TOWN OF DANIEL, UTAH
MUNICIPAL RESOLUTION

Number: DR 2009-09-14A

Approval Date: September 14, 2009
Effective Date: September 30, 2009

Short Title: Resolution to set water use rates for fiscal year 2009-10

Purpose: To adjust Daniel Municipal Water user rates to conform to the fiscal year 2009-10 budget adopted by the Daniel Town Council on August 10, 2009 which provides for the operation and maintenance of the Daniel Municipal Water system and repayment of water revenue bonds to be issued in 2009

Resolution: Whereas, the Town of Daniel has accepted the water system of the Daniel Domestic Water Company as a municipal water system for the Town as of December 1, 2008 and the Town has taken on the duties and responsibilities of providing water service for the users of the system;
Whereas, the Daniel Town Council adopted its final budget for fiscal year 2009-10 including a water enterprise fund budget on August 10, 2009;
Whereas, the Daniel Town Council has taken and is taking measures for the issuance of water revenue bonds to finance improvements of the municipal water system;
Whereas, it is necessary to adjust and raise the water user rate of the system users from its current level to cover the expected operation and maintenance and debt service and reserve account costs adopted in the 2009-10 budget,
Whereas, the municipal water users were notified of the need to adjust water usage rates in a letter delivered by U.S. postal service in July 2009, and notified of a new proposed rate structure as set forth below,
Whereas, the Town Council has received no comments opposing the proposed rate adjustment except as to the number of gallons per month allowed,
Be it hereby resolved that the new user rates shall be as follows:
Per Month User rates will be adjusted as follows:
$35 for up to 20,000 gallons per month
Overage fees will be billed as follows:
20,000-30,000 gallons will be billed at $2.00 per thousand
30,000-40,000 gallons will be billed at $4.00 per thousand
40,000 gallons and up will be billed at $5.00 per thousand

This new rate will be effective with the monthly billing to be mailed on November 1, 2009 which will reflect the usage of October 2009. In the future, this rate will be reviewed at the discretion of the Town Council and may be adjusted by resolution either up or down to reflect actual costs of the operation, maintenance and bonding debt service and reserve account requirements of Daniel Municipal Water.
The connection fee for customers shall remain at $5,000 until further notice.