ORDINANCE NO. 180138

Amending Chapter 78, Code of Ordinances, entitled “Water” by repealing Sections 78-6, 78-10, 78-11, 78-20, and 78-28 and enacting in lieu thereof new sections of like number and subject matter, that adjust charges for water service and impose a two percent payment in lieu of taxes upon the City Water Fund’s gross revenues derived from water services to the City’s residential and commercial customers to be paid to the General Fund and charged to residential and commercial customers; and establishing an effective date.

BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:

Section 1. That Chapter 78 of the Code of Ordinances of Kansas City, Missouri entitled “Water” is hereby amended by repealing Sections 78-6, 78-10, 78-11, 78-20, and 78-28 and enacting in lieu thereof new sections of like subject matter, to read as follows:

Sec. 78-6. General meter rate.

For all water purchased for use wholly and exclusively within the city by any accountholder the general meter rate charge shall be the sum of the service charge and the commodity charge. The service charge and the commodity charge shall be determined as follows:

(1)               Service charge. The service charge is a charge per meter or service connection, to cover, in part, the cost of various services, and shall be prorated per day during the billing period and shall apply whether or not any water is used; the service charge shall be based on meter size and billing frequency as follows, unless otherwise provided herein:

(2)   Commodity charge. The commodity charge shall be based on the total volume of water purchased by the accountholder as shown by all water meters connected to one or more water services serving a single property of the accountholder and shall be as follows per month for metered water:

a.   Ordinary commodity charge.

First 600 cubic feet at $4.70 per 100 cubic feet;

Next 4,400 cubic feet at $5.22 per 100 cubic feet;

Next 995,000 cubic feet at $4.47 per 100 cubic feet;

Over 1,000,000 cubic feet at $3.10 per 100 cubic feet.

b.   Seasonal off-peak commodity charges. For industrial customers with peak demand in the winter season:

All usage at $2.95 per 100 cubic feet;

The director of water services is hereby authorized to promulgate regulations to be used for determining the applicability of this subsection.

(3)   Manual meter reading charges.

a. The service charges set out in this chapter assume use of the city's automatic meter reading system. In cases where the automatic meter reading system could not be installed due to action or inaction on the accountholder's part, including lack of access to meter, improper meter setting, accountholder refusal, or other reasons, a charge of $19.00 for manual meter reading will be applied each time that a meter is attempted to be read manually.

b. When manual meter reading registers no water use for a period of 12 consecutive months, the water services department may cease monthly meter reading and begin reading the meter every six months. At that time, it will no longer charge the separate manual meter reading fee; however, a service charge of $78.00 for the six-month read period shall apply.

(4)  Definitions (as used in this section).

a. Residential account shall refer to all one- and two-family dwelling water service accounts.

b. Commercial and industrial accounts shall refer to all water service accounts other than one- and two-family dwellings.

c. Month and monthly shall refer to a time period of approximately 30 days.

d. Accountholder shall refer to any owner or occupant of real property, or any customer or consumer of water services.

Sec. 78-10. Suburban meter rate.

(a) For any and all water purchased wholly or partially for use outside the city by any accountholder, a total charge consisting of a service charge, a commodity charge, a re-pumping charge where applicable, shall be computed for each billing period and shall be as follows:

(1) Service charge. A service charge, prorated per day during the billing period based on meter size, with such charge to be applied whether or not any water is used, shall be charged as follows;

The service charges as established in this subsection may be superseded by any contract between the city and any other public water supply which provides for an interchange agreement.

(b) Commodity charge. A commodity charge per month, based on the total volume of water purchased by the accountholder as shown by all water meters connected to one or more water systems serving the accountholder's premises, shall be charged as follows:

(1) Retail customers. For accountholders purchasing water for use wholly by the accountholder:

First 5,000 cubic feet at $5.05 per 100 cubic feet;

Over 5,000 cubic feet at $4.05 per 100 cubic feet.

(2) Wholesale customers. For accountholders purchasing water for resale:

Unrestricted $2.32 per hundred cubic feet;

Restricted $2.24 per hundred cubic feet;

Wholesale customers shall be classified as restricted or unrestricted based on water supply contract terms between the city and other contracting entity.

(c)  Repumping charge. A repumping charge based on the quantity of purchased water repumped shall be charged to wholesale suburban customers only as follows:

(1) From the pumping station at 75th and Holmes Street; from the pumping station at Highway AA near the Village of Waukomis in Platte County, Missouri; from the Blue Ridge Pumping Station at 67th Street and Blue Ridge Boulevard; from the pumping station at Englewood Road and North Oak Trafficway; from Arrowhead Pumping Station at NE 75th and Arrowhead Trafficway, and from the South Terminal Pump Station at Ward Road and Persells, per 100 cubic feet, $0.20.

(2) From the pumping station at 131st Street and Prospect Avenue; from the High Grove Road Pumping Station, and from the Platte County Booster Pump Station at Camden Point Highway E and Interurban Road, per 100 cubic feet, $0.28.

(d) Definition. The term "month" or "monthly," as used in this section shall refer to a time period of approximately 30 days.

(e) Applicability. Rates set forth in this section may not be applicable where such rates are established by existing or future contracts.

Sec. 78-11. Payments in lieu of taxes.

Pursuant to section 1209 of the City Charter, the water services department shall be assessed and required to make a payment in lieu of taxes to the general fund equal to two percent of the water fund's gross revenues derived from providing water services to the city's residential and commercial customers. Such payment in lieu of taxes shall be considered part of the cost of water services and shall be charged to the city's residential and commercial customers as a charge equal to two percent of the general meter rate, the fire protection rate and the temporary service rate.

Sec. 78-20. Bill payment guarantees.

(a) Required amount. The director of the water services department is authorized and directed to require each accountholder, before taking water under the general meter rate, the suburban water rate (except as provided for in water purchase contracts) and the fire protection rate, to make a cash deposit against which the water services department may charge any unpaid bills for the following: water service; meter, hydrant or valve resealing; termination of service; meter repair; sanitary and stormwater sewer service; or other authorized charges. For customers estimated to use less than 1,000 cubic feet per month, the deposit shall be $110.00. For customers estimated to use more than 1,000 cubic feet per month, the deposit shall be not less than the estimated cost of water and sewer service for two billing periods. Either interest shall be paid on cash deposits as required by state statute or deposits held by the director of the water services department shall be refunded after two years.

(b) Additional deposit. An additional deposit above the amount required by subsection (a) of this section, not to exceed the estimated cost of four months' water, sanitary and stormwater sewer service, may be required by the director of the water services department for any accountholder whose account reflects a history of repeated delinquencies. Failure to provide the additional deposit authorized in this subsection shall constitute grounds for discontinuance of water service.

(c) Refund; waiver of deposit. All bill payment guarantees taken, including a bond in lieu of cash deposit, shall be held for at least two years or until the account is terminated. The director of the water services department may waive deposits on additional accounts for an existing accountholder with known good credit. In cases where an accountholder has multiple properties or is between tenants, the deposit may be waived when the accountholder credit rating is good.

(d) Transfer of service. When an accountholder transfers service from one location to another, the director of the water services department may waive any additional deposit.

(e) Termination of service. When a contract for water service is terminated, the director of the water services department shall apply the deposit against any unpaid bills associated with the contract, and if the amount is $10.00 or more, shall refund the remainder of the deposit to the depositor. Refunds in an amount under $10.00 will be made only upon written request of the accountholder.

(f) Bond in lieu of cash deposit. In lieu of a cash deposit, the director of water services department may accept, as a bill payment guarantee, a corporate surety bond by a surety company authorized to do business in the state, in the amount of the deposit required but not less than $1,000.00. Such surety bond shall be subject to the approvals of the city attorney as to form; of the director of the water services department as to the amount, terms and conditions of the bond; and of the director of finance as to the qualifications of the surety. The surety bond shall be filed with and kept by the director of the water services department until refunded.

(g) Commercial accounts. In addition to any bill payment guarantee, all commercial accounts shall enter into and execute a contract for service, on a form provided by the water services department, specifying the parties responsible for payment. These parties shall remain responsible for all water used until notification is received in writing of the date service is to be terminated.

Sec. 78-28. Water department price schedules; permits for work on water service.

(a) Price schedules. The director of the water services department is hereby empowered and directed to prepare and maintain a schedule of prices governing the connection charge, sale, removal, test, repair and replacement of water meters; sale and operation of fire hydrants; and tapping charges. A copy shall be available for public inspection at the water services department director's office at any reasonable time.

(b) Permit required for installation or maintenance of services. Water services shall not be installed or maintained except by permit issued by the water services department on the basis of an application for such permit made by the owner of the premise or authorized agent as provided under sections 78-21 and 78-22.

(c) Types of permit; permit fee. The director is hereby authorized to issue the following kinds of permits and to charge $100.00 per each such permit, where:

(1) Taps are to be made and new services are to be installed.

(2) An existing service is to be altered, extended, renewed or repaired from the first valve to the building improvement or fixtures, or appurtenances added thereto or detached therefrom.

(3) An existing service is to be abandoned and replaced with a single larger service that requires a larger tap.

(4) An existing service is disconnected at the main or is otherwise abandoned.

(d) Duplicate permits. Whenever the original permit is lost, a duplicate permit must be secured. A charge of $10.00 will be made for the issuance of a duplicate permit.

(e) Permit controls. Water service permits shall be issued and controlled in accordance with water services department rules and regulations.

(f) Plan review. The director is hereby authorized to establish the following fees and charges for water service plan reviews:

(1) A fee of $110.00 for water service plan reviews involving no more than ten service connections.

(2) For water service plan reviews involving more than ten service connections, an additional charge of $12.00 for each connection greater than the ten connections included in the charge referenced in subsection (f)(1).

(3) A charge of $65.00 if plans are rejected and must be resubmitted for review due to deficiencies in the original plan.

Section 2. This ordinance shall become effective on May 1, 2018

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Approved as to form and legality:

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Charlotte Ferns

Assistant City Attorney