Title
Staff Report for Resolution and Ordinance Establishing a Wastewater Fee Structure to Comply with New Accessory Dwelling Unit State Law and Zoning Code Changes
Staffreport
SUMMARY AND RECOMMENDATIONS
To comply with requirements imposed by new California Accessory Dwelling Unit (ADU) laws, the Water Pollution Control Plant needs to establish new definitions and fee structures to ensure equitable assessment of wastewater fees and charges. Staff recommends that the City Council:
o Approve a Resolution to amend San Leandro Administrative Code, Title 12, Chapter 5, Uniform Wastewater Discharge Regulations; and
o Adopt an Ordinance to amend San Leandro Municipal Code, Title 3, Chapter 14, Uniform Wastewater Discharge Regulations, Article 2, Definitions.
BACKGROUND
The California Legislature recently amended State law to declare that ADUs in single family and multifamily zones are essential to address the State housing shortage. Consequently, the Legislature passed two new laws that took effect January 1, 2017 to lower barriers to development of ADUs. Those barriers include existing sewer fees and charges.
It is Water Pollution Control Enterprise Fund policy to develop user charges that ensure equity among ratepayers. In December 2007, the City entered into an agreement with Municipal Financial Services for the development and evaluation of wastewater rates and capacity charges. The evaluation's objectives were to calculate wastewater rates and capacity charges to adequately fund sewer utility operations, maintenance, capital replacement expenditures, debt service obligations, keeping rates as competitive as possible, and maintaining a prudent level of reserves. In addition, the City wanted to modify the complex methodology of the previous rates. The Wastewater Rates Study and Wastewater Capacity Charges Study were completed in April 2010. They provide the methodology whereby the Water Pollution Control Plant ensures equitable allocation of wastewater fees ...
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