10.1. SR 01-22-2013 - Laserfiche WebLink

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collection from commercial and industrial properties. The following estimated fees proposed are similar to those recently developed in other cities which are related to energy consumption and total monthly billings. Residential Monthly Fee - $9.00 Small Commercial /Industrial - $36.00 Large Commercial/ Industrial - $126.00 Staff recommends fees be collected on both the electric and gas utilities, but at different percentages. It is proposed that electric bills would have a slightly higher percentage since they are installed in all right - of -ways. Gas lines are not located in all- right -of -ways so they are responsible for lower maintenance costs. In working with Centerpoint Energy, they estimate they have facilities located in 80% of the city right -of -ways. Similarly, they only serve about 80% of the total accounts that are served with electricity. Previously Assessed Properties The proposed funding mechanism would consider property owners who were recently charged a street assessment. Over the past 12 years, 17% or 1,725 individual properties were assessed for street improvements. Nearly 900 property owners are still paying on assessments. To address this inequity, staff recommends a rebate program as follows: All properties with gas and electric service in the city would be charged a franchise fee on their bills starting in July 2013. Property owners still paying a street assessment would receive an annual rebate of the franchise fees paid that year. Rebates would apply whether assessments were prepaid or paid annually, and would be offered through the end of the assessment period. Rental properties, which also qualify for rebates, would need to be in the name of the property owner, not a tenant. To qualify for the rebate, the property owner would present copies of their gas and electric bills, and be refunded the amount paid toward the franchise fee for the year. The total rebate payments may be as high as $330,000 based on the number of properties that would qualify for the program. FINANCIAL IMPACT None. See attached analysis of projected revenues and expenditures of the proposed Pavement Management Fund and the CIP projects previously slated for assessment. Program start -up for the 2013 project will require a transfer from the Street Improvement Fund to the Pavement Management Program fund. The Street Improvement Fund will remain as the Pavement Management Program Fund and will only be used for street reconstruction and overlays. New construction, boulevards, intersection enhancements are planned in the Street Improvement Fund. An analysis of both funds is attached. • July 9, 2012, Staff Report • August 6, 2012, Staff Report • October 8, 2012, Staff Report • November 19, 2012, Staff Report • January 7, 2013, Staff Report • Pavement Management and Street Improvement Reserve Fund Analysis • Comparative list of franchise fees collected by other cities.