The user charge system shall generate adequate annual revenues to pay costs of annual operation and maintenance including replacement which the City may, by ordinance, designate to be paid by the user charge system. That portion of the total user charge which is designated for operation and maintenance including replacement of the treatment works shall be established by this chapter.

That portion of the total user charge collected which is designated for operation and maintenance including replacement purposes as established in section 11-904 shall be deposited in a separate non lapsing fund known as the “Operation Maintenance and Replacement Fund” and will be kept in two primary accounts as follows:

(a)   An Account designated for the specific purpose of defraying operation and maintenance costs (excluding replacement) of the treatment works (Operation arid Maintenance Account).

(b)   An account designated for the specific purpose of ensuring replacement needs over the useful life of the treatment works (Replacement Account). Deposits in the Replacement Account shall be at least annually from the Operation, Maintenance and Replacement revenue in the amount of $300.00.

Fiscal year end balances in the Operation and Maintenance Account and the Replacement Account shall be carried over to the same accounts in the subsequent fiscal year, and shall be used for no other purposes than those designated for these accounts. Monies which have been transferred from other sources to meet temporary shortages in the Operation, Maintenance and Replacement fund shall be returned to their respective accounts upon appropriate adjustment of the user charge rates for operation, maintenance and replacement. The user charge rates shall be adjusted such that the transferred monies will be returned to their respective accounts within the fiscal year following the fiscal year in which the monies were borrowed.

Each user shall pay for the services provided by the City based on his use of the treatment works as determined by water meters acceptable to the City. Users who do not have City water shall pay the average median charge.

(a)   For residential contributors, a user charge of $3.96 (three dollars and ninety-six cents) per 100 cubic feet shall be based on the water used during the current month.

(b)   For industrial and commercial contributors, a user charge of $3.96 (three dollars and ninety-six cents) per 100 cubic feet shall be based on water used during the current month. If a commercial or industrial contributor has a consumptive use of water, or in some other manner uses water, which is not returned to the wastewater collection systems, the user charge for the contributor may be based on a wastewater meter or separate water meter installed and maintained at the contributor’s expense, and in a manner acceptable to the City.

(c)   In addition to the charges set forth above, there shall be a minimum charge of $30.00 (thirty dollars) per month for debt retirement, operational and maintenance costs for all residential, industrial and commercial contributors.

(Ord. 749; Ord. 816; Ord. 834; Ord. 889; Ord. 07-2007; Ord. 03-2009; Code 2016; Ord. 04-2019; Ord. 02-2021)

For those contributors who contribute wastewater, the strength of which is greater than normal domestic sewage, a surcharge in addition to the normal user charge will be collected. The surcharge for operation and maintenance including replacement is:

(a)   $0.33 per pound BOD

(b)   $0.18 per pound SS

Any user which discharges any toxic pollutants which cause an increase in the cost of managing the effluent or the sludge from the City’s treatment works, or any user which discharges any substance which singly or by interaction with other substances cause identifiable increases in the cost of operation, maintenance or replacement of the treatment works, shall pay for such increased costs. The charge to each such user shall be as determined by the responsible plant operating personnel and approved by the Governing Body.

The user charge rate established in this chapter applies to all users of the City’s treatment works, regardless of their location.

The collection and billing procedure for sewer fees are set out in Sections 14-109 and 14-111 of the Code of the City of Peabody, Kansas.

(Ord. 897; Code 2016)

The City will review the user charge system at least annually and revise user charge rates as necessary to ensure that the system generates adequate revenues to pay the costs of operation and maintenance including replacement and that the system continues to provide for tile proportional distribution of operation and maintenance including replacement costs among users and user charges.

The City will notify each user at least annually, in conjunction with a regular bill, of the rate being charged for operation and maintenance including replacement of the treatment works.