HomeMy WebLinkAboutO-1684ORDINANCE NO: 1684
AN ORDINANCE TO ESTABLISH WATER AND WASTEVVATER (SEWER)
RATES FOR ALL CUSTOMERS OF THE CITY OF FAIRHOPE WATER AND
WASTEWATER SYSTEMS AND TO REPEAL ORDINANCE NO. 1383.
ORDINANCE NO. 1554. AND ORDINANCE NO. 1555.
BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF FAIRHOPE,
ALABAMA, as follows;
ARTICLE III. WATER
AMEND - Sec. 21-38 RATE - SCHEDULE
(a) Water rates schedule:
Beginning 10/1/2020
• W1 Inside the City Limits:
• First 1,000 Gallons (minimum charge) SI2.03
• Plus, all over 1,000 gallons per each 1,000 gallons $2.74
• Plus LCA and Tax
• W2 & W3 Outside the City Limits
• First 1,000 Gallons (minimum charge) S15.48
• Plus, all over 1,000 gallons per each 1,000 gallons S3.92
• Plus LCA and Tax
Beginning 10/1/2021 and until replaced by the City Council
• W1 Inside the City Limits:
• Minimum Charge $12.03
• Plus, each 1,000 gallons $2.39
• Plus LCA and Tax
• W2 & W3 Outside the City Limits
• Minimum Charge S15.48
• Plus, each 1,000 gallons $3.57
• Plus LCA and Tax
(b) Labor Cost Adjustment (LCA) Factor. The base rates set forth above may be adjusted
periodically to account for permanent changes in labor-related revenue requirements (e.g., salaries
and wages, pensions and benefits, etc.) that come about as a result of budget actions taken by the
City Council for a fiscal year. Such adjustment, when approved by the City Council, shall be
calculated as follows:
• LCA = 1 + ((TLCB - TLCPY) / BRRR)
• Where: TLCB = The total annual labor cost, in dollars, that is reflected in the
electric utility budget for the coming fiscal year, as approved by the Board.
• TLCPY = The total actual annual labor cost, in dollars, that was incurred by the
electric utility for the prior fiscal year.
• BRRR = The total estimated revenue requirement, in dollars, that is being
recovered in current base rates.