Fort Walton Beach — Ordinance 708 — reading text

NOTIFICATION Each user of the City of Fort Walton Beach Wastewater Treatment Works will be notified on an annual basis, in conjunction with a regular monthly bill, of the rate and that portion of the user charges which are attributable to waste- water treatment services. The month in which said notification is issued will be at the discretion of Fort Walton Beach. In no event, however, will the length of time between notification exceed 12 months. CITY OF FORT WALTON BEACH OKALOOSA COUNTY, FLORIDA INDUSTRIAL COST. RECOVERY SYSTEM 17C1-1.5 J. B. Converse & Co., Inc. August, 1979 Pursuant to 40 CFR 35.935-15(a)(2), a grantee must obtain approval of its industrial cost recovery system on or before June 30, 1979, or no further Step 3 grant payments will be made until the system is approved. The industrial cost recovery system presented herein is based on current guidelines promulgated by the U.S. EPA. Because Congress has imposed a moratorium on the collection of ICR payment (until June 30, 1979) in order to study the equitability and efficiency of the system, the material presented herein should not be construed as final. Subsequent to Congressional resolution of the direction that ICR should assume, this system will be updated, accordingly. INTRODUCTION Section 204(b) of the Federal Water Pollution Control Act Amendments of 1972 (P.L. 92-500), as amended and supplemented by the Clean Water Act of 1977 (2.1L. 95-217), requires industrial users (as defined herein) of federally funded treatment works to pay that portion of the federal grant amount which is allocable to the treatment of wastes from such users. The intent of this provision is to remove, or at least mitigate, the advantages that accrue to industries connected to publicly~owned treatment works (POTWs). Since the same industrial waste treatment requirements, in theory, pertain to industries served by POTWs as well as to those not served, and because only industries served by POTWs benefit in the EPA Construction Grants Program, Congress felt that this apparent subsidization of selected industries "from funds, provided by taxpayers at large" was inappropriate. Accordingly, Congress decided that some remuneration of the federal grant by industries connected to POTWs was needed. In accordance with the regulations promulgated by the Environmental Protection Agency (the "EPA') on February 11, 1974, and modified from time to time since then, and implemented in the Code of Federal Regulations, Title 40, Part 35, Subpart E, the City of Fort Walton Beach (hereinafter called the "City") has developed an Industrial Cost Recovery ("ICR") System whereby each industrial user of the City's wastewater treatment plant shall pay its proportional share of the total federal grant allocated to the facilities described herein. Subsequent to the approval of the Regional Administrator of EPA, the City will administer and maintain the ICR System. CUSTOMER CLASSIFICATION For purposes of administering the ICR System, an industrial user is defined as follows:* (a) Any nongovernmental, nonresidential user of the Fort Walton Beach wastewater treatment works who discharges more than the equivalent * .Federal Register, 40 CFR 35.905 rs ca pon, of 25,000 gallons per day (gpd) of sanitary waste and who is iden- tified in the Standard Industrial Classification Manual, 1972, Office of Management and Budget, as amended and supplemented, under one of the following divisions: ** Division A. Agriculture, Forestry, Fishing Division B. Mining . Division D. Manufacturing Division E. Transportation, Communication, Electric, Gas and Sanitary Services Division I. Services (b) Any nongovernmental user of the City's wastewater treatment works who discharges wastewater that contains toxic pollutants or poisionous solids, liquids, or gases in sufficient quantity either singly or by interaction with other wastes, to contaminate the sludge, or to injure or interfere with the sewage treatment process, or which constitutes a hazard to humans or animals, creates a public nuisance, or creates any hazard in or has an adverse effect on the stream receiving the treatment works discharge. In determining the appli- cability of (b) the City will rely on the rules and regulations promulgated pursuant to the Federal Water Pollution Control Act Amendments of 1972, Clean Water Act of 1977, Resource Conservation and Recovery Act of 1976, Toxic Substance Control Act, Clean Air Act, and any other pertinent governmental legislation as such may be amended or enacted from time to time. In computing the amount of an industrial user's discharge for purposes of ICR, the regulations permit the exclusion of domestic wastes or discharges from sanitary conveniences, provided that the industrial user is not classified in category (b). The City of Fort Walton Beach has no industrial customers which contri- bute process type wastewater or wastewater whose load characteristics exceed those of domestic strength sewage. The City has elected, however, to prepare an Industrial Cost Recovery System in accordance with current Federal Regulations. In the event that an industry which is subject to Industrial Cost Recovery locates in the service area of the City the subject Industrial Cost Recovery System will be modified prior to that industry's connection to the system. *k Exhibit 1 delineates a more comprehensive breakdown of each division. 2 INDUSTRIAL COST RECOVERY FORMULA The Industrial Cost Recovery Formula contained herein bases each indus- trial user's share on all factors which significantly influence the cost of constructing the treatment works. Factors, such as strength, volume and delivery flow rate characteristics have been considered and are included to insure a proportional distribution of the Grant amount allocable to the collection and treatment of industrial waste. In developing a formula which would satisfy the above requirements, the basic format used in the February, 1976 Industrial Cost Recovery Guidelines was followed. The components of the new treatment plant were allocated to the extent possible into the functional categories associated with the design: 1. Wastewater flow per day 2. Pounds of biochemical oxygen demand (BOD) per day 3. Pounds of suspended solids (SS) per day Into each category are placed those construction costs which relate most to the treatment of each characteristic: in the City's wastewater. General costs, those costs not identifiable as relative to the treatment of any particular wastewater characteristic, were arbitrarily divided into each category according to the same percentages that each category subtotal is to the cost subtotal without general costs. The aforementioned general costs include such items as Engineering, _ Administration, and Contingencies. The federal grant is allocated to the treatment plant design parameters based on the summation of the construction and general costs. These figures are then put on a unit basis in accordance with the design parameters. (Any Step 1, 2, or 3 grant costs associated with infiltration/inflow correction, treatment of stormwater, unreserved excess capacity, or "non-excessive" infiltration/inflow are deducted from the total construction costs prior to calculating the industrial cost recovery formula. (Please refer to Exhibit ~ Nos. 2, 3, and 4.) The unit figures are applied to a given industry's wastewater charac- teristics in order to determine the total ICR charge attributable to that industry. This charge may be repaid by the industry over a 30-year period, in equal installments, and with no additional charge for interest. The following equation has been developed to summarize the aforesaid discussion: TcR = g, St +g, Br+e, St Qp By 8 . RP where: ICR .= Annual industrial cost recovery payment of an industrial user 7 RP = Industrial cost recovery period, 30 years & = Federal grant attributable to the treatment of flow Q oF Wastewater flow discharged by industrial user in 1,000 gallons per day Q = Design capacity for ICR of the plant in terms of flow in 1,000 galions per day . 8 = Federal grant attributable to the treatment of biochemical oxygen demand By OF Amount of BOD discharged by industrial user, in pounds per day Bo = Design capacity of the plant in terms of BOD, in pounds per day 8&3 = Federal grant attributable to the treatment of suspended solids 8; = Amount of SS discharged by industrial user, in pounds per day Sp = Design capacity of the plant in terms of 88 in pounds per day In the case of Fort Walton Beach, the ICR equation for the new wastewater facilities based on Exhibit Nos. 2, 3, and 4 is as follows: ICR $1,170.29 Qy + 151.23 BL + 235.91 S, 30 H 39.00 Qy + 5.04 By + 7.86 Sz EXCLUSIONS A. The following users are exempt from assessment of ICR charges: 1. Governmental users 2. Residential users 3. Publiciy-owned facilities, such as hospitals, which discharge non~- sanitary wastes 4. Industrial (or commercial) users who discharge domestic wastes or wastes from sanitary conveniences (hereinafter referred to as "dry industries") Any nongovernmental user who discharges any toxic substance that is deleterious to the treatment process or is incompatible with or mitigates the utility of the sludge, is not exempt from ICR charges. Because the City has exercised its option to exclude "dry" industries from ICR, the City must deduct the estimated sanitary wastewater from the total wastewater discharge of an industrial user who discharges a combination of process wastewater and wastewater from sanitary convenience, prior to computing the ICR payment of such industrial user. The determination of the estimated sanitary wastewater will be based on the following criteria: Flow: 35 gallons per employee per day BOD: 0.085 ib. per employee per day SS: 0.100 ib. per employee per day Where actual metered flows have been provided for segregating sanitary and process wastewater flows, the actual flow data will be used to the fullest extent possible. Subsequent to applying the sanitary wastewater exclusion, an industrial user may still be exempted if its process discharge does not have a volume exceeding 25,000 gpd nor the weight of BOD or SS or other constituents exceeding ‘the weight equivalent to that found in 25,000 gpd of sanitary waste. For example, an industrial user who discharges 10,000 gpd of process waste and 20,000 gpd of sanitary waste would not be subject to ICR if, after excluding the sanitary waste, it can be demonstrated that the 10,000 gallons of process waste is less than the equivalent of 25,000 gallons of domestic waste. Utilizing published values for average strength domestic waste,* the threshold values for the equivalent of 25,000 gallons of domestic waste were computed as follows: Flow: 25,000 gallons per day BOD: 41.70 lbs. per day SS: 41.70 lbs. per day If an industrial user's process wastewater does not exceed any of the above constituent values, then said user shall not be obligated to pay an ICR charge. If an industrial user's process wastewater exceeds any of the above constituent values, then said user shall incur an ICR charge. In the event that an ICR charge is assessed, said charge will be predicated on the total flow and pollutant loadings of the process wastewater; unlike the sani- tary wastewater exclusion concept, there will be no credit for the first 25,000 gallons of equivalent domestic waste. B. COSTS EXCLUDED FROM ICR COMPUTATIONS 1. In accordance with Section 6C of the 1976 Federal Industrial Cost Recovery Guidelines, those costs associated with the building of unreserved excess capacity into this facility were deleted. 2. Pursuant to Section 8A(1) of the Guidelines, those costs associated with the construction of capacity to convey and treat wastewater flows attributable to infiltration and inflow, have been deleted. * Metchalf and Eddy, Inc. Wastewater Engineering: Collection