O79-31ORDINANCE 79 - ~ ~
AN ORDINANCE OF THE CITY OF BOYNTON BEACH,
FLORIDA, ESTABLISHING A USER CHARGE AND
INDUSTRIAL COST RECOVERY SYSTEM FOR THE
USE OF CERTAIN SEWERS; ESTABLISHING A
SYSTEM OF SEWER RATES, CHARGES AND SUR-
CHARGES; AUTHORIZING RULES AND REGULATIONS;
PROVIDING FOR THE SEVERABILITY HEREOF AND
AMENDMENTS THERETO; AND REPEALING INCON-
SISTENT ORDINANCES.
WHEREAS, the City of Boynton Beach, Florida, hereafter
referred to as the "City," has undertaken to construct waste-
water treatment and disposal facilities within its service
area as designated and agreed upon by proper authority.
WHEREAS, the "~ity" is obligated to set sewer user rates
and other charges in amounts sufficient to pay the expenses of
operating and ~aintaining such facilities, to provide debt ser-
vice and funds necessary for improvement, and to provide a
margin for reserve; and
WHEREAS, the "City" is required to record, as an ordinance,
the contents of this User Charge and Industrial Cost Recovery
System which at all times is open to the inspection of citizens,
franchises~ and governmental entities which are part of the
system; and
WHEREAS, the "City" is required to enforce the provisions
of the Federal Water Pollution Control Act Amendments of 1972
and the State of Florida Pollution Control Laws; and
WHEREAS, it is necessary to finance wastewater treatment
and disposal systems and to qualify for financial assistance
to construct such facilities; ~and
~EREAS, the "City" recognizes its responsibility to
maintain adequate records as needed to operate the User Charge
and Industrial Cost Recovery System, both physically and
financially; and
WHEREAS, the "Cit~'acknowledges the authority of the
Environmental Protection Agency to audit and monitor the operatio~
of the User Charge and Industrial Cost Recovery System; and
Now, therefore, the City of Boynton Beach, Florida hereby
ordains, re-enacts and amends all provisions previously published
which are inconsistent with this Ordinance and hereby declares
the following to be the User Charge and Industrial Cost Re-
covery System and in conjunction with the Industrial and Com~
mercial Waste Ordinance establish the regulations for the
operation, maintenance, and management of the wastewater facilitie
SECTION I: DEFINITIONS
As used herein, the following terms shall have the meanings
stated:
1. "B.O.D.": The abbreviation for Biochemical Oxygen
Demand or the quantity of oxygen used in the biochemical oxida-
tion of organi~ matter in a specified time (5 days) at a specified
temperature (20 degrees centigrade) and under specified conditions
(Standard Laboratory) expressed in milligrams per liter.
2. "Suspended Solids": Solids that either float on the
surface of or are in suspension in water, wastewater, or other
liquids and which are largely removable by laboratory filtration.
3. -"Domestic Wastewater": Wastewater derived principally
from dwellings, commercial buildings, institutions, and industry
resulting from household or toilet wastes resulting from human
occupancy. It may or may not contain ground water, surface
water, or storm water.
4. "Industrial or Commercial Waste": The liquid wastes
from industrial, commercial, or institutional processes as dis-
tinct from domestic or sanitary sewage.
5. "Industrial Waste Discharge Permits": A permit issued
to control the industrial, commercial, or institutional process
flows from users that may be discharged into the sanitary sewer
system. This permit is issued in addition to any other types of
permits. When issued, the permit will define the characteristics
and volume of the flow and acceptance or rejection of individual
waste components.
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6. "MG/L": Milligrams per Liter - the quantity by weight
of a minor constituent present in a given volume of a solution
or mixture, expressed in milligrams per liter.
7. "Collection System": The system of public sewers to
be operated by franchises and governmental entities, or public
sewers connected to such systems collecting wastewater from point
sources.
8. "Industrially Classified User": An industrial or
commercial user whose liquid wastes are in part made up of
flows related to industrial processes, as distinct from an in-
dustrial or commercial user whose waste flows are primarily
domestic or resulting from human occupancy.
9. "Industrial Cost Recovery": Recovery by a Federal
grantee from the industrially classified users of a treanmenn
works of the grant amount allocable to the treatment of wastes
fr'om such users.
10. "Treatment Works": The wastewater treatment plant,
interceptors, force mains, lift stations, and collection systems.
11. "Grantee": Recipient of a Federal Grant for all or
a portion of a treatment works as administered by the Environ-
mental ProteCtion Agency.
12. "Replacement": Expenditures for obtaining and install-
ing equipment, accessories, or appurtenances which are necessary
during the service life of the treatment process facilities to
maintain the capacity and performance for which such facilities
were designed and constructed.
13. "Person": Any individual, establishment, firm, company,
association, society, corporation, or group.
14. "User Charge": A' wholesale charge levied on the users
of the treatment process facilities for the cost of operation and
maintenance of such facilities and other equitable and necessary
charges.
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15. "Surcharge": A charge levied on the users of the
treatment works whose wastewater discharge exceeds the parameters
established for wastewater strength.
16~ "Shall'is mandatory; "May" is permissive.
SECTION II: USER CHARGE SYSTEM
There is hereby imposed upon each wholesale customer served
bY the sewer system a monthly User Charge for the use thereof
as follows:
1. Sewer Rates
A charge for waste based on a monthly charge per thousand
(1,000) gallons of wastewater discharged into the sewer system
applicable to all wholesale customers, which shall include all
of the following factors for the operation of wastewater treat-
ment and disposal facilities.
(a) Operation and Maintenance
(b) Capital Costs
(c) Treatment Plant Expansion
(d) Other as Applicable
2. Sewer Surchargz~
A surcharge for waste in excess of the parameters for strength
as established in the Industrial and Commercial Waste Ordinance,
Section IX(2)~ which may be assessed to all applicable customers.
It is deemed that in the majority of instances such high-strength
waste would affect only the regional treatment facility. As such,
all surcharge funds received by individual collection systems
shall be made payable to the "City" on a monthly basis.
Wholesale Sewer Rates
This secnion is applicable to thoSe wholesale customers which
maintain their own wastewater collection systems. They shall be
charged a flat rate of $0.25 per 1,000 gallons, on a monthly basis
the quantity of which shall be determined by the metering of the
wastewater discharge from each wholesale customer's individual
wastewater collection system.
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The metering device shall be satisfactory to the "City" and
shall provide for a separate remote 30-day recording device which
shall have a totalizer. Location of the metering device shall be
at an accessible location as agreed upon by the parties involved
and as further explained and stipulated in an agreement to be
executed by the parties.
Ail costs incident to the furnishing, installation, initial
calibration, and maintenance on a continuing basis of said meter
is and shall be the wholesale customer's responsibility. The
wholesale customer shall provide to the "City" or its designated
representative full details on the proposed meter installation and
assurance that such installation will commence only upon the writ-
ten authorization of the "City". The "City" shall provide such
authorization within 10 days after receipt by the "City" of the
details of the above proposed meter installation.
The meter shall be read monthly by a duly authorized agent
of the "City", and the wholesale customer shall provide access
to the meter for this purpose. In the event of suspected in-
accuracy in meter readings, the "City" shall have the right to
request that the meter be tested by an independent organization
in accordance with standard practices. If the meter shall
be found inaccurate or defective~ the cost of the meter test shall
be borne by the wholesale customer. If ~the meter shall
be found to be accurate and in good condition, the cost of the
meter test shall be borne by the "City".
SECTION III: INDUSTRIAL COST RECOVERY SYSTEM
There is hereby imposed upon the o~ers and upon the users
of each industrially classified property served by the sewer
system an annual Industrial Cost Recovery Assessment for the use
thereof, subject to the following rules, regulations, and limi-
tations:
1. Industrial Cost Recovery will be administered in accor-
dance with the Federal Water Pollution Control Act Amendments of
1972 and in accord with the Environmental Protection Agency Guide-
lines.
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2. Industrial users shall be as defined under the Standard
Industrial Classification Manual, Divisions A, B, D, E, and I.
3. Users that introduce primarily domestic wastes or wastes
from sanitary conveniences are not required to pay an Industrial
Cost Recovery Assessment.
4. Industrially classified users which discharge less than
25,-000 gpd of industrial process flows shall be exempt from
Industrial Cost Recovery.
5. Industrially classified users shall pay an assessment
equal to the amount of the Federal Grant allocable to the treat-
ment of industrial waste flow according to the formula as estab-
lished herein.
6. As a minimum, an industrially classified user's assess-
ment shall be based on sewage flow as a percentage of treatment
work capacity.
7. If there is a substantial change in the volume intro-
duced into the treatment works by an industrially classified user,
such user's assessment shall be adjusted accordingly.
8. If there is an expansion of the treatment works capacity
each existing industrially classified user's assessment shall be
adjusted as required to maintain proportionality.
9. A "significant" industrially classified user is one who
will contribute greater than 10 percent of the treatment works
capacity. A letter of agreement must be executed between the
grantee and the significant user.
10. An industrially classified user's assessment shall in-
clude any firm commitment to the grantee of increased use by such
user.
11. An industrially classified user's assessment shall not
include any portion of the Federal Grant amount allocable to
unused or unreserved capacity.
12. An industrially classified user's share shall not inclu¢
an interest component.
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13. Assessment will begin at the commencement of operation
.i of treatment works during which the Federal Grant amount is applied.
Each induStrially classified user will pay 'its share of the
applicable Federal Grant amount divided by the recovery period of
30 years, or the service life of the treatment works~ whichever
is less.
14. Industrial Cost Recovery payments by a new industry
shall begin on the date use is initiated and shall continue for
the unexpired portion of the Industrial Cost Recovery period or
until the industry ceases use of the facility, whichever occurs
first. Discontinuance of use of treatment works by an industrial
user (including termination of any agreement for reserve capacity)
will nullify the requirement of an Industrial Cost Recovery Pay-
ment from that user. There is no requirement for other industries
presently using the treatment works to assume that portion of
Industrial Cost Recovery which is unrecovered due to the departure
of an industrial user.
15. Sewer users shall have the right to appear before the
appropriate governmental entity to appeal User Charge and Industri~
Cost Recovery Charges. If the grievance is not satisfied, the
matter may be turned over to a "Hearing Board" for arbitration.
The Hearing Board shall be the final arbitrator for grievances
regarding User Charge and Industrial Cost Recovery Systems inter-
pretation and execution. The cost of the arbitration by the
Hearing Board shall be borne by the sewer system which provides
wastewater collection service to the sewer user. One member of
the Board shall be a reg±stered professional engineer; one membe~
shall be a practicing sanitary engineer; one member shall be a
member of industry or manufacturing enterprise; one member shall
be a lawyer; and one member shall be selected at large for his
interest in accomplishing the objectives of the User Charge and
Industrial Cost Recovery Systems.
16. Not later than 30 days after the Industrial Cost Re-
covery period begins, the Board will establish the accounting
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period for the Industrial Cost Recovery system and will notify the
Regional Administrator, in writing, of the date of this imple-
mentation of the Industrial Cost Recovery system. The first
payment to the Board by the industrial users shall be made not
later than one year after the beginning of the Industrial Cost
Recovery period.
17. The Board shall retain 50 percent of the amounts re-
covered from industrially classified users. The remainder, to-
gether with any interest earned thereon, shall be returned to the
U.S. Treasury on an annual basis. A minimum of 80 percent of the
retained amounts, together with interest earned thereon, shall be
used solely for the allowable costs of the expansion or recon-
struction of treatment works associated with the project and as
necessary to meet the requirements of the act. The Board shall
obtain the'written approval of the Regional Administrator of EPA
prior to commitment of the retained amounts for any expansion and
reconstruction. The remainder of the retained amounts may be
used as the Board desires. Pending use, the Board shall invest
the retained amounts for reconstruction and expansion in: (a)
obligations of the U.S. Government~ or (b) obligations guaranteed
as to principal and interest by the U.S. Government or any agency
thereof; or (c) shall deposit such amounts in accounts fully
collateralized by obligations fully guaranteed as to principal and
interest by the U.S. Government or any agency thereof.
METHOD OF CALCULATION FOR
ANNUAL INDUSTRIAL COST RECOVERY ASSESSMENT
(a) Federal Grant
= Cost Per Gallon
Design Capacity
(b) Cps~ p~r gallon X Waste Load
Service Life = Annual Assessment
Where - Federal Grant represents the eligible Federal share
of the project costs.
Where - Design Capacity represents the treatment capacity
of the wastewater plant in gallons per day as
established.
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Where - Cost per Gallon represents the cost per gallon as
applied to the Federal Grant.
Where - Waste Load represents the wastewater load applicable
to the individual industriallY classified user as
compiled on a daily basis (excluding the quantity
of domestic waste calculated for employee use).
Where - Service Life represents the usable life of the
project.
Where Annual Assessment represents the total annual
assessment payable by the user for Industrial
Cost Recovery for the fiscal year in which calculate
EXAMPLE OF ASSESSMENT CALCULATIONS
FOR INDUSTRIAL COST RECOVERY
Given: 1. Ajax Mfg. Co. - 25,000* gallons (daily industrial
process waste load which excludes the quantity of
domestic waste calculated for employee use).
2~ Total average daily design flow of the grant eligible
items 1,200~000 gallons.
3. Federal Grant amount - $1,000,000.
4. Assumed life of the project - 30 years.
$1,000,000
1,200,000'Gail~ - $0.83 Cost per Gallon
$0.83 x 25,000 - $20,750 Total Assessment
$20,750
30 Service Li-~ $692 Annual Assessment
* This calculation assumes no changes in waste load
over the 30-year usable life of the project.
SECTION IV: REGULATIONS
Regulations of this Ordinance shall apply to all users of
the Regional Wastewater Facilities.
SECTION V: PENALTIES
1. Any person found to be violating any provision of this
ordinance shall be served by the appropriate governmental entity
with written notice stating the nature of the violation and provid
ing a reasonable time limit for the satisfactory correction thereo
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The offender shall, within the period of time stated in such
notice, permanently cease all violations.
2. Any person who shall continue any violation beyond the
time limit provided for in Section V shall be guilty of a mis-
demeanor, and on conviction thereof shall be fined in the amount
not exceeding 5,000 dollars for each violation. Each day in
which any such violation shall continue shall be deemed a separate
offense.
3. Any person violating any of the provisions of this
ordinance shall become liable to the appropriate governmental
entity for any expense, loss, or damage occasioned the entity or t
Regional Wastewater Facilities by reason of such violation.
SECTION VI: VALIDITY
The invalidity of any section, clause, sentence, or pro-
vision of this ordinance shall not affect the validity of any
other part of this ordinance which can be given effect without
such invalid part or parts.
SECTION VII: AMENDMENTS
This Ordinance shall be subject to review and revision on
the minimum of an annual basis and the "City" reserves the right
to modify this Ordinance or any parts thereof at any time or from
time to time.
SECTION VIII: ORDINANCE IN FORCE
This Ordinance shall be in force and effect from and after
its passage, approval, recording, the public welfare requiring it.
SECTION IX: REPEALING PROVISIONS
1. Ail ordinances or parts of ordinances in conflict here-
with ar~e hereby repealed.
FIRST. READING~!.the '. ~ ~ day of ~ ,
1979.
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SECOND, FINAL READING and PASSAGE this ~/, day of
~ , 1979.
CITY OF BOYNTON BEACH, FLORIDA
ATTEST:
Coun¢ ~
~CITY CLE~' '
(Corporate Seal)
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