HomeMy WebLinkAbout11 Water Rate Study Agenda Item # 11
TRUCKEE R
Public Utility District
ACTION
To: Board of Directors
From: Neil Kaufman
Date: March 18, 2009
Subject: Appointment of a Director to Review the Water Rate Study Proposals
1. WHY THIS MATTER IS BEFORE THE BOARD
Board member participation is recommended to add perspective to the consultant selection
process relating to water rate design.
2. HISTORY
AB 2572 requires that the District begin reading the water meters installed since 1992 and
commence billing on a volumetric basis by January 1, 2010. AB 2572 also requires that all
connections be equipped with water meters and billed on a volumetric basis by January 1,
2025.
A number of workshops were held during 2008 regarding this state mandate. In September
2008, the Board awarded a contract to Measurement & Control Systems (MCS) for the
installation of water meters, meter-mounted radios and associated components with the water
metering pilot program. All of the pilot program water meters and meter-mounted radios have
been installed and the pilot study is underway.
Another facet of compliance with AB 2572 involves the development a new volume-based water
rate structure. The District has issued a Request for Proposals to assist the District in
developing the new rate structure. The anticipated rate study schedule is given below:
• Issue RFP- February 23
• Proposal submission deadline- March 20
• RFP Review-March 23-27
• Board of Directors authorizes contract-April 1
• First Board workshop on water rate structure concepts- May 6
• Second Board workshop on water rate structure concepts- May 20 or June 3
• Preliminary rate study report presented to Board -August 5
• Final rate study report presented to Board of Directors-August 19
• Public Workshop/Board meeting on proposed water rates-September 2
• Review and approval of new water rates-September 16
• Mailing of Notices of Public Hearing -after September 16
Public hearing on Proposed water rates and Board adoption vote- November 4
Implementation of new rates-January 1, 2010
3. NEW INFORMATION
As shown in the project schedule, the submission deadline for proposals in Friday, March 20.
Review of the proposals and development of a recommendation is planned for the following
week with award of a contract anticipated at the April 1, Board Meeting.
District procedures call for a staff review committee of at least three members representing at
least two departments. The current makeup of the review committee is:
• Ed Taylor - Water Department
• Neil Kaufman - Water Department
• Bob Mescher- Administrative Services (Accounting)
It is recommended that one of the District's Directors also serve on the review committee to
ensure that the viewpoint of the Board is represented in the review process.
4. FISCAL IMPACT
There is no direct fiscal impact associated with this item.
5. RECOMMENDATION
A oin a Director to serve on the committee to review the Water Rate Study proposals.
d aylor Michael D. Holley
Water Utility Manager General Manager