Title
Ordinance amending water and sewer related rates for certain Lake County systems to passthrough rate increases from third party providers and to make technical corrections to previously approved rates.
Staff Summary
• The Rate Ordinance establishes all water and sewer user rates and connection fees for the County’s water and sewer systems and is reviewed annually or as needed.
• This Ordinance modification increases retail rates in accordance with section 51.20 of the ordinance, to pass through rate increases from Aqua America and the Village of Libertyville for potable water and water reclamation services. These increases have taken affect since the adoption of the rate structure which took effect December 1, 2017.
• The ordinance exhibit has been drafted in two forms to provide the Committee options in how the Department recovers the cost of the rate change.
• Option one has the Department carry the negative balance in the enterprise fund and recover the revenue in the next multiyear rate study.
• Option two has the Department include a local system surcharge so that affected customers pay a rate sufficient to enable the Department to recover the cost in the next 12-month rate cycle.
• The Ordinance modification also makes three technical corrections in the previously approved 2018 rate structure; applying the general 2% increase to the Green Oaks wholesale sewer rate; applying the general 2% increase for only the Lake County portion of the consolidated rate for municipalities in the northwest; reducing the Grayslake wholesale sewer rate $0.02 per RCE to be consistent with rates for other Southeast Central System.