Res 16-001RESOLUTION NO. 16 -001
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF POWAY, CALIFORNIA,
SUSPENDING CERTAIN CHARGES ESTABLISHED
BY THE SCHEDULE OF WATER SERVICE CHARGES
AND RATES PER SECTION 13.11.120 OF THE
POWAY MUNICIPAL CODE
WHEREAS, the City of Poway provides water services to residents of Poway;
and
WHEREAS, on December 15, 2015, the City Council of the City of Poway
adopted Resolution 15 -051 setting rates and charges effective January 1, 2016,
including Section 1, Subsection C, to establish a Drought Recovery Surcharge in the
amount of $0.75 per unit of potable water registered through the customer meter; and
WHEREAS, the Drought Recovery Surcharge is in addition to the standard
charges for water services and was adopted in response to the reduction in revenue
due to Single Family Residential water utility customer compliance with emergency
water use restrictions imposed by California Executive Order B- 29 -15, the result of
which created a temporary loss in the City's ability to recover the cost of operation and
maintenance of the City's water system; and
WHEREAS, the City Council adopted the Drought Recovery Surcharge for the
purposes described herein, but also directed staff to return to the City Council with a
strategy that lessens the disproportionate burden of the Drought Recovery Surcharge
upon those customers whose conservation efforts and lifestyles already reduce potable
water consumption to levels; and
WHEREAS, the City Council has determined that the best approach to reduce
the disproportionality of the Drought Recovery Surcharge, while also complying with
California laws and Article XIII D of the California Constitution is to suspend the
collection of a portion of the Drought Recovery Surcharge imposed on each Single
Family Residential water utility customer (the "shortfall "), and for the City to fund the
shortfall by way of assistance through one or more loans from the City's general fund or
any enterprise fund.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Poway
as follows:
Section 1. The City Council hereby suspends, for customer type Single Family
Residential, a portion of the Drought Recovery Charge established under Section 1,
Subsection C, by application of a credit equal to the $0.75 per unit charge for the first
twenty -two (22) units of potable water registered through the customer meter, for a
period of twelve (12) months, commencing with the first full billing cycle after January 1,
2016.
Resolution No. 16 -001
Page 2
Section 2. Except as otherwise provided in Section 1, above, all, rates and
charges as set forth in Resolution 15 -051, adopted per section 13.11.120 of Chapter
13.11 of the Poway Municipal Code, remain in effect for all water services billed
beginning the first full billing cycle after January 1, 2016.
Section 3. As provided for and consistent with the City Financial Policy and Debt
Management Policy, City Council may authorize a loan from the General Fund (100) to
the Water Operating Fund (510), at the time deemed suitable, for the purpose of
maintaining the desired Water Operating Fund reserve balance. The amount of the
loan is not to exceed the customer account credits associated with the partial
suspension of the temporary Drought Recovery Surcharge as authorized by this
Resolution.
Section 4. This Resolution shall take effect immediately.
PASSED, ADOPTED AND APPROVED by the City Council of the City of Poway
at a regular meeting this 12th day of January, 2016.
'Steve Vaus, Mayor
/_VA a926 "1M
Sheila R. Cobian, CMC, City Clerk
Resolution No. 16 -001
Page 3
STATE OF CALIFORNIA )
) SS
COUNTY OF SAN DIEGO )
I, Sheila R. Cobian, CIVIC, City Clerk of the City of Poway, do hereby certify
under penalty of perjury that the foregoing Resolution No. 16 -001 was duly adopted by
the City Council at a meeting of said City Council held on the 12th day of January 2016,
and that it was so adopted by the following vote:
AYES: LEONARD, GROSCH, MULLIN, CUNNINGHAM, VAUS
NOES: NONE
ABSENT: NONE
DISQUALIFIED: NONE
L
Sheila R. Cobian, CIVIC, City Clerk
City of Poway