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8M Consent 2013 0603
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8M Consent 2013 0603
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Last modified
6/10/2013 5:26:29 PM
Creation date
5/29/2013 3:07:20 PM
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CM City Clerk-City Council
CM City Clerk-City Council - Document Type
Staff Report
Document Date (6)
6/3/2013
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PERM
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_CC Agenda 2013 0603 CS+RG
(Reference)
Path:
\City Clerk\City Council\Agenda Packets\2013\Packet 2013 0603
Reso 2013-081
(Reference)
Path:
\City Clerk\City Council\Resolutions\2013
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<br /> <br />CALCULATION <br /> <br />DEFINITION <br />Share of Meter Reading <br /> <br />Total annual District Meter Reading expenses are <br />defined as Salaries and Annual District Meter Reading <br />expenses Employee Benefits, Services and of <br />$2,000,000 is Supplies, and Fixed Assets (minor) <br />directly charged to - Read Meters during the Year. In <br />addition to the direct charges, an overhead amount is <br />charged based on Total Meter Reading Salary and <br />Employee Benefit dollars. <br /> <br />divided by the <br /> <br />Annual number of District bills rendered to customers <br />of 2,200,000 to equal the Cost per Bill of $.9091. <br /> <br />The Cost per Bill is multiplied by <br /> <br />"Agency's" participatory share of each billing, entities <br />1 of 3 on each bill, or 33.33 percent. The Cost per Bill <br />for the agency charge is $.303. This amount is <br /> <br /> <br /> <br /> <br />multiplied by <br /> <br />the annual number of "Agency" bills requiring flow <br />data from meter readings of 3,000 to equal "Agency's" <br />share of Meter Reading Costs of $909. <br /> <br /> <br /> <br />Total annual District Meter Reading expenses are <br />defined as Salaries and Employee Benefits, Services <br />and Supplies, and Fixed Assets directly charged to <br />Read Meters during the Year. In addition to the direct <br />charges, an overhead amount is charged based on <br />Total Meter Reading Salary and Employee Benefit <br />dollars. <br /> <br /> <br /> <br /> <br />Annual number of District bills used to collect <br />revenues for the District. <br /> <br /> <br /> <br />The portion of each bill relating to the Agency refers <br />to the number of entities who use meter reading data in <br />the calculation of charges that appear on each bill. <br />District Water, District Wastewater, and Agency may <br />all base charges on flow data derived from meter <br />readings. Agencies that share the benefit of billing <br />with only District Water have a participatory share of <br />billing of 1 of 2 entities or 50 percent. <br /> <br />The Annual number of Agency bills issued requiring <br />flow data from meter readings issued by the District. <br /> <br /> <br /> <br />The Agency’s share of the fixed asset or CIS replacement can be amortized over a specific period <br />based on the total amount: 1) $50,000 or below can be paid without interest in 12 monthly installments <br />beginning January 1, 2014; 2) greater than $50,000 to $200,000 with 2.5 percent interest in 48 monthly <br />installments beginning January 1, 2014 ; or 3) over $200,000 will be paid with 2.5 percent interest in <br />114 monthly installments beginning January 1, 2014 and as described in paragraph 3.1.a. <br /> <br />In summary, by adding together the share of Collection expense of $9,000, the share of Customer <br />Service expense of $13,635 and the share of Meter Reading expense of $909, the actual annual Billing <br />and Collection share for "Agency" will be $23,544 .This figure represents the "Agency's" shared cost <br />of the District's billing and collection operation. Actual cost varies by the nature of events during a <br />year, and it may not necessarily reflect the above algorithm. This figure is paid in addition to the total <br />amortized monthly payments towards the Agency’s share of the fixed asset or CIS replacement <br />described in paragraph 3.1.a. <br /> <br /> 11
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