Title
Approving an ordinance on second reading with the caption reading: AN ORDINANCE OF THE CITY OF PFLUGERVILLE, TEXAS, AMENDING RATES, CHARGES AND FEES FOR WATER, WASTEWATER AND SOLID WASTE UTILITY SERVICE; REPEALING ALL ORDINANCES TO THE EXTENT THEY ARE IN CONFLICT; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE.
Summary
The City Council discussed the results of the water/wastewater rate study done by NewGen Strategies and Solutions and the recommendations of staff at the July 25, 2017 City Council worksession. This ordinance includes the rates as presented at that time. Attached to the agenda item is the ordinance modifying the rates, the Capital Improvement Program (CIP) listing proposed utility projects for the fiscal years 2018-2022 along with the funding required, and the final documentation for the rate study provided by NewGen.
In 2014, the City engaged NewGen to review the City's water and wastewater rates. The rates recommended as a result of that study restructured the water rate tiers to encourage water conservation and employed a consistent fixed charge for wastewater customers regardless of water meter size. These rates were implemented by ordinance on September 23, 2014 and have generated expected revenues during that time. There have been no changes to the water or wastewater rates since that time.
The Finance department has analyzed the CIP to determine funding sources to complete the projects in the specified time frame. In addition to available fund balance and impact fees there is a need for bond funding for proposed wastewater CIP projects. Bonds were last issued to fund utility projects in 2015. The proposed wastewater rate increases will provide needed capacity for the bond funding.
NewGen has completed a cost of service and rate design study for the City. Shown below is the proposed change in an average monthly residential customer bill for the next three years. This average bill assumes 7,000 gallons of wate...
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