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However, in discussion with City staff there are some changes being implemented that will <br />impact the Townhouse customers. The townhouse customers are currently charged the condo <br />rate and will be charged the single family rate moving forward. This change is necessary in <br />order to be in compliance with the regional billing of the townhouse customers. <br />The City also has a current low income or senior discount program for those customers that <br />qualify. This program will continue with a few minor changes. First, as a result of Prop. 218 <br />the City's General fund will need to fund the senior and low income discounts for the City's <br />local sewer rates and not other sewer customers. Second, the low income or senior discount <br />will only apply if the customer uses less than 40 Ccf in a bimonthly billing period. The third <br />and final change is that the low income or senior discount will only be applied to the local <br />sewer rate. Currently the discount applies to the regional rate as well and the City funds the <br />difference. Moving forward, City staff is recommending that the discounts only apply to the <br />local portion of the rate in order to reduce the level of general fund transfers to the sewer <br />utility. <br />2.4 Summary of the Sewer Rate Study <br />The development of the proposed rate designs completes the local sewer rate study. At this <br />time it is recommended that the City adjust the local sewer rates to meet the future capital <br />needs to prudently fund the utility's replacement needs. The proposed CPI adjustments will be <br />sufficient for the next few years; however, future rate increases will be necessary to adequately <br />fund the local sewer utility on a financially stable basis. <br />Development of the Local Sewer Rate Designs 2-3 <br />TT I-D. City of Pleasanton Local Sewer Rate Study <br />