CMD Notice of Meeting – 08/08/18

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NOTICE OF MEETING

Chester Metropolitan District Regular Commission Meeting

Wednesday, August 8, 2018
6:00 PM

CMD Office
155 Wylie Street
Chester, South Carolina

Please note: This agenda is subject to change 24 hours before the scheduled meeting date and time.

Public Comment is limited to three (3) minutes per speaker. Only members of the public who have signed up in advance of the meeting will be allowed to speak.

PROPOSED AGENDA

I. Call Meeting to Order

 

II. Approval of Last Meeting Minutes

 

III. Public Comment

 

  1. Maeretta Strong – Non-Payment Fees
  2. Patti McCormick – Non-Payment Fees
  3. Chanel Sibley – Non-Payment Fees
  4. Tammy Markham – Non-Payment Fees
  5. Johnny Frye – Non-Payment Fees
  6. Diane Hawkins – Non-Payment Fees

V. Old Business

  1. Filter Plant
  2. Engineer’s Report
  3. DMAG Report

VI. New Business

  1. Director’s Update
  2. Policy & Procedure Changes
    1. Hydrant Meter Policy Update
    2. Forgiveness Policy Update
    3. Billing Period Adjustment

VII. Reports

  1. Director’s Report
  2. Hydrant Report
  3. Financial Report
  4. Tyler Billing/Finance Software Update
  5. Commissioner Attendance Record

VIII. Adjourn

CMD Rate & Fee Changes

Chester Metropolitan District (CMD) will be changing its water rate structure beginning in late summer of 2018. The CMD Board of Commissioners endeavored to develop a rate structure that was equitable to residential customers.  CMD hired Raftelis from Charlotte, North Carolina to review our existing water rate structure and propose a rate structure that will strike a fair balance between residential and industrial customers.

Effective September 1, 2018, CMD will no longer charge customers through a “declining block” water rate structure. A declining block water rate structure caters to large (mostly industrial) water users because the price per gallon of water goes down as water usage goes up.  Under the new structure, all customers – residential and industrial – will now have a “base rate” calculated on meter size and will pay the same flat rate per 1000 gallons of water used.  This new flat rate is $7.19 per 1000 gallons.

Customers will no longer see additional fees, such as the “Residuals Management Fee”, “DHEC Fee”, and “Capital Projects Fee.” Those charges are no longer listed as separate line items on the water bill and the charges have been included in the base rate charge and the uniform water rate.

 

Table One – Old Rate and New Rate Comparison

 

CMD’s 2017 Revenue Bond Resolution calls for a 7% water rate increase each year over the next few years.  A 7% water rate increase has been applied to the new water rate structure this year.  However, most residential customers can expect to see a decrease in their average monthly water bill, as evidenced above in Table One.

Referencing Table One, the column designated as Current Charges represents existing water charges under the old rate structure.  The column designated as 7% Increase Charges increases the current water charges by 7%.  The column designated Proposed Charges ¾” represents the new water charges using the new water rate structure.  The last column designated as Savings represents the reduction in new water charges versus the old water charges with a 7% rate increase.

The new water rate schedule met the goals of the CMD commission to develop a water rate and water rate schedule that is fairer to residential customers than the old water rate schedule.  The new water rate schedule and the proposed 2018-2019 CMD Budget were presented in two public hearings at the Chester County Library on June 27, 2018.  The public hearings were held at 2 pm and 5 pm in the Jean White Room.  The 2018-2019 CMD Budget was approved in a special call meeting of the CMD Commission held on June 29, 2018.

CLICK HERE TO SEE CMD’S CURRENT RATE AND FEE SCHEDULE.

 

Capital Recovery Fees for Water are in Effect

Chester Metropolitan District (CMD) has begun the process of imposing Capital Recovery Fees for all new development in Chester County. Customers who apply for new taps (new service; one not currently connected to CMD’s water system) will be subject to these fees, as advertised in previous articles.  The proposed capital recovery fee schedule was presented in a public hearing at the Gateway Conference Center at 6 pm on May 31, 2018.  The CMD Commission approved the capital recovery fee schedule at the June 12, 2018 monthly board meeting.

CLICK HERE TO DOWNLOAD THE CAPITAL RECOVERY FEE SCHEDULE.

CMD Notice of Public Hearing: 2018-2019 Budget

The Chester Metropolitan District will hold a public hearing in the Chester County Library’s Jean M. White Room, located at 100 Center Street at 5:00 P.M. on June 27, 2018 for the purpose of public input concerning the proposed Budget for the fiscal year 2017-2018.

The Chester Metropolitan District has contracted with Raftelis of Charlotte, North Carolina to develop a new water service rate schedule, as outlined below.

This new water service rate schedule will go into effect for all customers beginning September 1, 2018.

Water Service Base Rate

(Based on Meter Size)

3/4″  $    14.35
1″  $    21.52
1.5″  $    39.26
2″  $    60.64
3″  $  110.56
4″  $  181.87
6″  $  359.96
8″  $  573.76
10″  $  823.27

Volumetric Usage Rate

per 1,000 Gallons  $      7.19

The following fees will go into effect July 1, 2018:

Fire Line Fees
    Current   |  Proposed
10”  $    203.95  |  218.00
8”  $    193.15  |  207.00
6”  $    163.44  |  175.00
4”  $    135.07  |  145.00
Tap Fee
  Current     |  Proposed
1″ or smaller, simple install  $ 1,391.00 | 1488.00
All others — Cost of Installation
Other Fees
  Current     |  Proposed
Non-Payment Fee*  $      45.00
After Hours Reconnect Fee  $      65.00 | 69.00
Pulled Meter Fee  $      65.00 | 69.00
Late Fee  $        3.00

Engineering Fees

Backflow Test Fee  $    12.00 per result
Plan Review Fees  See Review Fee Schedule

Hydrant Meter Fees**

Refundable Deposit  $  100.00
Single Day Permit  $    50.00
15-Day Permit  $  100.00
30-Day Permit  $  200.00 renewable before expiration
Relocation Fee  $    35.00

*Non-Payment Fee – replaces the “Reconnect Fee”

** Hydrant Meter Fees – replaces the “Hydrant Meter Permit Fee”

                                                                       

FY 2017-2018             FY 2018-2019          Percent Change

Revenue                           $6,437,536                  $7,221,548                  +12.17%

Expenditures                     $6,437,536                  $7,221,548                  +12.17%

 

The Chester Metropolitan District does not receive revenue through taxation.

Non-Payment Fee to Replace Reconnect Fee

Beginning in July 2018, the Chester Metropolitan District will discontinue the “Reconnect Fee” and replace it with a “Non-Payment Fee”. This Non-Payment Fee will be charged to all past-due accounts which have not been paid within twenty-five days of the bill date.

The policy, approved by the CMD Board of Commissioners in May 2018, is as follows:

 

Bills for water service are issued monthly by the District. The bill will be sent to the mailing address specified by the Customer at the time application for service is made, or at a new mailing address designated by the Customer in writing. If a customer does not receive the bill at the appropriate time of the month, he or she is encouraged to call the District office for assistance, or to enroll in automatic draft.

The District will make every reasonable effort to see that each Customer receives a monthly bill, however, the District is not responsible for mail delivery or the lack thereof. Customers are allowed fifteen (15) days from the Bill Date to remit payment.

Should a Customer fail to remit payment in a timely manner, he or she will be subject to the following:

  • Bills not paid within fifteen (15) days shall be considered late, and a penalty will be added to the Customer’s account.
  • Accounts with bills not paid within twenty-five (25) days of the bill date will be charged a non-payment fee and will be scheduled for disconnection. Payment must be received by 5:00 PM on the twenty-fifth day to avoid the non-payment fee. Example: The bill date is the 4th of the month. A late fee will be added at 5:00 PM on the 19th of the month. The non-payment fee will be added at 5:00 PM on the 29th of the month.
  • When service to an address has been discontinued for non-payment, all charges for service to date become immediately due and payable, and service will not be restored until payment has been made in full, including any additional charges assessed by the District (including, but not limited to, meter/meter box/MXU damages, return-check fees, and/or additional deposit).
  • If a Customer is disconnected for non-payment, he or she will continue to receive a minimum monthly bill for availability of service until such time as the account is closed.

All late and non-payment fees are assessed based on the most current CMD Rate Schedule.

For more information, please call us at (803) 385-5123.