HomeMy WebLinkAbout0310.092,I
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June 18 f 1992
THE HONORABLE CITY COUNCIL
Palo Alto, California
.finance committee Reco~t"ndationL.for water P,ates
Memhers of the Council:
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This is an info~ational report ~hich transmits the Finance
Committee recommendation to the City Council for F'i 92-93 .... ater
rates and provides information on anticipated rates for FY 93-94.
Applicable wate~ rate schedules and a resolution are attached.
Background
staff originally proposed (CMR:263:92) a $3.5 million or 34 percent
water revenue increase effective 7-.1-92. At the utilities Advisory
commission (UACJ and Pinance committee meetings recently held to
discuss the Utilitie~ Budget, there was considerable discussion on
the water Fund and the staff water rate proposal. At the budget
wrap-up on June 9th, the Fina~ce Committee appr~ved an alternative
water rate recommendation to the City Council.
Finance Committee Water Rate Proposal
The Finance Committee recommends a $2.425 million or 24 percent
water revenue increase effectivQ July 1, 1992. This proposal would
reduce the transfer to th0 General ~und fro~ $1,59?,OOO to
$1,123,000, based on a 7~9 percent rate of return rather than the
full e~~it¥ rate of return of 11.25 percent~ The difference of
$476,000 would. then be used to fund the Water Fund reserves.
Specifically, the Transfer Stabilization Reserve {TSR) would be
funded at a level of $276,000 and the System Improvement Reserve
(SIR) wou1d be funded at a level of $200,OOO~
The original staff proposal establishes a funding level for the
reserves in F'i 92-9J and thereby the need for a FY 93-9·4 water r-ate
incl.'ease would be limited to basically finan.::in'1 the Infrastructure
Project~ Accordingly, the budget document indic:ates a 14 percent
revenue increase in FY 93-94, assuming that water sales remain at
current levels through FY 9J-94~ However I the Finance committee
proposal would $ubsta~tially reduce the staff's proposed fundinq of
reserves through the next two years. Therefo~e, to achieve the
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level of reserve funding reco!UIIl;end~cl l:-y staff, adoption of the
Finance Committee proposal tor a 24 percent revenue increase i~ FY
92-9) vou.ld likely reg'Liir-e a subsequent 24 percent r-evenue increasE:
in F¥ '>3-'>4.
Tbe staff proposal spreads the increase in such a manner so th~t
the percentage incre~se in a customer l 5 bill, regardless of size,
is within a. relatively close range.. The advantage of this rate
Q~siqn is that smaller users would not experience a
disproportionately 'nigh percentage bill increase.. In contras.t, the
Finance COllU:littee rate design proposal spreads the increase on
approximately an equal cents per :.m..U. of \later. This approach
helps to flatten the rate structure, 'Which vil1 facilitate the
eventual transition to normal ~ate~ pricing~ More discussion of
this transition is found in CKR:26J:92. Also, spreading more of
the revenue requirement to the initial rateblocks can impr'Ove
revenue staDility to the Utility. On the downside, the resulting
percentage increases will necessarily vary considerably among the
cust.omers which is illustrated on the table below. This will
likely upset 1:ior-e customers than perhaps other approaches if they
perceive that they are being penalized hecause they have conserved.
Both proposals introduce similar-rate structural changes. They
reduce the number of rateblocks from five to four for the
residential ~!'\d non-residential drought rate schedules which tends
. to flatten the rate structure.. Both proposals also reduce the
hiqh~st price tailblock and Gstablish new tailblock endin9s~
Finally, both proposals raise the monthly customer charge which
also accounts for the higher percentage bill increase for
relatively small water U5ers~
Impact on customer Bills
'!'be followinq chart indicates the customer bill impact of the
Finance committee recommendation:
Osage Monthly Amount ot Percent
customer .!£IT). lUll Incr_ea?~ Increase
single FalII. Res-small 7 $14.15 $4.65 49.0
Single Fam. Fes. avg. 9 19.43 5.55 40.0
Single Fam. Res. 14 32.63 7.80 31.4
Single Fam. ~es. 20 69.63 10.50 17.7
Single FaIll~ Res.-larqe 35 207.83 17.25 9.0
Single F ..... Res.-vy 19 50 345.83 24.00 7.5
Non-residential IBCA N/A N/A 38.0
Non-residential 2BCA NjA N/A 28.5
Non-residential 3BCA N/A NjA 13.7
Non-residential 5BCA NjA NjA 9.7
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A com9arison of Palo Alto's e~isting water rates vith the rates
charged in nearby co~unities iE shown on Exhibits one and two.
Exhibits three and tour provide a comparisor! of the Finance
Committee'E proposed rates vith the ~ater rates of nearby
communities.
~ter Rate Schedules
Attached to this report are the applicable 'Water rate schedules
reflecting the Finance committee recommendation. These schedules
are based on a 2( percent revenue increase. Providing these rate
schedules and resolution 3't-this time will enable the council to
take action at its June 22nd meeting rather than require suhsequent
action on this item while rate gchedules are prepared. This will
prevent a loss of needed rev~nue that would result if the rates are
not in place in ti~e for a July I, 1992 start.
summary
The staff has recommended Council approval of a 34 percent ~ater
revenue incredse effective 7-1-92. The Finance committee reviewed
the staff p~oposal and is not ~ecommending council approval of that
rete action. Instead, the Finance r~commends Council approval of
th~ attached Resolution increasing ~ater revenue approximately 24
percent effective 7-1-92.
Respectfully submitted,
W. RANDY BALIlSCHUN
Mansqer, Rates and customer Services
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CHARD L,/,{OliNG cf -
, ire.ctor Pf_ Utili'ties I if' ~\ILLJl~ ~"'f;:nt ~"it~nager
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Attachments: Resolution
Rate Schedules W-l, W-2J W-), W-6, W-7
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ExHIBIT ONE
June 10, 1992 WATER RATE COMPARISON
REStDENTIAL
·::;~:~!;;::;,;;:~~2~
US 00
:30.00 -
25.00
2000
16. 00 -
woo
6.00
000
Existing
Rates
" k~'~~',;~·
MUM hly 13ill
,~-~---------,._------------.-~----y ---.--~,------------
/ G (AVe;, BiI! in P,/I) 1.1
US:Jue I,:vul (C'('I)
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27.98 i
-Palo Alto wf!l Menlo Park L_--' Mountain View .. lOG Alto.
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EXHIBIT Two
June 10, 1992
WATER RATE COMPARI$ON
RESIDENTIAL
$
400()O
350.00
300.00 -
250.00 .
200.00 .
7500{) -
000
.----. -.. -·-··-'--"-1 /vIonltd.v l3il~_._ .... -.. -.----.. ---321.83 289.48 I ,,-
59.33 59.23 49.10
-_.32.70
2(1
190.58
:Jfj
Usane L eve! (CCF-)
(0
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154.90 I
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-Palo Alto e£l Menlo Park [-·7 Mountain View _ Los Altos
EXisting Rates
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EXHIBIT THREE
JUlie 1, 1992 WATER RATE COMPARISON
RESIDENTIAl,
$ Monlilly ilil!
'1000
:35.00
3000
."?5.00
;)0.00
JSOO -
10,00
(-),00
0.00 -
,---'---'---------.. -'------~-·---l
32.63 29.24 27.98 I
20.99 20.38
22.62 I
4.15
17.81 17.34
11.16
19.43 14.32
_ Palo Alto
Proposed
92/93
" (!\v(; U,II ill PAl
!i."'d[l!J L!}\/o/ (GeF)
l'.iS'il Menlo Park
EXisting
91/92
C:~ Moun\~in View
Existing
91/92
; ~1
alos Alios
EXisting
91/92
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EXHIBIT FOUR
June 1. 1992 WATER RATE COMPARISON
RESIDENTIAL
$ MOrltt:ly flill
/f-----~------.-
£100,00
345.83 289.48
350.00
:300.00
207.83
250.00
200.00
1bOJJO
69.83 59.23 49.10
32.70 -le;o 00
50.00 -
uoo _ .. -
.~_-'0
• Palo Alto
proposed
92/93 rates
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I i e ,/(}.-) I ~)\l " ((--"('1':-1 L/Llddt-L b v(-:~I ! jlj /
~M .. n\o Park
existing
91192 rates
~. -, L_--' Mountain View
eXisting
91192 rates
50
154.90
27.20
_Los .... Ito.
existing
91/92 rates
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o RESOWTION NO. -....
RESOWTION OF THE' COUNCIL OF THE CITY OF PALO ALTO
ADOPT!NG UTILrTY RATE SCHEDULES W-l, W-2, W-J,
W-6 1 AND 111-7 IN ORDER TO IMP.I.EKENT DROUGHT RA.TE
SCHEDULES FOR THE C17Y
WHEREAS, the Council of the city of Palo Alto has condi.lcted
a public hearing and declared in Ordinance No. 3960 that a water
shortage emergency ~xists~
WHEREAS, such water shortage emergency re:cains in
existence.
NOW, THEREFORE, the council of the city of Palo Alto does
hereby RESOLVE as follows:
~ION 1. Pursuant to Section 12.20.010 of the Palo Alto
Municipal Code, Utility Rate Schedules W-l, W-2, W-3 1 W-6; and W-7
are hereby approveQ and ad~pted as shown on Sheets W-l-1, W-2-1,
W-2-2, W-J-l, W-J-2, W-6-1, W-£-2, W-6-3, W-7-1, W-7-2 and W-7-3
attached hereto and incorporated herein.
SECTION 2. The foregoing rate schedules shall become
effective as of July 1, 1992.
~ON2. The council finds that the revenue derived from
the authorized adjustments of said rates hy the city Manager shall
be used only for the purposes set fcrth in -tbe Palo Alto City
Charter, Article VII, section 2, entitled "PUblic utilities
Revenue.-The adept ion of this Resolution is, therefore, specifi
cally exempted under the Public Resources Code Section 21080(h) (8)
from the requirements of CEQA.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST: APPROVED:
City Clerk Mayor
APPROVED AS TO FORM: City Manager
City Attor-ney Director of Finance
Director of Utill·'t"i"e"s;:-----
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GENERAL WATER SERVICE
UTIUTYR.b,TE SCHEDULE W-1
A. APPLICABILITY:
This schedule appnes to an water servi~ and may complement Drought Rate Schedu!e W<l
and W-7 when a water shortage emergency exists ;0 the City of Palo Alto.
B. TERRITORY:
Inside and outside t"e incorporated 1i00~S of the C~ of Palo Alto and land owned Of leased
Of the C~. .
C. RATES:
Service Charge:
PEr Meter
Per Montn
FOf SjB-inch meter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 4.00
For 3/4 inch meter ....................................... 4.00
For 1 inch meter ....................................... 4.50
For 1 1/2 inch meter .................... . . . . . . . . . . . . 5.20
For 2-inch meter ....................................... 6.80
For 3-inch meier ................................ 11.30
For 4-inch meter ...................................... 16.20
For 5-inch meter .......•.............................. 30.00
For a·inch meier ...................................... 46.75
For 10-inch meter .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58.00
COmmoditv Rate' (To be addad Service Charge and appncab1e to all pressure zones.)
Per Meter
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Fvst 10 Cd
Next 10 Ccf
Next 20 Cd
Next 10 Cd
Over 50 Cd
Per Hu r1(jred Cubic Feet
Pr~re Zones
1 thrQuoh 4 5 through 7
$1.45 $1.60
2.00 2.20
2.64 3.18
6.20 6.60
9.20 9.60
Temporary unmetered service 10 residenlial
sutxf.'Vision developers, per connection ...................... . $4.00
CITY OF PALO ALTO UTILITIES
Issued by the C~ Counc.
Supersedes SIleet No. W-1·! dated 7·1·S1
Effect.'ve 7-1·92
Sheet No. W-1-1
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WATER SEAVICE FROM FIRE HYDRANTS
A. APPLICABIUTY:
This schedule appnes to arr watGr taken from fire hydrants tor construction, maintenance,
and' other uses in conformance w:th provisions of a Hydrant Meter Perm;t
e, TERRITO AY:
Within the water service are of the City 01 Palo Alto.
C, RATES:
METER SIZE
MONTHLY MINIMUM
SERVIC!;~t'~
5/8 inch .............................. , . . .. S 50.00
3/4 inch , .... , . . . . . . . . . . . . . . . . . . . . . ............. 50.00
1 inch ...... , ......... , ............................. 75 'Xl
1 1/2 inch ....................................... , ..... 75.00
2 inch ....... , . , ................................... 100.00
3 inch,. , , ............... , .. , . . . . . . ........... 125.00
4 inch. , .............. , . . . . . . . . . . . ............... 15000
6 inch, .... , ............ , .. , ....................... 200.00
8 inch ....• , ........... , ........................... 250.00
10 inch .....•..... , •. , ................. , ............ 300.00
2. CommooIl)! Rate: (per hundred cubic feet) ...................... 52.75
D. SPECIAL NOTES:
Any applicant using a hydrant without obtaining a Hydrant Meter Perm~ or any
permittee using a hydrant without a Hydrant Meter Permh shall pay a lee of $50.00
for each day 01 such use in add~ion of aIT other costs and fees provided in this
schedule. A hydrant perm~ may be denied 0( revoked for facture to pay such lee.
CITY OF PALO ALTO UTILITIES
Issued by the City Councii
Supersedes Sheet No. W·2·1 dated 7·11·88
Eneclive 7,'·92
Sheet No. W·2·j
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WATER SER\1CE FROM FIRE HYDRANTS
UTILITY RATE SCHEDULE W-2
(Conlinued)
2. A meter deposIT of $500_00 mey be charged any applicanl for a Hydrant Meier
Permit as a prerequisite to the issuance of a permit and mete r. A chaige of
$50.00 per day will be added tOi deOnquent return of hydrant met~rs.
3. Any person or company usi:'"lg a fire hydrant as described in 01 above or who
draws water form a hydrant without .3 meter il1stafied and propsrly recording
usage shan, in addition to ar. ot~er appficable charges be subjeC110 criminal
prosecutjon pursuant to the Palo JJto Municipal Code.
CITYOF PALO ALTO UTILITIES
Issuoo by !he CITy Council
Effective 7·1·92
Original Sheet No. W-2-2
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FIRE SERVICE CONNECTIONS
UTILITY RATE' SCHEDVb~""§
A. APPLICABILITY:
This schedut~ appiies to all public fire hydrants and private fire ser..rice cor.nect:ons.
B. TERRITORY:
Inside the incorporated fimits of trle City of Palo Aito and on land owned or leased by the
cay witllin an service areas.
C. RATES:
P1Jbflc Fire Hydmnt . . . . . . , . . . . , . . . . . , . . . . . , . , , ....... , . $5.00
Private Fire Service:
4·inch ccnnection .............. ' ..... , ...... , ........ , S 4.20
6-inch connection ... , ...................................... 7.00
8-il1ch connection .................... , ...... , ..... , , , ..... 10,75
10·inch connection .......... , ... , .............. ' ....... ' , , . 15.75
2. ComrnocilY (To be added to Service Cha'ge lill= water is used for fore
extinguishing or lesting purposes.)
Per Hundred Cubic Feet
All waler usage ............. , ............................ $10.00
SPECIAL NOTES:
1. Service under this schedule may be discontinued if water is used for any purpose other
than fire extinguishing or water used in test1ng and repa\ring the fJre extinguishIng
facilities. Such water used ~~r other purposes is illegal 8rld wi!! be subject to the
comlT<lCf1ty charge as noted abcve and fines.
2. No commodity charge wiil appiy for water used fO( fire extinguishing purposes,
3. For a combination water and fire ser.rice, the general water servlce schedule shan apply.
CITY OF PALO ALTO UTILITIES
I%"ed by the City Council
5<Jpersedes Sheet No. W-3-1 dated 7-1-83
_ 2 ,. 77 .. f "wJ!l'C ,;~..o_ ..... "'.
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Effective 7-1-92
Sheet No, W-3-1
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FIRE SERVICE CONNECTIONS
J,JTiliTt RATE SCHEDULE 1'1-3
SPECIAL NOTES; (C<>r1td)
4. Utilities Rule al1d Regulation No. 21 A provides adjit~onal ir'lfo~m3tion on Al,,;"'tomatic Fire
Ser.ices_
5. R$pairs and testing of fire extinguishing facHrties me not considered '.mautrlorized use of
water II records and documentation is supplied by \he customer.
6. Unauthorized use of water which is unrelated to fire protection is subject to (liminal
prosecution pursuant to the Palo Alto Municipal Code.
CIlYOF PALO ALTO UTILITIES
Issued by the CrIy Council
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Effective 7 -1-S2
Original Sheet No. W-3-2
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DROUGHT RATE SCHEDULE
UTILlTYflATE SCHEDULE W=6
A. APPUCABILlTY:
This schedule complements Rate Schedule \1'1-1 and applies to single family residential water
serVice during a period .. ¥hen a water shortage emergency coMition ex(sts In tt'1e City of Paro
Alto and its distribution area.
B. TERRITORY:
Inside the inoorpcrated limits of the City of palo Alto, on land owned or leased by tile City,
and any other land serviced by toe Palo Alto Water Utiliiy.
C. RATES:
Service Charae
Per Meter
Per Month
For 5/6-inch meIer. . . . . . . . . . . . . . . . . . . . . . . . . . $ 4.00
For 3/4,1nci1 meier ....................................... 4.00
For 1-inch meter ....................................... 4.50
For 1 1/2 inch meier ...................................... 5.20
For 2 inch meter ...........................•........... 6.80
For 3-inch meter .. ... _ . . . . . . . . . . . . . . . . . . . . . . . . . . . .... ' 11.30
For 4-inch meter .•................. ..•..... _ . . . . . . . . .. 16.20
For 6-inoh meter ...................................... 30.00
For 8-inch meter ...................................... 46.75
For 1Q-i'lCh meter .. _ ................................... 5800
~~'ly Rates: (io be addeQ.JQServic~ ChaC9lD
Per Meter
Per Month
Per Hundred Cubic Feet
~JI Pressur.~J~
FIrSt 7 cd (Baseijne Allowance) .. . . . . . . . . . . . . . . . . . . . . . . . . . .. $ 1.45
6 cc! -14 ccf ........................................... 2.64
15 cd -20 ccf .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.20
Over -20 ccf ........................................... 9.20
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. W-6-1 dated 7-1-91
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Effective 7·1-92
Sheet No. W=6-1
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O. HARDSHIP EXCEPTIONS:
DROUGHT RATE SCHEDULE
UTILITY RATE SCHEQIJb.~
(Conti nued]
p,ny person seeking an exceptro!"! to any provisfol1 of this rate schedufe shall file a written
appncation lYit~ the SupelYisor, Utliities Customer Service Center. The 'SJpervisor' cx his
/her designee may act upon said appllcat;on, seek f....Jrther information, or ho~d an imot'mai
hearing. The burden of establishing a hardship shan be upon the applicant.
App~cations shaJ! be granted only after the customer has adopted ali practicable water
conservalioo measures, and ff the applicant establishes thai this rate schedule or Hs
appfication to appHcanfs srl1...lation creates or wou:d tend to create: aJ a detrimental cond;:ion
at!ecting the heatth. sanitatior. or safety of the applicant or the general public. or bj have an
extraordinary or unuslJaf adverse economic impact such as ~ss of production or jobs, or c)
the appflcant has six or more full time permanent residents at the dwening and comp!ies wfth
the l.JtHity Departme"!s criteria lor a 'per capita" allowance. Based on L'1e appr,canl
estabflshing that one or more of the foregoing hards:"11p conditions exists, t"1e ·Super ..... !sor"
may aDjust the customer's bm or serve such customer under an aftemate ",";ater rate
schedule. The "SupelYisor" may deny an applicants request for an exemption 10 this ratB
scl1edule d r.e or she deems that granting such exemption is inequitable, administratively
impracticable. or materiaUy impacts the Utility system costs in an adverse marmer .
... .pplications denied by tna "Supervisor" may be appealed to t.~e Director of Utilities within five
days thereafter. The decision of the Director of Utilities shall be final.
e. CHARGES FOR FLOW RESTRICTING DEVICES:
Under certain conditions, cus!omers who use ill excess of 50 ccf/month may be subjected
to instafiation of a flow restricting device. lr, the event rc becomes necessary to install or
remove a flow-restrictirlg device on the s~rvice Ijne of any customer violating any provisions
of the City's ordinan...-e on water use or e)(ceed~ng the "m.aximum cap· of 50 cd/month, t,e
following charges will app~t for knsta~iat!or, of flow-restr'lcting d-avlces or tor restoring service:
Meter Slz.e
5/S" 10 I"
1·1/2" 10 2"
3' and larger
Inmanation Cos!.
$25.00
50.00
Actual Cost
Be moval Cost
$25.00
50.00
Actual Cost
Actual COS! will 'nclude all malerial, labor. equ'p!l'8nt. ar'(! overhead charges.
CITYOF PALO ALTO UTILITIES
Issued by the City CrJUncil
Supersedes Sheet No W-6-2 dated 7-1-91
Effective 7-1-92
She"t No. W-6-2
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F. DISCONTINUANCe OF WATER SERVICE:
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DROUGHT RATE SCHEDULE
UTILITY RATE SCHEDULE W-6
(Cootinued)
Continued water consumption in violation 01 the City's ordinance on Wdter Use Restrictions
may resu" in the discontinuance of water service by the City. A cl1arge 01$250 shall be paid
prjor to reactivating the ~ervice.
CITY OF PALO ALTO UTiUTIES
Issued by the City Cou neil
Effective 7-1-92
Original Sheet No. W-6-3
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A. APPUCABILI1Y:
DROUGHT RATE SCHEDULE
UTllI1Y RATE SC!iE;P U LE W" 7
This schedule romplerroenls R.Ie Schedule W·1 and applies to nO{Hesidenliai water service
during a period when a water shortage emergency condition exists in t"e City of Paio Alto
and its distribution area. This schedule IS also 6pp~icable to muh:i-family residential customers
served through a master meter and in som e cases, 5 ingle fam! Iy residentiaI customers wr.o
have been gfarrtoo an exemption from service under Rate Schedule W~.
S. TERRITORY:
Inside the incorporaled limits 01 !he City of Para Mo, on land own ad Of leased by the City,
and any other land serviced by the Palo Alto Water Utility.
C, RJlTES:
ServiCle Charge
Per ~J1eter
ftLMQ!1lb
FOf SIS-inch meter ... > > • > • • • • • • • • • • • • • • • • • • • •• $ 4.00
For 3/4-inch meter. . . . . . . . . . . . . . . . . . . . . . . . . . . . ... 4.00
For 1-inch meter ....................................... 4.50
Rlr 1 1/2 inch meter ................................ > ••••• 520
Fer 2 inch meter ....................................... 6.80
Fer 3-inch "",e!er ...................................... 11.30
For 4-incll .neter ...................................... 16.20
For 6-inch meter , ..................................... 30.00
For 8-inch meier ...................... . ......... 1;6.75
For 1O-inch meier . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58.00
eommoditt Rates: (to bY aQQN.~rvice Charge)
Propollion of Baselir19 Consumption
AlIQWance (BCAl
010 .90BCA ....... ..
.90 to 1.50 BCA ..................... .
1.50 to 2.0 BCA .......... .
Over 2.0 BCA ................. .
CITY OF PALO ALTO UTIUTIES
Issued by the City Counc~
Supersedes Sheet No. W-7·! dated 7+91
Per Hundred Cubic Feet
.NIJ~ressure Zones
$ 2.10
260
3.90
9.60
Effective 7·1·92
Sheet No. W-7-1
'j
I
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NQTES:
DROUGHT RATE SCHEDULE
UTILIJY RATE SCHEDULE W-7
(Continued)
The 8asefine Comumption Allowance (SCA) is ;nlended 10 represent a cuslomers monthly
essential water consumption requirement for indOQ( use or business operatlons. The 8eA
is ba..oed on the average consumption Dn units of hundred ~ubic feet) lor an individual
customer (metef) d<.Jring the biiling periods of February and March 1990. Under certain
circumstances, such as the unavai'abf:ity of billing data or the granting or a customer's
req..;'"G"it :or if. variance, the Utllit'l may se!ect alte:rnatrve montr, S or methods to arrive at a
reasooabkt BCA Variances may be granted based on a demoostra:ion of SBasonal
fl\.lCtUations in merna! business water needs, evidence ot ecorrcmlca\ b'..Jsiness hardship or
safety considerations. (See Hardship Exceptions below.)
HARDSHIP EXCEPTIONS:
Arf.J ~ seeking an exception to any provision of this rate schedule sha!1 fiJe a ~'l"jtten
appiication with the Supervisor, Utii~ies Customer Service Center. The ·Superv1sor" or
hts/her designee may act upon said appf1cation, seek. further lnformat1on, Of hold an intormal
hearing. Tt$ burden of estabnshing a hardship shall be upon the appTIcant
Appfications shail be granted only after the customer has adopted all praC'jcab!e water
conservation measures, and ff the applicant establishes that t'lis rate schedule or its
appflC8tion to appflcant's s~uation creates or would lend to create: a) a detrimental condition
affecting the heahh, sanitatiOn or safety 01 the appflcant or the general public, or b) have an
extraordinary 0< unusual adverse economic impact such as loss Of production Of jobs.
Based on the appfjcant establfshing that one or more of the foregoing hardship conditioos
exists, the ·SUpe("\j1SQ(' may adjust the customer's bj.ll lndudtng t~e baseii.ne consumption
a~owance Q( ser\fe such customer under an a!terna!e water fate schedule. The ·Supervrsor"
ma~ deny en applicants request ~or an e:<empticm to th;s rate schedule i1 he or she deems
that granting such ex€mption is inequitable, administratively impracticable, or materially
Impacts the Utiiity system costs in an adverse ma~ner. Applications denied by toe
·Supervise(' may be appealed to the Director of Util~;es within fIVe days thereafter. The
decision 01 the Director Of UtJlrties shall be final.
CHARGES FOR FLOW RESTRICTING DEVlCES:
Under certain conditions, customers who use in excess of 5 times their BCA mav be
SUbjected to lnsta"ation Of a flow restncting device. In the event rt becomes necessary to
install or remove a "ftow·restricting device on the service fine of allY customer (Contd)
CITY OF PALO ALTO UTILmeS
Issued by the City Council
Supersedes Sheet No. W-7-2 dated 7-1-91
--L
Effective 7-1-92
Sheet No. W-7-2
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o
DROUGHT RATE SCHEDULE
tlTILIJYRATE SCHEQl.I~
CHARGES FOR FLOW RESTRICTION DEVICES: (Contd)
vol1ating any prollisioos of the City's ordinance on wale, use Of eXG'eeding the 'maximum
cap' of 5 seA. per monlh, the following charges will apply for iIlsta1ia~on Of flOVHP.stflCting
dellices Of for resion,.,.:. SeMce:
.Mater Slze
5/S' to l'
1·1/2' to 2'
3' and larger
[nstallatiQI1 Cost
$25.00
50.00
Actual Cost
RemQv'''~
$25.00
50.00
Actual Cost
Actual cost will include all material, iabor, equipment, and overhead charges.
DISCONTINUANCE OF WATER SERVICE:
Continued waler ocnsump!ion in v'olation of [he City's ordinance on Water Use Restrictions
may resu.~ in the discorrunuance of Vla!er service by the City. A charge of $250 shail be paid
prior to reactivating the service.
CITY OF PALO ALTO UTILITIES
Issued by the City Council
SuperSedes Sheet No. W·7-3 dated 7-1·91
EffeClive 7·1·92
Sheet No. W·7·3