HomeMy WebLinkAbout9 Public Hearing Standby ChargesAGENDA ITEM #9
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MEETING DATE:April 6, 2022
TO:Board of Directors
FROM:Michael Salmon, CFO
SUBJECT:Conduct a Public Hearing Related in Consideration to Adopt
District Resolutions 2022-06, 2022-07, 2022-08, and 2022-09
for Annual Electric and Water Standby Charges.
APPROVED BY______________________________
Brian C. Wright, General Manager
RECOMMENDATION:
Conduct a public hearing and adopt the following resolutions:
Resolution 2022-06 Continuing and Fixing Water Standby Charges for
the Fiscal Year 2022-2023;
Resolution 2022-07 Continuing and Fixing Electric Standby Charges for
the Fiscal Year 2022-2023;
Resolution 2022-08 Requesting Collection of Electric and Water Standby
Charges on Placer County Tax Roll; and
Resolution 2022-09 Fixing and Placing Electric and Water Standby
Charges on County of Nevada Tax Roll for Collection.
BACKGROUND:
It is the Board's purview to conduct public hearings. At the March 2, 2022 meeting, the
Board set a public hearing to be held on April 6, 2022 to receive written and oral
Comments from the public regarding the adoption of certain resolutions
establishing/continuing and collecting electric and water standby charges for the
2022-2023 property tax year. The Public Hearing was advertised in the Sierra Sun
Newspaper on March 25, 2022.
Board action is required to adopt electric and water standby charges for the 2022-2023
property tax year. This process begins by scheduling a public hearing to renew the existing
electric and water standby charges.
Each year the Board is required to adopt resolutions establishing and setting electric and
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water standby charges and requesting Nevada and Placer Counties to collect the charges
as a component of the annual property tax bills.
Standby charges have been assessed on vacant parcels in the District since 1975. These
annual charges recoup the District's operating and maintenance costs of the electric and
water distribution facilities from parcel owners who benefit from their vacant lot being in
close proximity to the distribution facilities.
ANALYSIS:
The current Electric Standby Charge applies to vacant parcels with a District electric
distribution line installed along an easement or along a public road or right of way
within 200 feet of the nearest exterior boundary line of any such parcel. The Electric
Standby Charge is $20.00 per year for each parcel 1 acre or larger, or $10.00 per year for
each parcel less than 1 acre.
The current Water Standby Charge applies to vacant parcels with a District water
distribution line not less than two inches in diameter installed within 100 feet of the
nearest exterior boundary line of any such parcel. The current Water Standby Charge is
$80.00 per parcel per year.
Standby rates have not been modified in many years. No changes to Standby Charge
rates is recommended for 2022/2023.The qualifying parcel lists are currently in
preliminary draft form. Final lists will be on record with Placer and Nevada Counties
and the District Clerk's Office.
Staff recommends after hearing and considering all public comments in the Public Hearing,
review and discussion of the Resolutions and this Staff report; to renew the existing
Electric and Water Standby Charges on vacant parcels in the District for 2022/2023.
FISCAL IMPACT:
The estimated standby revenue for 2022-2023 is $17K for Electric and $105K for Water,
consistent with budgeted revenue in the approved FY22 Budget. There are an estimated
1560 parcels in Nevada County and 60 parcels in Placer County subject to Standby
Charges.
ATTACHMENTS:
Attachment 1 Resolution 2022-06 Continuing and Fixing Water Standby Charges
for the Fiscal Year 2022-2023
Attachment 2 Resolution 2022-07 Continuing and Fixing Electric Standby Charges
for the Fiscal Year 2022-2023
Attachment 3 Resolution 2022-08 Requesting Collection of Electric and Water
Standby Charges on Placer County Tax Roll
Attachment 4 Resolution 2022-09 Fixing and Placing Electric and Water Standby
Charges on County of Nevada Tax Roll for Collection