10-25-1999 WS - Laserfiche WebLink

Home Browse Search

• • I. INTRODUCTION AND SCOPE Metropolitan Council Environmental This report focuses on Sewer Service Services (MCES)is one of four divisions of Charges imposed by the 104 Metro the Metropolitan Council, a regional public communities to which MCES provides its agency working for the seven-county wastewater treatment services on a metropolitan area. wholesale basis (see Sections II and III). MCES is responsible for the following: While not the focus of this report, onetime (1) Coordinated water resources, sewer charges are discussed in Section V. service network and capital investment MCES's primary revenue source is fees from planning to preserve regional water quality users of the system. These fees, or charges, and water supply; (2)Water resources are established through a systemwide cost management providing an optimal mix of allocation process that distributes the point and nonpoint source solutions; and annual cost of developing and operating the (3) Cost and quality competitive wastewater system among users. Many components of collection and treatment for 104 the system are established by law. During communities and 839 industrial clients. the 1997 legislative session, the statute was A system of rates has been established to amended to grant broader authority to the pay the costs incurred in meeting these Metropolitan Council in establishing the responsibilities. In order of their fiscal current portion of our rates (refer to exhibits significance, they are: 5 and 6 on pages 26 and 27 for the current legislation).A further explanation of the cost • Sewer Service Charges, allocation process begins on page 5 of this • Service Availability Charges (SAC)— report. onetime charges for new connections, • Industrial Charges, and Communities in the Twin Cities • Other. metropolitan area are the primary users of Types of Rates Addressed in this Study "Wholesale" Rate or REC Rate: the fee for MCES services which would be charged to an average residence. (REC means Residential Equivalent Connection). Based on a volume of about 83,000 gallons of wastewater per year, it is the total of annual sewer service charges divided by the number of residential equivalent connections. Rate per Gallon: total sewer service charges divided by gallons of wastewater flow. Also called sewer service charge rates. Usually expressed in rate per 100,000 gallons. Retail Rate: the fee a municipality charges its customers: residential,commercial or industrial.The 1998 regional average is equal to the wholesale or REC rate plus approximately 48 percent, based on the REC usage level. Onetime Charges:onetime access or connection fees charged by municipalities. Study of 1998 Sewerage Rates 1