Page 352 - Hurst Adopted FY22 Budget
P. 352

City Council Staff Report


           SUBJECT:   Consider Approval of Water and Wastewater Rates for Fiscal Year 2021-
           2022
           Supporting Documents:


                                                             Meeting Date: 9/14/2021

                                                             Department: Fiscal Services
           Ordinance 2492
                                                             Reviewed by: Clayton Fulton

                                                             City Manager Review:

           Background/Analysis:

           The Fiscal Services, Utility Billing and  Public Works  Departments  reviewed the
           proposed Water and Wastewater (Sewer) Services budget for Fiscal Year 2021-2022
           propose a modest rate increase of 2% to the retail water and wastewater rates.  The
           proposed water and sewer rates are expected to result in a sound financial position for
           the Enterprise Fund in Fiscal Year 2021-2022.  Weather and consumption trends can
           quickly improve or deteriorate the Enterprise Fund’s annual financial performance and
           are a significant variables considered in the rate analysis.


           Total budgeted wholesale water and wastewater costs are increasing by about 2%.
           Beyond consumption alone, other factors also contribute to increasing wholesale costs
           such as our participation in the Trinity River Authority’s Walker Calloway Branch sewer
           project. Therefore,  rising wholesale costs coupled with  the city’s efforts  to smooth
           revenue variability associated with weather patterns and water conservation efforts
           will make an increase in water and wastewater rates necessary for Fiscal Year 2021-
           2022.


           The following tables illustrate the proposed changes in wholesale water and sewer
           rates by the City  of Fort Worth for the upcoming fiscal year.  The total estimated
           increase is based upon current consumption patterns and estimates and does not
           represent a budget to budget comparison.


                               FT. WORTH PROPOSED WHOLESALE WATER RATES
             City of Fort Worth                           2020-21              2021-22             % Change
             Volume (1,000 gallons)                             $0.9709            $0.8226           -15.27%
             Raw Water                                          $1.3674            $1.3680            0.05%
             Max Day Above Average (MG)                       $105,207           $200,862            90.92%
             Max Hour Above Max Day (MG)                        $42,119            $29,767           -29.33%
             Est. Overall Increase (based on est. volumes, max hr. & max day)                          2.12%








                                                                                                          352
   347   348   349   350   351   352   353   354   355   356   357