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06/27/2016 (i) Separate Landscape Water Meters. For all new landscapes and existing landscapes of one acre or more the installation of separate water meter is required except for single-family homes. (j) Submeters. For all newly constructed residential buildings where one meter is furnished by the City for more than one residential dwelling unit shall be required to install a separate meter for each distinct dwelling unit downstream of the City water meter. Maintenance and billing for water use of submeters shall be the responsibility of the property owner. (k) Pass Through Provision for Wholesale Water Rates. All potable water distributed by the City through its water system is purchased by the City at wholesale from the San Francisco Public Utilities Commission. The potable water service charges set forth in subdivision (fl of this Section were calculated based on the assumption that SFPUC would set its rates to $4.10 per unit on July 1, 2016; to $4.28 per unit on July 1, 2017; and to $4.68 per unit on July 1, 2018. If there are additional wholesale rate increases adopted by the SFPUC, each potable water charge, as set forth in subdivision (fl of this Section, will automatically adjust by the exact number of cents per water unit that the SFPUC increases its wholesale rate above the assumed wholesale rates set forth in this subdivision (k). The City will mail notification of any such adjustment to customers at least 30 days prior to the effective date of such automatic adjustment. SECTION 2. This ordinance is statutorily exempt from CEQA review pursuant to Public Resources Code Section 21080(b) (8). The City Council finds that the water service charges and fees are for the purpose of ineeting operating expenses, including employee wage rates and fringe benefits, purchasing or leasing supplies, equipment, or materials, meeting financial reserve needs and requirements, and obtaining funds for capital projects necessary to maintain service within existing service areas. The Staff Report dated June 13, 2016, expressly states in the "Background" section that increases in wholesale water rates necessitate a rate increase and that revenues are used for the operation and maintenance of the water system, for an emergency reserve, and for replacement of the system. �ECTION 3. This ordinance shall be effective on August 1, 2016. � * * ATTY/ORD.428/CITY WATER RATE ORDINANCE 2016 RESO.N0.2422 REV:06-02-16 FF MUFF NO.802 Page 5 of 5