Record No: CB 118329    Version: Council Bill No: CB 118329
Type: Ordinance (Ord) Status: Passed
Current Controlling Legislative Body City Clerk
On agenda: 3/16/2015
Ordinance No: Ord 124733
Title: AN ORDINANCE relating to water services of Seattle Public Utilities; revising certain water rates and charges for service to wholesale customers, and amending Seattle Municipal Code Subsection 21.04.440.E in connection therewith.
Sponsors: Sally Bagshaw
Supporting documents: 1. Summary and Fiscal Note, 2. Summary Ex A: 2015-2018 Northwest Wheeling Rate Study, 3. Wholesale Wheeling Presentation, 4. Signed Ord 124733
CITY OF SEATTLE
ORDINANCE __________________
COUNCIL BILL __________________
title
AN ORDINANCE relating to water services of Seattle Public Utilities; revising certain water rates and charges for service to wholesale customers, and amending Seattle Municipal Code Subsection 21.04.440.E in connection therewith.  
body
WHEREAS, Seattle Public Utilities provides wholesale water service to many water utilities surrounding Seattle (Wholesale Customers) under the provisions of various long-term water supply contracts and wheeling agreements (Wheeling Agreements) for certain Wholesale Customers who comprise the Northwest Subregion; and
 
WHEREAS, the provisions of the Wheeling Agreements require certain wholesale customers to pay a surcharge (Northwest Wheeling Rate Surcharge) for water wheeled through a portion of Seattle Public Utilities' retail service area; and
 
WHEREAS, the Wheeling Agreements require that the Northwest Wheeling Rate Surcharge be updated every five years based on changes in costs as described in the Wheeling Agreements; and
 
WHEREAS, the Northwest Wheeling Rate Surcharge authorized by Ordinance 122841 became effective January 1, 2009; and
 
WHEREAS, changes in costs indicate the Northwest Wheeling Rate Surcharge should be updated as calculated beginning in 2015; NOW, THEREFORE,
 
 
BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:
Section 1. Subsection 21.04.440.E of the Seattle Municipal Code, last amended by Ordinance 124599, is amended as follows:
 
21.04.440 - Rates outside the City of Seattle
                        *      *      *
E.  Wholesale Customers-Commodity and Base Charges.
      1.  Reserved
      2.  Full or Partial Requirements Contracts. The rate to be charged to wholesale customers being served under the provisions of contracts substantially in the form of the Full and Partial Requirements Contracts for the Supply of Water that were authorized by Ordinance 120362 or 123559 ("Full or Partial Requirements Contract") shall consist of a commodity charge, surcharges, discounts and facilities charges as follows:
Commodity Charge Per 100 Cubic Feet of Water
Effective Jan. 1, 2014
Effective Jan. 1, 2015
Summer (May 16th - September 15th)
$2.27
$2.10
Winter (September 16th - May 15th)
$1.53
$1.42
      The following surcharges and discounts apply to each wholesale customer that has agreed to them in a contract substantially in the form of the Full or Partial Requirements Contracts:
Additional Charge Per 100 Cubic Feet of Water
Effective Jan. 1, 2014
Effective Jan. 1, 2015
Effective April 1, 2015
Northwest Wheeling Rate Surcharge
$0.02
$0.02
$0.07
Southwest Subregion Surcharge
$0.07
$0.16
$0.16
East Subregion, Segment #3 Surcharge
$0.16
$0.08
$0.08
East Subregion, Segment #4 Surcharge
$0.19
$0.16
$0.16
 
Renton New Supply Discount Per 100 Cubic Feet of Water
Effective Jan. 1, 2014
Effective Jan. 1, 2015
Summer (May 16th - September 15th)
$0.02
$0.02
Winter (September 16th - May 15th)
$0.02
$0.01
      In addition, each wholesale customer served under a contract substantially in the form of the Full or Partial Requirements Contracts that requires payment of facilities charges based on each new metered service connection installed within its service area shall pay the facilities charges according to the following schedule:
 
Meter Size
Facilities Charge
1 inch and smaller
$936.00
1 1/2 inch
4,180.00
2 inch
6,688.00
3 inch
18,392.00
4 inch
25,916.00
6 inch
55,176.00
8 inch
93,632.00
10 inch
141,284.00
12 inch and larger
198,968.00
 
*               *              *
 
 
Section 2.  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 _________, 2015 and signed by me in open session in authentication of its passage this _____ day of __________, 2015.
                                    _________________________________
                                    President __________of the City Council
 
      Approved by me this ____ day of _________, 2015.
 
 
                                    _________________________________
                                    Edward B. Murray, Mayor
 
      Filed by me this ____ day of _________, 2015.
 
                                    ____________________________________
                  Monica Martinez Simmons, City Clerk
 
 
 
 
(Seal)