Presentation on theme: "INFORMATION on RATE increase On May 6, 2008, the Clark County Water Reclamation District Board of Trustees approved a rate increase at a public hearing."— Presentation transcript:
INFORMATION on RATE increase On May 6, 2008, the Clark County Water Reclamation District Board of Trustees approved a rate increase at a public hearing. The rate increase will change both sewer connection and sewer service fees. This is the first rate increase in 13 years. The recommendations for the increase came from the deliberations of a 35-member Citizens Advisory Committee that met over a seven month period.
The CAC recommended the sewer service rate structure change for two reasons: to rehabilitate and improve the miles of pipelines presently comprising the sewer collection system, which is about the distance from Las Vegas to Atlanta to protect water quality and public health through: advanced wastewater treatment methods and facilities that will improve our water quality in Lake Mead upgraded treatment facilities in the smaller communities served by the District
The last adjustment to the sewer service rates to fund District operations was 13 years ago, in Since that time, the District’s facilities have expanded to more than 2,000 miles of pipelines with an increase from 81,000 to more than 200,000 customers to date. The daily flow of wastewater that we treat every day has grown from 64 million gallons per day in 1995 to over 100 million gallons per day in 2007, and is still increasing. Also, higher water quality demands, coupled with concerns about the drought, present further challenges.
Ongoing Rehabilitation and Repairs Many communities throughout the nation are challenged with maintaining critical components of their infrastructure, from roads and bridges, to water and sewer systems. While a portion of our community’s infrastructure is new, there are still miles of pipelines that have reached the end of their useful life and are in need of repair and replacement. To ensure that over two thousand miles of pipelines are reliable and safe, the District initiated an aggressive inspection and rehabilitation program. Over the next several years, the entire collection system will undergo a cleaning program, with repairs and replacements taking place to prevent system failures. $505 million dollars are budgeted for this initiative.
Ongoing Rehabilitation and Repairs In the last three years, the District has rehabilitated more than 47 miles of large diameter pipes at an average cost of $1 million per mile. This is the site of a 2003 pipeline collapse. The repairs took months, at a cost of several million dollars. These maintenance improvements reduce the potential for sanitary sewer overflows, street collapses and other problems that could add additional costs to our customers if emergency clean-up and repairs are required to fix them.
Water Quality Water quality standards have also changed, requiring higher levels of treatment to better protect the environment and to better manage our community’s limited water resources. New treatment facilities are needed at the District’s main plant to address emerging environmental and health concerns, and in the outlying communities to meet regulatory requirements.
Revenue Sources The Citizens Advisory Committee evaluated revenue sources utilized by the District : Annual sewer service fees paid by our customers System Development Approval (SDA) charge, the one- time connection fee to hook up to our sewer system
Sewer Service Fees Sewer service bills are sent every July to each customer connected to the system. Sewer service fees fund the daily operations and maintenance of the facilities, including the repair and replacement of capital equipment and structures.
System Development Approval Charges System Development Approval (SDA) charges, or connection charges, vary based upon the type of structure being built. Revenues from connection charges fund the expansion of the collection system (pipes and pumps) and the treatment facilities.
Rate Change The rate change will allow the District to maintain its infrastructure and to meet the environmental and drought challenges faced by our community. The new rate structure averages out to an approximate $1 increase per month for the next five years. This structure provides the necessary funding support for the operations and capital expenses with small annual increases. Current July 1, June 30, 2009 July 1, June 30, 2010 July 1, June 30, 2011 July 1, June 30, 2012 July 1, June 30, 2013 AREA Sewer Service Rate Las Vegas Valley$178.96$190.12$202.01$213.70$226.08$ Blue Diamond$87.77$190.12$202.01$213.70$226.08$ Indian Springs$100.20$190.12$202.01$213.70$226.08$ Laughlin *$329.30$190.12$202.01$213.70$226.08$ Moapa Valley$178.96$190.12$202.01$213.70$226.08$ Searchlight$87.77$190.12$202.01$213.70$226.08$ *Laughlin has been paying for growth for the past 25 years
Universal Rates The rate adjustment to fund the system improvement program includes a universal rate that will charge all District customers the same annual sewer service charge and system development approval or connection charge. In the coming years, new treatment facilities will be constructed in Indian Springs, Moapa Valley and Searchlight. The Blue Diamond facilities will be taken out of service, and the customers will be connected to the Las Vegas Valley facilities. These important changes will result in higher levels of treatment and greater environmental protection. Universal rates will ensure a greater level of environmental compliance from which our entire community will benefit. For customers living in the Las Vegas Valley, the universal rate is about $4.00-$5.00 per year more, over the next 5 years, than the non-universal rate increase. Without universal rates, customers in smaller communities could have seen their annual service charges double and even triple. The annual $16 charge per account remains unchanged. The $12 discount for those who pay their entire sewer service bill at the beginning of the fiscal year, prior to July 31st, will also remain in effect.
District rates will remain the lowest within the Las Vegas Valley AREA CONNECTION CHARGE SEWER SERVICE FEE CCWRD (Current)$2,424$ CCWRD (Proposed)$2,547$ Henderson$2,643$ North Las Vegas$2,573$ Las Vegas$2,662$214.58
How Our Rates Compare Regionally AREA CONNECTION CHARGE SEWER SERVICE FEE CCWRD $2,547$ Reno, NV San Bernardino, CA Orange County, CA San Diego, CA Tucson, AZ Livermore, CA Sacramento County, CA Portland, OR Seattle, WA $4,321 $3,500 $2,890 $3,710 $2,846 $4,000 $6,500 $2,995 $3,240 $ $ $ $ $ $ $ $ $421.80
Changes and Challenges Changing Service Area Neighbors Treatment Standards Investment in New Facilities Capital Improvement Program Infrastructure Needs
Keeping Pace With Growth District Flow Projections Through 2050 Current Plant Capacity: 110 Million Gallons a Day Next Expansion: 160 Million Gallons a Day
Communities We Serve Las Vegas Valley (unincorporated) Indian Springs Blue Diamond Laughlin Searchlight Moapa Valley (Overton and Logandale)
Community Sensitivities Local community concerns Odors from plant processes that could be a nuisance to neighbors must be contained and treated Odors from the collection system and grease traps must utilize odor control technology Noise from plant equipment must be kept to a minimum Plants and lift station design and construction must be compatible with the surrounding community
Treatment Standards and Water Quality Protection of drinking water source & aquatic resources + Increasingly stringent permit standards + Increasing flows + Emerging technologies + Future requirements = Increasing Costs
Facility Needs $1.3 billion, 5-Year Capital Improvement Program Main facility Expansion to 160 million gallons per day New facilities in: Enterprise (southwest valley) Indian Springs Moapa Valley Searchlight
Collection System Needs Over 2,000 miles of pipeline in our service area 27% less than 5 yrs old 9% between 5-15 yrs old 64% greater than 15 yrs old Our aggressive TV inspections will result in more miles of pipe being rehabilitated. 83 miles in last 2 years 35 more in next 6 months
Collection System In the next five years: Entire system inspected Entire system cleaned Repairs as needed (minor, specific problems) Rehabilitation (entire sections of pipe)
System Protection Fats, Oils, Grease and Grit (FOGG) becoming an increasing challenge Enforcement powers needed to address debris in lines Construction debris Damaged manholes Improper new line cleaning Construction-related SSOs Water was passing through this small area. (before cleaning) Grease on top Debris on bottom Visit to learn how to properly dispose of Fats, Oils, Grease and Gritwww.paininthedrain.com
Water Resources The current drought challenges water resources for all southwest communities. The District plays a valuable role in water resource management by collecting, treating and reclaiming wastewater.
Citizens Advisory Committee Recommendations: Capital Improvement Program The Citizens Advisory Committee endorsed the District’s 5-year Capital Improvement Program as presented to them and supported the implementation of the program.
Citizens Advisory Committee Recommendations: Universal Rates The Citizens Advisory Committee recommended the increase in sewer service rates and the adoption of the Universal Annual Sewer Service Rate throughout the District’s service area.
Current and Future Sewer Service Rates Current July 1, June 30, 2009 July 1, June 30, 2010 July 1, June 30, 2011 July 1, June 30, 2012 July 1, June 30, 2013 AREA Sewer Service Las Vegas Valley$178.96$190.12$202.01$213.70$226.08$ Blue Diamond$87.77$190.12$202.01$213.70$226.08$ Indian Springs$100.20$190.12$202.01$213.70$226.08$ Laughlin$329.30$190.12$202.01$213.70$226.08$ Moapa Valley$178.96$190.12$202.01$213.70$226.08$ Searchlight$87.77$190.12$202.01$213.70$226.08$238.12
Citizens Advisory Committee Recommendations: Universal Connection Charges The Citizens Advisory Committee also recommended a Universal Connection Charge throughout the District’s service area, excluding Laughlin. Laughlin has additional capacity for which the community has been paying over the past 25 years. When that system reaches capacity, they will be required to pay the universal connection charge. The CAC recommended a septic conversion connection charge of $1600 for five years.
Current and Future Sewer Development Approval (SDA) Charges (Connection Charge) Current July 1, December 31, 2008 January 1, June 30, 2009 July 1, June 30, 2010 July 1, 2010-June 30, 2011 July 1, 2011-June 30, 2012 July 1, 2012-June 30, 2013 July 1, 2008-June 30, 2013 AREASDA Septic** Conversion Las Vegas Valley$2,424$2,436$2,547$2,692$2,836$2,987$3,137$1,600 Blue Diamond$1,500$2,436$2,547$2,692$2,836$2,987$3,137$1,600 Indian Springs$1,150$2,436$2,547$2,692$2,836$2,987$3,137$1,600 Laughlin *$1,600 Moapa Valley$7,050$2,436$2,547$2,692$2,836$2,987$3,137$1,600 Searchlight$1,500$2,436$2,547$2,692$2,836$2,987$3,137$1,600 *Laughlin has been paying for growth for the past 25 years **Customers in all service areas converting from septic systems
The Clark County Water Reclamation District thanks all of the Citizens Advisory Committee members for their time and the excellent work they provided.
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