HomeMy WebLinkAboutOrd 238-2005 Revising Water and Sewer Rates.pdfORDINANCE NO. 238-2005
AN ORDINANCE BY THE CITY OF ANNA, TEXAS, REVISING AND
ESTABLISHING WATER AND SEWER SERVICE RATES, SETTING
THE EFFECTIVE DATE OF THE NEW RATES; ESTABLISHING A
REPEAL CLAUSE; ESTABLISHING A SAVINGS CLAUSE; AND
ESTABLISHING AN EFFECTIVE DATE
WHEREAS, the City of Anna, Texas (the "City') operates a water production, storage,
and distribution system and a sanitary sewedwastewater collection and treatment system (the
"System'l as a service to residents, property owners, and other users of the System; and
WHEREAS, certain regulations governing the use of the System are necessary to insure
orderly and efficient operations and to protect the health and welfare of the users of the System;
WHEREAS, the City Council of the City has carefully evaluated the financial status of the
System and has concluded that revisions of the water and sewer service rate structure are
necessary to maintain the financial integrity of the System; and
WHEREAS, sufficient rates and charges for System services must be assessed upon all
customers of the System to provide adequate System revenues to pay the Fixed Charge
Component, the Variable Rate Other Component, and the Variable Interest Rate Component,
as described herein;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
ANNA,TEXAS,THAT:
The water and sewer service rates of the City, previously made effective December 14,
2004, are hereby amended to read as follows:
SECTION 1. Definitions.
(a) "Authority" means the Greater Texoma Utility Authority.
(b) "Applicable Customer Usage Percentage" means an individual customer's
proportionate share of the Monthly System Fixed Charge Component, calculated
by dividing the Customer Monthly Fixed Charge by the Monthly System Fixed
Charge Component.
(c) "Contract" means the Amended and Restated Contract for Water Supply and
Sewer Service between the City and the Authority, dated as of November 23,
2004, as supplemented and amended from time to time.
(d) "Contract Revenue Bonds" means all bonds of the Authority issued on behalf of
the City, and pursuant to the Contract, to finance improvements and extensions
to the System. Contract Revenue Bonds are payable solely from payments to be
made, under the Contract, by the City from System revenues, as set forth in the
Contract and in the documents authoring the issuance of each series of
Contract Revenue Bonds.
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(e) "Customer Monthly Fixed Charge" is the total of a customers charges for System
services, based upon Monthly System Fixed Charge Component Rates (stated in
Section 2(a) hereof).
(f) "Customer Monthly Variable Rate Component Charge" equals the Applicable
Customer Usage Percentage multiplied by the Monthly System Variable Rate
Component.
(g) "Monthly System Fixed Charge Component" is one twelfth (1/12) of the System
Fixed Charge Component.
(h) "Monthly System Fixed Charge Component Rates" are those rates for System
services set forth in Section 2(a) hereof.
(i) "Monthly System Variable Rate Component" means
(i) one twelfth (1112) of the Variable Rate Interest Component; and
(ii) the Variable Rate Other Component
Q) "Pipeline Bonds" means those Contract Revenue Bonds, issued form time to
time and in one or more series, the proceeds of which are specifically used to
finance the construction, acquisition, and improvement of the "Collin/Grayson
Water Transmission Project," which includes all necessary appurtenances
thereto and engineering and other costs incurred in connection therewith, as
described and defined in the resolutions of the Authority that authorize the
issuance of Pipeline Bonds and the ordinances of the City which shall approve
such issuance(s) pursuant to the Contract; the debt service upon which Pipeline
Bonds is to be paid in part or in whole from payments to be made udder the
Contract. The portion of the Collin/Grayson Water Transmission Project that
corresponds to the aggregate debt service on Pipeline Bonds that has been paid
from Contract payments made by the City (which is a percentage of the total
amount of debt service paid on Pipeline Bonds) shall become a component part
of the System.
(k) "System Fixed Charge Component" means the total of all expenses and charges
assessed based upon the Monthly System Fixed Charge Component Rates.
(1) 'Total Monthly Usage Charge" means, for any customer of the System, the sum
of the Customer Monthly Fixed Charge and the Customer Monthly Variable Rate
Component Charge.
(m) "Variable Rate Bonds" means all Contract Revenue Bonds that accrue interest at
(a) variable rate(s).
(n) "Variable Rate Interest Component" means the total amount of interest due in a
given year on outstanding Variable Rate Bonds, calculated at the actual rate(s) of
interest on such outstanding Variable Rate Bonds, as such rate(s) has/have gone
into effect on the Variable Rate Interest Component Determination Date.
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(o) "Variable Rate Other Component" means the total amount of the monthly
Contract payment to be made in respect of the amount of debt service and other
charges due pertaining to Pipeline Bonds and the Collin/Grayson Water
Transmission Project and allocable to the City.
(p) "Variable Rate Interest Component Determination Date" means May 1 of each
year.
SECTION 2. Water and Sanitary Sewer Service Rates.
(a) Customer Monthly Fixed Charge Component — Monthly System Fixed Chame
Component Rates
(i) Inside City Water Rates — All customers
Each customer shall pay a minimum charge of $24.50 for the first 2,000
gallons of water usage plus a usage charge of $4.00 for each additional
1,000 gallons of water used between 2,000 and 10,000 gallons and $4.50
for each additional 1,000 gallons in excess of 10,000 gallons.
(ii) Inside City Sanitary Sewer Rates — Residential customers
Each customer shall pay a minimum charge of $20.00 for the first 2,000
gallons of water usage plus a usage charge of $2.50 for each additional
1,000 gallons of water used, except that the maximum monthly charge
shall not exceed $50.00 for sanitary sewer service charges.
(iii) Outside City Water and Sanitary Sewer Rates — Residential customers
Each customer shall pay one and one-half (1.5) times the rate charged to
customers inside the city limits, except that the maximum monthly charge
shall not exceed $50.00 for sanitary sewer service charges.
(iv) Sanitary Sewer Rates — Commercial and industrial customers
Each customer shall pay a minimum charge of $20.00 for the first 2,000
gallons of water usage plus a usage charge of $2.50 for each additional
1,000 gallons of water used.
(b) Customer Monthly Variable Rate Component Charge
In addition to the Customer Monthly Fixed Charge, each customer shall pay a
Customer Monthly Variable Rate Component Charge, calculated as described in
Section 1, above.
(c) Total Monthly Usage Charge
The Total Monthly Usage Charge stated on the customer's bill for System
services shall be paid by the customer in accordance with the terms stated in
such bill.
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SECTION 3. Repeal Clause.
All parts of any ordinance in conflict with the provisions of this Resolution are to the
extent of such conflict hereby repealed.
SECTION 4. Savings Clause.
If any provision of this Ordinance shall be held to be invalid or unconstitutional, the
remainder of such Ordinance shall continue in full force and effect the same as 6 such invalid or
unconstitutional provision had never been a part hereof.
SECTION 5. Effective Date.
This Ordinance shall be effective on the first billing cycle of January, 2007, after passage
and adoption of this Ordinance and upon the posting and/or publication of its caption as
required by law, and the Secretary is hereby directed to implement such posting and/or
publication.
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PASSED AND ADOPTED by the City Council of the City of Anna, Texas, on this the 22"
day of November, 2005.
APPROVED:
,may
a r�
/City of Anna, Texas
ATTEST:
Ciy Secretary
City of Anna, Texas
(City Seal)
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