§ 40-483. Industrial cost recovery.

(a)

The intent of this section is to implement an industrial cost recovery (ICR) program wherein the city shall have the authority to collect from eligible industrial users of the city's sewerage system all or any part of the construction costs of such wastewater transport and treatment system reasonably attributed to such industrial users' wastes. The apportionment of such costs shall be as provided herein and such costs shall be collected monthly.

(b)

An eligible industrial user is defined as any industry discharging more than 25,000 gallons per day (gpd) of sanitary wastewater, or a volume of process wastewater, or combined process and sanitary wastewater which is equivalent to more than 25,000 gpd of sanitary wastewater, if the discharge does not contain pollutants which interfere with or are incompatible with the existing treatment processes.

(c)

The amount to be recovered from each eligible user shall be predicated on the following formula:

( G × A) + ( H × B) + ( I × C)
D     E   F      J × K	= monthly payment

 

($/mo.) where:

A = The eligible federal PL 92-500 grant amount allocable to the transport and treatment of flow (Q), in dollars.

B = The eligible federal PL 92-500 grant amount allocable to the treatment of the five day biochemical oxygen demand (BOD), in dollars.

C = The eligible federal PL 92-500 grant amount allocable to the treatment of suspended solids (SS), in dollars.

D = Total applicable system or subsystem design flow in gallons per day (gpd).

E = Total system design capability for treatment of BOD, in pounds/day.

F = Total system design capability for treatment of SS, in pounds/day.

G = Industrial user's discharge flow rate into the applicable system or subsystem, in gpd, adjusted to reflect the eight-hour working day peak flow rate.

H = Industrial user's BOD discharge to the system, in pounds/day, adjusted to reflect the eight-hour working day peak loading.

I = Industrial user's SS discharge to the system, in pounds/day, adjusted to reflect the eight-hour working day peak loading.

J = Payback period = 30 years.

K = 12 months/year.

(d)

Eligible federal grant amounts allocable to flow and the treatment of BOD and SS shall be determined by the city's engineers and approved by the city commission.

(e)

Eligible industrial users shall be monitored not less than annually by the city as to the flow and strength of their wastewater and the respective industry's industrial cost recovery charges shall be adjusted accordingly.

(f)

A cost recovery period of 30 years is hereby established.

(g)

Funds collected under the industrial cost recovery program shall be deposited into the following accounts as follows:

(1)

Fifty percent shall be deposited into the "ICR Federal Reimbursement" account. Such funds are to be returned to the federal treasury annually.

(2)

Forty percent shall be deposited into the "Future Wastewater Needs" account. Such funds shall be expended only as provided in the approved ICR plan.

(3)

Ten percent shall be deposited into the water and sewer system operating account.

(h)

Pending use, the amounts retained in the "ICR Federal Reimbursement" and "Future Wastewater Needs" accounts shall be:

(1)

Invested in obligations of the United States Government, or obligations guaranteed as to principal and interest by the United States Government or any agency thereof; or

(2)

Deposited in accounts fully collateralized by obligations of the United States Government or by obligations fully guaranteed as to principal and interest by the United States government or any agency thereof.

(i)

The secretary of the city commission shall maintain records and submit reports and financial statements to the Environmental Protection Agency in conformance with the latest regulations.

(j)

This section shall be amended, as necessary, to comply with federal regulations.

(k)

This section shall become effective upon the first day of the month following the month in which the ordinance from which it is derived is adopted, except as noted herein. The ICR charges to eligible industries shall not be imposed until such time as the wastewater transport and treatment facilities, as funded by PL 92-500 federal grants, are operational and serving the industry.

(l)

Enforcement of this section shall be as provided in section 40-479.

(Prior Code, § 20-13)