In order to comply with legal requirements for the collection of charges on the property tax roll, the City Council set a public hearing on the amounts to be collected for sewer services from properties located outside the City limits which are served by the City’s sewer system. A report addressing the hearing and the amounts to be assessed on the 1999/2000 tax roll was filed with the City Clerk.

Staff recommends adoption of a resolution establishing outside sewer charges to be placed on the 1999/2000 tax roll.

On May 4, 1999 the City Council adopted Resolution No. 99-136, setting June 8, 1999 as the date for the public hearing on the report of proposed assessments for properties outside of the City served by City sewers. As shown on Attachment D, the areas serviced are bounded by Stevens Creek Blvd., Lawrence Expressway, Blaney Ave. and Bollinger Road in the City of Cupertino and by Bollinger Road, Lawrence Expressway, Johnson Avenue and Castle Glen Avenue in the City of San Jose. A report containing a description of each parcel of real property outside the City limits receiving sewer services from the City was filed with the City Clerk and has been available for public inspection.

There have been no annexations of any parcels to the City. Thus, 1,868 parcels are now on the roll.

The City Council approved a 3.0% increase to sewer rates for the coming year during its May 4, 1999 meeting. The proposed assessments are equivalent to rates which will be charged to similar customers inside the City limits.

Sewer charges for commercial customers are based on the amount of past water usage. Currently there is one such parcel (#375-11-073) located outside the City which receives City sewer services. Consumption data for the past year has been obtained from the water provider and, based on last year’s adopted sewer rate of $1.213 per hundred cubic feet, the proposed sewer charge is $628.34 for this property.

There are 1,867 residential properties (including 2 apartments) and 1 commercial property, or 1,868 total properties located outside the City limits. The proposed annual assessment for residential property is $186.45 per parcel (except the 2 apartment complexes with a total assessment of $4,971.18 based on the number of units) and $1.213 per hundred cubic feet of water consumption of the commercial property. The total fiscal year 1999/2000 proposed assessment for the outside sewer roll is $353,701.67 an increase of $10,257.62 compared to the 1998/99 assessment of $343,444.05.

Notice of public hearing was published in the San Jose Mercury News on May 31 and June 7, 1999. A copy of this report is also available in the Library and on the City’s Internet home page.

Staff recommends that the City Council adopt Alternative 1.

Prepared by:

Mary J. Bradley
Director of Finance

Approved by:

Marvin Rose
Director of Public Works

Approved by:

Robert S. LaSala
City Manager