Title
2017 Utility Rate and General Facility Charges (GFC) Recommendations
Recommended Action/UAC Deliverable:
Review 2017 utility rates, including LOTT, and GFC proposals. Forward recommendations to Olympia Planning Commission, Council's Finance Committee and the City Council for review during budget deliberations this fall.
Issue:
Review 2017 rates, specifically the Wastewater and Storm and Surface Water Utilities (note: Drinking Water and Waste ReSources Utilities were reviewed during the August 18th UAC meeting).
Staff Contact:
Dan Daniels, Public Works Waste ReSources Director, 360.753.8780
Andy Haub, Public Works Water Resources Director, 360.753.8475
Presenter(s):
Same as above
Previous Utility Rate Work Items Before the UAC:
The Utility Advisory Committee reviews City Utility finances, capital investments, and rates annually. The evaluation begins with review of the Capital Facility Plan (CFP) in June and concludes with Utility rate and GFC recommendations in September or October. UAC recommendations are important to subsequent City Council decision-making.
The 2017-2022 CFP was shared with the UAC on June 2. The UAC decided to continue the discussion in the context of overall utility finances and rates. A recommendation on the CFP is needed for the Olympia Planning Commission in September.
Background and Analysis:
The City Utilities provide vital public health services for our community - safe drinking water, sanitary sewers, waste reduction and disposal, flood management, and environmental protection. Utility staff emphasizes effectiveness and efficiency in the delivery of these services.
The City Utilities are municipal enterprise funds. They are financially self-supporting without the input of general tax funds. Conversely, Utility revenue does not support tax-based City programs. However, the Utilities pay a fair share of various City overhead costs (e.g., building mortgage, legal and executive services). Annual savings stay in the U...
Click here for full text