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Aug 4, 2016 1 Proposed Drainage U/lity Fund (DUF) Ordinance Changes: Public Hearing

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Aug  4,  2016

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Proposed  Drainage  U/lity  Fund  (DUF)  Ordinance  Changes:  

Public  Hearing    

1)  Credits  for  Voluntary  Stormwater  Control  Measures  (SCMs)

2)  Garage  Apartment  Billing  Adjustment

3)  ExempCon  Billing  ClarificaCon

Presenta/on  Outline  

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   §  15-­‐2-­‐10  -­‐  ANNUAL  REPORT.  The  director  shall  provide  an  annual  report  of  the  drainage  u9lity  revenues,  expenses,  and  programs  to  the  city  council.  The  annual  report  shall  include  findings  on  the  impact  of  green  infrastructure  on  drainage  and  recommended  strategies  that  could  allow  u9lity  customers  to  reduce  the  drainage  charge  by  reducing  their  property's  impact  on  drainage.  The  recommended  strategies  shall  address  the  poten/al  for  credits  or  discounts  for  innova/ve  stormwater  controls  that  exceed  land  development  requirements  and/or  deten9on  and  water  quality  treatment  minimum  requirements.    

Report  on  poten/al  for  Credits  -­‐  Ordinance  Requirement  

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•  Benchmarking  –  Of  48  communi9es  benchmarked,  about  2/3  have  credits,  1/3  have  rebates  –  Two  TX  Ci9es  with  recent  DUF  changes  

•  Houston  –  By  volume,  $0.10/barrel/month  •  San  Antonio  –  By  water  quality  volume,  up  to  30%  of  charge,  commercial  only  

•  Equity  and  Cost  of  Service  Assessment  –  EPA  study  recently  quan9fied  limited  flood  benefits  from  Green  Infrastructure  –  Aus9n’s  Brentwood  study  showed  on-­‐site  SCMs  had  rela9vely  small  flood  control  

benefits  and  high  costs  –  On-­‐site  SCMs  generally  accepted  to  have  water  quality  benefits,  but  li[le  flood  

control  benefits  •  Capacity  may  not  be  available  in  back-­‐to-­‐back  storms  •  Cost  of  Service  benefit  to  Drainage  U9lity  expected  to  be  very  small  

–  Some  proper9es  have  large  stormwater  storage  beyond  legal  requirements  

•  Proposal  –  Allow  credits  based  on  stormwater  controls  that  exceed  legal  requirements,  allowing  

up  to  50%  reduc9on  of  impervious  cover.  

Evalua/on  of  Poten/al  Stormwater  Control  Measures  (SCMs)  Incen/ves  

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•  Credit  based  on  capture  volume  offse^ng  runoff  from  Impervious  Cover  (IC)  

•  0.6  sqb  of  IC  /  gallon  of  SCM  

•  Available  to  all  land  uses  

•  Credit  renewal  every  2  years  by  providing  proof  of  con9nued  func9on  to  minimize  verifica9on  efforts    

Credit  –  Poten/al  Program  Outline  

33   66  330  

660  

1500  

2250  

3300  

0  

500  

1,000  

1,500  

2,000  

2,500  

3,000  

3,500  

55   110   550   1,100   2,500   3,750   5,500  

Impe

rvious  Cover  Red

uc9o

n  (sq  b)  

Stormwater  Control  Measure  Volume  (gallons)  

Impervious  Cover  Reduc9on  from  Stormwater  Control  Measures  (SCM)  

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Median  House  Examples  

(3,100  sqb  IC,  37%  IC)  •  Volume  of  one  

standard  55  gal  Rain  Barrel  translates  to  $0.22  per  month  savings  

•  3,000  gal  cistern  could  negate  up  to  half  the  IC,  thus  69%  of  the  charge,  though  installa9on  cost  ~$3,500  

Credit  –  Poten/al  Program  Outline  

 $0.22      $0.43    

$2.09  

$3.99  

$6.66  

$8.10   $8.10  

 $-­‐        

 $1.00    

 $2.00    

 $3.00    

 $4.00    

 $5.00    

 $6.00    

 $7.00    

 $8.00    

 $9.00    

55   110   550   1,100   2,000   3,000   5,500  

gallons   gallons   gallons   gallons   gallons   gallons   gallons  

Drainage  Charge  Re

duc9on

 per  m

onth  

Incen9ve  for  On-­‐Site  Stormwater  Control  for  Median  House  charge  of  $11.80/mo  

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•  August  2016 –  Aug  4  -­‐  Council  Mtg  –  Conduct  Public  Hearing  on  Ordinance

•  September  2016 –  IniCal  DraQ  of  Rules  for  Stormwater  Control  Credit  Program

•  October  2016 –  Stakeholder  MeeCng

•  November  2016 –  Intra-­‐City  Staff  Review

•  January  2017 –  Post  Rules  for  Public  Comment

•  February  2017 –  Planned  start  of  Stormwater  Control  Credit  Program

Next  Steps  /  Timeline  

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2)  §  15-­‐2-­‐8  (C)  (1)  –  Billing  (Garage  Apartment  Update)  

 •  Current  Status  

– If  the  garage  apartment  has  a  separate  u9lity  account,  must  pay  half  of  drainage  charge  (regardless  of  size/impact)  

•  Proposal  – Send  charge  to  owner/main  u9lity  customer  for  en9re  property  

•  Advantages  – Improves  equity  by  not  requiring  smaller  garage  apartment  to  pay  half  

•  Disadvantages  – May  deal  with  higher  bill  concerns  for  some  customers  (at  the  main  house)  unaware  they  were  paying  only  half  the  charge  

Proposed  Ordinance  Changes  

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3)  §  15-­‐2-­‐13  –  Exemp/ons  (Clarify  treatment  of  various  exemp/ons)  

 •  Current  Status  

– City  Code  provides  drainage  charge  exemp9on  if  the  “property  is  owned  and  occupied”.    State  Code  requires  exemp9on  of  State  and  Higher  Educa9on  agencies,  regardless  of  ownership  or  occupancy.  

•  Proposal  – Rephrase  City  Code  to  be[er  align  with  State  Code  requirements  – Clarify  same  exemp9on  for  County/ISDs  agencies  

•  Advantages  – Removes  conflict  between  City/State  Codes  – Provides  County/ISDs  same  exemp9on  as  State/Higher  Ed  

•  Disadvantages  – Change  for  County/ISDs  expands  their  exemp9on  up  to  $40k  annually  

Proposed  Ordinance  Changes  

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Ques/ons?  

Saul  Nuccitelli [email protected]

(512)  974-­‐6550

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