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10-02-2018 Study Session Item No. 2 Factors Affecting Water Rates in Cupertino - PresentationCC 10-02-2018 Study Session Item No. 2 . Factors Affecting Water Rates in Cupertino Water Rate Study Session ffl CITY OF -CUPER"flNO City of Cupertino ~~- 0 w::e.r s:vlcc Arce: 1 vr -'' f 1 CC 10-02-2018 Study Session Item No . 2 Water Bill to the City within the San Jose Water System ,.:u"S3n Jose Water Company 110 W, Taylor St. San Jose , CA95110 ,2131 (408) 279,7900 Office Hours : 8:00AM-5 :30PM Mon .-Frl. www.sjwater.com BILLING INFORMATION Sel'/lce Address : 10800 Torre Ave BIii ing Period : 05/17/2018-06/20/2018 Rate Code I Serv ice Size : COM_M 3 Inch Meter Reading Previous Current 8639 8972 Residential 0 -3 Ccf 4-18 Ccf 18+ Ccf Total CCF (748 Ga l/CCF) 333 $4.22 $4.68 $5.15 In 2017 , SJWC analyzed over 3,000 drinking wale r samples which me l or surpassed all Stale and Federal drink ing wa ter standards . All detected contaminan ts were at concentrations below the regulated standards for dri nking water . Further infonnation is provided in the 20 17 Con sumer Confidence Report , available at www.s~va ter.com/ccr or by calling (408) 279-7900 . customer Name : CITY OF CUPERTINO Account Number : 6292600000-1 BIii Date: 06/2 5/2018 Amount Due : $4,281 .22 Payment Due By : 07/16/2018 CURRENT CHARGES Serv ice Charge Quantity Charges I $2s~28-I 711.00000 X $4.8994 Safe Drinking Wtr Ln 2006-M Safe Drink ing Wtr Ln 2008-M Rate Assist Prog Surcharge-M SCVWD Purchased Water • 2016 SCVWD Ground Water -2016 SCVWD Purchased Water· 2017 SCVWD Ground Water -2017 PUC Surcharge 1.4% Cu rrent Charges Prev ious Balance Pa yme nts Recei ved 06 /1212018 Total D.ue $262 .04 3,483.47 0.28 0.23 1.45 179 .88 120.79 104.09 69 .89 59 .10 ~ 4,281 .22 3,044 .98 3,044 .98 CR $4,281.22 Water Bill to the City within the Cupertino Municipal System ,.. San Jose Water company 110W. Taylor St. San Jose, CA 95110-2131 (408) 279-7900 Office Hours: B:OOA;M,5 :30PM Mon .-Fri. www.sjwater.com BILLING INFORMATION Service Address : 21975 San Fernando Ave BIiiing Pe riod: 05/22/2018 -06 /21/2018 Rate Code I Service Size : ZCOM_M 1 Inch Meter Reading Previous Current 5728 5788 Residential 0 -3 Ccf 4-18 Ccf 18+ Ccf Total CCF (74 8 Ga UCCF) 60 $4.06 $4.51 $4 .95 1..._~~--rr .... lT"Cl~n'TO'IT"-~"'"7Cl'l'll:~··eNTS In 20 17, SJWC analyzed ove r 3,000 drink ing water samples which met or surpassed all State and Fed eral drinking water standards . All detected contaminants were at concen tra lions below the regulated standards for drink ing water. Further information is provi ded in the 2017 Consumer Confidence Report , ava ilab le at www.sjwater.com/ccr or by calling /408) 279 -7900 . Customer Name : CITY OF CUPERTINO Account Number. 6730700000 ,9 Bill Date: 06/25/2 018 Amount Due : $351.76 Payment Due By: 07/16 /2 018 CURRENT CHARGES Servic e Charge Quantity Charges I $23.981 60 .00000 X$4.509 Safe Drinking Wtr Ln 2006 -M Safe Drinking Wtr Ln 2008-M Rate Assist Prog Surcharge-M SCVWD Purchased Water -2016 SCVWD Ground Water -2016 SCVWD Purchased Water -2017 SCVWD Ground Water • 2017 Current Charges Previous Balance Payments Recei ve d 06/12/2018 Total Due $39 .94 270 .54 0.05 0.04 1.15 15 .18 10.19 8.78 5.89 351.76 206 .80 206 .80 CR $351.76 2 CC 10-02-2018 Study Session Item No. 2 Water Bill to the City within the California Water System CU STO MER MESSAGES Fo r text telephon e (IDI services, ca ll 559 -625-4889 . The State's prohibited uses of water rema in In effect . Visit calwater.com/conservation for these restrictions and too fs to help Cal \Yater cuuomers reduce water use . Service Address : 19191 Valko Pky IRRIGATION , Cupertino, CA 95014 Ca l Water serv ic es detail fro m 5/17/18 · 6/18/18 Conservation target * 1-1/2" serv ice charge 5.00CCF at $5.5 20 2 pe r CCF WRAM cha rges or credits CPU C Fe e Other Charge s & Credit s Public Purpose Programs $71 .90 I $17 .97 I $27 .60 .... ----'· $1 .88 $1.42 .... $0.00 $2 .45 $105 .25 u..,. 5 CCF l ,7~Gallons Owt--Tlrl't OCCF OGaltons l"lel 70CCF 52,360 GaDons I under·T"i't 65CCF 48,620 Gallons I Ntrl Month's Tlrcet 64CCF 47,872 Gallons Residential 0-10 Ccf 11-27 Ccf 28+ Ccf $5 .24 $5 .58 $6 .69 • The volun tary cons ervation ta reet In your dist net Is 20% compared to 2013. Exceeding this tare et do es.nm imp act v,our water bill, as drought surcha rie S were ellmin at ed In 20 16. ------------------------ San Jose Water Company Surcharges Water Rate Assistance Program (WRAP) for residential low-income Households surcharge 2003 Safe Drinking Water State Re volving Fund loan 2005 Safe Drinking Water State Revolving Fund loan July 2016 in crease in Purc ha sed Water fr om the Santa Clara Valley Water District July 2016 increase in Ground Water Charges from the Santa Clara Valley Water District July 2 017 in crease in Purc ha sed Water from the Santa Clara Valley Water District July 2017 increase in Ground Water Charges from the Santa Clara Valley Water District July 2018 increase in Purchased Water from the Santa Clara Valley Water D istrict July 2018 increase in Ground Water Charges from the Santa Clara Valley Water District CPU( Surcharge $1.45 per month $0.04 per month $0.2530 per 100 cu.ft. $0.1699 per 100 cu.ft . $0.464 per 100 cu .ft. $0.0983 per 100 cu.ft. $0.1621 per 100 cu .ft. $0.1088 per 100 cu.ft. 1.4% ofall charges Total: $13.06 per month for 11 Ccf residential customer 3 CC 10 -02-2018 Study Session Item No. 2 California Water Company Surcharges Public Purpose Programs (PPP) fo r residential low-income Households surcharge Water Revenue Adjustment Mechanis m (WRAM) CPUC Surcharge $0 .376 perioo cu.ft. Total : $7.46 per month for 11Ccfresidential customer 7 Comparison with Other Water Rates 5/8x3/4" 11 Cc£ Sur charge Total Meter/Service Ch arge Charge Sunnyvale $14 .05 $54.11 $0 $68.16 Cal Water $17 .97 $58.01 $7.46 $83 .44 Santa Clara $17.87 $65 .78 $0 $83.65 Cupertino $23 .98 $48 .25 $11.83 $84 .06 2 Municipal Sy stem leased to San Jose Water Mountain $15 .15 $70.41 $0 $85.56 View San Jose Water $25 .28 $50.58 $13 .06 $88 .93 1 u 4 175 150 125 10 0 $75 $50 $25 $0 CC 10 -02-2018 Study Session Item No . 2 Customer Month ly Bill s at Varying Consumption (Ccf ) Amounts cwsc -SJWC -CMS -Sunnyva le -Mountain View -Santa Clara 1 2 3 4 5 6 7 8 9 W ll U 8 ~ ~ ~ D U ~ W ll ll n M ~ Role of CPUC and California Public Advisors Office (Cal PA) • General Rate Case Applications -SJWC Requested Cal PA Recommended 2013-2015 21.5 %, 4.9% & 12.6% 0.05%, 3.73%, 5.65% 2016-2018 12.2%, 3.1% & 5.4% 8.54%,4 .42%, 4.95 % 2019-2021 5.5 %, 3 .7% & 5 .1% 1.21 %, 2.34% (no rec. for 2021) • Cost of Capital 2018-2020 Requested Rate of Return Cal PA Recommended 8 .63% California Water 8.31% 6.99 % Service CPUC Authorized 9.81 %,5 .20%, 2.94% 8.60%, 3.83%, 4.22% Decision Pending CPUC Authorized 7.64% 7.48% 10 5 CC 10-02-2018 Study Session Item No . 2 Wholesale Water for Santa Clara Valley Water District 2017 2018 % Increase of Wholesale Water 19.9% 9.6 % 9.7% Outstanding items • Overbilling of customers by SJWC % Increase of Retail Water for San Jose Water 8% 4% 4% • Authorization of SJWC to purchase Connecticut Water • CWSC attempted purchase of SJWC 6 CC 10-02-2018 Study Session Item No. 2 s: City of Cupertino -www.cupertino.org/overbilling City of Sunnyvale -https://sunnyvale.ca.gov/property/utility/rates/default.htm City of Mountain View - https://www.mountainview.gov/depts/fasd/revenue/utilities/water.asp City of Santa Clara -http ://santaclaraca .gov/government/departments/water- sewer-utilities/water-sewer-and-recycled-water-rates San Jose Water Company -https ://www.sjwater.com/ California Water Service -https://www.calwater.com/ Overbilling of San Jose Water Company customers : Advice Letter No . 510 -San Jose Water Company Overbilling Practices CPUC Order Instituting an Investigation & Cal PA staff report with attachments http:// docs .cp u c.ca .gov /Search Res .aspx? docformat=ALL&Docl 0=2242 73517 13 7