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18171• ORDINANCE NO. 18,171 81,15 AN ORDINANCE ESTABLISHING A SCHEDULE OF 0 RATES FOR LITTLE ROCK MUNICIPAL WATER WORKS, N FIXING THE EFFECTIVE DATES THEREOF, AND DECLARING AN EMERGENCY Preamble ti M The authority to operate and maintain Little Rock Municipal: 4 Water Works is vested in the Board of Water Works Commissioners, but the authority to establish water rates is vested in the C Board of Directors of the City. The Board of Directors finds 1 � that the rates established herein are adequate to provide an n '+ adequate depreciation fund and to provide the Water Works c Commission's estimated cost of operating and maintaining the V-4 system, including the cost of capital improvements. °z As a result of a comprehensive rate study performed in U 1999, the need for a significant increase was indicated. After a careful study, the Board of Water Works Commissioners has requested the adoption of the rates reflected herein and has stated that the increases are necessary to cover the cost of the o foregoing items. 7+ NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS: a Section 1. The following schedule of rates is hereby a4 established for the Little Rock Municipal Water Works: v RATE SCHEDULE NO. 10 of LITTLE ROCK MUNICIPAL WATER WORKS Effective Dates This schedule shall become effective for water billed on or after January 1, 2000, and January 1, 2001, as hereinafter set forth. (Comaed 12- 23 -99.) Meter Measurement 8 5U - Except for public and private fire services, all water used shall be measured through meters. The size of each meter shall be determined by the Water Works commensurate with its estimate of the amount of water to be used for the premises. One cubic foot of water is equal to 7.48 gallons weighing 62.5 pounds avoirdupols. Minimum Monthly Charge The minimum monthly charge includes payment for the first 200 cubic feet of water used. Additional Monthly Charge In addition to the minimum monthly charge, the following rates shall apply to the amount of water used in excess of 200 cubic feet (C.F.) per month: Rates Rates Effective January 1, 2000 Effective January 1, 2001 Meter Size Inside City Outside City Inside City Outside City 5/8" $ 3.60 $ 5.40 $ 3.60 $ 5.40 3/4" $ 4.65 $ 7.00 $ 4.65 $ 7.00 111 $ 6.60 $ 9.90 $ 6.60 $ 9.90 1 1/2" $ 11.20 $ 16.80 $ 11.20 $ 16.80 2" $ 18.10 $ 27.20 $ 18.10 $ 27.20 3" $ 33.50 $ 50.50 $ 33.50 $ 50.50 4" $ 54.50 $ 82.00 $ 54.50 $ 82.00 6" $107.50 $161.50 $107.50 $161.50 8" $171.00 $257.00 $171.00 $257.00 10" $245.00 $368.00 $245.00 $368.00 12" $447.00 $671.00 $447.00 $671.00 Additional Monthly Charge In addition to the minimum monthly charge, the following rates shall apply to the amount of water used in excess of 200 cubic feet (C.F.) per month: 2 Rates Rates Effective January 1, 2000 Effective January 1, 2001 Inside City Outside City Inside City Outside City Charges Charges Charges Charges $ Per 100 $ Per 100 $ Per 100 $ Per 100 C.F. C.F. C.F. C.F. The next $ 0.780 $ 1.270 $ 0.860 $ 1.350 1,800 C. F. or less 2 • 0 $Jl The next $ 0.440 $ 0.730 $ 0.490 $ 0.770 98,000 C. 2000 2001 $ Per 100 C.F. F. or any North Little Rock $ 0.590 $ 0.637 part $ 0.806 $ 0.874 metered customers thereof including City of Bryant and City All over $ 0.400 $ 0.650 $ 0.430 $ 0.670 100,000 C. F. or any part thereof Master Metered Customers All outside city customers purchasing water through a master meter shall pay the above Minimum Monthly Charge for the first 200 cubic feet of water used, and an additional amount determined by the following rates for all water used in excess of 200 cubic feet per month effective the dates stated: Nonresident Consumers The term "outside city" used in the foregoing rates refers to any consumer except the City of Little Rock receiving service outside the municipal boundaries and to nonresident consumers who purchase water within the municipal boundaries, which water is then transported to a point outside the municipal boundaries for use or resale. 3 Rates Rates Effective January 1, Effective January 1, 2000 2001 $ Per 100 C.F. $ Per 100 C.F. North Little Rock $ 0.590 $ 0.637 Other master $ 0.806 $ 0.874 metered customers including City of Bryant and City of Shannon Hills Nonresident Consumers The term "outside city" used in the foregoing rates refers to any consumer except the City of Little Rock receiving service outside the municipal boundaries and to nonresident consumers who purchase water within the municipal boundaries, which water is then transported to a point outside the municipal boundaries for use or resale. 3 0 • Private Fire Service Private fire service connections for private pay the following annual fire service charges: 852 premises shall 4 Rates Rates Effective January 1, 2000 Effective January 1, 2001 Inside Outside Inside Outside city City City City Fire $ 59.50 $ 89.25 $ 59.50 $ 89.25 Hydrants Fire $ 69.00 $ 103.50 $ 69.00 $ 103.50 Connection Min. Charge Automatic Sprinkler System Min. Charge $ 69.00 $ 103.50 $ 69.00 $ 103.50 (1,000 heads) Additional $ 0.07 $ 0.11 $ 0.07 $ 0.11 heads, each at Standpipe 1 1/4" (or $ 13.50 $ 20.25 $ 13.50 $ 20.25 smaller) diameter, each 1 1/2" $ 21.00 $ 31.50 $ 21.00 $ 31.50 diameter, each 2" $ 34.50 $ 51.75 $ 34.50 $ 51.75 diameter, each 2 1/2" $ 69.00 $ 103.50 $ 69.00 $ 103.50 diameter, each 4 Billing and Payment 850 Bills for service shall be rendered and paid monthly except as follows: a. Payments for private fire service shall be due in semi- annual installments in advance on the 1st day of January and July of each year. Penalty and Discontinuance of Service A penalty of 10% shall be added to any bill not paid before the 20th day following the billing date. If a bill is not paid within 30 days after the billing date, service for the affected premise may be discontinued; in such event, the Water Works may levy a reconnection charge. Unaffected Services This schedule does not apply to raw water sales or to other special contracts that are deemed to be contracts for the sale of surplus water, terminable at will, at prices to be fixed by the Water Works Commission. Section 2. The Board of Directors finds that the foregoing schedule of rates is required to provide the funds necessary to provide an adequate depreciation fund and to provide the Water Works Commission's estimate of the cost of properly operating and maintaining the municipal water works system. Section 3. All ordinances and parts of ordinances establishing rate schedules for water or water services supplied or to be supplied by the City of Little Rock through its municipal water works system are repealed, as of the effective date of the schedule herein established. Section 4. The provisions of this ordinance are separable, and if any portion, section, provision, or phrase of this Ordinance shall be declared invalid or unconstitutional, such action shall not affect the validity of the remainder of this Ordinance. Section 5. That it is hereby ascertained and declared that inadequate rates for water will endanger the proper operation, maintenance, and continued improvement of the water treatment 5 and distribution facilities of the City and adequataJ tes are immediately necessary to prevent a hazard to the public health, safety, and welfare of the inhabitants of the City; therefore, an emergency is declared and this Ordinance shall take effect from and after its passage and approval in accordance with the provisions contained herein and the effective dates specified. PASSED: December 20 , 1999. ATTEST: Robbie Hancock, City Clerk APPROVED: 5�4i 40-aak-tl Jim Mayor 9 I 2 i ORDINANCE NO. 18,171 -A 3 AN ORDINANCE TO REPEAL LITTLE ROCK, ARK., 4 ORDINANCE NO. 18,171 (DECEMBER 20,1999); TO s ESTABLISH A SCHEDULE OF RATES FOR THE 6 LITTLE ROCK MUNICIPAL WATER WORKS; TO 7 FLY THE EFFECTIVE DATES FOR THESE RATES; TO 8 DECLARE AN EMERGENCY; AND FOR OTHER 9 PURPOSES. 10 11 WHEREAS, the authority to operate and maintain the Little Rock Municipal 12 Water Works is vested in the Board of Water Works Commissioners, but the authority 13 to establish water rates is vested in the Board of Directors of the City, and 14 WHEREAS, the Board of Directors initially passed this Little Rock, Ark., 15 Ordinance No. 18,171 on December 20, 1999, but after that date concluded that further 16 discussions on certain issues were in order, but that a different rate structure for the year 17 2000 was appropriate, and, therefore, offered this amendment, and 18 WHEREAS, the Board of Directors finds that the rates established herein are 19 adequate to provide an adequate depreciation fund and to provide the Water Works 20 Commission's estimated cost of operating and maintaining the system, including the 21 cost of capital improvements, and 22 WHEREAS, neither the Board of Water Works Commissioners, nor the Board 23 of Directors, intends to authorize the issuance of any bonded indebtedness during 24 calendar year 2000 to provide revenues for the cost of various capital improvements to 25 the system, and 26 WHEREAS, the Board of Water Works Commissioners and the Board of 27 Directors agree that the payment of these costs and capital improvements should not 28 require any additional use of the reserve fund created to help secure an additional water 29 source, as set forth in Little Rock, Ark., Resolution No. 7050, (Sept ember 6, 1983), and (Rec. 1 -13- 2000.) 0 0 1 WHEREAS, as a result of a comprehensive rate study performed in 1999 by the 2 consulting group of Black & Veach, the need for an adjustment in water rates was s indicated, and 4 WHEREAS, the Board of Water Works Commissioners adopts the reasoning of 5 the Black & Veach study, and the Board of Directors also adopts the reasoning of this 6 study, and accepts the goal to move toward full implementation of the cost of service 7 recommendations and methodology, and s WHEREAS, after a careful study, the Board of Water Works Commissioners has 9 requested the adoption of the rates reflected herein and has stated that the increases are 10 necessary to cover the cost of the foregoing items, and 11 WHEREAS, the Board has concluded that for calendar year 2000 the rates set 12 forth below will provide the Little Rock Water Works with sufficient income to ME its 13 capital requirements in 2000, and will also provide the cities of Little Rock and North 14 Little Rock, and Pulaski County, and others, the opportunity to discuss key water policy 15 issues of vital importance to the Little Rock metropolitan area, and 16 WHEREAS, the Board of Directors identifies these issues as including, but not 17 being limited to, a long -term contract with the City of North Little Rock, a possible 18 merger of the Little Rock and North Little Rock water systems, various questions that 19 relate to the Black & Veach cost of service analysis, and the identification of a future 20 water supply source to serve the Little Rock metropolitan area, and 21 WHEREAS, the Board of Directors, at this time, accepts the recommendation 22 of the Water Works Commission that the study of Black & Veach, which is based upon 23 a cost of service methodology for water rates, is appropriate unless modified as a result 24 of the policy discussions mentioned above, and declares that if appropriate this 25 methodology shall be reexamined no later than the second Board of Directors meeting 26 in December, 2000, but in the meantime believes that the rates implemented herein are 27 fair and reasonable for the various classes of customers defined, [ Page 2of91 I Page 3 of 91 • r 1 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF 2 DIRECTORS OF THE CITY OF LITTLE ROCK, ARKANSAS: 3 Section 1. Little Rock, Ark., Ordinance No. 18,171 (December 20, 1999), is 4 hereby repealed. 5 Section 2. The following schedule of rates is hereby established for the Little 6 Rock Municipal Water Works: 7 RATE SCHEDULE NO. 10 8 of 9 LITTLE ROCK MUNICIPAL WATER WORKS 10 Effective Dates 11 This schedule shall become effective for water billed on or after 12 January 1, 2000, and January 1, 2001, as hereinafter set forth. 13 Meter Measurement 14 Except for public and private fire services, all water used shall be 15 measured through meters. The size of each meter shall be determined by 16 the Water Works commensurate with its estimate of the amount of water 17 to be used for the premises. One cubic foot of water is equal to 7.48 18 gallons weighing 62.5 pounds avoirdupols. 19 20 21 22 23 24 25 26 27 28 I Page 3 of 91 0 • 1 Minimum Monthly Charge 4` 2 The minimum monthly charge includes payment for the first 200 3 cubic feet of water used. 4 The minimum monthly charge includes payment for the first 200 cubic feet of water 5 used. 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 I Page 4of91 Rates Rates Effective January 1, 2000 Effective January 1, 2001 Meter Size Inside City Outside City Inside City Outside City 5/8" $ 3.60 $ 5.40 $ 3.60 $ 5.40 3/4" $ 4.65 $ 7.00 $ 4.65 $ 7.00 1" $ 6.60 $ 9.90 $ 6.60 $ 9.90 1 1/2" $ 11.20 $ 16.80 $ 11.20 $ 16.80 2" $ 18.10 $ 27.20 $ 18.10 $ 27.20 3" $ 33.50 $ 50.50 $ 33.50 $ 50.50 4" $ 54.50 $ 82.00 $ 54.50 $ 82.00 6" $ 107.50 $ 161.50 $ 107.50 $ 161.50 8" $ 171.00 $ 257.00 $ 171.00 $ 257.00 10" $ 245.00 $ 368.00 $ 245.00 $ 368.00 12" $ 447.00 $ 671.00 $ 447.00 $ 671.00 I Page 4of91 1 2 3 4 5 6 rA 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 i a Additional Monthly Charge In addition to the minimum monthly charge, the following rates shall apply to the amount of water used in excess of 200 cubic feet (C.F.) per month: I Page 5 of 9 1 J Rates Rates Effective January 1, 2000 Effective January 1, 2001 Inside City Outside City Inside City Inside City Charges Charges Charges Charges $ Per 100 $ Per 100 $ Per 100 $ Per 100 C.F. C.F. C.F. C.F. The next $ 0.780 $ 1.270 $ 0.860 $ 1.350 1,800 C.F. or less The next $ 0.580 $ 0.840 $ 0.490 $ 0.770 98,000 C.F. or any part thereof All over $ 0.400 $ 0.650 $ 0.430 $ 0.670 100,000 C.F. or any part thereof I Page 5 of 9 1 J 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 • 0 Mastered Metered Customers All outside city customers purchasing water through a master meter shall pay the above Minimum Monthly Charge for the first 200 cubic feet of water used, and an additional amount determined by the following rates for all water used in excess of 200 cubic feet per month effective the dates stated: Nonresident Consumer The term "outside city" used in the foregoing rates refers to any consumer except the City of Little Rock receiving service outside the municipal boundaries and to nonresident consumers who purchase water within the municipal boundaries, which water is then transported to a point outside the municipal boundaries for use or resale. [ Page 6 of 91 Pi Rates Rates Effective January 1, 2000 January 1, 2001 $ Per 100 C.F. $ Per 100 C.F. North Little Rock $ 0.515 $ 0.637 Other master metered customers including City of Bryant and City of Shannon Hills $ 0.704 $ 0.874 Nonresident Consumer The term "outside city" used in the foregoing rates refers to any consumer except the City of Little Rock receiving service outside the municipal boundaries and to nonresident consumers who purchase water within the municipal boundaries, which water is then transported to a point outside the municipal boundaries for use or resale. [ Page 6 of 91 Pi 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 0 41 Private Fire Service Private fire service connections for private premises shall pay the following annual fire service charges: I Page 7 of 91 Rates Rates Effective January 1, 2000 Effective January 1, 2001 Inside Outside Inside Outside City City City City Fire $ 59.50 $ 89.25 $ 59.50 $ 89.25 Hydrants Fire Connection $ 69.00 $ 103.50 $ 69.00 $ 103.50 Min. Charge Automatic Sprinkler System Min. Charge $ 69.00 $ 103.50 $ 69.00 $ 103.50 (1,000 heads) Additional $ 0.07 $ 0.11 $ 0.07 $ 0.11 heads, each at Standpipe 1 1/4" (or $ 13.50 $ 20.25 $ 13.50 $ 20.25 smaller diameter, each 1 1/2" diameter, $ 21.00 $ 31.50 $ 21.00 $ 31.50 each 2" diameter, $ 34.50 $ 51.75 $ 34.50 $ 51.75 each 2 1/2" diameter, $ 69.00 $ 103.50 $ 69.00 $ 103.50 each I Page 7 of 91 i • 1 Billing and Payment 2 Bills for service shall be rendered and paid monthly except as 3 follows: 4 a. Payment for private fire service shall be due in semi- s annual installments in advance on the first day of 6 January and July of each year. 7 Penalty and Discontinuance of Service 8 A penalty of ten percent (10 %) shall be added to any bill not paid 9 before the 20th day following the billing date. If a bill is not paid within 10 thirty (30) days after the billing date, service for the affected premise, or 11 customer, may be discontinued; in such event, the Water Works may levy 12 a reconnection charge. 13 Unaffected Services 14 This schedule does not apply to raw water sales or to other special 15 contracts that are deemed to be contracts for the sale of surplus water, 16 terminable at will, at prices to be fixed by the Water Works Commission. 17 Section 3. The Board of Directors fords that the foregoing schedule of rates is 18 required to provide the funds necessary to provide an adequate depreciation fund and 19 to provide the Water Works Commission's estimate of the cost of properly operating 20 and maintaining the municipal water works system. 21 Section 4. Repealer. All ordinances and parts of ordinances establishing rate 6 22 schedules for water or water services supplied or to be supplied by the City of Little 23 Rock through its municipal water works system are repealed, specifically including but 24 not limited to Little Rock, Ark. Ordinance No. 18,171 (December 20, 1999), as of the 25 effective date of the schedule herein established. 26 Section 5. Severability. The provisions of this Ordinance are separable, and if 27 any portion, section, provision, or phrase of this Ordinance shall be declared invalid and I Page 8of91 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 0 0 unconstitutional, such action shall not affect the validity of the remainder of this Ordinance. Section 6. Emergency Clause. It is hereby ascertained and declared that inadequate rates for water will endanger the proper operation, maintenance, and continued improvement of the water treatment and distribution facilities of the City and adequate rates are immediately necessary to prevent a hazard to the public health, safety and welfare of the inhabitants of the City and the customers of the Little Rock Municipal Water Works; it is further ascertained that the cost of service recommendation made by the consulting firm of Black & Veach is an appropriate rate methodology to be implemented and used with the graduated implementation schedule for calendar year 2000, and thereafter, as contained in this Ordinance; therefore, an emergency is declared to exist and this Ordinance shall take effect from and after its passage and approval in accordance with the provisions contained herein and the effective dates specified. PASSED: January 4, 2000 ATTEST: APPROVED: 17 18 lnlinAe,jn LILb��ji 19 Robbie Hancock, City Clerk 20 APPROVED AS TO LEGAL FORM: 21 22�.oy 23 Thomas M. Carpenter, CiO Attorney 24 25 26 27 28 [ Page 9 of 91 Ji ailey, Mayor 5