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HomeMy WebLinkAbout2008-02-28 - Resolution No. 08-02RESOLUTION NO. 08-02 RESOLUTION OF THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER DISTRICT ON SETTING FORTH THE POLICY ON THE CRITERIA USED FOR DETERMINING THE BASIC SERVICE CHARGE COMPONENT OF THE WATER RATE WHEREAS, the Board of Directors of the Yorba Linda Water District is responsible for setting and adjusting the rate charged for water sold by the District; and WHEREAS, the Board of Directors has adopted Rules and Regulations for the District which set water rates and related categories; and 1 1 WHEREAS, pursuant to Water Code Section 31007, the Board of Directors is required to set water rates at a level which will pay for the provision of water services including depreciation and other overhead; and WHEREAS, a notice was mailed to each account identifying the property receiving water service, explaining the maximum rate proposed; explaining the reason for the increase and the way in which it was calculated (including but not limited to the pass through of rates from the five energy and water providers) and giving notice of a public hearing on such increase; and WHEREAS, as explained in the notice, the District prepared and made available at the District office a report entitled "Water Rate Report for Fiscal Years 2007-08 and 2008-09, which explained the rate structure and proposed increase in greater detail; and WHEREAS, the water rate report presented to the Board of Directors on December 13, 2007 was subject to the substantive and procedural requirements of Proposition 218 (California Constitution Art. XIII D) and the water rate report and the reporting guidelines met all such requirements; and WHEREAS, the Board of Directors has from time to time, with the latest rate hearing on December 13, 2007, determined that a basic service charge component of the water rate structure should be maintained to insure District customers have water available to their residence or business at all times; and WHEREAS, the Board of Directors has from time to time determined customers should be responsible to pay for a readiness to serve charge better known as the basic service charge component of the water rate to pay for a percentage of fixed supplies, services, and personnel costs; and WHEREAS, staff prepared a report entitled "Water Rate Report for Fiscal Years Section 1. The basic service charge component of the water rate shall be calculated based on 21 % of the fixed supplies, services, salaries and benefits of personnel costs. Section 2. The basic service charge component of the water rate shall remain unchanged if the proposed water rate increase is made for the sole purpose of funding capital improvement projects. Section 3. Resolution No 08-02 becomes effective from this date forward, PASSEL} AND ADOPTED this 28th day of February, 2008, by the following called vote: AYES: r,, ver • 4 l?e•i ,11^..lfi0f-f5rl i NOES: ABSENT' l ABSTAIN John Summerfield President