VI(A) Public Hearing for Ordinance 2004-08: Revision to City Code Chapter 173, Water and Sewer Adjustments to Utility Bills for Swimming Pools and Water Leaks Agenda 05-04-04
Item VI A
Mayor Re Center of Good Lip Commissioners
S. Scott Vandergrift d iorpo Danny Howell, District 1
OOEr Scott Anderson, District 2
City Manager ! Rusty Johnson. District 3
Jim Gleason Y -4111111=1110`" Nancy J. Parker, District 4
STAFF REPORT
TO: The Honorable Mayor and City Commissioners
FROM: David A. Wheeler, P.E., Director of Public Works
DATE: March 9, 2004
RE: Revisions to City Code Chapter 173, Water and Sewers
For
Adjustments to Utility Bills for Swimming Pools and Water Leaks
ISSUE
Should the City Commission approve the changes to City Code Chapter 173, Water and Sewers,
to allow for the adjustment of utility bills for the filling of newly constructed, resealed, or
recoated swimming pools and for plumbing leaks on the customers side of the water meter.
BACKGROUND/DISCUSSION
The new water, sewer, and reuse rates were placed into effect starting with the first utility bill
issued after October 1, 2003. Since that date some members of the City Commission have asked
about adjustments to the utility bills for various options. Some of those requested adjustments
were for the filling of swimming pools, new landscaping, plumbing leaks, pressure washing of
houses or commercial buildings, and water to air heating ventilating and air conditioning
systems.
Staff members from the Finance, Customer Service, Public Works, and Legal Departments
researched these possible situations to see if other Central Florida utilities allowed for a credit or
adjustment of a customers utility bill. The only two options allowed for by other utilities were
adjustments for filling swimming pools and for leaks. No credits were issued, but adjustments
were allowed, because the utility treated the water and delivered it to the customer. The other
options were deemed to fall within the parameters for water conservation and therefore were not
considered for a utility bill adjustment.
The City would allow a special rate for the filling of swimming pools when first constructed or
when recoated or resealed that requires the pulling of a permit through the Ocoee Building
Department. The owner must have a letter on the contractor's letterhead that states the volume of
the pool. Upon receipt of the first utility bill after the pool has been filled the owner would
produce the letter to the Customer Service Department for an adjustment to their bill. The
onetime adjustment would be to reduce their overall usage amount by the volume of the pool and
a charge of the pool volume times $1.05 per thousand gallons.
For example: the pool volume is 18,000 gallons. The owner's utility bill for the month when the
pool was filled stated that they used 50,000 gallons of water. Their overall usage would be
reduced to 32,000 gallons and then a charge of 18,000 times $1.05 per thousand gallons would
be added to the bill. The customer would see a decrease of 18,000 gallons times $4.93 ($5.98 -
$1.05)which equals $88.74 before taxes.
This reduction does not apply to customers who constantly add water to their pools during the
summer months because of evaporation. If a permit is not pulled by the contractor with the
Ocoee Building Department, then the customer does not get any reduction in their utility bill.
The group did not feel that this was a significant effect on the utility revenues for two reasons.
First, the City would receive some compensation based upon the $1.05 times the pool volume,
this is the second tier rate amount. This approximates an average of the first three tiers and most
pools are in the 15,000 to 20,000 range. Secondly, the City is seeing less than 36 pool permits
per year and most of those are for homes located outside of the W/S service boundary.
The plumbing leak would require the customer to request an adjustment to their water bill by
producing a contractor's invoice or other documentation for any repairs to the customers
plumbing and structure. The Customer Service Department would review the customer's usage
history and adjust a bill based upon the exceedence of the past twelve month history by at least
100% consumption. The customers bill would be adjusted to charge only $1.05 per thousand
gallons for that volume over the twelve month average.
For example: the plumbing leak caused the customer usage to be 60,000 gallons bill for that
month. The customer's average usage for the previous twelve months was 30,000 gallons.
Therefore the customer's utility bill would be adjusted for that estimated 30,000 gallon leak and
the customer would be charged $1.05 per thousand gallons for the leak not $5.98 per thousand
gallons per the water rate structure. The customer would see a decrease of 30,000 gallons times
$4.93 ($5.98 - $1.05) which equals $147.90 before taxes.
The attached Ordinance No. 2004-08 provides for the aforementioned changes to City Code
Chapter 173, Water and Sewers. Staff would ask that if approved these adjustments to the utility
bills go into effect with the first utility bill issued after May 1, 2004.
RECOMMENDATION
Staff requests the Honorable Mayor and the City Commission approve the proposed changes to
City Code Chapter 173, Water and Sewers as shown in Ordinance No. 2004-08 and authorize
staff to place these utility bill adjustments into effect with the first utility bill issued after May 1,
2004.
ORDINANCE NO. 2004-08
AN ORDINANCE OF THE CITY OF OCOEE, FLORIDA
AMENDING ARTICLE I OF CHAPTER 173 OF THE
CODE OF ORDINANCES OF THE CITY OF OCOEE
RELATING TO WATER AND SEWERS; ADOPTING A
NEW SECTION 173-5 TO ESTABLISH ADJUSTMENTS TO
CHARGES AND BILLINGS OF WATER AND SEWER
SERVICE; PROVIDING FOR ADJUSTMENTS TO
BILLINGS OF WATER AND SEWER SERVICE FOR
FILLING OF NEWLY CONSTRUCTED, RESEALED OR
RECOATED SWIMMING POOLS; PROVIDING FOR
ADJUSTMENTS TO BILLINGS OF WATER AND SEWER
SERVICE FOR PLUMBING LEAKS; PROVIDING FOR
CODIFICATION; PROVIDING FOR SEVERABILITY;
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Commission of the City of Ocoee has the authority to
adopt this Ordinance pursuant to Article VIII of the Constitution of the State of Florida and
Chapter 166, Florida Statutes; and
WHEREAS, the City Commission of the City of Ocoee desires to adopt a new
Section 175-5 of Article I of Chapter 173 of the Code of Ordinances of the City of Ocoee,
Florida in order to provide for adjustments to charges and billings for water and sewer service;
and
WHEREAS, the City Commission of the City of Ocoee desires to provide for
adjustments to water and sewer charges and billings for the filling of newly constructed,
resealed or recoated swimming pools; and
WHEREAS, the City Commission of the City of Ocoee desires to provide for
adjustments to water and sewer charges and billings for plumbing leaks.
NOW, THEREFORE, BE IT ENACTED BY THE CITY COMMISSION
OF THE CITY OF OCOEE, FLORIDA, AS FOLLOWS:
ORDINANCE NO
SECTION 1. Authority. The City Commission of the City of Ocoee has the
authority to adopt this Ordinance pursuant to Article VIII of the Constitution of the State of
Florida and Chapter 166, Florida Statutes.
SECTION 2. Section 173-5 of the Code of Ordinances is hereby adopted to
read as follows:
§ 173-5. Adjustments to Charges and Billings.
A customer shall be entitled to an adjustment of their monthly water and/or sewer bill,
as applicable, under the following circumstances:
(1) Newly Constructed, Resealed or Recoated Swimming Pools.
(i) Subject to compliance with requirements of this Section 173-5(1), the volume
of potable water used to fill a newly constructed, resealed or recoated swimming
pool, up to the volume gallon amount specified on the letter referenced in
Section 173-5(1)(iv) below, shall be deducted from the overall water volume
usage amount and overall sewer volume usage amount indicated on the
customer's monthly utility bill. The charges and rates specified in Section 173-4
shall apply to the resulting water and sewer volume usage amount.
(ii) The customer shall be charged for water at a rate of $1.05 per 1000 gallons
for each gallon of water deducted from the customer's monthly utility bill
pursuant to Section 173-5(1)(i) above. The customer shall not be charged for
sewer service for the sewer volume usage amount deducted from the customer's
monthly utility bill pursuant to Section 173-5(1)(i) above.
(iii) The adjustment provided in Section 173-5(1)(i) and (ii) above shall be
applicable only if the customer, or contractor of the customer, obtains a permit
to construct, reseal or recoat that customer's swimming pool from the Ocoee
Building Department prior to the filling of such swimming pool.
(iv) Any customer desiring an adjustment to their monthly utility bill provided in
Section 173-5(i) and (ii) above shall present the utility bill to be adjusted to the
Ocoee Customer Service Department, along with a copy of the permit issued by
the Ocoee Building Department, as referenced in Section 173-5(1)(ii) above, and
shall present a letter from the contractor or person obtaining the permit stating
the volume of the swimming pool filled. No adjustment shall be made if the
customer fails to present any of the documents referenced herein within three (3)
months from the date of the utility bill for which the adjustment is requested.
2
(2) Plumbing Leaks.
(i) Subject to compliance with requirements of this Section 173-5(2), the volume
of potable water used due to leakage shall be deducted from the overall water
volume usage amount and overall sewer volume usage amount indicated on the
customer's monthly utility bill. The charges and rates specified in Section 173-4
shall apply to the resulting water and sewer volume usage amount.
(ii) The customer shall be charged for water at a rate of$1.05 per 1000 gallons
for each gallon of water deducted from the customer's monthly utility bill
pursuant to Section 173-5(2)(i) above. The customer shall not be charged for
sewer service for the sewer volume usage amount deducted from the customer's
monthly utility bill pursuant to Section 173-5(2)(i) above.
(iii) The adjustment provided in Section 173-5(2)(i) and (ii) above shall be
applicable only if a plumbing leak increases the overall water volume usage
amount by 100% or more over the average of the overall water volume usage
amount indicated on the customer's monthly utility bill for the twelve (12)
months immediately prior to the utility bill presented for adjustment.
(iv) Any customer desiring an adjustment to their monthly utility bill provided in
Section 173-5(2)(i) and (ii) above shall present the utility bill to be adjusted to
the Ocoee Customer Service Department, along with documentation and/or
information evidencing that the increase in the overall water volume usage
amount was due to a plumbing leak.
(v) A customer shall be entitled to adjustments on a maximum of two (2)
consecutive monthly utility bills for each plumbing leak. Notwithstanding the
foregoing, a customer shall be entitled to adjustments for a maximum of two (2)
separate plumbing leaks within a twelve (12) month period.
(vi) No adjustment shall be made if the customer fails to present any of the
documents referenced herein within three (3) months from the date of the utility
bill for which the adjustment is requested.
(vii) No adjustment shall be made in the event the City advises a customer of a
potential plumbing leak and that customer fails to timely repair the plumbing
leak.
SECTION 3. Codification. It is the intention of the City Commission of the
City that the provisions of this ordinance shall become and be made a part of the Code of
Ordinances of the City; and that sections of this ordinance may be renumbered or re-lettered
and the word "ordinance" may be changed to "chapter," "section," "article," or such other
3
appropriate word or phrase in order to accomplish such intentions; and regardless of whether
such inclusion in the code is accomplished, sections of this ordinance may be renumbered or
re-lettered and the correction of typographical errors which do not affect the intent maybe
authorized by the City Manager, without need of public hearing, by filing a corrected or re-
codified copy of same with the City Clerk.
SECTION 4. Severability. If any section, subsection, sentence, clause,
phrase, or portion of this Ordinance is for any reason held invalid or unconstitutional by any
court of competent jurisdiction, such portion shall be deemed a separate, distinct, and
independent provision and such holding shall not affect the validity of the remaining portion
hereto.
SECTION 5. Effective Date. This Ordinance shall become effective
retroactive to May 1, 2004, upon passage and adoption.
PASSED AND ADOPTED this day of , 2004.
APPROVED:
ATTEST: CITY OF OCOEE, FLORIDA
Jean Grafton, City Clerk S. Scott Vandergrift, Mayor
(SEAL) ADVERTISED April 22,2004
READ FIRST TIME March 16,2004
READ SECOND TIME April 6,2004
READ THIRD TIME AND ADOPTED
,2004
UNDER AGENDA ITEM NO.
BY THE CITY OF OCOEE,FLORIDA
APPROVED AS TO FORM
AND LEGALITY
this day of ,2004.
FOLEY&LARDNER LLP
By:
City Attorney
4