Sparks City Council Meeting 9/23/2019 2:00:00 PM

    Monday, September 23, 2019 2:00 PM
    Council Chambers, Legislative Bldg, 745 4th Street, Sparks, NV

General Business: 9.8

Title: FIRST READING of Bill No. 2764, amending Sparks Municipal Code Section 13.24.020 and 13.24.030 to correct the Sewer and Storm Drain Connection Fees and providing for other matters properly related thereto.
Petitioner/Presenter: John Martini, P.E., Assistant City Manager/Kevin Porter P.E., Utility Manager
Recommendation: Staff recommends the City Council instruct the City Clerk to read the First Reading of the Bill by title on September 23, 2019, and thereafter publish notice of a Second Reading and public hearing of this Bill for consideration and possible approval on October 14, 2019.
Financial Impact: None.
Business Impact (Per NRS 237):
    
A Business Impact Statement is not required because this is not a rule.
Agenda Item Brief:

This agenda item proposes amending Sparks Municipal Code Section 13.24.020 and 13.24.030 to correct an error in the increased sewer and storm drain connection fees approved by City Council on December 10, 2018.  The adjusted connection fee rates now listed in Sparks Municipal Code Chapter 13.24 were derived from the rate study model, which utilized generalized and rounded fees for comparing various model scenarios.  The result of using the rounded numbers from the model was a 29.5% increase to the residential sewer component and a 32.1% increase to the commercial sewer component of the connection fees instead of the 30% increase that City Council intended. As a result of this correction, the residential connection fee will change from $7,332.54 to $7,356.48 and the commercial connection fee will change from $344.33 per weighted fixture unit to $339.79 per weighted fixture unit. Staff recommends approval.    



Background:

City Council adopted Bill Number 2753 on December 10, 2018, which purported to increase the residential and commercial sewer connection fees by 30%, among other sewer rate adjustments.  The adjusted connection fee rates listed in Sparks Municipal Code Chapter 13.24 after approval of Bill Number 2753 were derived from the rate study model, which utilized generalized and rounded fees for comparing various model scenarios.  The result of using the fees derived from the model was a 29.5% increase to the residential sewer component and a 32.1% increase to the commercial sewer component of the connection fees, rather than the 30% increase that City Council intended.



Analysis:

Based on City Council’s stated intention to approve a 30% sewer connection fee rate increase, an amendment is required to correct the 29.5% residential and 32.1% commercial increases in SMC Chapter 13.24. The financial billing system used to collect connection fees correctly applied the 30% increase beginning January 1, 2019, as City Council intended. This Bill will correct the connection fees listed in Title 13.24 to accurately reflect the 30% increase to sewer connection fees intended by City Council at the December 10, 2018 meeting.



Alternatives:

The City Council may instruct the City Clerk to read the First Reading of the Bill by title on September 23, 2019, and thereafter publish notice of a Second Reading and public hearing of this Bill for consideration and possible approval on October 14, 2019.

 



Recommended Motion:

This is a First Reading only; no motion is required.



Attached Files:
     Bill 2764.pdf
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