HomeMy WebLinkAboutR-11254 amending the Water and Sewer Rate Assistance Program for Residential Rate PayersR 11254
RESOLUTION NO. 11254 (2021 SERIES)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, AMENDING THE WATER AND SEWER RATE
ASSISTANCE PROGRAM FOR RESIDENTIAL RATE PAYERS
WHEREAS, in 1992, the City Council adopted Resolution 8073 to implement a
low-income water and sewer rate assistance program for City residents; and
WHEREAS, in 1996, the State of California passed Proposition 218, now Article
XIII C and D of the California Constitution, which requires rate proportionality amongst
customers; and
WHEREAS, in 2006, the California Supreme Court determined that water and
sewer utilities are subject to the requirements of Proposition 218; and
WHEREAS, the rate assistance program is currently subsidized by the general
fund to comply with Proposition 218; and
WHEREAS, customers who do not pay their bill on-time are assessed a late fee;
and
WHEREAS, late fees are not subject to Proposition 218 because they are not rates
for service and they are not a required property related fee; and
WHEREAS, the City Council desires to expand eligibility for the rate assistance
program while remaining compliant with Proposition 218.
NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo
as follows:
SECTION 1. A program to assist low-income customers who receive specific State
or Federal aid or whose income is less than twice the federal p overty rate as set forth in
Exhibit “A” shall be established.
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SECTION 2. The low-income rate assistance program shall be funded by water
and sewer late fees in an amount not to exceed $100,000 from water late fees; and not
to exceed $100,000 from sewer late fees. No property related service fees shall be used
to fund the program in a manner that would result in those fees exceeding the reasonable
costs of providing the service for which they are charged.
Upon motion of Council Member Christianson, seconded by Council Member
Pease, and on the following roll call vote:
AYES: Council Member Christianson, Marx, Pease, Vice Mayor Stewart,
and Mayor Harmon
NOES: None
ABSENT: None
The foregoing resolution was adopted this 1st day of June 2021.
______________________________
Mayor Heidi Harmon
ATTEST:
Teresa Purrington,
City Clerk
APPROVED:
J. Christine Dietrick,
City Attorney
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the
City of San Luis Obispo, California, on ______________________.
________________________________
Teresa Purrington,
City Clerk
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Exhibit A
The City’s Rate Assistance Program is a 15% discount off of the monthly water and sewer
bill of eligible customers.
A customer is eligible to receive rate assistance if:
1. The bill is in their name; and
2. The bill is for an individually metered residence; and
3. The applicant resides at the service address; and
4. The customer receives one or more of the following government subsidies at their
current address:
a) CalWorks; or
b) CalFresh (food stamps); or
c) Supplemental Social Security and/or State Supplemental Payment; or
d) Medi-Cal.
5. Or, the customer declares their household income to be less than twice the federal
poverty rate, as defined by the United States Department of Health & Human
Services.
In order to apply for rate assistance, an application form must be completed and returned
together with proof of eligibility to the City of San Luis Obispo Utilities Department. After
verification of eligibility, a 15% rate reduction will be applied to the utility account for all
future billings.
The discount is effective for one year. Customers will be required to renew eligibility for
the rate assistance program every year in November.
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