Resolution 4182 - Resolution of Intent - Consider Increasing Sewer Hook-up FeesRESOLUTION NO. 4182
A RESOLUTION SETTING A DATE FOR PUBLIC HEARING ON A PROPOSAL TO
ADOPT INCREASES IN THE FEES, SCHEDULES, RATES, CHARGES AND
CLASSIFICATIONS IMPOSED ON THE CUSTOMERS OF THE CITY OF KALISPELL
SEWER UTILITY.
WHEREAS, the City of Kalispell has an infrastructure investment of
$17,404,743.00 in its waste water treatment plant and
sanitary sewer collection system, and
WHEREAS, the City's sewer connection fee of $500.00 ($625.00
outside the City) has not kept pace with either the cost
of inflation or the City's infrastructure investment, and
WHEREAS, in order to replace and improve the sewer system it is
necessary to build a capital cash account to be used to
replace all or a portion of the waste water treatment
plant and sanitary sewer collection system, and
WHEREAS, because the City has classifications of users outside who
do not utilize the City's collection system but do
utilize the City's waste water treatment plant, it is
appropriate that the City have collection fees based upon
the use of City facilities, and
WHEREAS, in order for the City to provide for the replacement of
the waste water treatment plant and sanitary sewer
collection system based upon a decline in capacity due to
an increase in connections, it is appropriate that the
City index the connection fees.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, AS FOLLOWS:
SECTION I. That there is hereby set a Public Hearing on
the 7th day of November, 1994, at 7:00 P.M.,
in the Council Chambers, City Hall, Kalispell,
Montana, to discuss a proposal to adjust the
sewer connections fees as set forth in Exhibit
"A" attached hereto and thereby made a part
hereof, said increase to yield not more than a
12% increase in the total amount of annual
revenue to the utility.
SECTION II. That the City Clerk of Council and the City
Attorney are hereby authorized and directed to
make, publish and distribute notice of said
Public Hearing in conformity with Section 69-
7-111, MCA.
RESOLUTION NO. 4182
CONNECTION FEES 1
PASSED AND APPROVED BY THE CITY COUNCIL AND MAYOR OF THE CITY OF
KALISPELL THIS 19th DAY OF SEPTEMBER, 1994.
DouglasLb. Rauthe - Mayor
Attest:
f y--
ity F nance Director
m
• e 0
EXHIBIT "A"
I
Remaining
Capacity
Now
Beginning
wing
In
Connections
Unamorltlzed
indexed
Unarnorfted
Dwelling
for
Infrastructwe
Adjustment
impact Fee
Total Fees
Infrastructure
Yew
Yn�
YAK
InvestmeM
1%
for Year
for YlK
lnyestnraM
Existing
9670
6510
$12,449,673
41,287
$8,381.321
$4,068,352
1
3160
175
4,068,352
11287
225,304
3,843,048
2
2985
175
3,843,048
4,035,200
1,352
236,570
3,798,631
3
2810
175
3,798,631
3,988,562
1,419
248,398
3,740,164
4
2635
175
3,740,164
3,927,173
1,490
260,818
3,666,355
5
2460
176
3,666,355
3,849,672
11565
273,859
3,575,814
6
2285
175
3,575,814
3,754,604
1.643
287,552
3,467,053
7
2110
175
3,467,053
3,640,405
1.725
301,929
3,338,476
8
1935
175
3,338,476
3,606,400
1,812
317,026
3,188,374
9
1760
175
3,188,374
3,347,792
1,902
332,877
3,014,915
10
1685
175
3,014,915
3,165,661
1,997
349,521
2,816,140
11
1410
175
2,816.140
2,956,947
2,097
366,997
2,589,950
12
1235
175
2,589,950
2,719,448
2,202
385.347
2,334,101
13
1060
175
2,334,101
2,450,806
2.312
404,614
2,046,192
14
885
175
2,046,192
2,148,501
2.428
424,845
1,723,656
15
710
176
1,723,656
1,809.839
2,549
446.087
1,363.752
18
535
175
1,363,752
1,431,940
2,677
468.391
963,548
17
360
175
963,548
1,011,726
2,810
491,811
519,915
18
185
185
519,915
545,910
21951
645,910
0
Total Fees Collected $14,749,177
Net Present Value (discounted at the rate of interest - 6%1 $12,449,673
Sanitary Sewer Collection Syg e r
Remaining
Capacity
Now
Beginning
Ending
In
Connections
Unamoritized
Indexed
Unamoritized
Dwelling
for
Infrastructure
Adjustment
Impact Fee
Total Fees
Infrastructure
Year
Units
Year
Investmen
for Year
for Year
Investment
Existing
9670
6610
$4,754,800
4492
$3,201,008
$1,553,792
1
3160
175
1,563,792
492
86,049
1,467,743
2
2985
175
1,467,743
1,541,130
516
90,351
1,450,779
3
2810
175
1,450,779
1,523,318
642
94,869
1,428,450
4
2635
175
1,428,450
1,499,872..:
5.69
99,612
1,400,260
5
2460
175
1,400,260
1,470,273
S98
104,593
1,365,681
6
2285
175
1,365,681
1,433,965
628
109,822
1,324,143
7
2110
175
1,324,143
1,390,350
659
115,313
1,275,036
$
1935
175
1,275,036
1,338,788
692
121,079
1,217,709
9
1760
175
1,217,709
1,278,595
726
127,133
1,151,462
10
1585
175
1,151,462
1,209,035
763
133,490
1,075,545
11
1410
175
1,075,545
1,129,322
801
140,164
989,158
12
1235
175
989,158
1,038,616
841
147,172
891,444
13
1060
175
891,444
936,016
883
154,531
781,485
14
885
175
781,485
820,559
S27
162,257
658,302
Total Proposed Connection Fee
Yew Fee
2
3
4
5
6
7
8
9
10
11
12
13
14
1s
16
17
1s
Special terms and conditions:
$1,779
1,868
1,962
2,060
2,163
2,271
2,384
2,503
2,629
2,760 .
2,898
3,043
3,195
3,355
3,523
3,699
3,884
4,078
Outside City Utility
Rate x 1.5
Outside City Utility
Rate x 2
1
{Collection & treatment'
(Treatment only)
7
LJ