this section.
(b) Irrigation Water Service Unavailable. If the property to be served by the City is not
included within or served by the Franklin County Irrigation District or other public or private
irrigation water provider acceptable to the City for landscaping irrigation purposes, the applicant
for water service shall be required to transfer three -tenths acre-foot of water rights per residential
unit or its equivalent and in addition, three and one-half acre-feet per year per acre of irrigable land
or fraction thereof, or provide a payment in lieu for said quantity as provided in PMC 3.35.160.
The requirement relating to irrigable land cannot be waived on the basis that the current owner or
developer does not plan to irrigate said land.
Ordinance — Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 6
Version 09.01.23
Section 3. That Section 13.45.060 entitled "Assignment of water rights — Extension of
City water services beyond City limits" of the Pasco Municipal Code shall be and hereby is
amended and shall read as follows:
13.45.060 Assignment of water rights — Fttt-acien Provision of City water
services within and beyond City limit.
(1) As a condition for the extension of a City w atef main provision of City water
service within or beyond the City limits as a primary source of City water for
potable or irrigation uses within a residential subdivision or other development, any
property owner or developer of such property shall assign and transfer to the City
any certificate, permit, application, or claim to a water rights for the withdrawal
of ground or surface waters, or such other water rights as may be appurtenant to
such property, including exempt well water rights in the quantity and manner set
forth in PMC 13.15.030. This assignment and transfer shall not apply to individual
service wells as are exempt from certification under the laws of the State of
Washington, or properties which receive sufficient irrigation water services
provided under a perfected water right from a City -approved irrigation water
service provider.
(2) In the event there are no water rights represented either by perfected
application, certificate, permit, application, or right for withdrawal appurtenant to
the real property benefited in subsection (1) of this section, the property owner or
developer shall pay to the City, in lieu thereof, a water rights acquisition fee as
established in the City Fee Summary Ordinance, Chapter 3.35 PMC, r- upon
liou to the tifno Of -a a,,.l;..atie,, F i
as estab! shed
the >in its sole may require the wxner-s of the subjeet pr-ope#y4e
tfansfer- any amount of emeess water- rights to the City, and the Gity shall pay the
,
Inject -to the fight of administr-ative appeal asps—ov'-ic'led in nMG l Zn nZn [Ord.
4160, 2014; Ord, 3795, 2006; Ord. 3547 § 1, 2002; Code 1970 § 13.36.070.]
Section 3. Severability. If any section, subsection, sentence, clause, phrase or word
of this Ordinance should be held to the invalid or unconstitutional by a court of competent
jurisdiction, such invalidity or unconstitutionality thereof shall not affect the validity or
constitutionality of any other section, subsection, sentence, clause phrase or word of this
Ordinance.
Ordinance —Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 7
Version 09.01.23
Section 4. Corrections. Upon approval by the city attorney, the city clerk or the code
reviser are authorized to make necessary corrections to this Ordinance, including scrivener's errors
or clerical mistakes; reference to other local, state, or federal laws, rules, or regulations; or
numbering or referencing of ordinances or their sections and subsections.
Section 5. Effective Date. This Ordinance shall take full force and effect five (5) days
after approval, passage and publication as required by law.
PASSED by the City Council of the City of Pasco, Washington, on this 276' day of
November, 2023.
Blanche Barajas
Mayor
ATTEST:
APPROVED AS TO FORM:
Debra Barham, CM rr Fer aw, PLLC
City Clerk City meys
Published:-LLJ2 9 /-7 , n%
1Z/3/ZvZ3
Ordinance — Amending PMC 3.35.160, 13.45.060 & 13.50.030 - 8
Version 09.01.23