16B - Laserfiche WebLink

BACKGROUND The City of Pleasanton contracts with the Dublin San Ramon Services District (DSRSD) for wastewater treatment and disposal services. This contractual relationship has existed since the late 1970's when the City's Wastewater Treatment Plant was decommissioned. The current agreements between the City and DSRSD (dated 1992 and thereafter) provide for DSRSD to set regional sewer user charges at levels that will adequately pay for the costs of operating, maintaining and replacing the regional treatment plant located on Johnson Drive in Pleasanton and the Livermore-Amador Valley Water Management Agency's (LAVWMA) pumping and pipeline facilities that export treated wastewater to the San Francisco Bay. The City and the District each operate its own local collection system that transports wastewater to the District's Regional plant for treatment prior to eventual discharge to the San Francisco Bay. While the local rates differ between the City and the District customers, by contract the regional treatment and disposal rate must be the same. By contract, once any adjustments to the regional sewer user charges are adopted by the DSRSD Board, the City must adopt these regional fee changes within sixty days. Changes to the regional sewer connection fees could take place immediately following DSRSD Board action; however, based upon action taken by the DSRSD Board on May 5, 2008, the current change in these fees will not become effective within DSRSD or the City until July 1, 2008. In 2006, DSRSD hired the consulting firm of Black & Veatch to perform its regional sewer user charge and connection fee studies. The results of these studies were adopted by the DSRSD Board on March 18, 2008 and May 5, 2008, respectfully. Changes to the Regional Sewer User Charges/Rates The last time regional sewer user charges/rates were changed was for rates that became effective FY 2004/05. At that time, the residential customer class rates were not changed, but some of the commercial customer classes were adjusted to more fairly allocate the costs of treatment amongst these users in proportion to the wastewater characteristics of each. These adjustments were made based upon long-term changes in flow and strength characteristics amongst the commercial customer classes and to assure that all commercial customers pay their fair share for wastewater services. The regional sewer user bi-monthly charges recently adopted by the District for fiscal year 2008/09 for all customer classes are shown below along with the current City local user charges. The Adopted and Total columns are those being approved and ratified by Council at tonight's meeting and will be reflected in the City's Master Fee Schedule. The regional sewer user fee is being reduced slightly for some customers (generally residential) on July 1, 2008 and will be automatically adjusted each year by a local (Bay Area) based Consumer Price Index (CPI) on July 1, starting on July 1, 2009. Page2of7