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5a. Adoption of Ordinance, Chapter 19 - Water, Sewer and Sewage Disposal4 CI1'II OF CHANHASSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone: 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952.227.1170 Finance Phone: 952.227.1140 Fax: 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax: 952.227.1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952.227.1130 Fax: 952.227.1110 Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952227.1125 Fax: 952.227.1110 Web Site www.ci.chanhassen.mn.us MEMORANDUM TO: Todd Gerhardt, City Manager FROM: Greg Sticha, Finance Director DATE: December 13, 2010 '0 SUBJ: Adoption of Ordinance, Chapter 19, Chanhassen City Code Water, Sewer and Sewage Disposal PROPOSED MOTION "The Chanhassen City Council adopts the attached ordinance amending Chapter 19 of the Chanhassen City Code concerning Utility Billing." City Council approval requires a simple majority vote. BACKGROUND This issue was presented to City Council at a work session on November 8, 2010. DISCUSSION • The purpose of this amendment is to: o change billing process requiring City utility bills to be sent to property owners only • change the invoice due date from the 20` to the 20 of the following month, as has been shown on the utility bills • allow monthly billing for those customers who opt into electronic billing and auto - withdrawal (ACH) The benefits for these changes are: • eliminating the time and money spent to process final bills when tenants change in rental properties; sometimes three (or more) finals are processed on a property each year • reducing the need for the City to assist the property owner in collecting past due water bills from past tenants • coordinating the due date in the ordinance to match what has been the standard on the City utility bills • gives customers the option to budget their household expenses better by receiving monthly bills Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow Mr. Todd Gerhardt December 13, 2010 Page 2 o customers who opt -in for monthly billing helps reduce the City's time and money spent on printing, mailing (postage), and receipting bills each month RECOMMENDATION Staff recommends that City Council adopt the attached ordinance amending Chapter 19 of the Chanhassen City Code. ATTACHMENTS 1. Ordinance Amending Chapter 19, Chanhassen City Code. g: \plan \city code\2010 \cc memo utility billing 12- 13- 10.doc CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 19 OF THE CHANHASSEN CITY CODE CONCERNING UTILITY BILLING THE CITY COUNCIL OF THE CITY OF CHANHASSEN ORDAINS: SECTION 1 . Section 19 -29 paragraphs (b) and (c) of the Chanhassen City Code are amended to read as follows: (b) A water usage account shall be maintained in the name of each property owner connected to the City's water system. The city clerk shall prepare and mail to the owner per of each premises connected to the City's water system a statement for water usage furnished thereto during the preceding quarter. All state s h a h r i f the wate eensum and t h e c - ges then -e fee, Upon the request of a property owner the City will bill monthly if the customer provides an automated deposit into the City's account and agree to receive bills electronically. (c) The city clerk shall compute the amount due to the city for water charges and render a quarterly statement thereof. All amounts due as shown on the invoice shall be payable at the municipal building on or before the 24M 21st day of the following month in which the st atement invoice is p r-esented issued. A penalty of ten percent shall be added to all accounts that are not paid in full by said due date. This penalty shall be computed on the unpaid balance not paid by the appropriate due date at the time each quarterly statement is prepared and presented. The city reserves the right to shut off water service if the account is delinquent for an unreasonable length of time as determined by the city. SECTION 2 . Section 19 -51 paragraphs (b) and (c) of the Chanhassen City Code are amended to read as follows: (b) A sewer usage account shall be maintained in the name of each property owner connected to the City's sanitary sewer system. The city clerk shall prepare and mail to the owner, eeeupant of lessee of each consumer premises connected with the sanitary sewer system a statement for sewer usage services furnished thereto during the preceding quarter. The quarterly billings will be based on winter quarter water usage unless that consumption proves inaccurate, then actual quarterly usage measurements shall be employed. Charges for 153932v01 1 RNK:r09/ 14/2010 individuals connected to sewer but not water shall be billed on an assumed usage rate. Upon the request of a property owner the City will bill monthly if the customer provides an automated deposit into the City's account and agrees to receive bills electronically. (c) The city clerk shall compute the amount due to the city for sewage charges and render a quarterly statement thereof. All amounts due as shown on the st atemen t invoice shall be payable at the municipal building on or before the twin 21st day of the following month in which the statement invoice is pr-esente d issued. A penalty of ten percent shall be added to all accounts that are not paid in full by the due date. This penalty shall be computed on the unpaid balance not paid by the appropriate due date at the time each quarterly statement is prepared and presented. SECTION 3 . Section 19 -205 of the Chanhassen City Code is amended to read as follows: Suffaee - water- management fees shall be involved quarter-ly. A surface water management account shall be maintained in the name of each property owner. The city clerk shall prepare and mail to the property owner the City's surface water management fee statement. Fees shall be involved quarterly. The amount due as shown on the invoice shall be payable on or before the twentieth 21st day of the following month in which the invoice is issued. A penalty of ten percent per quarter shall be added to all accounts that are not paid in full by the due date. The penalty shall be computed on the unpaid balance not paid by the due date at the time each quarterly statement is prepared. Any prepayment or overpayment of charges shall be retained by the city and applied against subsequent fees. Upon request of the property owner the City will bill monthly if the property owner provides an automated deposit into the City's account and agree to receive bills electronically. SECTION 4 . This ordinance shall be effective immediately upon its passage and publication. PASSED AND ADOPTED this day of , 2010, by the City Council of the City of Chanhassen, Minnesota. ATTEST: Todd Gerhardt, Clerk/Manager Thomas A. Furlong, Mayor (Published in the Chanhassen Villager on , 2010.) g: \plan\city code\2010 \amendment ordinance ch 19 12- 13- 10.doc 153932v01 2 RNK:r09 /14 /2010