HomeMy WebLinkAbout11, WS Reconnect FeesAction Item # 11
Discussion and Possible Action
Regarding Reconnect Fees
April 18, 2012
Background / History
• Facilities Fees
— Accommodate increased customer demand
— Protect public health and welfare
— Cost based on Electric and Water Master Plans calculations
— Prevents existing rate payers from subsidizing new demand
• Reconnection of abandoned services after five years
— District Code Sections 5.12.050.5 and 5.12.055.4
— Application
— Facilities fees
— Connection fees
— No credit for prior service fees
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Background / History
• Reason for reconnection fees
— Electric and Water Master Plans
— Utilize consumption data of current customers
— Exclude abandoned services
— Reconnection is considered the same as new service
— Creates additional burden on existing system
— Charges costs proportionally
— Supports the objectives of the Master Plans
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New Information
• Customers terminate services voluntarily and involuntarily
• Prospective buyers of properties without electric or water
service call the District for connection cost information
• Craig Lighty purchased residence at 10433 Somerset
— Called the District after purchase
— Informed that service has been abandoned since 2002
— Reconnection fees totaled $5,096
— Discounted fee by $885 for existing service; $4,211 total
• April 4, 2012, Mark Lighty attended Board Meeting
— Requested Board to consider further reduction of fees
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New Information
Approx.
Agency
Reconnect
Garr menu
Fee.
Contra Caste Water (District (C D)
$18,000
Current facilities fee., less prier
fee paid
Placer County "eater Agency (li " ` ),
$1i6,000
Meter set fee„ current facilities
teem less prior fee paid
North Tahoe Public iUtility [district (NTP,U$7,000
Tahoe Truckee Sanitary Agency T i S
'00
Truckee Donner (Public Utility District (TDPUD)
$5,0100
Truckee Sanitary (District (°TSD)
$1,000
Connection and inspection
Nevada Irrigation District (NIIID)
5
!deter installation fee
Tahoe City Public Utility District (TOIPU
Time and material
5
Fiscal Impact
• Waiving reconnection fees transfers the costs back to the
District's existing rate payers
• Approximately 40 abandoned services that have been
inactive for more than 5 years
• Overall costs of Facilities Fees and Connection Fees
for a typical 2,000 sq. ft. residence
— $2, 500 electric service
— $4, 500 water service
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Recommendation
Receive this report and provide direction to staff
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