CHAPTER 6
UTILITY RATES

ARTICLE 1. PROCEDURE FOR AMENDING UTILITY RATES

SECTION:

§3950    Statement Of Policy

§3951    Rates Affected By This Chapter

§3952    Proposal For Rate Changes

§3953    Notice Of Proposed Change

§3954    Content Of Prior Notice

§3955    Public Hearing Required

§3956    Action By Council

§3957    Publication Of Resolution Establishing Rates

§3950 STATEMENT OF POLICY

It is the intent of the City Council through the procedures outlined in this Chapter to provide opportunities for citizens to be informed of proposed utility rate adjustments prior to action by Council and to allow citizens an opportunity to present their views prior to Council action. (Ord. 653, §1, adopted 1973; amd. by Ord. 664, §1, adopted 1975)

§3951 RATES AFFECTED BY THIS CHAPTER

The amendment of the following fees, charges, rates and taxes shall be accomplished according to the following procedure outlined in this chapter:

A.    Electric Service Rate Schedules: Provided, however, P.G.&E. fuel cost adjustments as approved by the California State Public Utilities Commission for retail rates shall be adopted without adherence to notice requirements and public hearing procedures as set forth in sections 3953, 3954, 3956 and 3957 of this code. City shall, by administrative action, pass such fuel cost adjustments onto the electric service users as they shall occur.

B.    Garbage rate schedules consisting of franchise fees and sanitary land fill and transfer station site fees as applicable.

C.    Nothing contained in this article shall prohibit the City from authorizing automatic adjustments of fees subject to this article or payments to a contractor as defined in section 4406 of this code by reference to the United States Department of Labor’s consumer price index or a similar commonly accepted cost of living index. The City Council shall not adopt such an automatic increase without first complying with the procedures contained in this article. No such automatic increase shall remain in effect for longer than a five (5) year period, unless the rate is subject to review and revision in accordance with the procedures contained in this article not less often than every five (5) years.

D.    Utility fees, charges, and rates charged for a property related service as defined in Article XIII.D Section 2 of the California Constitution shall be adjusted in accordance with the procedures required by Article XIII D, Section 6 and Article 4.6, commencing with Section 53750 of Division 2, Part 1, Chapter 4 of the Government Code, as amended. (Ord. 653, §1, adopted 1973; amd. by Ord. 664, §1, adopted 1975; Ord. 701, §1, adopted 1977; Ord. 767, adopted 1981; Ord. 925, §1, adopted 1992; Ord. 1184, §1, adopted 2017)

§3952 PROPOSAL FOR RATE CHANGES

When a rate change appears desirable the proposal shall be referred to the City Manager who shall prepare a written report and recommendation on the proposed rate change. (Ord. 653, §1, adopted 1973; amd. by Ord. 664, §1, adopted 1975)

§3953 NOTICE OF PROPOSED CHANGE

Upon notice of the completion of the City Manager’s report the City Clerk shall cause a notice to be published in a newspaper of general circulation in the City at least ten (10) days prior to any City Council consideration of the proposed change. (Ord. 653, §1, adopted 1973; amd. by Ord. 664, §1, adopted 1975)

§3954 CONTENT OF PRIOR NOTICE

The notice caused to be published by the City Clerk shall contain the following information:

The notice shall be titled:

A.    Notice of public hearing to consider amendment of utility rates.

B.    The date, time and place when the hearing will be held.

C.    A copy of the proposed rate structure and the suggested effective date.

D.    A statement that the city manager’s report is on file with the city clerk and is available for review by interested persons. (Ord. 653, §1, adopted 1973; Ord. 664, §1, adopted 1975)

§3955 PUBLIC HEARING REQUIRED

Prior to adopting any change in utility rates, the city council shall hold a public hearing for the purpose of hearing the report and recommendation of the city manager and the comments of any interested persons. Such hearing may be continued if the council so desires. (Ord. 653, §1, adopted 1973; Ord. 664, §1, adopted 1975)

§3956 ACTION BY COUNCIL

Following the public hearing the city council may amend, revise, add to, and make deletions from the proposed rate change. The rate schedule so arrived at shall be put in the form of a resolution and shall be acted upon in the manner in which resolutions are usually considered by council. (Ord. 653, §1, adopted 1973; Ord. 664, §1, adopted 1975)

§3957 PUBLICATION OF RESOLUTION ESTABLISHING RATES

When the city council amends rates or charges using the procedures set forth in this chapter the city clerk shall cause the publication of the resolution establishing rates in a newspaper of general circulation in the city within ten (10) days following council action. (Ord. 653, §1, adopted 1973; Ord. 664, §1, adopted 1975)