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INDIAN RIVER COUNTY, FLORIDA INTER - OFFICE MEMORANDUM TO: The Honorable Members of DATE: 'September 30, 1981 FILE.: the Board of County Commissioners SUBJECT: Proposal for amendMent `- Ordinance 80-13 for Ser 6, rates FROM: Neil A. Nelson REFERENCES: County Administrator DESCRIPTIOI! 'IND CO?,DITIOdS .Because of a peak demand load on utility system dictates the plant capacity, size of pumps and mains, this must be a major component of any rate schedule. A customer must pay for ~ghat is construct -ed and standing by to provide the service, even.if he does not use that service. The rates that we have established provide the arrangement for the customer to pay for this capacity by paying $7.10 for each unit even when on a master meter-. No matter what rate system is chosen, there can be occasions for inequity of the schedule. The inequity of our schedule can occur when we have a master meter and somewhere near Wo, vacancy occurs. This can occur at Vista °oyale and some mobile home parks with master meters. Note that Vista Royale has a 12 inch master meter for each building of 14 units. An example of how the problem of inequities appears is given: Vista Royale uses the same rate schedule as the Count, but they bill for the service as if it is a single unit. An average mont1h bill for a fully occupied building of 14 units will be for 60,000 gallons. For both water and sewer: Vista's bill would be for $177.18 County's bill would be for; 5288.72 a difference of 63-.. However, if the condo is half empty, the consumption would be for 30,000 gallons per month: Vista's bill would be for S 92.88 County's bill would be for; $204.62 a difference of 120'j! Occupation of less than 50% of the residents crake the problem more severe. The extreme case would be if the building were completely empty and no water was consumed. Vista's bill would be $ 14.20 County's bill would be $198.80; a difference of 13COIJ! DA/17 1 r . OCT 1981 33 mx 47 730