1. Investment in West Linn’s Water System June 28, 2010

2. Water System Investment2 Ripped From the Headlines

3. Water System Investment3 Repairs Completed Last Week

4. Water System Investment4 Broadway Fix Was Time Consuming and Costly

5. Water System Investment5 Aging & Unsafe System

6. Water System Investment6 Community Feedback Utility Advisory Board hosted three Town Halls City Council held three Public Hearings Online Utility Rate Calculator Web and email notices Newsletter Updates Newspaper

7. Water System Investment7 West Linn Water Rates Lowest in Region Reminder: We share ownership of SFWB with Oregon City, so the wholesale cost of water is the same… yet Oregon City’s current rates are double West Linn’s.

8. Water System Investment8 Current Rate Structure and Conservation Pricing Options Current West Linn Pricing –Base charge per meter size of $15.27 –First 7 units of water used is included in base charge –Additional consumption charged at a one-tier rate of $1.75 per unit –1 unit = One hundred cubic feet (ccf) = 748 gallons “Conservation Pricing” Options –Increase to all water rates to fund Master Plan project costs –Financial Incentive to Conserve at all Usage Levels

9. Water System Investment9 Impact on Various Customer Groups 3 Units of Water Used – 18% of users –Breakeven falls at 3 units under the Three Tier method –Breakeven falls at 2.3 units under the One Tier method 7 Units of Water Used – 52% of users (City’s median) 30 Units and Over – 7% of users or 650 Accounts –Many public accounts (both City and School District)

10. Water System Investment10 Feedback from the School District “This district believes the one tier model is more equitable…”

11. Water System Investment11 Ask the Voters? RESOLUTION 2010-27 WEST LINN, OREGON A RESOLUTION OF THE WEST LINN CITY COUNCIL CALLING AN ELECTION TO SUBMIT TO THE VOTERS A MEASURE TO UPGRADE WATER SYSTEM, INCREASE SAFETY OF DRINKING WATER, AND PROMOTE CONSERVATION BY BASING WATER PRICING ON WATER CONSUMPTION

12. Water System Investment12 Three Tier or One Tier? ATTACHMENT A

13. Water System Investment13 Discussion