RESOLUTION 1086 (2000)

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

WHEREAS, Ordinance 3 series 1981 and Ordinance 2 series 1992 require sewer rates to be set
by resolution, and;

WHEREAS, The rates must be set each year;

NOW THEREFORE BE IT RESOLVED, that the sewer user rates, per the requirements of
Ordinance 3-1981 and Ordinance 2-1992, for the year 2000/2001 (beginning on Aug. 1,2000)
shall be determined as follows.

     The budgeted requirements of the Sewer Fund are as listed in Table I.  The total amount
required for the year is $154,400.  The amount of resources available to the Sewer Fund, except
user fees, is $16,400.  The necessary user fees are $138,000.  The system has 681 active accounts,
with 771 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		  3.30		  4,554
   3) REPLACEMENT RESERVE		 30,800		 19.95		 27,531
   4) OPER, MATRL & LABOR 	 	 77,400		 50.13		 69,179
   5) CAPTL IMPRV			  4,900		  3.17		  4,375
   6) DEBT SERVICE			 19,700		 12.76		 17,609
               TOTALS --		154,400		100.54		137,261

 RESOURCES  OTHER THAN USER FEES 	 16,400
            USER FEES REQUIRED		138,000


TABLE II - CHARGES

CATEGORY	MNTHLY RQMNT	# OF UNITS	MONTHLY RATE
  PER ACCOUNT	 1,547		681 ACCOUNTS	2.27
  PER UNIT	 9,891		771 ADJ UNITS  12.83

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].

* The commercial "overage" shall be calculated at $.75/500 Cuft for water use over
       2,000     Cuft/month.
* Firemen, City Councilors, and qualifying senior citizens shall have their basic
       charge reduced by ($34,000/ 12mo/ 680 accounts) $4.17/mo, ie. the proportionate
       cost of the Debt Service for one account.
* Accounts which become delinquent are to be charged a re-billing fee of $2.00 in
       addition to interest at a rate of 1.5% per month on the delinquent amount.
  
The sewer usage of the schools and Boise Cascade Complex shall be calculated
based on the number of persons occupying these facilities, ie:
   * 3.3 CuFt per person per day for Stella-Mayfield and Elgin High School;
     each school shall be counted as 2 units.
   * 2.0 CuFt per person per shift for BCC Stud mill plywood mill complex; the
     mill is to be counted as 4 units.
  
  BE IT FURTHER RESOLVED, that the City Council finds this rate increase necessary due
  to increased cost of supplies, materials and services purchased by the City, the need to
  maintain a reserve fund adequate to offset system depreciation, and the necessity of
  maintaining adequate resources to pay debt and debt service fees.
  
  BE IT FINALLY RESOLVED, that the City Council finds these fees and charges to be
  those necessary to operate the sewer 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