ITEM 24 ATTACHMENT 2 - Laserfiche WebLink

City of Pleasanton 2025 Water Rate Study Water Resources Economics 64 DELIVERY COST The Delivery unit cost of $2.43 per ccf is from Table 3-13 (Line 4) and is charged to all customer classes equally. CONSERVATION COST The Conservation unit cost of $0.05 per ccf is from Table 3-13 (Line 5) and is charged to all customer classes equally. REVENUE OFFSET The Revenue Offset unit cost is a credit of of $0.09 per ccf is from Table 3-13 (Line 6) and is offsetting rates for all customer classes equally. REVENUE NEUTRAL RATES Table 4-5 shows the revenue neutral variable charges for all classes, based on the Zone 7 Variable Supply unit cost from Table 4-4, Delivery, Conservation, and Revenue Offset unit costs. The revenue neutral rate represents the cost-of-service analysis for FY 2025 but does not include the proposed revenue adjustments for the first year of rates in FY 2026. Table 4-5: Revenue Neutral Variable Charges Line Customer Class Annual Use (ccf) Water Supply (Zone 7) Delivery (City) Conser- vation (City) Rev. Offset (City) Revenue Neutral Rate (Combined) 1 Single Family 2,808,349 $2.55 $2.43 $0.05 ($0.09) $4.95 2 Multi-Family 572,358 $2.55 $2.43 $0.05 ($0.09) $4.95 3 Commercial/Industrial 595,726 $2.55 $2.43 $0.05 ($0.09) $4.95 4 Potable Irrigation 1,052,511 $2.55 $2.43 $0.05 ($0.09) $4.95 PROPOSED RATES WITH ADJUSTMENT Table 4-6 shows the proposed variable charges for FY 2026 based on the revenue neutral rate (Table 4-5) adjusted by the proposed revenue adjustment of 15% in the first year (Table 2-23) and rounded up to the nearest cent. Table 4-6: Proposed Variable Charges after Adjustment Line Customer Class Revenue Neutral Rate (Combined) Proposed Rate (w/ 15% Adj.) Current Rate Difference ($) Difference (%) 1 Single Family $4.95 $5.70 $6.33 ($0.63) -9.9% 2 Multi-Family $4.95 $5.70 $6.13 ($0.43) -7.0% 3 Commercial/Industrial $4.95 $5.70 $6.28 ($0.58) -9.2% 4 Potable Irrigation $4.95 $5.70 $7.28 ($1.58) -21.7%