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an overall 6.0% decrease in their sewer rates over the next 3 fiscal years. The impact <br />on commercial accounts will vary based on customer class and billed usage. <br /> <br /> <br />The proposed rates also incorporate a few modifications to the City’s sewer rate <br />structure to align rates with the cost of providing service. Proposed rate structure <br />modifications include: <br /> <br />· Implementing a reduced fixed charge equal to 90% of the standard residential <br />rate for customers with 10 or more total residential dwelling units. <br />· Transitioning the City’s commercial rate structure to a rate structure that bills for <br />every unit of usage, subject to a minimum monthly charge. <br />· Consolidating the City’s non-residential sewer customer classes based on <br />wastewater strength. <br /> <br />In consideration of the proposed sewer rate and charge increases, staff initiated the <br />following public notification activities: <br /> <br />· Published three display ads in the Daily News with information about the <br />proposed rate increases along with the date, time, and location of the June 13, <br />2016 public hearing. <br />· Held two community meetings that provided an in-depth overview of why rates <br />are increasing and information about the rate protest process. <br />· Mailed over 20,000 notices of the increase according to Proposition 218 <br />notification processes on April 26, 2016. <br />· Posted all of the above information on the City’s website. <br /> <br />To date, the City has received 13 letters protesting the sewer service charge increases. <br /> <br /> Projected Bills with Proposed Rates 3-Year Increase <br /> Current 2016-17 2017-18 2018-19 $ % <br />Residential <br />Dwelling <br />Units <br />Residential 1-9 Dwelling Units 19,000 $74.95 $75.11 $76.66 $78.24 $3.29 4.4% <br />Multi-Family 10+ Dwelling Units 7,400 $74.95 $67.60 $68.99 $70.42 $(4.53) -6.0% <br />Non-Residential <br />5 hcf monthly water use Accounts <br />Monthly <br />Use (hcf) <br />Class C - Standard Strength 1,040 5 $74.95 $67.60 $68.99 $70.42 $(4.53) -6.0% <br />10 hcf monthly water use <br />Class C - Standard Strength 1,040 10 $74.95 $70.78 $72.24 $73.73 $(1.22) -1.6% <br />20 hcf monthly water use <br />Class C - Standard Strength 1,040 20 $136.45 $141.56 $144.48 $147.46 $11.01 8.1% <br />50 hcf monthly water use <br />Class C - Standard Strength 1,040 50 $320.95 $353.90 $361.19 $368.64 $47.69 14.9% <br />100 hcf monthly water use <br />Class C - Standard Strength 1,040 100 $628.45 $707.80 $722.38 $737.29 $108.84 17.3% <br />6.4.B. - Page 3