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HomeMy WebLinkAbout1994-05-10 - AGENDA REPORTS - STORM WATER UTILITYAGENDA REPORT City Manag Item to be Anthony J. Nisich�(S� UNFINISHED BUSINESS DATE: May 10, 1994 SUBJECT: STORM WATER UTILITY FEASIBILITY STUDY FINDINGS FOR THE FEDERALLY -MANDATED NPDES PROGRAM DEPARTMENT: Community Development BACKGROUND In August 1993, the City entered into a contract with the firm of Kato & Warren, Inc. to perform a study to determine the City's resource needs for complying with the Federally -mandated National Pollutant Discharge Elimination System's (NPDES) permit requirements and to analyze alternative funding sources. We have met with the consultant on several occasions, and a draft of their findings was submitted and circulated to Public Works, Parks and Recreation, Finance, and within Community Development for review and comment. Based on this review, a second draft of the consultant's findings has been prepared and accompanies this report. To facilitate your review, the following is a summary of the Consultant's findings: While the Los Angeles County Flood Control District, a division of the County Public Works Department, owns and is responsible for the operation and maintenance of most of the storm drainage system in Santa Clarita, as far as runoff quantity Is concerned. The City is responsible for the quality of the runoff that reaches the system under the NPDES permit. 2. Under the NPDES permit, the City is responsible for Implementing as a minimum 13 actions, called Best Management Practices or BMP's, as outlined in a letter from the California Regional Water Quality Board. Essentially, the City is held responsible for all activities, up to the point of runoff entry to the District's system, that could result in pollutants entering the Santa Clara River or the groundwater. 3. To satisfy the known, NPDES requirements will require a significant increase in the level of activity in Community Development and Public Works. Some of the identifiable actions include the following: Improved catch basin cleaning. Increased street sweeping and litter control. Inspection of all commercial properties. Adoption and enforcement of more stringent regulations for new and existing developments. Development of a master drainage and water quality plan. APPROVED STORMWATER UTILITY FEASIBILITY STUDY FINDINGS May 10, 1994 - Page 2 Development of an electronic mapping and data management and reporting system. Increased recycling efforts for all types of commercial and residential hazardous materials. Implementation of an extensive public education program for homes and businesses to reduce the entry of pollutants Into the runoff. We expect additional requirements as the NPDES permit comes up for renewal In two to three years. 4. As detailed by the Consultant, the basic program Is projected to cost $2,170,000 per year, on average, over the next three years. The program will be phased In somewhat In the 1993-94 budget period but will need to be essentially In place by the end of the 1994-95 budget year. 5. The use of the stormwater utility approach is recommended as the most flexible and effective for the City's purposes. Implementation is a Council decision, and requirements for expensive noticing, as required for an assessment district, can be avoided. 6. Based on an analysis of the billable property in the City, a stormwater utility service charge of between $22 and $28 per year for a single-family dwelling would be required to raise the needed revenue projected by the study. Commercial properties would pay a multiple of the single-family rate. An exact service charge rate will be established, following adoption of the Stormwater Utility Ordinance, using data from the L.A. County Assessor's files. We propose to use the County system for computing Individual bills. At this time, the L.A. County Flood Control District assesses all private property In the City at a rate comparable to the proposed City stormwater charge. 7. We have two viable choices for billing the stormwater service charges: Place the charge on the County tax statement. This is the easiest and least costly approach because the system is already in place. Creation of a City utility billing system. The problem is the only item on such a bill would be the stormwater charge. This option could create confusion in the public's perception. 8. Given timely Council action, the stormwater utility charges could be on the County's 1994-95 tax statement. 9. There will be a need for a one-time expenditure of approximately $200,000 to Implement a billing on the County tax statement. We will need to fund this up front but will be able to repay the general fund within a few months of the 1994.95 tax statement mailing. A proposal to raise new monies from the public is never popular, but we are under a mandate to comply with the NPDES permit and there are some real benefits of such a program. Our streets will be even cleaner, and we will have an Increased maintenance capability. We will be protecting the Santa Clara River, the ground water, and the environment. STORMWATER UTILITY FEASIBILITY STUDY FINDINGS May 10, 1994 - Page 3 Our recycling program will be enhanced through the increased public education efforts aimed at keeping toxic materials out of the drainage system. Our public outreach will be Increased through the Increase of public education efforts. The stormwater fund could participate in the Santa Clara River project, City parks, and a number of other City activities now exclusively funded by the General Fund. The City Image will be enhanced through the public education program and the fact that we will be doing things to improve environmental quality. We will probably avoid future claims for stormwater damage by making needed Improvements and exerting better control over new development. Implementation of a stormwater utility requires Council approval of an ordinance. The proposed Ordinance is attached for your consideration. Staff has presented preliminary findings at a Public Information Group Meeting on March 28, 1994 and at a Council Study Session on March 30, 1994. The comments from the public generally supported many of the requirements of the program such as increased household hazardous waste round -ups, public education, monitoring enforcement and clean groundwater. The Ordinance is being Introduced at this meeting and will continue to be heard as part of the City's '94-'95 budget review and approval process because of the fiscal Impacts of complying with the NPDES Federal mandate. RECOMMENDATION Introduce Ordinance, waive further reading and continue as part of the '94-'95 budget adoption process. ATTACHMENT Ordinance No. 94.7 Study and Findings NED:hds coundnatmm.ned ORDINANCE No. 94-7 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, AMENDING THE SANTA CLARITA MUNICIPAL CODE BY ADDING CHAPTER 15.50 TO TITLE 15 ESTABLISHING STORM DRAINAGE SERVICES AS AN UTILITY ENTERPRISE OF THE CITY. The City Council of the City of Santa Clarita does hereby ordain as follows: SECTION 1. Chapter 15.50 of Title 15 of the City of Santa Clarita Municipal Code is hereby added to read as follows: CHAPTER 15.50 STORM DRAINAGE UTILITY ENTERPRISE FUND SECTIONS 15.50,01 Findings and Intent 15.50.020 Definition of Terms 15.50.030 Storm Drainage Utility Enterprise Fund Created 15.50.040 Setting of Fees and Charges 15.50.050 Billing of User Charges 15,50.060 Collection of User Charges 15.50.070 Statutory Public Meeting 15.50.080 Provision of Data 15.50.090 Appeal to City Council Section 15 50 010 Findings and Intent (a) The City of Santa Clarita is faced with increasing costs for the operation, maintenance, and improvement of water quality related to its storm drainage facilities. LAX:890982 1 STORMWATER UTILITY FEASIBILITY STUDY FINDINGS May 10, 1994 - Page 3 Our recycling program will be enhanced through the increased public education efforts aimed at keeping toxic materials out of the drainage system. Our public outreach ill be Increased through the Increase of public education efforts. The stormwater fund co d participate in th/Santa a River project, City parks, and a number of other Cityactl 'ties now exclusiby the General Fund. The City Image will be enhan ed through tucation program and the fact that we will be doing things to Imp ve environity. We will probably avoid future laims fter damage by making needed improvements and exerting better ntrol ovelopment. Implementation of a stormwater utility requires ncil approval of an ordinance. The proposed Ordinance is attached for your consideration. x Staff has presented preliminary findings at a and at a Council Study Session on March supported many of the requirements of the p round -ups, public education, monitoring eq The Ordinance is being Introduced at '94-'95 budget review and approval 1 NPDES Federal mandate. RECOMMENDATION Introduce Ordinance, waive process. ATTACHMENT Ordinance No. 94-7 Study and Findings NED:hds council ato mxwd PJ b1 c formation Group Meeting on March 28, 1994 994. The comments from the public generally :)gram su as increased household hazardous waste )rcement a clean groundwater. Ming and will ntinue to be heard as part of the City's because of the fiscal impacts of complying with the reading and continue as part\of the '94-'95 budget adoption (b) The City is required to undertake an extensive program to improve the water �4 quality of its runoff in the near future under the National Pollution Discharge Elimination System permitting process (NPDES). LuC:89098.2 (c) The City Council finds that current economic conditions will reduce funding for storm drain maintenance, thereby subjecting property within the City to damage from the storm and surface water runoff. (d) An improperly maintained storm drainage system can create problems such as increased risk of flooding, personal injury and property damage. (e) All developed real property and, to a lesser extent, undeveloped property, benefits from the existence of the City's storm drainage system because these categories of property contribute storm and surface water runoff to the City's storm drainage system as a result of the impervious and semi -impervious nature of the property. (f) Existing City funds and funding sources are insufficient to fund the identified needs for operation and maintenance of the storm drainage system. (g) Municipalities are authorized under California Government Code SECT ION54300 -q aq, . (the State Revenue Bond Law of 1941) to establish fees and charges for funding storm drainage improvements and the operation and maintenance thereof. Fees for storm drainage maintenance and improvement are also authorized under the California Health and Safety Code, SECTION 5471. (h) The City Council finds that a need exists for additional funding for the storm and surface water management program of the City and that the establishment of a storm drainage utility enterprise with user fees and charges is the most equitable method of providing this funding. (i) The amount of the proposed storm drainage utility enterprise user fees shall not exceed the reasonable cost of providing the services, facilities or regulatory activity for which the fee is charged. 0) In order to provide for the safety of the residents of the City and protect property in the City from the damage associated with flooding and to meet the water quality requirements of the NPDES permit issued to the City by the California Water Quality Control Board, it is necessary to design, construct, operate, maintain, improve and replace storm drainage facilities which collect storm and surface water runoff and convey and treat such runoff in a safe manner to an acceptable point of discharge. In order to properly fund such facilities and activities, the City Council has determined that it is necessary to impose on all properties in the City a user charge for storm drainage service. 2 Section 15.50,020. Definition of Terms For purposes of this ordinance, the following terms shall have the ascribed meanings: (a) "User" shall mean the person obligated to pay the Storm Drainage User Charge or other fees. (b) "City„ shall mean the City of Santa Clarita. (c) "Engineer" shall mean the City Engineer of the City of Santa Clarita or his or her designee. (d) "Develolmd Parcel" shall mean any from its natural state by the construction, except public streets and highways. lot or parcel of land which has been altered creation, or addition of Impervious Area, (e) "Equivalent Drainage Residential Unit (DRU)" shall mean the basic unit for the computation of the Fee, and is based upon the average amount of Impervious Area of a Single Family Residential Parcel. (f) "Impervious Area" shall mean any part of any Parcel that has been modified by the action of any person in a manner which reduces the land's natural ability to absorb and hold Storm and Surface Water. This includes the grading of the property and/or creation of any hard surface area which either prevents or retards the entry of water into the soil mantle, and/or the hardening of an existing surface which causes water to flow at an increased rate. By way of example, common Impervious Areas include, but are not limited to, roof tops, walk -ways, patios, driveways, parking lots or storage areas, concrete or asphalt paving, gravel roads, or any cleared, graded, paved, graveled, or compacted surface or paved earthen materials used for, vehicular travel, or areas covered with surfaces which similarly impede the natural infiltration of surface water into soil mantle. (g) "Multi -Family Residential ProMM" shall mean all residentially zoned, Developed Parcels contained two (2) or more dwelling units. This includes apartments, condominiums, timeshares, hotels and motels. (h) "Non -Residential Property" shall mean all Developed Parcels zoned or used for commercial, industrial, retail, governmental or institutional uses. (i) "Parcel" shall mean the smallest separately segregated lot, unit, or plot of land having an identified owner, boundaries, and surface area which is documented for property tax purposes and given an Assessors' parcel number by the Los Angeles County Assessor. (j) "Land Use Code" shall mean the land use code utilized by the Los Angeles County Assessor for the purpose of identifying the existing land use for each "Parcel" of land identified in the Assessor's property records. (k) "Single -Family Residential Prooerty: shall include all Developed Parcels developed with one single-family detached housing unit. (1) "Storm and Surface Water" shall mean water occurring on the surface of the land from natural conditions such as rainfall, regardless of whether such water is falling or flowing onto the land in question. (m) "Storm and Surface Water Control Facilities- shall mean all manmade structures or natural watercourse facility improvements, developments, properties or interest therein, which are or have been made, constructed or acquired for the conveyance of Storm and Surface Water runoff to improve the quality of controlling, or protecting life or property from any storm, flood, or surplus waters. (n) "Storm Drainage Facilities" shall mean the Storm and Surface Water drainage systems comprised of Storm and Surface Water Control Facilities and any other natural features which store, control, treat, and/or convey Storm and Surface Water. Storm Drainage Facilities shall include all natural and manmade elements used to convey storm water from the first point of impact with the surface of the earth to a suitable receiving body of water or location internal or external to the boundaries of the City. Storm Drainage Facilities include all pipes, appurtenant features, culverts, streets, curbs, gutters, pumping stations, channels, streams, ditches, wetlands, detention/retention basins, ponds and other Storm and Surface Water conveyance and treatment facilities, whether public or private. (o) "Runoff Factor" shall mean the factor identified for each "Parcel" of land by the Los Angeles County Flood Control District for purposes of assigning a degree of imperviousness to said parcel. Section 15.50 030 Storm Drainage Utility Enterprise Fund Created (a) Pursuant to State law the City hereby declares its intention to designate the City's storm drainage system as a utility, enterprise activity of the City to be supported all or in part by the imposition of user charges on all parcels of property within the City which discharge storm water to the City's storm drainage facilities or are otherwise served by the City's storm drainage facilities. (b) The City hereby establishes a special fund within the City's fiscal system to be known as "The Storm Drainage Utility Enterprise Fund," herein after referred to as the Fund. l , 19098.2 4 (c) All revenues from storm drainage user charges and other storm drainage related fees and charges as may be adopted by Resolution shall be deposited to the Fund. (d) Expenditures .from the Fund shall be limited to those expenditures for the improvement, repair, operation, maintenance and administration of the storm drainage facility as defined by the City Engineer and pursuant to the terms of the City's NPDES permit. Provided that, the Fund may transfer to the General Fund of the City, the cost of the Storm Drainage Utility's reasonable and proportionate share of the cost of general city government support of the utility not covered by direct payments from the Fund. Section 15 50 040 Setting of Fees and Charges (a) The City Council shall by resolution establish a system of user charges for all parcels in the City. (b) To the extent practicable, user charges shall be based on each parcel's expected rate and volume of storm water runoff. The runoff factors established by the Los Angeles County Flood Control District shall be an acceptable measure of the expected rate and volume of storm water runoff from a parcel. Said fees shall not exceed the reasonable cost of providing the services, facilities or regulatory activity for which the fee is charged. (c) The City Council may by resolution establish a charge for the connection of any parcel to the City's storm drainage facilities to reflect that parcel's fair share of the cost of the existing City storm drainage facilities serving the parcel. (d) The City Manager shall establish, in accordance with Chapter 3.32 of the Santa Clarita Municipal Code, appropriate fees for the review and inspection of storm drainage facilities proposed and constructed by private development. (e) The City Council may by resolution establish a system of charges and fees for the inspection of non-residential parcels for purposes of establishing compliance with the City Code and NPDES requirements related to the protection of storm water quality and may also establish a system of fines and/or penalties for the violation of the City's storm water quality standards. Section 15,50,050 Billing of User Charges (a) The initial billing of storm drainage utility user charges shall be by means of the Los Angeles County Treasurer -Tax Collector tax statement and shall be a single annual charge based on the user charge for each parcel. Lux:99W8,2 5 (b) The City Council may at any time elect to bill all or part of the parcels in the City on a City utility billing statement at such time and frequency as the City Council may deem appropriate. Section 15.50.060 Collection of User Charges (a) The storm drainage user charge shall be an obligation of the record owner of each parcel billed for storm drainage service. The charges shall be due and payable on the date the bill is issued, and shall be considered delinquent if payment is not received within thirty (30) days of the date, the payment is due and payable. The City shall impose a ten percent (10%) non-payment penalty on all delinquent accounts. An additional one percent (l %) penalty shall be imposed for each additional thirty (30) day period the amount remains unpaid. If the bill is not paid within sixty (60) days of the date the payment is deemed delinquent, the amount owning shall constitute a lien against the Parcel receiving the service, and the City shall include a statement on the bill notifying the.Assessee of the lien as provided for in Health and Safety Code Section 5473.11, The lien shall remain in effect for three (3) years unless extended, and shall be released upon payment of the delinquent amount plus all penalties associated therewith. Provided that, so long as the City shall bill the storm drainage user charges on the Los Angeles County tax statement the date when payment is due shall correspond to the due date of County tax payments. Section 15 50 070 Statutory Public Meeting, Pursuant to California Government Code Section 66018, the City Clerk shall cause notice to be provided as set out in Government Code Section 6062a, and the City Council periodically, at least annually, shall receive at a regularly scheduled meeting oral and written presentations concerning fees and charges proposed to be increased or added. Such notice, oral and written presentation, and public meeting shall be provided prior to the City Council taking any action on any new or increased fees or charges. At least one such public hearing shall be held annually, in conjunction with the City annual budget process and hearing. 089098.2 6 Section 15.50,080. Provision of Data. Pursuant to the California Government Code, at least ten (10) days prior to the required public hearing set out "herein, the City Manager shall make available to the public appropriate data indicating the cost, or estimated cost required to support the fees and charges for which changes are proposed to be made or fees or charges imposed. The City Manager also shall provide a summary of the present fee and charge schedules and those proposed at such annual public hearing. A general explanation of such changes also shall be published per the requirements of Government Code Section 6062a. Section 15,50,090, Anneal to City Council (a) Any person who feels that any fee or charge determined and set is in excess of the costs reasonably to be borne by their property, or that such fee or charge has been reviewed prior to or has not been reviewed within the review schedule as set out herein, may appeal in writing to the City Council. (b) Such appeal shall be placed on the agenda of the next available Council meeting after receipt of such appeal and heard at the next regularly scheduled Council meeting. Any changes to any fees or charges approved by the City Council shall take effect immediately upon hearing by the City Council unless ordered otherwise by the City Council. SECTION 2. SEVERABIIITY. If any portion of this Chapter is found to be unconstitutional or invalid, the City Council hereby declares that it would have enacted the remainder of this Chapter regardless of the absence of any such invalid part. SECTION 3. FEES AND CHARGES SUPERSEDED. The fees and charges established by this Chapter shall supersede all previously established fees or charges for the same regulation, product or service, and all such previous fees and charges are superseded on the effective date of the adoption of the Resolution of Fees and charges as provided in Section 15.50.040 hereof. SECTION 4. EFFECTIVE DATE. This ordinance shall take effect and be in force thirty (30) days after its passage. SECTION 5. The City Clerk shall certify to the passage of this Ordinance and shall cause the same to be published in the same manner prescribed by law. LAx:89098.2 7 PASSED, APPROVED AND ADOPTED this day of Mayor ATTEST: City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) CITY OF LOS ANGELES 1994. I, , City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Ordinance No. = was regularly introduced and placed upon its first reading at a regular meeting of the City Council on the day of 19 . That thereafter, said Ordinance was duly adopted and passed at a regular meeting of the City Council on the day of , 19_, by the following vote, to wit: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: Q'E--, '.89098.2 CITY CLERK CITY OF SANTA LLARITA STORMWATER UTILITYFEASIBILITY STUDY TECHNICAL MEMORANDUM NOA STORMWATER PROGRAM FUNDING Prepared By: KATO & WARREN, INC. SEATTLE, WASHINGTON In Association With: WILLDAN ASSOCIATES VENTURA, CALIFORNIA April 4, 1994 CITY OF SANTA CLARITA STORMWATER UTILITY FEASIBILITY STUDY TECHNICAL MEMORANDUM NO. I — STORMWATER PROGRAM FUNDING TABLE OF CONTENTS 1.0 fNTRODUCTION.... ............................... _ .. 1 2.0 STORMWATER MANAGEMENT AND FUNDING REQUIREMENTS ......... 1 2.1 Background ......................... ...... ... , ...... 1 2.2 NPDES Requirements ................ , , ...... - ...: . . ...... ... 2 2.3 Stormwater Management .............. ........................ 5 23.1 Management ......:....:..............:.............. 7 2.3.2 Regulation of Development .............. ...: , :::. _ ....... 7 2.3.3 Operation and Maintenance . . ................ .... . ....... K 2.3.4 Capital. Improvements ....... . ... ... . .................... y 2.3.5 Water Quality/NPDES ................... _ . . , , IO 2.4 Stormwater Funding Requirements .................. . ... ...... .. . I 1 2.4.1 Introduction .... ................... . . ............... 1 I 2.4.2 Personnel .................... : . ....... . ........... l t 2.4.3 NPDES Requirements .........:....... I ......... , ..... 13 2.4.4 Total Funding Requirements . ............................ 16 3.0 STORMWATER FUNDING OPTIONS ....:. . ..:.. .....: . ............ Iy 3.1 General Fund ..................... . — .......... — -- - - - - - :. 19 3.2 Shared Review with the Los Angeles Flood Control District .. _ ... .. 20 3.3 Creation of an Assessment District ............ 3.4 Creation of a Stormwater Utility ............. . ..................., . 21 4.0 STORMWATER UTILITY ANALYSIS . . ........ : : . . . .:............. _ 22 4.1 Description --- - - - - - --- - .................... ........ , 22 4.2 Sources of Funding . ... ..................................... 23 42.1 Service Charges .:. ........ .................... ...... 23 4.2.2 Permitting and Inspection Fees ........................... 23 4.2.3 System Development Charges ............................. 24 4.2.4 Exactions .......... _ ..................... • ........ 24 4-3 Computation of Service Charges ......... .......... 25 4 3.1 Basis of Charges ......... ' 4.3.2 Determining Impervious Area ............................ 25 4.3.3 Estimated Service Billing Units ....... . 4.3.4 Service Charge Rates .:. , .. . 4.4 Method of Billing ........ . ................. . ............. . . 27 4.4.1 Placing Service Charge on the County Tax Statement , .. , ....... 28 4.4.2 Establish a City Billing System ........ .................... ' 4.4.3 Conclusion ...... ............... . .. . .. 31 4.5 Implementation ... , .. . .. . .. ....... ; ...... _ ............... 31 CITY OF SANTA CLARITA STORMWATER UTILITY FEASIBILITYSTUDY 'TECHNICAL MEMORANDUM NO. I — STORMWATER PROGRAM FUNDING TABLES Table 1. Stormwater Management Work Program Assessment- Existing Level of Effort fi Table 2. Stormwater Capital Improvement Needs ......... ...... to Table 3. Stormwater Management Work Program Assessment - Suggested Level of Effort 1_ Table 4. NPDES Compliance Requirements ...:....... ......... 14 Table 5. Stormwater Funding Requirements at Full Implementation .......... _ 17 Table 6. Estimated Stormwater Annual Costs ........... ...... . . . • • • .. 19 Table'7. Cost to Bill Stormwater Utility Charges on County Tax Statement 29 `. Table K. Cost to Bill Stormwater Utility - Charges by Means of a New City Billing System30 1.0 INTRODUCTION Thi Technical Memorandum No. I incorporates the; findings and conclusions, to date, from the work accomplished under Task 1, Z, 3 and 4 of the. study .scope of serv'ices., The tudy work plan calls for a series of discussions; based on issues raised in this Technical Memorandum No. I after which an ordinance will be prepared for Council action in implementing the recommendations of this study and the City staff. In this Technical Memorandum No. I three basic topics are discussed,. Stormwater management and funding requirements Funding; options for Stormwater Applicability of the Stormwater utility concept.. The following discussion is intended as a summary of the findings and conclusions developed during the study. For certain issues addressed in the memorandum, separate: issue papers have been developed that provide additional detail. 2.0 STORMWATER MANAGEMENT AND FUNDING REQUIREMENTS 2.1 Background In accordance with the Federal Clean Water Act of 1972,,the United States Environmental Protection Agency (EPA) is required to establish regulations 'setting forth National Pollution Discharge Elimination System (NPDES) permit standards. The enactment of 1987 amendments to the Federal Clean Water. Act of 1972 imposes permit requirements for, discharge of storin waters. The Act allows the EPA to delegate its NPDES permitting authority to states with an approved environmental regulatory program. The State of California is one of the delegated ,states. The responsibility for implementing various NPDES permits in the State of California has been delegated to the State Department of Water Resources. The State administrates NPDES authority through its nine Regional Boards. In anticipation of the issuance of the Federal regulations, the Los Angeles County Department of Public Works (LACDPW), together with other cities, applied to the California Regional Water Quality Control Board (CRWQCB) for an "early" permit. On June 18, 1990, the NPDES Permit for Stormwater/Urban Runoff Discharge in Los Angeles County was issued. Los Angeles County is the designated "Principal Permittee" with the cities and other entities with large and/or significant drainage areas under their control being given the opportunity to become Co-Perirtittees, Kai,,& warren. Inc: .. 4/1/94, 1 k�VhnmdiniaVechni,l and In ;May 1992, the City provided the. County with a letter of intention to participate as a Co- Permittee with the County in the application of an NPDES permit. The City of Santa Clarita is one of 45 other co-permittee agencies that have filed a letter of intention to participate In the: County' NPDES Permit No. CA0001654, The City of Santa Clarita is in omewhat of a unique situation with regard to stormwater management: Being a relatively new city most of the street and drainage systems were developed during the process of land development under the supervision of Los Angeles County. Both before and after incorporation the ownership of drainage facilities, once constructed, have been transferred to the Los Angeles County Flood Control District (LACFCD). However, in the past two years the LACFCD has not been processing title transfer requests in a timely manner. As a result, there are 228 storm drains; in the City, which are maintained by the County and 45 storm drains that are still the responsibility of the developer for maintenance. Many of the privately maintained storm drains will probably become the City's at some future time. The City streets, which are a part of the primary storm drainage system, are City property. The City contracts with Los Angeles County and private contractors for much of the maintenance of the streets. The storm drainage catch basins in the street present a mix of ownership and responsibility with some owned by LACFCD and others by the. City. City crews perform maintenance on the majority of these catch basins - The national stormwater permitting program (National Pollutant Discharge Elimination System; or NPDES) is administered by the California Regional Water Quality Control Board (WQCB). I The WQCB has issued an NPDES permit to Los Angeles County as the lead agency for the Cities within the County. The NPDES permit provides for a phasing in of permit requirements. Santa Clarita is in a category shown as Phase III which took effect on July 1, 1993. Concern over the cost of compliance with the NPDES requirements prompted the City to undertake this stormwater utility feasibility study. 2.2 NPDES Requirements Los Angeles County and the WQCB have agreed to a five year NPDES permit and work program. The activities to be performed by each agency within the County are as follows: Year One - Beginning July 1, 1993 Define drainage areas and prepare mapping and database. Determine existing best management practices (BMPs) to enhance quality of stormwater. Develop early action BMPs. Plan for development of Stormwater/Urban Runoff Monitoring Program in coordination with the County - Year Two Implement monitoring Program. Implement early action BMPs Develop additional BMPs Km,, k wane... Inc. .-.4/IN4 h:Amntxlah[aV echno I l Po Year 'Three Develop procedures to detect and eliminate illegal discharges and disposal practices to the maximum extent practicable (MEP). Develop measures to control pollutants in runoff from construction site.. Evidence of progress in implementing early action BMPs and additional BMPs. Evidence of progress in detecting and eliminating illegal discharges and illicit disposal practices. Evidence in progress in controlling pollutants in surface runoff from construction sites. Compliance with these permit requirements will certainly require an expenditure of .staff and resources on the part of the City. In certain cases additional code provisions will need to be adopted in order to allow the: City to enforce control provisions and best management practices (BMPs). In order to clarify what level of effort regarding BMPs would be considered as compliance with the NPDES permit the WQCB issued a letter of January 11, 1993 that listed 13 BMPs as a minimum requirement for all agencies: These were: 1. Establish or improve an areawide catch basin stenciling program with a universal stencil to discourage dumping, discarding, and/or discharge of pollutants, carrier, and/or debris into storm drainage systems countywide. A universal stencil will be most effective. The City of Los Angeles intends to develop a public Service announcement with the universal stencil to be shown countywide. This would prevent any possible confusion from seeing different stencils as one travels from municipality to municipality within the county, 2. Develop programs to promote, publicize and facilitate public reporting of illegal discharges and/or dumping. An (800) telephone number may be beneficial. This telephone number should be put into operation as soon as possible. 3. Adopt a runoff control ordinance requiring the use of BMPs during and after construction such as that of the City of Santa Monica for the reduction of runoff and pollutants leaving a property or properties. 4. Augment public education and outreach programs with regard to catch basins and storm drainage systems and their intended purpose. 5. Provide regular catch basin cleaning when and where needed.. 6. Increase cleaning frequency of and number of roadside trash receptacles in areas r where needed. Kato & Warren_ Inc. - 4/1/94 3 b k:mtact:,laileehno 1:. 1 rd 7. Increase street sweeping in areas where needed_ S, Discourage the improper disposal of litter; lawn/garden clippings, and pet feces into the street or areas where runoff may carry these pollutants to the storm drainage system: y. hnplement facility inspections of auto repair shops_ auto body shops, auto parts and accessory .chops, gasoline stations, and restaurants as the accumulation of pollutants, garbage, and/or debris tends to concentrate in these areas. These inspections may effectively prevent the discharge of chemicals, materials, and/or debris into the street and/or storm drainage system. 10. Encourage owners and persons in control of homes or businesses to remove dirt, rubbish, and debris from their sidewalks and alleys which may contribute pollutants to urban runoff.. 11. Encourage recycling of oil, glass, plastic, and other materials to prevent their improper disposal into the storm drainage system. Each municipality should insure that receptacles are provided in strategic areas. 12. Encourage the proper disposal of Household Hazardous Wastes to prevent the improper disposal of such materials to the storm drainage system. Each municipality should establish disposal centers in strategic areas. 13. Encourage the proper use and conservation of water. Except for items I, 5, 6, and 7, which are maintenance activities, all of the other listed BMPs involve public education and outreach to homes and businesses in the City. Based on experience in cities that have had active stonnwater management and water quality programs in effect for some years, this public education and outreach program is a significant effort since it ultimately involves direct contact with most businesses on a routine basis to insure that they,are not only informed but also comply with BMPs and CityCodes related to stormwater quality. One of the unknowns at this time is the degree of water quality monitoring the City will be required to undertake beginning in Year TWO. In accordance with the NPDES permit, the County is responsible for providing water quality monitoring for County unincorporated areas, as well as for the various agencies. The County's approved Water Quality Monitoring Plan only addresses the quality of runoff on a large scale. This proposed monitoring will not be sufficient for the City to detect, identify and abate illegal and illicit discharges to the City's storm drainage system. In order to implement future Best Management Practices, the City will need to develop and implement some type of monitoring system. Levels of stormwater monitoring range from elaborate fixed location sampling facilities down to simple visual observations by existing and/or �' } supplemental field staff. For the purposes of the City's NPDES program, it is highly '•... Kato & Warren, Ine, - 4/1N4 4 1, \ antnc[anta\ieCh1w I:Ird recommended that a -system of visual monitoring as well as a grab sample testing be developed as part of the City's NPDES compliance efforts. It is hoped that the monitoring now underway by Los Angeles County will be sufficient to satisfy current NPDES requirements. There is also some discussion underway between EPA and the WQCB to modify and/or reduce monitoring requiientcnts. Much of the work involved in NPDES compliance 1s considered simply good Stormwater management. The costs associated with good stormwater management and NPDES compliance are detailed in the following sections. 2.3 Stormwater Management Stormwater Management even without NPDES requirements requires a level of effort very similar to the management of other public utilities, i.e.: water, sewers, solid waste. However. since Santa Clarita doe's not provide utility services at this time not all of the normal utility functions are in place in the City organization. Stormwater management functions can be divided into five categories: Management Regulation of Development Operation and Maintenance Capital Improvements Water Quality (NPDES) Table I Lists some of the program elements or services provided under each category and an estimated level of effort currently budgeted for Stormwater management including early NPDES permit compliance efforts. Kano& Warren., Inc. 4/1/94 5 h \.anaclanlaV echno I J rd Table l City of Santa Clarita - Storinwater Management Work Prograrn As esment Existing Level of Effort Service Current Staff Program Added Total f'ategnry Activity (FFE) .Additions staff (Fi E) Sta1P(Fr Et 51.:1�A<1E'y1ES'7: Pohcv [)"dopnlun Pn-,ram Planning 'Coy Engr. PT 1145 }IDES (,nnpILino Pe....nn.I Devdul+mwnt I Staff, FT ():25 Sdwduling _ RuJ_•6ng (1.5 Finafin g/(1 rant, RE(:L:LATI( )N OF DEVELOPMENT Standards/Pnnxdares Engincsnng Support to Maintenance City Engr. PT" 0.25 Plan Rcvmw Public Inedace Comm PCnnitnng Development 0.5 Inspection. Etdbrcenient 0.75 OPERATIONS AND MAINTENANCE - Platuling Foretitarl:. PT 0.5 inventory Frew, PT 1.5 Inspeetnnt Supennteudem 0.25 Teaing Support 0.25 .Scheduhng Surface C7eatung Open System Clo,ed System Pnvale Detention Systems Minor C'un vucuon Repatr/Replacemem Training _ Emergency Responses 2.?. CAPITAL: IMPROVEMENTS Comprehensive. Basin Plans City Engr, PT 9.5 Basin Water Quality Planning Engrs. PT 0.5 Public Involvement Technician, PT Engmeenng/Dexrgn Environmental Assessment Project Management Construction Ridding Cnnstmcuon Management Right -of -Way _ Capital Construction LQ WATER QUALITY/PUBLIC INFORMATION Planning City Engr, PT- t1I N'PDES Compliance I .Staff. PT 0.15 NonitoringfTesting Inspection Enforcement Public Education Public Contact Training _ Emergency Response E25. Hazardous Material Programs STORM WATER STAFFING (FTE) 5.0 Kai,, Fc W irren, Inc. - 7/1194 In the following pages we will address each stormwater management category in terms of exlsting activity, desirable levels, of activity and suggested changes to existing efforts. 2.3.1 Management Current Level of Activity During this first year of the NPDES permit period, the City of Santa Clarita stormwater management activity has been focused in the City Engineer's office and involves time of the city engineer and of an associate engineer part-time. Since much of the drainage system is owned and maintained by the LACFCD, the City has not had to exert the same level of supervision that would normally be required. This is changing with the advent of the NPDES requirements, The City is facing, a greatly increased need for stormwater management. Desirable Level of Activity If the City were to adopt a more proactive stormwater management program, it would appear to be desirable to have someone assigned as the City's Stormwater Engineer or Manager. Such :a person would then be able to direct and organize all planning, NPDES permit compliance and other activities related. to the stormwater system to ensure a focused effort. For the activity anticipated for Santa Clarita short of the City assuming the facilities currently owned by the f' 'l LACFCD this is probably the extent of the management structure which would be necessary together with perhaps a technician or an assistant to work on other aspects of stormwater as they do pertain to the City. The same staff assigned to management tasks for stormwater would be able to function to directly manage and be involved in other categories. Suggested Activity Level Assuming a stormwater program is to be adopted it would be our suggestion that a full-time drainage engineer be assigned to the City Engineer's staff together with one assistant and the, necessary, secretarial support. 2.3.2 Regulation of Development Current Level of Activity The review of development proposals and the work with development regarding drainage is the responsibility of the Community Development Department, again focused in the City Engineer's and Building and Safety offices and in Planning. No one is assigned full time as the stormwater reviewer per :tie, but several people share the dudes depending on the workload. Kaw A warren,. inc, - 4/1/94 % 6:\.an iaclania`acchnu 1.7 rd Desirable Level of Activity. One of the key areas that wilt require additional work in the future under the NPDES program will be the control of runoff and erosion from new development. In this regard there would certainly xeem to be a need for a full-time engineerwho could work with development on drainage planning and for at least one and perhaps two field inspectors who could regularly inspect work under construction, both development and general construction including streets to inure that the water quality controls implicit in the NPDES permit are being properly enforced. It is still possible that additional engineering support and technician support will be necessary from time to timebut it, is assumed that: if so most of this cost would be paid for by the development industry as part of their permitting and consequently would not be considered a cost to the stonnwater program. Suggested Activity Level It would be our suggestion that the City designate an individual as the stonnwater review person and that person would report to the stormwater program manager. In addition at least one field inspector should be on staff and available, This person might work in both regulation of development and in operations and maintenance. 2.3.3 Operations and Maintenance Current Level of Activity The City currently uses their small maintenance group to perform all services related to small street repairs and the cleaning of catch basins and ditches as well as response to any problems created during rainfall events. Since the City does not have motorized equipment for the cleaning of catch basins at this time, :such as avactor, all work in this regard is done by hand which is a time consuming process and does not meet water quality requirements. The City contracts for street cleaning services. A new contract has recently been negotiated that will increase street cleaning frequency to weekly in commercial areas. Desirable Level of Activity Together with the inspection that would be undertaken either in operation and maintenance or under regulation of development there is also a need for someone to inspect the drainage :system to be sure that it is fully capable of operating into its full capacity in the event of a storm condition.. While it can be assumed that the LACFCD is doing this, the truth of the matter is that experience has shown that more needs to be done. Within the City's current maintenance operations it would be desirable to be able to create a drainage crew that would have the necessary equipment to clean catch basins on a much more frequent basis and to also inspect and clean culverts and road crossings and also pipes and ditches. Amu & Waaen, Inc,'- 4/1/94 H rr\ antadantaVechixr 13rd As a part of this activity the issue of street cleaning also needs to be, considered. Surface cleaningis one of the 13 BMP requirements of the NPDES permit. The new City street sweeping contract improves on the frequency of sweeping but does not specify the use of vacuum ,weeping equipment.. To achieve NPDES surface cleaning levels the contract will eventually have to be modified to specify vacuum equipment. This will add costs to this activity. Suggested Activity Level It would be our suggestion that additional street sweeping be implemented and charged to the stormwater program. Singe the City currently contracts for this service, it is assumed that this would mean an additional cost to the contract and would involve the use of vacuum sweeping equipment, rather than simply the broom type equipment now in use. In terms of general system maintenance, the acquisition of a victor truck would seem to be a minimum requirement to properly service catch basins and other drainage facilities with the 'addition of two -person crew as a Ininimum to operate this equipment. 2.3.4 Capital Improvements Current Level of activity The City currently expends very little money on storm drainage capital facilities. Table 2 lists (� the projects that are in the current City CIP. In addition to fully identified projects in the normal City CIP there is also a need as a part of operations and maintenance to make minor improvements and replacements from time to time and an allowance is provided for this activity. The City does not have a storm drainage comprehensive plan at this time. Desirable Level of Activity Given the fact that the principal drainage system is the property of the LACFCD it might be questioned as how much effort the City needs to make in the terms of capital improvements. However, the City must still be concerned with the open drainage system and localized areas of flooding and potential property damage. As a result the City needs an updated comprehensive storm drainage plan that identifies existing problems and improvements needed to meet future growth. Once capital needs are identified it still take staffs time to implement the capital program, even if the design is undertaken by consultants. Certainly in any significant program at least one engineer and a technician and perhaps a field inspector would be desirable in this area. The City .Staff is aware of certain needed storm drainage improvements that have not yet been incorporated into the City's capital improvement program. Table 2 lists known stormwater capital improvement needs. It can be anticipated that once a Comprehensive Plan is completed a more extensive capital program will be identified. Table 2 Kai. & Warren. Inc. - 4/1N4 9 h:\aniac[antaVedwo 13 rd City of Santa Clarita Identified Stormwater Capital Needs Pro)cct E\Ilmalld C'orl I`vndmg Source IJenn Lcd. I. I.tve Oak Slrnng., Cvn (a, Sand C'ya $ 17i0jXal 2.,\and Cvn W.0,1ost Cyn IV. Placenta .$I(hS0,0M to he doer mned 5. Iron Canyon (v) land Canyon Wash $'4J75 (IOP I, he Jetenumod 4. NeMhill creek (a) 13thStreet $ a ( MSow lo. he determined .5. 5aa (:ernurdo Road (05. Pin, Street $'2 275,000 to he dclemuned 6_ ,Santa Clan River (a) Drayton $.Sp(g)p00 m he rlcicmlined 7. NmLLa (lira, River (d Dougherty $) Y25.000 to he dalennined A_ Naha Clara River (61 Liut Canyon $ 4(0 X)0 to be dewnnined TOTAL $25.775.000 Suggested Activity Level At this time the primary activity to be considered would be the development of a Comprehensive storm drainage plan for the City which would probably be undertaken by consultants. The management of consultant contracts for this work could probably be accomplished using the program manager and the engineers assigned to regulation of development and no additional staff is shown for this staff at this time_ If a stormwater utility is adopted by the City it would be possible for the City to issue stormwater utility revenue bonds to fund all or part of the identified Stormwater capital improvement needs. A decision on this approach to capital funding should be deferred until a Stormwater' Comprehensive Plan can be completed, 2.3.5 Water Quality/NPDES/Public Education This is an area that wlll have an increasing requirement over the next several years as the City complies with the NPDES permit. The public education and information program both for residential and commercial properties involves a substantial effort. Current Level of Activity At this time the City has assigned one person part time from the City's Engineer office as the Liaison with the Los Angeles County Department of Public Works staff regarding the NPDES permit. It is recognized that this person will not be able to do all of the work required but would primarily act to monitor the City's compliance efforts. Kato &, Warren, Inc:.. - 411P)4 1 Q h:Aoamxclania4ochno 17 rd Desirable Level of Activity To truly be in compliance with the NPDES program it would ,seem necessary to have a lead and secretarial support for a general public education program and in addition to have at least one inspector assigned to the task of monitoring water quality issues emanating from development within the City. Suggested Activity Level As a minimum the City should add a full-time public information and education staff person to the existing City information office with an assignment to contact and work with residential and commercial properties to achieve the BMP compliance implied in the NPDES permit. An additional support staff position will probably be needed to assist in this effort. It is assumed that these two staff positions would replace the existing part-time position currently assigned from City Engineers office. This public information and education effort should be coordinated with the City's general public information efforts and with the fairly extensive effort underway by the solid waste section of public works. 2.4 STURMWATER FUNDING REQUIREMENTS 2.4.1 Introduction The estimate~ that follow are based on the suggested level of effort for each element of stor nwater management. Much of the added cost over present levels of effort ane due to the mandates of the NPDES permit the City must now satisfy. The staffing levels and expenditures indicated are expected to be phased in over at least a three year period. The estitnates represent the probable activity level at the end of the first three years of the NPDES permit period. 2.4.2 Personnel Table 3 compares existing staffing commitments with the suggested level of activity, including NPDES requirements. Kato & Warren. [nc. - 4/1/94 1 1 IzV`anlaelariiuVadmul Ird Table 3 City of Santa Clarita Stormwater Management Work Program Assessment - Suggested Level of Effort Service Current Staff Program Added Tolal Category Activity (Fr E) Additions .Staf(FTE) Slafrt VTEl MANAfiEMEN r Poh" Dcvelulmmm Pnrgranl 1'ro_rpm Plwom,c Gy Eng'. PT 0,2S Mgr Lll VPFiES C'cnnphan<e Pen,mnet Devdupn,em I �tatf, FIT i125 Taeluunan Ft.5 Hudgeung Clencat I.() Funding,o rant.. 1 5 Pu6Lc Fducauo11,9nfomtanar ID S PUNIC Contact 5 RE(lU'LATII N OF DEVELOPMENT Slandards/F'rocedures Engineering Supp.n to Mmw,nance City Engr. Pr 0.25 Engr 1.0 Plan Review Imp Lo Public Interface pens itiIIIo Engr 0.5 Lt'peciiot _ Enforcement. 075 '2.0 2,75 OPERATIONS AND MAINTENANCE Planning Foreman. PT 0.5 Foreman La Inventory Crew: FIT I Crew 7.0 .Inspection Supenntcndeni 0.25 Support .75 Te.nng Support 0.25 ticheduhng .surface Cleaning Open System Closed System Pnvate Detention Systems Minor Con.,inscim. Repatr/Replacemem Trmsuog Emerges y Reslxmse 2 5 475 7.25 CAPITAL IMPROVEMENTS C'umprehensrve Basin Plans City "Engr. FIT 0,25 Engr o.5 Basin Water Quality Plazuling. Engrs.. PT 0.5 Tech Lo Public Involvement 'recltniclan. PT 0,25 Englneenng,Design Environmental Assessment Projea Management Construction Bidding ' Construction Management• Right-of-way Capital Construction Lt1 1.5. 2.5 WATER QUALITY Planning City Engr; PT (1.1 Tech IA NPDES Compliance I Support, PT OA5 Insp. 1.0 Moutoring(Testing Inspection Enforcement Trauung Emergency Response Hazardous Waste Programs _ 0.2i 2.D 1.25 STORM WADER STAFFING (FTE) 5..o 13.25 18.25 Kato & Warren. lire.- 411/94 _ 12 Some of the -staff time includes the time of existing City personnel, i.e.: the City Engineer, However, assuming stormwater is a City Utility and separate fund the charges for certain existing city staff performing service for the stormwater utility would be charged to the stormwater utility fund. The estimatesare budget estimates for this fund. 2.4.3 NPDES Requirements The basic management requirements of NPDES compliance are included in the personnel estimates indicated in Table 3. Responding to the 13 minimum NPDES requirements in the previously referenced WQCB letter will result in added efforts and costs as detailed in Table 4. Some of the.NPDES requirements are being partially met by current City activities using existing staff. However, the actual total FTE's expended probably is no more than two or three at the most, Most of the staffing shown in Table 4 will be new staff added to perform both the NPDES requirements as well as enhanced stor nwater management (Table 3). The resultant total staff requirements will not be the sum of Tables 3 and 4 but a composite of the two. Kat, & Warren. tnc. -4JIN4 13 h \euundanmVedmnl.ird Table 4 City of Santa Clarita NPDES Compliance Requirements Proy,ram Element vrE'. Added Activity Annual Ci,,t One Time C."( I,, t',I�h Ha.�n'Strnallna 1 11 Ttchn ¢mn. Sn.IIIKLIHI Vnlunieers .--- Pick. L p 10,()0[I-(KI 25OINI H Stenals I.tKNI_(%) 1.000.191 Paint. 50011(I .Safety LOINLt%I I M0(Xl Subtotal 62,500.00 28,000.01) '_ Program for (flint Di%chan•e. 1). $. Public hid. '36O(X)(H) Inspection 25,M)AXI Pick rp I(),O(M),(N) 25,(IIN IUII I&1RI i'ucu,i I,O( AXI II11kI,IMI subtotal 72,000.00 '.26,000A0 t_ Runoff( irdinvree LLi. Engmter `i6,(NF).(Nt Con su lard subtotal 36,000.00 10,000.00 4. Public Information and Education 05 Publc Info 36.0(X).00 Printing I0.()CX).()() 5,0(N).(Y) Mmlmg 30,000,00 Advemsmg I0.000.00 subtotal 86,000-00 5,000-W 5. Catch Basim (leaning 1,0 TMVCrtw 150SICK O a 0.5 Supervmvor '30,0(M).(N) Vactor Truck 25,(W,OO I50SM.00 Pick -Up I(1,(&xl.lx) ZS IAMI,i)0 VaCEor recant System 2.0()()AX) 10.(KKWO tiafety 5,(H)(1,IX) '_.l8)f),1N7 subtotal 222,000.00 207,000.04) Kates A Warren. Inc[ - 4/1/04 14' h \santadantaV tchno Ia N Program Element Fr Added Activity Annual t'ost Onp-'Time 1'ua 6, Traxh C,UC000O (Aunlract C..Hy ItN((NNLtNI Hi Crew itl(1(100 Pick UP IO(It Nl.1)p IN furl uu lubtotal 160,000.00 25,11(N)3)(I Iti �ic_ueJ Slrrel Sue lnig Cunl tactCo+w d(1(I-(NN).(10 11,1 SulxrvL.or 1011(N)I0I 1Jt Tev'h/Crew i011(xugl subtotal 480,000.00 %. Litter. 101nr Jumplitg, dc_ S,,4 Sre 4 subtntai 9. ludpeci10(i of C'onitnerciai .4cttvuv Aetrvuv 11) Inspeclor 500)(119) Pick UI+ I(I0N).q! 25INNLINI CU Support IS,IHNt(KY Mailing 20.0W(to eubtntal 98,000.00 25,000.00 10. C.uvrol cf Hou,ht ld PuOutmtu Sce .4 $ee 1 I I,. Re ydmg I-Q Coordinator 72.(M.00 10 .Support 1(_0()0.00 Contract Costs Public Info See 4 subtotal 108,000.00 12. Hazardou_s Waste Disposal See I I See I I I ,. Water Conservation See J See 4 TOTALS 12.5 1,322,500.00 (1) 326,(M)0.00 Note: (1 ) These one time costs would be incurred during the first two years of the NPDES permit period. Some of the equipment purchase costs may be funded from other sources and repaid from the Stortnwater Utility fund through annual lease payments. Kato & Warren, Inc: - 4104 15 b:\.aulnclanlaVechno L7 rJ Table 3 projected a total staffing requirement of 18.25 FTE at full operation of the stonnwater program. Of this total, 13.25 FTE were additional staff beyond current efforts. Table 4 indicate, a Staffing requirement, just to meet NPDES requirements, of 12.5 FTE, plus a program manager, It is safe to assmne that over the next three to five year period an added staff commitment of 10 - 15 FTE will be necessary, In arriving at a total stormwater utility budget the costs of existing staff and equipment efforts must be added to the totals indicated in Table 4. This is summarized in Table 5. In addition to the staffing and costs indicated in Tables 3 and 4 the City is required to develop mapping of the storm drainage system that indicates all elements of the system plus points of discharge to either surface waters or, ground water, sources of potential pollutants and land use data. Much of the information required for this mapping already exists in City records or the records of the LACFCD. However, no coordinated mapping exists and the City may want to consider meeting this snapping requirement by beginning the development of an electronic mapping system using Geographic Information System (GIS) software rather than the existing autocad software available in Engineering. GIS mapping allows the manipulation and retrieving of physical data that will be valuable for all City departments. Once established, each City department will find other uses for the GIS mapping capability. GIS mapping and database systems are becoming the standard for cities in California. The cost of purchasing a GIS system and initial database development in is the range of $250,000-00. The cost of preparing a Comprehensive Storm Drainage Master Plan has been estimated at $300,000. The plan would cover all of the drainage system including the LACFCD ownership and would address both runoff quantity and water quality issues related to the NPDES permit.. 2.4.4 Total Funding Requirements Table 5 summarizes the estimated cost of thesuggested activity level at full implementation. Full implementation would not occur at ounce but would be, phased over at least three years as described in Section 2.5. Kato& Wancn, Ina.-411N4 16 b:A.:uiric la nra V eduio 11rd C J Table 5 City of Santa Clarita Stormwater Funding Requirements at Full Implementation C A4 TIS'rr1" LA OUR FT RATE(1) TOTALS EaistinK Cit., En¢meer x5 01.(KI(I,nO X6.1IM(11) Engineer Ll1 72A(x).(H) 721(xioo '1'echn m�mu 0.5 50,0(KI.(0 25.oniun) Supenntendent 0'25 60(I(KIA) 15,(KM1.(10 Forenian (1.5 SUdH q.[NI 2i,p(Al. txI Field Crew ,5 SII,UOfL(NI 75.(I(KI.(x) C'I,ncal l).4 i6,lKq.(Nl N.O(K((Ht subtntal 5.0 312.000.00 \PDE.ti Requirements Pfo,ram bim)ager' L0 870RWO x7(xxioo Engineer(2) 2 72,(KK).(H) IxUCO(x) Supzrv)xur IA 60,00(I.(X) a(.ow(KI Crew 5.0 50.000(Xi 250(KHIW Teehmeian 1.0 5(I(KK).(K) 5osiiKI (w) Llspeaor< 1.5 5(1.".()0 75,(HK),(K) _ P.hhclnfc/Cuordinmor (3) 2.0. 72.(XH).(M) 144,000.(9) Clencal 15 769(K).00 54,(I(NI [HI subtotal5 900.000.00 Direct Costs Items units Unit Cost Tout Pick L'p. 5.0 10.000.00 5O MI-00 street Cleaning (4) contras 400,0(K).00 4(H).(KK).0(1 Filler/rrash/Recycle _ contract 10(1.000.00 I(H).(00AXI Truck LO 14;0(>n.i>n 14.CKKi,(HI Vaolor 0 1.0 25,000.0(1 25,(HKI.(H) Vactor Decant System 1.0 10,00(1,0(t Safety Equipment LS 6.(").(1() 6.IXHL(K) (M)) Phone ( ircmr 1.0 I lH)p.(K) I IHKi.(x) C VI1u1LAntS LS 5(I,(K)O.(K) 5(I(M(K) Printing PS Katu A Warren. Inc. - 4/IN4 17 ).\"wnadanlAtechna 1.3 rd LABOR FrE RATE (1) TIITALS VillllnlC t1 S00(NI.IN) Snjlt I(In ;SJccm�mi Lti Ia.0r10:I I0 Il!Du 1,011 .SI, "11, Ls 1 0011.011 I UUuahl B,B.Bg Xaarm (,,[+I I LS 200,A10,00 2110.11(u LOP au Atotal 1,0970ll.00 TvIal: A,mu.d C',[, whom CIP 2.309,W0.00 Allowylee Fur Capital Imprrnemems LS 50O.W0.00 (6) 5oo.ml UNI 1,u,,,,J and Adnunis[rauve( lvernead LS 5Y,.. (7) IHIANXI.IXI Thal Annual Cnst W $ 2,925,000--04) Notes: Rate includes 35% salary overhead plus 10% support costs. 2. 2 FTE are added here to reflect the need for increased development regulation and C[P support that are needed regardless of NPDES.: 3. This includes both existing and projected needs. 4. A large part of this proposed cost is already under contract but since it is a normal stormwater.and NPDES expense the total is included here- 5. See section 4.4 for details. Assume use of County tax rolls for billing. F. The CIP allowance will be refined once a Master Plan has been developed. 7. This charge is an offset against general support provided by the administrative staff of the City: K, This total does not include the one-time charges for the following: GIS Development $ 250,000.00 Preparation of a Comprehensive Master Plan $ 300,000.00 Purchase of support equipment $ 450,000.00 $1,000,000.00 As indicated earlier, it would not be necessary to fully implement the recommended stormwater management program in the first year after the utility is formed. For estimating purposes the following phase -in will be assumed: f Ka[,, & warren, Ines, 4f 11'C1 1, f .mvacln n[aV echnu I a rJ IK Table 6 Estimated.Stormwater Annual Costs ,Annual ('mts One Time Costs (1) Total lludget zl k.Jc¢[ } dt{ud_c, l'cer rnl ttudygt tcar 91 x I.fx N100 1.7()11(x)R00 i91)0ix)Si. I)(1 6110.W0 00 RMOM i)NY - IQQ(xl(1,0(1 1,51N�(x 41.(11 '11I1p(x)11 UII "(II)I1.f M1(11111 } Year Total $5.500,000.00 $I,0M,000.00 $6$011,000A) Annual Average Budget $2,170,000.00 Notes: I , Includes certain capital expenditures from Table 4 plus the consultant costs for the utility billing database development, the Storm Drainage Comprehensive Plan, development of stormwater use ordinance and development of a GIS mapping system. 3.0 STORMWATER FUNDING OPTIONS Given the need to provide additional funds for stormwater management the question becomes where these funds are to come from. Four possible options have been identified: The City General Fund Shared revenue with the Los Angeles County Flood Control District Creation of an assessment district Creation of a stormwater utility 3.1 General Fund The 1992-93 City budget projects $29,094,500 in revenue: to the General Fund with projected expenditures of $28,638,300 leaving a reserve of .$456,200. However, these funds are not considered an annual surplu's since in fact the general city reserves have been reduced in recent years. Within the Community Development and Public Works portions of the General Fund expenditures are projected at $8,218,600, a large portion of which is allocated to contractual services for street maintenance and solid waste collection. It may be possible, to assign some of the additional stormwater work load to existing staff in Engineering and Public Works maintenance. However, interviews with these groups indicate that the current workload equals or exceeds available staffing. Kaw & Warren. Inc_ -; 411ry4 19 Is'GimaiinntaV cchnol.Jrd Conclusion Over time the General Fund Would not appear to have the resources to fund the stormwater program without a corresponding reductioli in other ,services funded by the General Fund: 3.2 Shared Revenue with the Los Angeles County Flood Control District The LACFCD levys annual assessments on all property within the district boundaries including all property in the City of Santa Clarita. Inquiries to the LACFCD reveal that the LACFCD collects;S2,530,700 annually from property within the City. The funds collected by the LACFCD are used to pay for the construction, operation, and maintenance of all of the District's flood control and drainage: system. Since most of the drainage systems within the City have been transferred to the LACFCD the; District is assumed to be responsible for the maintenance, repair and replacement of thedrainage system. While Los Angeles County is the lead agency for compliance with the regional NPDES permit, the LACFCD has not been named as a,co-permittee and District funds are not used for NPDES compliance. If the LACFCD were to assume some portion of the NPDES compliance costs it would be possible that some City costs would be assumed by the District. This does not appear to be the direction the County is taking with regard to the NPDES program, Another possibility would be direct rebate from the LACFCD to the City with the City continuing to be responsible for NPDES compliance and perhaps certain maintenance activities currently the responsibility of the District. Discussions with LACFCD personnel do not lead to the conclusion that such rebates are likely without a major change. in County policy.. Conclusion The possibility of the City receiving funds from the LACFCD either as rebates or NPDES services would appear to be remote. Any such funding assistance would certainly not cover all City ;stormwater management costs. The issue has been raised of the City deannexing from the LACFCD. This would stop the present assessment against property in the City and in "theory provide $2,530,700 dollars to the City for the management and maintenance of the entire drainage system. However, the existing cost of maintenance would reduce the net dollars availabe to zero. We can find no case of a similar withdrawal from the LACFCD. Another possibility might be an agreement to create a special assessment zone for Santa Clarita whereby City stonnwatercharges could be included in the LACFCD assessments. While this would probably be less objectionable to the`District, it may require extensive negotiations and procedures to implement - I �f Kmo , Wil ,III Im':. - 4)1r)4 20 1 ',:xntnc la n la�la Inu l 3Id Our general conclusion is that this option would be difficult and time consuming to implement. It may be tensible as a long term goal but would not be a viable source of revenue for the first three yearti sit the NPDES permit process. 3.3 Creation of an Assessment District The City has the authority to form an assessment district covering all property in the City to raise the needed revenue for stormwater management. The City already has three special drainage assessment districts for groundwater dewatering and monitoring well sites. These assessment districts cover only the immediately benefited properties and should not be a factor if a city-wide assessment district were proposed. The stormwater assessments can be based on any rational formula that creates equity among the assessed properties. The formulas used by the LACFCD for their assessments are reasonably equitable and could also be used by the City with the appropriate rate factors. Assessment district law requires certain procedures for the formation of a district including The creation of a formal assessment roll. At least two public hearings. --- Mailed notice to all assessed properties. �.. 1 City Council action. The right of the public to remonstrate and stay City action, Once established the stormwater assessments would continue without further City Council action. However, if rates need to be increased in the future notices and hearings would be required just as for formation of the District. Collection of assessments would be performed by the County and the City would receive funds on a semi-annual basin Conclusion An Assessment district would be an effective option for establishing the revenues needed for the City`s stormwater program. This option is more feasible than the prior options but may be less desirable than the stormwater utility option due to the somewhat cumbersome procedures involved in assessment district law. 3.4 Creation of a Stormwater Utility A city may establish their stormwater system as a utility. Under Califomia State Law stormwater systems can be considered utilities the same as water and sewer service. As with other utilities a stormwater utility can issue service charges reflecting each properties use of the storm drainage Kato & Warren, Inc - 411/94 21 h \ amaclaniaV echno I l n1 system. This approach to stormwater management funding has been in use for only the last 20 years but it has now been recognized by the EPA as the desirable funding method to satisfy the requirements of the NPDES permit for a reliable and permanent source of stormwater funding. Most major cities across the country have adopted this approach. In California,: because of the long history of specialdistricts, such as the LACFCD, and the use of assessment districts the stormwater utility concept has been adopted by fewer cities than would have been expected. However, this is changing rapidly and cities such as Sacramento, Palo Alto, Los Angeles and many smaller cities now have stormwater utilities in effect. A stormwater utility is formed by the passage. of an ordinance following standard City procedures. Once adopted the City has a number of options for issuing service charge bills. this is covered in more detail in Section 4 of this memorandum. stormwater Service charge rates are calculated in much the same manner as the. LACFCD assessments. Some cities base the charges on more complex formulas and others add a water quality charge to the formulas. In fact, iris becoming popular to call the stormwater utility service charge a water quality or water quality protection charge. Once stormwater service charge rates are established they can be adjusted to meetannual budget requirements by passage of an ordinance or resolution following standard City policy. The stormwater utility approach is a powerful and flexible funding mechanism that has proven t to be, well accepted and effective in cities throughout the country including in California. Conclusion The stormwater utility approach or the assessment district option appear to be. the only feasible methods of raising the funds needed to effect the required level of stormwater management dictated by the NPDES permit. Of the two options the stormwater utility's flexibility makes it more, attractive of a city the size of Santa Clarita. 4.0 STORMWATER UTILITY ANALYSIS 4.1 Description - Acceptance of the fact that stormwater facilities and service are a indispensable part of the urban infrastructure has led to the concept of treating stormwater management as a municipal utility service on a par with water, sanitary sewer and other utilities. The stormwater utility concept has been authorized by state legislation in nearly every state in the country. The California codes provide specific authorization for the concept including: Kato k Warren. Inc--..4/1/9a 22 h �.mvac lanta`¢rchno I JrJ ✓ General powers of a Charter City Specific code sections in General Law Cities Government Code Section 54300, Revenue Bond Act Health and Safety Code Section 5470 While the legislative authority exists for establishing fees for stormwater service through the creation of a stormwater utility, enactment of the concept is a prerogative of local government., The rates to be charged for services and the organization and level of service to be provided are all local City Council decisions. As a utility function of the City stormwater utility fundsare subject to strict audit requirements by State code. Stormwater utility funds can only be expended for stormwater related activity which can include a reasonable charge for general city government overhead and support. 4.2 Sources of Funding A stormwater utility has several potential sources of revenue that are common to all types of municipal enterprise activities. These are charges for services, permitting and inspection fees, system development charges and exactions from new development. 4.2.1 service Charges Service charges are the primary source of revenue for all utilities.. Service charges are based on the "use" a property makes of the service provided. In the case of stormwater the courts have ruled that "use" is the same as "responsibility" for the runoff generated from a property. Section 4.3 will expand on the methods used to compute stormwater service charges. Stormwater service charges for a specific property, once established; only change when more impervious area is added on a property or when there is a general rate change. Consequently the revenue collected for a stormwater utility varies little from year to year and is quite predictable. This simplifies budgeting and fiscal management of the stormwater utility. Service charge rates for a stormwater utility are set by the City Council by Ordinance. 4.2.2 Permitting and Inspection Fees With the requirement of the NPDES program all cities must consider establishing special permits for stormwater. These include permits for new development in order to more closely control and monitor the development process and ensure runoff quantity and quality controls are provided. It also includes annual stormwater use permits for commercial and industrial activities with regular inspections by the City to ensure that no illicit discharges are occurring and to ensure that materials are stored and handled in a manner that prevents the accidental discharge of pollutants ti on to surfaces subject to rainfall or washoff, Kato & warren. Inc. - 4i1PI4 23 1, anuclania4echn, l Ird The administration of this important stormwater activity costs money and the City should consider establishing separate fee, and charges for this activity that cover all costs of adnuni,,tradon and enforcement. 4,2.3 System Development Charges Systein development charges are common in California for a variety of public:.. services from water: sewer and transportation to stormwater and schools. The Basis for such charges is the "buy -in" of new development to the facilities provided by existing properties that provide capacity enabling the new development to occur. Such charges are well established in case law and area standard part of utility funding. System development charges require a careful analysis of the capacity of, a particular system and the City's investment in the system. System development charges forstonnwater systems vary widely., In California system development charges for storm drainage vary from $400.00 to $3,000.00 for a ,single family residence with proportional charges for other land uses. In the case of Santa Clarita the basis for the system development charges is lessened by the fact that most of thestormdrainage facilities have been transferred to the LACFCD. A case could be made for some lower level of,system development charge related to the street system which is the primary stormwater collector. System development charges must be spent for capital improvements and 'a reasonable nexus must be maintained between the expenditures and the new developments paying these charges. We would not anticipate stormwater system development charges providing :significant revenues in Santa Clarita. 4.2.4 Exactions Most of the storm drainage facilities making up the Santa Clarita stormwater system were constructed through exactions. The term exaction refers to the requirement by a government that a new development construct storm drainage facilities to serve the new development. Often the required facilities include storm drainage facilities both within the development and downstream of the development. Direct Cash contributions or construction by a development proponent are exactions. This approach can be quite effective in lowering the capital facility investment of a city. Exactions do not provide funds for the on -going maintenance and operation of the stormwater system. The City should continue to require exactions on a case by case basis. This source of funding is supplemental to the use of service charges, Kaifu & W affm, Ls, - 4/ 1 N4 24 I g�amataclxm nV ech nu7 ¢1 4.3 Computation of Service Charges 4.3.1 Basis of Charges Stormwater service charges are most commonly based on the amount, or rate, of runoff that is generated from a property during a rainfall :event. A standard equation for computing the rate Of runoff is what is known as the Rational Formula: Q = C i A Where: Q = Rate of runoff in cubic feet per second (cfs) C = Percentage of impervious service i = Peak rainfall intensity (inchesthour) A = Acres of total area of a property Since rainfall intensity can beconsidered equal for all properties within a reasonabledistance, what varies by property is the product of C times A, or the area of impervious surface: on a property. This factor becomes the basis for the stormwater service charges.. 4.3.2 Determining Impervious Area Determining the impervious area (C.x A) on a specific property can be accomplished in two ways: 1. By measurement using a field survey or by take off from aerial photos 2, By imputing the impervious area by measuring the gross area of a property (A) and assigning a coefficient of imperviousness (C). The product of the two values is the imputed impervious area. The use of measured impervious area to establish service charges is the most equitable approach. The costs of the initial data base preparation is slightly higher than the imputed method but not prohibitively so. This method is used by more than half of all stonnwater utilities. The imputed impervious area method is the method used by the LACFCD for computing its assessments. It is the most common technique used by counties since the county assessor data base can be used for the computation and for billing. Since this data base exists for all properties in Santa Clarita this would be the easiest approach for computing stormwater service charges for the. City. 4.3.3 Estimated Service Billing Units Since the City does not have a billing system in place that would give an accurate count of the total number and type of service accounts in the City, the computation of the potential stonnwater billing units must be approximated from other data. Kato & Warren, Inc. - 4/IN4 25 h\-antadantaVechno I.3 rd A common approach to stormwaterrate making is to set a fixed rate for all single family residential properties and to then charge all other properties on the basis of the ratio of Impervious area on the property to a defined impervious area for a residential property. The LACFCD ordinance calls this single family area the Equivalent Dwelling Unit (EDU) which is ussigned a base assessment The e assessments for all other properties are computed on the basis of the equation;. Assessment = (Base Rate) (Area of Parcel) (Runoff Factor) (Average EDU Area) This is the same approach used by other stormwater utilities and is the formula that we would recolrurtend for Santa Clarita: The LACFCD raises $2,530.700 from properties within the City' of Santa Clarita.. 'Their assessments are levied against both developed and undeveloped property. The EDU rate for the last year of record was $24.00 per year. This has recently been raised although at a lower level than whathad been recommended by the LACFCD staff, Using these figures the number of equivalent dwelling units, or billable units, can be computed: EDU = $2,530,700.00 = 105,445 $24.00 This figure does not include government property or tax exempt property. Both types of property are commonly charged stormwater service charges by cities. Cities normally do not charge vacant property. Consequently this figure for total billable units should be close for Santa Clarita. Based on experience in other cities and data provided by City planning another estimate can be computed: Total Single Family Units = 24,668 Total Multi -Family Units = 9,168 Commercial Properties = 1,737 Using corm -non EDU factors for these types of property and an allowance for government and other exempt properties we get: SF - 24,668 x 1.0 = 24,668 MF - 9,168 x 0.8 = 7,334 conun- 1,737 x 15.0 = 26,055 Gov/Ex- 200 x 10.0 = 2.000 Total Billable Units = 60,057 EDU Kara do Wimen. Inc.:-4/1194 26 h_�;uNadnn�aVrihni, Lard This number is considerably lower than the number of EDU obtained using LACFCD data. Another check is the experience of other stormwater utilities that for each,$L00 per month per EDU total revenues will approximate. $K-10.00 per year per capita population Using a projected city population of 150,000 this would indicate a billable unit count of 150,000 x X.00 = 100.000 EDU l2 150,000 x 10.00 = 125,000 EDU 12 For purposes of this analysis we propose to use an EDU count of 80,000 for computing required rates. Once a full billing data base can be assembled a precise EDU count will be available and the rates and/or revenues can be adjusted accordingly. 4.3.4 Service Charge Rates For purposes of computing a stormwater service charge rate we will assume an initial annual budget of $2,t70,000.00 for the stormwater utility. This level of funding will permit the initial service charge rate to be held steady until the fourth year of operation, by which time the capital needs of the storm drainage system will be well defined and the NPDES requirements will he more completely defined by the State. With a total number of billing units of 80,000 and a suggested initial annual revenue requirement of $2,170,000.00 the computation of the Equivalent Dwelling Unit Rate becomes straightforward: EDU Rate = $2,170,000.00 = $27. l2/year 80,000 If the final database development yields an EDU count of 100,000 the annual service charge rate could be lowered to $21.70 per year for the average household. The City could decide to set an initial service charge rate at the: higher or lower number or the initial utility ordinance could be adopted and the database development authorized after which a final service charge rate could be adopted by a separate ordinance. This is our recommended approach. For all property except single family residences the annual service charge rate would be computed using the LACFCD formula and runoff factors as modified. Larger commercial properties could have service charges that could be several times the basic EDU rate. 4.4 Method of Billing Several options are available to the City for billing stormwater service charges if a decision is -i\ made to create a stormwater utility; t 1. Place an annual charge on the County tax statement. KNO AZ' W,t en, Inc.-41t194 27 h'.. antxl an ia4tchno I ,? rd 2. Have the LACFCD add the Cities charge to their annual assessment that appears on the County tax statement. 3. Contract with the Sanitation District to include the_stormwater charges with the regular sewer service charges. -t- Contract with the several water companies service Santa Clarita to include; the ,tormwater charges with their billings. 5. Establish a City utility billing system for stormwater with the possibility of'adding otherbillings at a later date (re: solid waste). Of these options only l and are truly viable, The LACFCD and the Sanitation District already bill by means of the County tax Statement and appear to be unwilling to co -mingle their billings with the City. Use of Water Company data and billing services would be cumbersome because of the different service areas involved and the fact that these are private, state regulated, utilities that appear to be unwilling to share data bases or services with a public entity. 4.4.1 Placing Service Charge on the County Tax Statement. The County will accept stormwater charges by the City as a line item on the tax statement:. the cost to the City would be somewhat Jess than establishing'a new City billing system but not a great deal less since the County charges for both the billing and collection of such charges. The estimated cost of this approach would be: i Kaki A Wanrn. Incl.-- a/INJ 28 h:\.antaclanta\ rdmoI-?rd Table 7 City of Santa Clarita Cost to. Bill Stormwater Utility Charges on County Tar Statement Item Start.Up Annual lim.IJr i'<,zt. C ,.mv Data Fdc> S,lH1lL[%1 i 1111(t(NI Database Ikvelolmlent RNI0lfl.($1 III tX1,(11 Annual County F, i(I,M)AN) Slt,(NYL(11) Fac�liil ez Office Spaca i I11N1.(NI Office Furniture/Supple, i,1K70.(1l1 1 (NNI,(MI 40,1RN1.0(1 10,04KIpu Finance Supervw(x, I Billing Clerk. Grade 21 1.5(KI (NI TOTALS $200,000.00 $116,000.01) To place the stormwater utility charge on the County tax ;statement will require an annual hearing before the City Council. Use of the County tax statement has several advantages: It would be simple to establish the billing data files The cost would be lower The City would have less problem with collection and property owner inquiries There are also Some disadvantages: Changes to the billing data base are more difficult Revenues are received only twice each year The City would not have as direct contact with the rate payers 4.4.2 Establish a City Billing System Since the City does not have a billing system or property owner data base in place at this time this option would require somewhat more work to implement. Once in place the operation of the billing system would be relatively straightforward. Discussions with the City Finance Department have provided the following estimated costs for creating a City billing system. There are both start-up costs and on -going annual costs involved in a City utility billing system. Initially, all such costs would be borne by the storm drainage utility. However, if other utility l functions were added later the annual operating costs could be shared by the various utility funds. Knt.i do Warren. Inc:. -. 4/1/94 29 `1 Table K -; City of .Santa Clarita Cnct to Bill Stormwater Utility Charges by Means of a New City Billing System Item :Start -Up .Annual I Oul.W, l'rHe. t 5'nlpulf! _Apllw ire �t [)(xI no % (11)o lM I 111.�1 a U.'I' y.Wr'.0 I, WOW M1111) 4 (11111 IMI Add,¢C°,nyw rM .....ry: 2,()(X)(K) Nuppoo Equlpmm'11 4.5(WUY) Fnnnng 5.o(X).(X) i(i,o(K l i in Pyaazc IOuanprly billing) 7pJi(Kf1)(l Database De,elolnnent RHO0.)'(4) I(1,nM10O 2. Faobuea (Iff c, Apace sp1Nl IMI 1 Kfice. runulurciSuppbes I ? (N)0.(HI _ pnq.(M) Pere)nnel 40.CKX).00 1 [1aHR1 (N1 Finance Sup,",wn I Caehlse ❑rade21 3A Ulxt Un I Bilking l'lerk. Grad2 21 :S lnNl uil TOTALS 267,500.00 246,1100.00 The advantages of a City utility billing system include: I. Billing system is fully under City control. 2. Contact with the public is direct. 3. A mailing system to all City property would be available in-house. 4, Collection of revenues would be direct and in-house, providing better control. 5. Customers would receive more direct responses and services. F. Maintenance'of the billing database would be easier and entirely in-house. 7,. The City would be prepared for any future utility billing needs. The disadvantages of a City utility billing system include[ I. The City would have to add personnel and equipment. 2. The start-up and annual cost are higher than if the County tax statement is utilized. l 3. The City would be fully responsible for billings and collection and would have to deal directly with the public. K.vo do Warren. h1c.- 4/1P)4 30 4.4.3 Conclusions Ba,ed on experience in other jurisdictions it would be our conclusion that establishine a City billing, system would be advantageous in the long term since the City may eventually provide other ,services on an "enterprise" or utility basis. However, .since the City hoes not have, plan; for billing additional services at this time the use of the County tax statement would be less costly and will result in less public; concern. The decision will depend on the willingness of the City to create the direct contact with the user public that a new and separate City utility would imply. 4.5 Implementation Implementing the stormwater utility concept requires the adoption of an ordinance creating stornwater service as a utility function of the City and establishing user charge rates. Preparation of a draft implementing ordinance is a task of this feasibility study, The adoption of stormwater utility ordinance can be accomplished following normal City procedures with the appropriate notices, and hearings. However, the adoption of stormwater utility would result in a new charge to Santa Clarita citizens and they obviously must be informed of the need for the increased revenues. This Stormwater Utility Feasibility Study is the first step in the public information process. As the City Council reviews the findings and recommendations of the study information will reach the public through news releases and media coverage. Once an ordinance is before the City Council special efforts should be made through the media and possibly mailings to inform the public. The ordinance hearing process will offer further opportunity for public input. If and when the Council acts by passage of the stormwater utility ordinance theneed for public information efforts will continue. It is important to keep the public informed prior to issuance of the first bills and to provide a ready response to calls that can be anticipated during the first several billing cycles. Assuming the need for stormwater funding is accurate it does not appear that the program can be funded except by an assessment district or a utility. Whichever approach is adopted it's implementation should be considered as a normal Council action much like the annual budget adoption. Once a decision to proceed is made a one-time effort will be needed to develop the property database needed for either assessments or stormwater utility charges. Kai,- R wart,,,, Im._ . 4lIP14 11