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Utilities Department

Notice of Proposed SNWA Charge CITY OF NORTH LAS VEGAS
TO IMPLEMENT NEW SOUTHERN NEVADA WATER AUTHORITY 
DROUGHT PROTECTION CHARGE

INTRODUCTION
The Southern Nevada Water Authority (SNWA), a not-for-profit agency, is responsible for managing the region’s water resources and providing for Southern Nevada’s current and future water needs. Despite significant actions taken by the SNWA to protect Lake Mead’s water elevations, levels continue to decline. Modeling efforts demonstrate that drought conditions will continue, causing further declines at a faster rate. Declining lake levels threaten the operations of the SNWA’s intake system: when lake levels fall below an elevation of 1,000 feet, the SNWA can no longer pump water from Lake Mead to meet nearly all of the community’s water demands.

To address these and similar challenges, the SNWA Board of Directors established the Integrated Resource Planning Advisory Committee (IRPAC), an advisory committee comprised of 21 individuals representing a broad cross-section of stakeholders. After a series of meetings, the IRPAC determined that the risk of Lake Mead’s elevation falling below 1,000 feet is not acceptable for Southern Nevada due to the potential impacts on water delivery and resource availability. Along with this finding, the IRPAC also recommended construction of a new low lake level pumping station to ensure access to Colorado River water in Lake Mead should water elevations fall below 1,000 feet. The IRPAC evaluated how to fund a new pump station, and recommended generating the revenue through a fixed charge based upon meter size, noting that it provided more reliability than variable charges and more accurately reflected the nature of the shared benefits and stability that a low lake level pumping station will provide. The IRPAC also recommended phasing in the increase to fixed monthly charges over a three-year period to allow customers time to adjust to the new charge.

Based on the recommendations of the Integrated Resource Planning Advisory Committee (IRPAC), the SNWA Board of Directors considered and approved a Drought Protection Surcharge on December 10, 2014 to fund the design and construction of the capital improvements necessary to ensure the long-term ability to deliver water from Lake Mead should elevations continue to decline. The SNWA Cooperative Agreement obligates its purveyor members, including the City of North Las Vegas, to pay the amount of the changed rates/charges to the SNWA.

A Business Impact Statement must be prepared to evaluate the effect of increased rates and charges on businesses. The City of North Las Vegas will consider the Business Impact Statement at its regular meeting on October 21, 2015. It is anticipated that the City of North Las Vegas City Council will set a public hearing for November 4, 2015 to consider approval of the proposed new rates.

Adoption of the SNWA Drought Protection Charge
The approved SNWA rate increases are shown in the following chart. The increase would be phased-in over three years, with 2018 considered full implementation.

  Drought Protection Charge

METER SIZE

2016

2017

2018

2019

Residential - 5/8" & 3/4" meter sizes

$2.41

$3.61

$4.81

$4.81

Residential - 1" meter size

$4.56

$6.84

$9.11

$9.11

Residential - 1.5" meter size

$9.13

$13.67

$18.22

$18.22

Residential - 2" meter size

$14.61

$21.88

$29.15

$29.15

Residential - 3" meter size

$29.21

$43.76

$58.30

$58.30

Residential - 4" meter size

$45.64

$68.37

$91.10

$91.10

Residential - 6" meter size

$91.29

$136.74

$182.20

$182.20

Residential - 8" meter size and larger

$146.06

$218.79

$291.52

$291.52

Non-Residential - 5/8" & 3/4" meter sizes

$2.41

$3.61

$4.81

$4.81

Non-Residential - 1" meter size

$4.56

$6.84

$9.11

$9.11

Non-Residential - 1.5" meter size

$9.13

$13.67

$18.22

$18.22

Non-Residential - 2" meter size

$14.61

$21.88

$29.15

$29.15

Non-Residential - 3" meter size

$29.21

$43.76

$58.30

$58.30

Non-Residential - 4" meter size

$45.64

$68.37

$91.10

$91.10

Non-Residential - 6" meter size

$91.29

$136.74

$182.20

$182.20

Non-Residential - 8" meter size

$146.06

$218.79

$291.52

$291.52

Non-Residential - 10" and larger meter sizes

$209.96

$314.51

$419.05

$419.05


PURPOSE OF NOTICE
This Notice is to publicly notify potentially affected businesses in order to conform to the requirements of NRS 237.030 – 237.110, “Adoption of Rules Affecting Businesses”. With this in mind, there are two questions for potentially affected businesses to consider:
1. Do the proposed charges impose a direct and significant economic burden upon your business? If you believe these changes do, please be specific as to why a particular charge imposes such burden.
2. Do the proposed charges restrict the formation, operation or expansion of your business? If you believe these changes do, please be specific as to how and why a particular charge imposes such a burden.

RESPONSE
Please review and evaluate how these changes will affect your business in light of the two questions listed. If your business is in the City of North Las Vegas or unincorporated Clark County as served by the City of North Las Vegas, and you believe your business is affected by the proposed options, you must provide a response to the City of North Las Vegas Utilities Department no later than 6:00 p.m., October 07, 2015. 

To Provide a Response via Post Mail:

  City of North Las Vegas Utilities Department
Attention: Randall E. DeVaul, P.E.
2250 Las Vegas Blvd. N., Ste 250
North Las Vegas, NV 89030
via Phone: (702) 633-1275
via email: E-mail Form Link