CITY OF SEATTLE
ORDINANCE __________________
COUNCIL BILL __________________
title
AN ORDINANCE relating to wastewater services of Seattle Public Utilities; adjusting wastewater rates to pass through changes to treatment rates charged by King County; amending Sections 21.28.040 of the Seattle Municipal Code to reflect the adjusted rates; and amending Section 21.76.040 of the Seattle Municipal Code to adjust credits to low-income wastewater customers.
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WHEREAS, Resolution 31760, adopted on November 13, 2017, adopted the 2018-2023 Strategic Business Plan Update for Seattle Public Utilities, which guides utility investments, service levels, and rate paths through 2023; and
WHEREAS, Seattle Public Utilities’ wastewater rates are based on the sum of the treatment rate and system rate and are designed to pass through the drainage share of the rates King County charges for its wastewater treatment services as part of the treatment rate applicable to drainage services; and
WHEREAS, Ordinance 125685 established wastewater rates for 2019 through 2021 based on the then current King County wastewater treatment charge of $45.33; and
WHEREAS, King County Council adopted a new wastewater treatment rate of $47.37 per residential customer equivalent per month effective January 1, 2021, which is an increase of 4.5 percent over the existing treatment rate; and
WHEREAS, subsection 21.33.030.D.1 of the Seattle Municipal Code allows wastewater treatment rates to be adjusted by ordinance at any time in response to changes in the King County wastewater rates; and
WHEREAS, adopted wastewater treatment rates will not provide sufficient revenues to pay the increased treatment costs; and
WHEREAS, wastewater credits for qualified low-income customers, not billed directly by Seattle Public Utilities, are based on typical residential bills, and credits for such customers need to be revised to reflect the changes in the wastewater rates; NOW, THEREFORE,
BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:
Section 1. Subsection 21.28.040.B of the Seattle Municipal Code, which section was last amended by Ordinance 125685, is amended as follows:
21.28.040 Wastewater volume charge
* * *
B. The wastewater volume rate shall be the sum of the treatment rate and the system rate, as follows:
1. Treatment rate. The "treatment rate" shall be the rate required to pay the wastewater share of "treatment cost," which is the cost of wastewater treatment, interception and disposal services, and any associated costs required to meet Drainage and Wastewater Fund financial policies. The treatment rate shall be the amount obtained when (a) the projected wastewater treatment cost is divided by (b) the projected billed wastewater consumption, each for the next calendar year, and the result is multiplied by ((118.7 percent in 2019)) 118.7 percent in 2020 and 116.4 percent in 2021 and thereafter to cover the costs of taxes and low-income rate assistance. The projected treatment cost shall be the treatment cost anticipated for the upcoming calendar year, which may include an adjustment to reflect the difference, whether positive or negative, between the total expected treatment cost for the current year and the total wastewater volume charge revenues attributable to the treatment rate expected for the current year. The treatment rate is designed to pass through cost changes driven by King County and may be adjusted by ordinance at any time in response to such charges.
2. System rate. The “system rate” shall be the rate required to pay the cost of carrying and discharging all wastewater and any wastewater-funded share of stormwater into the City sewerage system, as presently maintained and operated and as may be added to, improved, and extended.
3. The wastewater volume rate per CCF shall be in accordance with the following schedule:
|
|
((Effective Jan. 1, 2018 |
Effective Jan. 1, 2019 |
Effective Jan. 1, 2020 |
Effective Jan. 1, 2021 |
|
Treatment Rate |
$8.34 |
$8.84 |
$8.84 |
$8.84 |
|
System Rate |
$5.12 |
$5.64 |
$6.71 |
$7.42 |
|
Wastewater Volume Rate |
$13.46 |
$14.48 |
$15.55 |
$16.26)) |
|
|
Effective Jan. 1, 2020 |
Effective Jan. 1, 2021 |
|
Treatment Rate |
$8.84 |
$9.25 |
|
System Rate |
$6.71 |
$7.42 |
|
Wastewater Volume Rate |
$15.55 |
$16.67 |
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Section 3. Subsection 21.76.040.A of the Seattle Municipal Code, which section was last amended by Ordinance 125985, is amended as follows:
21.76.040 Rate discounts
A. Drainage, wastewater, and water. Certified low-income residential utility customers ("Certified customers") will receive rate discounts (or credits) in the following amounts:
1. Wastewater. Certified customers billed directly for Seattle Public Utilities wastewater services will receive a rate discount equal to 0.5 times the total current wastewater volume charge. Certified customers who pay for wastewater services indirectly through rent shall receive the following rate credits based on dwelling type and consistent with Section 21.76.050:
|
((Effective date |
Single-family and duplex dwellings |
Multifamily dwellings |
|
January 1, 2018 |
$28.94 per month |
$20.20 per month |
|
January 1, 2019 |
$31.13 per month |
$21.72 per month |
|
January 1, 2020 |
$33.43 per month |
$23.32 per month |
|
January 1, 2021 |
$34.96 per month |
$24.39 per month)) |
|
Effective date |
Single-family and duplex dwellings |
Multifamily dwellings |
|
January 1, 2020 |
$33.43 per month |
$23.32 per month |
|
January 1, 2021 |
$35.85 per month |
$25.01 per month |
At the time of a change to the wastewater volume charge described in Section 21.28.040, the Director of Seattle Public Utilities shall calculate new credits for certified customers who pay for wastewater services indirectly through rent. The rate credit for single-family and duplex customers shall be 0.5 times the wastewater volume charge multiplied by 430 cubic feet (4.3 CCF), which is typical single-family residential sewer billed consumption. The rate credit for multifamily dwelling customers shall be 0.5 times the wastewater volume charge multiplied by 3.0 CCF, which is typical multifamily sewer billed consumption.
2. Drainage. Certified customers residing inside The City of Seattle shall receive the following rate credits for drainage services based on dwelling type:
|
Effective Date |
Single-Family |
Duplex |
Multifamily |
|
January 1, 2018 |
$20.03 per month |
$10.02 per month |
$2.14 per month |
|
January 1, 2019 |
$21.53 per month |
$10.77 per month |
$2.30 per month |
|
January 1, 2020 |
$23.24 per month |
$11.62 per month |
$2.49 per month |
|
January 1, 2021 |
$25.02 per month |
$12.51 per month |
$2.68 per month |
3. Water. Certified customers billed directly for Seattle Public Utilities water services shall receive a rate discount equal to 0.5 times the total current commodity and base service charges. Certified customers who pay for water services indirectly through their rent shall receive the following rate credits based on dwelling type and consistent with Section 21.76.050:
|
Effective Date |
Single-family and duplex dwellings |
Multifamily dwellings |
|
January 1, 2017 |
$20.56 per month |
$12.38 per month |
|
January 1, 2018 |
$21.15 per month |
$12.38 per month |
|
January 1, 2019 |
$21.86 per month |
$12.38 per month |
|
January 1, 2020 |
$22.85 per month |
$12.50 per month |
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Section 4. This ordinance does not affect any existing right acquired or liability or obligation incurred under the sections amended or repealed in this ordinance or under any rule or order adopted under those sections, nor does it affect any proceeding instituted under those sections.
Section 5. The provisions of this ordinance are declared to be separate and severable. The invalidity of any clause, sentence, paragraph, subdivision, section, or portion of this ordinance, or the invalidity of its application to any person or circumstance, does not affect the validity of the remainder of this ordinance or the validity of its application to other persons or circumstances.
Section 6. This ordinance shall take effect and be in force 30 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.
Passed by the City Council the ________ day of _________________________, 2020, and signed by me in open session in authentication of its passage this _____ day of _________________________, 2020.
____________________________________
President ____________ of the City Council
Approved by me this ________ day of _________________________, 2020.
____________________________________
Jenny A. Durkan, Mayor
Filed by me this ________ day of _________________________, 2020.
____________________________________
Monica Martinez Simmons, City Clerk
(Seal)