HomeMy WebLinkAbout1996-05-23 City Council (12)TO:
BUDGET 1996-98
City of Palo Alto
City Manager’s Report
HONORABLE CITY COUNCIL
ATTENTION:FINANCE COMMITTEE
FROM:CITY MANAGER DEPARTMENT: UTILITIES
DATE:MAY 23, 1996 CMR:263:96
Utilities Bill ComparisonsSUBJECT:
RECOMMENDATIONS
This is an informational report and no Council action is required. This report indicates
the total bill impact of the proposed rate adjustments for FY96-98 on Palo Alto
residents and businesses. It also compares a typical utilities bill in Palo Alto with utility
bills in surrounding cities.
POLICY IMPLICATIONS
This report does not represent any change to existing policies.
EXECUTIVE SUMMARY
The following table indicates the proposed rate adjustments for FY96-98 by fund. The
adjustments are expressed as a system average percentage, but the actual percentage
change in a customer’s bill may vary by usage level.
UTILITY PERCENT CHANGE IN PERCENT CHANGE IN
FISCAL YEAR 96-97 FISCAL YEAR 97-98
WATER +6 +7
GAS -12 0
ELECTRIC 0 0
WASTEWATER -9 0
COLLECTION
REFUSE +9 +9
STORM DRAIN 0 0
CMR:263:96 Page 1 of 2
Attached to this report are Tables 1-3 showing the approximate bill impact of the
proposed utility rate adjustments for the next two years, as well as current rate
projections through FY2000-01. The percentages in the table reflect the staff rate
proposals and are a better indication of the bill impact upon a specific size and class of
customer than the system average numbers above.
Table 1 indicates that the combined bill impact for the rate proposals on a residential
customer is approximately 1.4% and 3.9% for FY96-97 and FY97-98 respectively.
Table 2 indicates that the combined bilJ impact of the rate proposals for a commercial
customer is approximately -2.5% and 1.3% for FY96-97 and FY97-98 respectively.
Table 3 indicates that the combined bill impact of the rate proposals for an industrial
customer is approximately -3.1% and 0.7% for FY96-97 and FY97-98 respectively. It
is important to note also that utilities bills for FY 1995-1996 were below the previous
year’s level for all classes of customers.
Table 4 (attached) compares a residential utilities bill in Palo Alto with similar utility
bills in Surrounding cities.
FISCAL IMPACT
The fiscal impact of the proposed rate changes
proposal staff reports.
is identified in the respective rate
PREPARED BY:Randy Baldschun, Assistant Director of Utilities,
Administrative Services
DEPARTMENT HEAD REVIEW:
CITY MANAGER APPROVAL:
of Utilities
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CMR:263:96 Page 2 of 2
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