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Ordinance No. 10291 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE NO. 1029 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF VERNON AMENDING THE CODE OF THE CITY OF VERNON, CALIFORNIA, 1959, BY AMENDING CHAPTER 25 RELATING TO CHARGES FOR WATER SERVICE WHEREAS, the City Council by Resolution No. 6458 authorized a Consulting Agreement for Engineering Services with Donald R. Howard Consulting Engineers, Inc. (hereinafter "Consultant ") to provide civil engineering services on water - related problems; and WHEREAS, Consultant has filed with the City of Vernon Water Department a "Cost of Service and Rate Design Study" (hereinafter "Study ") dated March 14, 1995; and WHEREAS, said Study provides historical data, cost studies and engineering information which support its recommendations; and WHEREAS, said Study recommends that the rate differential between Vernon 1 and 2 areas be eliminated, Vernon 2 area being the Special CMD District and Vernon 1 being the remainder of the City of Vernon; and WHEREAS, many of the buildings in the Special CMD District have fire sprinkler systems which are unmetered, and the Study recommends that all such systems be metered; and WHEREAS, the City Council by Resolution No. 4814 and Ordinance No. 914 on June 29, 1981, established the Special CMD District in order to assess special water and sewer charges and rates therein; and WHEREAS, fire sprinkler systems require a larger infrastructure and extra services from City personnel; and 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 WHEREAS, the study recommends that water services and rates therefor be allocated between water consumption and fire - related water services; and WHEREAS, said Study has recommended that a reasonable building square footage charge be imposed in order to pay the costs of fire - related water services; and WHEREAS, the current Sections 25.6, 25.7, and 25.8 of the Code of the City of Vernon, California, 1959, establish specific charges and deposits for certain services in the City of Vernon, but the amounts of said charges and deposits are now insufficient for the water services provided; and WHEREAS, the rates and charges for other such services are set by resolution of the City Council, and it would be reasonable to amend said Code sections to permit the City Council to set such charges and deposits; and WHEREAS, the City Council of the City of Vernon adopted Resolution No. 6436 on May 17, 1994 setting the water rates effective for the regular billing of July, 1994; and WHEREAS, Samuel Kevin Wilson, Acting Director of Community Services, has recommended by memo dated April 13, 1995, that the rates established for water services be raised to reflect the increased cost of providing said services and that the adjusted rates become effective for regular billing for July, 1995; and WHEREAS, the City Council of the City of Vernon held a public hearing on the consideration of the adoption of a proposed new water rate schedule and of this ordinance on April 18, 1995, pursuant to a duly published notice and evidence was presented; -2- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 and WHEREAS, on April 6, 1995, the City published a notice of the proposed new water rate schedule in accordance with Government Code Section 6066 in the Metropolitan News, which was determined to be a newspaper of general circulation nearest to the City most appropriate for this purpose; and WHEREAS, said notice indicated that documentation used in the determination of the consideration of the adoption of a proposed new water rate schedule provided for herein has been available for inspection by the public; and WHEREAS, the City Council of the City of Vernon wishes to adopt and amend ordinance provisions governing water rates and to establish new rates for water services in the City of Vernon in accordance with the Vernon City Code and to repeal Resolution No. 6436; and WHEREAS, the City Council of the City of Vernon deems it desirable for the public health, safety and welfare to establish such requirements. THE CITY COUNCIL OF THE CITY OF VERNON HEREBY ORDAINS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby amends Chapter 25 of the Code of the City of Vernon, California, 1959, by amending Sections 25.1, 25.2, 25.3, 25.5 and by adding Section 25.4 to Article I of Chapter 25 to read as follows: /// /// -3- Sec. 25.1. Water rates established. Water rates as hereinafter set forth shall be paid by the customers of the Vernon water system in order to pay for the costs of water services. Such rates shall be allocated as separate charges for meters, for water consumption, and for fire - related water services. Each customer shall pay all such charges. Except as otherwise provided in this chapter, all water rates shall be set by resolution of the city council. Sec. 25.2. Monthly meter rates for water consumption. Water rates shall be established for meter service for water consumption in the form of a monthly charge based on the size and capacity of the meter serving the customer. Sec. 25.3. Monthly user's rates for water consumption. Water rates shall be established in the form of a monthly charge for water consumed or used by each customer for all classes of service. Such rates shall be based on the number of hundred cubic feet (Ccf) or part thereof consumed or used each month. A minimum monthly consumption allowance shall be imposed on each customer having standby service. Sec. 25.4. Monthly meter rates for fire - related water services. Water rates shall be established in the form of a monthly charge for standby water services for -4- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 sprinkler systems based on the size and capacity of the meter serving the fire sprinkler system, or if unmetered, for each fire sprinkler head. Sec. 25.5. Monthly square footage rates for fire - related water services. Water rates shall be established in the form of a monthly charge for costs of fire - related water services. Such rate shall be based on the number of gross square feet, as measured from the exterior, of all buildings and structures in the city and all outside storage areas where combustible materials are stored in the city. SECTION 3: The City Council of the City of Vernon hereby amends Chapter 25 of the Code of the City of Vernon, California, 1959, by amending Sections 25.6, 25.7, and 25.8 to read as follows: Sec. 25.6. Minimum charges for installations or relocation; temporary connection rates. Minimum charges shall be established for each initial temporary installation for water service and for each relocation of said service. The water furnished through said temporary connection shall be charged at the rate of one and one -half times the consumption rate set forth in section 25.3. Sec. 25.7. Bond or deposit prerequisite to temporary connection. Before a temporary installation for water service is connected to a fire hydrant, the -5- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 applicant for such service shall deposit with the city clerk a cash or surety bond approved by the city. Said deposit shall guarantee the payment of all water charged through said connection and the return to the city water department in good condition, usual wear and tear excepted, of all materials furnished by the city in making said connection, together with all labor costs with respect thereto. Sec. 25.8. Rates for person conducting retail water business. Water rates shall be established for the sale of water from the Vernon water system to any person, firm or corporation conducting a retail water business. SECTION 4: The City Council of the City of Vernon hereby amends Chapter 25 of the Code of the City of Vernon, California, 1959, by repealing Sections 25.46, 25.47, 25.48, 25.50, and 25.51. SECTION 5: The City Council of the City of Vernon hereby amends Chapter 25 of the Code of the City of Vernon, California, 1959, by amending Section 25.65 to read as follows: Sec. 25.65. Upgrading of services. When an existing service must be upgraded due to new health, fire, safety, and /or plumbing regulations, an application shall be filed pursuant to section 25.64. Said application shall be considered as applying for a new service. -6- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 All fire sprinkler systems which do not have a separate meter shall be upgraded by installing a meter in accordance with the following schedule: Systems with less than 500 fire sprinkler heads: By July 1, 2000 Systems with 500 fire sprinkler heads or more: By July 1, 1998 Notwithstanding the above, meters shall be installed for any fire sprinkler system as a condition of issuing a new occupancy permit after a change of an owner, tenant, or occupant. SECTION 6: The water rates for the customers of the City of Vernon for the year beginning on July 1, 1995, shall be as set forth in Exhibit "A ", Water Rates For The City of Vernon Water System, 1995/1996, which is attached hereto and made a part hereof by reference. Such rates shall thereafter be established by resolution of the city council. Resolution No. 6436 is hereby repealed. SECTION 7: Any ordinance, part of an ordinance, or code section in conflict with this Ordinance is hereby repealed. SECTION 8: If any section, subsection, sentence, clause, or phrase or word of this ordinance is for any reason held to be void or unconstitutional, such decision shall not affect the validity of the remaining portions of this ordinance; it being the intention of the City Council of the City of Vernon to adopt and pass this ordinance and each section, subsection, sentence, clause or phrase thereof irrespective of the fact that one or more of the sections, subsections, clauses, sentences or phrases thereof may be declared void or unconstitutional. -7- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECTION 9: There being no newspaper printed, published or circulated in the City of Vernon, the City Clerk is hereby directed to certify to the passage of this ordinance and shall post the same, or cause the same to be posted, within fifteen (15) days after its passage in accordance with Section 36933 of the Government Code, in three (3) of the most public places in the City of Vernon, to wit: the northwest corner of 38th Street and Santa Fe Avenue, the northeast corner of Leonis Boulevard and Pacific Boulevard, and on the bulletin board in the lobby of the City Hall of said City, located at 4305 Santa Fe Avenue, all in the City of Vernon, County of Los Angeles, State of California. SECTION 10: This ordinance shall be in full force and effect thirty (30) days from and after its passage of the same. APPROVED AND ADOPTED this 16th day of May, 1995. ATTEST: G BRUCE V. MALKENHORST, City Clerk -8- LEONIS C. MALBTi G, Mayo 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) )ss COUNTY OF LOS ANGELES ) I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do hereby certify that the foregoing Ordinance, being Ordinance No. 1029, was duly and regularly introduced at a regular meeting of the City Council of the City of Vernon, held on Tuesday, May 2, 1995, and thereafter finally adopted at a regular meeting of said City Council held on Tuesday, May 16, 1995, and thereafter was duly signed by the Mayor of the City of Vernon, by the following vote: (SEAL) AYES: 5 Councilmen: Malburg, Marra, Davis, McCormick, Gonzales NOES: 0 Councilmen: None ABSENT: 0 Councilmen: None i BRUCE V. MALKENHORST, City Clerk -9- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Exhibit "A" Water Rates For The City of Vernon Water System 1995/1996 1. Monthly Charge For Meters (V.C.C. Sec. 25.2): Meter Size Monthly Minimum Charge 5/8" $ 3.35 3/4" 5.03 1" 8.38 1 1/2" 16.77 2" 26.83 3" 50.30 4" 83.84 6" 167.68 8" 268.29 2. Water Consumption Rates Per 100 Cubic Feet (V.C.C. Sec. 25.3): Meter Size 2" 3" 4" 6" 8" For water used: $0.806/100 cubic feet Minimum Monthly Consumption Allowance For Standby Service 6,000 cubic feet per month 15,000 cubic feet per month 30,000 cubic feet per month 75,000 cubic feet per month 150,000 cubic feet per month Monthly Charge $ 48.36 120.90 241.80 604.50 1,209.00 The charge for water in excess of the monthly consumption allowance shall be the rate per cubic foot. A - 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 3. Minimum Rates for Meters for Fire - Related Services (V.C.C. Sec. 25.4): Sprinkler Connection Size Monthly Charge 4" $ 2.00 6" 2.00 8" 2.00 10" 2.00 The charge for all water used shall be at the rate shown in subsection 2, and shall be payable semiannually. 4. Minimum Rates for Unmetered Service for Fire Protection Purposes (V.C.C. Sec. 25.4): Monthly charge per sprinkler head: $0.075 /head 5. Square Footage Charge (V.C.C. Sec. 25.5): Monthly charge for fire - related services based on the square footage of buildings: $0.00131 per square foot. 6. Minimum Charge for Temporary Installation and Relocation (V.C.C. Sec. 25.6) (each person, firm or corporation): Initial temporary installation: $ 50.00 Relocation of said service: $ 30.00 The water furnished through said temporary connection shall be charged at the rate of one and one -half times the consumption rate set forth in subsection 2. 7. Bond or Deposit for Temporary Connection to Fire Hydrant (V.C.C. Sec. 25.7) (each person, firm or corporation): Amount of each bond or deposit: $300.00 A - 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 8. Rates for Retail Water Business (V.C.C. Sec. 25.8) (each person, firm or corporation): The rate shall be one and one -half times the meter charge and the water consumption rate set forth in subsections 2 and 3. 9. Water Rates per 100 Cubic Feet of Reclaimed Water (V.C.C. Sec. 25.9): Reclaimed water: $0.97/100 cubic feet A - 3 SUPPORTING DOCUMENTS AFFIDAVIT OF POSTING STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) ss CITY OF VERNON I, Gloria J. Orosco, Chief Deputy City Clerk for the City of Vernon do hereby certify that I did, on the 17th day of May, 1995, direct to be posted three (3) copies of: Ordinance No. 1029 of the City of Vernon One in each of the following places, to wit: at the northwest corner of 38th Street and Santa Fe Avenue; the northeast corner of Leonis Blvd. and Pacific Blvd; and on the bulletin board in the lobby of the City Hall of the City of Vernon located at 4305 Santa Fe Avenue, all in said City, there being no newspaper of general circulation printed and published in t e City of Vernon. Date: 5/17/95 Gloria J. osco Chief Depu y City Clerk State of California ) )ss County of Los Angeles) On Q`{ a \"I, \ gcic- before me, NaIK o�, l_. c's (notary public) personally appeared Gloria J. Orosco (name of signatory) personally known to me (or known to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity and that by her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal: OFFICIAL SEAL ' f SHARON L. DUCKWORTH Notary Public -California ��z =y�' LOS ANGELES COUNTY fdvtPst.g , My Commission Expires June 9. 1995 CITY COUNCIL LEONIS C. MALBURG Mayor THOMAS A. YBARRA Mayor Pro -Tem Wm. "BILL" DAVIS Councilman H. "LARRY" GONZALES Councilman W. MICHAEL McCORMICK Councilman BRUCE V. MALKENHORST City Administrator/ City Clerk FAX: (213) 581 -7924 4395 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 TELEPHONE (213) 583 -8811 April 13, 1995 CITY HALL City Council City of Vernon Honorable Members: DAVID B. BREARLEY City Attorney FAX: (818) 330 -5818 Community Services & Water FAX: (213) 588 -2761 KENNETH J. DeDARIO Director of Light & Power FAX: (213) 583 -1983 DAVE TELFORD Fire Chief FAX: (213) 581 -1385 LOUIS ROSENKRANTZ Police Chief FAX: (213) 581 -1178 In Reply Refer to: Based on a water rate study completed by Donald R. Howard, Consulting Engineers, staff of the Department of Community Services has developed a new water rate schedule, and transmitted herewith are the following documents: 1. Proposed Rate Schedule 2. Engineers' Report 3. Notice of Public Hearing, Affidavits of Mailing and Posting 4. Affidavit of Publishing 5. Cost of Service and Rate Design Study Staff is recommending that a policy be adopted requiring all water services to be metered, with the meter to be installed upon any change of occupancy, or within three years if the fire service has more than 500 sprinkler heads; or five years if the fire service has less than 500 heads. Meter installation expenses shall be borne by the property owner. This has been reviewed by the Acting Director of Community Services and the City Attorney, and it is hereby recommended that (1) City Council adopt a resolution requiring all water services to be metered; and (2) approve the proposed new water rates to be effective July 1, 1995. BVM /hr Ver y truly yours, / Bruce V. Malkenhorst City Clerk VERNON WATER RATES 1. DOMESTIC AND INDUSTRIAL SERVICES Meter Charge Vernon 1 and Vernon 2 Meter Size Service Charge Per Month Current Rate 94 -95 Proposed Rate 5/8" $4.00 $4.00 3/4" $5.00 $5.03 1" $6.00 $8.38 1 1/2" $7.00 $16.77 2" $10.00 $26.83 3" $12.00 $50.30 4" $16.00 $83.84 6" $21.00 $167.68 8" $25.00 $268.29 2. Fire Service a. Meter Charge Vernon 1 and Vernon 2 Sprinkler Meter Size Service Charge Per Month Current Rate 94 -95 Proposed Rate 4" $22.00 $2.00 6" $33.00 $2.00 8" $45.00 $2.00 10" $55.00 $2.00 b. Sprinkler System Charge - Vernon 2 Charge per Head Per Year Proposed Proposed Current Rate Unmetered Rate Metered Rate $0.90 $0.90 $0.0 1 c. Square foot Charge - Vernon 1 and Vernon 2 Charge per Square Foot Per Year Current Rate Proposed Rate 0.00 0.0157 3. Commodity Rate per Ccf Current Rate Proposed Rate Vernon 1 $0.970 $0.806 Vernon 2 $0.990 $0.806 4. Standby Meter Charge Minimum Charge and Monthly Consumption Allowance for Stand -by Meters for Vernon 1 and Vernon 2 Proposed Minimum Proposed Proposed Current Minimum Monthly Monthly Meter Monthly Meter Charge Charge Size Consumption Charge Vernon 1 Vernon 2 Vernon 1 & 2 2" 60.00 26.83 68.20 69.40 75.19 3" 150.00 50.30 157.20 160.50 171.20 4" 300.00 83.84 307.00 313.00 325.64 6" 750.00 167.68 748.50 763.50 772.18 8" 1500.00 268.29 1,480.00 1,510.00 1,477.29 The charge for water in excess of the monthly consumption allowance shall be the minimum charge plus the rates shown in item 3. NOTE: Vernon No. 2 equals special CMD District 2 ENGINEERS' REPORT ON WATER RATE RESTRUCTURING APRIL 1995 The Community Services Department has retained Donald R. Howard to perform a rate study. This is a synopsis of that study. The City of Vernon has reviewed its water rates for its customers and has determined that a more equitable method of pricing is in order. The City of Vernon is in the Southeastern portion of Los Angeles County and was incorporated in 1905. The City is mainly an industrial City that purveys water to the majority of the City. Both California Water Service and Maywood Mutual No. 3 purvey water to small sections of the City. Vernon serves approximately 1,075 customers with varying consumption requirements. All customers receive a high degree of fire protection. Vernon's water system is currently rated as a Class I System by the Insurance Services Office (ISO), Receiving 37.21 out of a maximum 40.0 points. The City of Vernon Water Department maintains several wells and has a pumping allocation which entitles us to produce water from the Central Basin. In addition the City has a physical connection to the Metropolitan Water District of Southern California main. When economically feasible, the City will take water from MWD during its seasonal storage program. Vernon has 8,039 acre feet in pumping rights and normally leases additional pumping rights when necessary to accommodate demand. In recent 1 years Vernon's demand was approximately 8,750 acre feet per year. The Vernon system consists of nine wells, nine reservoirs and one elevated tank. The total storage capacity is approximately 17 million gallons. In addition the City has several booster stations and approximately 260,000 linear feet of pipe. Vernon produces most of its water from the Central Basin. The major costs associated with pumping water from the Central Basin are electrical charges, water replenishment fees and leasing costs. When economically feasible the City will take MWD water. Normally this would be when MWD provides incentives through their seasonal storage program and the Water Replenishment District gives rebates. The estimated budget for fiscal year 1995 - 1996 for the Water Department is 4.1 million dollars. One quarter of the budget is assigned to personnel costs, a little over half is devoted to water production and the remainder is assigned to capital improvements, equipment, supplies, vehicle leases and other miscellaneous charges. In most cities the primary function of the water purveyor is to provide potable water to supply to its residents for consumption. In those cities the consumption rate governs pipe and reservoir sizes and operational costs. Fire service is a secondary consideration. The City of Vernon is unique in that most customers are industrial customers. The water system is designed to suppress fires and to provide industrial water service. It is our opinion that the rates should be designed accordingly. The City Water Department is rated by ISO as a 2 class one system, the highest rating achievable. This rating allows its customers to receive lower insurance rates. The water system needs the facilities it has to maintain this rating. While providing potable water service is an important feature, the system does not require any additional facilities to provide domestic water. The system was designed to provide proper flows and pressures to fire hydrants and automatic sprinklers during times of emergency. When a water system is so heavily dedicated to fire suppression, the rates should be designed accordingly and an effort should be made to separate fire related expenses. If there were no water sales the system would be operated only to provide fire protection. The water consumption would be zero. Therefore the costs for producing and distributing water can be removed and the remaining fixed costs can be assigned to the cost of providing fire protection. The Water Department has determined that the best way to distribute these costs would be based on building square footage and area of outside storage. The remaining costs for water production and distribution would be assigned to meter and commodity charges. This was the basic rationale in calculating the proposed rates. Please note that the entire City would be charged the same commodity rate. Those businesses in the Central Manufacturing District would no longer have to pay a surcharge. We are also recommending that all fire sprinkler systems be metered. Those that have less than 500 sprinkler heads will be required to install a meter within five years. Those buildings with more 3 than 500 sprinkler heads shall have a meter installed within three years and upon any change of occupancy a meter will be required to be installed. When the meter is installed the $.90 per head per year charge will be replaced with the minimal fire meter charge. It is our recommendation that the proposed rates begin July 1, 1995. The proposed rates are approximately 7% higher than the previous years rate. This rate increase is due to the higher costs to produce water, namely higher MWD and Water Replenishment District charges. rpt.pwr 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 AFFIDAVIT OF POSTING STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF VERNON I, Bill Wilson, Engineering Aide of the City of Vernon, do hereby certify that I did, on the 4th day of April, 1995 at 1:45 p.m., post three (3) copies of: NOTICE OF PUBLIC HEARING to be held 04/18/95, (see attached copy) regarding CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE One in each of the following places to wit: At the northwest corner of 38th Street and Santa Fe Avenue; the northeast corner of Leonis Boulevard and Pacific Boulevard; and on the bulletin board in the lobby of the City Hall of the City of Vernon, located at 4305 Santa Fe Avenue, all in said City, there being no newspaper of general circulation printed and published in the City of Vernon. -t �`� Date: �1r /0'yj a6 , LAJt .rV1 Bill Wilson, Engineering Aide State of California ss. County of Los Angeles ) On 0 qS before me, Notary Public, personally appeared Bill Wilson, personally known to me (or known to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and icial seal GiORIA 1.OROSCO o COMM. # 1026355 t.� NOTARY PUBLIC CALFORNIA it Los kgeles County C0FOPN,' My Ca;, ,+, fx pus May 26, 199E -" DECLARATION OF PUBLICATION STATE OF CALIFORNIA COUNTY OF LOS ANGELES MS. PATTY SALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office NOTICE PROPOSED RATE SCHEDULE The undersigned says: I am over the age of 18 years and a citizen of the United States. I am not a party to and have no interest in this matter. I am a principal clerk of the METROPOLI- TAN NEWS- ENTERPRISE, a newspaper of general circulation in the City of Los Angeles, the County of Los Angeles, and the State of California, as adjudicated in Los Angeles Superior Court Case No. 601165. The no- tice, a printed copy of which appears hereon, was pub- lished on the following date(s): Apr 6, 1995 I declare under penalty of perjury that the foregoing is true and correct. Executed at Los Angeles, Californja on 04/06/95. 47 'IC Signature METROPOLITAN NEWS - ENTERPRISE 210 S. Spring St. Los Angeles, CA 90012 Phone: 213- 628 -4384 Fax: 213- 687 -3886 Cust. Num.: 001349 Cust. Ref. Num.: Control Num.: 304469 111111IIIIII11111111IIIIIIIII CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE The City of Vemon Water Department has evaluated the easting water rate structure and is proposing new rates to reflect a more equitable method of pricing water service to its customers. Water service in an industrial community serves two (2) important functions: 1. It supplies water for use in industrial application (commodity), and 2. It provides a source of water to be used in fire protection activities. The Building Code requires a source of water for fire protection when developing industrial build- ings. The new rates were developed by assign- ing fire protection related costs to customers based on the size of buildings and outside storage and the commodity related costs based on the amount of water used. This approach recovers the true cost of fire protection use from the square footage charge and the true cost of water service from the commodity charge. The proposed rate schedule is available at the City Hall between the hours of 7:00 am and 5:30 pm, Monday thru Thursday. Please note that those properties that currently have unmetered fire services will be required to have a meter installed in the next few years. At that time the per head charge will be eliminated. A public hearing on the proposed rate schedule is scheduled for 5:00 pm on April 18, 1995 at the Vernon City Hall Council Chambers. Normal Operations Industrial, Service Charge Per Month Current Rate Meter Size 94 -95 Proposed Rate 543' $4.00 $3.35 3/4' $5.00 $5.03 1' $6.00 $838 1 12' $7.00 $16.77 2' $10.00 $26.83 3' $12.00 $50.30 4' $16.00 $83.84 6' $21.00 $167.68 8' $25.00 $268.29 Fire Service Vernon 1 Sprinlder, Service Charge Per Month Current Rate Meter Size 94 -95 Proposed Rate 4' $22.00 $2.00 6' $33.00 $2.00 8' $45.00 $2.00 10' $55.00 $2.00 Vernon 2, Charge per Head Per Year Proposed Proposed Current Rate Unmetered Rate Metered Rate $0.90 $0.90 $O.0 All Districts Charge per Square Foot Proposed Rate Per Year 0.0157 Commodity Rate per Ccf Current Rate Proposed Rate Vemon 1 $0.970 $0.806 Vernon 2 $0.990 *806 CN304469 Apr 6, 1995 Page 1 of 1 CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE The City of Vernon Water Department has evaluated the existing water rate structure and is proposing new rates to reflect a more equitable method of pricing water service to its customers. Water service in an industrial community serves two (2) important functions: 1. It supplies water for use in industrial application (commodity) , and 2. It provides a source of water to be used in fire protection activities. The Building Code requires a source of water for fire protection when developing industrial buildings. The new rates were developed by assigning fire protection related costs to customers based on the size of buildings and outside storage and the commodity related costs based on the amount of water used. This approach recovers the true cost of fire protection use from the square footage charge and the true cost of water service from the commodity charge. The proposed rate schedule is available at the City Hall between the hours of 7:00 am and 5:30 pm, Monday thru Thursday. Please note that those properties that currently have unmetered fire services will be required to have a meter installed in the next few years. At that time the per head charge will be eliminated. A public hearing on the proposed rate schedule is scheduled for 5:00 pm on April 18, 1995 at the Vernon City Hall Council Chambers. Normal Operations Industrial Service Charge Per Month Current Rate 94 -95 Proposed Rate Meter Size 5/8" $4.00 $3.35 3/4" $5.00 $5.03 1" $6.00 $8.38 1 1/2" $7.00 $16.77 2" $10.00 $26.83 3" $12.00 $50.30 4" $16.00 $83.84 6" $21.00 $167.68 8" $25.00 $268.29 Fire Service Vernon 1 Sprinkler Meter Size Service Charge Per Month Current Rate 94 -95 Proposed Rate 4" $22.00 $2.00 6" $33.00 $2.00 8" $45.00 $2.00 10" $55.00 $2.00 Vernon 2 Charge per Head Per Year Proposed Proposed Current Rate Unmetered Rate Metered Rate $0.90 $0.90 $0.0 All Districts Charge per Square Foot Proposed Rate Per Year 0.0157 Commodity Rate per Ccf Current Rate Proposed Rate Vernon 1 $0.970 $0.806 Vernon 2 $0.990 $0.806 wr.pro AFFIDAVIT OF MAILING I, Patricia Salerno, declare as follows: 1. That I am employed in the Community Services Department in the position of Secretary to the Director of Community Services. 2. That on March 22, 1995 I mailed a copy of the NOTICE OF PUBLIC HEARING to be held on April 18, 1995, (see attached copies) regarding City of Vernon Water Department Proposed Rate Schedule to the owners, tenants and interested parties on the attached lists by United States Mail with postage prepaid. CITY COUNCIL LEONIS C. MALBURG Mayor THOMAS A. YBARRA Mayor Pro -Tem Wm. "BILL" DAVIS Councilman H. "LARRY" GONZALES Councilman W. MICHAEL McCORMICK Councilman BRUCE V. MALKENHORST City Administrator /City Clerk FAX: (213) 581 -7924 4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 TELEPHONE (213) 583 -8811 CITY HALL CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE DAVID B. BREARLEY City Attorney FAX: (818) 330 -5818 Community Services & Water FAX: (213) 588 -2761 KENNETH J. DeDARIO Director of Light & Power FAX: (213) 583 -1983 DAVE TELFORD Fire Chief FAX: (213) 581 -1385 LOUIS ROSENKRANTZ Police Chief FAX: (213) 581 -1178 In Reply Refer to: The City of Vernon Water Department has evaluated the existing water rate structure and is proposing new rates to reflect a more equitable method of pricing water service to its customers. Water service in an industrial community serves two (2) important functions: 1. It supplies water for use in industrial application (commodity), and 2. It provides a source of water to be used in fire protection activities. The Building Code requires a source of water for fire protection when developing industrial buildings. The new rates were developed by assigning fire protection related costs to customers based on the size of buildings and outside storage and the commodity related costs based on the amount of water used. This approach recovers the true cost of fire protection use from the square footage charge and the true cost of water service from the commodity charge. The enclosed Table outlines the proposed rate schedule. Please note that those properties that currently have unmetered fire services will be required to have a meter installed in the next few years. At that time the per head charge will be eliminated. A public hearing on the proposed rate schedule is scheduled for April 18, 1995 at the Vernon City Hall Council Chambers. Normal Operations Industrial Service Charge Per Month Current Rate 94 -95 Prorx�GPr3 Rat Meter Size 5/8" $4.00 $3.35 3/4" $5.00 $5.03 1" $6.00 $8.38 1 1/2" $7.00 $16.77 2" $10.00 $26.83 3" $12.00 $50.30 4" $16.00 $83.84 6" $21.00 $167.68 8" $25.00 $268.29 Fire Service Vernon 1 Sprinkler Meter Size Service Charge Per Month Current Rate 94 -95 Proposed Ra 4" $22.00 $2.00 6" $33.00 $2.00 8" $45.00 $2.00 10" $55.00 $2.00 Vernon 2 Charge per Head Per Year Current Rate Proposed Rate $0.90 $0.10 All Districts Charge per Square Foot Proposed Rate Per Year 0.0157 Commodity Rate per Ccf Current Rate Proposed Rate Vernon 1 $0.970 $0.806 Vernon 2 $0.990 $0.806 wr.pro •� I ter r EC ow P.O. Box 60859, Los Angeles, CA 90060 Phone: (2131 628 -4384 Fax: (213) 687 -3886 i N ' J I C E 001349 04/06/95 G304469 NOTICE PROPOSED RATE SCHEDULE 85.00 MS. PATTY SALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office intelropo 1 K- 4: f . • ter rise P.O. Box 60859, Los Angeles, CA 90060 Phone: (213) 628 -4384 Fax: (213) 687 -3886 Customer Ref. Number I R ppR 1 0 1995 coonunIty se' Our company extends credit only to some law firms, banks, escrow companies, and advertising agencies. It is to those concerns - and not their clients or customers - to which the credit is extended, and it is they who are liable for all charges, irrespective of whether payment is recovered by them from their client or customer. Fed. I.D. 95- 3034078 Terms: Net 30 Days Original Copy Customer No. Invoice Date I Invoice Number Description 001349 04/06/95 G304469 Amount NOTICE PROPOSED RATE SCHEDULE MS. PATTY SALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office Tlletropo lerprise ea„ P.O. Box 60859, Los Angeles, CA 90060 'hone: (213) 628 -4384 Fax: (2131 687 -3886 Customer Ref. Number Description NOTICE PROPOSED RATE SCHEDULE MS. PATTY SALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office CHARGE 1)11-,1n1-106-556 DAT/ "5 ACT AMOUNT DUE 85.00 85.00 Our company extends credit only to some law firms, banks, escrow companies, and advertising agencies. It is to those concerns - and not their clients or customers - to which the credit is extended, and it is they who are liable for all charges, irrespective of whether payment is recovered by them from their client or customer. Fed. I.D. 95- 3034078 Terms: Net 30 Days Customer Copy Customer No. Invoice Date Invoice Number 001349 04/06/95 G304469 AMOUNT DUE Amount 85.00 85.00 INVOICE Remittance Copy - Please return with payment ADVERTISER PROOF MS. PATTY SALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office NOTICE PROPOSED RATE SCHEDULE On the right is a printed copy of your LEGAL NO- TICE as it has appeared in the METROPOLITAN NEWS- ENTERPRISE, a newspaper of general circula- tion in the City of Los Angeles, the County of Los Ange- les, and the State of California, as adjudicated in Los Angeles Superior Court Case No. 601165. The notice has been scheduled for publication on the following date(s): Apr 6, 1995 Please check carefully to verify that the text of the no- tice, the publication date(s) and the newspaper selected are correct. In case of error immediately call 213 -628- 4384. Thank you for your business. METROPOLITAN' NEWS - ENTERPRISE 210 S. Spring St. Los Angeles, CA 90012 Phone: 213- 628 -4384 Fax: 213- 687 -3886 Cust. Num.: 001349 Cust. Ref. Null.: Control Num.: 304469 1 IIIII III III IIII IIII III III III CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE The City of Vemon Water Department has evaluated the foisting water rate structure and is proposing new rates to reflect a more equitable method of pricing water service to its customers. Water service in an industrial commurrty serves two (2) important functions: 1. It supplies water for use in industrial application (commodity), and 2. t provides a source of water to be used in fire protection activities. The Building Code requires a source of water rot fee protection when developing industrial build- ings. The new rates were developed by assign- ing fire protection related costs to customers based on the sae of buildings and outside storage and the commodity related costs based on the amount of water used. This approach recovers the true cost of fire protection use from the square footage charge and the true cost of water service from the commodity charge. The proposed rate schedule is available at the City Hall between the hours of 7:00 am and 5:30 pm, Monday thru Thursday. Please note that those properties that currently have unmetered fire services will be required to have a meter installed in the next few years. At that time the per head charge will be eliminated. A public hearing on the proposed rate schedule is scheduled fa 5:00 pm on April 18, 1995 at the Vemon City Hall Counol Chambers. Normal Operations Industrial, Service Charge Per Month Current Rate Meter Sae 94 -95 Proposed Rate 5$' $1.00 $3.35 3/4' $5.00 $5.03 1' $6.00 $8.38 1 12' $7.00 $16.77 2' $10.00 $26.83 3' $12.00 $50.30 4' $16.00 $83.84 6' $21.00 $167.68 8' $25.00 $268.29 Fre Service Vernon 1 Sprinider, Service Charge Per Month Current Rate Meter Size 94 -95 Proposed Rate 4' $22.00 $2.00 6' $33.00 $2.00 B' $45.00 $2.00 10' $55.00 $2.00 Vernon 2, Charge per Head Per Year Proposed Proposed Current Rate Unmetered Rate Metered Rate $0.90 $0.90 $0.0 All Districts Charge per Square Foot Proposed Rate Per Year 0.0157 Commodity Rate per Ccf Current Rate Proposed Rate Vernon 1 $0.970 $0.806 Vernon 2 $0.990 $0.806 CN304469 Apr 6, 1995 Page 1 of 1 .JECLARATION OF PUBLICATIOia STATE OF CALIFORNIA COUNTY OF LOS ANGELES MS. PATTYSALERNO CITY OF VERNON 4305 Santa Fe Avenue Vernon, CA 90058 Attn: City Clerk's Office NOTICE PROPOSED RATE SCHEDULE The undersigned says: I am over the age of 18 years and a citizen of the United States. I am not a party to and have no interest in this matter. I am a principal clerk of the METROPOLI- TAN NEWS- ENTERPRISE, a newspaper of general circulation in the City of Los Angeles, the County of Los Angeles, and the State of California, as adjudicated in Los Angeles Superior Court Case No. 601165. The no- tice, a printed copy of which appears hereon, was pub- lished on the following date(s): Apr 6, 1995 I declare under penalty of perjury that the foregoing is true and correct. Executed at Los Angeles, California on 04/06/95. signature METROPOLITAN NEWS- ENTERPRISE 210 S. Spring St. Los Angeles, CA 90012 Phone: 213- 628 -4384 Fax: 213- 687 -3886 Cust. Num.: 001349 Cust. Ref. Num.: Control Num.: 304469 1 IIIII III III 110 IIII III III III CITY OF VERNON WATER DEPARTMENT PROPOSED RATE SCHEDULE The City of Vemon Water Department has evaluated the existing water rate structure and is proposing new rates to reflect a more equitable method of pricing water service to its customers. Water service in an industrial community serves two (2) important functions: 1. It supplies water for use in industrial application (commodity), and 2. It provides a source of water to be used in fire protection activities. The Building Code requires a source of water for fire protection when developing industrial build- ings. The new rates were developed by assign- ing fire protection related costs to customers based on the size of buildings and outside storage and the commodity related costs based on the amount of water used. This approach recovers the true cost of fire protection use from the square footage charge and the true cost of water service from the commodity charge. The proposed rate schedule is available at the City Hall between the hours of 7:00 am and 5:30 pm, Monday thru Thursday. Please note that those properties that currently have unmetered fire services will be required to have a meter installed in the next few years. At that time the per head charge will be eliminated. A public hearing on the proposed rate schedule is scheduled for 5:00 pm on April 18, 1995 at the Vernon City Hall Council Chambers. Normal Operations Industrial, Service Charge Per Month Current Rate Meter Size 94 -95 Proposed Rate 5'8' $4.00 $3.35 3/4' $5.00 $5.03 1' $6.00 $8.38 1 1/2' $7.00 $16.77 2' $10.00 $26.83 3' $12.00 $50.30 4' $16.00 $83.84 6' $21.00 $167.68 8' $25.00 $268.29 Fire Service Vemon 1 Sprinkler, Service Charge Per Month Current Rate Meter Size 94 -95 Proposed Rate 4' $22.00 $2.00 6' $33.00 $2.00 8' $45.00 $2.00 10' $55.00 $2.00 Vernon 2, Charge per Head Per Year Proposed Proposed Current Rate Unmetered Rate Metered Rate $0.90 $0.90 $0.0 M Districts Charge per Square Foot Proposed Rate Per Year 0.0157 Commodity Rate per Cot Current Rate Proposed Rate Vernon 1 $0.970 $0.806 Vernon 2 $0.990 $0.806 CN304469 Apr 6, 1995 Page 1 of 1