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ADMINISTRATIVE ORDER NO. 58-16-14-F <br />of the <br />City Manager of the City of Eugene <br />INFLATIONARY ADJUSTMENT OF SYSTEMS DEVELOPMENT CHARGES <br />FOR REGIONAL WASTEWATER SYSTEM, PARKS SYSTEM, LOCAL <br />WASTEWATER SYSTEM, STORMWATER SYSTEM, AND <br />TRANSPORTATION SYSTEM. <br />The City Manager of the City of Eugene finds as follows: <br />. A. Section 2.020 of the Eugene Code, 1971, authorizes the City Manager of the City <br />of Eugene to determine and set fees and charges to be imposed by the City for services, goods, use <br />of municipal property, and licenses and permits. Section 7.710(5) of that Code authorizes the City <br />Manager to adopt by administrative order inflationary adjustments to Systems Development <br />Charges (SDC) based on previously adopted rate factors and cost indices. Section 2.4 of the SDC <br />Methodologies authorizes the City Manager to adopt fee changes, based on a cost index or rate <br />factors, by administrative order pursuant to Section 2.020 of the Eugene Code, 1971, so long as <br />the fees are not revised administratively in ani amount greater than five percent within any 12 - <br />month period. <br />B. The SDC Methodologies were adopted by Resolution No. 4900 effective May 7, <br />2007, and have subsequently been amended by Resolution Nos. 4929, 4977, 4991 and 5100. <br />Inflationary adjustments to the Regional Wastewater System, Parks System, Local Wastewater <br />System, Stormwater System, and Transportation System have been adopted, most recently by <br />Administrative Order No. 58-15-17-F, effective July 1, 2015. <br />C. In accordance with the procedures set forth in Sections 2.020 and 7.710(5) of the <br />Eugene Code, 1971, and after considering the recommendation of the Metropolitan Wastewater <br />Management Commission (MWMC), the applicable policies, enactments and directives of the City <br />Council, the amount charged for these services by the City in the past, the full costs of providing <br />these services supported by the fees, the amounts charged by other comparable providers, and the <br />revenue needs of the City as determined by the adopted City budget, on June 10, 2016, I issued <br />Administrative Order No. 58-16-14 proposing to implement an inflationary increase to the <br />Regional Wastewater System rates and the Parks System, Local Wastewater System, Stormwater <br />System, and Transportation System rates as shown on Exhibit A attached to that Order. General <br />descriptions of the adjustments are described in Findings D, E, and F below. <br />D. The adopted Regional Wastewater SDC Methodology provides for periodic <br />adjustments to the SDC rate schedule by applying the Engineering News Record (ENR) annual <br />"20 -City National Average" Construction Cost Index (December 2014 to December 2015) to the <br />value of the existing system assets and to the value of future, non -bond funded projects and <br />updating the actual costs for bond -funded projects. When the 2015 ENR CCI annual average of <br />10034 is applied in combination with updates to actual costs for bond -funded projects, the net <br />Administrative Order - Page 1 of 3 <br />