HomeMy WebLinkAbout[08] Utility Ordinance •
CM' OF ST. JOSEPH Council Agenda Item 8
MEETING DATE: August 5, 2010
AGENDA ITEM: Utility Ordinance
SUBMITTED BY: Administration
BOARD /COMMISSION /COMMITTEE RECOMMENDATION:
PREVIOUS COUNCIL ACTION:
BACKGROUND INFORMATION: Over the past years the City Council has conducted public hearings
when utility rates are increased. The City also has an Ordinance on Sewer Rates. The sewer rate has not
been updated for quite a while. Therefore, the proposed Ordinance amendment reflects the current
utility rate structure and includes a provision for contract user.
In reviewing other City's Ordinances, they vary in what they include. Some City's do not have an
Ordinance establishing rates specific, others are detailed. We will provide additional data to you on the
various Ordinance types. The Ordinance being proposed by staff will include all three utilities operated
by the City. The one included in the packet at this time is just sewer, but by the meeting we will have
incorporated all three. The intent of the rate structure is to cover operations and plan for the future,
that is how the rates are determined to do and what the Ordinance states for the future.
Since the Utility Ordinances are not zoning Ordinance, a public hearing is not required for adoption,
rather a motion to approve the Ordinance cause the same to be executed and published. The Ordinance
becomes effective upon publication.
BUDGET /FISCAL IMPACT:
ATTACHMENTS: Draft Sewer Use Ordinance
Current Sewer Use Ordinance
REQUESTED COUNCIL ACTION: The Council should provide direction to the staff with regard to
changes or if appropriate adopt.
8:1
CHAPTER IV - WATER & SEWER
ORDINANCE 43 SEWER RATE ORDINANCE 43 -1
Section 43.01: PURPOSE AND POLICY 43 -1
Section 43.02: USERS 43 -1
Section 43.03: RATES 43 -1
Section 43.04: ADMINISTRATION 43 -2
Section 43.05: PENALTIES 43 -3
Section 43.06: SEVERABILITY AND VALIDITY 43 -3
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CHAPTER IV — WATER & SEWER
ORDINANCE 43 SEWER RATE ORDINANCE
Section 43.01. Purpose and Policy. The purpose of this Ordinance is to set and recover
fees from users of the St. Joseph Sanitary Sewer System on an es uitable basis to provide funds
for the operation and maintenance, debt service, replacement • provements to the St. Joseph
Sanitary Sewer System, including all cost associated with • • art of the St. Cloud Wastewater
System.
Section 43.02. Users. Users of the St. Jos anitary Se ystem shall be identified
as belonging to one of the following User Clas
a. General User
b. Contract User
Users shall be considered Gen: lo less the Council has determined that a
particular User should be subject to a se .te a. • -nt wit City in accordance with the
following criteria:
a. Users w charge .. w vol -r than . 0 gallons per day on an annual
basis.
b . - _sisch., • W.
Users who a t , erwi i uired to •'. 'ain a Wastewater Discharge Permit in
ordance wit' tion of the Sewer Use Ordinance.
Section 4 3. Rates. A\ sers o the system, regardless of User Classification, will be
billed for dischar• ormal de stic strength wastewater. To determine billable wastewater
water, all users of th- tew. stem must have metered installed on the water source.
Unless water is not pro • e City, the meter must be placed on the City water source.
The charges for service will be divided into two rates:
a. Sewer Line Charge: All users of the St. Joseph Wastewater System will be billed a
proportionate share of the fixed costs of the wastewater facilities. Annually the City
Council will review the fixed cost and establish the Sewer Line Charge. The fixed
costs used to determine the sewer line charge will be equated to a charge per unit and
the unit charges shall be applied as follows:
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CHAPTER IV — WATER & SEWER
Residential Uses — including single family, two family, three family and
Manufactured Home Community Park shall be billed one unit for each
residential use. For the purposes of determining a residential unit, each
apartment or individual living unit shall be charged one unit per month.
The number of units will be multiplied by the monthly rate.
ii. Commercial /Industrial Uses — each use shall be charged one unit. For the
purposes of determining a commercial /industrial unit, each business in a
multi - tenant building will be charged one unit per month. The number of
units will be multiplied by the monthly r
iii. Mixed Use Facilities — each use in 1 use building shall be charged
one unit. If the facility include • , each living unit shall be
charged one unit per month . - • in 1 business shall be charged
on unit per month. The n of units wi ultiplied by the monthly
rate.
iv. Other Uses — Properties u' • • wast= 'ter service are not listed
above shall be arged one • s esidential equ t.
Residential e - t shall con- • ividing the month water /sewer
use by the ave - tial wate of 274 gallons per day. This
number will the e . number • its to be charged on a monthly
basi The numbe units - - multi ► • by the monthly rate.
b. Sewer U. arg- 1 Users ose. tewater System will be billed
for waste calcula on the ba metered w• er usage, or if applicable direct
wastewater .'ng. ually the k will establish a budget for the sewer fund
•udgete. ed c will be extrapolated into a per gallon sewer
he ounci • u. " establish the sewer use charge. The
ewer Use will • • led as fo
Resi . : 11 Use e sewer use charge shall be calculated on the basis
of mete water u _e. The billable flows for residential uses shall be
use obtained easuring the metered potable water usage and the annual
ading f ' ovember and December shall be the maximum sewer charge
t 't annual reading. If billable flows for all other months is
lo the November and December reading the lower reading shall
be us`- for that period.
ii. Non residential Uses — The sewer use charge shall be calculated on the
basis of metered water usage or when applicable direct wastewater
measurement. Users will be billed the established Sewer Usage charge
based on the potable water usage or direct wastewater measurement for
each billing period.
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CHAPTER IV — WATER & SEWER
Section 43.04. Administration. The Sewer Service Charge System and Sewer Service
Fund shall be administered according to the following provisions:
Subd. 1: The City shall maintain the Sewer Fund in accordance with the Minnesota
Accounting and Financial Reporting Standards as adopted and amended by the Office of the
State Auditor.
Subd. 2: The City Council shall annually review user rates and charges to determine
whether sufficient revenue is being generated for the effective operation, maintenance,
replacement, management of the Wastewater System and debt retirement.
Subd. 3: Bills for service shall be mailed bi- monthl 'ng the period for which the
service was rendered and shall be due 30 days from the d- ailing. Any bill not paid in full
30 days after the due date will be considered delinque • e charged a penalty which will
be set by the City Council.
Subd. 4: The owner of the premise sh- iable to pay for t - ice to such premises,
and the service is furnished to the premises b City only upon the co en that the owner of
the premises is liable therefore to the City.
Section 43.05. Penalties.
Subd. 1. Criminal Penalties. • .e 'elating . the provisions of this
ordinance shall be guilty of . criminal o ,e, pu • e as a • emeanor as defined by City
ordinance or state law.
Subd. 2: Eac • every s -r servic - le levied b and pursuant to this ordinance is
hereby made a lien upo lot o -mises se and all such charges which are on October
of each yea e and • • . e cert • to the County Auditor as taxes or
assessm -state. ing 1 • di e shall be held or construed as in any
way s g or inter . with ght oft ., to levy taxes or assessments against any
premise -cted any de nt o due sewer service charges.
Subd s an alterna , ``` to ley • a lien, the City may, at its discretion, file suit in a
civil action to c e .such amo as are delinquent and due against the occupant, owner, or
user of the real esta d shall ect as well all attorney's fees incurred by the City in filing the
civil action. Such att 's .� all be fixed by order of the court.
Section 43.06. Seve .ility and Validity
Subd. 1: If any section or subdivision of this ordinance shall be held invalid, the
invalidity thereof shall not affect the validity of the other provisions of this ordinance, which
shall continue in full force and effect.
Subd. 2: This ordinance shall be in full force and take effect from and after its passage
and approval and publication as provide by law.
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CHAPTER IV - WATER & SEWER
ORDINANCE 43 SEWER RATE ORDINANCE 43 -1
Section 43.01: DEFINITIONS 43 -1
Section 43.02: ESTABLISHMENT OF A SEWER SERVICE CHARGE SYSTEM 43 -4
Section 43.03: DETERMINATION OF SEWER SERVICES CHARGES 43 -4
Section 43.04: SEWER SERVICE FUND 43 -7
Section 43.05: ADMINISTRATION 43 -8
Section 43.06: PENALTIES 43 -9
Section 43.07: SEVERABILITY AND VALIDITY 43 -10
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CHAPTER IV — WATER & SEWER
ORDINANCE 43 SEWER RATE ORDINANCE
Section 43.01: DEFINITIONS. Unless the context specifically indicates otherwise, the
meaning of the following terms, as used in this ordinance shall have the meanings hereafter
designated (other definitions that may apply can be found in Section 4.20.2 of the Sewer Use
Code):
Subd. 1: Biochemical Oxygen Demand or BOD5. The quantity of oxygen utilized in the
biochemical oxidation of organic matter under standard laboratory procedure in five (5) days at
20 C, expressed in milligrams per liter.
Subd. 2: Capital Improvements: Improvements not properly categorized as operation
and maintenance, or replacement. Capital improvements include that portion of the plant
constructed for reserve capacity, the purchase of reserve capacity in the St. Cloud WPCF; that
portion of repairs to the existing collection system attributable to oversizing for future growth;
and extensions of the existing collection system to serve future growth areas. Capital
improvements also include reconstruction of the existing plant or portions thereof after it has
reached its useful service life, and reconstruction of portions of the collection system that have
reached their useful lives.
Subd. 3: City. The area within the corporate boundaries of the City of St. Joseph, as
presently established or as amended by ordinance or other legal actions at a future time. When
used herein the term City may also refer to the City Council or its authorized representative.
Subd. 4: Collection System or Public Wastewater Collection System. The system of
sanitary sewers, manholes, pumping stations, forcemains, and appurtenances used to convey
wastewater to the Plant. For purposes of this definition, the collection system ends at the
junction manhole just upstream of the metering structure containing the Parshall Flume.
Subd. 5: Contract Users. Those users who because of their wastewater volume,
wastewater strength, or need to obtain a Wastewater Discharge Permit, are required to execute a
separate agreement with the City for the collection and treatment of wastewater.
Subd. 6: Current Capacity. That portion of the Plant and of space purchased in the St.
Cloud WPCF which is necessary to serve the users currently connected to the system. Current
capacity is further defined as 0.3 MGD average flow, or 0.75 MGD peak flow.
Subd. 7: Debt Service. The principal and interest necessary to repay bonded
indebtedness, or other indebtedness, for construction of the Current Capacity portion of the Plant,
and for that space purchased in the St. Cloud WPCF which is necessary to serve the users
currently connected to the system.
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CHAPTER IV — WATER & SEWER
Subd. 8: Design Capacity. The total capacity of the Plant and of the space purchased in
the St. Cloud WPCF, including both current capacity and reserve capacity. Design capacity is
further defined as 0.6 MGD average flow, or 1.5 MGD peak flow.
Subd. 9: Extra Strength Waste. Wastewater having a BOD and/or TSS concentration
greater than 250 mg/, and not otherwise classified as an incompatible waste.
Subd. 10: General Users. Those users who are not required to execute a separate
agreement with the city for collection and treatment of wastewater.
Subd. 11: Incompatible Waste. Waste that either singly or by interaction with other
wastes interferes with any waste treatment process, constitutes a hazard to humans or animals,
creates a public nuisance, or creates any hazard in the receiving waters of the Wastewater
Disposal System.
Subd. 12: MGD. A flow rate measured in terms of millions of gallons per day.
Subd. 13: Normal Domestic Strength Wastewater (NDSW). Wastewater that is
primarily produced by residential users, with BOD5 concentrations not greater than 250 mg/1 and
suspended solids concentrations not greater than 250 mg/1.
Subd. 14: Operation and Maintenance. Activities required to provide for the dependable
and economical functioning of the Wastewater Disposal System throughout its design or useful
life, whichever is longer, and at the level of performance for which the system was constructed.
Operation and Maintenance includes administrative tasks such as billing, bookkeeping,
accounting, contract administration, and enforcement activities; and also includes coordination
with MPCA, sampling and laboratory testing, and engineering assistance.
Subd. 15: Plant or Treatment Plant. The Main Pumping Station located at Cedar Street
and First Avenue Northwest, including the junction manhole, gravity sewer lines from the
junction manhole to the pumping station, metering structure, diversion manhole, bar screen pit,
pumping station and control building, abandoned units associated with the original Sewage
Treatment Plant, grounds, entrance road, storage areas, appurtenances, and including the entire
forcemain from the Main Pumping Station to its discharge point in the St. Cloud WPCF.
Subd. 16: Replacement or Equipment Replacement. Obtaining and installing of
equipment, accessories, or appurtenances which are necessary during the design life or useful
life, whichever is longer, of the Wastewater Disposal System to maintain the capacity and
performance for which such works were designed and constructed.
Subd. 17: Reserve Capacity. That portion of the Plant and of space purchased in the St.
Cloud WPCF which has been provided for future growth. Reserve capacity is intended to serve
future growth. Reserve capacity is intended to serve future users both within and outside the
current City limits, and is further defined as 0.3 MGD average flow, or 0.75 MDG peak flow.
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CHAPTER IV — WATER & SEWER
Subd. 18: St. Cloud Costs. Fees levied by the City of St. Cloud for the collection and
treatment of wastewater from St. Joseph in accordance with the Sewer Use Agreement executed
by the two communities. These fees include costs for Plant Operation and Maintenance,
Equipment Replacement, Interceptor Maintenance, and Administration.
Subd. 19: Sanitary Sewer. A sewer intended to carry only liquid and water carried
wastes from residences, commercial buildings, industrial plants, and institutions, together with
minor quantities of ground, storm, and surface waters which are not admitted intentionally.
Subd. 20: Sewer Hookup Charge. A connection charge to be paid by a future user at the
time of connection to the collection system, as authorized by Minnesota Statute Sec. 444.075,
Subd. 5.
Subd. 21: Sewer Service Charge. The aggregate of user charges, charge for debt service
and capital improvement, and other sewer related charges that are billed periodically to users of
the city's Wastewater Disposal Facilities.
Subd. 22: Sewer Service Charge System. A system of rates or charges whereby all
revenue collected from users of the Wastewater Disposal Facilities will be used to offset costs
incurred for Operation and Maintenance, Replacement, Debt Service, and Capital Improvements.
Subd. 23: Sewer Service Fund. A fund established to receive all revenues generated
under the Sewer Service Charge System, and all other income dedicated to the Operation and
Maintenance, Replacement, Debt Service, and Capital Improvements associated with the
Wastewater Disposal System.
Subd. 24: Shall is mandatory; May is permissive.
Subd. 25: Suspended Solids (SS) or Total Suspended Solids (TSS). The total suspended
matter that either floats on the surface or is in suspension in water, wastewater or other liquids,
and is removable by laboratory filtering as prescribed in "Standard Methods for the Examination
of Water and Wastewater ", latest edition, and referred to as non filterable residue.
Subd. 26: User Charge. A charge levied on users of the Wastewater Disposal System for
the user's proportionate share of the costs of operation and maintenance, replacement, and St.
Cloud costs.
Subd. 27: Users. Those residential, commercial, governmental, and institutional and
industrial establishments which are connected to the public sewer collection system as defined in
the Sewer Use Ordinance.
Subd. 28: Wastewater. The spent water of a community, also referred to as sewage.
From the standpoint of source it may be a combination of the liquid and water carried wastes
from residences, commercial buildings, industrial plants, and institutions together with any
ground water, surface water, and storm water that may be present.
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CHAPTER IV — WATER & SEWER
Subd. 29: Wastewater Discharge Permit. A permit required of users who meet the
criteria outlined in Section 4.20.8 of the Sewer Use Code.
Subd. 30: Wastewater Disposal System or Wastewater Disposal Facilities. Individually
or collectively all parts and facilities of the Collection system, the Plant, and all appurtenances;
the entire Sanitary Sewer System owned and operated by the City of St. Joseph.
Subd. 31: WPCF. The St. Cloud Water Pollution Control Facilities as defined in the
Sewer Use Agreement between the Cities of St. Joseph and St. Cloud, Minnesota.
Section 43.02: ESTABLISHMENT OF A SEWER SERVICE CHARGE SYSTEM.
Subd. 1: The City of St. Joseph shall establish a Sewer Service Charge System as defined
herein which contains a rate structure whereby users shall contribute to the cost of constructing
and operating the Wastewater Disposal System on an equitable basis.
Subd. 2: Users contributing Normal Domestic Strength Wastewater to the system shall
pay for Operation and Maintenance, Replacement, and St. Cloud costs in proportionate
contribution to the amount of flow contributed.
Subd. 3: Users contributing Extra Strength Waste to the system shall pay, in addition to
the charges for Normal Domestic Strength Wastewater as outlined in Subd. 2 above, a surcharge
in proportion to the amount of Extra Strength Waste contributed.
Subd. 4: Users shall pay for Debt Service as defined herein on the basis of an assessment
to be levied against the property connected to the system or, in the case of a Contract User, as
outlined in the agreement executed between the user and the City.
Subd. 5: Users who do not connect to the system until after the assessments for debt
service have been levied, shall pay a Sewer Hook up Charge as established by the City Council.
Subd. 6: The Sewer Service Charge System developed in accordance with the provisions
of this ordinance, shall be adopted by resolution of the City Council, shall be published in the
official newspaper, and shall become effective upon publication. Subsequent changes in the rate
structure outlined in the Sewer Service Charge System shall be adopted by resolution of the City
Council and shall be published in the official newspaper.
Subd. 7: Revenues collected in accordance with the Sewer Service Charge System shall
be deposited in a separate fund known as the Sewer Service Fund.
Section 43.03: DETERMINATION OF SEWER SERVICES CHARGES.
Subd. 1: Users of the St. Joseph Wastewater Disposal Facilities shall be identified as
belonging to one of the following User classes:
a) General User
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CHAPTER IV — WATER & SEWER
b) Contract User
Users shall be considered General Users unless the City Council has determined that a
particular User should be subject to a separate agreement with the City in accordance with the
following criteria:
a) Users who discharge a flow volume greater than 50,000 gallons per day on an
annual basis.
b) Users who discharge Extra Strength Waste.
c) Users who are otherwise required to obtain a Wastewater Discharge Permit in
accordance with Section 4.20.8 of the Sewer Use Ordinance.
Subd. 2: Determination of unit costs for Plant Operation and Maintenance, Replacement,
and St. Cloud costs attributable to the Normal Domestic Strength Wastewater shall be as set forth
below:
a) Determine annual budget for Plant Operation and Maintenance, Equipment,
Replacement, and St. Cloud costs.
b) Deduct those budget costs associated with Extra Strength Waste which are to be
billed separately as a surcharge.
c) Divide the remaining budget costs by the estimated total Plant flow to obtain a
unit cost in $ /gallon of treated wastewater.
Subd. 3: Determination of costs for Extra Strength Waste where the City has determined
such waste is being contributed shall be as set forth below:
a) Determine the unit costs for flow, BOD, and suspended solids in $ /gallon of
treated wastewater for St. Cloud Operation, Maintenance and Equipment
Replacement from the proposed St. Cloud Rate Structure; these unit costs shall
include a proration for administrative and interceptor maintenance charges as set
forth in the Sewer Use Agreement between St. Joseph and St. Cloud.
b) Determining the proposed budge costs for St. Joseph Plant Operation,
Maintenance, and Equipment Replacement; apply 1/3 to flow, 1/3 to BOD, and
1/3 to suspended solids; and determine the St. Joseph unit costs for all three
variables. Add these to the St. Cloud unit costs obtaining an overall unit cost for
flow, BOD, and suspended solids.
c) Apply the unit cost for BOD and/or suspended solids to that portion of the User's
discharge exceeding 250 mg/1 as a surcharge to be billed in addition to the charge.
for Normal Domestic Strength Wastewater.
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CHAPTER IV — WATER & SEWER
Subd. 4: Determination of Unit costs for Collection System Operation and Maintenance
shall be as set forth below.
Unit costs for General Users for Collection System Operation and Maintenance shall be
determined as follows:
a) Determine annual budget for Collection System Operation and Maintenance.
b) Deduct those budget costs applicable to Contract Users as determined below.
c) Divide the remaining budget costs by the total Plant flow minus that flow
attributable to Contract Users to obtain the unit cost for Collection System
Operation and Maintenance.
Unit costs for Contract User's for Collection System Operation and Maintenance shall be
determined as follows:
a) Determine those budget costs applicable to each Contract User annually by
multiplying the percentage of the Collection System used by the ratio of Contract
User's flow to total Plant flow, and multiply this product by the total Collection
System Operation and Maintenance budget.
b) Divide the applicable budget costs by the Contract User's flow to obtain the unit
cost for Collection System Operation and Maintenance.
Subd. 5: Billable flows shall be measured as follows:
a) Billable flows for General Users shall be obtained by measuring the metered
potable water usage during October, November, and December of each calendar
year. Readings for these three months shall be used to determine the quarterly
flow for the following calendar year.
b) Billable flows for Contract Users shall be obtained by measuring the metered
potable water usage during October, November, and December of each calendar
year unless the agreement between the Contract User and the City provides for
monthly potable water measurement or for direct wastewater measurement. If
fourth quarter water meter readings are used as outlined above, the readings for
these three months shall be used to determine the quarterly flow for the following
calendar year. If monthly potable water readings are used or if wastewater flows
are measured directly, the billable flow shall be determined on the basis of these
measurements as set forth in the agreement.
Subd. 6: Where it is determined that Extra Strength Waste is being discharged, BOD and
suspended solids shall be measured according to a program established by the City in accordance
with latest edition of "Standard Methods for the Examination of Water and Wastewater ", and in
accordance with the Sewer Use Ordinance.
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Subd. 7: The City may, at its discretion, require non residential users to install
wastewater flow meters or such additional potable water meters as may be necessary to
determine wastewater volume. Where a residential user is not connected to city water, City may
require the user to install a water meter for the purpose of determining wastewater flow. When
so required, such meter shall be of a type approved by the City and shall be equipped with a
remote registering recorder located at an accessible site on the owner's property.
Subd. 8: Assessments levied to cover Debt Service shall be based on an equitable
distribution of costs as approved by the City Council.
Subd. 9: The Sewer Hookup Charge shall be based on an equitable formula including the
replacement cost of the then existing Wastewater Disposal Facilities and the amount of past
individual assessments levied to finance construction of the facilities. The Sewer Hook up
charge may be adjusted from time to time by resolution of the City Council, and separate charges
may be established for various types of users as deemed appropriate by the City. Sewer Hook up
Charges shall be paid to the City Clerk/Administrator in full prior to connection to the system.
Upon receipt, said charges shall be deposited in the Capital Improvement Account.
Section 43.04: SEWER SERVICE FUND.
Subd. 1: The City of St. Joseph hereby establishes a "Sewer Service Fund" as an income
fund to receive all revenues generated by the Sewer Service Charge System, and all other income
dedicated to the operation, maintenance, replacement, and construction of the Wastewater
Disposal System, including taxes, special charges, fees, hook up charges, and assessments
intended to retire construction debt.
The City also establishes the following accounts as income and expenditure accounts
within the Sewer Service Fund:
a) St. Cloud Costs Account. This account shall be used forSt. Cloud costs as defined
elsewhere herein.
b) Plant Operation and Maintenance Account. This shall be the account used for all
costs associated with the annual operation and maintenance of the Plant facilities.
c) Equipment Replacement Account. This shall be the account used for all costs
associated with replacement of fixed and portable equipment associated with
Plant operation.
d) Collection System Operation and Maintenance Account. This shall be the
account used for all costs associated with the annual operation and maintenance of
the Collection System.
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e) Debt Service Account. This shall be the account used for the annual principal and
interest costs necessary to retire indebtedness on the Plant construction and on
those costs associated with buying space in the St. Cloud WPCF.
f) Capital Improvement Account. This shall be the account used for the annual
principal and interest costs necessary to retire indebtedness for future
improvements of a general benefit to the City or to a specific service area. This
account shall also serve as a sinking fund for planned improvements.
Subd. 2: All revenue generated by the Sewer Service Charge System, and all other
income pertinent to the Wastewater Disposal System, including taxes and special assessments
dedicated to retire construction debt, shall be held by the Clerk/Administrator separate and apart
from all other funds of the City. Funds received by the Sewer Service Fund shall be transferred
to the appropriate accounts in accordance with State and Federal regulations and the provisions
of this Ordinance.
Subd. 3: Revenue generated by the Sewer Service Charge System sufficient to insure
adequate replacement throughout the design or useful life, whichever is longer, of the Plant shall
be held separate and apart in the "Equipment Replacement Account" and dedicated to affecting
replacement costs. Interest income generated by the "Equipment Replacement Account" shall
remain in the "Equipment Replacement Account."
Subd. 4: Revenue generated by the Sewer Service Charge System sufficient for operation
and maintenance shall be held separate and apart in the appropriate "Operation and Maintenance
Account."
Section 43.05: ADMINISTRATION. The Sewer Service Charge System and Sewer
Service Fund shall be administrated according to the following provisions:
Subd. 1: The City Clerk/Administrator shall maintain a proper system of accounts
suitable for determining the costs set forth in Section 4, Subd. 1 ( "a" through "f "), and shall
furnish the City Council with a report of such costs annually in July.
The City Council shall annually determine whether or not sufficient revenue is being
generated for the effective operation, maintenance, replacement, and management of the
Wastewater Disposal System, and whether sufficient revenue is being generated for debt
retirement. The council will also determine whether the user charges are distributed
proportionately to each user in accordance with Section 4.30.2, Subd. 2 of this ordinance and
section 204(b)(2)(A) of the Federal Water Pollution Control Act, as amended.
The City shall thereafter, but not later than the end of the year, reassess, and as necessary
revise the Sewer Service Charge System then in use to insure the proportionality of the user
charges and to insure the sufficiency of funds to maintain the capacity and performance to which
he facilities were constructed, and to retire the construction debt.
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Subd. 2: In accordance with Federal and State requirements, each user will be notified
annually in conjunction with a regular billing of that portion of the Sewer Service Charge
attributable to operation, maintenance, and replacement.
Subd. 3: In accordance with Federal and State requirements, the City
Clerk/Administrator shall be responsible for maintaining all records necessary to document
compliance with the Sewer Service Charge System adopted.
Subd. 4: Bills for Sewer Service Charges shall be rendered bi- monthly succeeding the
period for which the service was rendered and shall be due 20 days from the date of rendering.
Any bill not paid in full 20 days after the due date will be considered delinquent. At that time
the City shall notify the delinquent owner /occupant in writing regarding the delinquent bill and
subsequent penalty. The penalty shall be computed as 1% of the original bill and shall be
increased the same 1% for every month the bill is outstanding.
Subd. 5: The owner of the premises, shall be liable to pay for the service to such
premises, and the service is furnished to the premises by the City only upon the condition that the
owner of the premises is liable therefore to the City.
Subd. 6: Any additional costs caused by discharges to the Wastewater Disposal System
of toxics or other incompatible wastes, including the cost of restoring wastewater treatment
services, clean up and restoration of the receiving waters and environs, and sludge disposal, shall
be borne by the discharger(s) of said wastes, at no expense to the City.
Section 43.06: PENALTIES.
Subd. 1: Criminal Penalties. Any person violating any of the provisions of this
ordinance shall be guilty of a criminal offense, punishable as a misdemeanor as defined by City
ordinance and state law.
Subd. 2: Each and every sewer service charge levied by and pursuant to this ordinance is
hereby made a lien upon the lot or premises served, and all such charges which are on October
of each year past due and delinquent, shall be certified to the County Auditor as taxes or
assessments on the real estate. Nothing in this ordinance shall be held or construed as in any
way stopping or interfering with the right of the City to levy taxes or assessments against any
premises affected any delinquent or past due sewer service charges.
Subd. 3: As an alternative to levying a lien, the City may, at its discretion, file suit in a
civil action to collect such amounts as are delinquent and due against the occupant, owner, or
user of the real estate, and shall collect as well all attorney's fees incurred by the City in filing the
civil action. Such attorney's fees shall be fixed by order of the court.
Subd. 4: In addition to all penalties and costs attributable and chargeable to recording
notices of the lien or filing of civil action, the owner or user of the real estate being serviced by
the Wastewater Disposal System shall be liable for interest upon all unpaid balances at the rate of
12% per annum.
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CHAPTER IV — WATER & SEWER
Section 43.07: SEVERABILITY AND VALIDITY.
Subd. 1: If any section or subdivision of this ordinance shall be held invalid, the
invalidity thereof shall not affect the validity of the other provisions of this ordinance, which
shall continue in full force and effect.
Subd. 2: The sewer service charge system shall take precedence over any terms or
conditions of agreements or contracts which are inconsistent with the requirements of Section
204(b)(1)(A) of the Act and Federal regulation 40 CFR (Code of Federal Regulations) 35.2140
of the Environmental Protection Agency's grant regulations.
Subd. 3: This ordinance shall be in full force and take effect from and after its passage
and approval and publication as provided by law.
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