13.80.090 Utility rate setting.
A. Monthly service fee formula. A monthly service fee for the operation of the Utility shall be established from time to time by resolution of the city council in conformity with RCW 35.21.766, as now or hereafter amended. The amount of the fee shall be based upon cost of regulating ambulance service and the cost of providing Utility services as determined by a cost-of-service study pursuant to RCW 35.21.766(3). Those costs, after transport charges and the general fund contribution, shall be divided among Aberdeen residents and occupants based on a combined demand and availability calculation consistent with accepted principles of utility rate setting. The rate attributable to costs for availability of the Utility shall be uniformly applied across user classifications within the Utility. The rate attributable to costs for demand services of the Utility shall be established and billed to each utility user classification based on each user classification’s burden on the Utility. The fee charged by the Utility shall reflect a combination of the availability cost and the demand cost. The resulting fee shall be assessed to identifiable use classifications. Fees will not exceed the revenue requirements to cover the costs of the Utility, as authorized by the city council by adoption of an annual budget and subsequent amendments.
B. Classifications. The monthly service fee shall be collected from each of the following utility user classifications:
1. Single Family;
2. Multi-family;
3. Commercial/Retail;
4. Industrial;
5. Assisted Living/Nursing Homes;
6. Housing Authority;
7. Other Governments;
8. City of Aberdeen.
The owner or occupant of each unit in such classifications shall be responsible for payment of this utility fee for the availability and use of ambulance services.
C. Service fee exemptions - reductions.
1. All vacant, unoccupied parcels are exempt from the Utility fee.
2. Persons who are Medicaid eligible and who reside in a nursing home, assisted living facility, retirement home or adult family home are exempt from the Utility fee.
3. Utility customers shall be eligible for the city’s Low Income Senior Citizens Discount pursuant to chapter 13.64 AMC to the same extent as water and sewer utility customers.
4. Any change in use of a parcel or any other change in circumstance that
eliminates application of an exemption from the service fee shall immediately make the affected property subject to applicable service fees. The service fee shall become due and payable as of the date of the change in use and shall continue until the parcel again meets exemption requirements.
5. Monthly rates shall not be prorated. Initial and final charges may be prorated
in accordance with the city’s standard utility prorating practices.
6. Any customer seeking an exemption from payment of the service fee and/or
conversion from covered to exempt status, must file a written petition with the Finance Director seeking a determination as to whether a specific parcel satisfies the exemption requirements set forth in this section. The Finance Director’s determination may be appealed to the city council.
7. The combined rates charged shall reflect an exemption for persons who are Medicaid eligible and who reside in a nursing facility, boarding home, adult family home, or receive in-home services.
8. The combined rates charged may reflect an exemption or reduction for designated classes consistent with Article VIII, Section 7 of the state Constitution.
9. The amounts of exemption or reduction shall be a general expense of the Utility, and designated as an availability cost, to be spread uniformly across the Utility user classifications.
D. Periodic service fee review. The Finance Director, or the Director’s designee, shall periodically perform financial review and analysis of the Utility’s revenues, expenses, indebtedness, fees and accounting, and recommend budgets, fee adjustments and financial policy. Based on such review, the Director shall recommend changes, amendments or additions for adoption by the city council.
E. Limitation on total revenue. The total revenue generated by the rates and charges shall not exceed the total costs necessary to regulate, operate, and maintain an ambulance utility.