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Ordinance #433
AN ORDINANCE AMENDING ORDINANCE #432 WATER USER RATES FOR THE CITY OF COLMAN, SOUTH DAKOTA

WHEREAS, the Colman City Council believes that it is necessary and in the best interest of the City of Colman, in order to pay all costs for the operation and maintenance of the Colman City water system, to amend the rates for the sale of water provided by the City of Colman; now

THEREFORE, IT IS HEREBY RESOLVED by the Colman City Council, that as of the effective date indicated below, the following rates shall be charged for public water usage:

Section 1. Monthly water debt service charges (minimums) are based on water flow rates from the meter size installed.

  • 1.1 ¾” Meter $30.75
  • 1.2 1” meter $40.75
  • 1.3 1 ½” meter $70.25
  • 1.4 2” meter $101.25
  • 1.5 3” meter $194.75
  • 1.6 4” meter $296.75

 
Section 2. In addition to the above monthly base rate charges, there will be a $4.50 per 1,000 gallons of water usage charge.

Section 3. $28.06 of the base charge goes directly to paying off loans for the Waterline and Water Tower Replacement Projects.

A charge of $2.55/month/meter goes directly to paying annual maintenance fees for the water tower.

In addition to the other charges, the City hereby establishes a surcharge of $28.06 payable by each customer of its system who receives or benefits from the services of the project financed by the DW-05 loan with the borrower bond. The collection of the surcharge shall start in May 2023. The surcharge shall remain in effect until such time as the borrower bond is paid in full, it shall be collected at the same time as other charges of the system, and establish a surcharge account to segregate the income from other system income for book keeping purposes to be pledged to the South Dakota Conservancy District. The surcharge shall be reviewed from year to year and modified in order to provide the required 110 percent debt coverage.

Section 4. All water service charges will be billed monthly.

Section 5. This resolution shall be in full force and effect with the May, 2023 meter readings.

Section 6. These water usage rate and minimum charge shall increase at a rate of 1% every year thereafter.