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1040.33 COMMERCIAL AND INDUSTRIAL WASTE POLLUTANT STRENGTH SURCHARGE.
   (a)   This section is adopted to comply with applicable Federal law and regulations and the requirements of the settlement agreement in United States of America vs City of Detroit, et al., Civil Action No. 771100, United States District Court, Eastern District of Michigan, Southern Division, and, further, to require users of the public wastewater system to pay a surcharge that reflects the commercial and industrial users equitable share of the cost of wastewater treatment in excess of the strength of domestic sewage, and, further, has as its purpose the protection of public health and safety. Because of the widely varying quality characteristics of the sewage discharged by different users of the public sewer and the publicly owned treatment works, it is the objective of this section, further, to impose sewage charges that reflect the cost of treating sewage strength factors as well as sewage volume. These charges to commercial and industrial users will be in the form of a payment called a surcharge and will reflect industries' equitable costs of wastewater treatment in excess of the strength of domestic sewage. Sewage charges will be based on a volume rate and the surcharge will be based on volume of discharge and the strength of BOD, suspended solids and phosphorus or other pollutants present in the wastewater. If other pollutants are required to be surcharged under this chapter, under authorized variances or by special arrangement with the owner of the publicly owned treatment works, the rules and regulations adopted herein will apply, such rules and regulations being on file with the City Clerk.
   (b)   As used in this section, unless the context specifically indicates otherwise:
      (1)   "Biochemical oxygen demand" (BOD) means the quantity of oxygen utilized in the biochemical oxidation of organic matter, under standard laboratory procedure, in five days at twenty degrees Centigrade, expressed in terms of weight and concentration (milligrams per liter (mg/l)), as measured by standard methods.
      (2)   "Commercial user" means a user whose premises are privately owned and used to perform and/or sell services nd/or products for profit (e.g. retail and wholesale stores, restaurants, motels, gasoline stations) and discharge primarily domestic sewage.
      (3)   "Governmental user" means a user whose premises are publicly-owned facilities performing governmental functions (e.g. government office buildings, post offices, libraries, schools) and discharge only domestic sewage.
      (4)   "Indirect discharge" means the discharge or the introduction of nondomestic pollutants from any source regulated under Section 307(b) or (c) of the Federal Water Pollution Control Act, P.L. 92-500, as amended, into the public waste treatment system.
      (5)   "Industrial user" means a user whose premises are privately owned and are used for manufacturing a product from raw or purchased material and which discharge wastewater used in any way in the manufacturing process in addition to domestic sewage.
      (6)   "Industrial waste" means any liquid, solid or gaseous waste or form of energy, or combination thereof, resulting from any process of industry, manufacturing, business, trade or research, including the development, recovery or processing of natural resources.
      (7)   "Institutional user" means a user whose premises are owned by a non-profit organization pursuant to Section 501 of the Internal Revenue Code of 1986, as amended (e.g. churches and hospitals) and discharge primarily domestic sewage.
      (8)   "P" means phosphorus in the waste expressed in terms of milligrams per liter.
      (9)   "Pollutant" means any dredged spoil, solid waste, incinerator residue, sewage, garbage, sewage sludge, munitions, chemical waste, biological material, radioactive material, heat, wrecked or discarded equipment, rock, sand, cellar dirt and industrial, Municipal and agricultural waste discharged into water.
      (10)   "Public sewer" means a common sewer controlled by a governmental agency or public utility.
      (11)   "Residential user" means a user whose premises are domiciles for single or multiple- family use and discharge only domestic sewage.
      (12)   "Suspended solids" means the total suspended matter that floats on the surface of, or is suspended in, water, wastewater or other liquids, and which is removable by laboratory filtering as measured according to standard methods.
      (13)   "User charge" means a charge based on units levied on a user of the system for the user's proportionate share of the cost of operation and maintenance (including replacement) of the system.
      (14)   "User surcharge" means a charge imposed on a user of the system who discharge sewage or wastes in excess of normal strength.
      (15)   "Wastewater" or "sewage" means spent water which may be a combination of the liquid and water-carried wastes from residences, commercial buildings, industrial plants, institutions or other land uses, including drainage water inadvertently present in such waste.
      (16)   "Wastewater system" or "sewer system" means any part or all of the property, structures, equipment, sewers, materials and/or appurtenances used in conjunction with the collection and disposal of wastewater, including the publicly owned treatment work (POTW).
   (c)   The Schedule of Industrial Waste Pollutant Strength Surcharges is hereby adopted and made effective for users of the wastewater system of the City. Such surcharges shall be computed as follows:
COMPUTATION OF INDUSTRIAL WASTE
POLLUTANT STRENGTH SURCHARGE
The industrial waste pollutant strength surcharge shall be computed in accordance with the following formula:
   SC=0.0624 V [a (BOD-275) + b (TSS-350) + c (P-12)]
WHERE:
SC   =   Pollutant strength surcharge fee in dollars for the billing period.
V   =   Volume of waste discharged in the billing period in Mcf (1,000 cubic feet).
"BOD"   =    Five-day biochemical oxygen demand of the waste expressed in milligrams per liter.
"TSS"   =    Total suspended solids in the waste expressed in milligrams per liter.
"P"   =   Phosphorus in the waste expressed in milligrams per liter.
a,b,c   =   Surcharge rates, $/pound for treating BOD, TSS and P, respectively.
0.0624 =   Factor which converts Mcf to MM lbs.
         a   =   $   0.082/pound
         b   =      0.083/pound
         c   =      1.321/pound
For purposes of surcharge computation, the values of pollutant strength shall not be less than the allowable values. The allowable values are:
               BOD - 275
               TSS - 350
               P - 12
The total sewerage charge for a particular industry would be the sum of the base flow charge and the surcharge would be calculated from the following formula:
         UC = V (R) + SC
WHERE:
UC   =         Total sewerage charge for the billing period in dollars.
V   =         Volume of waste discharged in billing period of Mcf.
R   =         Basic flow sewage rate as provided from time to time by Council.
SC   =         Surcharge in dollars as computed above.
(Ord. 1992-10. Passed 1-21-92.)
1040.34 COUNTY STANDARDS AND REGULATIONS.
   In accordance with the basic service agreement between the City, the County and the County Board of Public Works, or other properly designated agent of the County named pursuant to Act 342 of the Public Acts of 1939, as amended, and Act 185 of the Public Acts of 1957, as amended, any person discharging wastewater into the publicly owned sewer system shall comply with the standards, rules and regulations controlling the quality or quantity of discharge of wastewater into such system, as the same are established from time to time by the County and/or its designated agent.
(Ord. 7-A-20. Passed 2-17-81.)
1040.35 FREE SERVICE.
   No free service shall be furnished by the Municipal water and sewer system to any person, public or private, or to any public agency or instrumentality.
(Ord. 7. Passed 4-9-63.)
1040.36 PURPOSES OF RATES AND CHARGES; REVISION. (REPEALED)
   (EDITOR'S NOTE: Section 1040.36 was repealed by Ordinance 1992-10, passed January 1, 1992.)
1040.37 OPERATING YEAR.
   The Municipal water and sewer system shall be operated on the basis of an operating year commencing on July 1 and ending on June 30.
(Ord. 7. Passed 4-9-63.)
1040.38 USE OF MONEYS; FUNDS.
   From and after June 1, 1963, the revenues of the Municipal water and sewer system are hereby ordered to be set aside, as collected, and deposited in the National Bank of Detroit, Wayne, Michigan, a bank duly qualified to do business in the State, in an account to be designated Water Supply and Sewage Disposal System Receiving Fund (hereinafter referred to as the "Receiving Fund"), and such revenues so deposited are hereby pledged for the purpose of the following funds and shall be transferred from the Receiving Fund periodically in the manner and at the times hereinafter specified:
   (a)   Operation and Maintenance Fund. Out of the revenues in the Receiving Fund there shall be first set aside, monthly, into a separate depositary account designated as the Operation and Maintenance Fund, a sum sufficient to provide for the payment of the next month's current expenses of administration and operation of the Municipal water and sewer system and such current expenses for the maintenance thereof as may be necessary to preserve the same in good repair and working order.
      Council, prior to the commencement of each operating year, shall adopt a budget covering the foregoing expenses for each year, and such total expenses shall not exceed the total amount specified in such budget, except by a vote of five-sevenths of the members of the Council.
   (b)   Bond and Interest Redemption Fund. There shall next be established and maintained a separate depositary account designated as the Bond and Interest Redemption Fund, which shall be used solely for the purpose of paying the principal of and interest on the bonds hereby authorized. The moneys in the Bond and Interest Redemption Fund (including the Bond Reserve Account hereinafter established) shall be kept on deposit with the bank or trust company where the principal and interest on the bonds herein authorized are currently payable.
      Out of the revenues remaining in the Receiving Fund after provision has been made for expenses of operation and maintenance of the system, there shall next be set aside, monthly, in the Bond and Interest Redemption Fund, a sum proportionately sufficient to provide for the payment of the principal of and interest on all outstanding bonds payable from the revenues of the system, as and when the same become due and payable. Commencing June 1, 1963, the amount so set aside for interest each month shall be not less than one-sixth of the total amount of interest becoming due on such bonds on the next interest payment date, and commencing June 1, 1967, the amount so set aside for principal each month shall be not less than one-twelfth of the total amount of principal becoming due on the next principal payment date. If there is any deficiency in the amount previously required to be set aside, then the amount of such deficiency shall be added to the current requirements.
      There is hereby established in the Bond and Interest Redemption Fund a separate account to be known as the Bond Reserve Account, into which there shall be paid, in equal monthly installments, from the revenues of the system, after provision has been made for the Operation and Maintenance Fund and the Bond and Interest Redemption Fund, the sum of twenty thousand dollars ($20,000) during each of the operating years commencing July 1, 1963, to July 1, 1967, inclusive, so that there has been accumulated in such Bond Reserve Account the sum of one hundred thousand dollars ($100,000) by the end of the operating year commencing July 1, 1967. The moneys from time to time in such Bond Reserve Account shall be used solely for the payment of principal of and interest on such bonds as to which there would otherwise be default.
      If, at any time, it is necessary to use moneys in the Bond Reserve Account for such payment, then the moneys so used shall be replaced from the net revenues first received thereafter which are not required by this chapter to be used for operation and maintenance or for current principal and interest requirements. However, such Bond Reserve Account shall not be regarded as moneys otherwise appropriated or pledged for the purpose of determining the sufficiency of funds available for redemption of callable bonds.
      No further payments need be made into the Bond and Interest Redemption Fund after enough of the bonds have been retired so that the amount then held in such Fund (including the Bond Reserve Account) is equal to the entire amount of principal and interest which will be payable at the time of maturity of all the bonds then remaining outstanding.
   (c)   Replacement Fund. There shall next be established and maintained a separate depositary account designated as the Replacement Fund, the moneys from time to time on deposit therein to be used solely for the purpose of making major repairs and replacements to the system. There shall be deposited into such Fund, in equal monthly installments, after providing for the current requirements of the Operation and Maintenance Fund and the Bond and Interest Redemption Fund (including the Bond Reserve Account), the sum of five thousand dollars ($5,000) during each of the operating years commencing July 1, 1964, to July 1, 1968, inclusive, so that such Fund shall total twenty-five thousand dollars ($25,000) by the end of the operating year commencing July 1, 1968. If, at any time it is necessary to use moneys in such Fund for such purpose, the moneys so used shall be replaced from the net revenues in the Receiving Fund which are not required by this chapter to be used for the Operation and Maintenance Fund or the Bond and Interest Redemption Fund (including the Bond Reserve Account).
   (d)   Improvement Fund. There shall next be established and maintained a separate depositary account designated as the Improvement Fund, the moneys from time to time on deposit therein to be used solely for the purpose of acquiring and constructing additions, extensions and improvements to the system. There shall be deposited into such Fund, monthly, such sum as may be determined by Council, after meeting the priority requirements of the Operation and Maintenance Fund, the Bond and Interest Redemption Fund (including the Bond Reserve Account), the Replacement Fund and the General Obligation Bond and Contract Payment Fund.
   (e)   General Obligation Bond and Contract Payment Fund. There shall next be established and maintained a separate depositary account designated as the General Obligation Bond and Contract Payment Fund, the moneys from time to time on deposit therein to be used solely for the purpose of paying principal and interest on general obligation bonds of the City heretofore or hereafter issued for the purpose of acquiring and constructing water and sanitary sewer improvements and for the payment of contractual obligations required to be paid by the City pursuant to the provisions of contracts of the City heretofore or hereafter entered into for the purpose of acquiring and constructing water or sewer improvements. There shall be deposited into such Fund, monthly, such sum as may be determined by Council, after meeting the priority requirements of the Operation and Maintenance Fund, the Bond and Interest Redemption Fund (including the Bond Reserve Account) and the Replacement Fund. The moneys in such Fund shall be used solely and only for the payment of principal and interest on general obligation bonds of the City heretofore or hereafter issued for the purpose of acquiring and constructing water and sanitary sewer improvements and for the payment of contractual obligations required to be paid by the City pursuant to the provisions of contracts of the City heretofore or hereafter entered into for the purpose of acquiring and constructing water and sewer improvements.
   (f)   Surplus Moneys. Moneys remaining in the Receiving Fund at the end of any operating year, after full satisfaction of the requirements of the foregoing Funds, may, at the option of Council, be either:
      (1)   Transferred to the Bond and Interest Redemption Fund and used for calling bonds for redemption in the manner herein specified; or
      (2)   Transferred to either the General Obligation Bond and Contract Payment Fund or the Improvement Fund and used for the purposes for which such Funds are established.
(Ord. 7. Passed 4-9-63.)
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