Upper Thompson Sanitation District Short-Term Rental (STR) Rate - PowerPoint PPT Presentation

Upper Thompson Sanitation District Short-Term Rental (STR) Rate Impact Review May 12, 2020 Mott MacDonald

Goals for Today: • Select service charge methodology • Apply monthly capital charge • Plan for adoption of a resolution for selected changes at May 18, 2020 Board meeting Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Assumptions: • Calculations are for example purposes only • Values are rounded for ease of presentation • Application of values will be finalized if adopted • Service charges are 2020 • System Development Fees (SDF) are 2020 (April 1, 2020) Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Rate Development Goals Apply: Quantify Classify: Increases: • Similar Use • Fair • People Characteristics • Equitable • Flow Cost Allocation of: • Loading • O&M • Capital Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Residential SFE and Equivalent Population Allocation Number of Bedrooms SFE Equivalent People 1 SFE = 1.00 2.2 1 • 2.2 People 1.00 2.2 2 • 154 gpd 3 1.00 2.2 (Average) 4 1.33 2.9 • 200 gpd 1.66 3.6 5 (Peak Month) 2.00 4.4 6 2.33 5.1 7 8 2.66 5.8 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

STR Town/County Population Allocation Number of Bedroom Bedroom Population Bedrooms Population + 2 People Occupancy: 2 4 1 • 2 People per 2 4 6 Bedroom 6 8 3 + Additional: 8 10 4 • 2 People 5 10 12 6 12 14 14 16 7 16 18 8 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Residential to STR (+2 People) Comparison Population Number of Residential STR (+2 People) % Increase Bedrooms 2.2 4 82% 1 2 2.2 6 173% 2.2 8 264% 3 2.9 10 245% 4 5 3.6 12 233% 6 4.4 14 218% 5.1 16 214% 7 5.8 18 210% 8 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Residential to STR (w/o +2) Comparison Population Number of Residential STR (w/o +2 People) % Increase Bedrooms 2.2 2 0% 1 2 2.2 4 82% 2.2 6 173% 3 2.9 8 176% 4 5 3.6 10 178% 6 4.4 12 173% 5.1 14 175% 7 5.8 16 176% 8 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

SFE Comparison Based on Population Number of STR (w/o + 2 Family Retreat Residential STR +2 People Bedrooms People) Cabins / Structures 1.00 1.82 1.00 1.0 1 1.00 2.73 1.82 1.0 2 3 1.00 3.64 2.73 2.0 4 1.33 4.55 3.64 3.0 1.66 5.46 4.55 5 4.0 2.00 6.37 5.46 4.0 6 2.33 7.28 6.37 6.0 7 8 2.66 8.19 7.28 8.0 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

SFE Comparison Based on Population Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Non-Metered STR Rate Considerations Similar approach to District Does not vary non-metered non-metered rate SFE rates for seasonal population allocation changes Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Annual Non-Metered Cost ($) Comparison (rounded) Number of STR (w/o + 2 Family Retreat Residential STR +2 People Bedrooms People) Cabins / Structures $583 $1,060 $583 $583 1 $583 $1,590 $1,060 $583 2 3 $583 $2,121 $1,590 $1,165 4 $775 $2,651 $2,121 $1,748 $967 $3,181 $2,651 $2,330 5 $1,165 $3,711 $3,181 $2,330 6 $1,357 $4,241 $3,711 $3,496 7 8 $1,550 $4,771 $4,241 $4,661 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Questions Regarding Service Charges? Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

STR Additional Capital Charge Allocation Cost recovery period: Applied until Recovery of additional capital STR designation • 25-years (300 is removed cost months) Applied: Charge per SFE: • Incremental • Annual = $408 SFE allocation ($10,202 / 25) • Monthly = $34 ($10,202 / 300) Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Example Capital Charge Number of Incremental Annual Residential STR +2 People Bedrooms SFE Charge ($) 1.00 1.82 0.82 $335 1 1.00 2.73 1.73 $706 2 3 1.00 3.64 2.64 $1,077 4 1.33 4.55 3.22 $1,314 1.66 5.46 3.80 $1,551 5 2.00 6.37 4.37 $1,783 6 2.33 7.28 4.95 $2,020 7 8 2.66 8.19 5.53 $2,257 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Annual Capital Charge Comparison Number of STR +2 STR (w/o + 2 Family Retreat Cabins / Bedrooms People People) Structures $335 $0 $0 1 $706 $335 $0 2 3 $1,077 $706 $408 4 $1,314 $943 $681 $1,551 $1,179 $955 5 $1,783 $1,412 $816 6 $2,020 $1,649 $1,498 7 8 $2,257 $1,885 $2,179 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Questions Regarding Monthly Capital Charges? Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Combined Annual Service and Capital Charges Number of STR +2 STR (w/o + Family Retreat Residential Bedrooms People 2 People) Cabins / Structures $583 $1,395 $583 $583 1 $583 $2,296 $1,395 $583 2 3 $583 $3,198 $2,296 $1,573 4 $775 $3,965 $3,064 $2,429 $967 $4,732 $3,830 $3,285 5 $1,165 $5,494 $4,593 $3,146 6 $1,357 $6,261 $5,360 $4,994 7 8 $1,550 $7,028 $6,126 $6,840 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

STR Customer Account 2019 Totals Number of Bedrooms Total % of Total (330) 23 7% 1 2 69 21% 180 54% 3 43 13% 4 5 11 3% 6 2 1% 1 0.5% 7 1 0.5% 8 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Reminder of Assumptions: • Calculations are for example purposes only • Values are rounded for ease of presentation • Application of values will be finalized if adopted • Service charges are 2020 • System Development Fees (SDF) are 2020 (April 1, 2020) Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Next Steps: • Select service charge methodology? • Apply monthly capital charge? • Adopt resolution for changes (May) • Advertise proposed changes and provide customer notifications (May/June) • Incorporate into billing system for implementation (by September 2021) • Coordinate with Town/County for annual application and renewal (by September 2021) Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Thank you Steve Ravel, PE steve.ravel@mottmac.com

Consideration of Phase In Monthly Charge Approach Annual Charge for District Total Example STR +2 People Program Year (rounded) 33% $111 2021 66% $221 2022 2023 100% $335 >2023 100% $335 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District

Combined Annual Service and Capital Charges per SFE Number of STR +2 STR (w/o + Family Retreat Residential Bedrooms People 2 People) Cabins / Structures $583 $766 $583 $583 1 $583 $841 $766 $583 2 3 $583 $879 $841 $787 4 $583 $871 $842 $810 $583 $867 $842 $821 5 $583 $863 $841 $787 6 $582 $860 $841 $832 7 8 $583 $858 $842 $855 Mott MacDonald May 12, 2020 Upper Thompson Sanitation District