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Home My WebLink About16-Public Works CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Randy Kuettle,Acting Director of Subject: Public Hearing — Consideration of Public Works actions implementing the Matrix Report Dept: Public Works-Integrated Waste recommendations related to the customer Management Division service section of the Integrated Waste Management Division, adopting or amending Date: September 13, 2010 fees and charges, and authorizing the City of San Bernardino Municipal Water Department to bill, collect and take any necessary legal actions on delinquent refuse accounts. ORIGINAL Meeting date: September 20,2010 Synopsis of Previous Council Action: November 17,2008-per Resolution 2008-433 -the Mayor and Common Council of the City of San Bernardino established the fees and rates to be charged for the collection of residential and commercial refuse and repealed Resolution 2004-239. December 21, 1982—Ord. MC-229: Adopted the provisions of Section 5473 of the Health and Safety Code, which enabled the City to have delinquent water, sanitation(rubbish, garbage, by-products), sewer and other utility charges, if any, collected on the tax roll. Recommended motion: 1) Close the public hearing and adopt the resolutions and ordinance 2) Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; 3) Lay an ordinance over for final reading amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and 4) Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. 7 Signature Contact person: Randy Kuettle,Acting Director of Public Works Phone: 384-5122 Supporting data attached: Staff Report, Ordinance, Resolutions and Attachments Ward: ALL FUNDING REQUIREMENTS: Amount: $500,000 in savings to the IWM fund Source: No impact to the General Fund Finance: Council Notes: ettt,„6„.,,, 9/2 O 6 2. 9 MC - / 3 3 S Agenda Item No. _ /6 /6- V-/O CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION STAFF REPORT Subject: Public Hearing — Consideration of actions implementing the Matrix Report recommendations related to the customer service section of the Integrated Waste Management Division, adopting or amending fees and charges, and authorizing the City of San Bernardino Municipal Water Department to bill, collect and take any necessary legal actions on delinquent refuse accounts. Background: In May 2008, R3 Consulting Group provided a Business Plan for the Integrated Waste Management Division to the Mayor and Common Council. This plan included 90 recommendations that were suggested for implementation. In 2009, the City contracted with Matrix Consulting Group (Matrix) to conduct a management study of the Integrated Waste Management Division (IWM). The study involved a comprehensive organization and management analysis of IWM operations, service levels, management practices, and staffing levels. Matrix reviewed the plan that was compiled by the R3 Consulting Group to determine the progress of implementing that report, to identify any additional opportunities for efficiencies, and to create a work plan for initiating these operational improvements. At the June 15, 2010, budget hearings, after a presentation of the Matrix report, the Mayor and Common Council directed the City Manager to implement the entire action plan. This plan contains 25 recommendations related to IWM customer service. The report concluded that the City is operating two independent utility billing and collection operations: one in the Water Department and the other in the IWM and that utility billing should be administratively centralized to capture economies of scale. In order to implement the provisions of the Matrix report action plan and, thereby, streamline the government function of refuse billing and collections, staff recommends that the City partner with the San Bernardino Municipal Water Department to bill, collect and employ any necessary legal actions on delinquent refuse accounts. The Water Department has very effective billing and collection practices and the ability to terminate service to delinquent water customers, which provides an incentive for prompt payment. This recommendation to consolidate the utility billing processes is consistent with the Mayor and Common Council's goals and priorities, identified in the March 2010 retreat, of streamlining government, enhancing customer service and communications with the community, and setting a standard of excellence in responding to customer requests. Actions Required: The following actions are required to implement the recommendations in the Matrix report regarding customer service for the IWM: • Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; 1 • Adopt an ordinance amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and • Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. Memorandum of Understanding: Staff members from the Water Department, IWM and the City Manager's office, in concert with the City Attorney's Office, have developed a Memorandum of Understanding to transfer the IWM customer service operations to the Water Department. After approval of the recommended actions, the Water Department will assume responsibility for IWM customer service on October 1, 2010. The City of San Bernardino Board of Water Commissioners approved this Memorandum of Understanding at their meeting of September 7, 2010. It is important to note that the Water Department currently bills trash service for the approximately 85% of the refuse customers within its water service area. With the implementation of this change, the Water Department will bill commercial accounts and all residential accounts served by refuse that are outside the Water Department's service area. Further, this transfer of operations will implement all 25 customer service recommendations of the Matrix report (See Attachment "1"). As a result, the customer communications should immediately improve, as the Water Department will provide five-day, 49 hour per week response, bilingual representatives, and a staff already familiar with refuse operations. The consolidation will also strengthen the ability to collect delinquent accounts through the Water Department's multi-layered collections approach and the ability to terminate water service for non-payment of any utility service. Additionally, the transition will result in enhancing the processing and writing off of non-collectible delinquent accounts for this utility; an outcome of amending this process will be the reconciliation of the IWM subsidiary financial ledger with the City's official financial statements for this enterprise. Through this transition, the outstanding delinquent accounts in excess of four years will be removed from the IWM subsidiary financial ledger. It is estimated that cost reductions resulting from the transition of the customer service operations to the Water Department may save the IWM fund $500,000 annually. This savings has already been included in the Fiscal Year 2010-11 adopted budget. Amendments to Municipal Code: In 1984, the City Council adopted an ordinance implementing Section 13.28 of the Municipal Code that allows City utilities to lien property owners in an attempt to collect unpaid municipal utility fees and charges. However, in order to clarify the language and intent of this provision, and to ensure the ability to lien property owners for delinquent IWM accounts, staff, in concert with the City Attorney's Office, recommends amending this section of the Municipal Code in order to re-adopt Section 5473 of the State of California's Health and Safety Code and add language that this provision is in effect for a period of 50 years. 2 Fee Resolution Changes The recommended action amending Resolution 2008-433, will address the minor differences between the Water Department Rates, Rules and Regulations and IWM's current rates and collection practices. Specifically, the recommended action will apply the following fees and services currently collected or enforced by the Water Department to the IWM accounts: • a$25 account initiation fee; • a deposit up to a four months of an average service, depending on prior payment history and credit history; • a$2 delinquency notice charge when an account is past due; • a service shut off 41 days past the date payment is due; • the use of a third party vendor for credit card payments by the customer. Additionally, the following corrections to current refuse fees and services will be achieved through the approval of the recommended actions: • Replace Section 11 Bin Roll-out Service to read, "...said services shall be provided to the customer at the rate of $67.26 per month..." instead of, "...said services shall be provided to the customer at the rate of$67.26 per roll-out..." • Replace Section 16 Contamination of Residential Recycling and Green Waste to read, " ... the first notification of contamination shall be by a red tag attached to the customer's contaminated container not serviced by the driver and a notification letter will also be sent by the department. The second notification shall be by a red tag attached to the customer's contaminated container not serviced by the route driver and a $25.00 fine. After the second red tag event the bin/cart will be picked up and service terminated." Further, the following additions to refuse related fees are included in the recommended Resolution(See Attachment"2"—Cost analysis worksheet) • a$54.00 Roll-off bin removal fee; • a$45.00 removal cart fee; and • a$25.00 red tag fee. Financial Impact: There will be no impact to the General Fund. The integration of the IWM customer billing and collection services with the Water Department is estimated to save the IWM approximately $500,000 annually. This savings is incorporated into the FY 2010-11 budget. Further,the Water Department's progressive and successful collection efforts, combined with the authority to lien property owners, will increase IWM revenues by decreasing the funds lost through delinquent accounts. While this is a preliminary assumption, the proposed actions will provide an enhanced tool for pursuing the collection of these delinquent bills. Recommendations: 1) Close the public hearing and adopt the resolutions and ordinance 3 2) Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; 3) Lay an ordinance over for final reading amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and 4) Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. 4 I ORDINANCE NO. \ 1 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING \ 2 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, g, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 4*N, 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 5 C DE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NO CE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 6 13.28. 0, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH 7 CITY C RK. 8 WHEXEAS, on December 21, 1982 the Mayor and Common Council approved 9 Ordinance MC-2 which adopted the provisions of Section 5473 of the Health and Safety \ 10 Code, which enabled he City to have delinquent water, sanitation (rubbish, garbage, by- products), sewer and other tility charges, if any, collected on the tax roll; and 12 WHEREAS, in ordeeN clarify the language and intent of this provision and to ensure 13 the ability to lien property owners r delinquent accounts. 14 15 THE MAYOR AND CO ON COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOL .OWS: 16 SECTION 1. Section 13.28.010 o he City of San Bernardino Municipal Code, 17 18 Collection of water, sanitation, sewer or other utili charges pursuant to State statute, is hereby 19 amended to read as follows: 20 (A) The City hereby elects to avail itself of the pro 'sions of Article 4 of Chapter 6 of 21 Part 3 of Division 5 of the California Health and Safety Code, -ction 5470, et seq., which set 22 forth an alternative method of collecting charges for services a • facilities furnished in 23 connection with sanitation, sewerage, or any other utility, whereby the .me are collected by 24 the county tax collector. 25 26 (B) This Chapter shall be effective from the date of its adoption for a perioi of fifty (50) 27 years, including any amendments thereto during that time. 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 \EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, 3 SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 COPE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NO CE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 5 13.28. 0, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY C RK. 6 m 7 (C) ' t,h respect to any individual account, and without prior notice thereof, the City 8 may elect to fo ego the provisions of this Chapter and to pursue collection of delinquent 9 charges in any othe manner permitted by law. The Integrated Waste Management Division of 10 the Public Works Dep.. ment shall develop policies and procedures regarding the collection of 11 delinquent charges. 12 (D) In addition to a remedy contained herein, the City and the San Bernardino 13 Municipal Water Department a e hereby authorized to discontinue all utility services and 14 15 provide notice to property owner's e rty-one (41) days after the payment was due. 16 SECTION 2. Section 13.28.02i of the City of San Bernardino Municipal Code, Notice 17 of Delinquent Utility Accounts, is hereby .•ded to read as follows: 18 (A) Any person or entity who receiv:s water, sanitation, storm drainage, or sewerage 19 services whose account has Delinquent Charge for services shall be mailed a notice of the 20 delinquent charges. 21 22 (B) The City Manager, or his or her designee, s,all notify the assessed owner shown on 23 the latest equalized tax assessor's roll whenever delinqu: t and unpaid charges for services, 24 which may become a lien on real property in the manner -t forth in this chapter, remain 25 delinquent and unpaid for sixty (60) days. The notice so prove,ed shall notify the assessed 26 owner of the Delinquent Charges and the lien provided by this Chapte 27 /// 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RU BISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFF CTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, 3 SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE`SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 5 13.28.030;DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLE'' . 6 7 SECTIO 3. Section 13.28.025 of the City of San Bernardino Municipal Code, 8 Definition, is hereby .mended to read as follows: 9 (A) "Delinquen Charges" for the purposes of this chapter means those charges for 10 11 services, equipment or faci ' ies which remain unpaid after the date due. 12 (B) "Sanitation" for the purposes of this Chapter means refuse services, including but 13 not limited to, residential, corn ,ercial, recycling or roll-off services, for the removal or 14 recycling of rubbish, garbage, by-pro. cts and like matter. 15 SECTION 4. Section 13.28.030 If the City of San Bernardino Municipal Code, 16 Description of parcel receiving services to b- filed with City Clerk is hereby amended to read 17 as follows: 18 19 The City Manager, or his or her designee, sh.. 1 cause to be prepared a written report 20 which shall be filed with the City Clerk. Said report sha contain a description of each parcel 21 of real property receiving such water, sanitation, sewer or o er utility services and the amount 22 of the delinquent charges for each parcel computed in conforms. with charges prescribed by 23 resolution of the Mayor and Common Council or pursuant to the ru -s and regulations of the 24 Board of Water Commissioners. The real property may be described b reference to maps 25 26 prepared in accordance with California Revenue and Taxation Code, Seelig' 327, 27 and on file in the Office of the County Assessor or by reference to plats or map on 28 file in the Office of the City Clerk. 1 1 O INANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICI L CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, EWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFFECTIV DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 3 6 OF PART OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 54 0, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE SECTI 6N 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PE DENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 5 13.28.030, DESC '∎ PTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. 6 7 I HEREBY CE TIFY that the foregoing Ordinance was duly adopted by the Mayor and 8 Common Council of the ity of San Bernardino at a meeting thereof, held on the 9 day of , 2 10, by the following vote, to wit: 10 Council Members A ES NAYS ABSTAIN ABSENT 11 MARQUEZ 12 DESJARDINS 13 BRINKER 14 15 SHORETT _ 16 KELLEY \ 17 JOHNSON 18 MC CAMMACK 19 20 Rachel G. Clark, CMC, City Clerk 21 The foregoing ordinance is hereby approved this day of , 2010. 22 23 Patrick J. Morris, Mayor 24 City of San Bernardino Approved as to form: 25 James F. Penman, City Attorney 26 27 By: it „,_ / G "'a 28 � tr ORDINANCE NO. 1 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 2 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, 3 RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 4 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 5 CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, 6 DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY 7 CLERK. 8 WHEREAS, on December 21, 1982 the Mayor and Common Council approved 9 Ordinance MC-229, which adopted the provisions of Section 5473 of the Health and Safety 10 Code, which enabled the City to have delinquent water, sanitation (rubbish, garbage, by- 11 products), sewer and other utility charges, if any, collected on the tax roll; and 12 WHEREAS, in order to clarify the language and intent of this provision and to ensure 13 the ability to lien property owners for delinquent accounts. 14 15 THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS: 16 SECTION 1. Section 13.28.010 of the City of San Bernardino Municipal Code, 17 18 Collection of delinquent water, sanitation, sewer or other utility charges pursuant to State 19 statute, is hereby amended to read as follows: 20 (A) The City hereby elects to avail itself of the provisions of Article 4 of Chapter 6 of 21 Part 3 of Division 5 of the California Health and Safety Code, Section 5470, et seq., which set 22 forth an alternative method of collecting charges for services and facilities furnished in 23 connection with sanitation, sewerage, or any other utility, whereby the same are collected by 24 the county tax collector. 25 26 (B) This Chapter shall be effective from the date of its adoption for a period of fifty (50) 27 years, including any amendments thereto during that time. 28 Lcy O0°- Lk— II I ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 3 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, 5 DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. 6 7 (C) With respect to any individual account, and without prior notice thereof, the City 8 may elect to forego the provisions of this Chapter and to pursue collection of delinquent 9 charges in any other manner permitted by law. The Integrated Waste Management Division of 10 the Public Works Department shall develop policies and procedures regarding the collection of 11 delinquent charges. 12 (D) In addition to any remedy contained herein, the City and the San Bernardino 13 Municipal Water Department are hereby authorized to discontinue all utility services and 14 15 provide notice to property owner's forty-one (41) days after the payment was due. 16 SECTION 2. Section 13.28.025 of the City of San Bernardino Municipal Code, Notice 17 of Delinquent Utility Accounts, is hereby added to read as follows: 18 (A) Any person or entity who receives water, sanitation, storm drainage, or sewerage 19 services whose account has Delinquent Charges for services shall be mailed a notice of the 20 delinquent charges. 21 22 (B) The City Manager, or his or her designee, shall notify the assessed owner shown on 23 the latest equalized tax assessor's roll whenever delinquent and unpaid charges for services, 24 which may become a lien on real property in the manner set forth in this chapter, remain 25 delinquent and unpaid for sixty (60) days. The notice so provided shall notify the assessed 26 owner of the Delinquent Charges and the lien provided by this Chapter. 27 /// 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 3 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, 5 DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. 6 SECTION 3. Section 13.28.020 of the City of San Bernardino Municipal Code, 8 Definition, is hereby amended to read as follows: 9 (A) "Delinquent Charges" for the purposes of this chapter means those charges for 10 11 services, equipment or facilities which remain unpaid after the date due. 12 (B) "Sanitation" for the purposes of this Chapter means refuse services, including but 13 not limited to, residential, commercial, recycling or roll-off services, for the removal or 14 recycling of rubbish, garbage, by-products and like matter. 15 SECTION 4. Section 13.28.030 of the City of San Bernardino Municipal Code, 16 Description of parcel receiving services to be filed with City Clerk is hereby amended to read 17 18 as follows: 19 The City Manager, or his or her designee, shall cause to be prepared a written report 20 which shall be filed with the City Clerk. Said report shall contain a description of each parcel 21 of real property receiving such water, sanitation, sewer or other utility services and the amount of the delinquent charges for each parcel computed in conformity with charges prescribed by 23 resolution of the Mayor and Common Council or pursuant to the rules and regulations of the 24 Board of Water Commissioners. The real property may be described by reference to maps 25 26 prepared in accordance with California Revenue and Taxation Code, Section 327, 27 and on file in the Office of the County Assessor or by reference to plats or maps on 28 file in the Office of the City Clerk. ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, 3 SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, 5 DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. 6 7 I HEREBY CERTIFY that the foregoing Ordinance was duly adopted by the Mayor and 8 Common Council of the City of San Bernardino at a meeting thereof, held on the 9 day of , 2010, by the following vote, to wit: 10 Council Members AYES NAYS ABSTAIN ABSENT 11 MARQUEZ 12 DESJARDINS 13 BRINKER 14 15 SHORETT 16 KELLEY 17 JOHNSON 18 MC CAMMACK 19 20 Rachel G. Clark, CMC, City Clerk 21 The foregoing ordinance is hereby approved this day of , 2010. 22 23 Patrick J. Morris, Mayor 24 City of San Bernardino Approved as to form: 25 James F. Penman, City Attorney 26 27 By.. 28 CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION Date: September 13, 2010 Subject: Public Hearing - Consideration of actions implementing the Matrix Report recommendations related to the customer service section of the Integrated Waste Management Division, adopting or amending fees and charges, and authorizing the City of San Bernardino Municipal Water Department to bill, collect and take any necessary legal actions on delinquent refuse accounts. From: Randy Kuettle, Acting Director of Public Works Dept: Public Works - Integrated Waste Management Division Meeting date: September 20, 2010 Synopsis of Previous Council Action: November 17, 2008 - per Resolution 2008-433 - the Mayor and Common Council of the City of San Bernardino established the fees and rates to be charged for the collection of residential and commercial refuse and repealed Resolution 2004-239. December 21,1982 - Ord. MC-229: Adopted the provisions of Section 5473 of the Health and Safety Code, which enabled the City to have delinquent water, sanitation (rubbish, garbage, by-products), sewer and other utility charges, if any, collected on the tax roll. Recommended motion: 1) Close the public hearing and adopt the resolutions and ordinance 2) Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; 3) Lay an ordinance over for final reading amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and 4) Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. Contact person: Randy Kuettle, Acting Director of Public Works Phone: 384-5122 Supporting data attached: Staff Report, Ordinance, Resolutions and Attachments Ward: ALL FUNDING REQUIREMENTS: Amount: $500,000 in savings to the IWM fund Source: No impact to the General Fund Finance: Council Notes: Agenda Item No. .21 Oq -;1() -;).(J I () CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION STAFF REPORT Subiect: Public Hearing - Consideration of actions implementing the Matrix Report recommendations related to the customer service section of the Integrated Waste Management Division, adopting or amending fees and charges, and authorizing the City of San Bernardino Municipal Water Department to bill, collect and take any necessary legal actions on delinquent refuse accounts. Backl!round: In May 2008, R3 Consulting Group provided a Business Plan for the Integrated Waste Management Division to the Mayor and Common Council. This plan included 90 recommendations that were suggested for implementation. In 2009, the City contracted with Matrix Consulting Group (Matrix) to conduct a management study of the Integrated Waste Management Division (IWM). The study involved a comprehensive organization and management analysis of IWM operations, service levels, management practices, and staffing levels. Matrix reviewed the plan that was compiled by the R3 Consulting Group to determine the progress of implementing that report, to identifY any additional opportunities for efficiencies, and to create a work plan for initiating these operational improvements. At the June 15,2010, budget hearings, after a presentation of the Matrix report, the Mayor and Common Council directed the City Manager to implement the entire action plan. This plan contains 25 recommendations related to IWM customer service. The report concluded that the City is operating two independent utility billing and collection operations: one in the Water Department and the other in the IWM and that utility billing should be administratively centralized to capture economies of scale. In order to implement the provisions of the Matrix report action plan and, thereby, streamline the government function of refuse billing and collections, staff recommends that the City partner with the San Bernardino Municipal Water Department to bill, collect and employ any necessary legal actions on delinquent refuse accounts. The Water Department has very effective billing and collection practices and the ability to terminate service to delinquent water customers, which provides an incentive for prompt payment. This recommendation to consolidate the utility billing processes is consistent with the Mayor and Common Council's goals and priorities, identified in the March 2010 retreat, of streamlining government, enhancing customer service and communications with the community, and setting a standard of excellence in responding to customer requests. Actions Required: The following actions are required to implement the recommendations in the Matrix report regarding customer service for the IWM: . Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; I . Adopt an ordinance amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and . Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. Memorandum of Understanding: Staff members from the Water Department, IWM and the City Manager's office, in concert with the City Attorney's Office, have developed a Memorandum of Understanding to transfer the IWM customer service operations to the Water Department. After approval of the recommended actions, the Water Department will assume responsibility for IWM customer service on October 1, 2010. The City of San Bernardino Board of Water Commissioners approved this Memorandum of Understanding at their meeting of September 7, 2010. It is important to note that the Water Department currently bills trash service for the approximately 85% of the refuse customers within its water service area. With the implementation of this change, the Water Department will bill commercial accounts and all residential accounts served by refuse that are outside the Water Department's service area. further, this transfer of operations will implement all 25 customer service recommendations of the Matrix report (See Attachment "1 "). As a result, the customer communications should immediately improve, as the Water Department will provide five-day, 49 hour per week response, bilingual representatives, and a staff already familiar with refuse operations. The consolidation will also strengthen the ability to collect delinquent accounts through the Water Department's multi-layered collections approach and the ability to terminate water service for non-payment of any utility service. Additionally, the transition will result in enhancing the processing and writing off of non-collectible delinquent accounts for this utility; an outcome of amending this process will be the reconciliation of the IWM subsidiary financial ledger with the City's official financial statements for this enterprise. Through this transition, the outstanding delinquent accounts in excess of four years will be removed from the IWM subsidiary financial ledger. It is estimated that cost reductions resulting from the tranSitIOn of the customer service operations to the Water Department may save the IWM fund $500,000 annually. This savings has already been included in the fiscal Year 2010-11 adopted budget. Amendments to Municipal Code: In 1984, the City Council adopted an ordinance implementing Section 13.28 of the Municipal Code that allows City utilities to lien property owners in an attempt to collect unpaid municipal utility fees and charges. However, in order to clarify the language and intent of this provision, and to ensure the ability to lien property owners for delinquent IWM accounts, staff, in concert with the City Attorney's Office, recommends amending this section of the Municipal Code in order to re-adopt Section 5473 of the State of California's Health and Safety Code and add language that this provision is in effect for a period of 50 years. 2 Fee Resolution Changes The recommended action amending Resolution 2008-433, will address the minor differences between the Water Department Rates, Rules and Regulations and IWM's current rates and collection practices. Specifically, the recommended action will apply the following fees and services currently collected or enforced by the Water Department to the IWM accounts: . a $25 account initiation fee; . a deposit up to a four months of an average service, depending on prior payment history and credit history; . a $2 delinquency notice charge when an account is past due; . a service shut off 41 days past the date payment is due; . the use of a third party vendor for credit card payments by the customer. Additionally, the following corrections to current refuse fees and services will be achieved through the approval of the recommended actions: . Replace Section 11 Bin Roll-out Service to read, "... said services shall be provided to the customer at the rate of $67.26 per month..." instead of, "...said services shall be provided to the customer at the rate of $67.26 per roll-out..." . Replace Section 16 Contamination of Residential Recvcling and Green Waste to read, " ... the first notification of contamination shall be by a red tag attached to the customer's contaminated container not serviced by the driver and a notification letter will also be sent by the department. The second notification shall be by a red tag attached to the customer's contaminated container not serviced by the route driver and a $25.00 fine. After the second red tag event the bin I cart will be picked up and service terminated." Further, the following additions to refuse related fees are included in the recommended Resolution (See Attachment "2" - Cost analysis worksheet) . a $54.00 Roll-off bin removal fee; . a $45.00 removal cart fee; and . a $25.00 red tag fee. Financial Impact: There will be no impact to the General Fund. The integration of the IWM customer billing and collection services with the Water Department is estimated to save the IWM approximately $500,000 annually. This savings is incorporated into the FY 2010-11 budget. Further, the Water Department's progressive and successful collection efforts, combined with the authority to lien property owners, will increase IWM revenues by decreasing the funds lost through delinquent accounts. While this is a preliminary assumption, the proposed actions will provide an enhanced tool for pursuing the collection of these delinquent bills. Recommendations: 1) Close the public hearing and adopt the resolutions and ordinance 3 2) Adopt a Resolution approving a Memorandum of Understanding between the City and the San Bernardino Municipal Water Department to provide customer service, billing, cashiering, collections and data retention for refuse only customers; 3) Lay an ordinance over for final reading amending Chapter 13.28 of the City's Municipal Code granting authority to lien property owners for delinquent utility accounts; and 4) Adopt a Resolution amending Resolution No 2008-433 establishing or amending miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations ofthe San Bernardino Municipal Water Department. 4 RESOLUTION NO. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A MEMORANDUM OF UNDERSTANDING WITH THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT FOR INTEGRATED WASTE CUSTOMER, BILLING AND COLLECTION SERVICES WHEREAS, the San Bernardino Municipal Water Department under the authority of the Board of Water Commissioners, and the Waste Management Division (IWM Division) of the City currently provide customer billing and collection services through separate staff and operations; and, WHEREAS, it is the desire of the Parties that cost savings and greater efficiencies and effectiveness be achieved through integration of the customer billing and collection services of the IWM Division and the San Bernardino Municipal Water Department under the authority of the Board of Water Commissioners. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The City Manager of the City of San Bernardino is hereby authorized to execute on behalf of said City a Memorandum of Understanding (MOU) between the City of San Bernardino and San Bernardino Municipal Water Department, a copy of which is attached hereto, marked as Exhibit "A", and incorporated herein by this reference as fully as though set forth at length. SECTION 2. That pursuant to this determination the City's Director of Finance or her designee is hereby authorized to process the payment of $360,000 as defined in the Memorandum of Understanding. SECTION 3. The authorization to execute the above referenced MOU is rescinded if it is not executed by both parties within sixty (60) days of the passage of this resolution. III 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A MEMORANDUM OF UNDERSTANDING WITH THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT FOR INTEGRATED WASTE CUSTOMER, BILLING AND COLLECTION SERVICES I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held ,2010, by the following vote, to wit: day of on the Council Members: AYES NAYS ABSTAIN ABSENT MARQUEZ DESJARDINS BRINKER SHORETT KELLEY JOHNSON MCCAMMACK Rachel G. Clark, City Clerk day of The foregoing resolution is hereby approved this 2010. Patrick J. Morris, Mayor City of San Bernardino Approved as to Form: By: James F. Penman, City Attorney 1 INTEGRA TED WASTE CUSTOMER, BILLING AND COLLECTION SERVICE MEMORANDUM OF UNDERSTANDING 2 3 THIS MEMORANDUM OF UNDERSTANDING (MOU) is made and entered into this 20th day of 4 September, 2010, by and between the City of San Bernardino, a charter city (City) and the Board of Water 5 Commissioners of the City of San Bernardino (Board) (sometimes jointly referred to herein as the "Parties"). 6 Recitations: 7 WHEREAS, the City and the Board are discrete entities pursuant to the Charter of the City of San 8 Bernardino; and 9 WHEREAS, the Water Department under the authority of the Board and the Waste Management 10 Division (IWM Division) of the City currently provide customer billing and collection services through separate 11 staff and operations; and, 12 WHEREAS, it is the desire of the Parties that cost savings and greater efficiencies and effectiveness be 13 achieved through integration of the customer billing and collection services of the IWM Division and the Water 14 Department under the authority of the Water Department; and 15 WHEREAS, the Parties agree that in order to achieve the desired effectiveness and efficiencies the 1 6 reporting responsibilities of certain IWM Division employees must be modified to require close interaction with 17 the employees of the Water Department in order to insure a timely response to service problems reported to the 18 Water Department by the public, and there shall other changes in operations of IWM Division and the Water 19 Department as deemed to be required by the Parties. 20 NOW THEREFORE, it is hereby agreed by the Parties as follows: 21 1. SERVICE; The Water Department shall provide IWM Division all customer contact, billing, cashiers, data 22 maintenance, reporting, and collection services (IW Services) including the following: 23 ~ Five-day, 49-hour per-week service (Monday - Thursday 7;30-5;30 and Friday 7:30-4:30); 2 4 ~ Bilingual customer service representatives; 2 5 ~ One-stop service for all City utilities; and, 2 6 ~ Accurate data collection and retention 27 2. TERM; The Water Department will provide this service from September 1,2010 through June 30, 2013, 28 except for the termination provision stipulated in Paragraph 7. Exhibit "A" Page 1 of 4 1 3. EXTENSION: This MOU may be extended up to five times beyond July 1, 2013, through mutual 2 agreement between the City and the Board, for a period of three years for each extension. Actual cost data 3 collected during the prior agreement term shall be utilized to determine the cost of service based pricing for 4 future extensions. 5 4. PAYMENT: Beginning October 1,2010, IWM Division shall reimburse the Water Department $30,000 6 per month for all IW Services provided by the Water Department (City Payment) upon receipt of invoice from 7 Water Department. The payment covers the costs of IW Services identified by the cost of service analysis 8 provided as a basis for this agreement. 9 5. ESCALATION: On an annual basis, beginning July I each fiscal year, the Water Department will increase 10 the City Payment by a consumer price index factor (CPI- W Los Angeles, Orange County and Riverside). 11 6. SOFTWAREIHARDWARE: The Water Department maintains all computer software and hardware to 12 provide the IW Services. The Water Department is not required to modify any financial software supporting (or 13 supported by) billing, cashiering or customer service; except at the option of the Water Department. 14 7. OPERATIONAL REQUIREMENTS AND ACCOUNTABILITY: The Water Department will schedule 15 work orders for lWM Division field personnel. Such work orders shall be delivered by the Water Department 16 representative designated herein to the corresponding designated IWM Division representative. 17 representatives are as follows: Those 18 For Department: ForIW: 19 Administrative Services Manager IWM Operations Manager 20 Upon receipt of the work order, IWM Division shall obtain the performance described in the work order 21 by IWM Division field personnel within the time scheduled by the Water Department. Time for performance of 22 task under the work order shall be scheduled by the Water Department according to the following: 23 Generally, it shall be the responsibility of the City to ensure that IWM Division field personnel respond 24 within an industry-standardized reasonable time. Such industry-standardized reasonable time shall be 25 calculated, and the methodology for said calculation shall be the basis for adjustments in the above response 2 6 schedule. The schedule for response may be adjusted by mutual written agreement of the Parties. Any such 27 adjustments shall be attached to and incorporated by reference into this MOU. 28 Exhibit "An Page 2 of 4 1 The Water Department will maintain a log of deficiencies or complaints related to the response time by 2 IWM Division field personnel. The City shall meet with the Water Department to correct and address any 3 deficiencies, and City shall provide management representation at such meeting with the authority to obtain the 4 required adjustments in performance. These meetings will occur quarterly, but may be scheduled on a more 5 frequent basis if required to address deficiencies as determined by the Water Department or IWM Division. 6 In the event that the Water Department meets with the City to address deficiencies and the deficiencies 7 are not corrected within the agreed time period, the Water Department shall upon the expiration of such time 8 period, provide IWM Division with written notice of deficiencies requiring correction. IWM Division shall 9 within twenty (20) days of delivery of such written notice, correct the deficiencies listed. 10 In the event that all or any of the deficiencies remain uncorrected on the expiration of the time allowed, 11 the Water Department will shall provide written notice to the City Manager of the deficiencies. Within ten (10) 12 days of delivery of such notice, the City Manager shall meet with the General Manager of the Water Department 13 to seek resolution of all deficiencies. 14 In the event that no resolution is reached to the satisfaction of the Water Department within 30 days of 15 date of notice to the City Manager or within such longer time as agreed by the Parties, this Agreement may be 16 terminated by-the Board without further notice. 17 In the event of termination for failure to address deficiencies, the Water Department shall within 30 18 days of date of notice of termination to the City Manager, cease its performance under this MOU. The Water 19 Department shall during that time provide reasonable assistance to IWM Division to establish the delivery of the 20 terminated services through alternative means. 21 8. ONE-TIME SET UP CHARGES: IWM Division will reimburse the following one-time set up charges to 22 the Water Department: The Water Department will pay such contract invoices necessary to provide the 23 following services. The Water Department will provide an invoice, with appropriate support and IWM 24 Division will reimburse within 30 days the following contract costs: 25 )>> IWM Division billing system conversion costs (actual costs of HTE invoice) estimated at $25,000; 26 )>> IWM Division personnel training for HTE work orders (actual costs ofHTE invoice) estimated at 27 $8,000; and 28 )>> IWM Division will donate to the Water Department two bill printers currently used by IWM Division. Exhibit "An Page 3 of 4 1 9. RATES, RULES AND REGULATIONS: All rates, rules and regulations for IWM Division services shall 2 be as approved by the City Council. IWM Division will obtain such City Council approval to conform all 3 service fees to those incorporated in the Water Departments Rates, Rules and Regulations. 4 10. LIABILITY: The Department has no liability for IWM Division accounts or charges classified as 5 uncollected or uncollectable as of September 30, 20 I 0; and shall work with City Finance to process the 6 discharge ofIW debt categorized as uncollectable prior to commencement ofthe term of this MOU. 7 City shall bear all costs and shall indemnifY and hold harmless the Board and its agents of any claim, 8 action or liability arising from the creation of this MOU, this MOU, or performance of the requirements hereof 9 by the Parties. 10 This MOU is executed by and between the City of San Bernardino and the Board of Water Commissioners 11 of the City of San Bernardino for the provision of services defined above. 12 13 CITY OF SAN BERNARDINO BOARD OF WATER COMMISSIONERS 14 15 16 Date: Toni Callicott, President 17 18 Robin L. Ohama, Deputy City Clerk & Ex-Officio Secretary Date: 19 20 21 22 23 24 CITY OF SAN BERNARDINO Date: Charles E. McNeely, City Manager Approved as to Form: ATTEST: Rachel Clark, City Clerk James F. Penman, City Attorney 25 26 27 28 Exhibit "A" Page 4 of 4 1 INTEGRA TED WASTE CUSTOMER, BILLING AND COLLECTION SERVICE MEMORANDUM OF UNDERSTANDING 2 3 THIS MEMORANDUM OF UNDERSTANDING (MOU) is made and entered into this 20th day of 4 September, 2010, by and between the City of San Bernardino, a charter city (City) and the Board of Water 5 Commissioners of the City of San Bernardino (Board) (sometimes jointly referred to herein as the "Parties"). 6 Recitations: 7 WHEREAS, the City and the Board are discrete entities pursuant to the Charter of the City of San 8 Bernardino; and 9 WHEREAS, the Water Department under the authority of the Board and the Waste Management 10 Division (IWM Division) of the City currently provide customer billing and collection services through separate 11 staff and operations; and, 12 WHEREAS, it is the desire of the Parties that cost savings and greater efficiencies and effectiveness be 13 achieved through integration of the customer billing and collection services of the IWM Division and the Water 14 Department under the authority of the Water Department; and 15 WHEREAS, the Parties agree that in order to achieve the desired effectiveness and efficiencies the 16 reporting responsibilities of certain IWM Division employees must be modified to require close interaction with 17 the employees of the Water Department in order to insure a timely response to service problems reported to the 18 Water Department by the public, and there shall other changes in operations of IWM Division and the Water 19 Department as deemed to be required by the Parties. 20 NOW THEREFORE, it is hereby agreed by the Parties as follows: 21 1. SERVICE: The Water Department shall provide IWM Division all customer contact, billing, cashiers, data 22 maintenance, reporting, and collection services (IW Services) including the following: 23 )> Five-day, 49-hour per-week service (Monday - Thursday 7:30-5:30 and Friday 7:30-4:30); 24 )> Bilingual customer service representatives; 25 )> One-stop service for all City utilities; and, 26 )> Accurate data collection and retention 27 2. TERM: The Water Department will provide this service from September I, 2010 through June 30, 2013, 28 except for the termination provision stipulated in Paragraph 7. Page 1 of 4 1 3. EXTENSION: This MOU may be extended up to five times beyond July I, 2013, through mutual 2 agreement between the City and the Board, for a period of three years for each extension. Actual cost data 3 collected during the prior agreement term shall be utilized to determine the cost of service based pricing for 4 future extensions. 5 4. PAYMENT: Beginning October 1,2010, IWM Division shall reimburse the Water Department $30,000 6 per month for all IW Services provided by the Water Department (City Payment) upon receipt of invoice from 7 Water Department. The payment covers the costs of IW Services identified by the cost of service analysis 8 provided as a basis for this agreement. 9 5. ESCALATION: On an annual basis, beginning July I each fiscal year, the Water Department will increase 10 the City Payment by a consumer price index factor (CPI-W Los Angeles, Orange County and Riverside). 11 6. SOFTW AREIHARDW ARE: The Water Department maintains all computer software and hardware to 12 provide the IW Services. The Water Department is not required to modifY any financial software supporting (or 13 supported by) billing, cashiering or customer service; except at the option of the Water Department. 14 7. OPERATIONAL REQUIREMENTS AND ACCOUNTABILITY: The Water Department will schedule 15 work orders for IWM Division field personnel. Such work orders shall be delivered by the Water Department 1 6 representative designated herein to the corresponding designated IWM Division representative. Those 17 representatives are as follows: 18 For Department: For IW: 19 Administrative Services Manager IWM Operations Manager 20 Upon receipt of the work order, IWM Division shall obtain the performance described in the work order 21 by IWM Division field personnel within the time scheduled by the Water Department. Time for performance of 22 task under the work order shall be scheduled by the Water Department according to the following: 23 Generally, it shall be the responsibility of the City to ensure that IWM Division field personnel respond 24 within an industry-standardized reasonable time. Such industry-standardized reasonable time shall be 25 calculated, and the methodology for said calculation shall be the basis for adjustments in the above response 26 schedule. The schedule for response may be adjusted by mutual written agreement of the Parties. Any such 27 adjustments shall be attached to and incorporated by reference into this MOU. 28 Page 2 of 4 1 The Water Department will maintain a log of deficiencies or complaints related to the response time by 2 IWM Division field personnel. The City shall meet with the Water Department to correct and address any 3 deficiencies, and City shall provide management representation at such meeting with the authority to obtain the 4 required adjustments in performance. These meetings will occur quarterly, but may be scheduled on a more 5 frequent basis if required to address deficiencies as determined by the Water Department or IWM Division. 6 In the event that the Water Department meets with the City to address deficiencies and the deficiencies 7 are not corrected within the agreed time period, the Water Department shall upon the expiration of such time 8 period, provide IWM Division with written notice of deficiencies requiring correction. IWM Division shall 9 within twenty (20) days of delivery of such written notice, correct the deficiencies listed. 10 In the event that all or any of the deficiencies remain uncorrected on the expiration of the time allowed, 11 the Water Department will shall provide written notice to the City Manager of the deficiencies. Within ten (10) 12 days of delivery of such notice, the City Manager shall meet with the General Manager of the Water Department 13 to seek resolution of all deficiencies. 14 In the event that no resolution is reached to the satisfaction of the Water Department within 30 days of 15 date of notice to the City Manager or within such longer time as agreed by the Parties, this Agreement may be 1 6 terminated by the Board without further notice. 17 In the event of termination for failure to address deficiencies, the Water Department shall within 30 18 days of date of notice of termination to the City Manager, cease its performance under this MOO. The Water 1 9 Department shall during that time provide reasonable assistance to IWM Division to establish the delivery of the 20 terminated services through alternative means. 21 8. ONE-TIME SET UP CHARGES: IWM Division will reimburse the following one-time set up charges to 22 the Water Department: The Water Department will pay such contract invoices necessary to provide the 23 following services. The Water Department will provide an invoice, with appropriate support and IWM 24 Division will reimburse within 30 days the following contract costs: 25 );. IWM Division billing system conversion costs (actual costs ofHTE invoice) estimated at $25,000; 26 );. IWM Division personnel training for HTE work orders (actual costs ofHTE invoice) estimated at 27 $8,000; and 28 );. IWM Division will donate to the Water Department two bill printers currently used by IWM Division. Page 3 of 4 1 9. RATES, RULES AND REGULATIONS: All rates, rules and regulations for IWM Division services shall 2 be as approved by the City Council. IWM Division will obtain such City Council approval to conform all 3 service fees to those incorporated in the Water Departments Rates, Rules and Regulations. 4 10. LIABILITY: The Department has no liability for IWM Division accounts or charges classified as 5 uncollected or uncollectable as of September 30, 20 I 0; and shall work with City Finance to process the 6 discharge of IW debt categorized as uncollectable prior to commencement of the term of this MOU. 7 City shall bear all costs and shall indemnify and hold harmless the Board and its agents of any claim, 8 action or liability arising from the creation of this MOU, this MOU, or performance of the requirements hereof 9 by the Parties. 10 This MOU is executed by and between the City of San Bernardino and the Board of Water Commissioners 11 of the City of San Bernardino for the provision of services defined above. 12 13 CITY OF SAN BERNARDINO BOARD OF WATER COMMISSIONERS 14 15 16 Date: Toni Callicott, President 17 18 Robin L. Ohama, Deputy City Clerk & Ex-Officio Secretary Date: 19 CITY OF SAN BERNARDINO 20 21 22 23 24 Date: Charles E. McNeely, City Manager Approved as to Form: ATTEST: Rachel Clark, City Clerk James F. Penman, City Attorney 25 26 27 28 Page 4 of 4 ORDINANCE NO. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. WHEREAS, on December 21, 1982 the Mayor and Common Council approved Ordinance MC-229, which adopted the provisions of Section 5473 of the Health and Safety Code, which enabled the City to have delinquent water, sanitation (rubbish, garbage, by- products), sewer and other utility charges, if any, collected on the tax roll; and WHEREAS, in order to clarify the language and intent of this provision and to ensure the ability to lien property owners for delinquent accounts. THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS: SECTION 1. Section 13.28.010 of the City of San Bernardino Municipal Code, Collection of water, sanitation, sewer or other utility charges pursuant to State statute, is hereby amended to read as follows: "(A) The City hereby elects to avail itself of the provisions of Article 4 of Chapter 6 of Part 3 of Division 5 of the California Health and Safety Code, Section 5470, et seq., which set forth an alternative method of collecting charges for services and facilities furnished in connection with sanitation, sewerage, or any other utility, whereby the same are collected by the county tax collector. (B) This Chapter shall be effective from the date of its adoption for a period of fifty (50) years, including any amendments thereto during that time. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. (C) With respect to any individual account, and without prior notice thereof, the City may elect to forego the provisions of this Chapter and to pursue collection of delinquent charges in any other manner permitted by law. The Integrated Waste Management Division of the Public Works Department shall develop policies and procedures regarding the collection of delinquent charges." SECTION 2. Section 13.28.020 of the City of San Bernardino Municipal Code, Notice of Delinquent Utility Accounts, is hereby added to read as follows: "(A) Any person or entity who receives water, sanitation, storm drainage, or sewerage services whose account has Delinquent Charges for services shall be mailed a notice of the delinquent charges. (B) The City Manager, or his or her designee, shall notify the assessed owner shown on the latest equalized tax assessor's roll whenever delinquent and unpaid charges for services, which may become a lien on real property in the manner set forth in this chapter, remain delinquent and unpaid for sixty (60) days. The notice so provided shall notify the assessed owner of the Delinquent Charges and the lien provided by this Chapter." III III 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. SECTION 3. Section 13.28.025 of the City of San Bernardino Municipal Code, Definition, is hereby amended to read as follows: "(A) "Delinquent Charges" for the purposes of this chapter means those charges for services, equipment or facilities which remain unpaid after the date due. (B) "Sanitation" for the purposes of this Chapter means refuse services, including but not limited to, residential, commercial, recycling or roll-off services, for the removal or recycling of rubbish, garbage, by-products and like matter." SECTION 4. Section 13.28.030 of the City of San Bernardino Municipal Code, Description of parcel receiving services to be filed with City Clerk is hereby amended in part to read as follows: "The City Manager, or his or her designee, shall cause to be prepared a written report which shall be filed with the City Clerk. Said report shall contain a description of each parcel ofreal property receiving such water, sanitation, sewer or other utility services and the amount of the delinquent charges for each parcel computed in conformity with charges prescribed by 24 resolution of the Mayor and Common Councilor pursuant to the rules and regulations of the 25 26 27 28 Board of Water Commissioners. . .." III III ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH 6 CITY CLERK. 7 1 2 3 4 5 SECTION 5. The City and the San Bernardino Municipal Water Department are 8 9 hereby authorized to discontinue all utility services and provide notice to property owner's 10 11 12 III 13 III 14 15 forty-one (41) days after the bill was due. III 16 III 17 III 18 III 19 III 20 III 21 22 23 III III 24 III 25 III 26 III 27 III 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING 1 MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN 2 EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 3 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL 4 CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND NOTICE OF PENDENCY AND AMENDING SECTIONS 13.28.020, DEFINITION AND 5 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH 6 CITY CLERK. I HEREBY CERTIFY that the foregoing Ordinance was duly adopted by the Mayor and 7 8 Common Council of the City of San Bernardino at a 9 10 11 12 13 14 15 16 meeting thereof, held on the _ day of ,2010, by the following vote, to wit: Council Members AYES NAYS ABSTAIN ABSENT MARQUEZ DESJARDINS BRINKER SHORETT KELLEY 17 JOHNSON 18 19 MC CAMMACK 20 21 22 23 24 25 Approved as to form: Rachel G. Clark, CMC, City Clerk day of ,2010. The foregoing ordinance is hereby approved this Patrick J. Morris, Mayor City of San Bernardino 26 James F. Penman, City Attorney 27 By: 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION 2008-433 IN ORDER TO ESTABLISH ADDITIONAL FEES FOR THE INTEGRATED WASTE MANAGEMENT DIVISION (IWM) AND AUTHORIZE THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT TO BILL, COLLECT AND TAKE ANY NECESSARY ACTIONS ON IWM DELINQUENT ACCOUNTS. WHEREAS, the Mayor and Common Council adopted Resolution 2008-433 establishing the fees and rates to be charged for the collection of refuse, greenwastes and recyclables, and establishing the following fees; and WHEREAS, the fees and charges set forth therein shall apply to the collection of residential and commercial refuse and other materials by the City of San Bernardino Public Works Department, Integrated Waste Management Division; and WHEREAS, the City of San Bernardino Public Works Department, Integrated Waste Management Division has entered into a Memorandum of Understanding with the San Bernardino Municipal Water Department to provide customer billing and collection services; and WHEREAS, the Mayor and Common Council seek to provide consistency between the City of San Bernardino Public Works Department, Integrated Waste Management Division customer billing and collection services fees, charges and operations and those applicable Rates, Rules and Regulations of the San Bernardino Municipal Water Department; and WHEREAS, the Mayor and Common Council hereby amends Resolution 2008-433 and establishes miscellaneous service rates, fees and charges consistent with Rates, Rules and Regulations of the San Bernardino Municipal Water Department. III 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION 2008-433 IN ORDER TO ESTABLISH ADDITIONAL FEES FOR THE INTEGRATED WASTE MANAGEMENT DIVISION (IWM) AND AUTHORIZE THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT TO BILL, COLLECT AND TAKE ANY NECESSARY ACTIONS ON IWM DELINQUENT ACCOUNTS. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. Resolution No. 2008-433, Section 16, Charge For Late Payment, is hereby amended to read as follows: "SECTION 16. Miscellaneous Services and Charges. The following rates and schedules shall apply: I. A $25.00 account initiation fee shall be applied to new customers. 2. A fee of $2 shall be charged for the mailing of each delinquent notice. 3. A Roll-off bin removal fee of $54.00 shall be charged to customers when they are 41 days past due and have a $25 or more delinquent balance. 4. A Removal Cart fee of $45.00 shall be charged when customers are 41 days past due, have a $25 or more delinquent balance and the carts have been removed. 5. A Red Tag Fee of $25.00 shall be applied after the 1st red tag notice that informs the customer of contamination in their green or blue carts. 6. Upon accounts becoming forty days (41) past due, refuse bins and roll-off bins will be removed from residential and commercial accounts. A fee of $45.00, resulting from a failure to pay amounts owed to Integrated Waste Management shall be charged for the removal of carts for the collection of trash, green waste, and recycling. A fee of $54.00, resulting from a failure to pay amounts owed to Integrated Waste Management, shall be charged for the removal of roll-off bins for the collection trash, green waste and recycling." 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION 2008-433 IN ORDER TO ESTABLISH ADDITIONAL FEES FOR THE INTEGRATED WASTE MANAGEMENT DIVISION (IWM) AND AUTHORIZE THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT TO BILL, COLLECT AND TAKE ANY NECESSARY ACTIONS ON IWM DELINQUENT ACCOUNTS. SECTION 2. Receive and file the cost analysis worksheets, a copy of which is attached hereto, marked as Attachment "I." SECTION 3. The City hereby adopts and applies the Rates Rules and Regulations of the San Bernardino Municipal Water Department and any future amendments approved by the Board of Water Commissioners to the applicable operations of Integrated Waste Management. The adopted fees will not exceed the cost of service as approved by the Board of Water Commissioners. SECTION 4: Section II Bin Roll-out Service is hereby amended to read, "...said services shall be provided to the customer at the rate of$67.26 per month..." SECTION 5: Section 16 Contamination of Residential Recvcling and Green Waste is hereby amended to read " ... the first notification of contamination shall be by a red tag attached to the customer's contaminated container not serviced by the driver and a notification letter will also be sent by the department. The second notification shall be by a red tag attached to the customer's contaminated container not serviced by the route driver and a $25.00 fine. After the second red tag event the bin I cart will be picked up and service terminated." SECTION 6. The San Bernardino Municipal Water Department is authorized to bill, collect and take any necessary action on the Integrated Waste Management delinquent accounts. III 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AMENDING RESOLUTION 2008-433 IN ORDER TO ESTABLISH ADDITIONAL FEES FOR THE INTEGRATED WASTE MANAGEMENT DIVISION (IWM) AND AUTHORIZE THE SAN BERNARDINO MUNICIPAL WATER DEPARTMENT TO BILL, COLLECT AND TAKE ANY NECESSARY ACTIONS ON IWM DELINQUENT ACCOUNTS. I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 2010, by the following vote, to wit: Council Members: AYES NAYS ABSTAIN ABSENT MARQUEZ DESJARDINS BRINKER SHORETT KELLEY JOHNSON MCCAMMACK Rachel G. Clark, City Clerk The foregoing resolution is hereby approved this day of 2010. Patrick J. Morris, Mayor City of San Bernardino Approved as to Form: By: James F. Penman, City Attorney Attachment "I" MATRIX IMPLEMENTATION PLAN FOR IWM CUSTOMER SERVICE Total Recommendation # I 28. The Water Department and the Integrated Waste Management Division should develop a service level agreement for the provision of billing and collection services by the Water Department on behalf ofthe Integrated Waste Management Division. 2 29. The Integrated Waste Management Division should "contract" with the Water Department for the billing and collection of commercial front-loader and commercial roll-off services within the service territory ofthe Water Department. 3 30. The Integrated Waste Management Division and the Water Department should develop an approach for the payment for the collection of billing and collection of commercial front- loader and commercial roll-off services that more closely resembles the cost of providing these services than the 2% of the amount billed that is utilized for billing and collection of residential refuse collection. 4 31. If the City does pursue the "contract" with the Water Department for the billing and collection of commercial front-loader and commercial roll-off services, the Water Department should consolidate the two billing and collection databases within the HTE. utility billing module. 5 32. The Customer Services Section should be reassigned from the Integrated Waste Division, Public Services Department to the Finance Department. 6 33. The Integrated Waste Division should eliminate the Integrated Waste Customer Service Supervisor position, one Lead Customer Service Representative position, three Customer Service Representative positions, and one temporary Customer Service Representative position. 7 34. The Integrated Waste Management Division should develop, deploy and promote alternate payment options by its customers to include auto withdrawals, internet payment, use of Interactive Voice Response telephony, and the like. 8 35. The Integrated Waste Management Division should offer incentives for automatic payment such as waiving a security deposit in exchange for choosing automatic bank drafting. Offering such an incentive could help customers automatically pay their utility bill on time, and I Attachment "I" therefore reduce the likelihood of delinquencies or bad debt accumulation. 9 36. The Administrative Analyst II should develop a plan to deploy and promote alternate payment options. 10 38. The Integrated Waste Management Division should require a security deposit for those customers with a bad credit score or a bad credit history at another utility. II 39. The Administrative Analyst II should develop a plan to deploy a formal credit check program for new customers. 12 40. The Integrated Waste Management Division should require a deposit for all customers who do not own their property. 13 42. The Administrative Analyst II should develop a plan to deploy a deposit system for customers that do not own their property or a policy that would hold the property owner accountable for payment of the collection service, should the tenant fail to pay. 14 43. The Integrated Waste Division should charge a fee for reconnection of customers after disconnection for failure to pay. 15 44. The Administrative Analyst II should proposal for consideration of the City Council to establish a fee for reconnection of customers after disconnection for failure to pay. 16 45. The Integrated Waste Management Division should use all of the tools available to collect bad debt including liens, a collection agency, and the State Franchise Tax Board. 17 46. The Administrative Analyst II should work with the Finance Department to develop and deploy a full set of tools to collect bad debt including liens, a collection agency, and the State Franchise Tax Board. 18 47. The Integrated Waste Management Division should develop and use two performance measures to evaluate its own effectiveness in bad debt collection: days sales outstanding and bad debt ratio. 19 48. The Administrative Analyst II should develop two performance measures to evaluate its 2 Attachment "I" own effectiveness in bad debt collection: days sales outstanding and bad debt ratio including the calculation of these measures for fiscal year 2008-09 and future fiscal years. 20 49. The Integrated Waste Division should continue to utilize the H.T.E. utility billing module for residential and commercial refuse billing and collection. 21 50. The Integrated Waste Division should contract with SunGard to provide further training to the Customer Services Section in the use and deployment of the H.T.E. utility billing module. The Administrative Analyst II should manage the training of the Customer Services Section staff in the use of this module. 22 51. The Integrated Waste Division should contract with SunGard to provide some limited customization of the H.T.E. utility billing module (e.g., commercial roll-offs). The Administrative Analyst II should manage the customization of the H. T .E. utility billing module working with the Water Department to assure compatibility. 23 52. The Administrative Analyst II should arrange the web demonstration of the H.T.E. utility billing module by the City of Sunnyvale for the Customer Services Section. 24 53. A policies and procedures manual should be developed for the Customer Services Section, Integrated Waste Management Division. 25 54. The Administrative Analyst II should develop the policies and procedures manual for the Customer Services Section. 3 Attachment "2" User Fee Determination Cost Analysis Worksheet DeDartmentlDivision Fund Account User Fee Description Date Intearated Waste Mat 527 4846 Account Initiation Fee 8/30/2010 Description of service, demand, subsidy, and other comments: This fee time to set-up and initiate a new customer. Personnel Costs Labor Rates Straight TIme Fringe Total Direct Dept.orDiv. Total BtHdened Hours by TDlaIL."", Position Lab~ Benefits labor Cost Overf1ead labor CostlHr. Position per Un' Coot.. IW Customer Service Reo. 24.57 7.37 31.94 3.19 35.14 0.6 21.08 - - - - - - - - - - - - - - - - - - - - - Total Burdened Personnel Costs per Unit of Service" 21.08 Material & Rental Costs Desaiption Cost Each Quantity Required Unit Cost 0.00 0 - 0 0 - - Total Other costs per Unit of Service: - Other Costs (EquiDment, facili rental, Dart-time labor wlo benefits) Description Cost Each Quantity Required Unit Cost Exoerian fee 5.00 1 5.00 - - Total Other costs per Unit of Service: 5.00 Comnarisons to ProDosed Fee More (Less) than S.B. Jurisdiction Fee ner Unit Dollars Percentaae The City of San Bernardino Munici~1 Water Deoartment 25.00 - 0% - 0% - 0% Total service Direct Cost 26.08 City-Wide Gen. & Admin, RiQ@7.98% Total ServieeCostIUnit 2.08 ?R 16 FeelncraaH(Oeatilse) ?500 316 000 ?500 Recommended Fee Rec.ommended Fee Subsidy CunwntFeeAmount User Fee Determination Cost Analysis Worksheet Department/Division Fund Account User Fee Description Date Integrated Waste Mgt 527 4846 Delinquent Notice Charge 8/30/2010 Description of service, demand, subsidy, and other comments: This fee recoups all the printing, mailing, paper stock costs and manpower associated with the delinquent notices Personnel Costs Labor Rates Straight Time Fringe Total Direct Dept.or Div. Total Burdened Hours by Total Labo Position Labo Benefits labor Cost Overhead labor CosVHr. Position per Unl Cost per Customer Service Rep. 24.57 7.37 31.94 3.19 35.14 0.05 1.76 - - - - - - - - - - - - - - - - - - - - - Total Burdened Personnel Costs per Unit of Service: 1.76 Material & Rental Costs Description CoslEach Quantily Required UnilCost Paper 0.05 1 0.05 Stamp 0.44 1 0.44 - Total Other costs per Unit of Service: 0.49 Other Costs (Equipment, facilit rental, part-time labor wlo benefits) Description Cost Each Quantity Required UnilCost - - - Total Other costs per Unit of Service: - Comparisons to Proposed Fee More (Less) than 5.B. Jurisdiction Fee Der Unit Dollars Percentaae The City of San Bernardino Municipal Water Department 2.00 - 0% (2.00) -100% (2.00) -100% Total5ervice DireClCO$\ 225 City-Wide Gen. & Admin Rate@7.96% 0.18 Total Service CostlUnlt ?4~ Recommended Fee 700 Recommended Fee Subsidy 043 Current Fee Amount 000 Fee tncrease (Decrease) 700 User Fee Determination Cost Analysis Worksheet DepartmenllDivision Fund Account User Fee Description Date Integrated Waste Mgt 527 4846 Roll-Off Bin Removal Fee 8/30/2010 Description of service, demand, subsidy, and other comments: Accounts are subject to discontinued refuse services when they are 41 days past due and have a $25 or more delinquent balance. In the event of discontinued refuse services. a three (3) month deposit (three times their cunrent monthly rate) will be required from the customer before refuse services can be restored and a $54.00 restart fee will be applied. This fee for pulling roll-off bins and replacing them. Personnel Costs Labor Rates Straight Time Fringe Total Direct Dept.orOiv. Total Burdened Hours by Totallabo Position Labo Benefits Labor Cost Overhead Labor CosUHr. Posilion per Un" COSlpe Senior IW Operator 20.55 6.17 26.72 2.67 29.39 1 29.39 - - - - - - - - - - - - - - - - - - - - - Total Burdened Personnel Costs per Unit of Service: 29.39 Material & Rental Costs Description Cost Each Quantity Required Unit Cost - - - Total Other costs per Unit of Service: - Other Costs (Eauipment, facllit rental, Dart-time labor wlo benefitsl Description Cost Each Quantity Required Unit Cost RolI-{)ff truck ooerating costs 21.12 1 21.12 - - Total Other costs per Unit of Service: 21.12 ComDarisons to Proposed Fee More (Less) than 5.8. Jurisdiction Fee per Unit Dollars Percentage 0% 0 0 Total Service DiredCosl 50.51 City-Wide Gen. & Admin Rate@7.98% 4.03 Total Serviee COSlIUM 5454 Recommended Fee 54 no Recommended Fee Subsidy 0.54 Currant Fee Amount 000 Fee Inla8Se (Decrease) 5400 User Fee Determination Cost Analysis Worksheet Department/Division Fund Account User Fee Description Date Integrated Waste Mgt 527 4846 Removal Cart Fee 8/30/2010 Description of service, demand, subsidy, and other comments: Accounts are subject to disconijnued refuse services when they are 41 days past due and have a $25 or more delinquent balance. In the event of discontinued refuse services, a three (3) month deposit (three times their current monthly rate) will be required from the customer before refuse services can be restored and a $45.00 restart fee will be applied. This fee for pulling trashcans and replacing them. Personnel Costs Labor Rates Straight Time Fringe Total Direct Depl.OfDiv. Total Burdened Hours by TotatLabor Position Labo Benefits Labor Cost Over11ead Labor CostlHr. Position per Unit Coslpe Senior IW Operator 20.55 6.17 26.72 2.67 29.39 1 29.39 - - - - - - - - - - - - - - - - - - - - - Total Burdened Personnel Costs per Unit of Service: 29.39 Material & Rental Costs Description Cost Each Quantity Required UnitCosl - - - Total Other costs per Unit of Service: - Other Costs (Equipment, faciiill rental, part-time labor wlo benefits) Description CoslEach Quantity Required Unit Cost Side-loader or fiat bed 1902 1 19.02 - - Total Other costs per Unit of Service: 19.02 C omparisons to Proposed Fee More (Less) than S.B. Jurisdiction Fee per Unit Dollars Percentaae City of Ontario 44.00 (100 -2% 45.00) -1 45.00 -1 45.00) -100% - - - Total Service OirectCost 4841 City-Wide Gen. & Admin. Raf8@7.98% 3.86 TotalServiceCosUUnit fi? ?7 Recommended Fee 4fiOO Recommended Fee Subsidy 727 Current Fee Amount 000 FH InClllase (Decrease) 4Snn User Fee Determination Cost Analysis Worksheet Department/Division Fund Account User Fee Description Date Integrated Waste Mat 527 4846 Red Taa Fee 8/30/2010 Description of service, demand, subsidy, and other comments: This fee recoups all costs relating to the enforcement, printing and mailing associated with the red tag program. Personnel Costs Labor Rates Straight Time Fringe Total Direct Dept.orDiv. T atal Burdened Hours by Total Labo Position L.bo Benefits Labor Cost OVerhead Labor CosUHr. Position per Unl Costpe IW Field Insoector 25.32 7.60 32.92 3.29 36.21 0.75 27.16 - - - - - - - - - - - - - - - - - - - - - Total Burdened Personnel Costs per Unit of Service: 27.16 Material & Rental Costs Description Cost Each Quantity Required Unit Cost Paper 0.05 1 0.05 Stamp 0.44 1 0.44 - Total Other costs per Unit of Service: 0.49 Other Costs (Equipment, facili~ rental, part-time labor wlo benefits) Description Cost Each Quantity Required UnitCosl - - - Total Other costs per Unit of Service: - Comparisons to Proposed Fee More (Less) than S.B. Jurisdiction Fee oer Unit Dollars PercentaQe 0% 0% 0% Tot;al Service DirectCGst 27 65 Cily.Wide Gell. & Admin. Rate@7.98% 2.21 Total Service COsVUnit ?AR!i Recommended Fee ?!i on Recommended Fee Subsidy 485 Current Fee Amount 000 Fee Increase (Decrease) ?~nn ORDINANCE NO. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. WHEREAS, on December 21, 1982 the Mayor and Common Council approved Ordinance MC-229, which adopted the provisions of Section 5473 of the Health and Safety Code, which enabled the City to have delinquent water, sanitation (rubbish, garbage, by- products), sewer and other utility charges, if any, collected on the tax roll; and WHEREAS, in order to clarify the language and intent of this provision and to ensure the ability to lien property owners for delinquent accounts. THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO DO ORDAIN AS FOLLOWS: SECTION 1. Section 13.28.010 of the City of San Bernardino Municipal Code, Collection of delinquent water, sanitation, sewer or other utility charges pursuant to State statute, is hereby amended to read as follows: (A) The City hereby elects to avail itself of the provisions of Article 4 of Chapter 6 of Part 3 of Division 5 of the California Health and Safety Code, Section 5470, et seq., which set forth an alternative method of collecting charges for services and facilities furnished in connection with sanitation, sewerage, or any other utility, whereby the same are collected by the county tax collector. (B) This Chapter shall be effective from the date of its adoption for a period of fifty (50) years, including any amendments thereto during that time. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. (C) With respect to any individual account, and without prior notice thereof, the City may elect to forego the provisions of this Chapter and to pursue collection of delinquent charges in any other manner permitted by law. The Integrated Waste Management Division of the Public Works Department shall develop policies and procedures regarding the collection of delinquent charges. (D) In addition to any remedy contained herein, the City and the San Bernardino Municipal Water Department are hereby authorized to discontinue all utility services and provide notice to property owner's forty-one (41) days after the payment was due. SECTION 2. Section 13.28.025 of the City of San Bernardino Municipal Code, Notice of Delinquent Utility Accounts, is hereby added to read as follows: (A) Any person or entity who receives water, sanitation, storm drainage, or sewerage services whose account has Delinquent Charges for services shall be mailed a notice of the delinquent charges. (B) The City Manager, or his or her designee, shall notify the assessed owner shown on the latest equalized tax assessor's roll whenever delinquent and unpaid charges for services, which may become a lien on real property in the manner set forth in this chapter, remain delinquent and unpaid for sixty (60) days. The notice so provided shall notify the assessed owner of the Delinquent Charges and the lien provided by this Chapter. III 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. SECTION 3. Section 13.28.020 of the City of San Bernardino Municipal Code, Definition, is hereby amended to read as follows: (A) "Delinquent Charges" for the purposes of this chapter means those charges for services, equipment or facilities which remain unpaid after the date due. (B) "Sanitation" for the purposes of this Chapter means refuse services, including but not limited to, residential, commercial, recycling or roll-off services, for the removal or recycling of rubbish, garbage, by-products and like matter. SECTION 4. Section 13.28.030 of the City of San Bernardino Municipal Code, Description of parcel receiving services to be filed with City Clerk is hereby amended to read as follows: The City Manager, or his or her designee, shall cause to be prepared a written report which shall be filed with the City Clerk. Said report shall contain a description of each parcel of real property receiving such water, sanitation, sewer or other utility services and the amount of the delinquent charges for each parcel computed in conformity with charges prescribed by resolution of the Mayor and Common Councilor pursuant to the rules and regulations of the Board of Water Commissioners. The real property may be described by reference to maps prepared in accordance with California Revenue and Taxation Code, Section 327, and on file in the Office of the County Assessor or by reference to plats or maps on file in the Office of the City Clerk. ORDINANCE OF THE CITY OF SAN BERNARDINO AMENDING MUNICIPAL CODE SECTION 13.28.010, COLLECTION OF DELINQUENT WATER, RUBBISH, SEWER OR OTHER MUNICIPAL UTILITY CHARGES BY ADDING AN EFFECTIVE DATE OF FIFTY YEARS FROM THE DATE ARTICLE 4 OF CHAPTER 6 OF PART 3 OF DIVISION 5 OF THE CALIFORNIA HEALTH & SAFETY CODE, SECTION 5470, ET SEQ. WAS ADOPTED BY THE CITY, ADDING MUNICIPAL CODE SECTION 13.28.025, NOTICE OF DELINQUENT UTILITY ACCOUNTS AND LIEN, AND AMENDING SECTIONS 13.28.020, DEFINITION AND 13.28.030, DESCRIPTION OF PARCEL RECEIVING SERVICES TO BE FILED WITH CITY CLERK. 1 2 3 4 5 6 7 I HEREBY CERTIFY that the foregoing Ordinance was duly adopted by the Mayor and 8 Common Council of the City of San Bernardino at a meeting thereof, held on the , 2010, by the following vote, to wit: 9 _day of 10 Council Members AYES 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 MARQUEZ DESJARDINS BRINKER SHORETT KELLEY JOHNSON MC CAMMACK NAYS ABST AIN ABSENT Rachel G. Clark, CMC, City Clerk The foregoing ordinance is hereby approved this day of ,2010. Approved as to form: James F. Penman, City Attorney Patrick J. Morris, Mayor City of San Bernardino