DEPARTMENT: Transportation & Capital Improvements (TCI)
DEPARTMENT HEAD: Mike Frisbie, P.E.
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT: Storm Water Utility Fee Update
SUMMARY:
Transportation and Capital Improvements (TCI) will provide an informational briefing on the revised Storm Water Utility Fee approved as part of the FY 2016 Budget. The briefing will include an overview of the program since the implementation of the revised fee in January 2016.
BACKGROUND INFORMATION:
The Storm Water Utility Fee was established by City Council in 1993 to fund various storm water management and operational services related to the Municipal Separate Storm Water Sewer System (MS4) Permit. The fee prior to FY 2016 was based on lot size and land use and was last increased in FY 2008. Through nearly a two year process and significant stakeholder outreach, the fee methodology was revised to be based on impervious cover which has a direct relationship to the amount of storm water runoff generated from a property.
The revised rate structure improves rate-payer equity, recovers the required funding to support the utility's cost of service, and promotes storm water best management practices. The effect of the revised rate structure on most residential properties was minimal. Approximately 72% of residential properties remained at or below their previous monthly fee. Non-residential properties experienced a more equitable rate treatment compared to the previous rate design. Approximately 27% of non-residential properties remained at or below their current monthly fee with the revised rate structure and 71% increased by less than $100 per month.
Throughout the development of the revised rate structure, three main concerns were raised during the stakeholder process:
A. High Monthly Fee/ Rate Cap Removal
The removal of the "rate caps" included in the previous rate structure would result in significantly increased monthly fees for...
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