Department
Public Works
Requested Action (Identify appropriate Action or Motion, purpose, cost, timeframe, etc.)
title
Request approval of a Resolution to approve a five percent (5%) water and sewer volumetric rate increase for each of the next 3 years; to make the necessary increases to the water and sewer fee schedules; to approve modifications to the water connection fees for North Fulton; to provide for an effective date; and for other purposes. The Resolution to authorize increases in water and sewer rates, fees and charges effective January 1, 2023, which are necessary to complete the projects included in the 2023 to 2026 Water and Wastewater Capital Improvement Program. To protect the interest of the County, the County Attorney is authorized to approve each of these documents as to form and make any necessary modification, prior to execution by the necessary County official. (APPROVED)
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Requirement for Board Action (Cite specific Board policy, statute or code requirement)
Pursuant to the Supplementary Powers provision of the Article 9, Section 2, ¶ III of the Constitution of the State of Georgia, Fulton County is delegated the authority to provide sewer and water services. The County’s authority to “prescribe, revise, and collect rates, fees, tolls, or charges for the services...” is set out in O.C.G.A. § 36-82-62. The Metropolitan North Georgia Water Planning District (“MNGWPD”) recommends to local governments in its Wastewater and Water Management Plans that “...water rates should be based on a local rate study and designed to provide a sufficient revenue stream to support program costs and facility maintenance.” Wastewater Management Plan, May 2009, at 12-8; Water Supply and Water Conservation Management Plan, May 2009, at 13-8.; Policy and Procedure 600-69.
Strategic Priority Area related to this item (If yes, note strategic priority area below)
Health and Human Services
Commission Districts Affected
All Districts ☐
District 1 ☒
District 2 ☒
District 3 ☒
District 4 ☐
District 5 ☒
District 6 ☒
Is this a purchasing item?
No
Summary & Background (First sentence includes Agency recommendation. Provide an executive summary of the action that gives an overview of the relevant details for the item.)
Scope of Work:
On September 9, 2019, the BOC approved a three-year water and sewer rate increase of 5% per year, for the years of 2020, 2021, and 2022, to begin funding the 2020-2026 Capital Improvement Program (CIP) (BOC Agenda #19-0695). This increase was necessary to fund projects in the CIP, including the debt service associated with the Big Creek Water Reclamation Facility expansion.
Other projects completed through the 2019 increase include the Big Creek-Cobb County Diversion project, repairs to the Camp Creek clarifiers, the replacement of the Camp Creek Ultra-Violet Disinfection system, and the design and pending construction of the Atlanta-Newnan Road lift station and force main.
On February 17, 2021, the BOC received the South Fulton Wastewater Capacity Study (BOC Agenda #21-0143). The study focused on the anticipated growth of the South Fulton County area and the improvements necessary to serve this growth. The recommended improvements included increased capacities of existing sanitary sewer lift stations and conveyance sewer mains as well as new lift stations and associated force mains. Some key improvements include the moderation and capacity increases at the Camp Creek and Ono Road lift stations and new lift stations to serve the new developments in the Campbellton area and along South Fulton Parkway. The Study also recommended that the Camp Creek facility be expanded to 40 MGD from its current 24 MGD capacity around 2030, depending on actual growth patterns.
Based on the recent financial analysis of the water and sewer fund, Fulton County must provide additional funding for the identified capital improvements. The Public Works Department held two public hearings (June 28th at the North Fulton Service Annex and on June 30th at the South Fulton Service Annex) to solicit comments on the proposed rate changes. A total of three residents attended these public hearings and had their questions answered during the hearing. Based on the comments received during the public hearings, Public Works recommends the adoption of a resolution to authorize changes to the water and sewer rates, fees and charges proposed to go into effect on January 1, 2023, pending future Board of Commissioners review and approval. Any changes in water and sewer rates, fees and charges will be set in order to complete the projects identified in the current CIP and South Fulton Wastewater Capacity Study.
Community Impact:
The proposed changes to the rate structure would increase rates and enable implementation of the 2023-2026 CIP and South Fulton Wastewater Capacity Study.
Department Recommendation:
The Department of Public Works recommends approval of the request to implement a 5% rate increase each year (January 1, 2023, January 1, 2024, and January 1, 2025) to fund the 2023-2026 CIP and South Fulton Wastewater Capacity Study.
Project Implications:
Without the recommended rate increases, the full CIP would not be able to be constructed and implemented without severe reductions in the projects identified.
Community Issues/Concerns:
No issues/concerns have been raised by constituents or clients concerning this agenda item following the public hearings.
Department Issues/Concerns:
The Departments of Public Works and Finance believes that the rate increases are consistent with the needs of the CIP.