Sec. 27-36. System equity, Central Arizona Project, and areas-specific fees.

   (a)   A system equity fee shall be charged for connections to the potable system.

   (1)   The system equity fee recovers the infrastructure costs incurred to provide capacity to serve new users. The fee has been calculated by multiplying the cost for one gallon of capacity (cost of capacity-generating infrastructure divided by the gallons of capacity provided by that infrastructure) by the capacity required by a new connection (as determined by meter size).

   The system equity fee will be used to pay principal and interest on outstanding water revenue bond debt. Separate recording of fee proceeds and uses will be maintained.

   (2)   A system equity fee shall be charged for potable metered connections to the water system, except for (1) construction water meter connections, (2) connections within isolated systems and, (3) connections within the Peppertree Plan and Santa Rita Bel Air Plan areas; connections within these two areas will be charged fees per Section 27-36(b) and Section 27-36(c).

Meter Size (inches)	Charge
5/8	$1,311.00
3/4	1,967.00
1	3,278.00
1 1/2	6,555.00
2	10,488.00
3	20,976.00
4	36,053.00
6	73,809.00
8	111,435.00
10	170,430.00
12	281,865.00

 

   Charges for replacement of an existing meter with a meter of larger size shall be computed based on the incremental difference between the system equity fee for the respective meters at the time of filing the application for meter change-out. No refunds will be credited for replacement of an existing meter with a meter of smaller size.

   (b)   A Central Arizona Project ("CAP") Water Resource Fee shall be charged for connections to the potable system.

   (1)   The CAP water resource fee recovers costs incurred for acquisition of CAP water rights from new connections, by determining the cost per acre-foot of CAP water rights available for new connections divided by the connection's capacity requirement (as determined by meter size).

   (2)   The CAP water resource fee will be used to pay for payments made to the Central Arizona Water Conservation District for back CAP capital/water right costs, administrative fees resulting from the city's CAP allocation, and payments for future CAP capital/water right payments made to the Central Arizona Water Conservation District.

   If revenues in a given year from the CAP water resource fee exceed the above uses related to CAP capital/water right payments, the revenues will be used as reimbursement for monies previously spent on back capital/water right payments: these revenues may be used to fund various requirements, including the establishment of a reserve for future water right acquisitions.

   A separate recording of fee proceeds and uses will be maintained.

   (3)   The CAP water resource fee shall be charged for potable metered connections to the water system, except for (i) construction water meter connections, (ii) connections within isolated systems, including Santa Rita Bel Air, until such time as this isolated system is interconnected to the central water system, (iii) connections within the Peppertree Ranch area, and (iv) connections within the Dove Mountain Area which are subject to a pre-existing development agreement.

Meter Size (inches)	Charge
5/8	$ 200.00
3/4	300.00
1	500.00
1 1/2	1,000.00
2	1,600.00
3	3,200.00
4	5,500.00
6	11,250.00
8	17,000.00
10	26,000.00
12	43,000.00

 

   Charges for replacement of an existing meter with a meter of larger size shall be computed based on the incremental difference between the CAP water resource fee for the respective meters at the time of filing the application for meter change-out. No refunds will be credited for replacement of an existing meter with a meter of smaller size.

   (c)   The director may impose area-specific water development fees to recover the capital costs associated with the design and construction of a water supply system for specific water service areas. The Peppertree Ranch and Santa Rita Bel Air fees recover certain infrastructure costs within the specific areas. The fees have been calculated by allocating these costs to the number of meters (based on equivalent meter sizes) planned for the specific areas.

   (1)   Peppertree Ranch water service area. The boundaries of the Peppertree Ranch water service area are hereby established as shown on a map entitled "Peppertree Ranch Water Service Area", copies of which are on file in the office of the city clerk and Tucson Water. Each new water connection shall pay a Peppertree Ranch water development fee in accordance with the following table:

Meter Size (inches)	Peppertree Ranch Water Development Fee
5/8	$188.00
1	470.00
1 1/2	940.00
2	1,504.00
3	3,290.00
4	4,700.00
6	9,400.00
8	15,040.00
10	21,620.00
12	32,900.00

 

   (2)   Santa Rita Bel Air Isolated System. Each new connection to the Santa Rita Bel Air Isolated System shall pay a Santa Rita Bel Air isolated water system fee in accordance with the following table:

Meter Size (inches)	Santa Rita Bel Air Isolated Water System Fee
5/8	$1,814
1	4,535
1 1/2	9,070
2	14,512
3	29,024
4	49,885
6	102,128
8	154,190
10	235,820
12	390,010

 

   (3)   Diamond Bell Isolated System. Each new connection to the Diamond Bell Isolated System shall pay a Diamond Bell isolated water system fee in accordance with the following table:

 

Meter Size (inches)	Diamond Bell Isolated Water System Fee
5/8	$2,778
1	6,945
1 1/2	13,890
2	22,224
3	44,448
4	76,395

 

   (d)   The director may impose area-specific water development fees to recover the capital costs associated with the design and a construction of a water supply system for specific water service areas. The Peppertree Ranch and Santa Rita Bel Air fees recover certain infrastructure costs within the specific areas. The fees have been calculated by allocating these costs to the number of meters (based on equivalent meter sizes) planned for the specific areas.

(Ord. No. 4980, § 1, 5-29-79; Ord. No. 5268, § 1, 12-8-80; Ord. No. 5424, § 1, 8-3-81; Ord. No. 5425, § 1, 8-3-81; Ord. No. 5426, § 1, 8-3-81; Ord. No. 5786, §§ 1--4, 6-13-83; Ord. No. 6025, §§ 1--4, 6-11-84; Ord. No. 6249, §§ 1--5, 6-3-85; Ord. No. 9136, § 1, 10-5-98; Ord. No. 9842, § 1, 5-12-03; Ord. No. 9935, § 1, 2-9-04; Ord. No. 10202, § 1, 9-27-05; Ord. No. 10385, § 1, 4-4-07, eff. 7-9-07; Ord. No. 10386, § 1, 4-4-07; Ord. No. 10643, § 1, 3-24-09, eff. 7-6-09; Ord. No. 10644, § 1, 3-24-09, eff. 7-6-09; Ord. No. 10958, § 1, 1-24-12, eff. 7-2-12; Ord. No. 10959, § 1, 1-24-12, eff. 7-2-12)

   Editor's note – It should be noted that Ord. No. 10958, § 5, states that the fee changes approved by this ordinance (§ 27-36(b)) shall take effect on July 2, 2012, and shall apply to all meter readings accepted after July 2, 2012. Additionally, Ord. No. 10959, § 5, states that the fee changes approved by this ordinance (§ 27-36(a)) shall take effect on July 2, 2012, and shall apply to all meter applications accepted after July 2, 2012.

Sec. 27-37. Agreements for construction of water facilities authorized.

   The director may permit the construction of water facilities to provide water service in areas where no water service is available. Construction may be accomplished by (1) the applicant's contractor (private contract) or (2) city contract or city force account.

   (1)   The director is authorized to permit construction of water facilities by private contract upon written application. Agreements for construction of water facilities shall provide that all costs are at the sole expense of the applicant except as noted therein.

   a.   The facilities will be constructed, at the sole expense and cost of the applicant, within streets, avenues, alleys and rights-of-way pursuant to grants of easements.

   b.   Plans for construction will be provided by the applicant, certified by a registered professional engineer, and reviewed and accepted by the director or his designee.

   c.   With each application for the construction of water facilities authorized by this section, the applicant shall execute and deliver to the director, an agreement for the construction thereof by private contract. If the agreement conforms with the provisions of this chapter, the director will authorize construction of the applicant's water facilities.

   d.   The construction of water facilities so authorized will be inspected and tested for water quality and water pressure by the director or his designee, and will comply in every respect with the material and installation standard of the department.

   e.   The applicant will be assessed fees for plan review, inspection, and system isolation (for connection of constructed water facilities to the existing system). Water system research required by an applicant prior to the submission of any plan will be charged at the Master Plan rate (first submittal, first sheet) indicated below. The Master Plan fee(s) will also be applicable when the Master Plan itself is submitted for review and approved by water staff. Plan review fees will be collected upon plan submittal or re-submittal, in accordance with the following schedule:

Review Service		Fee
Master Plan Only:
First Submittal	First Sheet	$364.47
	Each Subsequent Sheet	63.61
Each Re-submittal of Plan		138.84
Design Review Only:
First Submittal	First Sheet	373.08
	Each Subsequent Sheet	127.24
First Re-submittal of Design:	First Sheet	138.84
	Each Subsequent Sheet	63.61
Each Subsequent Re-submittal of Design		138.84
Plan Revision		127.24

 

   f.   Construction inspection fees will be collected prior to the director's authorization of construction of applicant's water facility (section 27-37(1)). Fees will be calculated as follows:

   Pipeline inspection:

   Projects of 200 linear feet or less. . . . .$317.00

   Projects greater than 200 linear feet, per linear foot. . . . .$7.00

   Other facility inspection (non-pipeline), per facility. . . . .$67.94 per hour

   System isolation fee, per pipeline project or facility. . . . .$270.21

   (2)   The director is authorized to elect to charge the applicant an appropriate fee and design and construct, by city contract or by city force account, applicant pipeline extensions or other water facilities. An applicant will be assessed an hourly rate of one hundred forty-seven dollars and forty-eight cents ($147.48) if Tucson Water provides the design and construction documents for the electrical and control portions of applicant-required facilities. If the extension or facility is to be designed and constructed by force account, the applicant will be charged the estimated design and construction costs of such extensions or facilities as determined by the director or his or her designee; or if the extension or facility is to be designed and constructed by city contract, the cost to the applicant shall be based on the costs referenced in current contracts. Current contracts shall be available in the customer reception area of the water utility's new development unit and may be reviewed by an applicant for any type of water service. In addition to the design or construction cost, the applicant shall pay the fees indicated in 27-37(1)(f) and if applicable, the fees indicated in 27-37(1)(e).

   In addition, the applicant shall pay a protected main service fee of seventy-five dollars ($75.00), such fee recovering the costs of administering the protected main program.

   (3)   The director may require an applicant to install "on-site" or "off-site" water facilities of a size greater than is required to provide service to the applicant's development; provided, however, that the director refund the cost of the oversizing to the applicant. The refund amount for oversized pipelines and valves shall be computed from the following tables for the quantities actually installed:

		Refund Amount
Applicant Size (inches)	Size Requested (inches)	Pipe (per foot)	Valve
6	8	$8.96	$466.67
6	12	46.83	1,766.67
6	16	69.46	5,000.00
8	12	37.88	1,300.00
8	16	60.50	4,533.33
12	16	22.63	3,233.33

 

For sizes larger than sixteen (16) inches, the cost differential shall be as determined by the director based on the most recent bids for equivalent installations. Where field conditions require extraordinary costs, the director may reimburse a share proportionate to the oversizing required by the city. In these situations the applicant shall provide documentation of actual costs incurred.

   (4)   Every nonparticipating applicant for a connection to a water main installed shall be assessed a fee designed to recover a pro rata share of the initial capital cost of the:

   a.   Distribution main installation. The fee shall be based on the lineal foot frontage of the subdivision, lot or parcel to be served, as measured along the street, alley or easement right-of-way line to which the connection will be installed. The fee shall be in accordance with the following table:

 

Inches	Fee Amount
6	$23.00
8	27.48
12	46.42
16	57.73

 

   In addition, the applicant shall pay a protected main service fee of sixty-three dollars and ninety cents ($63.90), such fee recovering the costs of administering the protected main program.

   b.   Water facilities other than distribution mains. The fee shall be calculated and based upon the percentage of non-participant's acreage or service connections to the total anticipated service area acreage or number of services possible to be served by the facility and factored against the total cost of the facility's construction. In addition, the applicant shall pay a protected facility service fee of sixty-three dollars and ninety cents ($63.90), such fee recovering the costs of administering the protected facility program.

(Ord. No. 4489, § 9, 5-24-76; Ord. No. 4621, § 4, 2-7-77; Ord. No. 4626, § 8, 3-3-77; Ord. No. 5235, § 3, 10-6-80; Ord. No. 6240, § 1, 5-20-85; Ord. No. 7391, § 5, 4-16-90; Ord. No. 8415, § 1, 12-5-94; Ord. No. 8838, § 1, 3-17-97; Ord. No. 9043, § 4, 4-13-98; Ord. No. 9388, § 1, 5-22-00; Ord. No. 9555, § 1, 5-14-01, eff. 6-25-01; Ord. No. 9704, § 2, 5-13-02, eff. 6-24-02; Ord. No. 9725, § 1, 6-24-02, eff. 7-29-02; Ord. No. 9842, § 1, 5-12-03; Ord. No. 9977, § 2, 5-24-04; Ord. No. 10359, § 2, 12-12-06, eff. 1-16-07; Ord. No. 10510, § 2, 3-18-08, eff. 7-1-08; Ord. No. 10897, § 2, 5-24-11, eff. 7-5-11; Ord. No. 11072, § 2, 5-21-13, eff. 7-1-13)

Sec. 27-38. Provisions for refund of cost of water mains or water facilities installed by private contract under certain conditions authorized.

Should water facilities installed pursuant to section 27-37 be installed in such a manner as to provide water service to a property not participating in the construction cost, the director may enter into an agreement for partial refund of the cost of the facilities so installed.

   (1)   In no case will the agreed refund amount exceed the total funds to be collected as authorized in section 27-37(4).

   (2)   Such refunds shall continue for a maximum period of fifteen (15) years from the date of the agreement. Any balances remaining unpaid shall be considered canceled, and the city shall be fully discharged from any further obligation under the agreement.

(Ord. No. 5235, § 4, 10-6-80; Ord. No. 6240, § 2, 5-20-85; Ord. No. 8121, § 3, 9-7-93; Ord. No. 9238, § 4, 6-14-99; Ord. No. 9842, § 1, 5-12-03)

   Note: See editor's note following § 27-31.

Sec. 27-38.1. Provisions for refund of cost of water mains or facilities funded and installed by the city under certain conditions authorized.

Should water mains or water facilities installed and funded by the city to provide water service to a property not participating in the construction cost, the director may designate the water main or water facility as "city protected" and collect a protected main fee or a protected facility fee and service fee pursuant to section 27-37(4).

(Ord. No. 9111, § 1, 9-8-98; Ord. No. 9388, § 1, 5-22-00)

Sec. 27-39. Reserved.

   Editors Note: Ord. No. 3394, § 10, adopted Jan. 12, 1970, amended this Code by repealing former § 27-39 derived from 1953 Code, ch. 25, § 22d, and Ord. No. 1938, § 8. Former § 27-39 contained additional charges for remote areas.

Sec. 27-40. Sales taxes and in-lieu-of franchise taxes.

All applicable sales taxes and in-lieu-of franchise taxes are to be added on all water sales in all areas.

(1953 Code, ch. 25, § 22e; Ord. No. 1938, § 9; Ord. No. 3394, § 11, 1-12-70)