Winchester Municipal Utilities 2009 Rate Plan April 9, 2009.

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Winchester Municipal Utilities 2009 Rate Plan April 9, 2009

Transcript of Winchester Municipal Utilities 2009 Rate Plan April 9, 2009.

Winchester Municipal Utilities

2009 Rate Plan

April 9, 2009

Scope of Services

• Cost of Service Study– Water– Wastewater– Solid Waste– Wholesale

• Industrial Pretreatment Surcharges

• System Development Charges

Goals

• Address Capital Requirements

• Compress Rate Blocks

• Phase Implementation

• Customer Sensitive

Deliverables

• Cost of Service Reports

• Rate Model

• PSC Representation

Financial Forecast Basis: Capital

• Water System Improvements $55,000,000• Lower Howards Creek

Sanitary Sewer Improvements $36,000,000• Total $91,000,000

Financing Cost Assumptions

• Water 4.5% - 20 yrs

• Wastewater 2.2% - 20 yrs

Financial Forecast Basis

• 5 year projection of Revenues and costs

• Revenue

• Capital

• Borrowing

• O&M

Rate Plan

• 4-Year Phased Increase

• Compressed Water Rate Blocks

Impact of Rate Plan – Water (City)

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$3.46 $4.10 $4.83 $5.69 $6.75

Average Residential

(700 ft3)

(5,250 gallons)

$18.34 $20.66 $23.73 $26.09 $28.65

Impact of Rate Plan – Water (Outside City)

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$4.49 $5.32 $6.27 $7.38 $8.76

Average Residential

(700 ft3)

(5,250 gallons)

$24.03 $27.12 $31.14 $34.23 $38.06

Impact of Rate Plan – Wastewater (City)

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$3.61 $4.35 $5.22 $5.86 $6.55

Average Residential

(700 ft3)

(5,250 gallons)

$25.26 $30.44 $36.52 $41.05 $45.88

Impact of Rate Plan – Wastewater (Outside City)

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$4.78 $5.76 $6.91 $7.77 $8.68

Average Residential

(700 ft3)

(5,250 gallons)

$33.46 $40.32 $48.39 $54.38 $60.78

Impact of Rate Plan – Solid Waste

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Average Residential $15.42 $18.57 $21.72 $24.85 $25.37

Combined Impact of Rate Plan (City)

Water, Wastewater, and Solid WasteProposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$22.49 $27.02 $31.77 $36.40 $38.67

Average Residential

(700 ft3)

(5,250 gallons)

$59.02 $69.67 $81.97 $91.99 $99.90

Combined Impact of Rate Plan (Outside City)

Water and Wastewater

Proposed Rates

Bill

Current Rates 2009 2010 2011 2012

Minimum Bill(100 ft3)

(750 gallons)$9.27 $11.0

8$13.18 $15.15 $17.44

Average Residential

(700 ft3)

(5,250 gallons)

$57.49 $67.44

$79.53 $88.62 $98.83

Results

• Rate Model

• System Development Charge

• Pretreatment Charges

Water System Development Charges

• Based on AWWA M-1 Manual methodology

• Source of Supply

• Source Water Transmission

• Treatment Facilities

• Pumping

• Transmission Mains

• Does not include Contributed Capital

Waste Water System Development Charges

• Based on AWWA M-1 Manual methodology

• Treatment Facilities

System Development Charge 5/8” Meter

•Water - $ 963

•Wastewater - $ 5,345

Industrial Pretreatment Charges

BOD TSS NH3

Existing $0.11/lb $0.13/lb $0.41/lb

Proposed $0.18/lb $0.18/lb $0.25/lb

Summary

• Cost of Service Rates

• Phased Approach

• Wholesale Rate / PSC

• Decision on SDC