The rates charged to sanitary sewerage system consumer shall be collected and divided into three categories and maintained in three funds.
(A) Category “A” shall be funds collected and maintained for debt service, administration and other miscellaneous overhead costs and shall be known as the Sewer Administration Fund.
(B) (1) Category “B” shall be funds collected and maintained for operation and maintenance of the wastewater treatment facilities and shall be known as the Sewer Operation and Maintenance Fund.
(2) The Sewer Operation and Maintenance Fund fiscal year-end balance shall be carried over to meet the overall operation and maintenance costs for the subsequent year.
(C) (1) Category “C” shall be funds collected and maintained for replacement needs of the wastewater treatment facility and shall be known as the Sewer Replacement Fund. Replacement includes all expenditures for obtaining and installing equipment, accessories and appurtenances which are necessary during the service life of the treatment works to maintain the capacity and performance for which such works are designed and constructed. The Replacement Fund shall provide adequate revenues to meet the replacement needs of the treatment works over its service life and shall be used for no other purpose.
(2) Fiscal year-end balances in the Replacement Fund shall be carried over to the same Fund in the subsequent fiscal year.
(D) (1) The sewer O&M portion and sewer replacement portion of the sewer use fees shall be deposited in non-lapsing funds and the revenues, so deposited will be used only for the purposes of defraying the OM&R costs of the treatment works. Funds transferred from other revenue sources to meet temporary shortages in the OM&R funds shall be refunded following an appropriate adjustment in the user charge for OM&R.
(2) The rates and charges for the operation maintenance and replacement shall be reviewed annually for adequacy and proportionality among users and user classes and adjusted, if necessary.
(3) Excess revenues collected from a class of users will be applied in adjusting the rates for that class for the next year.
(Prior Code, § 3-207)
Statutory reference:
Similar provisions, see Neb. RS 17-925.01