RESOLUTION NO. 165-07

A RESOLUTION ADOPTING UTILITY RATES FOR WATER, WASTEWATER,

AND SOLID WASTE SERVICES EFFECTIVE JANUARY 1, 2008

Recitals:

The City of Grand Junction establishes rates for utility services on a periodic basis, and by this resolution, the City Council establishes rates for water, wastewater and solid waste utility services and to implement decisions made in the long-term financial plans for the water, wastewater, and solid waste enterprise funds.

City Water System. There will be a $1.00 increase in the minimum water rate to $8.50 per 3,000 gallons. The commodity rates for 3,000 – 10,000 gallons, from 11,000 – 20,000 gallons, and over 20,000 will each increase $0.05 per thousand gallons. This revenue increase of 5% reflects a water conservation rate, and an increase in the Water Funds major capital program.

Kannah Creek Water System. There will be a change in the minimum water rate of $30.00 per 3,000 gallons in the Kannah Creek Water System to $32.50 per 3,000 gallons. The commodity rates for 3,000 – 10,000 gallons, from 11,000 – 20,000 gallons, and over 20,000 will each increase $0.10 per thousand gallons. This revenue increase of 5% reflects a water conservation rate, and an increase to reflect the cost of on-going operating expenses.

Wastewater. Rates are being increased to reflect the cost of on-going operating expenses, particularly energy, debt service for the combined storm and sanitary sewer elimination project, and an increase in the Waste Water major capital program. The increase in the plant investment fee (PIF) per EQU reflects a recommendation from staff related to findings of the 2006 Persigo Sewer System Rate Study. The PIF is established on the “buy in method” in which new development pays for existing capacity in the waste water plant and collection system based on a current value of that infrastructure.

Solid Waste. The 2008 rate adjustment will reflect increases in operating costs such as fuel, equipment, and Mesa County landfill tipping fees.

The City Council has the authority to establish rates by resolution.

NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND JUNCTION.

Effective January 1, 2008 rates for utility services will change according to the following schedule. Appropriate schedules will be developed showing charges for all utility services rendered.

City Water

Residential

Kannah Creek Water System

Sewer:

2.5% per EQU increase for all customers. This equates to an increase of .36 cents per month for a single family home, from $14.25 to $14.61 per month for full service customers.

The Plant Investment fee will change from $2,000 to $2,500 per single family equivalent unit.

Irrigation Rates in the Ridges

Increase of 5% for all customers. Single family rate will increase 66 ¢ per month from $12.60 to $13.26 and multi family rates will increase 45 ¢ per month from $8.93 to $9.38.

Solid Waste:

Increase of 4% Residential, and Commercial. Recycling will remain at $1.75 per month.

PASSED and ADOPTED this 19^th day of November, 2007.

             /s/ James J. Doody                      Mayor

Attest:

/s/ Stephanie Tuin              

City Clerk