HomeMy WebLinkAbout#8 Electric and Water Standby Charges AGENDA ITEM #8
Public Utility District m
MEETING DATE: April 3, 2024
TO: Board of Directors
FROM: Michael Salmon, Chief Financial Officer
SUBJECT: Public Hearing Related to Adoption of the Annual Electric and Water
Standby Charges
APPROVED BY:
Brian C. Wright, General Manager
RECOMMENDATION:
A. Conduct a public hearing at the regularly scheduled District Board Meeting on April
3, 2024, at 6:OOPM, or as soon thereafter, to receive input on the adoption of annual
Electric and Water Standby Charges; and
B. Adopt the following resolutions:
1. Resolution 2024-05 Continuing and Fixing Water Standby Charges for the Fiscal
Year 2024-2025;
2. Resolution 2024-06 Continuing and Fixing Electric Standby Charges for the
Fiscal Year 2024-2025;
3. Resolution 2024-07 Requesting Collection of Electric and Water Standby
Charges on Placer County Tax Roll; and
4. Resolution 2024-08 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 6, 2024, meeting, the
Board set a public hearing to be held on April 3, 2024, 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 2024-
2025 property tax year. The Public Hearing was advertised in the Sierra Sun
Newspaper on March 22 and 29, 2024.
Board action is required to adopt electric and water standby charges for the 2024-2025
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
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and water standby charges, and to request Nevada and Placer Counties collect the
charges as part 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 AND BODY:
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 2024/2025. 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, reviewing and discussing the Resolutions and this Staff report; renewing the
existing Electric and Water Standby Charges on vacant parcels in the District for
2024/2025.
GOALS AND OBJECTIVES:
District Code 1 .05.020 Objectives:
1. Responsibly serve the public.
3. Provide reliable and high quality water supply and distribution system to meet
current and future needs.
4. Provide reliable and high quality electric supply and distribution system to meet
current and future needs.
6. Manage the District in an effective, efficient and fiscally responsible manner.
District Code 1 .05.030 Goals:
1. Manage for Financial Stability and Resiliency
3. Engage with our customers and communities in a welcoming and transparent way to
identify opportunities.
4. Take the best of private sector thinking to modernize the utility and add value to our
communities.
FISCAL IMPACT:
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The estimated standby revenue for 2024-2025 is $16K for Electric and $95K for Water,
consistent with budgeted revenue in the approved FY24 Budget. There are an
estimated 1560 parcels in Nevada County and 60 parcels in Placer County subject to
Standby Charges.
ATTACHMENTS:
1. R2024-05 Standby Resolution-water
2. R2024-06 Standby Resolution-electric
3. R2024-07 Standby Resolution,PlacerCounty
4. R2024-08 Standby Resolution,NevadaCounty
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TRUCKEE DONNER
Resolution No. 2024-05
Continuing and Fixing Water Standby Charges
For the Fiscal Year 2024-2025
WHEREAS, on February 18, 1975, the Board of Directors of the Truckee Donner Public Utility District
duly adopted Ordinance No. 7501 fixing Water Standby Charges on lands within the District boundaries
and providing a means for collection thereof; and
WHEREAS, on August 16, 1982, the Board of Directors adopted Resolution No. 8240 amending
Ordinance 7501 to include Placer as well as Nevada County; and
WHEREAS, on March 18, 1991, the Board of Directors adopted Ordinance No. 9103 amending
Ordinance No. 7501 and Resolution No. 8240 to the extent that such ordinance and resolution concern
the fixing of Water Standby Charges in the County of Nevada; and
WHEREAS, on April 8, 1991, the Board of Directors adopted Ordinance No. 9105 amending Ordinance
No. 7501 and Resolution No. 8240 to the extent that such ordinance and resolution concern the fixing of
water standby charges in the County of Placer; and
WHEREAS, Ordinance No. 7501 prescribes that implementation of the actual charges shall be made by
resolution of the Board for each fiscal tax year; and
WHEREAS, fees authorized by this resolution shall not be charged, assessed, levied and collected in
the District's Donner Lake or Glenshire Service areas.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Truckee Donner Public Utility
District as follows:
1. The Water Standby Charge for the fiscal tax year 2024-2025 shall be the sum of $80 for all parcels
regardless of size.
2. The District shall determine the lands to be affected thereby for the current fiscal year, which shall not
include lands in Donner Lake or Glenshire Service areas, and the charges to be assessed, levied and
collected on the lands and parcels, and upon the completion thereof a subsequent Resolution shall be
approved fixing and placing the Water Standby Charges on the District tax roll for collection by Placer
and Nevada Counties.
3. Certified copies of this resolution be forwarded to the County Auditor of the County of Placer and the
County Auditor of the County of Nevada.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District at a
meeting held within the District on April 3, 2024 by the following roll call vote:
AYES:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Jeff Bender, President
ATTEST:
Brian Wright, General Manager
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;W- Public Utility District
Resolution No. 2024-06
Continuing and Fixing Electric Standby Charges
for the Fiscal Year 2024-2025
WHEREAS, on February 18, 1975, the Board of Directors of the Truckee Donner Public Utility District
duly adopted Ordinance No. 7501 fixing Electric Standby Charges on lands within the District
boundaries and providing a means for collection thereof; and
WHEREAS, on August 16, 1982, the Board of Directors adopted Resolution No. 8240 amending
Ordinance 7501 to include Placer as well as Nevada County; and
WHEREAS, Ordinance No. 7501 prescribes that implementation of the actual charges shall be made by
resolution of the Board for each fiscal year.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Truckee Donner Public Utility
District as follows:
1. The Electric Standby Charge for the fiscal tax year 2024-2025 shall be the sum of$20 for any parcel
consisting of one acre or more, and the sum of$10 for any parcel of less than one acre.
2. The District shall determine the lands to be affected thereby for the current fiscal year and the
charges to be assessed, levied and collected on the lands and parcels, and upon the completion
thereof a subsequent Resolution shall be approved fixing and placing the electrical standby charges
on the District tax roll for collection by Placer and Nevada Counties.
3. Certified copies of this Resolution are to be forwarded along with the direct charges to the County
Auditor of the County of Placer and the County Auditor of the County of Nevada.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District at a
meeting held within the District on April 3, 2024 by the following roll call vote:
AYES:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Jeff Bender, President
ATTEST:
Brian Wright, General Manager
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Resolution No. 2024-07
Requesting Collection of Electric and Water Standby
Charges on Placer County Tax Roll
WHEREAS, the Truckee Donner Public Utility District requests the County of Placer
collect on the County tax rolls certain charges which have been imposed by the District
pursuant to Resolution No. 2024-05 and 2024-06 attached, and
WHEREAS, the County has required as a condition of the collection of said charges that
the District warrant the legality of said charges and defend and indemnify the County
from any challenge to the legality thereof.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Truckee
Donner Public Utility District as follows:
1. The Auditor-Controller of Placer County is requested to attach for collection
on the County tax rolls those taxes, assessments, fees and/or charges,
attached hereto;
2. The District warrants and represents that the taxes, assessments, fees and/or
charges imposed by the District and being requested to be collected by
Placer County comply with all requirements of state law, including but not
limited to Articles XIIIC and MID of the California Constitution (Proposition
218);
3. The District releases and discharges County, and its officers, agents and
employees from any and all claims, demands, liabilities, costs and expenses,
damages, causes of action, and judgments, in any manner arising out of the
collection by County on the property tax toll of any taxes, assessments, fees
and/or charges on behalf of District;
4. In consideration for the County's collection of the charge through the County's
property tax roll, the District agrees to and shall defend, indemnify and hold
harmless the County, its officers, agents and employees (the "Indemnified
Parties") from any and all claims, demands, liabilities, costs and expenses,
damages, causes of action, and judgments, in any manner arising out of the
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collection by County of any of District's said taxes, assessments, fees and/or
charges requested to be collected by County for District, or in any manner
arising out of District's establishment and imposition of said taxes,
assessments, fees and/or charges. District agrees that, in the event a
judgment is entered in a court of law against any of the Indemnified Parties as
a result of the collection of one of District's taxes, assessments, fees and/or
charges, the County may offset the amount of the judgment from any other
monies collected by County on behalf of District, including property taxes;
5. The District agrees that its officers, agents and employees will cooperate with
the County in answering questions referred to District by County from any
person concerning the District's taxes, assessments, fees and/or charges,
and that District will not refer such persons to County officers and employees
for response; and
6. The District agrees to pay the County for the reasonable and ordinary
charges to recoup its costs of placement and collection on the tax rolls at the
agreed upon rate of 1% of the taxes, assessments, fees and/or charges, as
provided by Government Code section 29304 and 51800.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public
Utility District at a meeting held within said District on April 3, 2024 by the following
roll call vote:
AYES:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Jeff Bender, President
ATTEST:
Brian Wright, General Manager
2
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PublIc Utility District
Resolution No. 2024-08
Fixing and Placing Electric and Water Standby
Charges on County of Nevada Tax Roll for Collection
WHEREAS, on February 18, 1975, the Board of Directors of the Truckee Donner Public
Utility District duly adopted Ordinance No. 7501 fixing Electric and Water Standby Charges
on lands within the District boundaries and providing a means for collection thereof; and
WHEREAS, on August 16, 1982, the Board adopted Resolution No. 8240 amending
Ordinance 7501 to include Placer as well as Nevada County; and
WHEREAS, on March 18, 1991 , the Board of Directors adopted Ordinance No. 9103
amending Ordinance No. 7501 and Resolution No. 8240 to the extent that such ordinance
and resolution concern the fixing of water standby charges in the County of Nevada; and
WHEREAS, on April 3, 2024, the Board adopted Resolution No. 2024-05 and 2024-06
continuing and fixing electric and water standby charges pursuant to Ordinances 7501,
9103 and 9105 for the fiscal tax year 2024-2025; and
WHEREAS, the District has now determined the lands affected thereby and the charges to
be assessed, levied and collected on the lands and parcels; and
WHEREAS, by Resolution No. 9723 adopted November 5, 1997, the Board of Directors of
the Truckee Donner Public Utility District approved execution of a continuous Standard
Form Tax Collection Services Contract with the County of Nevada.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Truckee Donner
Public Utility District as follows:
1. That the Board of Supervisors of the County of Nevada, State of California, levy
the Standby Charges against the parcel numbers (APN) of record listed on the
computer itemization of unimproved parcels kept and maintained in the
Administrative Services Department of the District and made a part hereof by
reference, and that the County Auditor and Tax Collector be instructed to levy and
collect said charges in the same manner as County taxes as by law and in said
ordinance provided. Upon completion and correction of the current list through
June 30, 2024, a copy will be forwarded to the Auditor Controller of the County.
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2. The District warrants and represents that charges imposed by the District and
being requested to be collected by Nevada County comply with all requirements of
state law, including but not limited to Articles XIIIC and XIIID of the California
Constitution (Proposition 218).
3. That a certified copy of this resolution be forwarded to the County Auditor of the
County of Nevada.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility
District at a meeting held within said District on April 3, 2024 by the following roll call vote:
AYES:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
Jeff Bender, President
ATTEST:
Brian Wright, General Manager
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