Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.
May 22, 2024
CityCouncil Meeting COUNCIL CHAMBERS, 33 SOUTH MAIN STREET, COLFAX, CA Mayor Kim Douglass ⋅ Mayor Pro Tem Sean Lomen
Councilmembers Caroline McCully ⋅ Larry Hillberg ⋅ Trinity Burruss
REGULAR MEETINGAGENDA
May 22, 2024
Regular Session 6:00 PM
You may access the meeting and address the Council by the following means:
ZOOM at
https://us02web.zoom.us/j/84968570574
Dial in by calling one of the numbers listed below and enter the Webinar ID:
849 6857 0574
1 669 900 6833 / 1 669 444 9171 / 1 719 359 4580 / 1 253 205 0468 View Only on Facebook Live on our City of Colfax page: City of Colfax, California. You may also submit written comments to the City Clerk via email at [email protected], via regular mail to P.O. Box 702, Colfax CA 95713, or by dropping them off at City Hall, 33 S. Main Street, Colfax CA 95713.
Comments received will be submitted to Council and made a part of the record. 1 CLOSED SESSION (None)
2 OPEN SESSION
2A. Call Open Session to Order
2B. Pledge of Allegiance
2C. Roll Call
2D. Approval of Agenda Order
Thisisthe time for changesto the agenda to be considered including removal, postponement, or change to the agenda sequence.
Recommended Action: By motion, accept the agenda as presented or amended. 2E. Statement of Conflict of Interest
3 CONSENT CALENDAR
Matters on the Consent Calendar are routine in nature and will be approved by one blanket motion with a Council vote. No discussion of these items ensues unless specific items are pulled for discussion and separate action. If you wish to have an item pulled from the Consent Agenda for discussion, please notify the Mayor.
Recommended Action: Approve Consent Calendar
3A. Minutes
Recommended Action: By Motion, approve the Colfax City Council minutes of 5/08/2024. 1 Pages 5-9
Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.
May 22, 2024
3B. Cash Summary – April 2024
Recommended Action: Accept and File.
3C. Cooperative Fire Service Agreement with Placer County Extension Recommended Action: Adopt Resolution __-2024 authorizing the City Manager to execute a 3- year extension of the cooperative agreement with Placer County to Provide Fire Protection, Fire Prevention, Rescue, Fire Marshal, and Medical Emergency Services for the City of Colfax. 3D. FY 2024/2025 SB 1 Funding Project List
Recommended Action: Adopt Resolution __-2024 adopting a list of potential projects to be funded in full or in part by SB 1: The Road Repair and Accountability Act, ensuring eligibility for State of California Road Maintenance and Rehabilitation Account (RMRA) revenues. 3E. Tentative Map Extension Village Oaks Subdivision
Recommended Action: Adopt Resolution __-2024 extending the Village Oaks Vesting Tentative Subdivision Map for one year.
*** End of Consent Calendar ***
4 AGENCY REPORTS
Agencies will be in attendance to answer questions if needed but will only be providing reports at the first council meeting of each month.
4A. Placer County Sheriff’s Office
4B. California Highway Patrol
4C. Placer County Fire Department/CALFIRE
4D. Non-Profits
5 PRESENTATION (NONE)
6 PUBLIC HEARING
Notice to the Public: City Council, when considering a matter scheduled for hearing, will take the following actions:
1. Presentation by Staff
2. Open the Public Hearing
3. Presentation, when applicable, by Applicant
4. Accept Public Testimony
5. When applicable, Applicant rebuttal period
6. Close Public Hearing (No public comment is taken, hearing is closed)
7. Council comments and questions
8. City Council Action
Public Hearings that are continued will be so noted. The continued Public Hearing will be listed on a subsequent council agenda and posting of that agenda will serve as notice. 2 Pages 10-16
Pages 17-44
Pages 45-49
Pages 50-53
Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.
May 22, 2024
6A. Adopt Wastewater Rate Study and Establish Sewer Service Charges Recommended Action: Conduct a public hearing, review and tabulate any valid protests received and, if there is not a majority protest, adopt Resolution __-2024 adopting the City of Colfax Wastewater Rate Study and Establishing Sewer Service Charges for Fiscal Years 2024/2025, 2025/2026, 2026/2027, 2027/2028, and 2028/2029
6B. Short-Term Rental Ordinance
Recommended Action: Introduce the proposed ordinance by title only, conduct a public hearing, wave the first reading and schedule the proposed ordinance for a second reading and adoption at the next regular City Council meeting currently scheduled for June 12, 2024 to be effective 30 days after adoption.
6C. MU-1 Zoning Code Amendment, Ground Floor Retail Ordinance Recommended Action: Introduce the proposed ordinance by title only, conduct a public hearing, waive the first reading and schedule the proposed ordinance for a second reading and adoption at the next regular City Council meeting currently scheduled for June 12, 2024, to be effective 30 days after adoption.
7 PUBLIC COMMENT
Members of the public are permitted to address the Council orally or in writing on matters of concern to the public within the subject matter jurisdiction of the City that are not listed on this agenda. Please make your comments as succinct as possible. Oral comments made at the meeting may not exceed five (5) minutes per speaker. Written comments should not exceed 800 words. Written comments received before the close of an agenda item may be read into the record, with a maximum allowance of five (5) minutes in length. Council cannot act on items not listed on this agenda but may briefly respond to statements made or questions posed, request clarification, refer the matter to staff, or place the matter on a future agenda.
8 COUNCIL AND STAFF
The purpose of these reports is to provide information to the Council and public on projects, programs, and issues discussed at committee meetings and other items of Colfax related information. No decisions will be made on these issues. If a member of the Council prefers formal action be taken on any committee reports or other information, the issue will be placed on a future Council meeting agenda.
8A. Committee Reports and Colfax InformationalItems – All Councilmembers 8B. City Operations Update – City Manager
9 COUNCIL BUSINESS
9A. 3rd of July Event Funding for Fireworks
Recommended Action: Adopt Resolution __-2024 approving a $5,000 to $8,000 donation to Festivals-of-Cali-805 to help fund fireworks for the 2024 3rd of July Event. 10 GOOD OF THE ORDER
Informal statements, observation reports and inquiries regarding the business of the City may be presented by Councilmembers under this agenda item or requests for placement of items of interest on a future agenda. No action will be taken.
3 Pages 54-126
Pages 127-145
Pages 146-160
Pages 161-162
Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.
May 22, 2024
I, Amanda Ahre, City Clerk for the City of Colfax, declare that this agenda was posted in accordance with the Brown Act at Colfax City Hall and Colfax Post Office. The agenda is also available on the City website at http://colfax-ca.gov/
Amanda Ahre, City Clerk
Administrative Remedies must be exhausted prior to action being initiated in a court of law. If you challenge City Council action in court, you may be limited to raising only those issues you or someone else raised at a public hearing described in this notice/agenda, or in written correspondence delivered to the City Clerk of the City of Colfax at, or prior to, said public hearing.
LEVINE ACT WARNING: In certain instances, parties, participants, and their agents before the City Council are subject to the campaign disclosure provisions detailed in Government Code Section 84308, California Code of Regulations Sections 18438.1 through 18438.8, and Fair Political Practices Commission Opinion 0-22-002. All parties, participants, and their agents are hereby directed to review these sections for compliance. If you believe that these provisions apply to you or a Council Member, please inform the City Clerk at the earliest possible opportunity. 10A. Public Comment on Good of the Order
Members of the public are permitted to address the Council on matters that relate to general welfare of the City that have not been previously discussed on this agenda. Oral comments may not exceed five (5) minutes. Written comments should not exceed 800 words.
11 ADJOURNMENT
4 Item 3A.
Minutes 05/08/2024
CityCouncil Minutes
Regular Meeting of Colfax City Council
Wednesday, May 8, 2024
City Hall Council Chambers, 33 S Main Street,
Colfax CA and attended via Teleconference through ZOOM
2 OPEN SESSION
2A. CallOpen Session to Order – Mayor Douglass called the Open Session to order at 6:00 p.m. 2B. Pledge of Allegiance – Amy Lind, Auburn City Clerk, lead the Pledge of Allegiance 2C. Roll Call
Present: Councilmember Hillberg, Mayor Pro Tem Lomen, Councilmember McCully, Mayor Douglass
Councilmember Burruss arrived at 6:15pm.
Absent:
2D. Approval of Agenda Order
MOTION made by Mayor Pro Tem Lomen and seconded by Councilmember McCully, and approved by the following vote:
AYES: Hillberg, Lomen, Douglass
NOES:
ABSTAIN:
ABSENT: Burruss
2E. Statement of Conflict of Interest – No conflicts were identified by the Council or the public. 3 CONSENT CALENDAR
3A. Minutes
Recommended Action: By Motion, approve the Colfax City Council minutes of 4/10/2024 (Verbal statement that there was a typo in the agenda, and the minutes for approval are actually from 4/24/2024)
3B. Cash Summary – March 2024
Recommended Action: Accept and file.
3C. Quarterly Investment Report – Quarter Ended March 31, 2024 Recommended Action: Accept and File
3D. R3 Consulting for SP 1383 Agreement for Compliance Assistance Recommended Action: Adopt Resolution 18-2024 authorizing the City Manager to execute an agreement with R3 Consulting for SB 1383 compliance assistance in an amount not to exceed $50,000.
3E. Agreement for Services – City Engineer – Cartwright Nor Cal Recommended Action: Adopt Resolution 19-2024 authorizing the City Manager to execute an agreement with Cartwright Nor Cal for Cit Engineering Services for a term of 3-years with an option for a 2-year extension.
5 Item 3A.
Minutes 05/08/2024
3F. Construction Materials and Compaction Testing Services for CDBG Road Rehabilitation Project
Recommended Action: Adopt Resolution 20-2024 awarding and authorizing the City Manager to execute a Construction materials and Compaction testing Services contract with Geocon in the amount of $41,490 with a 15% contingency for a total amount not to exceed $47,724. 3G. Construction Management Services for CDBG Road Rehabilitation Project Recommended action: Adopt Resolution 21-2024 awarding and authorizing the City Manager to execute a Construction Management Services contract with Psomas in the amount of $338,256 with a 15% contingency for a total amount not to exceed $388,995 for the CDBG Road Rehabilitation Project.
MOTION made by Mayor Pro Tem Lomen, Seconded by Councilmember Hillberg and approved by the following vote:
AYES: Hillberg, Lomen, McCully, Douglass
NOES:
ABSTAIN:
ABSENT: Burruss
4 Agency Reports
4A. Placer County Sheriff’s – Sgt. Griffiths reported on two major incidents. He also reported on the incident involving the officer involved shooting which occurred last week. He recognized all the agencies that assisted with the incident
4B. CHP – Officer Lyman reported on recent activity and stats for April. 4C. Placer County Fire/CALFIRE – Asst. Chief Bob Counts provided stats for April and burn permit info. He extended an invite to July 26th Fire Station tour to Council Members. He introduced Battalion Chief Siebert.
4D. Non-Profits – No Reports.
5 PRESENTATION (None)
6 PUBLIC HEARING (None)
7 PUBLIC COMMENT
Todd Saylor, owner of Fruit Exchange building, spoke about the dirt bike issues in town.
Diane Green spoke about the fireworks for 3rd July.
8 COUNCIL AND STAFF
8A.Committee Reports and Colfax Informational Items – All Councilmembers.
Mayor Pro Tem Lomen – Nothing to Report
Councilmember Hillberg – Has a WAC/MAC meeting next week, Sierra Vista Community Center has a meeting next week, Railroad Heritage Society would like to support and mentor the caboose relocation and a Railroad Heritage Park in Colfax, and what it would take to have a Chinese Railroad workers statue for the new museum.
Councilmember McCully – nothing to report.
Councilmember Burruss – nothing to report.
6 Item 3A.
Minutes 05/08/2024
Mayor Douglass – Spoke about recruiting a Mexican restaurant for town, bids for the Caboose relocation, and speaking with local veterinarians for animal control services. 8B. City Operations Update – City Manager
Has a meeting with Union Pacific to find out when the “Big Boy” will make a whistle stop in Colfax, and had City Engineer Carl Moore provide a project update. 9 COUNCIL BUSINESS
9A.
Councilmember Hillberg recused himself from the item and left the dias.
Future Skate Park Location
Recommended Action: Discuss and provide direction to staff.
City Manager Walker introduced this item.
Councilmember Burruss spoke about the need for a second location as a plan B for this project due to potential funding concerns and service obligations proposing the Lot of Arts site.
Conversation followed regarding the project, locations backup plan and construction.
Public Comment: Ty Conners spoke about the planned location, zoning, the 20-year commitment, funding, specific design, and timelines.
Councilmember Burruss stressed the importance of having a backup plan if there ends up being unexpected problems with the current location. She asked for the Lot of Arts to be set aside and rezoned as recreational.
Consensus of the Council was that the Lot of Arts is not an option as a plan B. 9B.
Options will be looked at if needed.
Councilmember Hillberg did not participate in this item either.
Agreement Between the City of Colfax and the County of Placer for Funding to build a Skate Park Feature at Lion’s Park
Recommended Action: Adopt Resolution __-2024 authorizing the City Manager to execute an agreement between the City of Colfax and the County of Placer for funding to build a skate park.
Council asked about a clause in the contract about financial obligations under a catastrophic condition.
Consensus of the Council was to add verbiage to the contract about the flexibility of the timeline.
Public Comment: Ty Conners addressed the council’s project concerns over unforeseen issues. He spoke for Andy Fisher, Parks and Rec Commissioner.
Larry Hillberg spoke in opposition of the skate park.
7 Item 3A.
Minutes 05/08/2024 Jane Gallagher, via zoom, asked about maintenance required, liability issues, and access for helicopter and funding.
Motions were made, no second. Discussion followed.
MOTION made by Mayor Pro Tem Lomen to approve contract and resolution as is, Seconded by Councilmember McCully with the following vote:
AYES: Lomen, McCully
NOES: Burruss, Douglass
ABSTAIN:
ABSENT: Hillberg
Request amendments regarding 20-year timeline and catastrophic failure and good faith effort to keep the project on schedule. Councilmember Burruss states amendments at 7:39 pm and recommending to bring back the amended contract at a Special Meeting as soon as the amendments have been made.
MOTION made by Councilmember Burruss, Seconded by Councilmember McCully and approved by the following vote:
AYES: Burruss, McCully, Douglass
NOES: Lomen
ABSTAIN:
ABSENT: Hillberg
Councilmember Hillberg rejoin the meeting.
Council recessed for 5 minutes; back at 7:50 pm.
9C. Animal Control Contract
Recommended Action: Adopt Resolution 22-2024 approving and authorizing the City Manager to sign an agreement with Placer County Department of Health and Human Services for Animal Control and Care Services for a two-year term in an amount not to exceed $84,897.
Jason Phillippe and Katie Ingram, Placer County Animal Services, provided information on services provided to Colfax. He addressed the increase to the contract.
Councilmembers asked about return-to-owner fees, low-income waivers, cost basis, services, calls for services, habitual offenders, and reporting.
Jane Gallagher asked about the payment installments listed in the staff report.
MOTION made by Councilmember Burruss, Seconded by Councilmember Hillberg and approved by the following vote:
AYES: Burruss, Hillberg, Lomen, McCully, Douglass
NOES:
ABSTAIN:
ABSENT:
9D. 3rd of July Funding Request
Recommended Action: Adopt Resolution __-2024 approving a $5,000-$8,000 donation to 8 Item 3A.
Minutes 05/08/2024 Festivals-of-Cali-805 to help fund the 2024 3rd of July Event.
Councilmember Burruss had questions about the 501c3 and about making payment directly to the fireworks vendor. There was no one in attendance from the requesting organization.
This item was continued to the May 22nd Regular Council Meeting. 10 GOOD OF THE ORDER
McCully talked about Colfax signage and branding on a future agenda. She would like to see changes to the color, font, and wording. She would like to see strategic signage to improve downtown visibility.
Mayor Douglass talked about the upcoming election at Sierra Vista Community Center. He stated he spoke with a local veterinarian about animal control services.
City Manager Walker addressed animal control services vs. veterinary services. 10A.Public Comment on Good of the Order
No Public comment on good of the order.
11 ADJOURNMENT
As there was no further business on the agenda, Mayor Douglass adjourned the meeting, by motion and without objection at 8:23 p.m. Respectfully submitted to City Council this 22nd day of May 2024.
Amanda Ahre, City Clerk
9 City of Colfax Cash Summary – April 2024
Staff Report May 22, 2024
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Shanna Stahl – Administrative Services Officer Subject: Cash Summary – April 2024
Budget Impact Overview:
N/A: √ Funded: Un-funded: Amount: Fund(s):
Summary/Background
The monthly financial report includes General Fund Reserved Cash Analysis Graphs and the City of Colfax Cash Summary Report (with supporting documentation). The purpose of these reports is to provide the status of funds and transparency for Council and the public regarding the financial transactions of the City. The reports are prepared monthly on a cash basis and are reconciled to the General Ledger accounting system, previous reports, and bank statements. Detailed budget comparisons are provided as a mid-year report and as part of the proposed budget process each year.
The attached reports reflect an overview of the financial transactions of the City of Colfax in April 2024. Some monthly highlights are listed below:
• April revenues included:
o Allocation for Sales Tax revenues reported/paid to the State for the month of February 2024 (twomonth lag). o Reimbursement from the State Water Resources Control Board on the WWTP Construction Grant. • April expenditures included:
o Approved capital project expenditures – expenditures on WWTP Construction Grant and other grant funded projects.
• Negative cash fund balances at the end of April are primarily due to the timing of funding allocations and reimbursements:
o Fund 250 – Streets – Roads/Transportation. These expenses are funded by annual Transportation funding through Placer County Transportation Agency (PCTPA), transfer of City Gas Tax revenues, and a General Fund allocation. Allocations and transfers will be recorded with the final fiscal year accounting processes.
o Fund 300 – Corporation Yard – This is the project for installation of a metal storage building at the Corporation Yard. Funded by General Fund 100.
o Fund 358 – CDBG Road Rehabilitation. This is a reimbursable grant – the final funding of the grant was awarded in November. CDBG has approved the start date of expenditures. The City has begun the reimbursement process. City restricted Streets funds will also be used on this project as the City match.
RECOMMENDED ACTION: Accept and File.
Item 3B. 10
City of Colfax Cash Summary – April 2024
Staff Report May 22, 2024
o Fund 376 – Downtown Streetscape – This project is primarily (89%) funded with grant funds on a reimbursement basis. Reimbursement requests are submitted on a quarterly basis. The balance of funding (11%) will be a City General Fund match. Final reimbursement request was submitted in April.
o Fund 575 – WWTP Construction Grant. This is a reimbursable grant. Reimbursement requests are scheduled to be submitted at least quarterly.
o Fund 577 – Capital Projects. This is the project for the installation of a metal storage building at the Wastewater Treatment Plant. The project is slated to be funded by Fund 564 – Sewer Connection Fees. Funds to be transferred at project completion. o Fund 590 – Sewer Consolidation Planning Grant. This is a reimbursable grant – reimbursement requests are scheduled to be submitted quarterly upon final award of application grant. • Anticipated revenues/expenditures for May include:
o Revenues
▪ Allocation for Sales Tax revenues reported/paid to the State for the month of March 2024 (two-month lag).
▪ Capital project reimbursements.
▪ Second allocation (40%) of annual property tax revenues and direct charges to be received from Placer County.
o Expenditures
▪ Approved capital project expenditures. We anticipate continued large expendituresfor the Wastewater Treatment Plant Construction project as the I/I Mitigation and Algae Reduction phases continue construction.
▪ Ongoing monthly operating expenses.
Attachments:
1. General Fund Reserved Cash Analysis Graph
2. Cash Activity Reports
a. Cash Summary
b. Cash Transactions Report – by individual fund
c. Check Register Report - Accounts Payable
Item 3B. 11
Prev Yr Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Cash Balance FY2023-24 $3,911 $3,785 $3,834 $3,638 $3,789 $3,911 $3,791 $4,162 $4,263 $4,124 $4,251 Cash Balance FY2022-23 $3,418 $3,412 $3,568 $3,396 $3,451 $3,644 $3,560 $3,935 $4,039 $3,819 $3,765 $4,087 $3,911 Cash Balance FY2021-22 $2,857 $2,831 $2,953 $2,833 $2,943 $2,946 $2,794 $3,120 $3,088 $2,971 $3,004 $3,462 $3,418 Cash Balance FY2020-21 $2,311 $2,392 $2,497 $2,386 $2,402 $2,463 $2,393 $2,688 $2,760 $2,612 $2,771 $3,023 $2,857 Cash Balance FY2019-20 $2,013 $2,069 $2,169 $2,110 $2,170 $2,467 $2,373 $2,747 $2,730 $2,615 $2,627 $2,910 $2,311 *Reserves (Ops, Cap, Pen) $1,095 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 $1,145 Budget FY2023-24 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $3,911 $-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
City of Colfax - April 2024
General Fund Reserved Cash Analysis
(Dollars in Thousands)
Fiscal Year 2023-24 >>
Item 3B. 12
Balance 3/31/24 Revenues In* Expenses Out* Transfers Balance 4/30/24 US Bank $ 87,589.89 $ 1,440,708.60 $ (513,998.59) $ (925,000.00) $ 89,299.90 LAIF $ 6,748,517.76 $ 71,735.62 $ - $ 925,000.00 $ 7,745,253.38 Total Cash - General Ledger $ 6,836,107.65 $ 1,512,444.22 $ (513,998.59) $ - $ 7,834,553.28 Petty Cash (In Safe) $ 300.00 $ 300.00
Total Cash $ 6,836,407.65 $ 1,512,444.22 $ (513,998.59) $ - $ 7,834,853.28 Change in Cash Account Balance - Total $ 998,445.63
Attached Reports:
1. Cash Transactions Report (By Individual Fund)
2. Check Register Report (Accounts Payable) $ (347,246.70) Cash Receipts $ 1,172,879.86
Payroll Checks and Tax Deposits $ (81,283.09)
Utility Billings - Receipts $ 162,418.10
LAIF Interest $ 71,735.62
Void CK - #60155 & 60235 $ 19,941.84
$ 998,445.63 $ -
*Does not include transfers between funds
Prepared by:
Shanna Stahl, Administrative Services Officer
Reviewed by:
Ron Walker, City Manager
City of Colfax
Cash Summary
April 30, 2024
Item 3B. 13
Beginning
Balance
Debit
Revenues
Credit
(Expenditures)
Ending
Balance
Fund Type: 1.11 - General Fund - Unassigned
Fund: 100 - General Fund $ 3,905,408.50 $ 318,174.56 $ (190,894.30) $ 4,032,688.76 Fund: 120 - Land Development Fees $ 202,474.24 $ 232.90 $ (1,725.00) $ 200,982.14 Fund: 200 - Cannabis Application $ 16,368.64 $ 1,086.91 $ - $ 17,455.55 Fund Type: 1.11 - General Fund - Unassigned $ 4,124,251.38 $ 319,494.37 $ (192,619.30) $ 4,251,126.45 Fund Type: 1.14 - General Fund - Restricted
Fund: 205 - Escrow Funds $ 3,237.00 $ - $ (3,237.00) $ - Fund: 571 - AB939 Landfill Diversion $ 23,317.26 $ - $ - $ 23,317.26 Fund: 572 - Landfill Post Closure Maintenance $ 866,190.59 $ 35,230.68 $ (9,448.33) $ 891,972.94 Fund Type: 1.14 - General Fund - Restricted $ 892,744.85 $ 35,230.68 $ (12,685.33) $ 915,290.20 Fund Type: 1.24 - Special Rev Funds - Restricted
Fund: 210 - Mitigation Fees - Roads $ 147,493.71 $ 1,557.97 $ - $ 149,051.68 Fund: 211 - Mitigation Fees - Drainage $ 5,637.35 $ 59.55 $ - $ 5,696.90 Fund: 212 - Mitigation Fees - Trails $ 78,313.89 $ 827.23 $ - $ 79,141.12 Fund: 213 - Mitigation Fees - Parks/Rec $ 194,614.46 $ 2,055.71 $ - $ 196,670.17 Fund: 214 - Mitigation Fees - City Bldgs $ 105,794.85 $ 1,117.51 $ - $ 106,912.36 Fund: 215 - Mitigation Fees - Vehicles $ 23,105.42 $ 244.07 $ - $ 23,349.49 Fund: 217 - Mitigation Fees - DT Parking $ 35,647.48 $ 376.55 $ - $ 36,024.03 Fund: 218 - Support Law Enforcement $ 5,837.59 $ - $ - $ 5,837.59 Fund: 244 - CDBG Program Inc - ME Lending $ 508.07 $ 5.37 $ - $ 513.44 Fund: 250 - Streets - Roads/Transportation $ (88,223.61) $ 14,980.96 $ (28,596.23) $ (101,838.88) Fund: 253 - Gas Taxes $ 33,396.50 $ 4,470.30 $ (1,582.52) $ 36,284.28 Fund: 257 - Street /Road - Transit Capital $ 48,346.04 $ - $ - $ 48,346.04 Fund: 258 - Road Maintenance - SB1/RSTBG $ 254,178.66 $ 6,892.60 $ - $ 261,071.26 Fund: 270 - Beverage Container Recycling $ 19,962.33 $ 210.87 $ - $ 20,173.20 Fund: 280 - Oil Recycling $ 3,936.14 $ 41.58 $ - $ 3,977.72 Fund: 290 - SB1383 Implementation Grant $ 15,614.11 $ 164.94 $ (1,017.90) $ 14,761.15 Fund: 292 - Fire Department Capital Funds $ 97,472.95 $ 1,029.61 $ - $ 98,502.56 Fund: 342 - Fire Construction - Mitigation $ 82,744.47 $ 874.03 $ - $ 83,618.50 Fund: 343 - Recreation Construction $ 82,744.95 $ 874.03 $ - $ 83,618.98 Fund: 367 - SB2 - Planning Grant $ (14,879.82) $ 14,879.82 $ - $ - Fund: 376 - Downtown Streetscape $ (95,563.75) $ - $ (16,299.15) $ (111,862.90) Fund: 378 - Zoning Code Update $ - $ 57,829.22 $ - $ 57,829.22 Fund Type: 1.24 - Special Rev Funds - Restricte $ 1,036,681.79 $ 108,491.92 $ (47,495.80) $ 1,097,677.91 Fund Type: 1.34 - Capital Projects - Restricted
Fund: 300 - GF Capital Projects $ (12,899.52) $ - $ - $ (12,899.52) Fund: 358 - CDBG Pavement $ (417,861.14) $ - $ (8,081.59) $ (425,942.73) Fund Type: 1.34 - Capital Projects - Restricted $ (430,760.66) $ - $ (8,081.59) $ (438,842.25) Fund Type: 2.11 - Enterprise Funds
Fund: 560 - Sewer $ 1,861,760.95 $ 148,641.34 $ (114,256.26) $ 1,896,146.03 Fund: 561 - Sewer Liftstations $ 612,138.49 $ 29,477.22 $ (44,814.57) $ 596,801.14 Fund: 563 - Wastewater Treatment Plant $ 1,110,485.40 $ 44,073.42 $ (80.24) $ 1,154,478.58 Fund: 564 - Sewer Connections $ 321,774.88 $ - $ - $ 321,774.88 Fund: 575 - WWTP Construction Grant $ (2,639,811.86) $ 826,428.00 $ (93,870.50) $ (1,907,254.36) Fund: 577 - Capital Projects $ (7,229.51) $ - $ - $ (7,229.51) Fund: 590 - Sewer Consolidation Planning $ (46,494.06) $ - $ (95.00) $ (46,589.06) Fund Type: 2.11 - Enterprise Funds - Unassign $ 1,212,624.29 $ 1,048,619.98 $ (253,116.57) $ 2,008,127.70 Fund Type: 9.0 - CLEARING ACCOUNT
Fund: 998 - PAYROLL CLEARING FUND $ 566.00 $ 607.27 $ 1,173.27 Fund Type: 9.0 - CLEARING ACCOUNT $ 566.00 $ 607.27 $ - $ 1,173.27 Grand Totals: $ 6,836,107.65 $ 1,512,444.22 $ (513,998.59) $ 7,834,553.28 City of Colfax
Cash Transactions Report - April 2024
Item 3B. 14
CITY OF COLFAX
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:
Vendor
Number Vendor Name Check Description
US BANK Page: 1
Time: 1:01 pm
Date: 05/07/2024
Void/Stop
Date
Reconcile
Date
US BANK Checks
60469 04/05/24 Reconciled 04/30/24 03141 CALPERS HEALTH PREMIUM APR 2024 12,716.42 60470 04/08/24 Reconciled 04/30/24 01142 4LEAF, INC. TRAINING/CORP YARD PLAN 3,145.00 60471 04/08/24 Reconciled 04/30/24 01448 AMERIGAS - COLFAX SHERIFF DEPT PROPANE 430.81 60472 04/08/24 Reconciled 04/30/24 01448 AMERIGAS - COLFAX CITY HALL PROPANE 770.84 60473 04/08/24 Reconciled 04/30/24 01500 ANDERSON'S SIERRA WWTP SUPPLIES 299.85 60474 04/08/24 Reconciled 04/30/24 01766 AT&T MOBILITY CITY CELL PHONES 816.64 60475 04/08/24 Reconciled 04/30/24 3505 COLFAX AUBURN LLC RETURN OF SECURITY DEPOSIT 3,237.00 60476 04/08/24 Reconciled 04/30/24 04234 DE LAGE LANDEN FINANCIAL COPY MACHINE LEASE APR 2024 472.79 FRONTIER 256.60
COMMUNICATIONS
60477 04/08/24 Reconciled 04/30/24 06278 WWTP PHONE
60478 04/08/24 Reconciled 04/30/24 7223 GEOCON CONSULTANTS INC. I&I MITIGATION CONST FEB 24 565.00 GLADWELL GOVERNMENTAL 250.00
SERVICES
60479 04/08/24 Reconciled 04/30/24 7291 RECORDS RETENTION HANSEN BROS. 34.19
ENTERPRISES
60480 04/08/24 Reconciled 04/30/24 08070 STREET REPAIR
HILL BROTHERS CHEMICAL 5,188.76
CO.
60481 04/08/24 Reconciled 04/30/24 08159 WWTP CHEMICALS 60482 04/08/24 Reconciled 04/30/24 08170 HILLS FLAT LUMBER CO SUPPLIES 2,586.45 HOME DEPOT CREDIT 258.22
SERVICES
60483 04/08/24 Reconciled 04/30/24 08501 SUPPLIES
60484 04/08/24 Reconciled 04/30/24 8661 HYDROCOMPLIANCE WWTP MONTHLY QSP SVCS 3,200.00 60485 04/08/24 Reconciled 04/30/24 09540 INTERSTATE SALES STREET SIGNS 107.25 60486 04/08/24 Reconciled 04/30/24 23101 LARRY WALKER ASSOCIATES NPDES PERMIT ASSITANCE FEB 24 759.00 60487 04/08/24 Reconciled 04/30/24 19390 MAR-VAL'S SIERRA MARKET BOTTLE WATER 8.19 60488 04/08/24 Reconciled 04/30/24 18400 NAPA AUTO PARTS SUPPLIES 18.31 NORTHERN CALIFORNIA 120.62
GLOVE
60489 04/08/24 Reconciled 04/30/24 14356 WWTP SUPPLIES
PELLETREAU, ALDERSON & 13,226.35
CABRAL
60490 04/08/24 Reconciled 04/30/24 16011(2) LEGAL SVCS MAR 2024 60491 04/08/24 Reconciled 04/30/24 16035 PG&E ELECTRICITY MAR 2024 25,415.35 60492 04/08/24 Reconciled 04/30/24 03580 PLACER COUNTY HHS ANIMAL & FIELD SVCS Q4 23/24 6,513.00 60493 04/08/24 Reconciled 04/30/24 16821 PSOMAS WWTP CONST INSP FEB 2024 36,614.25 60494 04/08/24 Reconciled 04/30/24 19037 SAFE SIDE SECURITY CORP YARD SECURITY APR 24 155.00 60495 04/08/24 Reconciled 04/30/24 19037 SAFE SIDE SECURITY WWTP SECURITY APR 24 95.00 60496 04/08/24 Printed 19396 SIERRA SAFETY COMPANY STREET SIGNS 102.96 US BANK CORPORATE PMT 8,078.11
SYSTEM
60497 04/08/24 Reconciled 04/30/24 21560 STMT 3/22/24
VAN GRONINGEN & 2,887.50
ASSOCIATES
60498 04/08/24 Reconciled 04/30/24 22106 FINANCIAL SERV. MARCH 2024 60499 04/08/24 Reconciled 04/30/24 22134 VISION QUEST TECH SUPPORT MAY 2024 3,800.00 60500 04/08/24 Reconciled 04/30/24 23169 WAVE BUSINESS SOLUTIONS CITY HALL INTERNET 159.90 60501 04/08/24 Reconciled 04/30/24 23169 WAVE BUSINESS SOLUTIONS DEPOT PHONE 18.77 60502 04/08/24 Reconciled 04/30/24 18883 WAXIE SANITARY SUPPLY SUPPLIES 97.90 60503 04/08/24 Reconciled 04/30/24 23451 WOOD RODGERS WWTP CONS GRANT ENG FEB 24 39,698.75 ALHAMBRA & SIERRA 310.79
SPRINGS
60504 04/16/24 Reconciled 04/30/24 01414 WATER
60505 04/16/24 Reconciled 04/30/24 01448 AMERIGAS - COLFAX DEPOT PROPANE 333.24 60506 04/16/24 Reconciled 04/30/24 01448 AMERIGAS - COLFAX CORP YARD PROPANE 172.89 60507 04/16/24 Reconciled 04/30/24 01766 AT&T MOBILITY CITY CELL PHONES 821.81 BUREAU VERITAS NORTH 5,760.00
AMERICA
60508 04/16/24 Reconciled 04/30/24 02901 BLDG OFFICIAL SVCS MAR 2024 60509 04/16/24 Reconciled 04/30/24 03121 CALIFORNIA BUILDING QTR 1 CY GREEN FEES COLLECTED 35.10 60510 04/16/24 Reconciled 04/30/24 8062 CATHERINE HANSFORD WWTP RATE STUDY MAR 2024 3,904.77 60511 04/16/24 Reconciled 04/30/24 3425 CINTAS STMT 3.31.24 444.19 60512 04/16/24 Reconciled 04/30/24 3494 COLANTUONO, HIGHSMITH & LEGAL MATTERS MARCH 24 26.74 60513 04/16/24 Printed 3555 COLFAX RAILROAD DAYS DONATION FOR RAILROAD DAYS 3,000.00 60514 04/16/24 Reconciled 04/30/24 04592 DACOMM WWTP INTERNET 103.45 DEPARTMENT OF 83.63
CONSERVATION
60515 04/16/24 Printed 04250 SMIP FEES QTR1 2024
DIVISION OF STATE 8.40
ARCHITECT
60516 04/16/24 Reconciled 04/30/24 04532 SB1186 FEES Q1 2024 Item 3B. 15
CITY OF COLFAX
Check Register Report
Check
Date
Check
Number
Status Amount
BANK:
Vendor
Number Vendor Name Check Description
US BANK Page: 2
Time: 1:01 pm
Date: 05/07/2024
Void/Stop
Date
Reconcile
Date
US BANK Checks
60517 04/16/24 Reconciled 04/30/24 6203 FENNEMORE CRAIG, PC LEGAL MATTER 170.00 60518 04/16/24 Reconciled 04/30/24 14859 GHD INC. CDBG ROAD REHAB MAR 2024 3,284.09 60519 04/16/24 Reconciled 04/30/24 08660 HUNT AND SONS, INC. FUEL 715.15 60520 04/16/24 Reconciled 04/30/24 8661 HYDROCOMPLIANCE WWTP MONTHLY QSP SERV 3,200.00 LAWRENCE & ASSOCIATES 1,978.15
INC
60521 04/16/24 Reconciled 04/30/24 12180 LANDFILL MONITORING MAR 24 MANAGEMENT ADVISORY 6,851.10
SERVICES
60522 04/16/24 Reconciled 04/30/24 13191 PLANNING SVC MARCH 2024 60523 04/16/24 Reconciled 04/30/24 15900 PAC MACHINE CO., INC LIFT STATION 13,160.10 PLACER COUNTY EXECUTIVE 19,891.88
OFFICE
60524 04/16/24 Reconciled 04/30/24 16161 Q3 FY 23/24 FIRE SVCS 60525 04/16/24 Reconciled 04/30/24 16040 PURCHASE POWER POSTAGE REFILL 503.50 SCORE - SMALL CITIES 19,841.84
ORGANIZED
60526 04/16/24 Reconciled 04/30/24 19070 WORKERS COMP Q3 FY 23/24 SCORE - SMALL CITIES 19,841.84
ORGANIZED
60527 04/16/24 Reconciled 04/30/24 19070 WORKERS COMP Q4 FY 23/24 60528 04/16/24 Reconciled 04/30/24 19278 SERGENT, PHIL STMT 4/09/24 905.00 60529 04/16/24 Reconciled 04/30/24 19575 SHANNA STAHL SCORE MEETING MILEAGE 183.58 60530 04/16/24 Reconciled 04/30/24 01790 SIERRA OFFICE PRODUCTS OFFICE SUPPLIES 233.91 60531 04/16/24 Reconciled 04/30/24 19743 WILLIAM STOCKWIN COLFAX CONNECTION APRIL 2024 300.00 60532 04/16/24 Reconciled 04/30/24 20538 TROJAN TECHNOLOGIES WWTP SUPPLIES 484.50 60533 04/16/24 Reconciled 04/30/24 23169 WAVE BUSINESS SOLUTIONS CITY HALL PHONES 215.55 60534 04/16/24 Reconciled 04/30/24 23301 WESTERN PLACER WASTE SLUDGE REMOVAL MAR 2024 354.59 60541 04/25/24 Printed 01142 4LEAF, INC. PW SUP TRAINING MAR 2024 1,942.50 60542 04/25/24 Reconciled 04/30/24 1340 AHRE, AMANDA OFFICE SUPPLIES 88.12 60543 04/25/24 Reconciled 04/30/24 03401 CHOICE BUILDER PREMIUMS MAY 2024 768.68 60544 04/25/24 Reconciled 04/30/24 03435 CITY OF AUBURN CITY CLERK SVCS MARCH 2024 1,132.11 60545 04/25/24 Printed 3468 CIVICWELL DOWNTOWN STREETSCAPE MAR 24 12,065.65 60546 04/25/24 Printed 3468 CIVICWELL DOWNTOWN STREETSCAPE FEB 4,233.50 2024
60547 04/25/24 Printed 3475 CLARK PEST CONTROL PEST CONTROL APRIL 2024 537.00 60548 04/25/24 Reconciled 04/30/24 3574 CONVERGEONE, INC CITY PHONE PROGRAMMING 100.00 60549 04/25/24 Printed 04234 DE LAGE LANDEN FINANCIAL COPY MACHINE LEASE MAR 2024 472.79 60550 04/25/24 Reconciled 04/30/24 4268 DESERT VIEW POWER PROCUREMENT COMPLIANCE 2023 1,017.90 EOSI - ENVIRONMENT 9,303.13
OPERATING
60551 04/25/24 Printed 05221 WWTP CHEMICALS
60552 04/25/24 Reconciled 04/30/24 14859 GHD INC. ENG SVCS FEB 2024 17,575.00 60553 04/25/24 Reconciled 04/30/24 14859 GHD INC. ENG SVCS MAR 2024 14,677.50 GOLD MOUNTAIN 400.00
CALIFORNIA
60554 04/25/24 Printed 07460 SHORT TERM RENTALPUBLIC NOTICE GOLD MOUNTAIN 150.00
CALIFORNIA
60555 04/25/24 Printed 07460 SEWER RATE PUBLIC NOTICE
60556 04/25/24 Reconciled 04/30/24 07570 GRAINGER WWTP SUPPLIES 359.71 60557 04/25/24 Reconciled 04/30/24 08660 HUNT AND SONS, INC. FUEL 1,002.51 60558 04/25/24 Reconciled 04/30/24 16300 PCWA -PLACER COUNTY WATER 1,124.66 PLACER COUNTY 1,003.50
ENVIRONMENTAL
60559 04/25/24 Printed 16165 LANDFILL MONITORING Q3 FY23/24 60560 04/25/24 Reconciled 04/30/24 23169 WAVE BUSINESS SOLUTIONS CORP YARD INTERNET 67.87 Total Checks: 86 Checks Total (excluding void checks): 347,246.70 Total Payments: 86 Bank Total (excluding void checks): 347,246.70 Total Payments: 86 Grand Total (excluding void checks): 347,246.70 Item 3B. 16
Staff Report to City Council
FOR THE May 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Ron Walker, City Manager
Subject: Cooperative Fire Services Agreement with Placer County Extension Budget Impact Overview:
N/A: Funded: √ Un-funded: Amount: $253,313.25 Fund(s): 100-200 Summary/Background
On December 9, 2020, Council directed staff to undertake a comprehensive fire services analysis. The initial direction evolved into a proposed agreement whereby Placer County will provide the City of Colfax with municipal fire protection, hazardous materials mitigation, technical resource response, fire prevention services, medical and emergency services and public service assistants on the same terms and conditions that Placer County receives them from the California Department of Forestry and Fire Protection (CalFire).
In June of 2021 the City entered into a three-year cooperative agreement with Placer County to provide Fire Protection, Rescue, Fire Marshal, and Medical Emergency Services for the City of Colfax. In May of this year, Placer County contacted the City asking to amend the current contract.
Conclusions and Findings
The amendment would extend the term of the agreement for an additional 3 years - with no other changes to the scope of work or payment provisions.
Fiscal Impacts
The Payment Provisions of the 2021 listed the annual cost of service to be Seventy-Fire Thousand Dollars ($75,000) with a Three Percent (3%) annual percentage escalation. The cost of the Fire Services contract for Fiscal Year 2024-2025 is $81,954, for Fiscal Year FY 2025-2026 is $84,413, and $86,945.56 for Fiscal Year 2025-2026.
Attachments:
1. Resolution __-2024
2. 2021 Cooperative Fire Agreement with Placer County.
3. Cooperative Fire Agreement with Placer County Three-Year Extension.
RECOMMENDED ACTION: Adopt Resolution __-2024 authorizing the City Manager to execute a 3-year Extension of the cooperative agreement with Placer County to Provide Fire Protection, Fire Prevention, Rescue, Fire Marshal, and Medical Emergency Services for the City of Colfax.
Item 3C. 17
City of Colfax
City Council
Resolution № __-2024
APPROVING AND AUTHORIZING THE CITY MANAGER TO SIGN A THREE-YEAR
EXTENSION OF THE COOPERATIVE AGREEMNT WITH PLACER COUNTY TO PROVIDE
FIRE PROTECTION, FIRE PREVENTION, RESCUE, FIRE MARSHAL AND MEDICAL EMERGENCY SERVICES FOR THE CITY OF COLFAX.
WHEREAS, the City’s existing Fire Protection Agreement whereby Placer County provides fire management and oversite services to the City is scheduled to expire on June 30, 2024; and, WHEREAS, City staff has negotiated a Cooperative Agreement for Placer County to provide the City with Fire protection, fire prevention, rescue, fire marshal and medical emergency services; and, WHEREAS, the City Council finds and determines that it is in the City’s best interest to enter a cooperative agreement for Placer Conty to provide the City with Fire protection, fire prevention, rescue, fire marshal and medical emergency services for the City of Colfax.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Colfax approves and authorizes the City Manager to execute a three-year extension of the Cooperative Agreement with Placer Conty to provide the City with Fire protection, fire prevention, rescue, fire marshal and medical emergency services THE FOREGOING RESOLUTION WAS DULY AND REGULARLY ADOPTED at the Regular Meeting of the City Council of the City of Colfax held on May 22, 2024, by the following vote of the Council:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________________________
Kim Douglass, Mayor
ATTEST:
________________________________________
Amanda Ahre, City Clerk
Item 3C. 18
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Item 3C. 41
AMENDMENT ONE
TO
COOPERATIVE AGREEMENT
TO PROVIDE FIRE PROTECTION, FIRE PREVENTION, RESCUE, FIRE MARSHAL
AND MEDICAL EMERGENCY SERVICES FOR THE CITY OF COLFAX
THIS AMENDMENT ONE TO THE COOPERATIVE AGREEMENT ("Amendment One") is made and entered into by and between the County of Placer, a political subdivision of the State of California ("County'') and the City of Colfax a municipal corporation and general law city ("City"). The County and City may be individually referred to as a "Party" and collectively as the "Parties".
WHEREAS, the Parties entered into the COOPERATIVE AGREEMENT (“Agreement”) on July 1, 2021, to provide fire protection, rescue and emergency medical services within their respective territorial limits; and WHEREAS, the County and the City wish to extend the Initial Term of the Agreement for an additional three years.
NOW, THEREFORE, the COUNTY and City mutually agree to the following amendment to the Agreement. Additions are shown in bold, deletions are shown in strike-through.
1. Section IV is amended as follows:
SECTION IV: INITIAL TERM, EFFECTIVE DATE AND SUBSEQUENT TERM A. The initial term of this Agreement shall be from July 1, 2021, to June 30, 2024 (“Initial Term"). July 1, 2021 is the effective date of this Agreement ("Effective Date").
B. The Initial Term of this Agreement is extended for three years, effective July 1, 2024, and ending June 30, 2027. (“Extended Term”) C. Six (6) months prior to the expiration date of the Initial or Extended Term of this Agreement, City shall give County written notice of whether City desires to enter into a new agreement or extend the term of the Agreement and Amendment One with County for Fire Services for a subsequent or extended term and, if so, whether City intends to request a change in the level of Fire Services from that provided under this Agreement and any amendments thereto. Pursuant to Government Code Section 55603.5, any new agreement or extension of the term of this Agreement must be for a term of no less than one (1) year. An agreement for a subsequent or extended term must be approved by the legislative bodies of both County and City in a duly noticed public hearing(s).
2. Except as specifically modified above, all the remaining terms and conditions of the Agreement shall remain and continue in full force and effect.
Item 3C. 42
WITNESS WHEREOF, the Parties hereto have caused their duly authorized representatives to execute this Amendment One to the Agreement as of the date stated below:
CITY OF COLFAX
By: __________________________________________ _ Dated: ______________________ Mayor
ATTESTED BY:
______________________________________________ Dated: ______________________ City Clerk
Approved as to Form:
By: ___________________________________________ Dated: _____________________ City Attorney
COUNTY OF PLACER, “COUNTY”
By: ___________________________________________ Dated: _____________________ Chair, Board of Supervisors
ATTESTED BY:
________________________________________________ Dated: _____________________
MEGAN WOOD
Placer County Clerk of the Board
Approved as to Form:
By: ___________________________________________ Dated: ______________ KARIN E. SCHWAB
County Counsel
Item 3C. 43
Consent of California Department of Forestry and Fire Protection The California Department of Forestry and Fire Protection consents to that certain "AMENDMENT 1 TO COOPERATIVE AGREEMENT TO PROVIDE FIRE PROTECTION,
FIRE PREVENTION, RESCUE, FIRE MARSHAL AND MEDICAL EMERGENCY SERVICES FOR THE CITY OF COLFAX” between the County of Placer and the City of Colfax dated July 1, 2024, and further agrees to provide the services described therein.
By____________________________________
Print Name: ______________________
Title: ____________________________
Date: ___________________________
Item 3C. 44
City of Colfax SB1 Funding Project List
Staff Report May 22, 2024
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Carl Moore, City Engineer
Subject: FY 2024/2025 SB 1 Funding Project List
Budget Impact Overview:
N/A: X Funded: Un-funded: Amount: Fund(s):
Summary/Background
State Senate Bill (SB 1), also known as the Road Repair and Accountability Act (RRAA) of 2017, was signed into law by Governor Brown on April 28, 2017. SB 1 establishes funding to address deferred maintenance on the State highway system and local street and road systems. The bill provides that funds shall be used for: Road Maintenance and Rehabilitation, Safety Projects, Railroad Grade Separations, Complete Street Components or, Traffic Control Devices.
The City is expected to receive about $51,594 in SB 1 Funds in Fiscal Year 2024-2025. SB 1 revenues should increase in subsequent years.
To be considered for funding, SB 1 requires all projects proposed for SB 1 Funding be named and acknowledged by resolution. Staff is recommending the following projects:
Projects included in the current CDBG street improvement projects:
• Culver Street (Phase III) – This project involves reconstructing 390 lineal feet of Culver Street from Church Street to W. Grass Valley Street. The project would complete the Culver Street corridor and is estimated at $566,300. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
• Pleasant Street – This project involves reconstructing 1,550 lineal feet of Pleasant Street from Depot Street to Water Plant Road. The project is estimated at $1,218,400 and is intended to provide a new roadway surface to improve traffic flow and quality of the roadway. • School Street – This project involves reconstructing 380 lineal feet of School Street from N. Main Street to Pleasant Street. The project is estimated at $450,200 and is intended to provide a new roadway surface to improve traffic flow and quality of the roadway. • Forest Hill Street – This project involves reconstructing 1,410 lineal feet of Forest Hill Street from E.
Oak St. to Vista Avenue. The project is estimated at $1,058,000 and is intended to provide a new roadway surface to improve traffic flow and quality of roadway along this corridor. • Church Street – This project involves reconstructing 300 lineal feet of Church Street from Rising Sun Street to Culver Street. The project is estimated at $332,200 and is intended to provide a new roadway surface to improve traffic flow and quality of roadway along this corridor. • Pine Street – This project involves reconstructing 450 lineal feet of Pine Street from Pine Court to Culver Street. The project is estimated at $339,800 and is intended to provide a new roadway surface to improve traffic flow and quality of roadway along this corridor.
RECOMMENDED ACTION: Adopt Resolution _-2024 adopting a list of potential projects to be funded in full or in part by SB 1: The Road Repair and Accountability Act, ensuring eligibility for State of California Road Maintenance and Rehabilitation Account (RMRA) revenues.
Item 3D. 45
City of Colfax SB1 Funding Project List
Staff Report May 22, 2024
• Culver Street at Oak Street Intersection – This project involves reconstructing 3,310 square feet of the intersection of Culver Street at Oak Street between the previously completed Phase 1 and Phase 2 Culver Street reconstruction projects. The project is estimated at $90,100 and is intended to provide a new roadway surface to improve traffic flow and quality of roadway along this corridor.
Future projects:
• Canyon Way – This project involves reconstructing 1.41 miles of Canyon Way from Illinoistown Road to Canyon Court in phased sections. The project is estimated at $8,102,000 and is intended to provide a new roadway surface to improve traffic flow and quality of roadway along this corridor. • Depot Street – This project involves reconstructing 400 lineal feet of 64-foot-wide Depot Street from Pleasant Street to N. Main Street. The project is estimated at $696,500 and is intended to provide a new roadway surface to improve traffic flow and quality of the roadway. • Depot Street – This project involves reconstructing 500 lineal feet of 21-foot-wide Depot Street from Pleasant Street to Brown Lane. The project is estimated at $285,700 and is intended to provide a new roadway surface to improve traffic flow and quality of the roadway.
The SB 1 funding will be used in conjunction with the Community Development Block Grant Over-the-Counter projects to maximize program administration efficiency.
Attachments:
1. Resolution __-2024
Item 3D. 46
_________________________________________________________________________________________ City of Colfax SB 1 Funding Project List
Resolution -2024
City of Colfax
City Council
Resolution № __-2024
ADOPT A LIST OF POTENTIAL PROJECTS FOR FISCAL YEAR 2024-2025 TO BE FUNDED IN FULL OR IN PART BY SB1, THE ROAD REPAIR AND
ACCOUNTABILITY ACT, ENSURING ELIGIBILITY FOR STATE OF CAIFORNIA
ROAD MAINTENANCE AND REHABILITATION ACCOUNT (RMRA) REVENUES WHEREAS, Senate Bill 1 (SB 1), the Road Repair and Accountability Act of 2017 was passed by the State Legislature and signed into law by the Governor in April 2017 to address the significant multi-modal transportation funding shortfalls statewide; and,
WHEREAS, SB 1 includes accountability and transparency provisions that will ensure the residents of the City of Colfax are aware of the projects proposed for funding and which projects have been completed each fiscal year; and,
WHEREAS, the City of Colfax must adopt a resolution of all projects proposed to receive funding from the Road Maintenance and Rehabilitation Account (RMRA), created by SB 1, which must include a description and the location of each proposed project, a proposed schedule for the project’s completion, and the estimated useful life of the improvement; and,
WHEREAS, the City of Colfax, will receive an estimated $51,594 in RMRA funding in FY 2024-2025 from SB 1; and,
WHEREAS, the City of Colfax adopted its City of Colfax 2018 Pavement Management Plan, revised June 26, 2020, and used said Pavement Management Plan to develop the SB 1 project list, so SB 1 funds are being used on the highest priority projects and in the most cost-effective way; and, WHEREAS, the funding from SB 1 will help the City of Colfax maintain and/or rehabilitate street/roads within the City of Colfax this year and similar projects in the future.
NOW THEREFORE, BE IT RESOLVED the City Council of the City of Colfax affirms the foregoing recitals are true and correct. The City of Colfax hereby adopts the following list of projects to be funded in part or solely with Fiscal Year 2024-2025 Road Maintenance and Rehabilitation Account revenues.
CURRENT CDBG STREET IMPROVEMENT PROJECTS:
• Culver Street (Phase III)
O Description: Street reconstruction. The project is estimated at $566,300. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Culver Street from Church Street to W. Grass Valley Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 Item 3D. 47
_________________________________________________________________________________________ City of Colfax SB 1 Funding Project List
Resolution -2024
• Pleasant Street
O Description: Street reconstruction. The project is estimated at $1,218,400. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Pleasant Street from Depot Street to Water Plant Road. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 • School Street
O Description: Street reconstruction. The project is estimated at $450,200. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: School Street from Pleasant Street to North Main Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 • Forest Hill Street
O Description: Street reconstruction. The project is estimated at $1,058,000. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Forest Hill Street from E. Oak Street to Vista Avenue. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 • Church Street
O Description: Street reconstruction. The project is estimated at $332,200. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Church Street from Rising Sun Street to Culver Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 • Pine Street
O Description: Street reconstruction. The project is estimated at $339,800. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Pine Street from Pine Court to Culver Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 • Culver Street at Oak Street Intersection
O Description: Street reconstruction. The project is estimated at $90,100. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Intersection of Culver Street at Oak Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2024-2025 Item 3D. 48
_________________________________________________________________________________________ City of Colfax SB 1 Funding Project List
Resolution -2024
FUTURE STREET IMPROVEMENT PROJECTS:
• Canyon Way
O Description: Street reconstruction. The project is estimated at $8,102,000 to be completed in phases. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Canyon Way from Illinoistown Road to Canyon Court. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2025-2026 • Depot Street Project
O Description: Street reconstruction. The project is estimated at $696,500. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Depot Street from Pleasant Street to N. Main Street. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2025-2026 • Depot Street Project
O Description: Street reconstruction. The project is estimated at $285,700. The project is intended to provide a new roadway surface to improve traffic flow and the quality of the roadway.
O Location: Depot Street from Pleasant Street to Brown Lane. o Estimated Useful Life of Project: 20 years.
o Estimated Year of Construction: Fiscal Year 2025-2026 THE FOREGOING RESOLUTION WAS DULY AND REGULARLY ADOPTED at the Regular Meeting of the City Council of the City of Colfax held on the 22nd day of May 2024 by the following vote of the Council:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________________________
Kim Douglass, Mayor
ATTEST:
________________________________________
Amanda Ahre, City Clerk
Item 3D. 49
City of Colfax Village Oaks Vesting Tentative Subdivision Map Extension Staff Report May 22, 2024
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Kathy Pease, AICP, Planning Consultant
Subject: Tentative Map Extension Village Oaks Subdivision Budget Impact Overview:
N/A: X Funded: Un-funded: Amount: Fund(s):
PROJECT NOTICE This hearing has been noticed in accordance with the requirements of California Planning and Zoning Law, Title 17, Chapter 65000, Government Code, as amended.
PROJECT SUMMARY:
Project Title: Village Oaks Vesting Tentative Subdivision Map Applicant/Owner: Eric Stauss
Location Iowa Hill
Land Use (existing) Vacant
Assessor Parcel No: 101-017-029
Zoning District: Single Family Residential R-1-20
General Plan: Single Family Residential
PROJECT DESCRIPTION:
Background
On February 14, 2018, the City Council adopted Resolution 07-2018 approving the Village Oaks Vesting Tentative Subdivision Map (VTSM) to subdivide a 12.9-acre lot into 39 lots for single-family development. The project site is located off Iowa Hill Road adjacent to the Sierra Oaks Estates subdivision.
Final map approval is required prior to expiration of the tentative subdivision map. To obtain final map approval, conditions of the tentative map must be met, and infrastructure improvements are required to be designed, approved and installed. Alternatively, the applicant may enter into a subdivision improvement agreement and provide security for completion of the infrastructure improvements.
The February 14, 2018 VTSM approval was valid for two years until February 14, 2020. At its January 22, 2020, meeting, the City Council approved the applicant’s first extension request and extended validity of the map until February 14, 2022. By enactment of Assembly Bill 1561 in September 2020, housing entitlements throughout California, including vesting tentative subdivision maps, were extended by the State legislature for 18 months due to Covid.
On August 10, 2022, the Council adopted Resolution 31-2022 which extended the expiration of the tentative map to August 14, 2024. The current tentative map expires August 14, 2024. The proposed Tentative Map Extension would extend the map expiration date to February 14, 2026.
RECOMMENDED ACTION: Adopt Resolution __ -2024 extending the Village Oaks Vesting Tentative Subdivision Map for one year
Item 3E. 50
City of Colfax Village Oaks Vesting Tentative Subdivision Map Extension Staff Report May 22, 2024
Discussion
Section 66452.6(e) of the Subdivision Map Act allows a subdivision map to “be extended by the legislative body or by an advisory agency authorized to approve or conditionally approve tentative maps for a period or periods not exceeding a total of six years.” The City of Colfax Subdivision Ordinance section 16.12.080 states “the approval or conditional approval of a vesting tentative map shall expire at the end of the same time period and shall be subject to the same extensions as a tentative map.” Therefore, because of the state’s Covid extension, it is appropriate for the applicant/developer to request the extension that would allow the Village Oaks Vesting Tentative Subdivision Map to remain valid through February 14, 2026.
ENVIRONMENTAL ANALYSIS: Environmental review was completed at the time of the original entitlement (a Mitigated Negative Declaration). Extending the map would not result in any new impacts not previously analyzed, therefore additional environmental review is not required.
FISCAL IMPACT
The applicant paid fees consistent with the City’s fee schedule to request the map extension. This effort is funded through fund 100 450.
Recommendation
Approve Resolution __-2024 extending the Village Oaks Vesting Tentative Subdivision Map to February 14, 2026.
Attachments
1. Resolution __-2024
Item 3E. 51
City of Colfax 1
Resolution x-2024 Vista Oaks Vesting Tentative Subdivision Map Extension City of Colfax
City Council
Resolution № __-2024
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLFAX
APPROVING THE 21-MONTH EXTENSION OF THE VILLAGE OAKS VESTING TENTATIVE SUBDIVISION MAP TO FEBRUARY 14, 2026
WHEREAS, The City Council approved Resolution 07-2018 for a Vesting Tentative Subdivision Map on February 14, 2018for the Vista Oaks Subdivision, to allow 39 Single Family Homes.
WHEREAS, at the January 22, 2020, meeting the City Council approved the applicant’s first extension request and extended validity of the map until February 14, 2022.
WHEREAS by enactment of Assembly Bill 1561 in September 2020, housing entitlements throughout California, including Vesting Tentative Subdivision Maps, were extended by the State legislature for 18 months due to Covid.
WHEREAS, on March 1, 2022, the City Council adopted Resolution 07-2022, to extend the Village Oaks Vesting Tentative Subdivision Map to August 14, 2024; and, WHEREAS section 66452.6 (e) of the Subdivision Map Act allows for the extension of a valid tentative subdivision map; and,
WHEREAS, Eric Stauss, the owner/developer of the project has filed the request for an extension and paid the required application fees.
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Colfax approves the request of Eric Stauss to extend the Village Oaks Vesting Tentative Subdivision Map for 21 months to February 14, 2026.
THE FOREGOING RESOLUTION WAS DULY AND REGULARLY ADOPTED at the Regular Meeting of the City Council of the City of Colfax held on the 22nd day of May 2024 by the following vote of the Council:
Item 3E. 52
City of Colfax 2
Resolution x-2024 Vista Oaks Vesting Tentative Subdivision Map Extension AYES:
NOES:
ABSTAIN:
ABSENT:
_________________________________________
Kim Douglass, Mayor
ATTEST:
____________________________________
Amanda Ahre, City Clerk
Item 3E. 53
City of Colfax Adopt Wastewater Rate Study and Establish Sewer Service Staff Report May 22, 2024 Charges
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Shanna Stahl, Administrative Services Officer Subject: Adopt Wastewater Rate Study and Establish Sewer Service Charges Budget Impact Overview:
N/A: √ Funded: Un-funded: Amount: Fund(s):
Summary/Background
The recommended action, if approved, will result in adjusting the City’s sewer service charges by a maximum of 2%, 3% or 4% per year per Equivalent Dwelling Unit (EDU) for the next five years. This will produce the following monthly sewer service rates:
FY 2024/2025 FY 2025/2026 FY 2026/2027 FY 2027/2028 FY 2028/2029 2% increase $ 145.93 $ 148.85 $ 151.83 $ 154.87 $ 157.97 3% increase $ 147.36 $ 151.78 $ 156.33 $ 161.02 $ 165.85 4% increase $ 148.79 $ 154.74 $ 160.93 $ 167.37 $ 174.06 Adoption of the proposed fee adjustments is subject to the procedural and substantive requirements of California Constitution Article XIIID, Section 6, commonly known as Proposition 218, and related implementing statutes.
The procedural requirements of Proposition 218 require the City to (1) identify all parcels upon which the sewer service charges will be imposed, (2) calculate the amount of the charges, (3) mail written notice to the record owner of all identified parcels, (4) conduct a public hearing on the proposed charges not less than 45 days after mailing the written notice, (5) consider all protests against the proposed rates and (6) decline to implement the proposed sewer service charges if a majority of the owners of the identified parcels file written protests.
The City timely complied with criteria (1) [identified affected parcels], (2) [calculated proposed rates] and (3) [mailed to written notice]. The process before Council this evening will involve conducting the public hearing, considering all valid written protests and, if a majority protest is not received, determining whether to adopt the proposed sewer service charges.
Proposition 218 and the Proposition 218 Omnibus Implementation Act provide guidance on how to calculate whether a majority protest exists: “One written protest per parcel, filed by an owner or tenant of the parcel, shall be counted in calculating a majority protest...”. See Government Code §53755. Staff will count the written protests received as of the close of the public hearing and determine whether a majority protest exists. If it does, there will be nothing more the Council can do on the proposed rates at this meeting. If a majority protest does not exist, Council will be asked to consider adopting the proposed sewer service charges.
The substantive provisions of Proposition 218 provide that (1) revenues derived from the rates cannot exceed the cost to provide the service, (2) revenues derived from the rates cannot be used for any purpose other than the purpose for which the rates are imposed, (3) the rates charged per parcel cannot exceed the proportional cost of RECOMMENDED ACTION: Conduct a public hearing, review and tabulate any valid protests received and, if there is not a majority protest adopt Resolution __-2024 adopting the City of Colfax Wastewater Rate Study and Establishing Sewer Service Charges for Fiscal Years 2024/2025, 2025/2026, 2026/2027, 2027/2028, and 2028/2029.
Item 6A. 54
City of Colfax Adopt Wastewater Rate Study and Establish Sewer Service Staff Report May 22, 2024 Charges
sewer services attributable to the parcel, (4) the charge may not be imposed unless sewer service is actually used by or immediately available to the owner of the parcel, and (5) no sewer service charge can be imposed for general governmental services.
Colfax engaged the services of Hansford Economic Consulting (HEC) to conduct an analysis of the City’s current sewer service charges to determine whether they are sufficient to fund operations. The outcome of the analysis was thoroughly reviewed by staff and discussed at various public meetings. HEC’s comprehensive rate analysis is submitted with this staff report.
Staff is available to answer any questions or provide additional information.
Attachments:
1. Hansford Economic Consulting Rate Study
2. Proposition 218 Notice
3. Resolution __-2024
Item 6A. 55
HEC No. 230401
Item 6A. 56
The following report was prepared by Hansford Economic Consulting LLC.
The analyses and findings contained within this report are based on primary data provided by the City of Colfax, as well as additional secondary sources of data available as of the date of this report. Updates to information used in this report could change or invalidate the findings contained herein. While it is believed that the primary and secondary sources of information are accurate, this is not guaranteed.
Every reasonable effort has been made in order that the data contained in this study reflect the most accurate and timely information possible. No responsibility is assumed for inaccuracies in reporting by the client, its consultants and representatives, or any other data source used in the preparation of this study. No warranty or representation is made that any of the projected values or results contained in this report will be achieved. There will usually be differences between forecasted or projected results and actual results due to changes in events and circumstances.
Changes in economic and social conditions that may negatively affect the findings of this report include, but are not limited to, economic recessions, major environmental problems, or natural disasters. Any applications for financing, or bond sales analyses, should re-evaluate the financial health and projection of revenues and expenses at the time of the application or preparation for bond sale.
Item 6A. 57
City of Colfax Wastewater Rate Study DRAFT FINAL Page i
TABLE OF CONTENTS
SECTION PAGE
1. Introduction 1
1.1 Study Background 1
1.2 Major Assumptions of the Study 3
1.3 Key Findings and Calculated Fees 5
1.4 Comparison of Current and Calculated Fees 7
2. City Customers and Financial Health 8
2.1 City Customers 8
2.2 Financial Health of the Wastewater Fund 9
3. Projected Revenue Requirement 13
3.1 Operating Costs 13
3.2 Capital Improvements and Debt Service 14
3.3 System Rehabilitation Costs 16
3.4 Projected Revenue Requirement and Rate Revenue 17
4. Cost of Service Wastewater Fee Calculations 20
4.1 Wastewater Fee Calculations 20
5. City and Customer Impacts 23
5.1 Operating Fund Cash Flow Projection 23
5.2 Wastewater Fund Ending Cash Balances 24
5.3 Residential Bill Impacts 27
Appendix A: Rate Study Support Tables
Item 6A. 58
City of Colfax Wastewater Rate Study DRAFT FINAL Page ii
LIST OF TABLES
TABLE PAGE
1 Calculated Maximum Wastewater Fee per EDU per Month 6 2 Customer Characteristics 9
3 Projected Growth in Wastewater EDUs 9
4 Historical Revenues and Expenses 10
5 Projected Wastewater System CIP Expenditures 14
6 State Water Board Grant-Funded Projects 15
7 Consolidation Efforts Preliminary Cost Estimate 15
8 Restructured SRF Loan Repayment 16
9 Projected Revenue Requirement and Rate Revenue (Alternative 1) 19 10 Calculated Cost per EDU Fiscal Year 2025 (Alternative 1) 20 11 Calculated Rates per EDU and Projected Annual Rate Revenues (Alternative 1) 21 12 Projected Operating Fund Cash Flow (Alternative 1) 23 13 Projected Wastewater Fund Ending Cash Balance (Alternative 1) 25
LIST OF FIGURES
FIGURE PAGE
1 Fee-Setting Process 2
2 Projected Cash Balances under Three Rate Alternatives 6 3 Projected Monthly Fees for a Home under Three Rate Alternatives 7 4 Wastewater Generation by Customer Group 8
5 Historical Operating Expenditures 11
6 Projected Revenue Requirement and Rate Revenues 18
7 Projected Monthly Wastewater Rate per EDU Alternative 1 21 8 Projected Monthly Fees per EDU under Three Rate Alternatives 22 9 Historical Wastewater Fund Ending Cash Balance 24
10 Projected Wastewater Fund Ending Cash Balance 26
11 Historical and Projected Wastewater Fund Cash Balances 26 12 Residential Regional Bill Comparison 27
Item 6A. 59
City of Colfax Wastewater Rate Study DRAFT FINAL Page 1 Section 1: INTRODUCTION
1.1 STUDY BACKGROUND
The City of Colfax (City) provides wastewater collection, treatment and disposal services to residents and businesses in the Colfax community. The City contracted with Hansford Economic Consulting LLC (HEC) to determine the level of funding required over the next five years to sufficiently fund service provision, and the fees to be collected from customers to achieve that level of funding. The wastewater financial model projects revenues and expenses and calculates required annual property-related fees by customer type to maintain revenue sufficiency.
The property-related fees (also called “rates” in the Study) are exempt from Proposition 26 but are subject to California Constitution Article XIII D (commonly referred to as Proposition 218) requirements for water, wastewater, and solid waste property-related fees.
This Study provides an explanation of, and justification for, calculated annual wastewater fees per Equivalent Dwelling Unit (EDU) through June 30, 2029, and documents adherence to the law regarding the setting of property-related fees by a City. Specifically, the California Constitution requires that the fees for wastewater service shall not be extended, imposed, or increased by any agency unless all the following requirements have been met:
(1) Revenues derived from the fee or charge shall not exceed the funds required to provide the property related service.
(2) Revenues derived from the fee or charge shall not be used for any purpose other than that for which the fee or charge was imposed.
(3) The amount of a fee or charge imposed upon any parcel or person as an incident of property ownership shall not exceed the proportional cost of the service attributable to the parcel.
(4) No fee or charge may be imposed for a service unless that service is used by, or immediately available to, the owner of the property in question. Fees or charges based on potential or future use of a service are not permitted. (5) No fee or charge may be imposed for general governmental services including, but not limited to, police, fire, ambulance, or library services, where the service is available to the public at large in substantially the same manner as it is to property owners.
Fee studies are typically conducted every three to five years to ensure revenue sufficiency. In addition, an important part of the fee study is a cost-of-service analysis, so that the study addresses not only revenue sufficiency, but also whether customers are paying for their Item 6A. 60
City of Colfax Wastewater Rate Study DRAFT FINAL Page 2 share of system costs, adjusting rates and customer classifications to achieve equity to the maximum extent practicable. The fee-setting cycle is illustrated in Figure 1 below. The City last adopted wastewater rates in June 2018, with the last rate increase effective July 1, 2022.
Figure 1
Fee-Setting Process
UTILITY
FEES
DETERMINE
REVENUE
REQUIREMENT
SELECT FEE
STRUCTURE
CALCULATE
FEES
IMPLEMENT
FEES
REVIEW
FEES
This report was prepared using principles established by the American Water Works Association (AWWA), the Water Environment Federation (WEF), and Government Finance Officers Association (GFOA). Standard rate-setting practices are described in the WEF Manual of Practice No. 27 and guidelines prepared by the California State Water Resources Control Board for State Revolving Fund financing. The GFOA publishes guidelines on sufficient cash balances for enterprise funds. Minimum cash balance targets for each utility fund in this Study are based on the GFOA guidelines.
The following four steps outline how wastewater rates are calculated such that the wastewater fees meet California’s legal requirements.
1. Establish the Wastewater Customer Base and User Characteristics – The wastewater customer base includes residential and commercial users. All users are counted in EDUs for purposes of fee-setting, as described in Section 2 of the Study. Section 2 also provides details on the current rate schedule and historical financial health of the City’s wastewater fund.
Item 6A. 61
City of Colfax Wastewater Rate Study DRAFT FINAL Page 3
2. Project Revenue Requirement – The revenue requirement is the amount of money to be raised from rates. The revenue requirement analysis compares the revenues of the utility to its operating and capital costs to determine the adequacy of existing rates to recover the utility’s costs. Components of revenue requirement include capital improvement costs, system rehabilitation costs, operations and maintenance costs, and operating reserve costs. Non-rate revenue credited against the projected costs include interest income, inspection fees, rent and late charges. Revenue requirement calculations are provided in Section 3 of the Study.
3. Allocate Revenue Requirement to Customer Types and Determine Cost per EDU – The revenue requirement is allocated to customer types based on flow (their number of EDUs). Section 4 of this Study describes the rate calculation methodology and determines projected rates per step 3.
Section 5 includes an analysis of the impact of the updated rates on customers, calculated fees, cash flow projection, and a comparison of bills with other regional communities and cities of comparable size.
Appendix A includes support tables for the wastewater rates analysis.
1.2 MAJOR ASSUMPTIONS OF THE STUDY
No Change to the Rate Structure
Most wastewater providers charge all properties that have paid their connection fees and have physically connected to the wastewater system, or are ready to connect, at least some portion of rates, depending on the fee structure used. The EDU fee structure, which is often used for smaller systems, charges properties that have purchased capacity in the wastewater system, whether or not they are currently using the service because the wastewater system must always be ready to receive wastewater flow from properties that have connected or are ready to connect to the system.
The City’s customer base has not changed significantly for many years and there are no industrial customers being served at the wastewater treatment plant. Wastewater strength is similar across all customers currently served. Pursuant to State Water Board guidance, it is reasonable to continue to charge the same fee per EDU across all customer categories.
What is an EDU? City Ordinance No. 475 defines an EDU as the average wastewater discharge from a Single Family Dwelling. For purposes of calculating sewerage system design parameters and comparing wastewater discharge from sewer service users other than single family dwellings, one EDU equals a domestic wastewater volume of 200 gallons per day, and 180 milligrams per liter maximum each, BOD and TSS, per day at average dry weather flow rates. One EDU is further considered to generate domestic wastewater, carrying a minimal to moderate load of nonhazardous contaminants such as common household cleaning and maintenance products.
Item 6A. 62
City of Colfax Wastewater Rate Study DRAFT FINAL Page 4 Growth
Historical growth of 0.25% per year is included in the 5-year rate model. The growth rate increases the number of wastewater EDUs by three per year.
Potential Consolidation of Shady Glen - Feasibility Analysis Included but Construction not assumed in 5-Year Projection
A feasibility study is proposed for consolidation of the Shady Glen community and its surrounding area with the City’s wastewater system. The costs associated with the feasibility study (planning), which would be grant-funded by the State, are included in the cost projection for the next five years as those costs impact cash flow.
If the project is determined to be feasible, and construction is to start before the end of fiscal year 2029, the City will be required to undertake a rate study as part of its financial analysis prepared for the State, and possibly the Local Agency Formation Commission (LAFCO).
Construction is not assumed to take place in the 5-year projection.
No New Debt
It is assumed that all operating and capital costs will be paid for with fees and cash reserves, as well as State grants, and that no new debt will be incurred in the next 5-year period.
Three Financial Criteria
The rates are calculated with three financial criteria in mind:
1. General operating cash reserves of at least 75% of operating expenses (9 months of operating costs) shall always be maintained.
2. A minimum $950,000 shall be kept in restricted and designated reserves to cover the SRF loan reserve requirement of $439,000 plus at least $500,000 for capital projects.
3. Every year, the net operating income will exceed debt service by at least 1.25.
Three Rate Alternatives
Wastewater fees for next five fiscal years have been calculated for three rate alternatives.
The calculated rates are the maximum that could be imposed. If adopted rates produce revenues that are greater than needed in future years, the City could freeze rates, or even lower rates, or could put aside funds for a dedicated purpose, including rate stabilization.
How is an EDU determined? EDUs are assigned by the City at time of application for service, depending on the intended use(s) of the property. The number of EDUs are reviewed upon change in building use and/or application for building alterations.
Item 6A. 63
City of Colfax Wastewater Rate Study DRAFT FINAL Page 5 Alternative 1: The revenue requirement, and three financial criteria, are met over the next 5 years by applying a 4.00% rate increase each year. The City stops collecting rates for system rehabilitation because sufficient cash reserves have been accumulated. The total cash balance is projected to increase $400,000 to $500,000 over the next five years, depending on the number of customers added to the wastewater system.
Alternative 2: Rates are increased 3.00% each year to meet the revenue requirement and ensure the three financial criteria are met. As with alternative 1, no additional cash is generated over the next 5 years to fund system rehabilitation. The total cash balance is projected to remain about the same between the end of fiscal years 2023 and 2029.
Alternative 3: The three financial criteria to remain fiscally healthy are met over the next 5 years by applying a 2.00% rate increase each year. The City does not fully fund the revenue requirement and draws on cash reserves to pay for a portion of capital project costs. Cash reserves of about $155,000 are drawn down to pay for a portion of repairs needed in the next 5 years.
1.3 KEY FINDINGS AND CALCULATED FEES
Key Findings
This Study makes the following key findings:
• Cost of service has been distributed among customers proportionately using City Ordinance 475’s definition of EDUs.
• It is projected that, with implementation of any of the three alternative fee schedules, the City will be able to pay for all projected costs in the five-year period, meet the obligations of its SRF loan, and maintain sufficient reserves to pay for studies and construction of State-funded projects which costs will be reimbursed.
Figure 2 shows the projected total cash balances under the three rate alternatives. The minimum cash balance target of $950,000 is shown by the black line. A minimum implies that cash balances should be greater than that amount. When cash balance is greater than the minimum, funds are held for designated purposes, such as rate stabilization, emergency repairs, and so forth.
It is important to note that the cash balance is not lower at the end of the 5-year period, even under rate alternative 3, because of the addition of connection fees (which cannot be used to fund rehabilitation), and reimbursements by the State for grant-funded projects the City has been paying for during fiscal year 2024. As shown by the blue line in Figure 2, cash balance by the end of fiscal year 2029 is projected to be about the same as at the beginning of fiscal year 2024 under alternative 2.
Item 6A. 64
City of Colfax Wastewater Rate Study DRAFT FINAL Page 6 Figure 2
Projected Cash Balances under Three Rate Alternatives
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
2025 2026 2027 2028 2029
Alt. 1 Rate (4.00%) Alt. 2 Rate (3.00%)
Alt. 3 Rate (2.00%) Min. Target Reserve
Beginning FY2024
Calculated Rates
The current wastewater fee per EDU is $143.07 per month. The calculated maximum monthly wastewater fee per EDU for the next five fiscal years is shown in Table 1 for the three rate alternatives.
Table 1
Calculated Maximum Wastewater Fee per EDU per Month
Scenario FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Alternative 1 (4.00%) $148.79 $154.74 $160.93 $167.37 $174.06 Alternative 2 (3.00%) $147.36 $151.78 $156.33 $161.02 $165.85 Alternative 3 (2.00%) $145.93 $148.85 $151.83 $154.87 $157.97 Item 6A. 65
City of Colfax Wastewater Rate Study DRAFT FINAL Page 7
1.4 COMPARISON OF CURRENT AND CALCULATED FEES
Figure 3 shows the projection of monthly fees for a single family home over the next five years under the three rate alternatives.
Figure 3
Projected Monthly Fees for a Home under Three Rate Alternatives $148.79
$154.74
$160.93
$167.37
$174.06
$147.36
$151.78
$156.33
$161.02
$165.85
$145.93
$148.85
$151.83
$154.87
$157.97
$143.07
$120
$130
$140
$150
$160
$170
$180
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Alt. 1 Rate (4.00%) Alt. 2 Rate (3.00%)
Alt. 3 Rate (2.00%) Current Rate
Item 6A. 66
City of Colfax Wastewater Rate Study DRAFT FINAL Page 8 Section 2: CITY CUSTOMERS AND FINANCIAL HEALTH
2.1 CITY CUSTOMERS
RATE METHODOLOGY STEP 1
Establish the Wastewater Customer Base and User Characteristics The City provides wastewater service to about 760 accounts, which together comprise about 2,150 equivalent dwelling units (EDUs). The City’s historical population and housing unit estimates are shown in Table A-1 in Appendix A.
The City’s customers send, on average, about 250,000 gallons of untreated wastewater to the wastewater treatment plant each day. Residential customers generate approximately 70% of the flow. Figure 4 shows the contributing flow to the wastewater treatment plant from each customer group.
Figure 4
Wastewater Generation by Customer Group
Residential
70%
Commercial
21%
Institutional
9%
Table 2 shows the City’s customer characteristics and the flow and load factors that are used in the rate study to allocate the revenue requirement among the customers. Because the wastewater characteristics are assumed generally the same across all customer types, total revenue requirement is divided by total number of EDUs each year.
Over the next 5 years, it is estimated that the City will add 3 EDUs per year to the wastewater system, as shown in Table 3.
Item 6A. 67
City of Colfax Wastewater Rate Study DRAFT FINAL Page 9 Table 2
Customer Characteristics
Customer Number
Category EDUs Flow BOD SS
GPD MG/L MG/L
(A) (B) (C) (D)
Residential
Single Family 601.14 200 180 180
Multi-Unit 280.00 200 180 180
Commercial
All Commercial 258.50 200 180 180
Institutional
Church 15.00 200 180 180
Government 10.08 200 180 180
Railroad 30.00 200 180 180
School 58.30 200 180 180
TOTAL 1,253.02
Source: City of Colfax municipal code 13.080.090 and customer database as of June 2023.
Wastewater Characteristics
Table 3
Projected Growth in Wastewater EDUs
Item 2023 FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Growth Assumption --> 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% Sewer EDUs 1,250 1,253 1,256 1,259 1,263 1,266 1,269
Increase in EDUs 3 3 3 3 3 3
Source: City of Colfax and HEC, December 2023.
2.2 FINANCIAL HEALTH OF THE WASTEWATER FUND
Table 4 summarizes the City’s historical revenues and expenditures. The table excludes depreciation, which is a non-cash item. Every year for the past five fiscal years, the City has had positive net income.
About 95% of the City’s revenues are from wastewater service charges. All accounts pay a minimum of one EDU per month, regardless of whether the home or business space is currently occupied or vacant. Other sources of operating revenue include inspection fees, interest income, late charges, and miscellaneous revenue.
Item 6A. 68
City of Colfax Wastewater Rate Study DRAFT FINAL Page 10 Table 4
Historical Revenues and Expenses
Revenues and
Expenses 2019 2020 2021 2022 2023
Operating Revenues
Service Charges $1,928,185 $2,172,280 $2,162,840 $2,142,729 $2,140,645 Miscellaneous $285,442 $41,394 $37,103 $39,277 $42,962
Subtotal Operating Revenues $2,213,627 $2,213,674 $2,199,943 $2,182,006 $2,183,607 Operating Expenses
Personnel Services $517,004 $631,044 $528,960 $507,856 $695,223 Operation and Maintenance $567,658 $576,231 $685,005 $662,186 $851,747 Subtotal Operating Expenses $1,084,662 $1,207,275 $1,213,965 $1,170,042 $1,546,970 Net Operating Income $1,128,965 $1,006,399 $985,978 $1,011,964 $636,637 Non-Operating Revenues (Expenses)
Insurance Reimbursements $0 $0 $191,446 $17,437 $0
Interest Income $58,707 $54,363 $17,333 $12,791 $72,438 Rental Income $0 $3,000 $3,000 $3,000 $3,000
Other Income $0 $0 $35,737 $58,000 $0
Interest Expense ($80,403) ($76,817) ($73,195) ($69,537) ($65,844) Subtotal Non-Operating Revenues ($21,696) ($19,454) $174,321 $21,691 $9,594 Capital Contributions
State Grant $5,255 $280,246 $162,042 $1,085,387 $1,721,175 Transfers In (grants) $0 $0 $286 $196,392 $304,294
Transfers Out $0 $0 $0 $0 $0
Net Income $1,112,524 $1,267,191 $1,322,627 $2,315,434 $2,671,700 Capital Activities
Capital Expenditures $100,438 $316,597 $702,156 $1,317,073 $2,135,261 Debt Service Principal $356,196 $359,760 $363,354 $366,991 $370,659 Settlements / Other $25,602 $0 $0 $0 $0
Subtotal Capital Activities $482,236 $676,357 $1,065,510 $1,684,064 $2,505,920 Net Income after Capital Expenses $630,288 $590,834 $257,117 $631,370 $165,780 Source: City of Colfax finance department.
Fiscal Year Ending
Figure 5 illustrates that management of the wastewater system comprises approximately 47% of the total annual costs. Repairs and maintenance comprise 16% of the annual costs, and occupancy, which comprises power costs, building repairs and security, comprise 14% of total annual costs.
Item 6A. 69
City of Colfax Wastewater Rate Study DRAFT FINAL Page 11 Figure 5
Historical Operating Expenditures
Personnel
47%
Supplies &
Equipment
Communications 16%
1%
Contract
Services
10%
Occupancy
14%
All Other
12%
Reserves
The City is expected to have approximately $1.76 million in unrestricted reserves and $1.83 million in restricted or designated reserves at the end of this fiscal year, June 30th, 2024.
Reserves are necessary for several reasons, to:
• Serve cash flow needs
• Pay for emergency and unplanned necessary repairs
• Accumulate for system rehabilitation (planned improvements) • Provide rate stabilization
The GFOA offers the following guidelines for a wastewater provider to determine its cash reserve needs.
“The maintenance of reserves can be defined generally as the maintenance of cash or financial capabilities to meet unknown changes in the budgets and financial needs of a utility. These needs could arise from new laws and regulations, natural disasters, operating emergencies, financial losses in earning potential from idle cash, drop in economic conditions in the service area or the state, insurance losses, litigation, revenue collection process breakdowns, and operating emergencies in the service area. These needs may vary according to the types and designations of the funds collected or expenses require, thereby necessitating different policies for varying areas or funds of an agency’s operation.”1
1 Page 35, Financing and Charges for Wastewater Systems, Manual of Practice No. 27.
Item 6A. 70
City of Colfax Wastewater Rate Study DRAFT FINAL Page 12 “The utility should identify the drivers affecting [its] financial activities. It should determine the maximum length of time that it might have to operate without the revenue or expense and then determine the cumulative dollar value for this period of time.”2 While each utility needs to assess its risks on an individual basis using knowledge of the current status of infrastructure, regulatory requirements, cash flow “bumps” and so forth, there are some general guidelines to measure what a prudent reserve would be for the utility. The GFOA best practice is to start with a baseline of 90 days of operating expenses and adjust depending on local circumstance. GFOA guidelines to adjust the target for local circumstances include:
• Frequency of revenue collection – The City’s wastewater fund has predictable, steady revenues – this lowers the cash flow concern.
• Diversity of the customer base – timely payments and cash flow is less of a concern with a diverse customer base. Colfax’s customer base is becoming more diverse as it grows; however, it is predominantly a residential community. • Unpredictable weather events – large weather events can cause need for costly emergency work. Colfax does experience snow and flood events, and large wildfires in the region in recent years should be considered. In the case of major environmental disaster, government funding relief may be found for rebuilding the wastewater system, but these sources of funding will not cover loss of rate revenues.
• Ever-increasing California environmental standards / requirements for wastewater treatment – may require new infrastructure and/or monitoring expenses. The City has been subject to large increased costs due to environmental concerns in the past. • Rate stabilization – raising rates is unappealing; especially with a small customer base such as the City’s. When there are sufficient reserves, more gradual rate increases can be introduced.
This rate study makes the following cash reserve recommendations, which are two of three financial criteria used in the rate model:
• Maintain general operating cash reserves of at least 75% of operating expenses (9 months of operating costs).
• Keep a minimum $950,000 in restricted and designated reserves to cover the SRF loan reserve requirement of $439,000 plus at least $500,000 for capital projects. 2 Page 37, Financing and Charges for Wastewater Systems, Manual of Practice No. 27.
Item 6A. 71
City of Colfax Wastewater Rate Study DRAFT FINAL Page 13 Section 3: PROJECTED REVENUE REQUIREMENT
RATE METHODOLOGY STEP 2
Project the Revenue Requirement and Allocate to Collection and Treatment Costs The revenue requirement is the amount to be raised by wastewater fees. The projection of the revenue requirement is the cornerstone for calculation of rates. This section explains the derivation of the revenue requirement for this Study.
Components of the revenue requirement include:
• Operating Expenses
• Debt Service
• System Rehabilitation
• Capital Project Costs (new facilities and expansion of existing facilities) Non-wastewater fees revenue projections are credited against projected costs. Nonwastewater fee revenues include inspection fees, interest income, late charges, and miscellaneous revenue.
3.1 OPERATING COSTS
Operating expenses are projected based on fiscal year 2024 budgeted expenditures and conversations with City staff regarding adjustments for the next five-year period. Operating expenses include annual costs for personnel (including benefits), professional and contract services, treatment plant operations and maintenance, collection system and other wastewater facilities operations and maintenance, utilities, facilities equipment, tools, subscriptions, and supplies. Operating expenses are budgeted at $1.5 million in fiscal year 2024.
Appendix Table A-2 shows how City expenses have increased annually, on average, compared with the San Francisco Engineering News Record Construction Cost Index (ENR CCI) and the West Region Consumer Price Index (CPI). Overall, the City’s annual operating expenses increased 8.2% per year for the last five years compared with 5.0% for the San Francisco ENR CCI and 4.2% for the West Region CPI. It is typical for utility costs to increase at a greater pace than these two indices. The rate study increases each of the operating cost categories by 4.0% to 5.0% each year over the next five years in anticipation of inflationary cost increases.
Appendix Tables A-3 through Table A-5 provide detail of historical revenues and expenses by treatment plant, collection system, and debt service financial components of the wastewater fund.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 14
3.2 CAPITAL IMPROVEMENTS AND DEBT SERVICE
The City anticipates needing many capital improvements at the wastewater treatment plant as well as replacement of pumps at four lift stations over the next five years. Table 5 summarizes the estimated costs of wastewater projects in the City’s Capital Improvement Plan (CIP), as provided by City staff. All the costs shown in the table are in inflated dollars (the amount that the improvement would cost at the time it is constructed). In total, it is estimated that the improvements will cost about $1.60 million. All these costs are the responsibility of existing customers because all the listed improvements will be used to serve existing customers. Table A-6 and Table A-7 in Appendix A provide supporting information for the wastewater system CIP.
Table 5
Projected Wastewater System CIP Expenditures
Description Total FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Treatment Plant $1,332,180 $143,855 $162,562 $301,600 $204,162 $520,000 Ponds $64,480 $52,000 $0 $0 $12,480 $0
Lift Stations $208,000 $0 $52,000 $52,000 $52,000 $52,000 Total System CIP $1,604,660 $195,855 $214,562 $353,600 $268,642 $572,000 Source: City of Colfax February 2024.
inflated dollars
Table 6 summarizes State Water Board grant-funded projects, which include major upgrades to the collection system, algae reduction treatment and the treatment plant. These two projects are estimated to cost just under $10.0 million.
In addition to these known projects, the City is working with the State Water Resources Control Board and LAFCO on potential consolidation of wastewater customers in and around Shady Glen. This latter project would be a long-term project; however, significant planning costs could be incurred in the next five-year period for a feasibility study. Although it is anticipated that costs associated with the feasibility study will also be grant-funded, the City would have to pay costs first and be reimbursed by the State. As such, the City must ensure it has sufficient cash flow to carry associated consolidation feasibility study costs. Preliminary cost estimates for consolidation planning and construction are shown in Table 7.
Construction is not assumed to take place in the 5-year projection.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 15 Table 6
State Water Board Grant-Funded Projects
Improvement Project
2023 Bid Amount
[1]
Collection System
Inflow & Infiltration Mitigation $5,225,633
Treatment Plant
Algae Reduction $4,564,224
Total Grant-Funded Projects $9,789,857
Source: City of Colfax, January 2024.
[1] Includes contingencies.
Table 7
Consolidation Efforts Preliminary Cost Estimate
Category Cost Estimate [1]
Colfax Planning $3,590,000
Shady Glen Planning $2,230,000
Preliminary Planning Cost $5,820,000
Construction Cost Estimate $46,970,000
Source: Wood Rodgers, Project Engineer, January 2024.
[1] Costs include inflation.
Debt
The City has a State Revolving Fund (SRF) loan with the State Water Resources Control Board. The loan was restructured in 2017. The scheduled loan repayments are shown in Table 8. The State requires the City hold $439,000 in a restricted reserve account, which can be drawn upon if the City has insufficient funds to make a payment.
A debt service coverage of 1.25 provides the third financial criterion to be met in the rate model. This is the debt service coverage typically required for revenue bonds. Each year, the net operating income should exceed debt service by at least 1.25.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 16 Table 8
Restructured SRF Loan Repayment
FY Ending Principal Interest Total
Accrued
Interest
Outstanding
Principal
2024 $374,366 $64,608 $438,974 $64,608 $6,086,395
2025 $378,110 $60,864 $438,974 $60,864 $5,708,285
2026 $381,891 $57,083 $438,974 $57,083 $5,326,394
2027 $385,710 $53,264 $438,974 $53,264 $4,940,684
2028 $389,567 $49,407 $438,974 $49,407 $4,551,117
2029 $393,463 $45,511 $438,974 $45,511 $4,157,654
2030 $397,397 $41,577 $438,974 $41,577 $3,760,257
2031 $401,371 $37,603 $438,974 $37,603 $3,358,886
2032 $405,385 $33,589 $438,974 $33,589 $2,953,501
2033 $409,439 $29,535 $438,974 $29,535 $2,544,062
2034 $413,533 $25,441 $438,974 $25,441 $2,130,529
2035 $417,669 $21,305 $438,974 $21,305 $1,712,861
2036 $421,845 $17,129 $438,974 $17,129 $1,291,015
2037 $426,064 $12,910 $438,974 $12,910 $864,952
2038 $430,324 $8,650 $438,974 $8,650 $434,627
2039 $434,627 $4,346 $438,974 $4,346 $0
Source: SWRCB Payment Schedule, September 15, 2022.
Loan Terms: 25 years repayment period, 1.00% interest.
Total Funding $12,989,267
Principal Forgiveness $3,319,000
Loan $9,670,267
Payment due October 31
3.3 SYSTEM REHABILITATION COSTS
Depreciation is used as the basis for which to collect rates to cover system rehabilitation costs. Collecting for system rehabilitation in the rates allows the City to replace assets as they outlive their useful lives. Depreciation is approximately $770,000 per year for the wastewater system. In fiscal year 2024, the City is funding approximately 15% of annual depreciation.
The level of funding of depreciation significantly influences the level of wastewater rates.
While it is important to include replacement of assets in rates, most entities do not include 100% depreciation in their rates because of the ability to obtain low-cost financing, or even grants, when the need arises to undertake the rehabilitation or replacement work. Another reason rehabilitation costs may be only partially recovered, or not recovered in rates is when Item 6A. 75
City of Colfax Wastewater Rate Study DRAFT FINAL Page 17 much of the system is currently being repaired and improved, or when the city has built up cash reserves that are greater than targeted and can prudently be drawn on. City Council was presented with a rate alternative that would continue to fund depreciation at 15% at its regular meeting February 28, 2024. The Council directed staff and the consultant to continue with rate alternatives that do not fund depreciation in the next five years.
Although the rate alternatives presented in this report do not fund depreciation, the City is continuing to designate about $37,000 each year for replacement of short-lived assets (assets with a useful life of 15 years or less). Under each alternative, end of year net revenues greater than 9 months of operating costs are transferred to designated and restricted reserves and may be used for capital improvements costs.
The three rate alternatives are:
Alternative 1: The revenue requirement, and three financial criteria, are met over the next 5 years by applying a 4.00% rate increase each year. The City stops collecting rates for system rehabilitation because sufficient cash reserves have been accumulated. The total cash balance is projected to increase $400,000 to $500,000 over the next five years, depending on the number of customers added to the wastewater system.
Alternative 2: Rates are increased 3.00% each year to meet the revenue requirement and ensure the three financial criteria are met. As with alternative 1, no additional cash is generated over the next 5 years to fund system rehabilitation. The total cash balance is projected to remain about the same between the end of fiscal years 2023 and 2029.
Alternative 3: The three financial criteria to remain fiscally healthy are met over the next 5 years by applying a 2.00% rate increase each year. The City does not fully fund the revenue requirement and draws on cash reserves to pay for a portion of capital project costs. Cash reserves of about $155,000 are drawn down to pay for a portion of repairs needed in the next 5 years.
3.4 PROJECTED REVENUE REQUIREMENT AND RATE REVENUE
Table 9 estimates the revenue requirement for the next five years. The revenue requirement is projected to increase to account for increases in some cost categories that are anticipated to increase by more than inflation, for inflation, to fund capital expenditures, and to make SRF debt service payments. Non-rate revenue is credited against the estimated annual costs.
Non-rate revenue is held constant due to variability in these revenues given the health of the local and national economy. The revenue requirement is projected to increase from $2.03 million in fiscal year 2024 to $2.16 million in fiscal year 2025. By year five, the revenue requirement is projected to be $2.85 million.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 18 Calculated Rates. Using the revenue requirement projection, wastewater rates would need to increase different percentages each year; however, it is preferable to adopt equal percentage rate increases each year. Under each of the three rate alternatives, the City would be able to pay for projected costs and meet the three financial criteria of the rate study:
1. General operating cash reserves of at least 75% of operating expenses (9 months of operating costs) shall always be maintained.
2. A minimum $950,000 shall be kept in restricted and designated reserves to cover the SRF loan reserve requirement of $439,000 plus at least $500,000 for capital projects.
3. Every year, the net operating income will exceed debt service by at least 1.25.
Figure 6 illustrates projected rate revenue without rate increases, the projected revenue requirement, and the amount projected raised by rates under alternative 1 (4.00% rate increase each year). In some years, the rate revenue will exceed costs, and in other years it will produce less than needed to pay costs; however, over the total 5-year period, the revenues will pay for total costs included in the revenue requirement.
Figure 6
Projected Revenue Requirement and Rate Revenues
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Revenue Requirement Increased Rates Revenue
Revenue No Rate Increase
Under alternative 2, rates raise about $340,000 less than the projected 5-year revenue requirement. Under alternative 3, rates raise about $685,000 less than the projected revenue requirement.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 19 Table 9
Projected Revenue Requirement and Rate Revenue (Alternative 1) Expenses and Inflation FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Credits Factor Budget 1 2 3 4 5
Treatment Plant Operating Expenses
Personnel 5.0% $537,146 $564,003 $592,203 $621,813 $652,904 $685,549 Supplies & Equipment 5.0% $229,000 $240,450 $252,473 $265,096 $278,351 $292,268 Communications 4.0% $10,100 $10,504 $10,924 $11,361 $11,816 $12,288 Contract Services 4.5% $86,500 $90,393 $94,460 $98,711 $103,153 $107,795 Resource Development 4.0% $7,000 $7,280 $7,571 $7,874 $8,189 $8,517 Occupancy 4.0% $193,500 $201,240 $209,290 $217,661 $226,368 $235,422 Miscellaneous 4.0% $161,500 $167,960 $174,678 $181,666 $188,932 $196,489 Subtotal Treatment Plant $1,224,746 $1,281,829 $1,341,599 $1,404,182 $1,469,712 $1,538,329 Collection System Operating Expenses
Personnel 5.0% $178,267 $187,180 $196,539 $206,366 $216,685 $227,519 Supplies & Equipment 5.0% $25,100 $26,355 $27,673 $29,056 $30,509 $32,035 Communications 4.0% $2,600 $2,704 $2,812 $2,925 $3,042 $3,163 Contract Services 4.5% $20,500 $21,423 $22,387 $23,394 $24,447 $25,547 Occupancy 4.0% $25,000 $26,000 $27,040 $28,122 $29,246 $30,416 Miscellaneous 4.0% $24,000 $24,960 $25,958 $26,997 $28,077 $29,200 Subtotal Collection System $275,467 $288,622 $302,409 $316,860 $332,005 $347,880 Capital Expenses
Capital Improvements Table 5 $26,310 $195,855 $214,562 $353,600 $268,642 $572,000 System Rehabilitation [1] 4.0% $115,474 $0 $0 $0 $0 $0
Capital Expenses in Rates $141,784 $195,855 $214,562 $353,600 $268,642 $572,000 Debt Service
SRF WWTP Table 8 $438,974 $438,974 $438,974 $438,974 $438,974 $438,974 Subtotal Debt Service $438,974 $438,974 $438,974 $438,974 $438,974 $438,974 Total Costs $2,080,970 $2,205,280 $2,297,545 $2,513,616 $2,509,334 $2,897,182 Credits
Inspection Fees constant $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 Interest Income constant $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 Rent constant $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 Interest/Late Charges constant $23,000 $23,000 $23,000 $23,000 $23,000 $23,000 Subtotal Credits $46,000 $46,000 $46,000 $46,000 $46,000 $46,000 Revenue Requirement $2,034,970 $2,159,280 $2,251,545 $2,467,616 $2,463,334 $2,851,182 Amount Raised by Rates [2] $2,151,450 $2,243,059 $2,338,589 $2,438,219 $2,542,130 $2,650,351 Source: City of Colfax and HEC, March 2024.
[1] System rehabilitation currently funds 15% of depreciation. [2] Budgeted rate revenue for fiscal year 2024 is $2,202,349. The rates model projects lower revenue for this year.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 20 SECTION 4: COST OF SERVICE WASTEWATER FEE CALCULATIONS
4.1 WASTEWATER FEE CALCULATIONS
RATE METHODOLOGY STEP 3
Allocate Revenue Requirement to Customer Types and Determine Cost per EDU The amount to be raised by rates is allocated among customer types according to EDU count by customer type. Total allocated cost to each customer category and the calculated fee per EDU for fiscal year 2025 are shown in Table 10 below for alternative 1. Residential customers are responsible for 70% of the total costs. Commercial and institutional customers are responsible for the remaining 30% of cost.
Table 10
Calculated Cost per EDU Fiscal Year 2025 (Alternative 1) Customer Percentage No. of Cost
Type of Cost EDUs per EDU
Residential per month
Single Family $1,079,140 48% 604.40 $148.79
Multi-Unit $499,934 22% 280.00 $148.79
Subtotal Residential $1,579,075 70%
Commercial
All Commercial $461,547 21% 258.50 $148.79
Institutional
Church $26,782 1% 15.00 $148.79
Government $17,998 1% 10.08 $148.79
Railroad $53,564 2% 30.00 $148.79
School $104,093 5% 58.30 $148.79
TOTAL $2,243,059 100% 1,256.28 $148.79
Number of EDUs 1,256
Fee per EDU per Month $148.79
Source: HEC March 2024.
Amount to be
Raised by Rates
The projected monthly wastewater rates per EDU for the next five fiscal years are shown in Figure 7. Most rate revenues pay for treatment plant operating and capital costs. The calculations of rate per EDU, the portion of rates supporting the treatment plant, collection system, and debt service, and annual wastewater rate revenues under rate alternative 1 (4.00% fee increase each year) are shown in Table 11.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 21 Figure 7
Projected Monthly Wastewater Rate per EDU Alternative 1 $143.07 $148.79 $154.74 $160.93 $167.37 $174.06
$0
$20
$40
$60
$80
$100
$120
$140
$160
$180
$200
FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Treatment Plant Collection System Debt Service
Table 11
Calculated Rates per EDU and Projected Annual Rate Revenues (Alternative 1) Item FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Annual Rates percentage increase 3.00%
Monthly Rate per EDU $143.07 $147.36 $151.78 $156.33 $161.02 $165.85 Treatment Plant $91.07 $98.74 $99.37 $106.09 $108.21 $117.83 Collection System $20.05 $19.29 $23.41 $22.94 $24.64 $22.89 Debt Service $31.95 $29.33 $29.00 $27.30 $28.17 $25.13
Number of EDUs 1,253.15 1,256.28 1,259 1,263 1,266 1,269 Est. New Rates Revenue $2,151,450 $2,221,501 $2,293,855 $2,368,525 $2,445,682 $2,525,341 Revenue Requirement $2,034,970 $2,159,280 $2,251,545 $2,467,616 $2,463,334 $2,851,182 Rates Rev. less Rev. Req't $116,479 $62,221 $42,310 ($99,090) ($17,652) ($325,842) Five-Year Total (2025-2029) Revenue Requirement $12,192,956 Five-Year Total (2025-2029) Rate Revenue $11,854,904
Source: HEC March 2024.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 22 The calculated monthly fees per EDU over the next five years under the three rate alternatives are illustrated in Figure 8.
Figure 8
Projected Monthly Fees per EDU under Three Rate Alternatives $148.79
$154.74
$160.93
$167.37
$174.06
$147.36
$151.78
$156.33
$161.02
$165.85
$145.93
$148.85
$151.83
$154.87
$157.97
$143.07
$120
$130
$140
$150
$160
$170
$180
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Alt. 1 Rate (4.00%) Alt. 2 Rate (3.00%)
Alt. 3 Rate (2.00%) Current Rate
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 23 SECTION 5: CITY AND CUSTOMER IMPACTS
5.1 OPERATING FUND CASH FLOW PROJECTION
The projected operating fund cash flow, assuming the calculated fee revenues are collected under rate alternative 1, is presented in Table 12. This table shows two of the three financial criteria being met:
1. Maintaining a debt service coverage ratio of at least 1.25.
2. At least 9 months of operating expenses in reserve.
Table 12
Projected Operating Fund Cash Flow (Alternative 1)
Revenues and FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Expenses 1 2 3 4 5
Revenues
Rate Revenue [1] $2,151,450 $2,243,059 $2,338,589 $2,438,219 $2,542,130 $2,650,351 Inspection Fees $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 Interest Income $10,000 $10,000 $10,000 $10,000 $10,000 $10,000 Rent $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Interest/Late Charges $23,000 $23,000 $23,000 $23,000 $23,000 $23,000 Total Revenues $2,197,450 $2,289,059 $2,384,589 $2,484,219 $2,588,130 $2,696,351 Operating Expenses
Treatment Plant $1,224,746 $1,281,829 $1,341,599 $1,404,182 $1,469,712 $1,538,329 Collection System $275,467 $288,622 $302,409 $316,860 $332,005 $347,880 Total Operating Expenses $1,500,213 $1,570,451 $1,644,008 $1,721,042 $1,801,717 $1,886,209 Net Income $697,237 $718,608 $740,581 $763,177 $786,413 $810,143 Debt Service $438,974 $438,974 $438,974 $438,974 $438,974 $438,974 Debt Service Coverage 1.59 1.64 1.69 1.74 1.79 1.85
Net Operating Revenue $258,263 $279,634 $301,607 $324,204 $347,439 $371,169 Beginning Operations Cash Balance $2,036,738 $1,757,877 $1,180,387 $1,234,870 $1,291,950 $1,352,264 plus Net Operating Revenue $258,263 $279,634 $301,607 $324,204 $347,439 $371,169 Ending Operations Cash (Unrestricted) $2,295,001 $2,037,511 $1,481,994 $1,559,074 $1,639,388 $1,723,434 Transfer to Operating Reserve ($50,000) ($50,000) ($50,000) ($50,000) ($50,000) ($50,000) Transfer to Short-Lived Asset Reserve [2] ($37,124) ($37,124) ($37,124) ($37,124) ($37,124) ($37,124) Transfer to Capital Reserve ($450,000) ($770,000) ($160,000) ($180,000) ($200,000) ($220,000) Ending Balance Operations Cash $1,757,877 $1,180,387 $1,234,870 $1,291,950 $1,352,264 $1,416,310 Months of Operating Expenses 14.06 9.02 9.01 9.01 9.01 9.01 Target Minimum Cash $1,125,160 $1,177,839 $1,233,006 $1,290,781 $1,351,288 $1,414,656 Source: City of Colfax financial records and HEC, March 2024. [1] Budgeted rate revenue for fiscal year 2024 is $2,202,349. The rates model projects lower revenue for this year. [2] Per the requirement of the USDA Letter of Conditions attached to the SRF loan.
If rates are increased 4.00% each year, all operating costs and debt service are paid for; the remaining cash is kept in the operating fund to maintain at least 9 months of operating expenses. When cash exceeds what is necessary to maintain at least 9 months of operating expenses, it is transferred out to other unrestricted and designated funds that support capital expenditures of the wastewater fund.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 24 Transfers include (a) $37,124 each year to fund the short-lived assets of the system, per the City’s USDA Letter of Conditions attached to the SRF loan, (b) $50,000 each year to an operating reserve that may be used for any purpose, such as emergency repairs, and (c) variable transfers each year to pay for the City’s CIP.
5.2 WASTEWATER FUND ENDING CASH BALANCES
Historical ending cash balances for the wastewater fund are provided in Appendix A Table A8 and are illustrated in Figure 9. The City has been accumulating cash in anticipation of capital expenditures to replace worn assets and upgrade facilities to meet current State regulations.
Figure 9
Historical Wastewater Fund Ending Cash Balance
$2,062,000
$2,711,000
$3,223,000 $3,313,000
$3,893,000 $4,035,000
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
2018 2019 2020 2021 2022 2023
Fiscal Year Ending
Unrestricted Restricted or Designated
The projected cash balances of the wastewater fund, including the operating fund, capital funds, and temporary funds set up for State grant-funded projects, are shown in Table 13 for alternative 1.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 25 Table 13
Projected Wastewater Fund Ending Cash Balance (Alternative 1) Project Total FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Description 1 2 3 4 5
$1,559,340 $1,387,759 $608,982 $2,299,814 $2,825,985 $2,884,178 Estimated Drawdowns [1]
Consolidation Project (Planning) $5,820,000 $0 $2,037,000 $2,037,000 $1,746,000 Consolidation Construction $0 $0 $0
Collection System I&I $5,225,633 $1,567,690 $3,657,943
WWTP Algae Reduction Project $4,564,224 $1,825,690 $2,738,534 Subtotal Estimated Drawdowns $15,609,857 $3,393,380 $8,433,478 $2,037,000 $1,746,000 $0 $0 Estimated Reimbursements
Consolidation Project (Planning) $5,820,000 $300,000 $1,200,000 $2,000,000 $2,320,000 Consolidation Construction $0 $0 $0
Collection System I&I $5,225,633 $1,097,383 $3,292,149 $836,101 WWTP Algae Reduction Project $4,564,224 $1,277,983 $2,464,681 $821,560 Subtotal Estimated Reimbursements $15,609,856 $2,675,366 $6,956,830 $3,657,661 $2,320,000 $0 $0 Cash from Rates & Connection Fees $546,433 $697,870 $70,171 ($47,829) $58,193 ($224,070) Ending Reserves Balance $1,387,759 $608,982 $2,299,814 $2,825,985 $2,884,178 $2,660,109 Source: HEC March 2024.
[1] Drawdowns based on percentage of project:
Consolidation Project (Planning) 100% 35% 35% 30%
Collection System I&I 100% 30% 70%
WWTP Algae Reduction Project 0% 40% 60%
Reserve Funds Available for Capital Projects /
Reimbursement from Grants
Figure 10 illustrates the total ending cash balances with breakdown of operating reserves, debt service reserve, and all other reserves (which may be used for capital) under rate alternative 1. Detailed estimates of cash used for capital facilities and grant projects are provided in Tables A-9 and A-10 in Appendix A.
The historical and projected wastewater fund ending cash balances are shown in Figure 11 under rate Alternative 1.
Note, figures in Table 13 and figures 10 and 11 may not match exactly due to rounding to thousands of dollars.
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City of Colfax Wastewater Rate Study DRAFT FINAL Page 26 Figure 10
Projected Wastewater Fund Ending Cash Balance
$3,585,000
$2,228,000
$3,974,000
$4,557,000 $4,675,000 $4,515,000
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Gen. Operating Cash
Restricted or Designated Reserves
Debt Service Reserve
Figure 11
Historical and Projected Wastewater Fund Ending Cash Balance $3,313,000
$3,893,000 $4,035,000
$3,585,000
$2,228,000
$3,974,000
$4,557,000 $4,675,000 $4,515,000
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
2021 2022 2023 2024 2025 2026 2027 2028 2029
PROJECTED
Item 6A. 85
City of Colfax Wastewater Rate Study DRAFT FINAL Page 27
5.3 RESIDENTIAL BILL IMPACTS
Figure 12 compares the City’s wastewater bill for a single-family home with that of regional communities, and other cities of similar population size.
Regional communities include Cascade Shores, Lake of the Pines, and Lake Wildwood, which have sanitation systems run by Nevada County, and Donner Summit. Cities with similar population range from 1,370 people (Ferndale) to 4,240 (Portola Valley – which is in the Bay Area). The City of Colfax has a population of approximately 2,020.
Rates are lower than in neighboring communities (Lake Wildwood, Lake of the Pines, and Cascade Shores), but are higher than many other California cities of comparable size. With the calculated rate increase for fiscal year 2025 under any of the 3 rate alternatives, Colfax’s single family home wastewater bill would remain in the mid to high range of the comparison communities shown.
Figure 12
Residential Regional Bill Comparison
$278
$221
$197
$159 $154 $153 $149 $143
$120
$109 $108 $108 $98
$87 $86 $84 $83
$0
$50
$100
$150
$200
$250
$300
Item 6A. 86
Item 6A. 87
Hansford Economic Consulting LLC Regional and Resource Economics
APPENDIX A
SUPPORTING TABLES FOR CITY OF COLFAX
WASTEWATER RATE STUDY
Item 6A. 88
Item 6A. 89
Table A‐1
City of Colfax Wastewater Rate Study
Historical Population and Housing Units
Jan. 1 Population
Housing
Units
2010 1,963 929
2011 1,984 929
2012 2,013 929
2013 2,058 928
2014 2,070 927
2015 2,069 926
2016 2,097 926
2017 2,113 926
2018 2,131 926
2019 2,139 926
2020 2,001 921
2021 2,005 927
2022 2,038 955
2023 2,016 963
Change 53 34
Avg. % Change 0.21% 0.28%
Source: California Department of Finance.
DRAFT
Item 6A. 90
Table A-2
City of Colfax Wastewater Rate Study
Historical Annual Changes in Operating Costs
Operating 2019 - 2023
Cost 2019 2020 2021 2022 2023 Change
Personnel $528,685 $619,320 $514,122 $590,667 $637,407 $108,722 4.8% Supplies & Equipment $172,018 $178,544 $133,777 $225,127 $320,355 $148,338 16.8% Communications $11,685 $10,499 $11,423 $15,321 $13,622 $1,937 3.9% Contract Services $87,589 $66,415 $215,750 $78,334 $172,539 $84,949 18.5% Resource Development $1,035 $910 $2,701 $10,466 $4,983 $3,948 48.1% Occupancy $158,639 $152,020 $178,091 $181,766 $189,213 $30,574 4.5% Miscellaneous $121,464 $155,613 $138,247 $147,215 $146,356 $24,892 4.8% Total Operating Costs $1,081,115 $1,183,321 $1,194,112 $1,248,897 $1,484,475 $403,361 8.2% San Francisco Engineering News Record Construction Cost Index (2018-2023) 5.0% West Region Consumer Price Index (2018-2023) 4.2%
Source: City financial records, Bureau of Labor Statistics, and the Engineering News Record.
Avg. Annual
% Change
Fiscal Year Ending
DRAFT
Item 6A. 91
Table A‐3
City of Colfax Wastewater Rate Study
Fund #560 ‐ Operating Fund Historical Revenues and Expenses Revenues and Expenditures Budget
Number Description 2019 2020 2021 2022 2023 2023‐2024
REVENUES
4660 Sewer Service Charges $1,154,885 $1,195,763 $1,213,220 $1,276,877 $1,332,447 $1,372,768 4800 Rent $2,900 $3,000 $3,000 $3,000 $3,000 $3,000
4900 Miscellaneous Revenue $0 $227 $0 $0 $0 $0
4980 Interest Income $52,167 $53,305 $15,709 $12,245 $72,437 $10,000 4982 Interest/Late Charges $16,399 $24,032 $19,451 $19,384 $23,557 $18,000 TOTAL REVENUE $1,226,351 $1,276,327 $1,251,379 $1,311,506 $1,431,441 $1,403,768
EXPENDITURES
Personnel
5010 Salaries and Wages $247,711 $321,562 $247,124 $295,509 $308,805 $385,205 5030 Overtime $1,973 $2,787 $4,287 $2,699 $0 $4,000
5040 Salary ‐ Call back/Standby $11,183 $15,672 $15,545 $18,621 $19,472 $0 5110 Social Security Taxes $19,400 $24,807 $20,407 $23,408 $25,254 $29,468 5115 Unemployment and Training Tax $1,681 $2,245 $2,058 $1,715 $2,494 $2,265 5120 Worker's Compensation $24,016 $18,531 $26,535 $29,724 $23,927 $30,197 5130 Health & Life Insurance $53,791 $56,227 $44,178 $50,760 $64,015 $53,940 5150 Uniform & Shoe Allowances $3,296 $4,022 $2,758 $2,648 $3,046 $3,500 5160 Retirement $21,527 $28,664 $26,031 $29,152 $30,794 $28,571 5175 Temporary $14,132 $0 $2,291 $2,074 $0 $0
Subtotal Personnel $398,710 $474,517 $391,214 $456,310 $477,805 $537,146 Supplies & Equipment
5201 Materials and Supplies $8,877 $26,110 $13,644 $27,819 $27,440 $40,000 5220 Copy Machine $2,587 $1,928 $1,451 $1,557 $1,641 $3,000 5300 Equipment Repairs and Maintenance $50,578 $23,284 $17,448 $58,423 $43,139 $60,000 5320 Vehicle Repairs and Maintenance $618 $1,287 $1,246 $2,533 $3,544 $1,500 5325 Gas & Oil $4,041 $8,102 $4,564 $13,614 $9,258 $1,500 5340 Chemicals $99,656 $98,613 $65,365 $90,176 $198,927 $121,000 5350 Tools Rental $170 $0 $0 $1,863 $5,176 $2,000
Subtotal Supplies & Equipment $166,527 $159,325 $103,718 $195,985 $289,125 $229,000 Communications
5410 Postage $1,247 $1,275 $1,669 $1,290 $1,784 $1,500
5420 Telephone/Internet $2,786 $3,436 $3,721 $3,562 $4,137 $3,800 5425 Cell phone and pagers $3,710 $3,844 $3,564 $3,845 $3,889 $3,800 5440 Printing and Advertising $1,464 $214 $395 $4,894 $1,699 $1,000 Subtotal Communications $9,207 $8,770 $9,349 $13,592 $11,509 $10,100 Contract Services
5540 City Engineering Services $11,428 $4,840 $3,230 $0 $25,935 $5,000 5560 Software Maintenance Contracts $1,626 $1,707 $1,951 $1,882 $11,215 $3,500 5570 Planning Services $0 $0 $105 $0 $0 $0
5650 Auditors $10,673 $10,575 $12,700 $10,810 $11,085 $15,000 5660 Professional Services $42,774 $30,708 $157,203 $51,490 $83,949 $57,500 5665 Legal Fees $864 $2,987 $1,496 $1,081 $8,599 $5,500 Subtotal Contract Services $67,364 $50,817 $176,686 $65,263 $140,782 $86,500 Resource Development
5810 Membership and Dues $912 $768 $643 $4,075 $3,909 $3,500 5815 Conferences and Meetings $0 $0 $0 $0 $0 $500
5820 Education & Training $123 $142 $2,058 $6,391 $1,074 $2,500 5830 Travel and Mileage $0 $0 $0 $0 $0 $500
Subtotal Resource Development $1,035 $910 $2,701 $10,466 $4,983 $7,000 Occupancy
6120 Utilities $136,458 $135,928 $158,393 $149,476 $157,031 $185,000 6140 Repairs & Maintenance $2,966 $272 $141 $3,460 $4,679 $5,000 6160 Security $0 $0 $0 $3,392 $1,283 $3,500
Subtotal Occupancy $139,424 $136,200 $158,534 $156,328 $162,993 $193,500 Miscellaneous
8250 Miscellaneous $0 $0 $952 $607 $3,000 $1,000
8270 Medical Expenses $0 $478 $90 $0 $219 $1,000
8280 Sludge Removal $4,702 $8,934 $9,763 $15,134 $14,785 $10,000 8300 Payments to Other Agencies $25,332 $55,521 $23,168 $24,291 $27,366 $25,000 8400 Bonds and Insurance $26,938 $26,495 $35,117 $36,356 $38,776 $45,000 8525 Testing and Monitoring $40,592 $39,220 $39,827 $35,134 $32,432 $40,000 8530 Bacteria and Lab Test Supplies $9,203 $7,974 $5,982 $4,226 $3,201 $35,000 8532 Acute and Chronic Testing $0 $325 $4,350 $10,890 $4,720 $4,500 Subtotal Miscellaneous $106,766 $138,947 $119,249 $126,639 $124,499 $161,500 TOTAL EXPENDITURES $889,033 $969,486 $961,451 $1,024,583 $1,211,696 $1,224,746 NET INCOME FUND 560 $337,318 $306,841 $289,928 $286,923 $219,745 $179,022 Source: City of Colfax financial records, November 2023.
Fiscal Year Ending Actuals
Treatment Plant
DRAFT
Item 6A. 92
Table A‐4
City of Colfax Wastewater Rate Study
Fund #561 ‐ Operating Fund Historical Revenues and Expenses Revenues and Expenditures Budget
Number Description 2019 2020 2021 2022 2023 2023‐2024
REVENUES
4680 Lift Charges/Collection System $181,181 $187,693 $190,042 $199,716 $208,762 $212,016 4672 Inspection Fees $10,328 $8,140 $9,768 $12,210 $10,582 $10,000 TOTAL REVENUE $191,509 $195,833 $199,810 $211,926 $219,344 $222,016
EXPENDITURES
Personnel
5010 Salaries and Wages $78,062 $97,189 $77,784 $86,484 $105,560 $128,233 5030 Overtime $122 $1,074 $354 $0 $0 $0
5040 Salary ‐ Call Back $10,757 $5,097 $5,051 $5,859 $6,196 $0 5110 Social Security Taxes $6,752 $7,652 $6,387 $6,992 $8,410 $9,810 5115 Unemployment & Training Tax $758 $888 $794 $745 $1,017 $754 5120 Worker's Compensation $7,770 $5,910 $8,304 $9,984 $7,991 $10,052 5130 Health & Life Insurance $18,351 $18,707 $14,979 $15,015 $21,698 $19,050 5150 Uniform & Shoe Allowance $1,012 $1,200 $738 $870 $1,284 $1,200 5160 Retirement $5,655 $7,085 $6,226 $6,525 $7,445 $9,168 5175 Temporary Services $738 $0 $2,291 $1,884 $0 $0
Subtotal Personnel $129,975 $144,803 $122,908 $134,357 $159,602 $178,267 Supplies & Equipment
5201 Materials and Supplies $846 $2,063 $2,196 $571 $2,587 $3,000 5220 Copy Machine $577 $528 $482 $518 $545 $600
5300 Equipment Repairs & Maintenance $693 $9,300 $24,886 $23,175 $18,959 $11,000 5320 Vehicle Repairs & Maintenance $550 $895 $173 $207 $326 $1,000 5325 Gas & Oil $2,824 $6,434 $2,322 $4,671 $4,498 $8,000 5350 Tools Rental $0 $0 $0 $0 $4,316 $1,500
Subtotal Supplies & Equipment $5,490 $19,220 $30,058 $29,142 $31,231 $25,100 Communications
5410 Postage $717 $666 $863 $678 $870 $1,000
5425 Cell Phones and Pagers $1,019 $1,064 $1,011 $1,051 $1,243 $1,100 5440 Printing and Advertising $743 $0 $200 $0 $0 $500
Subtotal Communications $2,478 $1,729 $2,074 $1,729 $2,113 $2,600 Contract Services
5540 City Engineers $5,535 $185 $2,960 $0 $16,388 $5,000 5560 Software Maintenance Contract $697 $732 $768 $807 $847 $2,000 5660 Professional Services $13,994 $14,681 $35,276 $11,504 $13,689 $13,000 5820 Education and Training $0 $0 $61 $760 $833 $0
5830 Travel and Milege Reimbursement $0 $0 $0 $0 $0 $500 Subtotal Contract Services $20,225 $15,598 $39,065 $13,071 $31,756 $20,500 Occupancy
6120 Utilities $18,550 $15,043 $16,732 $24,003 $25,471 $23,000 6125 Water $497 $441 $483 $529 $513 $500
6140 Building Repairs and Maintenance $168 $336 $564 $504 $236 $500 6160 Security $0 $0 $1,778 $402 $0 $1,000
Subtotal Occupancy $19,215 $15,820 $19,557 $25,438 $26,220 $25,000 Miscellaneous
8250 Miscellaneous $0 $0 $154 $0 $0 $0
8300 Payments to Other Agencies $3,521 $4,277 $4,500 $5,110 $5,362 $5,500 8400 Bonds and Insurance $11,177 $10,823 $14,345 $15,466 $16,496 $18,500 8525 Testing and Monitoring $0 $1,566 $0 $0 $0 $0
Subtotal Miscellaneous $14,698 $16,666 $18,998 $20,576 $21,858 $24,000 TOTAL EXPENDITURES $192,082 $213,836 $232,660 $224,314 $272,780 $275,467 NET INCOME FUND 561 ($573) ($18,003) ($32,850) ($12,388) ($53,436) ($53,451) Source: City of Colfax financial records, November 2023.
Fiscal Year Ending Actuals
Collection Systems/Lift Stations
DRAFT
Item 6A. 93
Table A‐5
City of Colfax Wastewater Rate Study
Fund #563 ‐ Operating Fund Historical Revenues and Expenses Revenues and Expenditures Budget
Number Description 2019 2020 2021 2022 2023 2023‐2024
REVENUES
4662 Debt Service Charges $519,497 $537,894 $546,350 $574,237 $599,436 $617,565 4940 Sale of Property $0 $0 $0 $58,000 $0 $0
4982 Interest/Late Charges $6,540 $8,995 $7,884 $7,683 $8,823 $5,000 TOTAL REVENUE $526,037 $546,889 $554,234 $639,920 $608,259 $622,565
EXPENDITURES
8710 Interest Expense $80,403 $76,817 $73,195 $69,538 $65,843 $79,500 8250 Miscellaneous $360 $0 $430 $0 $0 $0
TOTAL EXPENDITURES [1] $80,763 $76,817 $73,625 $69,538 $65,843 $79,500 NET INCOME FUND 563 $445,274 $470,072 $480,609 $570,383 $542,415 $543,065 Source: City of Colfax financial records, November 2023.
Fiscal Year Ending Actuals
WWTP Debt Service
DRAFT
Item 6A. 94
Table A‐6
City of Colfax Wastewater Rate Study
Summary of CIP Estimated Costs in Inflated Dollars
Description Total FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 inflation assumption ‐‐‐> 4.0% 4.0% 4.0% 4.0% 4.0%
Treatment Plant
SCADA tie in of chemical feed systems $15,600 $0 $0 $15,600 $0 $0 3 New Blowers and VFDs $208,000 $0 $0 $104,000 $104,000 $0 Filter rehabilitation $104,000 $0 $0 $104,000 $0 $0
All Control Systems connected to SCADA $156,000 $0 $78,000 $78,000 $0 $0 Facility Electrical rehabilitation $156,000 $0 $0 $0 $0 $156,000 Fork Lift $62,400 $0 $62,400 $0 $0 $0
Boom truck $78,000 $0 $0 $0 $78,000 $0
Service (Tool) truck with crane $104,000 $104,000 $0 $0 $0 $0 Combination sewer truck $364,000 $0 $0 $0 $0 $364,000
Service contract ‐ Trojan Uv $9,081 $9,081 $0 $0 $0 $0
Service contract ‐ Generators $11,014 $11,014 $0 $0 $0 $0 Service contract ‐ Server & PLC maintenance $15,600 $15,600 $0 $0 $0 $0 Service contract ‐ SSMP $4,160 $4,160 $0 $0 $0 $0
Gantry crane purchase $0 $0 $0 $0 $0 $0
UV Modules Maintenance (60) $44,325 $0 $22,162 $0 $22,162 $0 Ponds
Pond 3 service road repair $52,000 $52,000 $0 $0 $0 $0
Pond #2 dredging $12,480 $0 $0 $0 $12,480 $0
Lift Station 1
Replacement pump $36,400 $0 $0 $36,400 $0 $0
Panelview HM $15,600 $0 $0 $15,600 $0 $0
Lift Station 2
Replacement pump $36,400 $0 $36,400 $0 $0 $0
Panelview HM $15,600 $0 $15,600 $0 $0 $0
Lift Station 3
Replacement pump $36,400 $0 $0 $0 $36,400 $0
Panelview HM $15,600 $0 $0 $0 $15,600 $0
Lift Station 4
Replacement pump $36,400 $0 $0 $0 $0 $36,400
Panelview HM $15,600 $0 $0 $0 $0 $15,600
Total Wastewater Treatment Plant Improvements $1,604,660 $195,855 $214,562 $353,600 $268,642 $572,000 Source: City of Colfax February 2024.
DRAFT
Item 6A. 95
Table A‐7
City of Colfax Wastewater Rate Study
Summary of CIP Estimated Costs in 2023 Dollars
Description Total FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Treatment Plant
SCADA tie in of chemical feed systems $15,000 $0 $0 $15,000 $0 $0 3 New Blowers and VFDs $200,000 $0 $0 $100,000 $100,000 $0 Filter rehabilitation $100,000 $0 $0 $100,000 $0 $0
All Control Systems connected to SCADA $150,000 $0 $75,000 $75,000 $0 $0 Facility Electrical rehabilitation $150,000 $0 $0 $0 $0 $150,000 Fork Lift $60,000 $0 $60,000 $0 $0 $0
Boom truck $75,000 $0 $0 $0 $75,000 $0
Service (Tool) truck with crane $100,000 $100,000 $0 $0 $0 $0 Combination sewer truck $350,000 $0 $0 $0 $0 $350,000
Service contract ‐ Trojan Uv $8,732 $8,732 $0 $0 $0 $0
Service contract ‐ Generators $10,590 $10,590 $0 $0 $0 $0 Service contract ‐ Server & PLC maintenance $15,000 $15,000 $0 $0 $0 $0 Service contract ‐ SSMP $4,000 $4,000 $0 $0 $0 $0
Gantry crane purchase $0 $0 $0 $0 $0 $0
UV Modules Maintenance (60) $42,620 $0 $21,310 $0 $21,310 $0 Ponds
Pond 3 service road repair $50,000 $50,000 $0 $0 $0 $0
Pond #2 dredging $12,000 $0 $0 $0 $12,000 $0
Lift Station 1
Replacement pump $35,000 $0 $0 $35,000 $0 $0
Panelview HM $15,000 $0 $0 $15,000 $0 $0
Lift Station 2
Replacement pump $35,000 $0 $35,000 $0 $0 $0
Panelview HM $15,000 $0 $15,000 $0 $0 $0
Lift Station 3
Replacement pump $35,000 $0 $0 $0 $35,000 $0
Panelview HM $15,000 $0 $0 $0 $15,000 $0
Lift Station 4
Replacement pump $35,000 $0 $0 $0 $0 $35,000
Panelview HM $15,000 $0 $0 $0 $0 $15,000
Total Wastewater Treatment Plant Improvements $1,542,942 $188,322 $206,310 $340,000 $258,310 $550,000 Source: City of Colfax February 2024.
DRAFT
Item 6A. 96
Table A‐8
City of Colfax Wastewater Rate Study
Historical Wastewater Fund Ending Cash Balances
Cash Category 2019 2020 2021 2022 2023
Restricted Cash
Debt Service Reserve $438,974 $438,974 $438,974 $438,974 $438,974 Pond 3 Fissure Resource Proceeds $292,194 $231,945 $0 $0 $0 Capital Improvements * $55,892 $282,031 $351,119 $443,018 $321,775 Replacement Short‐Lived Assets * $167,565 $205,065 $202,565 $240,065 $277,565 Restricted Cash $954,625 $1,158,015 $992,658 $1,122,057 $1,038,314 Unrestricted Cash $1,756,045 $2,064,508 $2,320,407 $2,770,481 $2,996,738 Total Cash Balance $2,710,670 $3,222,523 $3,313,065 $3,892,538 $4,035,052 Change in Cash Balance $649,116 $511,853 $90,542 $579,473 $142,514 Source: City of Colfax audited financials.
* Designated by the City for capital projects; not restricted by third parties.
Fiscal Year Ending, June 30th
DRAFT
Item 6A. 97
Table A-9
City of Colfax Wastewater Rate Study
Reserves Available for Capital Projects Excl. Grant Projects (Alternative 1) Reserve FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Fund 12345
Operating Reserve (Unrestricted)
Beginning Balance $460,000 $510,000 $560,000 $610,000 $660,000 $710,000 Transfer from Operating Fund $50,000 $50,000 $50,000 $50,000 $50,000 $50,000 Ending Balance a $510,000 $560,000 $610,000 $660,000 $710,000 $760,000 Capital Reserve (Unrestricted)
Beginning Balance $500,000 $923,690 $1,497,835 $1,443,273 $1,269,673 $1,201,030 less Capital Projects ($26,310) ($195,855) ($214,562) ($353,600) ($268,642) ($572,000) Transfer from Operating Fund $450,000 $770,000 $160,000 $180,000 $200,000 $220,000 Ending Balance b $923,690 $1,497,835 $1,443,273 $1,269,673 $1,201,030 $849,030 Capital Improvements (Designated)
Beginning Balance $321,775 $357,394 $393,995 $431,605 $470,252 $509,964 Connection Fees $35,619 $36,601 $37,610 $38,647 $39,712 $40,806 Ending Balance c $357,394 $393,995 $431,605 $470,252 $509,964 $550,770 Replacement Short-Lived Assets (Designated)
Beginning Balance $277,565 $314,689 $351,813 $388,937 $426,061 $463,185 Transfer from Operating Fund $37,124 $37,124 $37,124 $37,124 $37,124 $37,124 Ending Balance d $314,689 $351,813 $388,937 $426,061 $463,185 $500,309 Reserve Funds Available for Capital
Projects / Grant Reimbursement
e =
a+b+c $2,105,773 $2,803,644 $2,873,815 $2,825,986 $2,884,179 $2,660,109 Debt Service Reserve (Restricted) [1] $438,974 $438,974 $438,974 $438,974 $438,974 $438,974 Source: City of Colfax financial records and HEC, March 2024. [1] Fully funded per requirement of the SRF loan.
DRAFT
Item 6A. 98
Table A-10
City of Colfax Wastewater Rate Study
Estimated Designated & Restricted Funds Balances with Grant Projects (Alternative 1) Project Total FY 2024 FY 2025 FY 2026 FY 2027 FY 2028 FY 2029 Description 12345
$1,559,340 $1,387,759 $608,982 $2,299,814 $2,825,985 $2,884,178 Estimated Drawdowns [1]
Consolidation Project (Planning) $5,820,000 $0 $2,037,000 $2,037,000 $1,746,000 Consolidation Construction $0 $0 $0
Collection System I&I $5,225,633 $1,567,690 $3,657,943
WWTP Algae Reduction Project $4,564,224 $1,825,690 $2,738,534 Subtotal Estimated Drawdowns $15,609,857 $3,393,380 $8,433,478 $2,037,000 $1,746,000 $0 $0 Estimated Reimbursements
Consolidation Project (Planning) $5,820,000 $300,000 $1,200,000 $2,000,000 $2,320,000 Consolidation Construction $0 $0 $0
Collection System I&I $5,225,633 $1,097,383 $3,292,149 $836,101 WWTP Algae Reduction Project $4,564,224 $1,277,983 $2,464,681 $821,560 Subtotal Estimated Reimbursements $15,609,856 $2,675,366 $6,956,830 $3,657,661 $2,320,000 $0 $0 Cash from Rates & Connection Fees $546,433 $697,870 $70,171 ($47,829) $58,193 ($224,070) Ending Reserves Balance $1,387,759 $608,982 $2,299,814 $2,825,985 $2,884,178 $2,660,109 Source: HEC March 2024.
[1] Drawdowns based on percentage of project:
Consolidation Project (Planning) 35% 35% 30%
Collection System I&I 30% 70%
WWTP Algae Reduction Project 40% 60%
Reserve Funds Available for Capital Projects /
Reimbursement from Grants
DRAFT
Item 6A. 99
Public Workshop:
Wednesday, May 1, 2024 at 6 p.m.
Colfax City Hall, 33 S. Main Street
Public Hearing to Adopt Proposed Rates:
Wednesday, May 22, 2024 at 6 p.m.
Colfax City Hall, 33 S. Main Street
PROTEST
have the right to oppose the proposed wastewater rate
increases. If you oppose the rate increases, your protest must be submitted in writing to be valid, even if you
attend the Public Hearing. If written protests are
submitted by the majority of affected parcel owners, the proposed rate changes cannot be imposed.
Option 1: If you do not oppose the rate increases, you
need not take any action.
Option 2: If you do oppose the proposed rate increases, your protest must be submitted in writing, even if you
attend the Public Hearing. All written protests must be received in writing via mail before the Public Hearing on May 22, 2024, at 6 p.m. Submit or mail protests to:
City of Colfax, ATTN: City Clerk
33 S. Main Street, P.O. Box 702
Colfax, CA 95713
Protests may also be submitted in person at the Public
Hearing any time before the close of the Public Hearing.
All protests must contain:
A statement that the proposed wastewater rate
increase is being protested,
Name of the property owner OR customer of record
who is submitting the protest,
Parcel number OR street address,
Original signature and legibly printed name of the
property owner of record or tenant,
Indicate if the signature is of the property owner or
tenant, and
Date of signature.
At the conclusion of the Public Hearing, the City Council will consider adopting the proposed rate increases. If, at the close of the Public Hearing, complete written
protests are submitted by the record owners for the
majority of the parcels served by the City (50% plus
one, a “majority protest”), the City Council cannot
approve the proposed rate increases. If, at the close of the Public Hearing a majority protest does not exist for the proposed rate increases, the City Council may
impose rates up to the maximum amounts proposed.
Only one written protest per parcel will be counted
(either owner or tenant, not both). Written protests
received after the close of the Public Hearing will not be counted. Protests emailed or submitted by any
electronic means will not be accepted.
Pursuant to Government Code Section 53759(d), there
is a 120-day statute of limitation for ratepayers to
challenge increased wastewater rates. Any challenge
must be filed within 120 days of the effective date or
date of final passage, adoption, or approval of the
ordinance or resolution adopting the wastewater rates.
The City of Colfax will be holding a public workshop on May 1, 2024, at 6 p.m. at City Hall, 33 S. Main Street.
The public is encouraged to attend to learn more about
the rate increase, planned capital improvements, and
other pertinent information. Information may also be
found at https://colfax-ca.gov/government/publicworks/sewer-collection-system/.
RATES
Wednesday, May 22, 2024, at 6 p.m. at Colfax City
Hall, 33 S. Main Street
Questions? Contact Ron Walker, City Manager,
Item 6A. 100
SCENARIO FY 2O25 FY 2O26 FY 2O27 FY 2O28 FY 2O29
BACKGROUND
The City of Colfax provides wastewater services to about 760 accounts, most of which are residential (70%), with the remainder being commercial and institutional
customers. The city’s customer base is steady with
relatively little change year to year. The city meets all federal and state regulatory requirements for public
health, safety, and water quality.
The wastewater system is funded by the Wastewater
Enterprise fund, a city fund that is completely self- supported by customer fees, interest, grants, and other miscellaneous revenues. Customer monthly fees (or
“rates”) constitute 98% of typical annual total wastewater fund revenues. Because of the importance of having
sufficient rate revenue, rate studies are usually completed every five years. The last rate study was adopted by
Colfax City Council in 2018 and the last increase was
implemented July 1, 2022.
FUTURE REVENUE NEED
The city currently has sufficient annual revenues to fund daily operations and maintenance needs of the
wastewater system because it has implemented best
management practices; however, revenues need to
continue to increase to keep pace with inflation. In
addition, the wastewater treatment plant (WWTP) and
collection system infrastructure is aging.
As projected in the city’s Capital Improvement Plan (CIP), the city anticipates needing to fund several capital
improvements at the wastewater treatment plant as well
as the replacement of pumps at four lift stations over the next five years. The projects are estimated to cost $1.6 million, which the city will fund with rate revenues without needing to take out loans or otherwise incur debt.
In addition, WWTP staff will be managing two large state grant-funded projects to mitigate issues with the
collection system and algae reduction treatment at the
WWTP. The grants total roughly $10 million.
NECESSARY RATE INCREASES
The proposed rate increases would provide the revenue
needed to fund projected CIP costs and meet the three
financial criteria of the rate study:
1. Maintain at least 9-months unrestricted operating
cash reserve, 2. Maintain a minimum of $950,000 in restricted and designated reserves to cover the SRF loan reserve
(existing debt) requirement of $439,000 plus at least
$500,000 for capital projects, and
3. Maintain a debt service coverage ratio of at least 1.25 each year.
Alternative 1: The revenue requirement, and three
financial criteria, are met over the next 5
years by applying a 4.00% rate increase
each year. The City stops collecting rates
for system rehabilitation because sufficient
cash reserves have been accumulated. The
total cash balance is projected to increase
$400,000 to $500,000 over the next five
years with receipt of state reimbursements.
Alternative 2: Rates are increased 3.00% each year to
meet the revenue requirement and ensure
the three financial criteria are met. As with
alternative 1, no additional cash is generated
over the next 5 years to fund system
rehabilitation. The total cash balance is
projected to remain about the same
between the end of fiscal years 2023 and
2029.
Alternative 3: The three financial criteria to remain fiscally healthy are met over the next 5 years by
applying a 2.00% rate increase each year.
The City does not fully fund the revenue
requirement and draws on cash reserves of
about $155,000 to pay for a portion of the
repairs needed in the next 5 years at the
WWTP.
All customers are charged on an Equivalent Dwelling Unit (EDU) basis. A home usually has one EDU. EDUs are
assigned by the City at the time of application for service, depending on the intended use(s) of the property. The number of EDUs are reviewed upon change in building
use and/or application for building alterations. The
current wastewater fee per EDU is $143.07 per month.
CALCULATED MAXIMUM WASTEWATER FEE
PER EDU PER MONTH
Alt. 1 (4%) $148.79 $154.74 $160.93 $167.37 $174.06
Alt. 2 (3%) $147.36 $151.78 $156.33 $161.02 $165.85
Alt. 3 (2%) $145.93 $148.85 $151.83 $154.87 $157.97
Note: The calculated rates under the three alternatives are the maximum that City Council would adopt and
subsequently impose annually. If collected fees in a
given fiscal year produce revenues that are greater than projected to be needed in future years, the City does not have to impose an increase the next fiscal year. This
allows the City to have flexibility with projecting its budget and needs, and with implementing annual rate
increases.
PROPOSED RATE INCREASE SCENARIOS
The Rate Study has calculated three rate alternatives that could be implemented over the next five fiscal years: annual increases at 2.0%, 3.0%, or 4.0%. The alternatives and
monthly bill impacts are described as follows.
Item 6A. 101
_________________________________________________________________________________________ City of Colfax Adopting the Wastewater Rate Study and Establishing Sewer Resolution _-2024 Service Charges
City of Colfax
City Council
Resolution № __-2024
ADOPTING THE CITY OF COLFAX WASTEWATER RATE STUDY AND ESTABLISHING SEWER SERVICE CHARGES FOR FISCAL YEARS 2024/2025, 2025/2026, 2026/2027, 2027/2028, 2028/2029
WHEREAS, the rates required to be charged to each user of City sewer service for City capital and operating and maintenance purposes in order to raise sufficient revenue for the City to provide sewer service will be referred to herein as the City’s Sewer Service Charges; and,
WHEREAS, the City prepared and filed with the City Clerk a written report containing a description of each and every parcel of real property receiving sewer service from the City and the amount or rate of the City’s Sewer Service Charges for each City customer for the forthcoming fiscal years; and, WHEREAS, the City Clerk has duly and timely given notice of filing of said written report and the City’s intention to collect said Sewer Service Charges and of the time and place of hearing thereon; and, WHEREAS, on May 22, 2024, after due and proper notice was given, the City Council conducted a public hearing at which it heard all oral comments in favor of and in opposition to, and received and tallied all written protests in opposition to the City’s proposed Sewer Service Charges for City Fiscal Years 2024/2025 through 2028/2029, inclusive; and
WHEREAS, the City received only ___ written protests in opposition to the City’s proposed Sewer Service Charges for City Fiscal Years 2024/2025 through 2028/2029, inclusive, which number did not constitute a majority of the City’s customers eligible to submit written protests; and WHEREAS, the City Council hereby makes the following findings and determinations pursuant to the California Environmental Quality Act, Public Resources Code §21000 et seq (“CEQA”) and the Guidelines for Implementation of the California Environmental Quality Act published by the State of California Office of Planning and Research (“CEQA Guideline”):
1. Adopting this Resolution and the City’s Sewer Service Charges does not constitute a “Project” as that term is defined by or use in CEQA, the CEQA Guidelines or any court or attorney general opinion construing the same, that the provisions of CEQA and the CEQA Guidelines are not applicable.
2. Adopting this Resolution and the City’s Sewer Service Charges is covered, if at all, by Public Resources Code §21080(b)(8) and Section 15273 of the CEQA Guidelines which provide that CEQA does not apply to the establishment, modification, structuring, restructuring or approval of rates, tolls, fares or other charges by public agencies which the public agency finds are for the purpose (1) meeting operating expenses, including employee wage rates and fringe benefits, (2) purchasing or leasing supplies, equipment or materials, (3) meeting Item 6A. 102
_________________________________________________________________________________________ City of Colfax Adopting the Wastewater Rate Study and Establishing Sewer Resolution _-2024 Service Charges
financial reserve needs and requirements, or (4) obtaining funds for capital projects necessary to maintain service within existing service areas. Adopting this Resolution and the City’s Sewer Service Charges is for the purpose (1) meeting operating expenses, including employee wage rates and fringe benefits, (2) purchasing or leasing supplies, equipment or materials, (3) meeting financial reserve needs and requirements, or (4) obtaining funds for capital projects necessary to maintain service within existing service areas.
3. Adopting this Resolution and the Sewer Service Charges fall within the “common sense” CEQA exemption provided in 14 CCR 15061(b)(3) in that CEQA applies only to projects which have the potential for causing a significant effect on the environment and, where it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment, the action is not subject to CEQA. In this case, it can be seen with certainty that that there is no possibility that the proposed rate adjustment may have a significant effect on the environment.
NOW, THEREFORE BE IT RESOLVED AND THE CITY COUNCIL OF THE CITY OF COLFAX HEREBY FINDS, DETERMINES AND RESOLVES:
1. The City has adopted an approved revenue program as the basis for instituting the Sewer Service Charges to finance operation and maintenance costs, including replacement and certain capital costs as necessary to operate, maintain and repair the City’s sewer system.
2. The City has adopted Colfax Municipal Code Chapter 13.08, which provides for the implementation of Sewer Service Charges and their collection.
3. The City Council, after due notice, public hearing and protests heard and received in an open and public meeting hereby finds that the City of Colfax Wastewater Rate Study prepared by Hansford Economic Consulting (HEC) relating to the Sewer Service Charges for Fiscal Years 2024/2025 through 2028/2029 are fair and correctly calculated and are hereby adopted and approved.
4. The attached Sewer Service Charges for Fiscal Years 2024/25, 2025/26, 2026/27, 2027/28 and 2028/29, as attached to this Resolution, accurately reflect the reasonable costs of providing the services for which the fees are charged.
5. The Sewer Service Charges adopted by this Resolution are for the purpose of:
• meeting operational and maintenance expenses, including employee wage rates and benefits, • purchasing or leasing supplies, equipment or material, • meeting financial reserve needs and requirements, and • obtaining funds for capital projects necessary to maintain service within existing areas.
6. All notices, hearings and public data required by law have been duly given, provided and held.
7. The Sewer Service Charges for the various properties of City sewer service customers receiving the benefits from the City, by categories of users, to be applied and collected attached hereto and incorporated herein and are hereby adopted.
8. The above recitals are true and correct statements of fact and are incorporated into this Resolution by this reference.
Item 6A. 103
_________________________________________________________________________________________ City of Colfax Adopting the Wastewater Rate Study and Establishing Sewer Resolution _-2024 Service Charges
9. The City Clerk is hereby authorized to file a Notice of Exemption from CEQA with the County Clerk of the County of Placer, California regarding this Resolution and the Sewer Service Charges hereby adopted.
PASSED, APPROVED AND ADOPTED at the Regular Meeting of the City Council of the City of Colfax held on the 22nd day of May 2024 by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________________________
Kim Douglass, Mayor
ATTEST:
________________________________________
Amanda Ahre, City Clerk
Item 6A. 104
Public Hearing
Wastewater Rates
CITY OF COLFAX
May 22, 2024
1 Item 6A. 105
The Wastewater System
2 Item 6A. 106
Value of City Assets ($41 Million)
3 Original cost of assets, from the 2023 audit page 10.
Other City
Functions
31%
Wastewater
System
69%
Treatment
Plant
93%
Collection
7%
Item 6A. 107
Wastewater Treatment Plant
Most expensive
capital asset owned
by the City
About $28.2 Million
Facility building, lab,
solids processing, UV
disinfection, holding
pond, pumping
station
4 Item 6A. 108
Wastewater Generation by Customers
5 Residential
70%
Commercial
21%
Institutional
9%
Treat about
250,000
gallons per day
Item 6A. 109
Paying for the Wastewater
System
6 Item 6A. 110
• Business-Type Activity
• City aggressively pursues grants but 98% of wastewater system annual costs in a typical year are supported by wastewater rates
Separate Enterprise Fund of the City
Exclusive
for
Wastewater
Service
Funded by
User Rates
Selfsufficient
Fund
7 Item 6A. 111
Proposition 218 Requirements
1. Revenues from the fee shall not exceed funds required to provide the service.
2. Revenues from the fee shall not be used for any purpose other than that for which it was imposed.
3. The amount of the fee imposed as an incident of property ownership shall not exceed the proportional cost of service to the parcel.
4. No fee may be imposed for service unless the service is used OR is immediately available to the parcel.
5. No fee may be imposed for general governmental services (such as police, fire, library) where the service is available to the public at large in much the same manner as to the parcels charged the fee.
Item 6A. 112
Purpose of the Rate Study
9 • Revenue Sufficiency – to operate the wastewater system for the next 5 years, disposing of wastewater safely while
meeting all regulatory requirements, for the residents and businesses in Colfax
• Fund the CIP – create adequate revenue for funding of capital improvements projects (CIP)
• Ensure Adequate Reserves – to ensure sufficient cash flow (especially now while waiting for State grant-funded project reimbursements), and to provide funds for emergencies
• Fulfill Financial Agreement Obligations – Meet existing State loan restricted cash and debt service coverage requirements Item 6A. 113
Wastewater Fund Performance
10 • Last few years financially strong; must be as it is subject to large cash outflows and must maintain strong reserves for repair/rehabilitation and potential emergency events
• Operating costs paid for with rates
• Capital costs paid for with combination of rates, connection fees, and grants
Rates pay for rehabilitation or replacement of assets providing capacity to service existing customers
Connection fees pay for increased capacity in rehabilitated assets and new assets to service new customers
Item 6A. 114
Revenue Requirement
Determine funding needed to
meet financial needs
Operations &
Maintenance
Capital Improvements
System Rehabilitation
Debt Service
Prudent Reserves
11 Item 6A. 115
Major Assumptions
• No Change to the Rate Structure
EDU structure appropriate and typical for smaller systems with no industrial customers & customers have similar wastewater strength; all customers who have paid connection fees pay per EDU as the system is ready to receive their wastewater flow
• Growth
Continued historical trend 3 EDUs per year
• Potential Shady Glen Consolidation
Grant-funded feasibility study costs included; IF construction will start in next 5 years, the City will have to undertake a rate study update • No New Debt
12 Item 6A. 116
EDU Fee Structure
An EDU is defined in City Ordinance 475 as the average
wastewater discharge from a Single-Family Dwelling. One EDU is considered to generate domestic wastewater, carrying minimal to moderate load of non-hazardous contaminants such as common household cleaning and maintenance products.
EDUs are assigned by the City at time of application for service, depending on the intended use(s) of the property. The number of EDUs are reviewed upon change in building use and/or application for building alterations.
13 Item 6A. 117
Wastewater Fund Operating Expenses
14 Personnel
47%
Supplies &
Equipment
Communications 16%
1%
Contract
Services
10%
Occupancy
14%
All Other
12%
Item 6A. 118
Five –Year Capital Improvement Program
15 Estimated Cost
Inflow & Infiltration Mitigation (in progress) $5,226,000 Algae Reduction (in progress) $4,564,000
Treatment Plant Components $1,332,000
Ponds $65,000
Lift Stations $208,000
Total 5-Year Investment $11,395,000
Grant Funded $9,790,000
Rates Funded $1,605,000
Item 6A. 119
Financial Health Criteria
Based on guidelines provided by the Government Finance
Officers Association
1. Maintain general operating cash reserves at least 75% of operating expenses
2. A minimum $950,000 shall be kept in restricted and designated reserves to cover the SRF loan reserve requirement of $439,000 plus at least $500,000 for capital expenses
3. Each year, the net operating income will exceed debt service by at least 1.25
16 Item 6A. 120
Fee Level Alternatives for Wastewater
17 Alternative Modeling Effect
Alternative 1
Annual
increases
4.00%
Stop collecting rates for
system rehabilitation
because sufficient cash
reserves have been
accumulated.
No additional cash accumulated
for future repairs; however, the
total cash balance is projected to
increase $400,000 - $500,000
depending on number of new
connections.
Alternative 2
Annual
increases
3.00%
No rates collected for
system rehabilitation.
No additional cash accumulated
for future repairs; total cash
balance will remain about the
same between FY23 and FY29.
Alternative 3
Annual
increases
2.00%
Revenue requirement
not fully funded with
rates. Cash reserves used
to pay for a portion of
capital project costs.
Cash reserves about $155,000
drawn down to pay for repairs in
next 5 years.
Item 6A. 121
Summary of Calculated Wastewater Rates
under Alternative Fee Levels
18 $148.79
$154.74
$160.93
$167.37
$174.06
$147.36
$151.78
$156.33
$161.02
$165.85
$145.93
$148.85
$151.83
$154.87
$157.97
$143.07
$120
$130
$140
$150
$160
$170
$180
FY 2025 FY 2026 FY 2027 FY 2028 FY 2029
Alt. 1 Rate (4.00%) Alt. 2 Rate (3.00%)
Alt. 3 Rate (2.00%) Current Rate
Item 6A. 122
Comparison Wastewater Bills for a Home
19 $278
$221
$197
$159 $154 $153 $149 $143
$120
$109 $108 $108 $98
$87 $86 $84 $83
$0
$50
$100
$150
$200
$250
$300
Item 6A. 123
Projected Wastewater Fund Cash Balances
under Alternative Fee Levels
Minimum implies reserves should be greater than target shown 20 $0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
2025 2026 2027 2028 2029
Alt. 1 Rate (4.00%) Alt. 2 Rate (3.00%)
Alt. 3 Rate (2.00%) Min. Target Reserve
Beginning FY2024
Item 6A. 124
Adoption of New Rates
• Upon close of the public hearing, the protests are counted. • If >50% of the owners of public record protest the City cannot proceed.
• Absent a majority protest, the City can proceed with adoption of maximum rates.
• At any time in the next 5 years, the City can freeze or reduce the rates shown on the notice but cannot increase them
without another Proposition 218 public noticing process. 21 Item 6A. 125
Customer’s Rights after Adoption of Rates
As of January 1, 2022, pursuant to Government Code 53759(d), there is a 120-day state of limitation for ratepayers to challenge increased rates.
Any challenge must be filed within 120 days of the effective date or date of final passage, adoption, or approval of the resolution adopting the wastewater rates.
22 Item 6A. 126
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Kathy Pease, AICP, Planning Consultant
Subject: Short-Term Rental Ordinance.
Budget Impact Overview:
N/A: Funded: √ Un-funded: Amount: Fund(s): LEAP
Summary/Background
This is a proposal to consider adoption of a Short-Term Rental Ordinance, which would allow any single-family dwelling or accessory dwelling unit located in a residential or commercial zone to be rented in whole or in part on a short-term basis. A short-term basis is defined as thirty (30) calendar days or less to the same person or the same group of persons.
At the January 25, 2023, meeting, the City Council directed staff to draft regulations to allow Short-term Rentals.
At the June 14, 2023, City Council meeting staff brought forward an outline of proposed regulations for the City Council’s consideration and shared the results of an online survey.
Discussion by the City Council at that time included concern with being overly restrictive.
Since that time, staff continued to receive calls from potential applicants, interested in establishing short-term rentals.
The proposed Short Term Rental ordinance strives to balance business-friendly economic development goals while maintaining residential neighborhoods and ensuring that existing near-by residents are not impacted by the use.
Discussion
The proposed Ordinance would amend Chapter 17 of the Colfax Municipal Code, by adding Chapter 17.123, to authorize and regulate Short-Term Rentals within the City. The ordinance would add new definitions, provide clarification on expectations and address permit requirements and conditions of operation.
A Short-Term Rental Permit would be required and would expire twelve (12) months from the date of issuance, unless revoked, suspended or surrendered earlier. The approval of the Short-Term Rental Permit would be administrative. The Permit will authorize the permittee to conduct only such activities and services as described in the Permit and in accordance with the terms and conditions of the permit. Yearly renewal would be required 30 days prior to the expiration of the permit.
Provisions are included in the Ordinance that would allow the city to deny a permit or revoke it if RECOMMENDED ACTION: Introduce the proposed ordinance by title only, conduct a public hearing, waive the first reading and schedule the proposed ordinance for second reading and adoption at the next regular City Council meeting currently scheduled for June 12, 2024, to be effective 30 days after adoption.
Item 6B. 127
there are issues. The applicant would have the ability to appeal such an action to the City Council.
Short Term Rental Regulations
Proposed Short Term Rental Regulations are provided as Attachment 3. The regulations are intended to limit the number of guests, establish quiet hours, and provide notification to surrounding property owners. It is intended to allow only one short term rental on a property at a time. For instance, if there is an accessory dwelling unit (ADU) on the property, both the primary dwelling and secondary ADU shall not be rented at the same time, but either may be allowed as a short-term rental.
Proposed limits on the number of Short-Term Rentals is not proposed at this time because while the city has received interest from potential permittees, it is not expected that there will be a large number proposed such as in tourist locations like Lake Tahoe. If in the future, the interest in Colfax is larger than anticipated, staff can always bring the Ordinance back to the City Council to consider limits.
The following are several of the performance standards outlined in the proposed Short-Term Rental Regulations:
Complaints: A responsible contact must be designated for each rental that would be responsible for responding to any complaints within 30 minutes, regardless of time of day.
Noise: No outdoor amplified music would be allowed, and quiet hours between 10:00 p.m. and 7:00 a.m. would be established.
No special events (weddings, or other commercial activities) would be permitted.
General Plan Consistency Findings:
The proposed Ordinance amending the Municipal Code is consistent with the General Plan because the proposed Ordinance will enhance existing permit procedures and operational standards for the use of residential structures as transient occupancies, thereby ensuring the health and safety of occupants, guests and surrounding residential neighborhoods and minimizing negative effects associated with such uses.
The proposed Ordinance amending the Municipal Code would not be detrimental to the public interest, health, safety, convenience or welfare of the County because the proposed regulations enhance existing permit procedures and operational standards for the use of residential as transient occupancies, thereby ensuring the health and safety of occupants, guests and surrounding residential neighborhoods and minimizing negative effects associated with such uses;
The proposed Ordinance amending the Municipal Code is internally consistent with other applicable provisions of the Municipal Code. The proposed Ordinance adds new definitions, regulations, establishes permit requirements and expands tourist opportunities within the city.
Fiscal
Short-Term Rental applicants would pay a permit fee to cover staff costs associated with processing the permits. In addition, Short-Term Rentals would be subject to the City’s Transient Occupancy Tax. The revenue generated by this tax is dedicated to funding general city services.
Item 6B. 128
Environmental Review
The proposed Ordinance qualifies under the “common sense” CEQA exemption pursuant to CEQA Guidelines Section 15060(c)(2) and 15061(b)(3), which provides that, where it can be seen with certainty that there is no possibility that a project may have a significant effect on the environment, the project is not subject to CEQA. CEQA only applies to projects that have the potential for causing a significant effect on the environment – either through direct impact or reasonably foreseeable indirect impact. The proposed Ordinance does not have that possibility.
Direct impact of the proposed Ordinance on the environment will be minor. It is not expected to prompt any new development or direct physical effects. Instead, the expected result of the proposed Ordinance is to establish regulations governing the use of Short-Term Rentals within the City to reduce the potential for impacts. Accordingly, the City believes the “common sense” exemption is most appropriate for this project.
Attachments
1. Short Term Rental Ordinance Cover
2. Short Term Rental Ordinance
3. Short Term Rental Regulations.
Item 6B. 129
CITY OF COLFAX
ORDINANCE NO. ___
AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF COLFAX AMENDING COLFAX MUNICIPAL
CODE TITLE 17 BY ADDING CHAPTER 17.123 AUTHORIZING AND
REGULATING SHORT TERM RENTALS.
The City Council of the City of Colfax does ordain as follows:
Section 1:
Title 17 of the Colfax Municipal Code is hereby amended by adding Chapter 17.123 as set forth in Exhibit A attached hereto and by this reference incorporated herein.
Section 2. Superceding Provisions
The provisions of this ordinance and any resolution adopted pursuant hereto shall supersede any previous ordinance or resolution to the extent the same is in conflict herewith.
Section 3. Severability
If any section, phrase, sentence, or portion of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, the invalid or unconstitutional portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions hereof.
Section 4. California Environmental Quality Act Findings The City of Colfax finds that, if the provisions of the California Environmental Quality Act, Public Resources Code §21000 et seq (hereinafter "CEQA") apply, the title of this ordinance would constitute a brief description of the "Project" as required by Section 15062(a)(1) of the Guidelines for Implementation of the California Environmental Quality Act published by the State of California Office of Planning and Research (hereinafter the "CEQA Guidelines").
FINDING OF NO PROJECT
The City of Colfax finds that adoption of this ordinance does not constitute a "Project" as that term is defined by or used in CEQA, the CEQA Guidelines or any court of attorney general opinion construing the same. Accordingly, the City of Colfax finds that the provisions of CEQA and the CEQA Guidelines are not applicable to said action.
FINDING OF EXEMPTION
In the event that it is found that the said action constitutes a "Project" as defined by or used in CEQA or the CEQA Guidelines, which finding would be contrary to the City’s opinion of its action, the City of Colfax hereby finds that said action is exempt from compliance with CEQA and the CEQA Guidelines, for the following reasons: The action falls within the “common sense” CEQA exemption provided in 14 CCR 15061(b)(3) in that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment, the action is not subject to CEQA. CEQA Guidelines, Section 15061(b)(3). It can be seen with certainty that adoption of this ordinance and its provisions cannot possibly have a significant effect on the environment.
Item 6B. 130
This ordinance shall, within 15 days after its adoption, be published or posted in accordance with Section 36933 of the Government Code of the State of California with the names of those City Council members voting for and against it.
The foregoing ordinance was introduced at a duly held regular meeting of the City Council of the City of Colfax on the ___ day of __________ 2024 and passed and adopted at a duly held regular meeting of the City Council on the ___ day of __________ 2024, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
______________________________
Kim Douglass
Mayor
APPROVED AS TO FORM: ATTEST:
_______________________________ _____________________________ Alfred Cabral Amanda Ahre
City Attorney City Clerk
Item 6B. 131
EXHIBIT A
CITY OF COLFAX
ORDINANCE NO. XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COLFAX AMENDING COLFAX MUNICIPAL CODE TITLE 17 BY ADDING CHAPTER 17.123 AUTHORIZING AND REGULATING SHORT TERM RENTALS.
THE CITY COUNCIL OF THE CITY OF COLFAX DOES ORDAIN AS FOLLOWS:
Title 17 of the Colfax Municipal Code is hereby amended by adding Chapter 17.123, “Short Term Rentals” to read as follows:
17.123.010 Purpose and Intent
It is the purpose of this chapter to provide rules governing the issuance of permits and establishment of operational requirements and restrictions for short-term rentals of dwellings within the City of Colfax. The intent of this chapter is to ensure that the operation of these short-term rentals is consistent with applicable local, State and Federal laws, statutes, rules, and regulations.
17.123.020 Permit Required
It is unlawful for any person to advertise, maintain, authorize the use or occupancy of, or operate a short-term rental of a dwelling in the City of Colfax without first obtaining a valid permit as required by this chapter. A short-term rental permit may not be issued for both a single-family dwelling and an accessory dwelling unit on the same parcel.
17.123.030 Term and Scope of Permit
A short-term rental permit issued under this chapter shall expire twelve (12) months from the date of issuance, unless revoked, suspended or surrendered earlier.
The permit authorizes the permittee to conduct only such activities and services as described in the permit and in accordance with the terms and conditions of the permit and the requirements and limitations in this Chapter. It is unlawful for a permittee or other responsible person to violate the terms and conditions of the short-term rental permit.
17.123.040 Definitions Used In this Chapter
For purposes of this chapter, the following definitions apply:
A. “Accessory Dwelling” unit has the same meaning as defined in California Government Code Section 65852.2.
Item 6B. 132
B. “Advertise” or “Advertisement” means any method used to solicit interest in a short-term rental including but not limited to, internet-based listing or hosting services.
C. “Lodger” means a person to whom a person is providing lodging for compensation.
D. “Owner-occupied Short-Term Rental” is where the owner or tenant is permanently residing within the Short-term rental.
E. “Parcel” means property assigned a separate parcel number by the Placer County Assessor.
F. “Permittee” means the property owner to whom a short-term rental permit is issued.
G. “Person” means any individual, partnership, co-partnership, firm association, joint stock company, corporation, limited liability company or combination of the above in whatever form or character.
H. “Property Owner” means the owner of fee title to the property on which the short-term rental exists, or their agent authorized to rent the short-term rental.
I. “Single Family Dwelling” means a building or portion thereof, except a tent or trailer, designed or intended to be used for residence purposes by one family. Mobilehomes which are not placed on a permanent foundation will be treated as a trailer for the purposes of this definition.
J. “Short-term Rental” means any single-family dwelling or accessory dwelling unit located in a residential or commercial zone that is rented in whole or in part on a short-term basis. A short-term basis is thirty (30) calendar days or less to the same person or the same group of persons.
17.123.050 Application and Renewal of Short-term Rental Permits A. A property owner may apply for a short-term rental permit by filing an application with the Planning Director and/or designee. The application must be on a form approved by the Planning Director and/or designee and may require any information or documentation consistent with the provisions of this chapter. The permit application shall be on a form furnished by the city and signed by the applicant. Such application shall include, but not be limited to, the following information:
1. Name, address, and telephone number of the applicant;
2. Name, address, and 24-hour telephone numbers(s) of applicant and secondary point of contact, if the applicant is not located onsite;
3. Floor plan, parking location(s), a copy of the business license, and proof of insurance;
4. Any supplemental information which the Planning Director or designee finds reasonably necessary to determine whether to approve a shortterm rental permit.
B. To renew a short-term rental permit, the permittee shall file an application with the Planning Director or designee that complies with Section A above. The Item 6B. 133
application must be submitted no later than thirty (30) calendar days prior to the short-term rental permit expiration date.
C. Knowingly making a false statement of fact or knowingly omitting any information that is required in an application for a short-term rental permit shall be grounds for denial of a permit.
17.123.060. Permit Fee
Every permit application shall be accompanied by a nonrefundable short-term rental permit application fee as established by resolution of the City council, as may be amended from time to time. This application fee shall be in addition to the City’s business license tax, transient occupancy tax, and any other license, permit fee, or penalty fee imposed by local, State or Federal laws, statutes, rules, or regulations.
17.123.070 Registry Required.
A. Every permittee within the City of Colfax shall keep a register containing the following information or each person who stays at the short-term rental and shall maintain such register for a period of eighteen (18) months;
1. Name
2. Address;
3. Vehicle year, make, model, color;
4. License plate number;
5. State in which the vehicle is registered;
6. Date of arrival;
7. Date of departure;
8. Number of guests;
9. The amount of rent paid by lodgers for each night of lodging.
17.123.080 Suspending, revoking, or conditioning a short-term rental permit.
A. The Planning Director or designee may suspend, revoke, or condition any shortterm rental permit if the permittee has violated any provision of this chapter or if it is determined that it is necessary to preserve the health, safety and welfare of lodgers and citizens of Colfax.
B. Additionally, upon issuance of any permit, the Planning Director or designee may limit the permit by any condition reasonably necessary to preserve the health, safety and welfare of lodgers and the citizens of Colfax and fulfill the purpose of this chapter.
C. The conditions that the city may impose on the short-term rental permit include, but are not limited to:
1. Requiring the permittee to remain at the short-term rental during certain hours while guests are present;
2. Reducing the number of guests that are allowed to lodge at the short-term rental;
Item 6B. 134
3. Reducing the number of days in a year that the permittee is allowed to provide short-term lodging;
4. Reducing the number of vehicles that may park on the property.
17.123.100 Grounds for Denying a Short-term Rental Permit The Planning Director may deny an application for a short-term rental permit for any of the following reasons;
A. The application is incomplete;
B. The application contains a false or misleading statement or omission of a material fact;
C. The Short-term rental or permittee is currently in violation of, or under investigation for violation of any local, State or Federal laws, statutes, rules or regulations;
D. The property owner or occupants of the short-term rental is delinquent on any payment to the city of any fees, penalties, taxes, or any other monies related to the short-term rental property including, but not limited to, transient occupancy taxes;
E. If a short-term rental permit for the dwelling was ever revoked or suspended; F. The operation of a short-term rental is a threat to the public health, safety, or welfare; or
G. Any required application fee or renewal fee has not been paid.
17.123.110 Appeal of Action on Permit
A. Any permittee may appeal the Planning Director’s decision to deny, suspend, revoke, or condition a short-term rental permit by submitting a written notice of appeal to the Planning Director within fourteen (14) calendar days from the date of service of the notice of decision.
D. The appeal hearing shall be conducted by the City Council or the City Council’s designee pursuant to Colfax Municipal Code Chapter 17.56 “Revocation Procedure.
B. Upon receipt of any appeal filed pursuant to this section, the Planning Director or designee shall schedule the appeal hearing within forty-five (45) calendar days, or as soon thereafter as is practicable.
C. The City shall provide a notice of the appeal hearing to the appellant. The notice shall be in writing and contain the date, time and location of the appeal hearing.
The notice shall be provided to the appellant at the address shown on the appeal at least fifteen (15) calendar days prior to the date of the hearing.
D. Only those matters or issues specifically raised by the appellant in the written notice of appeal shall be considered in the appeal hearing.
E. If such an appeal is not received within fourteen (14) calendar days, the decision of the Planning Director shall be final.
Item 6B. 135
17.123.130 Violations
A. It is unlawful for any person to operate a short-term rental without complying with the provisions of this chapter. Violation of any provision of this chapter may, at the discretion of the Planning Director, be charged as an administrative citation under Chapter 1.25 of this Code, or as a misdemeanor or infraction under Chapter 1.24 of this Code. Each day a violation is committed or permitted to continue shall constitute a separate offense. In the case of administrative citations, administrative fines shall be assessed in the amounts provided under Section 1.25.030 B 2 of this Code for commercial, industrial and other properties.
B. Violations of this chapter are hereby declared to be a public nuisance.
Additionally, a public nuisance may be deemed to exist if operation of the shortterm rental results in:
1. More than one response to the parcel, property and/or short-term rental, from law enforcement officers during the term of the permit;
2. Disruption to the free passage of persons or vehicles in the immediate neighborhood;
3. All short-term rental guests are required to comply with the noise standards of the City of Colfax General Plan and the community noise equivalent levels (CNEL) standards (Table 4-3 Noise Compatibility Standards of the General Plan).
4. Any other impacts on the neighborhood or public generally which are disruptive of normal activity in the area.
C. The remedies and penalties provided herein are cumulative and nonexclusive.
The use of one does not prevent the use of other criminal, civil, or administrative remedy or penalty authorized by, or set forth in, the Colfax Municipal Code.
None of the penalties or remedies authorized by, or set forth in, the Colfax Municipal Code shall prevent the city from using any other penalty or remedy under State statute which may be available to enforce this chapter or to abate a public nuisance.
17.123.140. Adoption of Rules and Regulations.
The City Manager or designee may develop operational rules, regulations requirements, or performance standards to implement the provisions and intent of this Chapter. All such operational rules, regulations, requirements, or performance standards shall be placed on a public meeting agenda for review and approval by resolution of the city council prior to being implemented.
Item 6B. 136
Short-term Rental Performance Standards
A short-term rental shall be subject to the following conditions and criteria:
A. Maximum number of occupants. The maximum number of overnight guests for a short- term rental shall not exceed two (2) persons per bedroom, excluding children under the age of 12. Additional daytime guests are allowed between the hours of 7:00 a.m. and 10:00 p.m.
B. No permittee may rent both a single-family dwelling unit and an accessory dwelling unit on the same parcels. It is the intent of this section that only one dwelling be rented on a short-term basis per parcel at the same time.
C. All eligible short-term rentals shall be located on a parcel developed with a singlefamily dwelling.
D. The short-term rental must be in a legally constructed single-family dwelling on a permanent foundation. Permanent foundations must be constructed of durable materials; i.e. concrete, mortared masonry, or treated wood - and be site-built. It shall have attachment points to anchor and stabilize the manufactured home to transfer all loads, herein defined, to the underlying soil or rock. The permanent foundations shall be structurally designed by a licensed professional engineer.
E. Notice: Prior to issuance of a short-term rental permit, the permittee shall notify all owners of property, as shown on the most recent secured Placer County Assessor’s roll, within three hundred (300) feet of the permitted short-term rental involved in the application. The notice shall be in writing and contain the location of the short-term rental and the contact information for the permittee and the permittee’s designated secondary contact.
F. Responsible Contact: The permittee or designated secondary contact must be able to be onsite and respond to any complaints within thirty (30) minutes of notification, regardless of time of day.
G. Complaints: The owner shall upon notification that any occupant or guest of the short term rental has created unreasonable noise or disturbances, engaged in disorderly conduct, or committed violations of any applicable law, rule or regulation pertaining to the use and occupancy of the subject short term rental, promptly respond in a timely manner to immediately halt or prevent a recurrence of such conduct by the responsible person, occupants, or guests. Failure of the owner to respond to calls or complaints regarding the condition, operation, or conduct of occupants or guests of the short-term rental within a timely manner shall be subject to all administrative, legal and equitable remedies available to the city.
H. A permittee shall post a copy of the short-term rental permit in a conspicuous place in each room in which a lodger is expected to sleep.
I. All persons operating a short-term rental shall identify the City short-term rental permit number in any advertisement for that rental.
J. Commercial Events Prohibited: Auctions, commercial functions, or similar events are prohibited in any short-term rental.
Item 6B. 137
K. No permittee shall allow any conferences, weddings, fundraisers, or similar gatherings at the short-term rental. Additionally, no permittee shall allow any special event that would otherwise require a city permit.
L. The Applicant shall maintain a valid city of Colfax Business license.
M. All short-term rentals shall comply with any and all applicable Federal, State, and/or local laws, including without limitation all zoning requirements and the California building Standards Code and Fire Code, as adopted by the City of Colfax and as amended or replaced from time to time.
N. Noise: No outdoor amplified music is allowed.
O. Quiet hours of 10:00 p.m. to 7:00 a.m. must be maintained.
P. Each short-term rental shall be used and maintained in a manner that is consistent with the character of the neighborhood in which it is located.
Q. Inspections. The City of Colfax reserves the right to inspect the short-term rental to ensure compliance with the Short-Term Rental Ordinance.
R. Active Building Permits Short-term rentals shall not be rented during construction, remodeling, additions, or an active building permit, unless the building permit for the same has been approved by final inspection or city issued occupancy certificate, or approval by the Building Inspector, and upon an affirmative showing by the agent that the safety and welfare of occupants can be maintained. If the work creates an uninhabitable area by lack of sanitation, cooking, sleeping, or heating, the chief building official shall deem the structure uninhabitable, and the structure shall not be rented as a short-term rental until authorized by the county’s building division for such use or occupancy.
S. Legal Responsibility: The permittee and lodger shall be required to execute a formal acknowledgment that he or she is legally responsible for compliance with all applicable laws, rules and regulations pertaining to the use and occupancy of the short-term rental unit by all occupants of the short-term rental and their guests. This information shall be maintained by the permittee/owner for a period of three (3) years and be made readily available upon request of any officer of the city responsible for the enforcement of any provision of the Municipal Code or any other applicable law, rule or regulation pertaining to the use and occupancy of the short-term rental.
Item 6B. 138
SHORT TERM RENTAL ORDINANCE
CITY COUNCIL MEETING
MAY 22, 2024
Item 6B. 139
PROPOSED SHORT TERM RENTAL
ORDINANCE
Draft Ordinance to allow residential uses to be
rented out on a short- term basis (30-days or
less).
Amend the Municipal Code by adding Chapter
17.123 to authorize and regulate Short-Term
Rentals within the City
Item 6B. 140
BACKGROUND
• January 25, 2023, Council directed staff to draft
regulations to allow short term rentals.
• June 14, 2023, City Council Workshop
• City continues to receive inquiries about short
term rentals
• Airbnb and VBRO google search shows
approximately 12-14 existing short-term rentals
currently advertising within the city
Item 6B. 141
PURPOSE
• Stives to strike a balance between businessfriendly economic development while maintaining residential neighborhoods and
reducing potential impacts
• Establishes Permit Process and Regulations
Item 6B. 142
PROPOSED SHORT TERM RENTAL
REGULATIONS
• Subject to a yearly permit
• No limits on the number in the city at this time.
• Would limit maximum number of guests at each
site
• Requires Noticing of surrounding properties
• Responsible contact to respond to complaints
• Commercial events would be prohibited
• Noise- outdoor amplified music would not be
allowed and quiet hours established between
10:00 p.m. to 7:00 a.m.
Item 6B. 143
FISCAL IMPACTS
• Applicants would pay an Administrative Permit
fee to cover staff costs associated with
processing permits
• Rentals would be subject to the City’s Transient
Occupancy Tax. This revenue would fund
general city services
Item 6B. 144
RECOMMENDATION
• Introduce the proposed ordinance by title only,
conduct a public hearing, waive the first reading
and schedule the proposed ordinance for
second reading and adoption at the next regular
City Council meeting currently scheduled for
June 5, 2024, to be effective 30 days after
adoption.
Item 6B. 145
Staff Report to City Council
FOR THE MAY 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Kathy Pease, AICP, Planning Consultant
Subject: MU-1 Zoning Code Amendment, Ground Floor Retail Ordinance.
Budget Impact Overview:
N/A: Funded: √ Un-funded: Amount: Fund(s): LEAP
Summary/Background
This is a proposal to consider adoption of a zoning code amendment to the Mixed Use-1 (MU-1) Zoning District to allow additional uses within ground floor retail spaces in the Downtown District.
According to the Zoning Code: Mixed Use – 1 is applied to Main Street in the Historic Downtown (MU-1) and is intended to retain the historic character of the downtown while providing a vibrant mix of uses in an attractive area where the community and visitors gather to shop, socialize, and recreate, and where residents can live. This district requires that the ground-floor spaces with street frontage be accessible to the public and that uses generate walk-in clientele to contribute to and activate the pedestrian experience along Main Street. Appropriate ground-floor uses with street frontage include retail shops, cafes, restaurants, and other similar uses that generate pedestrian traffic. Currently, spaces without ground-floor street frontage are intended for uses such as offices, residential, and lodging.
Discussion
The proposed Ordinance amendment would amend Chapter 17 of the Colfax Municipal Code, Section 17.74.020, to eliminate some commercial restrictions for ground floor retail space.
Currently the Zoning Code allows many uses by right in the MU-1 District but states that only retail uses can be on the ground floor, other uses are restricted if they have a footnote reference:
(1) Only allowed on the second story or on ground floor portions of buildings that are no less than 30 feet from the front property line.
This means that the following uses would not be allowed to occupy vacant ground floor retail spaces:
• Community services
• Essential services
• Libraries and museums
• Veterinary Clinic
RECOMMENDED ACTION: Introduce the proposed ordinance by title only, conduct a public hearing, waive the first reading and schedule the proposed ordinance for a second reading and adoption at the next regular City Council meeting currently scheduled for June 12, 2024, to be effective 30 days after adoption.
Item 6C. 146
• Broadcasting and Recording Studios
• Business Support Services
• Offices, Professional
• Personal Services
Staff has recently been contacted by businesses interested in buying and/or occupying spaces that are vacant in the Downtown area, and the way the code reads, none of the proposed uses would be allowed.
According to an article in ModernRetail, the recent retail collapse stems from retailers’ decisions going back more than two decades. Before the internet, stores’ main competition was other stores down the street. As e-commerce arose, more and more retailers entered the market, and consumers had the power of choice, and so brick and mortar retail has been struggling in recent years.
In addition, there are three particular economic trends for American retail recently that may mean it is harder to attract strict retail uses:
1. Retail sales will be kept in check by a general slowing in the economy.
2. Inflation has reduced purchasing power.
3. Consumer spending is increasing in very specific areas, such as bars, restaurants, vacations, and experiences like live sports events.
While the Zoning Code is attempting to protect retail space, it is unclear whether turning away prospective businesses is a wise choice. It may lead to vacant retail spaces that will sit vacant for an extended period of time, waiting for retail uses to come forward.
For example, a busy use like a veterinary clinic on a ground floor would activate the space and bring a steady stream of clients into the Downtown, who may end up staying to eat, or shop while they are running errands, and the business itself would eliminate a vacant space and potential blight in the near term. Therefore, this amendment is intended to allow more flexibility for commercial uses in the Downtown area.
Ground floor space restrictions would remain for residential uses.
General Plan Consistency Findings:
The proposed Ordinance amending the Municipal Code is consistent with the General Plan Mixed use designation which allows for a combination of commercial and residential uses in the downtown area.
This designation allows for shops, restaurants, services, offices, hospitality and other compatible uses.
The proposed Ordinance amending the Municipal Code would not be detrimental to the public interest, health, safety, convenience or welfare of the County because it will support commercial uses already allowed by right in the MU-1 District and support economic development.
The proposed Ordinance amending the Municipal Code is internally consistent with other applicable provisions of the Municipal Code. The proposed Ordinance adds flexibility to allow commercial opportunities within the city.
Item 6C. 147
Fiscal
There is no impact on the City’s General Fund as a result of this amendment.
Environmental Review
The proposed Ordinance qualifies under the “common sense” CEQA exemption pursuant to CEQA Guidelines Section 15060(c)(2) and 15061(b)(3), which provides that, where it can be seen with certainty that there is no possibility that a project may have a significant effect on the environment, the project is not subject to CEQA. CEQA only applies to projects that have the potential for causing a significant effect on the environment – either through direct impact or reasonably foreseeable indirect impact. The proposed Ordinance does not have that possibility.
Direct impact of the proposed Ordinance on the environment will be minor. It is not expected to prompt any new development or direct physical effects. Instead, the expected result of the proposed Ordinance is to allow flexibility in uses already allowed by right. Accordingly, the City believes the “common sense” exemption is most appropriate for this project.
Attachments
1. MU-1 Ground Floor Retail Ordinance Cover
2. MU-1 Ground Floor Retail Ordinance
Item 6C. 148
CITY OF COLFAX
ORDINANCE NO. ___
AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF COLFAX AMENDING COLFAX MUNICIPAL
CHAPTER 17.74.020 TO ALLOW ADDITIONAL COMMERCIAL USES
IN GROUNDFLOOR RETAIL SPACES IN THE MU-1 ZONING DISTRICT.
The City Council of the City of Colfax does ordain as follows:
Section 1:
Title 17, Chapter 17.74.020 of the Colfax Municipal Code is hereby amended as set forth in Exhibit A attached hereto and by this reference incorporated herein.
Section 2. Superceding Provisions
The provisions of this ordinance and any resolution adopted pursuant hereto shall supersede any previous ordinance or resolution to the extent the same is in conflict herewith.
Section 3. Severability
If any section, phrase, sentence, or portion of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, the invalid or unconstitutional portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portions hereof.
Section 4. California Environmental Quality Act Findings The City of Colfax finds that, if the provisions of the California Environmental Quality Act, Public Resources Code §21000 et seq (hereinafter "CEQA") apply, the title of this ordinance would constitute a brief description of the "Project" as required by Section 15062(a)(1) of the Guidelines for Implementation of the California Environmental Quality Act published by the State of California Office of Planning and Research (hereinafter the "CEQA Guidelines").
FINDING OF NO PROJECT
The City of Colfax finds that adoption of this ordinance does not constitute a "Project" as that term is defined by or used in CEQA, the CEQA Guidelines or any court of attorney general opinion construing the same. Accordingly, the City of Colfax finds that the provisions of CEQA and the CEQA Guidelines are not applicable to said action.
FINDING OF EXEMPTION
In the event that it is found that the said action constitutes a "Project" as defined by or used in CEQA or the CEQA Guidelines, which finding would be contrary to the City’s opinion of its action, the City of Colfax hereby finds that said action is exempt from compliance with CEQA and the CEQA Guidelines, for the following reasons: The action falls within the “common sense” CEQA exemption provided in 14 CCR 15061(b)(3) in that CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment, the action is not subject to CEQA. CEQA Guidelines, Section 15061(b)(3). It can be seen with certainty that adoption of this ordinance and its provisions cannot possibly have a significant effect on the environment.
Item 6C. 149
This ordinance shall, within 15 days after its adoption, be published or posted in accordance with Section 36933 of the Government Code of the State of California with the names of those City Council members voting for and against it.
The foregoing ordinance was introduced at a duly held regular meeting of the City Council of the City of Colfax on the ___ day of __________ 2024 and passed and adopted at a duly held regular meeting of the City Council on the ___ day of __________ 2024, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
______________________________
Kim Douglass
Mayor
APPROVED AS TO FORM: ATTEST:
_______________________________ _____________________________ Alfred Cabral Amanda Ahre
City Attorney City Clerk
Item 6C. 150
EXHIBIT A
CITY OF COLFAX
ORDINANCE NO. XX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COLFAX AMENDING COLFAX MUNICIPAL CODE TITLE 17.74.020 PERMITTED USE TYPES.
THE CITY COUNCIL OF THE CITY OF COLFAX DOES ORDAIN AS FOLLOWS:
Chapter 17.74 MIXED USE ZONES
17.74.020 Permitted use types.
Primary uses are permitted in mixed use zones subject to the requirements of this title as designated below:
A. Principally permitted use, designated as "P”.
B. Conditionally permitted use, designated as "CUP"; and C. Administratively permitted use, designated as "AP."
Primary use types not listed or designated by a dash (-) are not permitted in that zone district. Any single use that occupies more than 5,000 square feet in the MU-1 zone or more than 8,000 square feet in the MU-2 zone is subject to a conditional use permit.
Accessory uses and structures are permitted in mixed use zones subject to the requirements set forth in Chapter 17.96.
CIVIC USE TYPES MU-1 MU-2
Community Assembly (2) P(1) P
Community Services P(1) P
Essential Services P(1) P
Libraries and museums P(1) P
Power Generating Facilities(3)
Emergency P P
Passive Power P P
Public Parking Services - AP
Social Services
Food Distribution (4) CUP CUP
Item 6C. 151
Food Service (5) CUP CUP
Emergency Shelter (6) - CUP
RESIDENTIAL USE TYPES MU-1 MU-2
Community Care Facilities, Small
Dwelling
Accessory Dwelling Unit P(1) P
Junior Accessory Dwelling Unit P(1) P
Multi-Family P(1) P
Single-Family P(1) P
Family Day Care Homes, Small P(1) P
Family Day Care Homes, Large (7) P(1) P
Rooming and Boarding House P(1) P
Supportive and Transitional Housing P(1) P
COMMERCIAL USE TYPES MU-1 MU-2
Animal Sales and Service (8)
Grooming and Pet Stores P P
Veterinary Clinic P(1) P
Automotive and Equipment
Automotive Body and Equipment Repair - CUP
Automotive Rentals AP AP
Automotive Repairs - CUP
Automotive Sales - -
Carwash and Detailing - CUP
Commercial Parking - CUP
Gasoline Sale - CUP
Banks and Financial Services P P
Bars and Drinking Places AP AP
Broadcasting and Recording Studios P(1) P
Business Support Services P(1) P
Item 6C. 152
Community Care Facility - AP
Day Care Center AP(1) AP
Eating and Drinking Establishments
Fast Food with Drive-Through - -
Convenience P P
Full Services P P
Food and Beverage Retail Sales P P
Lodging P(1) P
Long-Term Care Facility CUP -
Maintenance and Repair P(1) P
Medical Services, General P(1) P
Neighborhood Commercial P P
Nightclubs(9) AP -
Offices, Professional P(1) P
Personal Services P(1) P
Retail Sales and Services P P
Specialized Education and Training
Vocational Schools P(1) P
Specialty Schools P(1) P
TRANSPORTATION AND
COMMUNICATION USE TYPES
MU-1 MU-2
Telecommunication Facilities(10) - P/AP/CU
P
(1) Only allowed on the second story or on ground floor portions of buildings that are no less than 30 feet from the front property line.
Item 6C. 153
MIXED USE GROUND FLOOR RETAIL ZONING
AMENDMENT
CITY COUNCIL MEETING
MAY 22, 2024
Item 6C. 154
PROPOSED MIXED USE (MU-1) GROUND
FLOOR RETAIL AMENDMENT
Draft Amendment to allow flexibility to ground
floor tenants.
Reduce vacant storefronts
Support economic development
Item 6C. 155
BACKGROUND
• According to the Zoning Ordinance
Ground-floor uses with street frontage include
retail shops, cafes, restaurants, and other similar
uses that generate pedestrian traffic.
Currently, spaces without ground-floor street
frontage are intended for uses such as offices,
residential, and lodging.
Item 6C. 156
ZONING CODE
Following businesses are only allowed on the second story or on ground floor portions of buildings that are no less than 30 feet from the front property line:
• Community services
• Essential services
• Libraries and museums
• Veterinary Clinic
• Broadcasting and Recording Studios
• Business Support Services
• Offices, Professional
• Personal Services
Item 6C. 157
SHIFT IN RETAIL
• Brick and Mortar stores struggling in recent
years
• Online shopping offers additional options
• Consumer spending is increasing, but not
necessarily with retail- entertainment, etc.
• Unclear if retail will fill storefronts in near term
Item 6C. 158
COMMERCIAL USES
• The zoning code amendment would allow
additional flexibility in filling retail space.
• Uses are already allowed by right in the MU-1
district.
• Uses that draw people to the Downtown will
activate vacant space, reduce potential blight
and have secondary economic impacts.
Item 6C. 159
RECOMMENDATION
• Introduce the proposed ordinance by title only,
conduct a public hearing, waive the first reading
and schedule the proposed ordinance for
second reading and adoption at the next regular
City Council meeting currently scheduled for
June 5, 2024, to be effective 30 days after
adoption.
Item 6C. 160
City of Colfax 3rd of July Event Funding for Fireworks
Staff Report May 22, 2024
Staff Report to City Council
FOR THE May 22, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Ron Walker, City Manager
Subject: 3rd of July Event Funding for Fireworks
Budget Impact Overview:
N/A: Funded: √ Un-funded: Amount: $5,000 -
$8,000
Fund(s): 100-110
Summary/Background
The City Council traditionally provides some funding to support certain City-wide events each year. The organizer must request the funding amount and provide details on how the money will be spent as required by the City. The annual 3rd of July event has been traditionally put on by a non-profit and the city has in the past donated money to help pay for fireworks.
This year Festivals-of-Cali-805 is a non-profit located in the Santa Barbra area that will be organizing the 3rd of July Festival. Festivals-of-Cali-805 is formally known as the Ojai Valley Lavender Festival and boasts years of experience in event planning and fostering community engagement with a dedication to creating successful and memorable events.
Conclusions and Findings
Lisa Green of Festivals-of-Cali-805 is requesting funding for the annual 3rd of July event in the amount of $5,000 to $8,000 to help pay for Fireworks.
Fiscal Impacts
City contributions to events are funded by the Fund 100 (General Fund). The current year (fiscal year 2023- 2024) budget was adopted in the amount of $20,000 of which $13,600.19 has already been expended – leaving a budget balance of $6,399.81.
Attachments:
1. Resolution __-2024
RECOMMENDED ACTION: Adopt Resolution __-2024 Approving a $5,000 to $8,000 donation to Festivals-of-Cali-805 to help fund fireworks for the 2024 3rd of July Event.
Item 9A. 161
_________________________________________________________________________________________ City of Colfax 3rd of July Event Funding for Fireworks.
Resolution _-2024
City of Colfax
City Council
Resolution № __-2024
APPROVING A $5,000-$8,000 DONATION TO FESTIVALS-OFCALI-805 TO HELP FUND FIREWORKS FOR THE 3RD OF JULY EVENT
WHEREAS, the City Council of the City of Colfax traditionally donates funds to support certain city-wide events each year; and,
WHEREAS, The organizer must request the funding amount and provide details on how the money will be spent as required by the City; and,
WHEREAS, the Festivals-of-Cali-805, organizers of the 2024 3rd of July event have requested $5,000 TO $8,000 to go towards the purchase of fireworks for the event which is scheduled for July 3rd, 2024.
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Colfax approves a donation of $________ to Festivals-of-Cali-805 to go towards the purchase of fireworks for the 3rd of July event in 2024.
THE FOREGOING RESOLUTION WAS DULY AND REGULARLY ADOPTED at the Regular Meeting of the City Council of the City of Colfax held on May 22, 2024, by the following vote of the Council:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________________________
Kim Douglass, Mayor
ATTEST:
________________________________________
Amanda Ahre, City Clerk
Item 9A. 162