§ 13.20.110. Purchased water adjustment charge.  


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  • The charges for all water delivered, other than the distribution and customer charges and the capital improvements charge shall be subject to an adjustment to reflect changes in the prices paid by the department for its water. The responsibility to calculate the adjustment shall rest with the department and the authority to approve the adjustment shall rest with the general manager. The adjustment shall be the product of a percentage multiplied by all commodity rates. The percentage is calculated as follows:

    Total Dollar Amount of Adjustment = Σ(A;sub    \sub;×B;sub    \sub;) + C
    _____ _____
    Total Commodity Revenue = Σ(D k ×E k ) + Σ(D;sub    \sub; x E;sub    \sub;)

     

    Where:

     A;sub    \sub; = Projected water system purchases for the next twelve months stated in acre-feet, for every category of commodity purchased, where ";sub    \sub;" represents each category of commodity purchase costs.

     B;sub    \sub; = ;hg;Difference between projected purchased water prices over base year purchased water prices, stated in terms of dollars per acre-feet, for every category of commodity purchased, where " i " represents each category of commodity purchase costs. Base year prices are defined as those water rates last reflected in the department's retail water rates.

     C = Any other change to costs incurred by the department in the acquisition of water stated in dollars over the base year.

     D k = Projected water system sales for the next twelve months stated, in terms of number of billing units, for every block of commodity sold, for customers in Area A, where " k " represents each category of commodity revenue in Area A, as defined in Sections 13.20.020 and 13.20.030 of the Pasadena Municipal Code. A billing unit is 100 cubic feet.

     D;sub    \sub; = Projected water system sales for the next twelve months stated, in terms of number of billing units, for every block of commodity sold, for customers in Area B, where " i " represents each category of commodity revenue in Area B, as defined in Sections 13.20.020 and 13.20.030 of the Pasadena Municipal Code.

     E k = Current commodity rate for every block in Area A in dollars per billing unit, where " k " represents each category of commodity revenue in Area A.

     E;sub    \sub; = Current commodity rate for every block in Area B in dollars per billing unit, where " i " represents each category of commodity revenue in Area B.

    Each commodity rate in each block in each area shall be adjusted by the formula above.

    (Ord. 6932 § 9, 2003: Ord. 8640 § 2, 2000; Ord. 6436 § 1, 1991)

(Ord. No. 7223, § 18, 7-16-2012)