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Contract - Mesa Consolidated Water - 2008-10-08 <4 FILE NO Me- r889 WATER SERVICE AGREEMENT WITH THE MESA CONSOLIDATED WATER DISTRICT FOR WATER SERVICE Date: Ocr S, zoag File No. MC /889 Location: /71j <J l✓/tSoni ST Tract: Atlas Sheet No. Sy The undersigned, (hereinafter referred to as Applicant"), hereby requests water service by the MESA CONSOLIDATED WATER DISTRICT (hereinafter referred to as 'The District"), in accordance with all of the terms and conditions of this Water Service Agreement and the District's Rules and Regulations For Water Service' (hereinafter referred to as 'Rules and Regulations"), which are incorporated herein by this reference and made a part hereof as though fully set forth. Applicant hereby applies for that service as applicable, which can be provided by the facilities described below to that certain real property located within the District, in the County of Orange, State of California, described as follows (metes and bounds description or as acceptable to the District): AP Lill -Ogl- Oy 'I' 'ila-0`11-05 Said property is to be used for the purpose(s) of: Cost* Ht-54- S/}N/TA,2 y D/Si2/cj CoiPoRHTE Y.4gJ Applicant hereby represents that Applicant is the owner of said real property Applicant estimates that the total service to be required of the District upon development of said real property is 75 gallons per minute ("GPM") on the basis of the connected capacity demand ("CCD") as defined in the Rules and Regulations of the District. Upon acceptance of this Application by the District, together with all fees and charges, including the Capacity Charge as determined by the District Engineer or an authorized representative subject to appeal to the General Manager or the Board of Directors, plans and specifications, bonds, conveyance of necessary easements, and other items as may be required herein, the District agrees to provide the requested water service subject to the terms and conditions herein set forth and set forth in the Rules and Regulations of the District. The District shall deliver to the Applicant an executed copy of this Agreement. Page 1 - Rev 12/11/07 I Applicant shall adhere to the requirements prescribed by the Rules and Regulations, as amended from time to time, and to any additional requirements prescribed from time to time by the General Manager or Board of Directors of the District, or both, to insure compliance with such Rules and Regulations as to obtaining water 2. Applicant hereby agrees to build or cause to be built the described water facilities. (hereinafter collectively referred to as `the Facilities ), and agrees to pay all costs of installation of same, including, but not limited to, cost of labor materials, equipment, contractor s expense and profit, environmental studies. design, engineering, surveying, inspection, testing, plan check, land and easement acquisition, condemnation, attorney s fees, insurance and bond premiums. Applicant agrees that the Facilities shall be constructed in accordance with plans and specifications which shall comply with all applicable requirements of the District s `Standard Specifications for the Construction of Vv ater Facilities including, but not limited to, requirements as to information to be shown on the plans. Said document is on file at the office of the District and is by this reference incorporated herein. Such plans and specifications shall be approved by the District. Such approval of the plans and specifications by the District shall not constitute approval of the permit applied for herein. The Facilities shall be constructed by a contractor licensed by the State of California to install said Facilities. 4 Applicant guarantees the Facilities constructed under this Agreement against defects in workmanship and materials for a period of one (I) year after the date of acceptance of the Facilities by the District. It is further agreed that the Facilities shall be restored to full compliance with the requirements of the plans and specifications, including any test requirements, if during said one (I) year period the Facilities or any portion thereof are found not to be in conformance with any provisions of said plans and specifications. This guarantee is in addition to any and all other warranties, express or implied, with respect to the Facilities. 5 Applicant agrees to grant, or cause to be granted to the District, without cost to the District, all necessary easements for construction, installation, maintenance and access to the Facilities, across all privately-owned lands to be traversed by the Facilities, which easements shall be in a form and condition of title satisfactory to the District and shall be executed by all necessary parties having an interest in said lands. 6. Applicant, if applicable, agrees to provide to the District, prior to acceptance of the Facilities, a complete set of reproducible mylars of the approved plans and specifications for the Facilities. 7 Upon completion of the Facilities, Applicant, if applicable, agrees to execute and deliver to the District a report of the actual costs of the Facilities and to substantiate such report with invoices and receipts acceptable to the District. Applicant further agrees that such Facilities will become the property of the District when it is accepted by its duly authorized employee, evidencing acceptance of the Facilities. However Applicant hereby disclaims in favor of the District all right, title and interest in and to said systems, appurtenances and easements; and Applicant hereby covenants and agrees to execute and deliver to the District any documents required to complete the transfer of the Facilities concurrently with the acceptance thereof by the District; and Applicant hereby agrees that Applicant is holding any title to said Facilities, pending acceptance thereof by the District. as trustee, acknowledging Applicant's obligation to complete said Facilities and transfer the same debt free to the District. Page 2 — Rev 12/11i07 8. It is agreed that the above provisions shall not preclude the use of the Facilities by property owners within the developed area or outside of said development prior to such delivery of actual costs to the District, as long as the quality of said water is acceptable to the District under its Rules and Regulations and written permission has been obtained from the District by such property owners to connect to the Facilities or to existing facilities. Applicant agrees that the use of the Facilities by the Applicant. transferee or assignee of the Applicant, or others within the District, will not constitute acceptance of the Facilities by the District. 9 Applicant agrees to hold the District harmless from any expense or liability resulting from the construction of the Facilities, and further agrees that Applicant will indemnify and hold the District, its agents, employees, officers and representatives, free and harmless from and against any and all liabilities for death, injury loss, damage or expense, (including reasonable attorney s fees), to person or property which may arise or is claimed to have arisen as a result of any work or action performed by Applicant or on behalf of Applicant with respect to the construction and in the installation or repair of the Facilities. 10 Applicant shall submit, concurrently with this Application, if applicable, Payment and Performance Bonds, in connection with the Facilities to be constructed, and for an amount to be determined by the District. 1 1 Applicant hereby agrees to pay all administration and engineering fees, (including inspection and plan check costs), calculated as a percentage of the total cost as estimated by the District, as well as Capacity Charges, meter charges, interim water service line charges, (if applicable), and any other charges of the District. The amount of such fees and charges shall be based on the applicable schedules of the Rules and Regulations in effect on the date when Applicant has submitted to the District its completed Application, payment of all fees and charges, plans and specifications, bonds, conveyance of necessary easements and other items which may be required herein prior to issuance of the permit and the plans of the Applicant have been approved by the District. Such fees and charges shall be set forth on Exhibit A hereto by the District, which Exhibit is by this reference incorporated herein, and is subject to revision pursuant to any changes in the applicable schedules prior to the date and application and all accompanying materials and payment are completed, submitted to and approved by the District. Other than as provided herein, fees and charges are not subject to adjustment or refund. Applicant hereby agrees that the meter charge set forth in Exhibit A includes the provisions by the District of a water meter and customer control valve. Applicant agrees that the customer control valve is to be obtained from the District and installed by the Applicant s contractor as the work progresses, and that the water meter is to be installed by the District prior to the provision of permanent water service by the District. Applicant acknowledges and agrees that the payment of such fees is being required prior to final inspection or issuance of certificates of occupancy for the development proposed by Applicant, and that such requirement for prior payment is in accordance with all applicable legal requirements pursuant to Section 53077 et seq of the Government Code. 12. Applicant agrees to accept such conditions of pressure and service as are provided for by District's water system at the location of all proposed connections thereto and to hold the District Page 3— Res 12/11/07 harmless from and against any and all damages, liability and expense arising out of high or low pressure conditions with respect thereto or from interruptions of service. 13 Applicant agrees, if said District employs an attorney to enforce this Agreement, to pay said District for all attorney's fees to be incurred. 14 Applicant agrees that the General Manager of the District or his authorized representative may enter upon the hereinabove described property during reasonable hours for the purpose of ascertaining whether the provisions of this Agreement are being performed. Applicant shall not be responsible in any way for the failure of its successors or assigns to comply with any of the provisions of this Agreement. 15 Applicant agrees that service shall be commenced only after the Facilities have been completed and transferred to the District and all required testing and inspection has been accomplished by the District. Applicant is aware that the contracts may not have been let for all necessary water facilities of the District in order that Applicant can actually receive water service. Applicant further agrees that the District shall not be obligated to the Applicant or the successors of the Applicant for water service until such time as the actual completion of said necessary District facilities. 16. Special conditions for service, if any IN WITNESS WHEREOF the parties have duly caused their authorized signatures to be affixed hereto. APPLICANT PROPERTY OWNER Date: November 17, 2008 Date: November 17, 2008 Arthur R. Perry Arthur R. Perry Print Name Print Name MESA CONSOLIDATED WATER DISTRICT By General Manager By Secretary Date: Page 4- Rev 12/11/07 EXHIBIT A TO APPLICATION TO AND AGREEMENT WITH THE MESA CONSOLIDATED WATER DISTRICT FOR WATER SERVICE Water Service Fees and Charges (i) Capacity Charges (a) 75- GPM $ 9, Soo oo (b) Credit Towards Capacity Charges, (If Applicable) $ 2, 009 0 0 (c) Existing Meter Sizes, (If Applicable) S SUBTOTAL $ 7, 8oJ 00 (ii) Administrative and Engineering Performance Bond $ /1/, 50o .Po at /0 % $ 11 g1c0 00 Plan Check $ O 00 Construction Inspection $ 3� /07 Oo SUBTOTAL $ y Sf'7 0,o (iii) Meter Installation 740 i meters at $ 53o Co per meter $ f, 06 O co meters at $ per meter S meters at $ per meter $ SUBTOTAL $ it 0 C o oo TOTAL $ / 3/ 9l7 00 Page S— Rec 12/11/07 NOTICE — The Mesa Consolidated Water District imposes a Capacity Charge pursuant to provisions of Government Code §66000 and following the Rules and Regulations of the Mesa Consolidated Water District adopted pursuant to Water Code §31024 These fees are used to finance necessary water facilities. The Capacity Charges and the basis for their collection are further described in the documents providing for their imposition and collection. NOTICE IS FURTHER GIVEN pursuant to Government Code §66020(d) that you have a 90-day period from the date of approval of the relevant project, or payment of the Capacity Charges, whichever first occurs, to provide a protest to the Mesa Consolidated Water District of the basis or the amount for such Capacity Charges. I have received and read the above notice for Capacity Charges. Signed as an agent for Costa Mesa Sanitary Distri Date November 17 2008 Page 6- Rev 12/11/07 The following excerpts from the District s Rules and Regulations For Water Service and Exhibits from Resolution No. 1355 establishing fees and charges and Resolution No 1336 amending capacity charge rates are included for Applicant's information. They are not a part of the Water Service Agreement and do not need to be returned to the District. RESOLUTION NO 1355 EXHIBIT 1 RESOLUTION OF THE MESA CONSOLIDATED WATER DISTRICT BOARD OF DIRECTORS ADOPTING A POLICY FOR ESTABLISHING FEES AND CHARGES FOR MISCELLANEOUS SERVICES AND ESTABLISHING SERVICE RELATED FEES AND CHARGES TO BE EFFECTIVE DECEMBER 11, 2007 SUPERSEDING RESOLUTION NO. 1335 DEFINITIONS Deposits Meter sizes 5/8' %' and 1 1 'A times the average potable water bill for that meter size (rounded to the nearest whole dollar). Meter sizes 1 'A and larger 1 'A times the average water bill for the account (rounded to the nearest whole dollar). Accounts opened by a customer whose 25% of the claim filed by Mesa in the previous account is part of a bankruptcy case bankruptcy case or I 'A times the average water bill for the account, whichever is greater Hydrant meters The cost of replacing the meter Meter tests requested by customers Cost of test, to be refunded if the test results indicate the meter was registering inaccurately Limits Used in the Billing and Accounts Receivable Process Minimum regular bill —open account The monthly Basic Charge for the meter size. Minimum delinquent bill —open account Twice the lowest monthly Basic Charge in Mesa s regular rate schedule. Minimum amount receiving a shut-off notice The minimum delinquent bill amount plus or shut-off for non-payment $2.00. Minimum closing refund The lowest monthly Basic Charge for that size meter in Mesa s water rate schedule. Minimum delinquent closing bill The lowest monthly Basic Charge for that size meter in Mesa s water rate schedule. Minimum amount sent to the Collection The minimum delinquent bill amount plus Agency $2.00 Resolution No. 1355- Exhibit 1 Page 1 of 5 Adopted: December 10,2007 Service Establishment Fee Cost associated with opening a new utility service account with Mesa Consolidated Water District. Surcharge for Service Provided Outside Mesa's Boundaries Surcharge shall be 100/0 of the total amount billed. Surcharge may be waived by the General Manager when mutual aid to another public agency is being provided on a temporary basis. Resolution No. 1355 Exhibit 1 Page 2 of 5 Adopted; December 10,2007 New Development A deposit will be collected on all new development to cover the actual cost for time and materials, including Mesa s fully burdened labor rate, for Plan Check, Installation and Inspection work performed. After the work has been completed, the actual cost of the project will be determined and any excess funds from the deposit will be refunded or the Applicant shall be required to pay the costs in excess of the deposit. Plan Check The plan review and check requirements for residential and commercial development are significantly different. different plan check deposits will be charged for review of residential plans and commercial plans. Plans will normally require up to three reviews: one to note changes required conforming to Mesa s specifications for construction and the second to confirm the plans were properly revised. Additional reviews may be required. The minimum plan check deposit for residential development will be the average cost of three reviews of residential plans where one service line will be installed. The minimum plan check deposit for commercial development will be the average cost of three reviews of commercial plans where one service line will be installed. When plans include more than one service, an additional deposit will be charged based on the costs of reviewing the additional service. A service is defined as a service connection, fire hydrant or backflow device. When only a meter change is requested, a deposit will be charged that recovers Mesa s costs of reviewing plans and determining appropriate meter size. Resolution No 1355 Exhibit 1 Page 3 of 5 Adopted: December 10, 2007 Construction Work Performed by Mesa for Customers Mesa shall construct facilities at its cost for the fully burdened hourly rate for labor and actual cost materials upon approval of the General Manager Construction Inspection Construction inspection deposit schecule shall be established for each of the following types of facilities and shall be based on the average cost for Mesa to inspect construction of water related facilities and witness/inspect performance tests of those facilities: Service connections Firelines Meters Manifolds Backflow devices Valves Chlorination, flushing and water quality testing(health sample) Weld connections Shutdowns After hours inspection Pressure test Meter Installations (Potable and Recycled) As regulations for potable and recycled water services differ separate deposits shall be established for potable and recycled meters. The deposit for the installation of meters and manifolds shall be based on the average cost of acquiring and installing each meter size. Construction Performance Bonds 10% of the estimated installation and construction costs as determined by Mesa s Engineering Department staff. The minimum bond amount will be $500 00. Resolution No. 1355 Exhibit 1 Page 4 of 5 Adopted: December 10. 2007 Miscellaneous Fees and Charges Unauthorized Service and i iolations of the Rules and Regulations for Water Service Unauthorized Restoration of Service Up to $5,000 per occurrence, at the General Meter Tampering Manager s discretion, plus the cost of two trips to the location by a Mesa customer service representative plus costs of repairing or replacing damaged Mesa facilities. Unauthorized taking of water from fire Up to $5 000 per day plus triple the water rate, hydrants, firelines or other Mesa facilities per Mesa s water rate schedule, for water taken, at the General Manager s discretion. Fine for \ iolating Mesa s Rules and Up to $5 000 per violation, at the General Regulations for Water Service Manager s discretion. Quitclaim Deeds Mesa s costs of processing quitclaim deeds, including the cost of preparing materials for approval by the Board of Directors and recording the deed with the County of Orange Recorder s Office. Plans and Specifications Standard Specifications and Drawings for the Mesa s actual vendor cost and staffs fully Construction of Water Facilities and bidders burdened hourly rate to prepare the document. documents Public Records Photocopies Mesa s cost of equipment and supplies. Electronic Format Mesa s fully burdened hourly rate for the assigned employee to compile the information and produce the record in electronic format plus the cost of the diskette or CD Computer Data Mesa s fully burdened hourly rate for the assigned employee to perform data compilation extraction, or programming required in producing public records in electronic format. Resolution No. 1355 Exhibit 1 Page 5 of 5 Adopted: December 10. 2007 RESOLUTION NO 1355 EXHIBIT 2 RESOLUTION OF THE MESA CONSOLIDATED MATER DISTRICT BOARD OF DIRECTORS ADOPTING A POLICI FOR ESTABLISHING FEES AND CHARGES FOR MISCELLANEOUS SERVICES AND ESTABLISHING SERVICES RELATED FEES AND CHARGES TO BE EFFECTIVE DECEMBER 11 2007 SUPERSEDING RESOLUTION NO 1335 SCHEDULE OF FEES AND CHARGES FOR MISCELLANEOUS SERVICES Resolution No. 1355 Exhibit 2 Page 1 of 8 4dopted: December 10 2007 Construction Water Service (Hydrant Meters) Deposit $850.00 Installation Fee $55 00 Moving Fee $38 00 Penalty (i.e. if meter is not in its assigned 838.00 location) Daily Rental Rate $10 00/day Surcharge for Service Provided Outside Mesa's Boundaries 10% of the total amount due. May be waived by the General Manager when mutual aid to another public agency is being provided on a temporary basis. Deposits for Potable and Recycled Water Accounts 5/8' Meter $1 18.00 /' Meter $201 00 1 Meter $315 00 Meter sizes 1 'r or larger 1 'A times the average water bill for the account (rounded to the nearest whole dollar). Accounts opened by a customer whose 25% of the claims filed by Mesa in previous account is part of a bankruptcy case the bankruptcy case or 1 ' times the average water bill on the account. whichever is less. Hydrant Meters $850.00 Meter Tests Requested by Customers Cost of test, to be refunded if the test results indicate the meter was registering inaccurately Resolution No. 1355. Exhibit 2 Paee 2 of 8 Adopted: December 10 2007 Fees Related to Payments Non-payment of Bill/Invoice by the Due Date 5% of unpaid account balance, minimum of$1 00 applies to open and closed accounts Final Notice of Intent to Terminate Service First Dwelling Unit $1 5.00 Second or More Dwelling Units $1 00 per dwelling unit Non-payment of Final Notice $5 00 Field Activity on Shut-off Day $45 00 Service Restoration (business hours) $35 00 Service Restoration (after hours) $70 00 Amounts Past Due Sent to Collection Agency 54 00% of the total unpaid account balance Returned Items $20.00 Returned ACH Items (Account Fraud) $10.00 Payment Extensions First No charge Second or More $1 00 per extension Service Establishment Fee $15 00 per account Resolution No. 1355: Exhibit Page 3 of 8 Adopted: December 10.200' Limits Used in the Billing and Accounts Receivable Process Minimum Regular Bill Meter Size Minimum 5/8' $7.50 3/4 $11.25 $18.75 1 1/2' $37.50 2' $60 00 3 $131.25 4 $375 00 6' $745.00 8' $930 00 Minimum Delinquent Bill $15 00 Minimum Amount Shut Off(or receiving a Shut Off Notice) $17 00 Minimum Closing Refund and Minimum Closing Bill $7.50 Minimum Delinquent Closing Bill $7.50 Minimum Amount sent to the Collection Agency $17.00 Resolution No. 1355 Exhibit _ Page 4 of 8 Adopted: December 10. 2007 New Development A deposit will be collected on all new development to cover the actual cost for time and materials, including Mesa s fully burdened labor rate, for Plan Check, Installation and Inspection work performed. After the work has been completed, the actual cost of the project will be determined and any excess funds from the deposit will be refunded or the Applicant shall be required to pay the costs in excess of the deposit. The following costs will be used in determining the deposit. Plan Check For the first service line constructed $850 00 residential $1 150 00 commercial For each additional service $75 00 per service For meter changes only $230.00 per meter Fourth or more review of plans $45 00 per additional review A service is defined as a service connection, tire hydrant or backflow device. Construction Work Performed by Mesa for Customers The Applicant is encouraged to perform construction with the assistance of a Contractor however the Applicant may request Mesa to perform the work. Mesa may construct facilities upon approval of the General Manager It will be the responsibility of the Contractor to furnish all materials which shall meet the specifications contained in the then current edition of Mesa's Standard Specifications and Standard Drawings for the Construction of MCWD Water Facilities. It also will be the responsibility of the Contractor to provide all labor and equipment necessary to construct or install the water facilities in conformance with the approved plans and the specifications contained in the latest edition of the Standard Specifications and Standard Drawings for the Construction of MCWD Water Facilities. Resolution No. 1355 Exhibit 2 Page 5 of 8 Adopted: December 10 2001 Construction Inspection Facility Deposit Amount Service Connection S255 00 per service plus S 10.00 per foot for 2' in diameter or less and $340 00 per service plus $20.00 per foot for greater than 2' Meters 1st meter $145 00 Each additional meter $103 00, at the same location Backflow Devices 1st device $145 00 Each additional device $103 00, at the same location Manifolds $145.00 each for 2' in diameter or less and $205 00 each for greater than 2' Pressure Test $265 00 per test Firelines $255 00 per connection plus $10 00 per foot for 2' in diameter or less and $340 00 per connection plus $20.00 per foot for greater than 2' Valves $265.00 each Chlorination/Flushing & $145.00 each Health Sample I or 2 Weld S145.00 each Connections Larger than 2 Weld $265 00 each Connections Shutdown $265 00 each After Hours S 110.00 per hour Inspection Resolution No. 1355. Exhibit 2 Page 6 of 8 Adopted: December 10 2007 Meter Installations Installation Deposit Meter Size Potable Recycled 5/8' $477 00 $477 00 3/4 $492.00 $492.00 $530 00 $530 00 1 1/2 $853 00 $853.00 2 regular $975.00 $975 00 2 turbo $1 444 00 $1 444 00 Larger than 2' Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request Manifolds Deposit Amount 2' Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request 3 Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request 4 Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request 5' Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request 6 Mesa s fully burdened hourly rate plus actual cost of materials, determined at time of request Construction Performance Bonds 10% of the estimated installation and construction costs as determined by Mesa s Engineering Department staff. The minimum bond amount will be $500 00 Resolution No. 1355 Exhibit Page 7 of 8 Adopted: December 10, 2007 Unauthorized Service and \ iolations of the Rules and Regulations for Water Service Unauthorized restoration of service $90 00 plus costs of repairing or replacing (meter tampering) damaged Mesa facilities Unauthorized taking of water from fire Up to $500 00 per day plus twice the rate hydrants, firelines or other Mesa facilities for water taken, at the General Manager s discretion. Fine for violating Mesa s Rules and Up to $500.00 per violation, at the General Regulations for Water Service Manager s discretion. Ouitclaim Deeds Mesa s costs of preparation and recording with the proper legal authority Public Records Photocopies $0 12 per copy Engineering copies Black & white line drawing 24' x 36' $0.24 per copy Black & white line drawing 18' x 24 $0 12 per copy Color line drawing 24 x 36' S 173 per copy Color map with aerial photo 36' x 36' $9.00 per copy Color map with aerial photo 24' x 36' $6 00 per copy Electronic record drawings CD SI 78 each Electronic Format Mesa s fully burdened hourly rate for the assigned employee to compile the information and produce the record in electronic format plus the cost of the diskette or CD Computer Data Mesa s fully burdened hourly rate for the assigned employee to perform data compilation extraction, or programming required in producing public records in electronic format. Resolution No. 1355 Exhibit Pare 8 of 8 Adopted: December 10. 2007 SECTION 4.1 5 CAPACIT\ CHARGES 4 1.5 Capacity Charges Mesa has adopted Capacity Charges in the amounts specified in the Schedule of Rates. Fees and Charges. The fees will be used to assist Mesa in paying for the facilities and improvements to Mesa's water system required by this development. All rules and regulations governing Capacity Charges in their entirety are applicable to the same property for which a Water Service Agreement is in effect. 4.1.5.1 Calculating the Capacity Charge As herein provided, the amount of any Capacity Charge shall be determined by the District Engineer or an authorized representative, subject to appeal to the General Manager or Board of Directors. All decisions in regard thereto shall be based on sound engineering practices consistent with new development paving only the amount of money necessary to fund its fair share of future facilities. The Capacity Charge shall be assessed in accordance with the fee schedule contained in the Schedule of Rates, Fees and Charges. At the time the Applicant requests meters to be installed, Mesa will review the assessed Capacity Charge. If there have been changes in the project, which affect the Capacity Charges, additional Capacity Charges will be assessed or a refund will be credited to the meter costs. The meters will not be installed until both the meter costs and any additional Capacity Charges have been paid. No Capacity Charges will be assessed if an Applicant is removing a meter and is replacing it with a meter of the same size, providing that one of the following conditions is also satisfied: I ) The new meter is installed on the same service line from which the old meter is removed; or 2) The new meter is installed on a new service line and the existing service line is abandoned when the old meter is removed. Mesa does not assess Capacity Charges for automatic fire sprinkler service connections or temporary service connected to fire hydrants. 4 1.5.2 Calculating Capacity Charge Credits on Meters Pulled at the Time of Redevelopment Mesa will apply a Capacity Charge credit on an account for meters that will be pulled at the time the property is redeveloped, providing one of the following conditions is satisfied. Page 1 Rel. 11/29/06 1 ) The old meter is pulled and a new meter of a different size is installed on the existing service line: or 2) The old meter is pulled and the existing service line is abandoned. Any new meters of different sizes shall be installed on new service lines. The District Engineer or an authorized representative will determine the Capacity Charge credit on the meter that is pulled. The credit will be based on the Capacity Charge in effect for the meter size being pulled according to the building classification and water use type the meter presently serves. If the Capacity Charge credit exceeds the Capacity Charge calculated on the new meters, the excess credit may be carried forward with the property for additional development. The excess credit will be discounted five percent each year that it is carried and at the fifteenth year, the credit can no longer be used. Any excess credit may only be used once. Subsequent excess credit cannot be carried forward. The number of years used for Capacity Charge credit will be determined by calculating the number of years between the date the Application For New Service permit was issued for the redevelopment project for which the credit originated and the date the Application For New Service permit was issued for the redevelopment project for which the Applicant wishes to use the credit. No Capacity Charge credit will be allowed for the removal of Automatic Fire Sprinkler Service connections. 4.1.5.3 Calculating Capacity Charge Credits on Meters Pulled Prior to Redevelopment Mesa will apply a Capacity Charge credit on meters pulled prior to the redevelopment of the property providing that all of the following conditions are satisfied. I) The service line to which the meter was once connected is still connected to Mesa's water system, and 2) The Pulled Meter was recorded and the record is on file at Mesa, and 3) The new meters that will be installed are a different size (upgrade or downgrade) from the meters that were pulled prior to the redevelopment of the property and 4) 4 new meter shall be installed on the service line to which the meter was once connected, or the service line shall be abandoned and the new meter shall be installed on a new service line. Mesa will not apply a Capacity Charge credit for meters where both the meter and the service line were abandoned prior to the redevelopment of the property Page 2 Rev 11/29/06 The District Engineer or an authorized representative will determine the appropriate credit amount. The credit on the Pulled Meter will be based on the fee in effect for the meter size being. replaced according to the building classification and water use type the meter previously served. The credit is subject to a five percent reduction for each year that the meter was pulled prior to the Application for New Service. No credit will be given for meters that were pulled 15 years or more prior to the date the Application for New Service permit is issued. The number of years that will be used for the reduction in Capacity Charge credit will be determined by calculating the difference between the date on file at Mesa that the meter was pulled and the date the Application For New Service permit is issued. In the case where the new meters being installed are the same size as the meters that were pulled, Mesa will apply a discount on the amount of the Capacity Charge calculated on the new meters, providing all of the following conditions are satisfied: 1 ) The service line to which the meter was once connected is still connected to Mesa's water system, and 2) The Pulled Meter was recorded and the record is on file at Mesa, and 3) A new meter shall be installed on the service line to which the meter was once connected or the service line shall be abandoned and the new meter shall be installed on a new service line. The amount of the discount will be based on the length of time since the meter was pulled. The length of time will be determined by calculating the difference between the date on file at Mesa that the meter was pulled and the date the Application for New Service permit is issued. 4 1.5.4 Application of Capacity Charges to Public Agencies For purposes of this section 'Public Agency' shall have the same meaning as set forth in Government Code Section 54999 1(c) or any successor section thereto. Any development or application to Mesa for increased water service by any Public Agency shall be subject to a Capacity Charge. The amount of such Capacity Charge shall be determined under Section 4 1.5 of these Rules and Regulations. The determination of the Capacity Charge with regard to an individual Public Agency development project shall be made based on the same criteria and methodology applicable to non-public Applicants. The assessment of the Capacity Charge on any school district, county office of education, community college district, the California State University the University of California or state agency as defined in Government Code Section 54999 1(g), (collectively referred to as 'School/State Agency' for the purposes of this Section) shall be subject to the Page 3- Rev 11/29/06 following. The Capacity Charge shall be paid by such School/State Agency in an amount equal to the actual construction costs of that portion of Mesas water system actually providing, or needed to provide, service to such School/State Agency To the extent that the appropriate Capacity Charge to such School/State Agency is in excess of the amount equal to the actual construction costs, the assessment and collection of said Capacity Charges may be adjusted on a case-by-case basis by Mesa's staff. 4.1.5.5 Use of Recycled Water If a Capacity Charge was calculated, in whole or in part, based on the average annual usage that included service that is later replaced by the use of Recycled Water, upon written request, the Customer of Record shall be entitled to a rebate (without interest) of a portion of the Capacity Charge paid to Mesa. provided the Customer of Record has entered into an agreement with Mesa for the provision of Recycled Water at the same property for which the Capacity Charge was paid. The rebate shall be calculated based on the original Capacity Charge paid and the amount of Recycled Water subsequently provided and used on such property Mesa shall pay the rebate to the Customer of Record thirty (30) days after the Customer begins receiving Recycled Water service from Mesa DEFINITIONS (I) CAPACITY CHARGE shall mean a fee charged to an Applicant in connection with an Application for New Service permit, for an increase in demand for Potable Water service. A Capacity Charge shall be charged for property not previously served by Mesa or property with an existing water service requiring an increase in demand for water service. (2) CONNECTED CAPACITY DEMAND ("CCD") shall mean the total estimated demand for water service, expressed in terms of gallons per minute, as calculated using the procedures specified in the California Plumbing Code. (3) WATER SERVICE AGREEMENT ("YVSA ') shall mean a contractual agreement between an Applicant and Mesa regarding the terms under which Mesa shall provide water service to the Applicant. Page-4- Rev 11/29106 ATTACHMENT A MESA CONSOLIDATED WATER DISTRICT REVISED CAPACIT`r CHARGE RATES Proposed Water Capacity Charges Meter Size _ Capacity Charge S/8' S 2,000 3/4 2,900 1 4,900 l 1/2' 15,700 2' 15 700 3' 34,100 4' 61,800 6' 137,300 8' 235,400 10' 372,800 12' 490,500 Source: Mesa Consolidated Water District; MunmFinancial Resolution No. 1336 Exhibit A Adopted.November 14, 2006