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9.1. SR 02-17-2015Request for Action To Item Number Mayor and City Council 9.1 Agenda Section Meeting Date Prepared by Work Session February 17, 2015 Suzanne Fischer, Director, CODD Item Description Reviewed by Determination of Billable Flow, Loading, and User Tim Simon, Finance Director Charge Matt Stevens, Chief WW Operator Reviewed by Cal Portner, City Administrator Action Requested Discuss revisions to Ordinance 78 -187 in relation to sewer rate charges. Background /Discussion Business and commercial users are charged sewer rates based on their metered input. Metal Craft circulates a portion of their volume and discharges it into a pond, thus having lower output to the sanitary sewer than the metered input. A more equitable method in these situations would be based on the actual output to the sanitary sewer system which is accomplished when the customer installs a `deduct meter'. Their actual input to the sanitary sewer is automatically calculated (metered input less the amount discharged to the pond). The deduct meter option puts into policy what the city has already allowed in practice for many years. The proposed revision allows staff to analyze unique circumstances for wastewater customers and allow for their rate to be calculated differently when non - irrigation water usage is not entirely processed by the treatment plant. Staff seeks Council authorization to determine whether a wastewater customer qualifies for the deduct meter billing option on a case -by -case basis. Another area of the ordinance that we will be reviewing in the future is the senior discount rate on sanitary sewer charges. We will review during normal budget processes. Recently ERMU's phased in over several years to eliminate the senior rate on water charges. Financial Impact None Attachments Ordinance 78 -187 with proposed revisions. Sec. 78 -187. - Determination of billable flow, loading and user charge. (a) Basis. Each user shall pay operation, maintenance and replacement costs in proportion to the user's proportionate contribution of wastewater flows and loadings to the treatment plant, with the minimum rate for loadings of BOD and TSS being the rate established for a concentration of 200 milligrams per liter BOD and 250 milligrams per liter TSS (i.e., normal domestic strength wastewater). Those industrial users discharging segregated normal domestic strength wastewater only can be classified as commercial users for the purpose of rate determination. (b) User charges for normal domestic strength users. (1) Calculation of billable flows and loadings. The charges assessed domestic users and those of other classes connected to the city's water utility and discharging normal domestic strength wastewater shall be established proportionately according to billable wastewater volume. Billable wastewater volume shall be calculated as follows: a. Measurement of wastewater volume for domestic users. Domestic users connected to city water utility. Except as provided for in this division, billable wastewater volume for residential users shall be calculated on the basis of metered water usage. Direct read or deduct meters are available at customer's Expense with w/City n4g434t _ approval. r usage s"aroe be -date �bap,-Qi--GeP,-JaRuap�,,—F--bf . Usage in excess of the minimum rate will be billed on a unit cost of 1,000 gallons per month. 2. Domestic users not connected to city water utility. The charges assessed to residential users who are not connected to the city's water utility shall be established as a flat rate per month based on the average water use of metered residential users in the community. The city reserves the right to require residential users to install water meters for the purpose of determining billable wastewater volume. b. Measurement of wastewater volume for nondomestic users. The charges assessed nondomestic users discharging normal domestic strength wastewater shall be established proportionately according to billable wastewater volume. Billable wastewater volume shall be calculated as follows: The billable wastewater volume of nondomestic users may be determined in the same manner as for residential users connected to the city's water utility, except that if the city determines that there are significant seasonal variations in the metered water usage of nonresidential users resulting in a proportionate increase or decrease in wastewater volume, then billable wastewater volume shall be calculated on the basis of monthly metered water usage recorded throughout the year, or calculated on the basis of wastewater flow meters. The city may, at its discretion, require nondomestic users to install, at the user's expense, a water meter, or such additional water meters or wastewater flow meters as may be necessary to determine billable wastewater volume. c. Determination of loadings for normal domestic strength users. The billable amounts of BOD and TSS will be calculated from the volume of metered water usage, as determined pursuant to this section, where the billable quantities will be those attributable to wastewater at a concentration of 200 milligrams per liter BOD and 250 milligrams per liter TSS (i.e., normal domestic strength wastewater). d. Determination of loadings for nondomestic strength users. The city may, at its discretion, require nondomestic users to install a sewage monitoring facility. Each industrial user required by the city to install and maintain sewage monitoring facilities shall submit to the city a monthly report of daily flow and BOD on a form approved by the city. This report shall be used for billing purposes and shall be submitted prior to the 15th day of the subsequent Page 1 month. The city shall have the right to periodically or continuously inspect the monitoring facilities to measure, sample and analyze the industrial user's flow and to analyze the samples obtained by such user. In the event of any discrepancy between the flows or loads determined by the city and those determined by the industrial user, the values determined by the city shall be used for billing purposes. (2) Determination of user charges for normal domestic strength users. User charges for normal domestic users, except senior citizens and unmetered water users, shall be calculated on a unit charge for each 1,000 gallons. However, under no circumstance will a user be billed less than the minimum charge. Senior citizens shall be charged for the actual metered usage at the unit cost per 1,000 gallons. Unmetered users shall be charged a flat fee calculated from the average domestic usage throughout the community. The user charges for the three classifications of domestic users shall be as follows: a. Metered water users. The per -month billable wastewater volume shall be an average of the metered water usage during the months of November, December, January, February, and March. b. Unmetered water users. The charge shall be a flat rate per household unit. c. Senior citizens. The charge shall be for the actual metered water usage (rounded to 1,000 gallons). (3) Determination of user charges for nondomestic users. a. Sewer service charges for users who discharge wastewater with concentrations greater than normal domestic strength or wastes of unusual character shall be calculated in proportion to the wastewater flow and loading at the treatment plant. No user shall be charged at a rate less than that of normal domestic strength wastewater. b. The measurements of such wastes shall be conducted according to the latest edition of Standard Methods for the Examination of Water and Wastewater, in a manner acceptable to the city, as provided for in division 2 of this article. c. A study of unit costs of collection and treatment processes attributable to flow, BOD, TSS and other significant loading shall be developed for determining the proportionate allocation of costs to flows and loadings for users discharging wastes of greater than normal domestic strength or wastes of unusual character. d. In addition to the charges provided for in this section, the city may impose a surcharge on any industrial user based on some other pollutant loading factor which requires special treatment at the wastewater treatment plant. (Code 1982, 1 02 06) Page 2 Unit 2 Urdt 3 i Outbor Use -a,? 111-1� c, i Example S