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Attachment A <br />1 <br />2 <br />3 <br />4 <br />5 <br />6 <br />7 <br />8 <br />9 <br />10 <br />11 <br />12 <br />13 <br />14 <br />15 <br />16 <br />17 <br />18 <br />19 <br />20 <br />21 <br />22 <br />23 <br />24 <br />25 <br />26 <br />27 <br />28 <br />29 <br />30 <br />31 <br />32 <br />33 <br />34 <br />35 <br />City of Roseville <br />2020 Utility Rate Analysis and Recommendations <br />BACKGROUND <br />Over the past several months, City Staff has been reviewing the City's utility operations to determine <br />whether customer rate adjustments are necessary for 2019. The analysis included a review of the City's <br />water, sanitary sewer, storm drainage, and curbside recycling operations. Unlike many city services that <br />are supported by property taxes, our utility or enterprise operations are funded primarily by user fees and <br />are operated as separate, stand-alone functions. <br />The information presented below includes an analysis of these operations, some historical water usage <br />information, and a series of rate comparisons with peer communities. Each of these are presented in <br />separate sections. <br />Operational Review <br />Staff s analysis of the City's utility operations included a review of the following: <br />Fixed costs including personnel, supplies and maintenance, and other costs that are generally <br />independent of the amount of water purchased or wastewater treated. <br />Variable costs including the purchase of water from the City of St. Paul, water treatment costs <br />paid to the Metropolitan Council, and recycling contractor costs paid to Eureka Recycling. <br />Capital replacement costs. <br />Customer counts and consumption patterns, rate structure, and rates. <br />Based on this analysis, Staff is recommending a number of rate adjustments for 2019. The estimated <br />quarterly impact on a typical single-family home is as follows: <br />Utility Rate Impact: Single Family Home (Quarterly) <br />Service <br />Water -base fee <br />Water- usage fee <br />Sanitary Sewer - basefee <br />Sanitary Sewer-usagefee <br />Storm Sewer <br />Recycling <br />Total per Qu <br />For 2020, a typical single-family home will pay an estimated $181.80 per quarter or $60.60 per month. <br />This is an increase of $2.98 per month or 5.2% from the current year. This is the same amount referenced <br />in the 2020 Preliminary Budget adopted by the Council on September 23, 2019. More detailed <br />information for each operating division can be found below. <br />2019 <br />2020 <br />$Increase <br />% Increase <br />58.60 <br />62.10 <br />3.50 <br />27.00 <br />27.60 <br />0.60 <br />39.45 <br />40.25 <br />0.80 <br />26.95 <br />28.60 <br />1.65 <br />13.70 <br />14.25 <br />0.55 <br />7.15 <br />9.00 <br />1.85 <br />arter <br />$ 172.85 <br />$ 181.80 <br />$ 8.95 <br />Water Operations <br />The City's water operation provides City customers with safe potable water, as well as on -demand water <br />pressure sufficient to meet the City's fire protection needs. The following table provides a summary of <br />the 2019 and 2020 (proposed) Budget excluding capital: <br />Page 1 of 11 <br />