RESOLUTION No. 2017 – 17

A RESOLUTION OF THE CITY OF MOLALLA, OREGON ESTABLISHING SANITARY SEWER RATES AND ANNUAL INFLATION ADJUSTMENTS THEREAFTER AS PROVIDED BY MOLALLA MUNICIPAL CODE CHAPTER 13.08

WHEREAS, The Molalla Municipal Code Section 13.08.370 provides that fees for sanitary sewer service be established by resolution of the City Council; and

WHEREAS, the City desires to regularly review the costs of operating, maintaining and improving the sanitary system; and

WHEREAS, the City has previously established via Resolution No. 2017-09, a schedule of future sanitary sewer rate increases that began on July 01, 2017; and

WHEREAS, the City has prepared a fee rate study which has identified sanitary sewer system costs, rate structure alternatives and equitable cost recovery methods; and

WHEREAS, the City completed a 5-year sanitary sewer capital improvement plan and rate study to revise the fees based on the updated plan; and

WHEREAS, the City Council desires to implement the average annual rate increase of 6.09% for the first year as identified in the July 2017 Utilities Rate Study.

WHEREAS, the City desires to establish within its sanitary sewer rate structure an annual increase to address inflation based on the Bureau of Labor Statistics Portland-Salem for All Urban Consumers (CPI-U), service provision and maintenance.

NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Molalla as follows:

Section 1.  Resolution No. 2017-09 is repealed upon the effective date of this Resolution.

Section 2.  The fixed fee shall be based on a rate per equivalent dwelling unit (EDU) per month. The variable fee shall be based on the per hundred cubic feet (Ccf) of winter average water consumption for residential properties. The variable fee shall be based on the per hundred cubic feet (Ccf) of actual use for commercial and industrial properties. Sanitary Sewer Rates and Fees are established:

Rate Schedule thru June 30, 2018 – Sanitary Sewer

(All Residential, Commercial, and Industrial inside the City)

Rate Schedule Effective July 01, 2018 – Sanitary Sewer

(All Residential, Commercial, and Industrial inside the City)

Section 3.  Rates for all services outside of the City limits shall be 150% of the rate schedule shown above.

Section 4.  Annual inflationary adjustments for all sanitary sewer users shall be effective automatically each year on July 1 based on the published values by the Bureau of Labor Statistics Portland-Salem for All Urban Consumers (CPI-U).

Section 5.  This Resolution shall be effective upon adoption and all rates and charges established herein for sanitary sewer customers shall go into effect as of dates provided in rate schedule.

Duly adopted by Molalla City Council the 8^th day of November, 2017.

           _____________________________________

           Mayor, Jimmy Thompson

ATTEST the 8^th day of November, 2017

_____________________________

City Recorder