RESOLUTION NO. 24-__
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMMERCE, CALIFORNIA APPROVING WHEREAS, on September 1, 2021, the City implemented a 3-year rate increase for the Commerce Water System’s operational costs and Capital Improvement Program (CIP) that included a PFAS Surcharge for the 3-year period; and WHEREAS, typically, as a result of the 3-year analysis, staff has had to recommend a rate increase in past years which requires a Proposition 218 notification to customers and a public hearing. However, this year, staff does not recommend a rate increase at this time; and WHEREAS, new PFAS regulations requires additional water treatment to meet State of California Drinking Water Regulations and the cost to treat for PFAS is an additional expense estimated in the range of $200,000 per year; and WHEREAS, due to these new ongoing costs, staff recommends City Council approve leaving the PFAS Surcharge of $0.62 per Centum Cubic Feet (CCF), which equate to approximately $6.20 per average monthly bill currently in the rate structure, in place rather than allow it to expire on September 1, 2024 as originally planned.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMMERCE DOES HEREBY RESOLVE, DECLARE AND DETERMINE AS FOLLOWS:
Section 1. The City Council of the City of Commerce hereby finds and declares that the foregoing recitals are true and correct, and incorporates them herein as findings and as a substantive part of this Resolution.
Section 2. Approve the continuation of the PFAS Surcharge in the water rate structure at a cost of $0.62 per Centum Cubic Feet and not allow it to expire on September 1, 2024 as originally planned.
Section 3. Authorize the Mayor to execute this Resolution.
Section 4. This Resolution shall take full force and effect immediately upon adoption by the City Council.
PASSED, APPROVED and ADOPTED this 13th day of June 2024.
Hugo A. Argumedo, Mayor
ATTEST:
Lena Shumway, City Clerk