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HomeMy WebLinkAbout1986-09110/13/86 UTIL LMA:h RESOLUTION NO. 86-91 A RESOLUTION OF INDIAN RIVER COUNTY, FLORIDA AUTHORIZING A NEW WATER RATE FOR GENERAL DEVELOPMENT UTILITIES, INC., TO INCLUDE PASS-THROUGH AMOUNTS FOR COUNTY WATER PURCHASES. THIS MATTER comes before the Board of County Commissioners of Indian River County following a duly notified and published hearing where the Commission, having heard testimony of all interested parties, and having thoroughly reviewed and analyzed the recommendation of County staff, now adopts the findings and conclusions as set forth in the staff report dated September 11, 1986, and attached hereto as Exhibit "A". NOW, THEREFORE, IT IS ORDERED THAT: 1. the General Development Utilities, Incorporated, current application for rate pass-through is hereby terminated and marked closed. 2. the authorized rate include a pass-through of the following items: 2a. Base facility charge of $5.34 per Equivalent Residential Unit. 2b. Water purchase at a rate of $1.72 per 1,000 gallons. This, added to the net adjusted current charge of $1.00 per 1,000 gallons, makes the total adjusted charge for consumption at $2.72 per 1,000 gallons. 3. General Development Utilities, Incorporated, amend its water tariff to state that the water meters will be read on a timely basis and, if the bill is estimated, the words ESTIMATED BILLING will show on the face of the bill. THIS ORDER SHALL BE EFFECTIVE with the first meter readings after November 1, 1986, and after the billing cycle for which those readings are applicable. -1- 40 ATTEST. '.Freda Wright,` Clerk of t?h' .0 Approved: 10-21-86 BOARD OF COUNTY COMMISSIONERS INDIAN RIVER COUNTY, FLORIDA / G Don C. Scurlock, Jr.. C an Approved for legal form Approved for Utility Matters: Mo 0 and sufficiency: i > ) Charles P. Vitunac JeffK./ rton County Attorney Asst. Direeto of Utility Services -2- INDIAN RIVER COUNTY, FLORIDA AGENDA ITEM TO: BOARD OF COUNTY COMMISSIONERS DATE: SEPTEMBER 11, 1986 THRU: TERRANCE G. PINTO DIRECTOR OF UTILITY SERVIC J FROM: J EFFREY K. BARTON ASSISTANT DIRECTOR OF UTILITY SERVICES SUBJECT: G.D.U. - RATE HEARING FOR PASS THROUGH CHARGES Indian River County and General Development Utilities entered into a contract on December 7th, 1983 (known as the Water Purchase Agreement) for the sale of water at a wholesale rate of $1.72/1000 gallons. Paragraph A (4) of the contract calls for a pass through of charges by G.D.U. once adjustments are made by the utility. The utility has been purchasing water from the County since May 2, 1986. G.D.U. has continued to bill their customers at the old rate structure of: FACILITY USAGE CUSTOMER CLASS METER SIZE CHARGE CHARGE Residential 5/8"x 3/4" $ .69 $1.70/1000gal. 1" 1.59 1.70/1000gal. Commercial 5/8"x 3/4" $ .69 $1.70/1000gal. __ _ _ - _ 1" 1.59 1.70/1000gal. Multiple Unit All sizes $ .35/unit $1.70/1000gal. This public hearing is to consider the pass through rate to be charged by G.D.U. A copy of the G.D.U. proposal is attached. In summary, the proposal is as follows: Present Rate Proposed Rate $ .69 Use Charge $ .69 --- Base Facility Charge $5.34 $1.70/1000gal. Consumption Charge $2.89/1000gal. * $1.70 Present Approved Rate/1000 gal. .70 Adjustment to operating expenses $1.00 Adjusted approved rate/1000 plus 1.89 Pass Through Rate/1000** $2.89 Proposed Rate/1000 ** Pass Through Rate $1.72 County wholesale Charge x 1.1 Allowance for unaccounted for water $1.89 r 17 BOOK [i 6 :" . 119-8 OCT 21 1986 QCT X1.1986 BOOK r ' ® Page Two. _ AGENDA ITEM G.D.R. RATE HEARING FOR PASS THROUGH CHARGES SEPTEMBER 11, 1986 RECOMMENDATION County Utility staff has reviewed the proposed adjustments to the current consumption charges of $.70 per 1000 gallons and the adjustment is justified. Staff has reviewed the proposed • • consumption charge adjustment of $1.89 for the pass through consumption charge and disagrees with G.D.U.'stheory about the factor of adding the 10$ to the wholesale rate of $1.72 to arrive at the $1.89. At the present time, G.D.U. doesn't have such a factor as part of its approved rate and should not be allowed to impose such a charge at this time. The pass through is to recognize only the increases of water cost charged by the County versus approved costs of G.D.U.'s operation as part of current rate structure. Any other costs or charges should be a art of a new rate case filer. Itis Staff's position that the consumption charge of 1.72/1000 gallons be the only pass through on the consumption, making the proposed consumption charge as follows: $1.70 Present approved rate .70 Adjustment of operating costs $1.00 Adjusted approved rate plus 1.72 Pass through $2.72 Proposed Rate/1000 gallons Staff recommends to the Commission that they take under advisement all evidence and testimony given in evidence at this public hearing and an order of finding be issued by the Commission within 60 days. APPROVED FOR AGENDA By:=f •7 For:. 18