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Ordinance No. 518-10 - Superseded4W ORDINANCE NO. 518-10 AN ORDINANCE OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT SETTING SEWER CAPACITY CHARGES AND AMENDING ADMINISTRATIVE CODE SECTION 4.5.7 AND SUPERSEDING ORDINANCE NO. 502-08 IN ITS ENTIRETY Be it enacted by the Board of Directors of the South Tahoe Public Utility District, County of El Dorado, State of California, as follows: SECTION I - POLICY AND PURPOSE The purpose of this ordinance is to postpone the scheduled increase in the District's sewer capacity charges. SECTION II — DEFINITIONS For the purposes of this Ordinance, the terms used herein are defined as follows: A. The District — The South Tahoe Public Utility District. B. The Board — The Board of Directors of the South Tahoe Public Utility District. C. Administrative Code — The compilation and codification of all of the Administrative, Water, Sewer, Street Lighting and Groundwater Management Plan Ordinances of the District, which establish the authority and the principles for the decisions of the District, and provide the public with guidelines applicable to District operations. D. General Manager — The General Manager of the South Tahoe Public Utility District. E. Sewer Unit — An estimated measurement of flow and strength of wastewater discharged to the District's sewer system. A sewer unit is used for the purposes of determining the assessment of sewer capacity charges. SECTION III — FINDINGS The Board of Directors of the South Tahoe Public Utility District, El Dorado County, State k w of California, makes the following findings: Ordinance No. 518 -10 Sewer Capacity Charge Page 1 4W I . The District's sewer capacity charges were previously determined to be less than the cost of providing such capacity by a comprehensive study authorized by the Board. On this basis, the Board previously adopted Ordinance 502 -08, which set the District's sewer capacity rates in order to reflect the actual cost of providing the services for which charges are imposed. 2. Recognizing that the costs of providing services would increase, Ordinance 502 -08 additionally provided a mechanism pursuant to which an in increase in the District's sewer capacity charge would take place on January 1 of each year from 2009 through 2013, and, accordingly, that such an increase would occur on January 1, 2010. 3. The Board finds that the current economic climate may be adversely impacting new development within the District's boundaries. 4. The Board finds that allowing the scheduled sewer capacity charge increase could contribute to the adverse impacts on development within the District's boundaries by increasing the costs of new development. 5. This ordinance Code is designed to postpone the increase to the sewer capacity charge scheduled to occur on January 1, 2010, until July 1, 2010. 6. The Board has determined that it is in the best interest of the health and safety of the District's residents to postpone the scheduled increase in the District's sewer connection fees. SECTION IV - SEWER CONNECTIONS Sewer capacity charges shall be determined as follows: a. A sewer capacity charge shall be paid to the District by the applicant desiring connection to the District sewer system based upon the number of sewer units which are required for the applicant's project. Refer to Section V, Paragraph 1, Schedule No. 1. b. At any time sewer capacity is added to any parcel for which the initial capacity charge has been previously paid in an amount which did not include such additional capacity, as a condition to such parcel remaining connected to the District sewer system, there shall be a subsequent charge to provide for the additional sewer capacity requirements. Refer to Section V, Paragraph 1, Schedule No. 1. C. Periodic Cost Adjustments. The sewer capacity charge for sewer connections shall be adjusted as provided in this Ordinance to reflect the increased costs for providing sewer service. Refer to Section V, Paragraph 1, Schedule No. 1. Ordinance No. 518 -10 Sewer Capacity Charge Page 2 4W 2. Sewer capacity charges, as determined from time to time by the Board, apply to all new connections and existing connections to which at any time sewer capacity is added to any parcel for which the initial capacity charge has been previously paid. Capacity charge revenue is used to pay for sewer facilities in existence at the time the charge is imposed or to pay for new sewer facilities that will be constructed in the future that are of benefit to the person or property being charged. 3. Neither this Ordinance, nor payment of the capacity charges described in this Ordinance, shall constitute approval of any capital project. SECTION V - SEWER FEES, RATES AND SCHEDULES 1. Schedule No.l - Sewer Capacity Fee, February 6, 2010 - $4,250.00 2. a. Periodic Adjustments: 16% on July 1, 2010, and January 1 st of each year from January 1, 2011, through December 31, 2013, thereafter. b. An amount equal to the Engineering News Records' construction cost index, national average, for the prior twelve (12) month period, commencing on January 1, 2014, and on January 1st of each subsequent year. 7 SECTION VI — ADMINISTRATION 1. The effective date of this Ordinance is February 6, 2010. 2. The provisions of this Ordinance will be administered and enforced by the District through the General Manager, who may delegate such enforcement to one or more employees of the District. 3. Any applicant for sewer connection may appeal any District decision pertaining to a sewer connection under this Ordinance to the Board by filing a written appeal with the Clerk of the Board, within 10 days from the date of the action or decision. The Board may, in its discretion, affirm, reverse, or modify any District action undertaken pursuant to this Ordinance. SECTION VII — SEVERABILITY If any section, subsection, subdivision, paragraph, sentence, clause or phrase of this Ordinance and its implementing rules and regulations is for any reason held to be unconstitutional or invalid, such decision shall not affect the validity of the remaining portions of this Ordinance or the Administrative Code. The Board of Directors declares and determines that it would have passed section, subsection, subdivision, paragraph, sentence, clause or phrase thereof of this Ordinance and its implementing rules and regulations and the Administrative Code irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses or phrases may be determined to be unconstitutional or invalid. Ordinance No. 518 -10 Sewer Capacity Charge Page 3 4W PASSED AND ADOPTED by the Board of Directors of the South Tahoe Public Utility District at its duly held regular meeting on the 7th day of January, 2010 by the following vote: AYES: Directors Rise, Cefalu, Jones, Schafer NOES: None ABSENT: Director Mosbacher Dale Rise, President South Tahoe Public Utility District ATTEST: Kathy Sharp Jerk of the B rd :9 Ordinance No. 518 -10 Sewer Capacity Charge Page 4