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CITY OF SAN ANTONIO
TRANSPORTATION & CAPITAL
IMPROVEMENTS (TCI)
STORM WATER UTILITY FEE
COMPREHENSIVE STUDY
TFMA - SEPTEMBER 4, 2014
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DEPARTMENT OVERVIEW
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Office of the Director
Project Delivery
Streets Storm WaterSupport Services
Transportation & Traffic
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STORM WATER FUNDS
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• Revenue from FILO
• FY 2014 Budget $3.3M
• Developer Projects
STORM WATER
REGIONAL FACILITIES
• Revenue from Storm Water Utility Fee
• FY 2014 Budget $41M
• MS4 Permit Compliance
STORM WATER
OPERATING FUND
• Storm Water Proposition
• 2007 - $131M
• 2012 - $128M
CITY OF SAN ANTONIO
BOND PROGRAM
• Regional Flood Control Partnership
• $500M, 10-Year Program
• 52 capital projects within CoSA limits
BEXAR COUNTY FLOOD
CONTROL PROGRAM
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OVERVIEW OF THE STORM WATER UTILITY FEE
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• Established May 1993• Rate structure based on lot size and land use• Funds operational services related MS4 Permit• Rate has been increased 6 times
Fiscal Year 2000 2003 2004 2005 2007 2008
Residential Rate $2.29 $2.98 $3.08 $3.68 $3.93 $4.25
% Increase 15% 30% 3.36% 19.5% 6.8% 8.14%
Transportation & Capital Improvements
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FY 2014 EXPENDITURE CATEGORIES
Budget Category FY 2014 Budget
Personal Services $13,760,851
Contractual Services $4,139,056
Commodities $1,577,835
Self Insurance/Other Expenditures $5,805,642
Capital Outlay $51,374
SAWS Reimbursement $4,419,802
Total Operating Expenses $29,754,560
Transfer to GF Indirect Cost $1,270,689
Transfer to GF Other $966,626
Transfer to Capital Projects $1,726,000
Transfer to Debt Service $6,882,754
Transfer to Grant $251,758
Total Transfers $11,097,827
Total FY 2014 Appropriations $40,852,387
Cost of Service (Operating Expenses) FY 2014 Budget
Tunnel Maintenance $2,246,384
Arterial & Collector Street Sweeping $1,651,895
Residential Street Sweeping $1,936,106
CBD Street Sweeping $1,034,225
Debris Removal $1,412,802
Channel Restoration $3,133,244
Concrete Repair $1,897,352
Natural Creekway $1,741,771
Contract Mowing $650,539
Channel Mowing/Herbicide $3,782,775
Tree Removal (Rapid Response) $1,248,149
Public Relations & Outreach $215,950
Engineering and Contracts Management $1,609,803
Administrative & Support Costs $2,722,389
Capital Outlay $51,374
Billing & Collecting (SAWS) $4,419,802
Total $29,754,560
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STORM WATER REVENUES AND EXPENDITURES ($ IN MILLIONS)
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$0
$10
$20
$30
$40
2009 2010 2011 2012 2013 2014 Estimate
Revenues Expenditures
Transportation & Capital Improvements
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BACKGROUND FOR FEE STUDY
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• TCI proposed 11.8% fee increase during FY 2013Budget process:
Increase of street sweeping cycles
Increase of mowing cycles
A portion of new service center
• Concerns raised by City Council:
Cost allocation to upper tier fees
Need for increasing street sweeping cycles
Directed TCI to examine structure and providerecommendations for FY 2014
Transportation & Capital Improvements
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CURRENT RATE STRUCTURE
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= Fee Tiers in Question
Transportation & Capital Improvements
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FINDINGS OF PILOT PROJECT STUDY
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FOCUS FINDINGS/RECOMMENDATIONS
Current Structure Analysis: Analyze the current Storm Water Utility Fee Structure and develop options for the adjustment of the upper tiers of the multifamily, commercial, and public.
1. Inequities identified in current rate structure.
2. Options were developed for an interim adjustment of the fee schedule.
Impervious Cover Analysis: Conduct a study of five pilot areas and develop a fee structure based on impervious cover maintaining current revenue levels.
1. Consultant analyzed five pilot areas.
2. Rate structure would be based on an average impervious cover for a single family-residential property of 3,250 s.f. (Equivalent Residential Unit-ERU), and a Fee of $4.06/ERU.
Benchmark Survey: Conduct a benchmark survey of other Texas municipalities.
1. A survey of municipalities in Texas identified 55 of 91 Municipalities that have storm water utility fees based on the impervious cover method.
Cost for Comprehensive Study: Determine cost of a comprehensive fee study city wide.
1. Recommended to be funded in FY 2014 Budget
2. Estimated timeline for this study - 12 months.
Transportation & Capital Improvements
Conducted January 2013 – May 2013
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IMPACT OF IMPERVIOUS AREA
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Property A – 90% Impervious
Cover
131,500 S.F.
Tier 4 = $154.81
Q = 23 CFS
Property B – 30% Impervious
Cover
132,500 S.F.
Tier 5 = $342.03
Q = 13 CFS
Transportation & Capital Improvements
• Increases volume and rate of runoff• Best measure of drainage system usage/demand
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DESCRIPTION OF COMPREHENSIVE STUDY
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Consultant CoSA
Calculate impervious cover per parcel
Internal review of all services funded by the Storm Water Utility Fee and determine revenue requirement
Develop impervious cover rate model
Develop and implement an outreach plan
Develop a Low Impact Development (LID) Credit/Incentive Mechanism
Coordinate with San Antonio Water System (SAWS) to reconfigure billing system
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PROPOSED FY 2015 PROGRAM CHANGES
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Program Change Description Cost
Mapping of Outfalls MS4 Permit requirement to map outfalls in 3 years $576K
Community Outreach and Education
MS4 Permit requirement for enhanced education and public outreach
$135K
Network Televising & Condition Assessment
Implement a pilot program to televise and condition assess storm water infrastructure
$250K
Enhanced Channel Mowing
Increase mowing from 4 to 6 cycles during growth season (March-November)
$93K
Tree Maintenance Crew
Add a crew to address landscaping included as part of capital projects
$269K
Impervious Area Management
Add a team to manage impervious area changes and appeals (3 FTEs)
$149K
Position SavingsReduce positions in street sweeping and debris removal
($330K)
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PROPOSED FY 2016 PROGRAM CHANGES
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Program Change Description Cost
Network Televising & Condition Assessment
Televise and condition assess 100 miles of storm water infrastructure (7-year program)
$1.4M
High Water Detection Maintenance
Provides funding to maintain approximately 86 additional high water detection sites
$329K
Leslie Rd. Service Center
Provides Debt Service funds to construct a new service center that will house storm water personnel
$1.5M
Capital/Maintenance Projects
Provide funding for backlog of existing storm water capital/maintenance projects
$2.5M
Median Enhancement Program
Implement a pilot program to enhance 10 acres of medians requiring less watering and maintenance/mowing cycles
$500K
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HOW WOULD THE REVISED CUSTOMER FEES BE ASSIGNED?
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• Impervious Area
Rooftops, parking, driveways, walkways, compactedsubgrades, etc.
• Equivalent Residential Unit (ERU)
Average impervious area for residential (single-family) isapproximately 3,400 square feet
• Rate Structure
Residential with multiple tiers (small, typical, large)
Non-Residential (commercial, multi-family, public)
Custom fee assignment for each land parcel
Equate impervious area to ERU
Transportation & Capital Improvements
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IMPERVIOUS COVER METHODOLOGY AND RATE IMPLEMENTATION
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• No rate change in FY 2015
• Rate change required in FY 2016 to implementrecommended programs and MS4 requirements
Transportation & Capital Improvements
Storm Water Fee Five-Year Revenue Forecast
Fiscal Year FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019
Revenue Requirement
$40.9M $42.0M $48.3M $50.1M $51.3M $52.6M
ERU Rate $4.38 $4.56 $5.32 $5.46 $5.54 $5.62
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WHAT’S THE DIFFERENCE (FY 2014)?
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Property Area = 3.1 acresImpervious Area = 1.9 acresCurrent Fee = $342.03
*Revised Fee = $106.52(1.9 acres x 12.8 ERU = 24.32 ERU x $4.38 = $106.52)
Property Area = 73.6 acresImpervious Area = 53.6 acresCurrent Fee = $342.03
*Revised Fee = $3,005.03(53.6 acres x 12.8 ERU = 686.08 ERU x $4.38 = $3,005.03)
Property Area = 5.3 acresImpervious Area = 4.9 acresCurrent Fee = $342.03
*Revised Fee = $274.71(4.9 acres x 12.8 ERU = 62.72 ERU x $4.38 = $274.71)
Impervious Cover Fee Calculation Assumptions:•1 ERU = 3,400 sq. ft.•1 acre = 43,560 sq. ft. = 43,560 sq. ft./3,400 sq. ft. = 12.8 ERU•1 ERU = $4.38
Parcel Size and Land Use-Based Fee
Impervious Cover-Based Fee
Transportation & Capital Improvements
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CURRENT EXAMPLES OF IMPERVIOUS COVER-BASED STORM WATER UTILITY FEES
Arlington, TX
Business Storm Water Fee
Six Flags Over Texas $5,751.40/month
General Motors $8,861.80/month
AT&T Cowboys Stadium $6,569.00/month
Avg. Residential ERU $4.25/month
Houston, TX
Business (Address) Storm Water Fee
1Mercedes-Benz of Houston Greenway (3900 SW FWY) $707.39/month
1HEB (1701. W. Alabama) $606.91/month
1Camden Midtown Apartments (702 Hadley) $328.23/month
1Texas Land & Cattle (11960 Dickinson) $122.17/month
2Residential (curb and gutter street) 3.20¢/sq. ft./month1 Source: http://verify.rebuildhouston.org/prod/mydrain.htm
2 Source: http://www.rebuildhouston.org/images/pdf/fee-schedule-final.pdf
Transportation & Capital Improvements –17
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NON-RESIDENTIALACCOUNT IMPACT ANALYSIS
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CustomerClassification
Total Accounts
At or below existing fee
Impact < $100
Impact > $100 < $500
Impact> $500< $1,000
Impact > $1,000 < $5,000
Impact > $5,000
Multi-Family 4,2542,649
(62.3%)1,404
(33.0%)189
(4.4%)12
(0.3%)0
(0%)0
(0%)
Commercial 16,23313,337 (82.2%)
2,411 (14.9%)
353 (2.2%)
86 (0.5%)
39 (0.2%)
7 (0.0%)
Public 2,7501,994
(72.5%)381
(13.9%)289
(10.5%)49
(1.8%)35
(1.3%)2
(0.1%)
Total 23,237 17,980 4,196 831 147 74 9
• FY 2014 revenues (ERU 3,400 sf @ $4.38)
77% at or below their current fee
1% significantly impacted (increase >$500)
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RESIDENTIALACCOUNT IMPACT ANALYSIS
• FY 2014 revenues (ERU 3,400 sf @ $4.38)
25% with monthly reduction of $1.36; 48% withmonthly increase of $0.13
24% with monthly increase of $2.10; 3% with monthlyincrease of $8.67
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Proposed Tiers
Range of Impervious Sq. Ft.
CountERURate
Monthly Fee
Tier 1 0 - 2,748 87,535 0.66 $2.89
Tier 2 2,748 – 4,129 165,377 1.00 $4.38
Tier 3 4,129 – 7,000 83,320 1.45 $6.35
Tier 4 7,000 + 10,443 2.95 $12.92
Total 346,675
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LID CREDIT/INCENTIVE MECHANISM
• Coordinated with San Antonio River Authority (SARA) to develop a user friendly worksheet
• Incentive based oneffective imperviousarea
• 20% max credit
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PUBLIC OUTREACH
• Over 30 meetings held with stakeholders
Chambers of Commerce and ISDs
Professional Real Estate and Engineering Groups
Individual Briefings for Most Impacted (increase>$5,000)
Council Committee and Individual Briefings
• Website: www.sanantonio.gov/stormwaterfee
• SAWS included information on each ratepayer’smonthly water bill in August
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NEXT STEPS
• Continue coordinating with stakeholders
Definition of Impervious Area
Max Incentive/Credit of 20% for LID
Multi-year phase in for significantly impactedaccounts (increase of $500 or more per month)
• Creating technical sub-committees to addresseach concern over next few months
• Recommendations to City Council in FY 2015
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