(A) Sanitary sewer rates shall be established by resolution by the Township Board and shall be based on each 1,000 gallons of water service, during a quarter period or other period determined by the Township Board, considering the following factors:
(1) Rate. Rates for sanitary sewer service which are charges to the township by Northwest Utilities Authority for wastewater treatment and any applicable outside service agreement, as they may be amended from time to time.
(2) Operating costs. A proportionate share of the township's current cost of operating the system based on system operating costs for the prior year and projected expenses for the current operating year.
(3) Depreciation. A proportionate share of the annual use (wear and tear) of the system assets based on the original value and the expected useful life of the system assets.
(4) Debt service. The cost of system improvements, alterations, and extension that are paid for by the township.
(B) Capital Fee. A Capital Fee shall be charged for every new connection to the public sewer and shall vary based on the size of the water service connection. The facility unit charge shall be established by resolution of the Township Board considering the following factors:
(1) Northwest Utilities Authority charges. Any charges set forth by Northwest Utilities Authority for new connections to the public sewer.
(2) Capital Fee. An equitable buy-in to the sanitary sewer system. There will be three separate groups for the Capital Fee:
(a) Group 1. Group 1 includes parcels or premises that are part of a Township Public Sewer Special Assessment ("SAD"). Group 1 shall have the Capital Fee reduced in the amount of any assessment against the premises for public sewer improvements which has been paid for or is an outstanding lien in an amount not to exceed the computed capital fee.
(b) Group 2. Group 2 includes parcels or premises that have installed or extended public sewer at the sole expense of the developer. Group 2 shall have the Capital Fee reduced in an amount as set forth in the Township Rate Resolution.
(c) Group 3. Group 2 includes all parcels or premises not in Group 1 or Group 2. Group 3 parcel or premises owners will pay an equity buy-in component based on the present value of the entire system.
(3) Material costs. The actual cost of equipment and accessories, and costs associated with such equipment and accessories.
(4) Inspection charges. The cost of inspection of any new public sewer connections and appurtenances.
(5) Connection size. The required size of each new connection shall be determined by the manager based on the corresponding water meter size and proposed use of the parcel or premises.
(C) The Township Board shall establish a flat fee for customers who do not receive water service from the township based upon the recommendation of the manager after the manager has had an opportunity to inspect the premises. In lieu of the flat fee, the customer may request a flow meter be installed and the cost of sewer service shall thereafter be based on the rates established by the Township Board via resolution.
(D) No free sanitary sewer service. No free sanitary sewer service shall be furnished by the township to any person, firm, entity, public or private corporation, or public agency or instrumentality.
(E) Outside service. The rates for public sewer service to a parcel or premises outside the unincorporated areas of the township shall be specified by resolution of the Township Board. The township shall not provide public sewer outside of the unincorporated areas of the township except under a written agreement approved by the Township Board (outside service agreement).
(F) Capital fee: rates: review and revision. Capital fee and sanitary sewer rates shall be determined by resolution of the Township Board. The Township Board shall make such rules, orders, and regulations, as it deems advisable and necessary to assure the efficient management of the system and shall make such adjustment to the sanitary sewer rates and capital fee as shall appear proper under the circumstances.
(G) Collection: liens.
(1) The township and its departments are authorized to enforce the payment of sanitary sewer rates and capital fees for sanitary sewer services by discontinuing the sanitary sewer service to a parcel or premises delinquent in payment of such sanitary sewer rates or capital fees in the manner and upon such notice as determined by the Township Board. In addition, the township may institute a civil action against the delinquent sanitary sewer service user to recover any unpaid sanitary sewer rates or capital fees. When the public sewer to any parcel or premises is discontinued to enforce payment, the public sewer service shall not be started again until all delinquent charges have been paid; including turn-off and turn-on charges in such amounts as shall be established by the Township Board.
(2) The sanitary sewer rates which, under the Revenue Bond Act of 1933 (M.C.L.A. §§ 141.101 et seq.), are made a lien on a parcel or premises to which it is furnished are hereby recognized to constitute such lien. The Township Treasurer shall annually report to the Township Board all unpaid sanitary sewer rates, which have remained unpaid for a period of six months. The Township Board may then, after due notice to the owners of a delinquent parcel or premises; assess the amount so found to be due as a tax against such parcel or premises. The tax shall be certified to the Township Assessor, who shall place it on the next tax roll of the township. The sanitary sewer rates so assessed shall be collected in the same manner as general township taxes. When the township is properly notified in accordance with the Revenue Bond Act of 1933 (M.C.L.A. §§ 141.101 et seq.) (the notice to include a true copy of the lease, if there is one) that a tenant is responsible for the sanitary sewer rates, public sewer service shall not be started or continued to such parcel or premises until there has been deposited with the department of a sum sufficient to cover twice the average quarterly bill for such parcel or premises, as estimated by the department. A similar deposit may also be required by the department in cases where the person applying for services has a delinquent utility account or has had services shut off in the last 180 days because of nonpayment at another location. Such deposits shall be applied against any delinquent sanitary sewer rates. If the deposit satisfies the delinquency, public sewer service shall not be discontinued. No deposit shall bear interest. Each deposit, or any remaining balance, shall be returned to the person making the deposit when public sewer service is discontinued or, except as to tenants as to whom notice of responsibility for such sanitary sewer rates have been filed with the township, when any eight successive quarterly bills have been paid with no delinquency.
(H) Revenues. The revenues of the system as collected shall be set aside in a separate utility fund and shall be accounted for in the manner required by state law.
(Ord. 17-03, passed 3-20-2017)