8-1-4: ESTABLISHING RATES AND CHARGES; UTILITY RATE SCHEDULE:
   A.   Establishing Rates And Charges:
      1.   All rates and charges for Municipal utilities, including, but not by way of limitation, rates for service, rates for contribution to the system, permit fees, deposit, hookup, meter testing fees, disconnection fees, reconnection fees, and penalty fees for delinquency, shall be set forth in section 3-1-2 of this Code.
      2.   For the purpose of fixing rates and charges, the City Council may categorize and classify under various types of services, or by contribution to the system; provided, that such categorization and classification is just and equitable and is included in the resolution authorized by this chapter.
      3.   Residential equivalent connections (RECs) will be established for nonresidential users, as follows:
         a.   The number of RECs for a specific use will be as per the current version of the Metropolitan Council Environmental Services Procedures Manual.
         b.   The City Council, at its discretion upon a finding that the Metropolitan Council Environmental Services Procedures Manual may not apply due to circumstances unique to a particular user, may enter into an agreement to determine the number of RECs based on one of the following alternative methods:
            (1)   Information is provided regarding actual water and sewer use by the same or substantially similar use that has been existing for a period of not less than three (3) years.
            (2)   The user shall escrow the required fee(s) calculated in accordance with the Metropolitan Council Environmental Services Procedures Manual and monitor actual water use for a period of three (3) years.
               (A)   If the actual water and sewer use during this period is less than the RECs estimated by the Metropolitan Council Environmental Services Procedures Manual, the City will refund the difference without interest.
               (B)   If the actual water and sewer use during this period is greater than the RECs estimated by the Metropolitan Council Environmental Services Procedures Manual, the user is not obligated to pay additional fees, and the escrow funds shall be released and deposited into the respective Water Fund or Sewer Fund.
      4.   If an existing use connected to the Municipal utility systems is expanded or redeveloped so as to increase the number of RECs, additional water connection charges and sewer connection charges shall be paid for the additional RECs at the current rate established by section 3-1-2 of this Code. There shall be no refund of water connection charges or sewer connection charges already paid if the expansion or redevelopment results in a reduction of the number of RECs. (Prior Code § 6-1-4)
   B.   Utility Rate Schedule:
      1.   The utility rate schedule for all properties subject to this chapter shall be adopted annually by ordinance of the City Council. The utility rate schedule shall include, but not be limited to, the items set forth in subsection A of this section.
      2.   Base fees for utility services for residential and nonresidential properties shall be charged for each residential equivalent connection (REC) of the user calculated in accordance with the current version of the Metropolitan Council Environmental Services Procedures Manual or as otherwise determined by City Council decision. (Prior Code § 6-2-4)