Workshops, Committees and other Meetings Notices

AGENDA WELCOME TO YOUR CITY COMMISSION MEETING YOUR INPUT IS ENCOURAGED DURING “COMMENTS FROM THE PUBLIC” AND DURING ANY SCHEDULED PUBLIC HEARING COMMISSION UTILITY RATE STUDY WORKSHOP Thursday, April 22, 2021 6:30 PM 1. CALL TO ORDER 2. ROLL CALL 3. PRESENTATION BY CONSULTANT RAFTELIS a. Presentation of water, wastewater and storm water rate study by Joe Williams with Raftelis. 4. COMMISSION DISCUSSION 5. COMMENTS FROM PUBLIC Any member of the Public may speak on any issue for three (3) minutes. 6. FINAL THOUGHTS AND NEXT STEPS 7. ADJOURNMENT PUBLIC ACCESS TO THIS VIRTUAL MEETING CAN BE ACCOMPLISHED AS FOLLOWS: Please click the link below to join the City Commission Meetings: https://wiltonmanors.zoom.us/j/98844117299 Page 1 of 41  Dial (for higher quality, dial a number based on your current location): US: +1 312 626 6799 or +1 929 205 6099 or +1 301 715 8592 or +1 346 248 7799 or +1 669 900 6833 or +1 253 215 8782 or 833 548 0282 (Toll Free) or 877 853 5247 (Toll Free) or 888 788 0099 (Toll Free) or 833 548 0276 (Toll Free) Meeting ID: 988 4411 7299 Any member of the public wishing to comment publicly on any matter may participate by: - Submitting Public Comment via email: PRIOR to the start of the meeting, submit comments by email to publiccomment@wiltonmanors.com . Please include your name and address in the email. All comments submitted by email comment length shall be, if read orally, three (3) minutes or less. Public Comment received by 5:30pm prior to the start of the meeting will be read into the record by the Clerk, and attached to the public record. All other comments submitted by email prior to the start of the meeting shall be made a part of the public record. - Participating in Meeting: Log-in to Zoom via browser, app or phone. During Public Comment portion of the agenda use Raise Hand feature to be called on. Raise Hand feature can be activated by selecting the icon. If you are on app on phone, icon is on the bottom of your screen. If you are on a tablet, icon is on the top right of your screen. If you are on a PC or laptop, icon is on the bottom of the screen. If you are calling in to the meeting, Dial *9. - Delivery of any documents for the commission relating to public comment can be sent to publiccomment@wiltonmanors.com . If received by 5:30pm prior to the meeting, the document will be provided to the commission and will be made a part of the permanent record. If received after 5:30pm the documents will be provided to the Commission the next business day. - If any member of the public requires additional information about a City Commission Meeting, or has any questions about how to submit public comment for the meeting, or how to access the meeting, please contact Faith Lombardo in the City Clerk’s Office, 2020 Wilton Drive, Wilton Manors, FL 33309, 954-390-2123, or CityClerk@wiltonmanors.com. Pursuant to FS. 286.0105, if a person decides to appeal any decision made by the Board, Agency or Commission with respect to any matter considered at such meeting, or hearing, he/she will need a record of the proceedings and that for such purposes he/she may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is based. 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If you are Hearing or Speech impaired, please contact the Florida Relay Services by using the following phone numbers: 1¬800¬955-8770 (Voice) 1-800-955-8771 (tdd) Page 2 of 41 City of Wilton Manors 2021 Water, Wastewater, and Stormwater Rate Study April 22, 2021 Page 3 of 41  Project Scope Water and Wastewater Revenue Sufficiency Forecast Stormwater Revenue Sufficiency Forecast Water and Wastewater Rate Design 2 Page 4 of 41  Review water, wastewater, and stormwater revenue sufficiency Study • Enterprise funds Objectives • Supported by user fees Update 10-year Utility Financial Model Develop Capital Funding program Review the water and wastewater rate structures 3 Page 5 of 41  Utility Overview • Existing utility connections › Water Service – 4,300 accounts › Sewer Service – 4,140 accounts › Stormwater Service – 9,200 bill units • City purchases wholesale water/wastewater from Ft. Lauderdale • Existing utility rates produce annual revenues of approximately $4.4M for water, $4.2M for wastewater, and $540k for stormwater • Existing wastewater debt service maturing in FY 2026 (no other debt) • Funding required for over $43M of capital improvements for water and wastewater over next 10-years (Master Plan) • Funding required for $19.5M of capital improvements for stormwater over next 10-years (Master Plan) 4 Page 6 of 41  Key Forecast Assumptions and Notes • Customer growth of 0.2% per year (mostly multi-family redevelopment) • Cost Escalations › Labor 3.5%/year › General inflation 2.3% - 2.4%/year • Cost of wholesale treatment purchases from Ft. Lauderdale › Water 5.0% rate increase per year – Existing rates are $10,168.33 fixed charge plus $3.58 per 1,000 gallons › Wastewater 5.0% rate increase per year – Existing rate is $2.48 per 1,000 gallons • Annual reductions to the interfund transfers, per plan • Issuance of $46.9M new debt in FY 2022 or FY 2023 › $16.9M for water projects › $14.3M for wastewater projects › $15.7M for stormwater projects (alternatives identified for Stormwater) › Preliminary debt service provided by Ford & Associates 5 Page 7 of 41  Water and Wastewater Revenue Sufficiency Forecast 6 Page 8 of 41  Existing Water Rates Residential Multi-family/ Commercial Rate Component Amount Rate Component Amount Base Charge Base Charge 5/8” Meter $27.65 5/8” Meter $26.25 1” Meter $46.11 1” Meter $68.25 Usage Charges 1 ½” Meter $155.32 Block 1 (0 – 15,000 gallons) $4.53 2” Meter $267.73 Block 2 (15,000 – 30,000 gallons) $5.53 4” Meter $1,076.15 Block 3 (Above 30,000) $6.91 6” Meter $2,418.31 8” Meter $4,299.17 Usage Charges (all usage) $4.78 7 Page 9 of 41  Existing Wastewater Rates Residential Multi-family/ Commercial Rate Component Amount Rate Component Amount Base Charge Base Charge 5/8” Meter $12.24 5/8” Meter $11.61 1” Meter $20.38 1” Meter $30.18 Usage Charges 1 ½” Meter $67.26 (up to 15,000 gallons) $8.45 2” Meter $118.35 4” Meter $475.66 6” Meter $1,068.56 8” Meter $1,899.64 Usage Charges (all usage) $8.45 8 Page 10 of 41  Capital Improvement Program Description FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Water Rate Revenue $1,046,500 $77,100 $279,800 $116,600 $2,900,000 $0 $44,100 $0 $0 Sewer Rate Revenue 1,554,400 464,600 279,800 19,000 1,514,600 2,056,400 44,100 423,200 0 R&R Funds 26,200 121,800 303,400 8,400 506,000 120,000 73,000 62,400 87,400 Proposed 2022 Bonds 0 13,621,100 15,397,800 2,176,000 0 0 0 0 0 Total $2,627,100 $14,284,600 $16,260,800 $2,320,000 $4,920,600 $2,176,400 $161,200 $485,600 $87,400 9 Page 11 of 41  Water Revenue $8,000,000 Sufficiency at $7,000,000 Existing Rates $6,000,000 • Water revenues falling short in $5,000,000 future years due to: $4,000,000 • Increased wholesale purchase costs $3,000,000 • Addition of debt service to fund CIP $2,000,000 • Need to generate additional revenues to fund reserves $1,000,000 and pay-go capital • FY 2025 will use available $0 FY FY FY FY FY FY FY FY FY FY reserve funds to fund the 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 increased Pay-go capital Wholesale Purchases O&M and Pay-Go Capital needs Debt Service Operating Transfer Out Revenue from Existing Rates 10 Page 12 of 41  Wastewater $8,000,000 Revenue $7,000,000 Sufficiency at $6,000,000 Existing Rates $5,000,000 $4,000,000 • Wastewater revenues need slight adjustments to fund: $3,000,000 • Addition of debt service to $2,000,000 fund CIP • Need to generate additional $1,000,000 revenues to fund reserves and pay-go capital $0 FY FY FY FY FY FY FY FY FY FY • FY 2025 and FY 2026 will use 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 available reserve funds to fund Wholesale Purchases O&M and Pay-Go Capital the increased Pay-go capital Debt Service Operating Transfer Out needs Revenue from Existing Rates 11 Page 13 of 41  Recommended Rate Adjustments Fiscal Year Water Wastewater 12 Page 14 of 41  Wholesale Rate Pass-Through • Since the City purchases wholesale treatment services from Ft. Lauderdale a wholesale rate pass through methodology can be implemented › Gives the City the ability to increase rates automatically when wholesale rates are increased › Common approach for municipalities that purchase wholesale water and wastewater – for example Oakland Park has an automatic pass-through › City may not have to go through full Commission adoption process in subsequent years to increase rates from the wholesale pass-through 13 Page 15 of 41 Water Revenue $8,000,000 Sufficiency at $7,000,000 Recommended Rates $6,000,000 $5,000,000 • The proposed rate adjustments provide adequate $4,000,000 revenues to fund all identified revenue requirements: $3,000,000 • O&M • Pay-go Capital $2,000,000 • Proposed Debt Service $1,000,000 • Operating Transfer Out • Accumulated reserves used in $0 FY 2025 to support Pay-go FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Capital Wholesale Purchases O&M and Pay-Go Debt Debt Service Operating Transfer Out Revenue from Existing Rates Revenue from Recommended Rates 14 Page 16 of 41  $8,000,000 Wastewater Revenue Sufficiency $7,000,000 at Recommended $6,000,000 Rates $5,000,000 • The proposed rate $4,000,000 adjustments provide adequate revenues to fund all identified $3,000,000 revenue requirements: • O&M $2,000,000 • Pay-go Capital • Proposed Debt Service $1,000,000 • Operating Transfer Out $0 • Accumulated reserves used in FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 FY 2025 and FY 2026 to Wholesale Purchases O&M and Pay-Go Capital support Pay-go Capital Debt Service Operating Transfer Out Revenue from Existing Rates Revenue from Recommended Rates 15 Page 17 of 41  Fund Balance $8,000,000 Forecast $7,000,000 $6,000,000 • Fund balance remains strong throughout the $5,000,000 forecast period and is $4,000,000 being used in FY 2025 – FY 2026 to fund additional $3,000,000 capital improvements and $2,000,000 avoid additional debt. $1,000,000 • Future forecast provides contingency against $0 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 project cost increases and future improvements Unrestricted Reserves Minimum Target (4-months O&M) 16 Page 18 of 41  Local Comparison at 6,000 gallons consumption City of Wilton Manors 1" $144.37 City of Wilton Manors 5/8" $117.77 City of Oakland Park $114.69 Town of Davie $112.14 City of Dania Beach $107.82 City of Fort Lauderdale 1" $107.74 City of Fort Lauderdale 5/8" $86.39 Broward County [1] $76.82 City of Tamarac $64.73 City of Plantation $60.05 City of Pompano Beach 1" $58.71 City of Pompano Beach 3/4" $54.85 $0.00 $20.00 $40.00 $60.00 $80.00 $100.00 $120.00 $140.00 $160.00 Water Sewer [1] Broward County residential rates for 1" meters do not vary if average monthly consumption was below 20,000 gallons for the previous year. For those customers who averaged 17 greater than 20,000 gallons per month, the residential 1" combined water and wastewater base charge is $64.61 ($28.14 higher than the 5/8" meter water and wastewater base charge). Page 19 of 41  Stormwater Revenue Sufficiency Forecast 18 Page 20 of 41  Existing Stormwater Rates Classification Factor Rate/Mo. ERUs Billed Units Billed Res & Com per ERU 1.00 $6.15 5,176 5,176 MF Single Story 0.70 $4.31 704 1,005 MF Multi-Story 0.50 $3.09 1,492 2,983 19 Page 21 of 41  Capital Improvement Program Description FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 $863,400 $0 $0 $365,700 $0 $365,100 $289,600 $796,400 $737,600 Stormwater Reserves Stormwater R&R 0 164,400 0 0 165,000 0 47,100 0 0 Fund Proposed 2022 0 7,602,100 8,103,100 0 0 0 0 0 0 Bonds Total $863,400 $7,766,500 $8,103,100 $365,700 $165,000 $365,100 $336,700 $796,400 $737,600 20 Page 22 of 41  Capital Improvement Program - Alternatives • Funding for the stormwater improvements requires significant rate adjustments, which would increase the monthly rate for a Single Family customer to around $20/month › This assumes debt funding is used to minimize the rate impacts › This also assumes the stormwater revenues fully fund the improvements with no outside funding › If the City can spread out the execution of the projects over a longer period of time, the rates can be phased up the to the $20 level over a longer period of time as well 21 Page 23 of 41  Capital Improvement Program – Faster Project Execution Description FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 $863,400 $0 $0 $365,700 $0 $365,100 $289,600 $796,400 $737,600 Stormwater Reserves 0 164,400 0 0 165,000 0 47,100 0 0 Stormwater R&R Fund 0 7,602,100 8,103,100 0 0 0 0 0 0 Proposed 2022 Bonds Total $863,400 $7,766,500 $8,103,100 $365,700 $165,000 $365,100 $336,700 $796,400 $737,600 Rate FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 SF & Com per ERU $6.15 $17.52 $18.39 $18.66 $18.93 $19.21 $19.49 MF Single Story $4.31 $12.27 $12.88 $13.07 $13.26 $13.46 $13.65 MF Multi-Story $3.09 $8.80 $9.23 $9.37 $9.51 $9.65 $9.79 22 Page 24 of 41  Stormwater Revenue $2,000,000 $1,800,000 Sufficiency – $1,600,000 Fast CIP $1,400,000 $1,200,000 Execution $1,000,000 $800,000 $600,000 • Increase of rate from $6 to $400,000 $17 in FY 2022 provides $200,000 necessary funding for debt $0 service and Pay-go FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Capital Debt Service Operating Expenses • Annual surplus used to Revenue from Existing Rates fund additional Pay-go Revenue from Recommended Rates 23 Capital each year Page 25 of 41  Stormwater Fund Balance $1,200,000 Forecast – Fast CIP $1,000,000 Execution $800,000 $600,000 • Fund balance remains strong throughout the $400,000 forecast and is used to fund Pay-go CIP. $200,000 • Future forecast provides $0 contingency against FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 project cost increases and future improvements Unrestricted Reserves Minimum Target (3-months O&M) 24 Page 26 of 41  Capital Improvement Program – Slower Project Execution Description FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Stormwater Reserves $863,400 $0 $0 $365,700 $0 $365,100 $289,600 $0 $0 Stormwater R&R Funds 0 164,400 0 0 165,000 0 47,100 0 0 Proposed 2022 Bonds 0 2,742,200 525,300 0 0 0 0 0 0 Proposed 2025 Bonds 0 0 0 0 4,859,900 0 0 0 0 Proposed 2027 Bonds 0 0 0 0 0 0 7,577,800 0 0 Proposed 2029 Bonds 0 0 0 0 0 0 0 796,400 737,600 Total $863,400 $2,906,600 $525,300 $365,700 $5,024,900 $365,100 $7,914,500 $796,400 $737,600 Rate FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 SF & Com per ERU $6.15 $9.22 $10.60 $12.19 $14.62 $17.54 $19.29 MF Single Story $4.31 $6.46 $7.42 $8.54 $10.24 $12.29 $13.51 MF Multi-Story $3.09 $4.63 $5.32 $6.12 $7.34 $8.81 $9.69 25 Page 27 of 41  Stormwater Revenue $2,000,000 Sufficiency – $1,800,000 Slow CIP $1,600,000 $1,400,000 Execution $1,200,000 $1,000,000 • Slower capital execution leads to $800,000 slower phase-in of debt service $600,000 requirements $400,000 • Projects being delayed to future $200,000 years have additional cost and $0 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 debt funding contingency Debt Service • Annual surplus used to fund Operating Expenses additional Pay-go Capital each Revenue from Existing Rates year Revenue from Recommended Rates 26 Page 28 of 41  Stormwater – Final Thoughts • City is considering moving from monthly utility bill to non-ad valorem assessments on property tax bill › Consider Florida Statutes and language towards direct benefits to properties • As City’s stormwater fees increase there is likely to be a higher level of scrutiny. City may want to review: › 3,460 square feet impervious area basis for commercial properties › Fee application methodology for multi-family accounts › Establishment of a stormwater mitigation credit policy 27 Page 29 of 41  Water and Wastewater Rate Design Alternatives 28 Page 30 of 41  Rate Structure Discussion and Approach • Unify base charges between classes • Unify base charges for all single family connections • Re-align usage tiers to promote conservation • Adjust larger meter size factors to align with industry standards • Rate adjustments identified are more for clean up and consistency 29 Page 31 of 41  Single-Family Residential Water Bill Frequency Chart 18.0% 16.0% 15.5% 14.1% 74% of bills at 5,000 14.0% 13.1% gallons or less 12.0% 9.8% 10.0% 8.7% 8.0% 6.9% 6.1% 6.0% 4.9% 4.0% 3.5% 2.8% 1.7% 1.2% 2.0% 1.0% 0.7% 0.5% 0.4% 0.3% 0.3% 0.1% 0.1% 0.0% 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Monthly Consumption (1,000s of Gallons) Percent Customers Billed 30 Page 32 of 41  Rate Structure Option 1 Introduction • Residential usage charges existing blocks from (0 – 15k, 15k – 30k, above 30k) › Not very effective in promoting conservation (most bills at 5k gallons or less) • Proposed usage charge blocks from (0 – 4k, 4k – 8k, 8k – 12k, above 12k) › First block provides incentive for low users to sustain usage levels › Rates designed to promote conservation • Slight decrease on water base charges (commercial to AWWA factors) • Slight increase on wastewater base charges (commercial to AWWA factors) • Slight decrease on wastewater usage charges 31 Page 33 of 41  Rate Structure Option 1 – Water Residential Commercial Rate Component FY 2021 Rate Design Rate Component FY 2021 Rate Design Base Charge Base Charge 5/8” Meter $27.65 $24.95 5/8” Meter $26.25 $24.95 1” Meter $46.11 $24.95 1” Meter $68.25 $62.38 Usage Charges 1 ½” Meter $155.32 $124.75 Block 1 $4.53 $4.24 2” Meter $267.73 $199.60 Block 2 $5.53 $6.24 4” Meter $1,076.15 $623.75 Block 3 $6.91 $6.99 6” Meter $2,418.31 $1,247.50 Block 4 N/A $8.73 8” Meter $4,299.17 $1,996.00 Consumption Blocks (in 1,000s) Usage Charges (all usage) $4.78 $5.49 Block 1 0 - 15 0–4 Block 2 15 - 30 4–8 Block 3 Above 30 8 – 12 Block 4 N/A Above 12 32 Page 34 of 41  Rate Structure Option 1 – Wastewater Residential Commercial Rate Component FY 2021 Rate Design Rate Component FY 2021 Rate Design Base Charge Base Charge 5/8” Meter $12.24 $15.00 5/8” Meter $11.61 $15.00 1” Meter $20.38 $15.00 1” Meter $30.18 $37.50 Usage Charges (up to 15,000 gallons) $8.45 $8.13 1 ½” Meter $67.26 $75.00 2” Meter $118.35 $120.00 4” Meter $475.66 $375.00 6” Meter $1,068.56 $750.00 8” Meter $1,899.64 $1,200.00 Usage Charges (all usage) $8.45 $8.13 33 Page 35 of 41  Rate Structure Option 1 Residential 5/8-inch Meter Residential 1-inch Meter FY 2021 FY 2021 Usage Existing Calculated Usage Existing Calculated (000s) Rates Rates $ Change % Change (000s) Rates Rates $ Change % Change 0 $39.89 $39.95 $0.06 0.15% 0 $66.49 $39.95 ($26.54) -39.92% 3 $78.83 $77.06 ($1.77) -2.24% 3 $105.43 $77.06 ($28.37) -26.90% 5 $104.79 $103.80 ($0.99) -0.94% 8 $170.33 $146.91 ($23.42) -13.75% 8 $143.73 $146.91 $3.18 2.21% 15 $261.19 $257.96 ($3.23) -1.24% 15 $234.59 $257.96 $23.37 9.96% 20 $288.84 $301.62 $12.78 4.42% Multi-family/Commercial 1-inch Meter Multi-family/Commercial 2-inch Meter FY 2021 FY 2021 Usage Existing Calculated Usage Existing Calculated (000s) Rates Rates $ Change % Change (000s) Rates Rates $ Change % Change 0 $98.43 $99.88 $1.45 1.47% 0 $386.08 $319.60 ($66.48) -17.22% 5 $164.58 $167.98 $3.39 2.06% 25 $716.83 $660.08 ($56.76) -7.92% 10 $230.73 $236.07 $5.34 2.31% 50 $1,047.58 $1,000.55 ($47.03) -4.49% 15 $296.88 $304.17 $7.28 2.45% 100 $1,709.08 $1,681.50 ($27.58) -1.61% 25 $429.18 $440.36 $11.18 2.60% 125 $2,039.83 $2,021.98 ($17.85) -0.88% 34 Page 36 of 41  Rate Structure Option 2 Introduction • Similar overall adjustments to consumption blocks • Maintain water base charge level (commercial to AWWA factors) • Maintain wastewater base charge level (commercial to AWWA factors) 35 Page 37 of 41  Rate Structure Option 2 – Water Residential Commercial Rate Component FY 2021 Rate Design Rate Component FY 2021 Rate Design Base Charge Base Charge 5/8” Meter $27.65 $27.65 5/8” Meter $26.25 $27.65 1” Meter $46.11 $27.65 1” Meter $68.25 $69.13 Usage Charges 1 ½” Meter $155.32 $138.25 Block 1 $4.53 $4.28 2” Meter $267.73 $221.20 Block 2 $5.53 $5.94 4” Meter $1,076.15 $691.25 Block 3 $6.91 $6.65 6” Meter $2,418.31 $1,382.50 Block 4 N/A $8.31 8” Meter $4,299.17 $2,212.00 Consumption Blocks (in Usage Charges (all usage) $4.78 $5.23 1,000s) Block 1 0 - 15 0–4 Block 2 15 - 30 4–8 Block 3 Above 30 8 – 12 Block 4 N/A Above 12 36 Page 38 of 41  Rate Structure Option 2 – Wastewater Residential Commercial Rate Component FY 2021 Rate Design Rate Component FY 2021 Rate Design Base Charge Base Charge 5/8” Meter $12.24 $12.25 5/8” Meter $11.61 $12.25 1” Meter $20.38 $12.25 1” Meter $30.18 $30.63 Usage Charges (up to 15,000 1 ½” Meter $67.26 $61.25 gallons) $8.45 $8.59 2” Meter $118.35 $98.00 4” Meter $475.66 $306.25 6” Meter $1,068.56 $612.50 8” Meter $1,899.64 $980.00 Usage Charges (all usage) $8.45 $8.59 37 Page 39 of 41  Rate Structure Option 2 Residential 5/8-inch Meter Residential 1-inch Meter FY 2021 FY 2021 Usage Existing Calculated Usage Existing Calculated (000s) Rates Rates $ Change % Change (000s) Rates Rates $ Change % Change 0 $39.89 $39.90 $0.01 0.03% 0 $66.49 $39.90 ($26.59) -39.99% 3 $78.83 $78.50 ($0.33) -0.42% 3 $105.43 $78.50 ($26.94) -25.55% 5 $104.79 $105.89 $1.10 1.05% 8 $170.33 $149.47 ($20.86) -12.25% 8 $143.73 $149.47 $5.74 3.99% 15 $261.19 $261.14 ($0.05) -0.02% 15 $234.59 $261.14 $26.55 11.32% 20 $288.84 $302.70 $13.86 4.80% Multi-family/Commercial 1-inch Meter Multi-family/Commercial 2-inch Meter FY 2021 FY 2021 Usage Existing Calculated Usage Existing Calculated (000s) Rates Rates $ Change % Change (000s) Rates Rates $ Change % Change 0 0 $98.43 $99.76 $1.33 0 $386.08 $319.20 ($66.88) -17.32% 5 5 $164.58 $168.84 $4.25 25 $716.83 $664.58 ($52.26) -7.29% 10 10 $230.73 $237.91 $7.18 50 $1,047.58 $1,009.95 ($37.63) -3.59% 15 15 $296.88 $306.99 $10.11 100 $1,709.08 $1,700.70 ($8.38) -0.49% 25 25 $429.18 $445.14 $15.96 125 $2,039.83 $2,046.08 $6.25 0.31% 38 Page 40 of 41  Final Thoughts • City’s water and wastewater utility is in a very strong financial position › Relatively minor rate adjustments required to complete significant level of capital improvements › Rate alternatives identified represent clean up and simplification along with promoting conservation • City’s stormwater utility requires significant improvements, which are placing upward pressure on the rate level 39 Page 41 of 41