Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Establishing The Large User Rate For Sewage Treatment And Disposal By The Large Users Of The Southern Regional Wastewater Treatment Plant Including Broward County, Dania Beach, Hallandale Beach, Miramar, Pembroke Park, And Pembroke Pines At $3.29 Per Thousand Gallons Of Wastewater Received For The Fiscal Year 2024.
Strategic Plan Focus
Infrastructure & Facilities
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
The City of Hollywood's Department of Public Utilities ("Department") Southern Regional Wastewater Treatment Plant ("SRWWTP") provides sewage treatment and disposal services to all or part of Broward County, Dania Beach, Hallandale Beach, Miramar, Pembroke Park, and Pembroke Pines. These entities are known collectively as the Large Users ("LU").
The Large User Agreements ("LUA") dated October 1, 1990, detail services to the LU and procedures related to these services. One stipulation of the LUA's is that the Department engage external financial consultants to complete an annual LU Rate Study to serve as the monthly billing multiplier per thousand gallons. The LUs are co-permittees of the SRWWTP and are charged for their use of the SRWWTP at cost via the annual True-Up process. However, costs are often difficult to pre-determine due to inflation or other changes in fuel or material costs. A Fiscal Year 2024 Rate Study was conducted by the current LU financial consultants, Stantec Consulting, Inc. who estimated the cost of SRWWTP services for the coming year at $3.29 per thousand gallons of wastewater received.
Fiscal Impact:
The City of Hollywood is expected to generate an estimated gross revenue for FY 2024 of $28.9 million based on the new rate of $3.29.
Recommended for inclusion on the agenda by:
Phyllis Shaw, Deputy Director/Finance, Department of Public Utilities
Vincent Morello, Director, Department of Public Utilities
Gus Zambra...
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