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The following table calculates future monthly water bills and rate impacts for residential <br />customers with 3/4 inch meters at various levels of water use: <br />Public Hearing Process: <br />Requirements under Proposition 218 (Prop 218) compel public agencies to follow the notice and <br />majority protest provisions of Prop 218. In order to comply with those provisions, the City and <br />CUA has provided over 13,235 property owners and tenants directly liable for the service <br />charges (customers -of -record) a written notice of the proposed rates and the date, time and <br />location of the public hearing where the City Council will consider adoption of the proposed <br />rates at least 45 days in advance of the public hearing. In addition, the analysis, justification and <br />proposed ordinance were made available on the City's web site and at the Customer Service <br />Counter. A Notice of Public Hearing and Ordinance Summary were published on April 9, 2009, <br />in the Colton City News and April 11, 2009, in the San Bernardino Sun. The proposed effective <br />date for the new rates is June 5, 2009, and each January 1 thereafter through January 1, 2012. <br />In addition to today's public hearing, two separate public forums took place on March 11, 2009 <br />and March 13, 2009. The public was invited to ask questions and discuss the proposed rate <br />structure during these meetings. Attendance was typically less than twenty-five people with <br />several of the same individuals attending both meetings. <br />Majority Protest Hearing Provisions of Proposition 218 <br />In November 1996, citizens of the State of California passed a Constitutional Amendment <br />known as Proposition 218. This amendment changed the process for increasing property - <br />related fees within the state. Water rates are considered a property -related fee and, pursuant to <br />Proposition 218, require a Protest Hearing by the customers of record prior to instituting a rate <br />increase. Under the Protest Hearing process, customers within the service area are mailed a <br />rate increase notice and protest form detailing the proposed rate increase. To oppose the rate <br />increase, the customer must return the protest form to the City. To support the rate increase, <br />there is no action required on the part of the rate payer. If a significant number of protests <br />(majority) are returned to the City no later than the end of the public hearing of the protest <br />hearing date, the City Council/ Authority may not approve the proposed rate increase. To meet <br />this test, a majority (50% + 1 ballot) of all the forms mailed out must be returned as protest <br />forms and the following calculations would apply: <br />Total Number of Protest Notices Mailed. 13,235 <br /># of Returned Notices Required to "Protest" Rate Increase: 6,619 (50% + 1 ballot) <br />Proposed <br />Proposed <br />Proposed <br />Proposed <br />Monthly Water Use <br />Current <br />June 2009 <br />Jan 2010 <br />Jan 2011 <br />Jan 2012 <br />(hcf) <br />$11.78 <br />$17.03 <br />$19.60 <br />22.53 <br />24.75 <br />5 ( 3,740 gallons) <br />10 (7,480 gallons) <br />15.58 <br />22.58 <br />26.00 <br />29.88 <br />32.80 <br />15 (11,220 gallons) <br />19.38 <br />28.13 <br />32.40 <br />37.23 <br />40.85 <br />20 (14,960 gallons) <br />23.18 <br />33.68 <br />38.80 <br />44.58 <br />48.90 <br />31.16 <br />44.78 <br />51.60 <br />59.28 <br />65.00 <br />30 (22,440 gallons) <br />Public Hearing Process: <br />Requirements under Proposition 218 (Prop 218) compel public agencies to follow the notice and <br />majority protest provisions of Prop 218. In order to comply with those provisions, the City and <br />CUA has provided over 13,235 property owners and tenants directly liable for the service <br />charges (customers -of -record) a written notice of the proposed rates and the date, time and <br />location of the public hearing where the City Council will consider adoption of the proposed <br />rates at least 45 days in advance of the public hearing. In addition, the analysis, justification and <br />proposed ordinance were made available on the City's web site and at the Customer Service <br />Counter. A Notice of Public Hearing and Ordinance Summary were published on April 9, 2009, <br />in the Colton City News and April 11, 2009, in the San Bernardino Sun. The proposed effective <br />date for the new rates is June 5, 2009, and each January 1 thereafter through January 1, 2012. <br />In addition to today's public hearing, two separate public forums took place on March 11, 2009 <br />and March 13, 2009. The public was invited to ask questions and discuss the proposed rate <br />structure during these meetings. Attendance was typically less than twenty-five people with <br />several of the same individuals attending both meetings. <br />Majority Protest Hearing Provisions of Proposition 218 <br />In November 1996, citizens of the State of California passed a Constitutional Amendment <br />known as Proposition 218. This amendment changed the process for increasing property - <br />related fees within the state. Water rates are considered a property -related fee and, pursuant to <br />Proposition 218, require a Protest Hearing by the customers of record prior to instituting a rate <br />increase. Under the Protest Hearing process, customers within the service area are mailed a <br />rate increase notice and protest form detailing the proposed rate increase. To oppose the rate <br />increase, the customer must return the protest form to the City. To support the rate increase, <br />there is no action required on the part of the rate payer. If a significant number of protests <br />(majority) are returned to the City no later than the end of the public hearing of the protest <br />hearing date, the City Council/ Authority may not approve the proposed rate increase. To meet <br />this test, a majority (50% + 1 ballot) of all the forms mailed out must be returned as protest <br />forms and the following calculations would apply: <br />Total Number of Protest Notices Mailed. 13,235 <br /># of Returned Notices Required to "Protest" Rate Increase: 6,619 (50% + 1 ballot) <br />