§ 1147.06. Method of rate determination.

(a)

User charge system. The sewer charge rate structure shall include a charge designed to recover from each user the cost of treating that user's effluent and the cost of providing sewerage system related services to that user. The user charge rate structure shall recover sufficient revenues to adequately operate, maintain and replace sewerage system facilities and to provide for an adequate level of sewerage system related services.

In determining the annual rate, the following shall apply:

(1)

Wastewater treatment costs, both direct and indirect, shall be distinguished from non-treatment costs.

(2)

Treatment costs shall be further subdivided into operation, maintenance and replacement costs. Each of these costs shall be assigned to an appropriate treatment parameter (flow, biochemical oxygen demand, suspended solids, phosphorus, etc.) based on the processes with which they are associated.

(3)

Unit cost per treatment parameter shall be determined based upon the estimated annual service loads for the rate year under consideration.

(4)

Non-treatment costs shall be subdivided as follows:

(1)

Customer specific costs are those costs which tend to vary independent of the effluent discharged. These non-treatment costs are fixed on an annual basis and are shared equally by all customers.

(2)

Billing costs are those costs which tend to vary with the number of bills rendered and may be distinguished as monthly or quarterly billing costs. Customer related costs and billing related costs shall be converted to a unit cost per customer and per bill respectively.

(3)

Industry specific costs are those costs associated with the monitoring of industrial waste discharges including the collection and analysis of discharge samples. Industry specific costs are to be recovered either on a commodity or customer basis as deemed appropriate in the annual rate review. Customer related costs shall be recovered according to the classification system established in C.C. 1147.08.

(Ord. 2616-87.)

(5)

Nothing in these rules shall be interpreted to preclude charges to users for special or unique services rendered by the Division of Sewerage and Drainage. Such charges shall be recommended to Council for approval, as appropriate, by the Director of Public Utilities.

(Ord. 478-92.)

(b)

Local capital cost recovery system. The sewer charge rate structure shall include a unit cost per treatment parameter designed to recover each user's share of the local capital costs associated with the financing of notes and bonds to improve and/or expand the sewerage system of the City of Columbus. The charge will be determined as defined in this chapter of the Columbus City Code, 1959, and will be added to the appropriate user charge to establish the applicable sewer charge.

(Ord. 2616-87.)