ORDINANCE NO NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BONNEY LAKE, WASHINGTON DO ORDAIN AS FOLLOWS,

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1 ORDINANCE NO AN ORDINANCE OF THE CITY OF BONNEY LAKE, PIERCE COUNTY, WASHINGTON, AMENDING CHAPTER OF THE BONNEY LAKE MUNICIPAL CODE AND ORDINANCE NOS. 1129, 1098, 1082, 1047, 909, 892, 828, 692A, 571C, AND 692, RELATING TO SANITARY SEWER RATES. WHEREAS, the City has determined that certain rates charged for City sewer services are in need of increase in order to sustain and improve upon current levels of service; and WHEREAS, the City has determined that water rates should be adjusted on an annual basis in accordance with the Consumer Price Index; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BONNEY LAKE, WASHINGTON DO ORDAIN AS FOLLOWS, Section 1. BLMC section and the corrcsponding portions of Ord. Nos ; 571 C 2; 692A 4; 828 4; 892 4; 909 1; 916 1; 1047 I 1082 I; and are hereby amended to read as follows: Sewer charges. A. Each singlc-family resident not requiring or using a city-owned grinder pump shall pay the following monthly fees for sewer services: Sewer Availability charge = $33.80 Volumetric charge = $2.10 per 100 cubic feet (CCF) of monthly water consumption. The volumetric charge shall be capped at 10 CCF per month. Sewer availability charges shall be billed monthly. Volumetric charges for single-family residences shall be billed bimonthly. B. Each single-family resident using a city-owned grinder pump shall pay the following monthly fees for sewer services: Sewer availability charge = $40.55 Volumetric charge = $2.10 per 100 cubic feet (CCF) of monthly water consumption. The volumetric charge shall be capped at 10 CCF per month. Sewer availability charges shall be billed monthly. Volumetric charges for single-family residences shall be billed bimonthly. C. Discount for Senior Citizens and Disabled Persons. Owners of single-family residences who have qualified for real estate property tax exemption through the Pierce County assessor-treasurer's office on the basis of age and/or disability, and who present proof thereof to the appropriate authority of the city, shall qualify and be entitled to a reduced sewer rate as may ftom time to time be set by the city council and as established as a 20 percent reduction from the sewer availability charge. D. Sewer Service charges for customers othcr than single-family residential:

2 The volumetric charge shall he capped at 8 CCF per month for multifamily residents. There shall he no cap for other customers covered hy this suhsection. Sewer charges for customers other than single-family residential shall he hilled monthly. E. In the event of a water leak, upon following procedures as set forth in BLMC l00(H), the adjustment to the volumetric portion of the sewer charge shall he two-thirds of that portion of the customer's water consumption hill which is over the average normal water usage. The adjustment shall he limited to the period of 90 days prior to the repair of the leak and inspection thereof; only one leakage adjustment will be allowed in any two-year period. Additional leaks will require on-site inspection and verification of repairs. (Ord ,2005; Ord , 2005; Ord , 2004; Ord ,2004; Ord , 2002; Ord ,2002; Ord , 2001; Ord ,1999; Ord. 692A 4, 1994; Ord. 571C 2,1992; Ord ,1994). Section 2. BLMC section 13.12_085 Annual rate adjustment. Effective January 1 of each year, beginning on January 1, 2009, the sanitary sewer rates listed in BLMC shall be adjusted by the annual change in the most recent Seattle Bremerton-Tacoma Consumer Price Index (Urban Consumers) published by the U.S. Department of Labor. Section 3. This Ordinance shall take effect thirty (30) days after its passage, subject to prior approval by the Mayor and prior publication for five days as required by law; provided, that this Ordinance shall not take effect prior to July 1, PASSED hy the City Council and approved by the Mayor this _1 day of , ATTEST: rwood T. Edvalson, CMC, City Clerk APPROVED AS TO FORM: Passed: 5/13/08 Valid: 5/13/08 Published: 5/15/08 Effective Date: 7/1108

3 Producer Price Indices Competitive Building Materials B;;.sf 'Ie-J(' 2002 " too L;)8i four (fi(},')iil.:; of d.:lla ()I() prmlfln?oi,' SOlireG BO!«2ll of L)/;Dt S!a!isl,cs. Dil!'" HJiNJ$&<d by PCA l\-!wl e! F?"!SI.'!<JfCh

4 Bonney Lake Utility Rates Historic Water Sewer Year Water Rate Increase Increases CPI Jan-58 $ % Jan-59 $5.00 0% 5.0% Jan-70 $5.00 0% 4.5% Jan-71 $5.00 0% 2.1% Jan-72 $5.00 0% 2.9% Jan-73 $5.00 0% 6.4% Jan-74 $5.00 0% 11.0% Jan-75 $5.00 0% 10.1% Jan-76 $5.00 0% 5.7% Jan-77 $5.00 0% 8.0% Jan-78 $ % 9.6% Jan-79 $7.20 0% 11.1% Jan-80 $7.20 0% 16.5% Jan-81 $7.20 0% 11.0% Jan-82 $ % 6.4% Jan-83 $8.40 0% 1.6% Jan-84 $8.40 0% 3.7% Jan-85 $8.40 0% 2.5% Jan-86 $8.40 0% 1.0% Jan-87 $8.80 5% 2.3% Jan-88 $8.80 0% 3.3% Jan-89 $8.80 0% 4.7% Jan-90 $8.80 0% 12.0% 7.4% Jan-91 $8.80 0% 12.0% 5.8% Jan-92 $8.80 0% 12.0% 3.7% Jan-93 $8.80 0% 0.0% 2.8% Jan-94 $ % 50.7% 3.4% Jan-95 $ % 0.0% 3.0% Jan-96 $ % 0.0% 3.4% Jan-97 $ % 0.0% 3.5% Jan-98 $ % 0.0% 2.9% Jan-99 $ % 10.0% 3.0% Jan-OO $ % 10.0% 3.7% Jan-01 $ % 0.0% 3.6% Jan-02 $ % 10.0% 1.9% Jan-03 $ % 10.0% 1.6% Jan-04 $ % 0.0% 1.2% Jan-05 $ % 2.0% 2.8% Jan-06 $ % 2.0% 3.7% Jan-07 $ % 2.0% 3.7% ENR CCI 7.5% 9.9% 8.8% 14.5% 10.9% 8.1% 6.6% 9.5% 8.5% 7.3% 7.8% 8.2% 7.8% 9.2% 8.2% 6.3% 2.0% 1.2% 2.4% 2.6% 2.6% 2.1% 2.5% 2.2% 3.1% 4.5% 3.8% 1.2% 2.7% 3.6% 1.6% 2.3% 2.7% 2.0% 3.1% 2.4% 6.3% 4.7% 3.6% 3.6% Ordinance 40 year total 188% 133% 195% Avg. per year 4.7% 4.9% 208% 5.2% Historic Water Rate is based on the: Flat rate for Water Availability PLUS Consumption of 10 CCF per month. Also, resident winter rates are used.

5 ( _. _-----_.. _._-----_._-_._ Utility Rate Increase History City of Bonney Lake (4 October 2004) CI> tj) co CI> 10.. (.) C % Fixed CIP 60.0%+ use for O&M.+1 '.' ". '.:. o % " -... One 40.0% t--j Ti me Fix 1: 30.0% CI> (.) 10.. CI> c % \ 1-," :'------: v 1 0.0% -+-II--'--II-:----II- 7-'-, -;: j HI Political I :::----: --- c-.:-: c: :,---" ---:- -"--:"---.J Suicide Spending Down Fund Balances 0ill WATER III STORM 0ill SEWER /0., ' -- II II II 1-'--1'11 PI II.I?III,',Pl, II, IXI,II, N C0 "<j" L{) <.0 t- eo (j) N C0 (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) (j) N N N N "<j" 0 0 N --- Calendar Year !

6 Awe Personnel News - August 2007 (Plain Text Version) peturn to Graphical Version In this issue: Task Force on Family Leave Insurance Begins Work Latest CPI Data A Very Brief CPI Refresher Course LEOFF 2 Board Adopt".. Supplemental Rate Increase Get Ready for Employee Performance Evaluationsl C0r11pensation Tools Available Now Plan to Attend the WAPELRA Fall Conference FLSA Workshops Scheduled for October Other Upcoming WQrkshops and Conferences A Very Brief CPI Refresher Course The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a fixed market basket of consumer goods and services. The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a fixed market basket of consumer goods and services. The CPI provides a way to compare what the market basket of goods and services costs this month with what the same market basket cost a month or a year ago. Local governments in Washington use CPI data for a variety of purposes, most notably to determine annual wage increases for employees. The CPI is calculated for two population groups: All Urban Consumers (CPI-U) and Urban Wage Earners and Clerical Workers (CPI-W) The CPI-U represents about 87 percent of the total U.S. population and is based on the expenditures of all families living in urban areas. The CPI-W is a subset of the CPI-U and is based on the expenditures of families living in urban areas who meet additional requirements related to employment: more than one-half of the family's income has to be earned from clerical or hourly-wage occupations. The CPI-W represents about 32 percent of the total U.S. populations. In addition to figures for the U.S. as a whole, the Bureau of Labor Statistics (BLS) publ"lshes regional data along with data for a number of local areas. The U.S. index is published monthly. The Seattle-area index is published bimonthly, in February, April, June, August, October, and December. The Portland-area index is published semiannuaily. Semi-annual averages are also calculated for the US and Seattle indexes. Local governments in our state may use the U.S. CPI-U and CPI-W, the local Seattle or Portland indexes, 01 the Western region index to calculate wage increases. Some even use the average of the U.S. index and a local index. The local area indexes are more volatile than the national index, and the BLS strongly encourages users to consider adopting the national index for use in contract escalator clauses. These indexes are more stable and subject to less sam'pling and other measurement error than the local area indexes, and are therefore more statistically reliable. BLS offers a fact sheefthat provides guidelines on how to use the CPI for contract escalation clauses at

7 Ways to Obtain CPI Data Awe website CPI information, updated each month after the newest CPI figures are released, is available on AWC's website. For a chart showing U.S., Seattle and Portland area data, go to Bureau of Labor Statistics website The Bureau of Labor Statistics provides free, easy, and continuous access to almost all published CPI data and press releases, although it's occasionally difficult to navigate through to find exactly what you are looking for. The web address is Technical assistance from BLS staff The BLS Economic Analysis & Information staff is available for phone assistance on weekdays from 9 to 11 :30 am and from 1 :30 to 4 pm at (415) , menu option 4.

8 FINANCE COMMITTEE DATE: April 22, 2008 ORIGINATOR: Dan Grigsby TITLE: Public Works Director SUBJECT: Sanitary Sewer Rate Annual CPI Adjustment This ordinance provides the annual rate adjustment for sewer services provided to our customers. It adjusts the prior year rate by an amount determined from the one year change in the Consumer Price Index (CPI). For the years , a 3% increase was made each year. The cost of material, labor and equipment steadily increases in the marketplace. This has been aggravated by the rapid increase in the cost of oil and metal. Failure to adjust annual fees for services and utilities results in a reduction in the purchasing power of the revenue the City receives. This results in less maintenance and repair to the sewer system than would otherwise be provided. Use of smaller annual rate adjustments avoids much larger rate adjustments every 3-4 years. Staff will review annual adjustments with City Council prior to publishing City of Bonney Lake Labor Rate Increase: Represented Employees = 3.8%; Non-Represented Employecs = 3.96%; 2008 Medical Benefit Cost Increases: Regence = 11.5%; Group Health = 6.1 % 2008 CPI Recommended Rate Adjustment = 3.65%: To become effective 1 July 2008 ORDINANCE/RESOLUTION: D REQUEST OR RECOMMENDATION BY ORIGINATOR: ISSUE AND DOCUMENTS HAVE BEEN REVIEWED AND APPROVED BY THE FINANCE DIRECTOR CITY ATTORNEY 2008 Budget Amount Required Expenditure Impact Remaining Balance COMMITTEE ACTION: RECOMMEND APPROVAL TO COUNCIL DATE APPROVED DISAPPROVED Deputy Mayor Dan Swatman Chairman James Rackley q';l2{,r!/]l/{; David King yh!lici.jlo' "---""- COMMITTEE COMMENTS : _ COMMITTEE'S RECOMMENDATION TO FORWARD TO: CITY CLERK CITY ATTORNEY Please schedule for City Council Meeting date of: May 13, 2008 Consent Agenda: DYes D No

9 City of Bonney Lake, Washington Conncil Agenda Bill (C.A.B.) Approval Form Dellartment/Staff Contact: CouncillWkshll Meeting Date: Agenda Item Number PW Director Dan Grigsby 22 April 2008 AB08-11S Ordinance Number: Resolution Number: Councilmember Sllonsor: D08-11S BUDGET INFORMATON 2008 Budget Amount Rcguired Exnenditurc Impact Remaining Balance N/A Exnlanation: Agenda Subject: Sanitary Sewer Rate Annual CPI Adjustment I Admiuistrative Recommendation: Background Summary: This ordinance provides the annual rate adjustment for sewer services provided to our customers. It adjusts the prior year rate by an amount determined from the one year change in the Consumer Price Index (CPI). For the years , a 3% increase was made each year. The cost of material, labor and equipment steadily increases in the marketplace. This has been aggravated by the rapid increase in the cost of oil and metal. Failure to adjust annual fees for services and utilities results in a reduction in the purchasing power of the revenue the City receives. This results in less maintenance and repair to the water system than should be provided. Use of smaller annual rate adjustments avoids much larger rate adjustments every 3-4 years. Staff will review annual adjustments with City Council prior to publishing City of Bonney Lake Labor Rate Increase: Represented Employees = 3.8%; Non-Represented Employees = 3.96%; 2008 Medical Benefit Cost Increases: Regence = 11.5%; Group Health = 6.1 % 2008 CPI Recommended Rate Adjustment = 3.6S%; To become effective I July 2008 Attachments: Producer Price Indices - Competitive Building Materials A WC - CPI Refresher Course Utility Rate Increase History Table Utility Rate Increase History Graph Discussion notes from 7 April 2008 CDC Committee Council Committee Dates: Finance Committee: 22APR08 Commission Dates: Planning Commission: Board/Hearing Examine,' Dates: Park Board: Public Safety Committee: Civil Service Commission: Hearing Examiner: Community Development & Planning Committee: 7APR08 Council WorkshoQ: Council Action' Council Call for Hearing: Council Referred Back to: Council Tabled Until: Counci I Hearings Date: Workshop: Committee: Council Meeting Dates: 13MA Y08 Date City Attorney reviewed

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