21080 1 ORDINANCE NO. 21,080
2
3 AN ORDINANCE TO ESTABLISH A SCHEDULE OF SEWER RATES
4 AND CHARGES FOR LITTLE ROCK WASTEWATER, TO REPEAL
5 ORDINANCE NO.20,594 (JUNE 12,2012); AND FOR OTHER PURPOSES.
6
7 WHEREAS, the authority to operate and maintain Little Rock Wastewater("LRW") is vested in the
8 Little Rock Water Reclamation Commission (the "Water Reclamation Commission"), but the authority to
9 establish sewer rates and charges is vested in the Board of Directors of the City of Little Rock, and the
10 Water Reclamation Commission has determined and recommended to the City Board of Directors that the
11 rates and charges herein set forth should be duly adopted by ordinance pursuant to law because the current
12 sewer rates and charges need to be adjusted; and,
13 WHEREAS, the City Board of Directors finds that the rates and charges proposed by the Water
14 Reclamation Commission and established herein are adequate to pay the principal of and the interest on
15 Sewer Revenue Bonds, to make payments into the sewer revenue bonds sinking fund, to provide an
16 Adequate Depreciation Fund,and to provide LRW's estimated cost of operating and maintaining the sewer
17 system, including the cost of improvements and replacements; and,
18 WHEREAS, as a result of the comprehensive rate analysis conducted by Raftelis Financial
19 Consultants, Inc., and the updated System Evaluation Capacity Assurance Plan ("SECAP") prepared by
20 RJN Group, Inc., the need for an adjustment of rates and charges was determined, and the Water
21 Reclamation Commission has requested the adoption of rates and charges reflected herein and has stated
22 that the adjustments are necessary to cover the cost of the foregoing items herein, all as more particularly
23 set forth as stated:
24 NOW, THEREFORE,BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY
25 OF LITTLE ROCK:
26 Section 1. That the following monthly rates are hereby established as the rates to be charged for
27 services furnished by LRW, which rates the City Board of Directors hereby finds and declares to be the
28 reasonable and necessary minimum rates to be charged;
29 A. The Water Reclamation Commission shall compute separately for each customer(customer
30 being hereby defined as any landowner,lessee,or tenant whose buildings or premises are connected
31 with the sewer system or otherwise discharge sanitary sewage,water,or other approved wastewater
32 sources, either directly or indirectly into the sewerage system) a monthly bill for each class of
33 customer. All customers of the sewerage system are hereby classified as one of the following:
34 (1) Domestic Customers: Residential users of any structure which is used exclusively
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1 as a dwelling. Users of a portion of a structure, which portion is separately metered for
2 water by Central Arkansas Water, or another LRW approved water source, and is used
3 exclusively as a dwelling are also classified as domestic customers. All domestic
4 customers shall utilize a meter size of one (1)-inch or less. Domestic customers shall not
5 include the users of hotels, motels, boardinghouses, apartments (three of more connected
6 residential units), nursing homes, hospitals, residence halls, learning institutions, office
7 complexes,wholesale/retail businesses, etc.
8 (2) Non-Domestic Customers: All other users of the sewerage system other than
9 domestic customers classified above.
10 (3) Inside-Outside City Customers: Customers classified above (domestic or non-
11 domestic) are further classified as either inside or outside the city limits of Little Rock,
12 Arkansas, for the purpose of setting rates for service provided by LRW.
13 B. Usage Determination: The amount of sewage discharged to the sewerage system serviced
14 by LRW shall be determined by the quantity of water metered; or other LRW approved sewer or
15 diversion metered system(s)(also herein expressed as usage,flow,volume, or consumption). The
16 sewage usage shall be determined based upon any single or combination of the following which
17 may be applicable to the customer's connection to the sanitary sewerage system; and said usage
18 shall be utilized to compute the portion of the monthly bill known as the volumetric charge:
19 (1) Domestic Customers:
20 (a). In the case of domestic customers obtaining water exclusively from
21 Central Arkansas Water, the flow computation shall be based upon the water
22 consumption records of Central Arkansas Water.
23 (b). In the case of a domestic customer obtaining water from sources other
24 than Central Arkansas Water, LRW shall determine the amount of water usage
25 obtained by such customers from other sources, and the amount so determined
26 shall be used (together with the amount reflected by Central Arkansas Water's
27 records for such customer, if any) in making the volumetric computation.
28 (c). The sewer charge each month will be based on the monthly consumption
29 billed in the months of October, November, December, January, February and
30 March (Winter Months Period). The Rate shall be calculated based upon the
31 average of three or more winter months having consumption greater than zero.
32 Amounts shall be rounded to the nearest whole number. (In the case of domestic
33 customers who were not on a meter during the previous Winter Month Period,the
34 rates shall be computed on the actual water usage until such time as an average
35 monthly winter usage can be calculated.) In the case of other domestic customers
[Page 2 of 12]
1 not on a metered basis, LRW shall establish water consumption based on a
2 comparison of the non-metered users with metered domestic customers.
3 (2) Non-Domestic Customers:
4 (a). In the case of non-domestic customers obtaining water exclusively from
5 Central Arkansas Water, the flow computation shall be based upon the water
6 consumption records of Central Arkansas Water.
7 (b). Each non-domestic customer from whose property or premises sewage in
8 any quantity is discharged into the sewage system serviced by LRW, but whose
9 water usage is not metered, is hereby required to install a meter, at its source, at
10 the customer's own expense, to measure the quantity of water used, with an
11 appropriate meter to be approved by LRW, and to pay a monthly bill for service
12 based upon the amount of water thus metered.
13 (c). In the case of a non-domestic customer obtaining water from sources
14 other than Central Arkansas Water, LRW shall include the volume of water
15 obtained by such customer from other sources,and the amount so determined shall
16 be used (together with the amount reflected by Central Arkansas Water's records
17 for such customer, if any) in making the volumetric charge computation.
18 (d). In the case of a single non-domestic customer, whose water usage is
19 measured by multiple meters, the total water usage for all the meters shall be the
20 basis on which the customer's monthly bill is computed and not on the basis of
21 each separate meter source and readings.
22 (e). If a non-domestic customer desires to establish eligibility for a sewage
23 service volume based on less than 100% of total monthly water usage, the non-
24 domestic customer may submit a written request to LRW that it be permitted, at
25 the sole expense of the non-domestic customer, to have a meter installed for the
26 purpose of determining the amount of such quantity not reaching the sewer system,
27 provided, however, the meter shall be inspected and approved by LRW prior to
28 being eligible to receive any type of credit or adjustment to the monthly bill. The
29 burden of showing that an appreciable quantity of water usage does not reach the
30 sewer shall be upon the customer; and the customer shall make a determination if
31 it wishes to either (1) install a sewage meter, or (2) install a diversion meter as
32 outlined below. Both meter types shall comply with the items listed in (3)below.
33 (1) Install a sewage meter to measure the volume of wastewater actually
34 discharged into the sewage system from the non-domestic customer's premises. In
35 the event a sewage meter is installed,the rate schedule as set forth in this Ordinance
[Page 3 of 12]
1 shall be applied to either: (a)the volume of sewage entering the sewage system as
2 measured by the meter; or (b) in the event the sewage meter fails, a calculated
3 volume shall be substituted,for up to ninety(90)days,based on the percentage of
4 metered water usage discharged to the sewage system as determined by the
5 historical comparison of water usage to that of the metered sewage; or
6 (2) Install a diversion meter. In lieu of a sewage meter, the non-domestic
7 customer may install diversion water meter(s) to measure that portion of water
8 used which is diverted completely away from entering the sewage system. In the
9 event a diversion water meter is installed, the volume of water metered by such
10 meter(s) shall be deducted from the total volume of water usage (master water
g ate
11 meter provided by Central Arkansas Water)before the sewer service rate schedule
12 is applied. In the event the diversion meter fails, a calculated volume shall be
13 substituted,for up to ninety(90)days,based on the percentage of metered diverted
14 water usage to the master water meter usage as determined by the historical
15 comparison of the two; and
16 (3) The following conditions shall also apply to non-domestic customers who
17 desire to establish eligibility for credit related to the use of either a sewer or
18 diversion water meter:
19 • Said meters shall measure flow in units of cubic-feet, and be
20 maintained and routinely calibrated to assure an accuracy of± 10%.
21 • The readings from the meter shall be taken at least once monthly and
22 shall be provided to LRW in units of 00-ft3 (100 cubic-feet).
23 • Cooling towers and boilers used for conditioning the air space of
24 buildings or used by customers of non-domestic facilities for
25 processing shall only be eligible for up to 70% credit when the bleed
26 and/or blow-down wastewaters are connected to the sanitary sewer
27 system.
28 • No refunds, allowances, credits, or reductions from the 100% water
29 use base will be granted to a non-domestic customer for any time
30 period prior to approval of a sewage metering or diverted water
31 metering system.
32 • Should a non-domestic customer fail to report a meter reading to LRW
33 for more than ninety (90) days, the customer shall be removed from
34 the sewer meter program. The customer may reapply by making
35 written application to LRW for approval.
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1 • After receiving approval for a meter installation, and should that
2 metering system later fail, or the customer fail to report monthly
3 readings for ninety(90)days,LRW shall apply 100%of the total water
4 metered volume as if it was all discharged to the sewerage system for
5 the purposes of preparing the monthly bill.
6 • Any deviations will be at the discretion of the Director of
7 Environmental Assessment Division,Little Rock Wastewater
8 (3). The following shall apply to both domestic and non-domestic customers:
9 In the case of a customer using water for irrigation or lawn sprinkling purposes,
10 the customer may have an additional service meter installed by Central Arkansas
11 Water to deliver the water in such a way that the water is billed separately
12 without a sewer charge being computed.
13 (a) The following rates shall be effective starting January 1, 2017,
14 ("Rate Effective Date")upon the adoption of this ordinance(and shall be
15 increased thereafter upon the dates set forth below)and shall be applied to
16 each customer, unless modified by contract recommended by the Water
17 Reclamation Commission and approved by ordinance by the City Board
18 of Directors if the facility provides its own conveyance directing its waste
19 stream to the digester or another specialty treatmentP rocess which does
20 not commingle with the influent at the headworks of the Wastewater
21 Treatment Plant, and which does not adversely impact the fair and
22 reasonable rate structure applicable to all customers,as above determined,
23 to arrive at the monthly charge for each customer:
24 (1) Inside.City—Domestic:Customers
25
26 (i).
Service Availability Charge
C e
�
27
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Meter Size
5/8" 10.78 11.29 11.81 12.36 12.93
3/4" 13.88 14.54 15.23 15.95 16.71
1" 20.99 21.99 23.03 24.13 25.27
28
29
30
31
32
[Page 5 of 12]
1 (ii). Operations Volumetric Charge(for all water consumed)
2
3
January 1, January 1, January 1, January 1, January 1.
Description 2017 2018 2019 2020 2021
Flow 1.84 1.93 2.02 2.12 2.22
4
5 (iii). Debt Repayment Volumetric Charge(for all water consumed)
6
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 2.14 2.24 2.35 2.46 2.58
7
8 :,':,-,4'.';::-'0)' :Outside:,City ,Domestic Customers 4
9
1 10 (i). Service Availability Charge -
11
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Meter Size
5/8" 16.17 16.94 17.75 18.59 19.47
3/4" 20.82 21.81 22.85 23.93 25.07
1" 31.49 32.98 34.55 36.19 37.91
12
13 (ii). Operations Volumetric Charge(for all water consumed)
14
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 2.77 2.9 3.03 3.18 3.33
15
16 (iii). Debt Repayment Volumetric Charge(for all water consumed)
17
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 3.22 3.37 3.53 3.7 3.87
18
19 .. ; _ ,,_:"'-,(4 Inside City NonDomestic Customers
_
20
21 (i). Service Availability Charge
• 22
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Meter Size
5/8" 10.78 11.29 11.83 12.39 12.98
3/4" 13.88 14.54 15.23 15.95 16.71
[Page 6 of 12]
1" 20.99 21.99 23.03 24.13 25.27
1.5" 37.06 38.82 40.66 42.60 44.62
2" 57.51 60.24 63.10 66.10 69.24
3" 105.11 110.10 115.33 120.81 126.54
4" 173.30 181.53 190.15 199.19 208.65
6" 343.71 360.03 377.13 395.05 413.81
1
2 (ii). Operations Volumetric Charge(for all water consumed)
3
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 2.88 3.02 3.16 3.31 3.47
4
5 (iii). Debt Repayment Volumetric Charge(for all water consumed)
6
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 2.51 2.63 2.76 2.89 3.03
7
8 (4) Outside City=.Non.Domestic Customers,
9
10 (i). Service Availability Charge.
11
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Meter Size
5/8" 16.17 16.94 17.75 18.59 19.47
3/4" 20.82 21.81 22.85 23.93 25.07
1" 31.49 32.98 34.55 36.19 37.91
1.5" 55.59 58.23 61.00 63.89 66.93
2" 86.26 90.36 94.65 99.15 103.86
3" 157.66 165.15 172.99 181.21 189.82
4" 259.95 272.30 285.23 298.78 312.97
6" 515.56 540.05 565.70 592.57 620.72
12
13 (ii). Operations Volumetric Charge(for all water consumed)
14
January 1, January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
Flow 4.33 4.53 4.75 4.97 5.21
15
16 (iii).Debt Repayment Volumetric Charge(for all water consumed)
17
January,1 January 1, January 1, January 1, January 1,
Description 2017 2018 2019 2020 2021
[Page 7 of 12]
Flow 3.78 3.96 4.15 4.35 4.55
1
2 (5) Unit Extra Strength Surcharges(Inside& Outside City), •
Cost Rate
Based on January 1, January 1, January 1, January 1, January 1,
Description Units of 2017 2018 2019 2020 2021
Unit Extra Strength
Surcharges*
TSS>600 mg/L pounds 0.17 0.18 0.18 0.19 0.20
O&G> 50 mg/L pounds 0.20 0.21 0.22 0.23 0.24
COD>960 mg/L pounds 0.20 0.21 0.22 0.23 0.24
3
4 C. Billing Charge: Customers whose usage requires rendering a bill shall pay a service charge
5 as determined by LRW's Annual Consolidated Fee Schedule which shall be duly adopted by the
6 Water Reclamation Commission.
7 D. Delinquent Accounts: All accounts for sewer service not paid within thirty (30) days of
8 the billing date shall bear interest at the maximum rate permitted by law until paid in full.
9 F. Wastewater Rate Subsidy Program: A domestic customer may qualify for payment of
10 sewer rates payable according to the Wastewater Rate Subsidy Program by submitting a written
11 application, as provided by the City of Little Rock Department of Public Works, Solid Waste
12 Division for the Solid Waste Fee Increase Subsidy Program, and if approved by LRW, such
13 customer will pay the minimum service availability charge for the size water meter located at the
14 customer's residence.
15 Section 2. The following rates for extra strength charges(or surcharge)are also established as rates
16 which the City Board of Directors further find and declare to be reasonable and minimum rates to be
17 charged.
18 A. Applicability of Payment of Surcharge: The discharge of wastewaters having an excessive
19 chemical oxygen demand(COD),total suspended solids(TSS),or oil and grease(O&G)constitute
20 an added expense in the operation and maintenance of LRW's treatment facilities and should be
21 accompanied by payment of an extra strength surcharge to compensate for this added expense.
22 (1) Any non-domestic customer who demonstrates the ability,in any single month,to
23 discharge 4,000 pounds per month of COD, or more, shall receive a monthly bill for
24 surcharge for all applicable parameters. The applicability determination shall be on the
25 following basis:
26 COD, lbs/month = ((flow, gallons per month)/1,000,000) (8.34) (COD, mg/L*)
27 (2)*COD, mg/L shall be measured on the total sample basis and shall not receive any
28 deduction for the typical background domestic wastewater characteristic.
[Page 8 of 12]
1 B. If applicable in Section 2(a), surcharge will be determined as follows:
2 (1)Excessive strength is hereby defined as COD in excess of 960 mg/L, TSS
3 in excess of 600 mg/L, and O&G in excess of 50 mg/L, as determined in accordance with
4 test methods approved under 40 C.F.R. Part 136. The surcharge costs shall be based upon
5 the pounds of pollutant discharged in excess, and the following shall also apply:
6 COD, lbs/month = ((flow, gallons per month)/1,000,000) (8.34)(COD, mg/L— 960 mg/L)
7 TSS, lbs/month = ((flow, gallons per month)/1,000,000) (8.34)(TSS, mg/L— 600 mg/L)
8 O&G, lbs/month = ((flow, gallons per month)/1,000,000) (8.34)(O&G, mg/L—50 mg/L)
9 (2) The surcharge shall be computed separately for COD,TSS,and O&G on the total
10 discharge,unless the usage determination has been adjusted as provided for under Section
11 1.B(2)e.
12 C. Determination of Surcharge Strengths: LRW will perform analyses at minimum of once
13 per calendar year to determine the strength of sewage discharged by non-domestic customers,
14 whose wastes are subject to surcharge,and who have demonstrated the ability to exceed the pounds
15 of COD specified in Section 2(a). For those non-domestic customers, the following shall also
16 apply:
17 (1) If a non-domestic customer disagrees with the analytical value determination
18 made by LRW,the customer may, at its sole expense, employ an independent laboratory,
19 acceptable to LRW, to conduct sampling and analysis of its sewage discharge. The time
20 period and location for the collection of the samples shall be designated by LRW. LRW
21 and the independent laboratory shall both preside over the collection of the samples and
22 shall equally divide the final composite sample so that duplicate analyses may be made. In
23 the case of the O&G, two (2) separate and distinct samples shall be collected and both
24 analyzed.
25 (2) The results of the analyses of the sewage sample made by both LRW and the
26 independent laboratory will be averaged. The average of the results of these analyses shall
27 be used to determine the actual extra strength surcharges.
28 D. Reevaluation Period: If any non-domestic customer improves the quality of its sewage
29 discharged,upon written request by the customer,LRW shall reevaluate the strength of the sewage
30 discharge over a period of no more than one(1)-year. If after the one(1)-year evaluation period,
31 the monitoring data reveals the customer did not, in any one single data point, exceed the amount
32 of 4,000 pounds per month of COD,then LRW shall remove the customer from the extra strength
33 surcharge program the first billing cycle following the conclusion of the one (1)-year evaluation
34 period. The customer shall pay LRW for any additional monitoring data requested by the customer
35 over and above the routine monitoring normally performed by LRW. The additional monitoring
[Page 9 of 12]
1 charge shall consist of all costs for personnel,material, and equipment used to collect and analyze
2 samples from the customer's discharge of sewage. The exact charge shall be based on actual costs
3 and shall be determined by LRW.
4 E. Performance of Analyses: All analyses shall be performed in accordance with the
5 provisions as specified in City of Little Rock Ordinance No. 19,895, or its successor ordinance.
6 All surcharges shall be calculated based on 100% of metered water use, except as otherwise
7 provided in Section 1.B(2)(e)of this Ordinance.
8 Section 3. Adjustments: Any customer who feels its monthly bill is unjust and inequitable may
9 make written application to LRW requesting a review of this charge. Said written request shall, when
10 necessary, show the actual or estimated average flow and/or strength of the customer's wastewater in
11 comparison with the values upon which the charge is based, including how the measurements or estimates
12 were made. Review of the request shall be made by LRW. If substantiated,the charges for that customer
13 shall be recomputed based on the revised flow and/or strength data,and the new charges shall be applicable
14 to the next billing cycle/period. The following shall apply to any adjustments made:
15 A. Subject to Section 3.B, LRW shall adjust a customer's account and issue a corrected bill if
16 it determines that it has over-billed or under-billed the customer for sewer because of:
17 (1) Central Arkansas Water meter's failure to meet the accuracy standards of the
18 American National Standards Institute or the American Water Works Association, as
19 applicable(subject to verification by LRW with Central Arkansas Water);
20 (2) The application of an incorrect sewer rate to the customer's account;
21 (3) An erroneous meter reading or the reading of a meter other than that through which
22 the customer actually received service; or
23 (4) The failure of Central Arkansas Water to include the sewer service in the
24 customer's billing account.
25 B. No billing adjustment shall be made, and no back credit or refund shall be issued, with
26 respect to sewer services provided.
27 (1) More than twelve(12)months before the date the error or inaccuracy is discovered
28 if the error or inaccuracy caused the customer to be over-billed;
29 (2) More than twelve(12)months before the date the error or inaccuracy is discovered
30 if the error or inaccuracy caused the customer to be under-billed for non-domestic
31 customers,or,in the case of a domestic customer,more than six(6)months before the date
32 the error or inaccuracy is discovered;
33 (3) Limited to the customer currently receiving sewer service at the service address to
34 which the adjustment pertains;
[Page 10 of 12]
1 (4) Under an account that has become an inactive account and for which a final bill
2 was issued more than ninety(90)days before the error or inaccuracy was discovered.
3 C. For an adjustment due to an inaccurate meter, LRW may estimate the customer's utility
4 consumption using prior consumption history, comparisons to similarly situated customers under
5 similar weather conditions, readings from a replacement meter, or such other methods and
6 information that it reasonably deems appropriate. In the case of the application of an incorrect rate,
7 LRW shall base the adjustment on the correct rate.
8 D. In the event an adjustment is made for Central Arkansas Water's utility service,the sewer
9 charges will be byLRW for the sameperiod. With the exception that adjusted p the adjustment
10 period directly impacted the sewer,to which LRW will make no adjustment.
11 E. If a customer is liable for a balance under an inactive account, LRW may transfer that
12 balance to any of the customer's active accounts. The time limitations in Section 3.B shall not
13 apply to a transfer made under this subsection.
14 F. If LRW makes a determination on its own that an adjustment is needed to a customer's bill,
15 notwithstanding the above provisions,LRW may make that adjustment.
16 Section 4. All bills for sewer service shall be rendered monthly. Under the provision of Ark. Code
17 Ann. § 14-235-223, if any sewer charge is not paid within thirty(30)days after same is due,there shall be
18 a 10% penalty on the amount due, for which suit may be brought to collect all sums due, together with a
19 reasonable attorney's fee.
20 Section 5. Each user of the sewer system shall be notified, at least annually by publication having
21 circulation in Pulaski County,Arkansas,in conjunction with a regular bill,of the rate and the portion of the
22 user charges which are attributable to waste water treatment services, in compliance with 40 C.F.R.
23 §35.929-2(f).
24 Section 6. Severability: In the event any title, section, paragraph, item, sentence, clause, phrase, or
25 word of this Ordinance is declared or adjudged to be invalid or unconstitutional, such declaration or
26 adjudication shall not affect the remaining portions of this ordinance,which remain in full force and effect
27 as if the portion so declared or adjudged invalid or unconstitutional is not a part of this ordinance.
28 Section 7.Effective Date. This ordinance shall become in full force and effect on January 1, 2017,
29 ("Ordinance Effective Date.")
30 Section 8.Repealer: All laws, ordinances, resolutions, or parts of the same,that are inconsistent with
31 the provisions of this ordinance, are hereby repealed to the extent of such inconsistency including as to the
32 Ordinance Effective Date for the rates, but not limited to, Little Rock, Ark., Ordinance No. 20,594 (June
33 12,2012).
34 PASSED: August 4,2015
35
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1 • APPRO :
2 10,
3 erA
4 u . 71f ngley,City Clerk Mark Stodola,Mayor
5 • ' ' d 1 AS TO LEGAL FORM:
6
7 ea4 �C�ivi1�
8 Bill Mann,Chief Deputy CityAttorney
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