RESOLUTION 1085 (2000)

A RESOLUTION SETTING USER RATES FOR THE CITY OF ELGIN WATER SYSTEM

WHEREAS, Ordinance 5 series 1981 requires water rates to be set by resolution, and;

NOW THEREFORE BE IT RESOLVED, that the water user rates, per the requirements of
Ordinance 5-1981 for the year 2000/2001 (beginning on Aug. 1,2000) shall be determined as
follows.

     The budgeted requirements of the Water Fund are as listed in Table I.  The total amount
required for the year is $184,900.  The amount of resources available to the Sewer Fund, except
user fees, is $31,400.  The necessary user fees are $153,500.  The system has 725 active accounts,
with 812 adjusted units.



 TABLE I - RESOURCE REQUIREMENTS

 EXPENDITURE ITEMS - 		Total Required		  %	Amnt from user fees
1) ADMINISTRATION & BILLING	 16,500			 11.23	   14,013
2) FACILITY INSURANCE		  5,100			  2.76	    4,085
3) REPLACEMENT RESERVE		 32,900			 17.79	   26,329
4) OPER, MATRL & LABOR 		 96,000			 51.92	   76,842
5) CAPTL IMPRV			 10,900			  5.90	    8,732
6) DEBT SERVICE			 23,500			 12.71	   18,811
               TOTALS ---	184,900			102.31	  148,812

 RESOURCES  OTHER THAN USER FEES	 31,400
 ESTIMATED OVERAGE FEES			  5,500
 BASIC USER FEES REQUIRED		148,000

TABLE II - CHARGES

CATEGORY		MNTHLY RQMNT  	# OF UNITS     MONTHLY RATE PER ACCOUNT
			 1,508		725 ACCOUNTS	2.08 PER UNIT
		  	10,893		812 ADJ UNITS  13.42

  The user rates are calculated as follows:    
       Per Account;   Administration, billing and insurance, [Items 1 & 2 from Table I].
       Per Unit;      Operating, capital and debt expenses, [Items 3, 4, 5 & 6 of Table I].
  
  Basic rate (1 account w/ 1 unit) is $15.50/month for 2,000 cu.ft.
  * The "overage" shall be calculated at .30 cents per hundred cu.ft. for usage over
    the first 2,000 up to 7,000 cu.ft. and .20 cents per hundred cu.ft. for usage over
    7,000 cu.ft./month.
  
 SPECIAL RATES:
       a)   Senior citizens, 65 and older, with a total income of less than $8,000.00 per
            year for a single person, or less than $10,000.00 per year for two or more
            persons, shall qualify for a reduced rate of $5.00 per month for minimum
            water usage of up to 2,000 cu.ft. per month.
  
       b)   City employees, city councilors, firemen,  EMTs and police reserves shall
            receive (basic) water usage free of charge for up to 2,000 cu.ft per month.
  
       c)   All accounts located outside the Elgin City limits shall be charged for
            minimum usage at a rate of 2 times the above rates, i.e. $31.00/month for up
            to 2,000 cu.ft.
  
       d)   Charges for special services shall be as follows:
            1) Boise Cascade Mill, utility water used from unmetered fire-line,
                 $100.00 per month; to be deposited in Water Reserve Fund.
            2) Fee for posting final disconnect notice, "door-knocker", $10.00.
  
  BE IT FURTHER RESOLVED, that the City Council finds this rate increase necessary to
  offset the anticipated increased cost of debt service to be incurred for new construction, 
  contractual obligations to insure capacity to meet operation and debt costs, and the
  necessity of maintaining adequate resources to accumulate funds against system
  depreciation.
  
  BE IT FINALLY RESOLVED, that the City Council finds these fees and charges to be
  those necessary to operate the water system and are not "taxes" subject to limitation by the
  Constitution of the State of Oregon.
  
  PASSED AND ADOPTED this 11th day of July 2000
  With      Ayes,      Nays,      Abstentions,      Absent.
  
  Signed;                                      Attest;
  Berta Churchill, Mayor                       Joe Garlitz, Recorder