File #: 20-0700    Version: 1
Type: recommendation Status: Passed
File created: 9/4/2020 In control: Finance Committee
Agenda date: 9/16/2020 Final action: 9/16/2020
Title: Lifeline Utility Rates
Attachments: 1. Olympia Lifeline Rate program webpage, 2. Community Action Council webpage, 3. Draft Professional Services Agreement with the Community Action Council, 4. UAC Letter
Title
Lifeline Utility Rates

Recommended Action
Committee Recommendation:
Move to support the Utility Advisory Committee (UAC) recommendation to establish a charitable fund managed by the Community Action Council and forward to the City Council for approval.

City Manager Recommendation:
Move to support the UAC recommendation.

Report
Issue:
Whether to support the UAC recommendation to establish a charitable fund managed by the Community Action Council and provide community awareness through the utility bill and forward to the City Council for approval.

Staff Contact:
Eric Christensen, Public Works Water Resources Director, 360.570.3741

Presenter(s):
Eric Christensen, Water Resources Director

Background and Analysis:
The City's Lifeline utility rate program, set in Olympia Municipal Code (OMC) 4.24.020, provides a 50 percent discount on residential utility rates to any household occupied by low income elderly (age 62 or above) or low income disabled persons. Additionally, OMC 4.24.030 extends the Lifeline utility rate program via a rebate to renters of individually metered premises.

The program reduces a typical single-family household bi-monthly utility bill from roughly $246 to $123. Additionally, the City provides a flexible payment plan for those customers that have fallen behind in paying their bill.

Olympia's current Lifeline utility rate program assists about 335 households per year at a cost of roughly $247,000 to traditional ratepayers. Prorated across the four Utilities, the cost results in 0.435% of rate charges or $6.42 annually for traditional ratepayers. The bi-monthly cost is $1.07.

Olympia Population and Poverty Levels
* Olympia's population is roughly 52,770 people living in 25,190 housing units.
* One-person household poverty level: $12,760 per year
* Two-person household poverty level: $17,240 per year
* Individuals with incomes below the poverty level: 18.4%

In 2018, the City evaluated ways to increase enrollment in the Lifeline ...

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