HomeMy WebLinkAboutResolution 2020-190 N.C.S. 12/21/2020 Resolution No. 2020-190 N.C.S. Page 1
Resolution No. 2020-190 N.C.S.
of the City of Petaluma, California
RESOLUTION SUSPENDING FISCAL YEAR 2021 CONSUMER PRICE INDEX (CPI) FEE
INCREASES FOR WATER AND WASTEWATER UTILITY FEES
WHEREAS, the City Council has previously established fees and charges for City services, with the intent
WHEREAS, previously adopted fees and charges for City services include an annual adjustment factor to
be applied by the City Manager on July 1st of every year by the percentage change in the Consumer Price
Index All Items Index (San Francisco-Oakland-San Jose); and
WHEREAS, the COVID-19 pandemic has caused significant stress on the community resulting in a rise
in unemployment countywide, business closures, limited ability to operate, and layoffs of employees; and
WHEREAS, Petaluma recognizes the serious financial impacts that will be realized throughout the
community resulting from the pandemic and values all in the community including the business community
d
WHEREAS, in an effort to address the need during these unprecedented times, City Council has
suspended the CPI increase through December 31, 2020 via prior Council action; and
WHEREAS, the community remains challenged by the ongoing pandemic and Sonom
tier restrictions; and
WHEREAS, the City has identified opportunity to provide additional savings for customers of City
services by suspending CPI fee adjustments for the remaining six months of the fiscal year through June 30,
2021, adjustments that typically go into effect annually on July 1st; and
WHEREAS, while such savings may be minimal, they provide a reprieve from cost increases that would
have otherwise occurred in the midst of very trying times; and
WHEREAS, the City will recognize reduced revenues in the Water and Wastewater funds resulting from
a suspension of CPI adjustments; and
WHEREAS, staff has analyzed the ability of these funds to accommodate such a suspension and based on
that fund analysis both have sufficient cash flow to fund ongoing operations; and
WHEREAS, the affected funds will continue to maintain fund reserves that are either at the level
designated by Council Policy or at a level considered a best practice by the Governmental Accounting
Standards Board (GASB); and
WHEREAS, to address those fund reserves that are below the target level, actions that include delaying a
capital purchase or project can be taken to minimize the overall impact to fund reserves, and
WHEREAS, staff is proposing suspension of CPI adjustments for Water and Wastewater utility fees for
Fiscal Year 2021; and
Resolution No. 2020-190 N.C.S. Page 2
WHEREAS,the actions under consideration to suspend for a time CPI adjustments for some or all of the
lifornia Environmental Quality Act
by public agencies which the public agency finds are for the purpose of meeting operating expenses, and
obtaining funds for capital projects necessary to maintain service within existing service areas, because the
temporary suspension of CPI adjustments to City fees being considered by the City Council would provide
temporary relief for City fee payors while maintaining reserves at a level consistent with Council policy and
.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Petaluma as follows:
1. Recitals Made Findings. The above recitals are hereby declared to be true and correct and are
incorporated into this resolution as findings of the City Council.
2. Suspension of CPI Adjustments Exempt from CEQA. Suspension for a time of CPI adjustments for
rom the requirements of the California
modification of rates and other charges by public agencies which the public agency finds are for the
purpose of meeting operating expenses, and obtaining funds for capital projects necessary to maintain
service within existing service areas.
3. Suspension of CPI Adjustments Authorized. The City Manager is hereby authorized to suspend the
Consumer Price Index Fee Increase scheduled to take effect on July 1st, 2020 for Water and
Wastewater utility fees and that otherwise would take effect pursuant to Section _____ of Resolutions
_______.
4. Severability. The City Council hereby declares that every section, paragraph, sentence, clause, and
phrase of this resolution is severable. If any section, paragraph, sentence, clause or phrase of this
resolution is for any reason found to be invalid or unconstitutional, such invalidity, or
unconstitutionality shall not affect the validity or constitutionality of the remaining sections,
paragraphs, sentences, clauses, or phrases.
5. Resolution Effective Immediately. This Resolution shall take effect immediately upon its adoption.
6. Expiration. This resolution will expire and cease to be of force and effect effective July 1, 2021. The
authorization pursuant to this resolution to suspend CPI adjustments shall cease and CPI adjustments
shall resume at that time without further action by the City Council.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the
Council of the City of Petaluma at a Regular meeting on the 21st day of
December 2020, by the following vote:
Approved as to
form:
__________________________
City Attorney
AYES: Mayor Barrett; Vice Mayor Fischer; Healy; Kearney; King; McDonnell; Miller
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST: ______________________________________________
City Clerk
______________________________________________
Mayor