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Home My WebLink About2006-04-19 Special Meeting.. "-MINUTES OF THE SPECIAL JOINT MEETING OF THE FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE& STEERING COMMITTEE Orange County Sanitation District Wednesday, April 19, 2006, 5:00 p.m. V A special ·oint meeting of the Finance, Administration and Hur,an Resources Committee and the teering Committee of the Orange County Sanitation District was held onApril 19, 2006, at 5:00 p.m., in the Sanitation District's Administrative Office. (1) The roll was called and a quorum declared present, as follows: FAHR COMMITTEE MEMBERS DIRECTORS PRESENT: Darryl Miller, Chair Mike Duvall, Vice Chair Bill Dalton Rich Freschi Phil Luebben Joy Neugebauer James W. Silva Mark Waldman Jim Ferryman, Vice Board Chair DIRECTORS ABSENT: Steve Anderson, Board Chair STAFF PRESENT: Jim Ruth, Interim General Manager Jim Herbert, Director of Operations and Maintenance Lisa Tomko, Director of Human Resources Lorenzo Tyner, Director of Finance Mike White, Controller Lilia Kovac, Committee Secretary Mike Moore Ed Torres OTHERS PRESENT: Brad Hogin, General Counsel Robert Grantham Toby Weissert (2) APPOINTMENT OF CHAIR PRO TEM INT FILED No appointment was necessary. (3) PUBLIC COMMENTS There were no public comments. (4) REPORT OF THE COMMITTEE CHAIR Chair Miller had no report. (5) REPORT OF THE GENERAL MANAGER Jim Ruth, Interim General Manager, had no report. HE OFFICE OF THE SECRETARY ORANGf COUNT'' ~" ,-• .,.,"'"' msTR!CT MAY 2 4 2006 v___.,A~·~_;.;_'--- Minutes of the Special Joint meeting of the Finance, Administration and Human Resources Committee and Steering Committee Meeting April 19, 2006 Page 2 (6) REPORT OF DIRECTOR OF FINANCE/TREASURER Director of Finance, Lorenzo Tyner, had no report. (7) REPORT OF DIRECTOR OF HUMAN RESOURCESPUBLIC INFORMATION OFFICE Lisa Tomko, Director of Human Resources, had no report. (8) REPORT OF GENERAL COUNSEL Brad Hogin, General Counsel, had no report. (9) CONSENT CALENDAR ITEMS No items were considered cND OF CONSENT CALENDAR (10) ACTION ITEMS a. FAHR06-26 Recommend to the Board of Directors to consider Ordinance No. OCSD- 28, An Ordinance of the Board of Directors of Orange County Sanitation District Adopting Wastewater Discharge Regulations, and Repealing Ordinance No. OCSD-01: 1 ). Motion to read Ordinance No. OCSD-28 by title only and waive reading of said entire ordinance. 2). Motion to introduce Ordinance No. OCSD-28, and pass to second reading and public hearing on May 24, 2006. Lorenzo Tyner, Director of Finance, briefly reviewed a table of industrel users with current user rates with a comparison of proposed rates using a new rate methodology, eliminating the tax credit adjustment systemfor Class I and Class II permits. Robert Grantham of Carollo Engineers presented the rate study results, and tre recommendations made to standardize the net cost of service Due to the impact this new methodology would have on some businesses, this new rate calculation must be delayed this tax period and introduced to put into effect in next years' budgetprocess. b. FAHR06-28 Recommend to the Board of Directors to consider Ordinance No. OCSD- 30A, An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities Capacity Charges; Adopting Miscellaneous Charges and Fees Relating to Industrial Charges, Source Control Permittees and Wastehaulers, and Repealing Ordinance No. OCSD-26: ' Minutes of the Special Joint meeting of the Finance, Administration and Human Resources Committee and Steering Committee Meeting April 19, 2006 Page 3 MOTION: 1 ). Motion to read Ordinance No. OCSD-30 by title only and waive reading of said entire ordinance. 2). Motion to introduce Ordinance No. OCSD-30, and pass to second reading and public hearing on May 24, 2006. Lorenzo Tyner introduced the proposed rate changes based on the approved CIP cost reductions, with a CIP reduction study review presented to all Board members by December of 2006. After much discussion, due to the time constraints of the passingof an ordinance and the tax bill preparation requirements, a motion was made to submit two rate structures be recommended to the Board of Directors for reading by title, and to pass to second reading and public hearing on May 24, 2006. It was moved, seconded and duly carried torecommend to the Board of Directors to: A). ConsiderOrdinance No. OCSD-30A, An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities Capacity Charges; Adopting Miscellaneous Charges and Fees Relating to Industrial Charges, Source Control Permittees and Wastehaulers, and Repealing Ordinance No. OCSD-26: 1 ). Motion to read Ordinance No. OCSD-30A by title only and waive reading of said entire ordinance. 2). Motion to introduce Ordinance No. OCSD-30A, and pass to second reading and public hearing on May 24, 2006. And, B). Consider Ordinance No. OCSD-30B, An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities CaP3city Charges; Adopting Miscellaneous Charges and Fees Relating to Industrial Charges, Source Control Permittees and Wastehaulers, and Repealing Ordinance No. OCSD-26: 1 ). Motion to read Ordinance No. OCSD-30B by title only and waive reading of said entire ordinance. 2). Motion to introduce Ordinance No. OCSD-30B, and pass to second reading and public hearing on May 24, 2006. (11) INFORMATIONAL PRESENTATIONS a. FAHR06-29 2006/07 and 2007/08 Budget Development r r r r r I i ~ ( f l L L L ROLL CALL JOINT FINANCE, ADMINISTRATION AND HUMAN RESOURCES AND STEERING COMMITTEES Meeting Date: April 19, 2006 Time: 5:00 p.m. Adjourn: COMMITTEE MEMBERS Darryl Miller (Chair) Mike Duvall (Vice Chair) Bill Dalton Richard Freschi Phil Luebben Joy Neugebauer James W. Silva Mark Waldman Steve Anderson (Board Chair) Jim Ferryman (Board Vice Chair) OTHERS I Brad Hagin, General Counsel I I STAFF Jim Ruth, Interim General Manager Bob Ghirelli, Director of Technical Services Lorenzo Tyner, Director of Financerrreasurer David Ludwin, Director of Engineering Jim Herberg, Director of Operations & --Management Lisa Tomko, Director of Human Resources Patrick Miles, Director of Information Technology Nick Arhontes, Director of Regional Assets & Services Lilia Kovac, Committee Secretary Jeff Reed, Human Resources Manager Mike White, Controller c: Lenora Crane fr l l I '-='.:- AGENDA SPECIAL JOINT MEETING OF THE FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE & STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, APRIL 19, 2006, AT 5:00 P.M. (1) ROLL CALL ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California 92708 www.ocsd.com (2) APPC)INTMENT OF CHAIR PROTEM, IF NECESSARY (3) PUBLIC COMMENTS . (4) REPORT OF COMMITTEE CHAIR (5) REPORT OF GENERAL MANAGER (6) REPORT OF DIRECTOR OF FINANCE (7) REPORT OF DIRECTOR OF HUMAN RESOURCES/ PUBLIC INFORMATION OFFICE (8) REPORT OF GENERAL COUNSEL (9) CONSENT CALENDAR.ITEMS No consent calendar items to be considered. Book Page 1 April 19, 2006 Page2 (10) ACTION ITEMS a. FAHR06-26 Recommend to the Board of Directors to adopt Ordinance No. OCSD-28, An Ordinance of the Board of Directors of Orange County Sanitation District Adopting Wastewater Discharge Regulations, and Repealing Ordinance No. OCSD-01: Book Page 6 1 ). Motion to read Ordinance No. OCSD-28 by title only and waive reading of said entire ordinance. (The waiver of the reading of the entire ordinance must be adopted by a unanimous vote of Directors present.) 2). Motion to introduce Ordinance No. OCSD-28, and pass to second reading and public hearing on May 24, 2006. (Mike White-5 minutes) b. FAHR06-28 Recommend to the Board of Directors to adopt Ordinance No. OCSD-30, An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities Capacity Charges; Adopting Miscellaneous Charges and Fees Relating to Industrial Charges, Source Control Permittees and Wastehaulers, and Repealing Ordinance No. OCSD-26: Book Page 85 1 ). Motion to read Ordinance No. OCSD-30 by title only and waive reading of said entire ordinance. (The waiver of the reading of the entire ordinance must be adopted by a unanimous vote of Directors present.) 2). Motion to introduce Ordinance No. OCSD-30, and pass to second reading and public hearing on May 24, 2006. (Lorenzo Tyner -15 minutes) (11) INFORMATIONAL ITEMS a. FAHR06-29 2006/07 and 2007/08 Budget Development Book Page 176 (Lorenzo Tyner-30 minutes) (12) CLOSED SESSION / During the course of conducting the business set forth on this agenda as ~ regular meeting of the Committee, j I the Chair may convene the Committee in closed session to consider matters of pending real estate negotiations, i 1 pending or potential litigation, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, ! l 54957 or 54957.6, as noted. ! I Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) j i employee actions or negotiations with employee representatives; or which are exempt from public disclosure ! I under the California Public Records Act, may be reviewed by the Committee during a permitted closed session i i and are not available for public inspection. At such time as final actions are taken by the Committee on any of i I these subjects, the minutes will reflect all required disclosures of information. I 1 \ • .............. •••-••••H••-•-••. ••• • ••, • 'nnu.u•-••-••••· .. •••• ......... ••••••••• ....... •-••-~•• ........ •••-onoHOH. ,,._,,..,.,u,,o • "o,noon•-o-..,•---•• .. •·•-·--•·••••H••wo•••n•uu,...••• .. ••._..•·••,.,o.o,.•.•• .. ••~•n•.••••· .. ••·••·••••· .. ·•••••••••••• .. n•muooHO._. • C:\Documents and Settings\xerox\Local Settings\Temporary Internet Files\OLK78\03 041906 FAHR Agenda.doc BookPage2 r r fi f fi r· r r- [ .J L r, ,? L ll :7 L G [i u Li L April 19, 2006 Page3 a. Convene in closed session. b. Reconvene in regular session. c. Consideration of action, if any, on matters considered in closed session. (13) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IFANY (14) MATTERS WHICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR ACTION AND STAFF REPORT (15) FUTURE MEETING DATES The next Finance, Administration and Human Resources Committee Meeting is scheduled for May 10, 2006, at 5 p.m. (16) ADJOURNMENT C:\Documents and Settings\xerox\Local Settings\Temporary Internet Files\OLK78\03 041906 FAHR Agenda.doc BookPage3 April 19, 2006 Page4 Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted in the main lobby of the District's Administrative offices not less than 72 hours prior to the meeting date and time above. All written materials relating to each agenda item are available for public inspection in the office of the Board Secretary. Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the Committee for discussion and/or action, it will be done in compliance with Section 54954.2(b) as an emergency item or because there is a need to take immediate action, which need came to the attention of the Committee sub$equent to the posting of agenda, or as set forth on a supplemental agenda posted in the manner as above, not less than 72 hours prior to the meeting date. Public Comments: Any member c;,f the public may address the Finance, Administration and Human Resources Committee on specific agenda items or matters of general interest. As determined by the Chair, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to three minutes. Matters of interest addressed by a member of the public and not listed on this agenda cannot have action taken by the Committee except as authorized by Section 54954.2(b). Consent Calendar: All matters placed on the consent calendar are considered as not requiring discussion or further explanation, and unless a particular item is requested to be removed from the consent calendar by a Director of staff member, there will be no separate discussion of these items. All items on the consent calendar will be enacted by one action approving all motions, and casting a unanimous ballot for resolutions included on the consent calendar. All items removed from the consent calendar shall be considered in the regular order of business. The Committee Chair will determine if any items are to be deleted from the consent calendar. Items Continued: Items may be continued from this meeting without further notice to a Committee meeting held within five (5) days of this meeting per Government Code Section 54954.2(b)(3). Meeting Adjournment: This meeting may be adjourned to a later time and items of business from this agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with Government Code Section 54955 (posted within 24 hours). Aecommodations ·for the Disabled: The Board of Directors Meeting Room is wheelchair accessible. If you require any special disability related accommodations·, please contact the Orange County Sanitation District Board Secretary's office at (714) 593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Notice to Committee Members: For any questions on the agenda or to place any items on the agenda, Committee members should contact the Committee Chair or Secretary ten days in advance of the Committee meeting. Committee Chair: Committee Secretary: Interim General Manager: Director of Finance: Director of Human Resources: Darryl Miller Lilia Kovac Jim Ruth Lorenzo Tyner Lisa Tomko (949) 453-5300 (714) 593-7124 lkovac@ocsd.com (714) 593-7110 jruth@ocsd.com (714) 593-7550 ltyner@ocsd.com (714) 593-7145 ltomko@ocsd.com C:\Documents and Settings\xerox\Local Settings\Temporary Internet Files\OLK78\03 041906 FAHR Agenda.doc BookPage4 Regulations as a Reenactment of the Regulations Adopted and In Effect By Predecessor Districts. PROJECT/CONTRACT COST SUMMARY Not applicable. BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. [gl Not applicable (information item) ATTACHMENTS Ordinance No. OCSD-28 C:\Documents and Settingslxerox\Locel Settings\Temporary Internet Files\OLK78106 06-26 Ord 28.doc Revised: 06/04/03 Book Page 7 Page2 f r ' L ( L ORDINANCE NO. OGSD 01 OCSD- AN ORDINANCE OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT ADOPTING WASTEWATER DISCHARGE REGULATIONS AS A RE ENACTMENT OF THE REGULATIONS ADOPTED ,,\ND IN EFFECT BY PREDECESSOR S/\NITATION DISTRICTS, AND REPEALING ORDINANCE NO. OCSD-01 WHEREAS, the Boards of Directors of former County Sanitation Districts Nos. 1, 2, 3, 5, 6, 7, 11, 13 and 14 of Orange County, California (the APredecessor"Predecessor Districts=:), predecessors-in-interest to the Orange County Sanitation District (the ADistri~"District"), previously, by duly adopted Ordinances, established Wastewater Discharge Regulations, as authorized by law; and, WHEREAS, the Board of Directors of the District has determined that it is necessary, for the •mmediate preservation of the public health and safety, and in order to continue the provision of sanitary sewer services, to continue the provisions of those Ordinances in effect without interruption; and, WHEREAS, the District IB;-SGAsurrently herei.wh, ena~established by Ordinance No. OGSD 02, establishingtwo separate revenue areas based upon numerous factors, iAcluding but not limited to, geographffia-1 features, Predecessor Distri~ eramage areas, and costs of service, witR-tFle intention that fees and charges, inGk:fmA§ annexation fees, would continue at the same rate within a revenue area as existed in the Predecessor District, except to the exteAt of any individual adjustments based upon approved studies and reportswi th the intention of adopting one financial plan and one user fee for all rior re enue areas excludin Revenue Area No. 14 which shall emain full funded throu h contracts with Irvine Ranch Water District; and, +l=teWHEREAS, the Board of Directors of Orange County Sanitation District does hereby FIND: A. A. That a comprehensive 30-year Master Plan of Capital Facilities entitled, ACollection"Collection, Treatment and Disposal Facilities Master Plan -1989", hereinafter the AMa-steF"Master Plan=:, which includes detailed financial and engineering reports, has been prepared, approved and adopted by the Boards of Directors of the Predecessor Districts identifying the required future development of District facilities, including the financial projections for providing sewer service to all properties within the District=:s service areas; and, B. B. That the District is required by federal and state law, including the Clean Water Act (33 U.S.C. 1251, et seq.), the General Pretreatment Regulations (40 C.F.R. 403), and the Porter-Cologne Water Quality Control Act (Water Code Sections Book Page 8 13000 et seq.), to implement and enforce a program for the regulation of wastewater discharges to the District-:s sewers; and, C. That the District is required by federal, state and local law to meet applicable standards of treatment plant effluent quality; and, C. D. That the adoption of this Ordinance is statutorily exempt under the California Environmental Quality Act pursuant to the provisions of Public Resources Code Section 21080(b)(8) and California Code of Regulations Section 15273(a). NOW, THEREFORE, the Board of Directors of the Orange County Sanitation District does hereby ORDAIN: Section 1. Section I: Wastewater Discharge Regulations governing the use of District sewerage facilities are hereby enacted to provide: ARTICLE 1 GENERAL PROVISIONS 101. 4-9-1-:-PURPOSE AND POLICY A. A. The purpose of this Ordinance is to provide for the maximum C. public benefit from the use of District's facilities. This shall be accomplished by regulating sewer use and wastewater discharges, by providing equitable distribution of costs in compliance with applicable Federal, State and local Regulations, and by providing procedures that will allow the District to comply with requirements placed upon the District by other regulatory agencies. The revenues to be derived from the application of this Ordinance shall be used to defray all costs of providing sewerage service by the District, including, but not limited to, administration, operation, monitoring, maintenance, financing, capital construction, replacement and recovery, and provisions for necessary reserves. ---B----.--This Ordinance shall be interpreted in accordance with the definitions set forth in Section 102. The provisions of the Ordinance shall apply to the direct or indirect discharge of all liquid wastes carried to facilities of the District. To comply with Federal, State, and local policies and to allow the District to meet applicable standards of treatment plant effluent quality, sludge quality, and air quality, provisions are made in this Ordinance for the regulation of wastewater discharges to the public sewer. This Ordinance establishes quantity and quality limits on all wastewater discharges which may adversely affect the District's sewerage systems, processes, effluent quality, sludge quality, air emission characteristics, or inhibit the District's Book Page 9 r f L L ability to beneficially reuse or dispose of its sludge or meet sludge discharge criteria. It is the intent of these limits to improve the quality of wastewater being received for treatment and to encourage water conservation and waste minimization by all users connected to a public sewer. It is the District's intent to limit future increases in the quantity (mass emission) of waste constituents being discharged. This Ordinance also provides for regulation of the degree of waste pretreatment required, the issuance of permits for wastewater discharge and connections and other miscellaneous permits, and establishes penalties for violation of the Ordinance. ---0,-,... --Since the District is committed to a policy of wastewater reclamation and reuse in order to provide an alternate source of water supply, the implementation of programs for reclamation through secondary and tertiary wastewater treatment processes may necessitate more stringent quality requirements on wastewater discharges. In the event that more stringent quality requirements are necessary, the Ordinance will be amended to reflect those changes. · D. E. Since the District is committed to a policy for the beneficial use of sludge, the implementation of programs to land-apply or provide for the marketing and distribution of sludge may necessitate more stringent quality requirements on wastewater discharges. E. F. Since the District is also committed to meet applicable air quality goals established by the South Coast Air Quality Management District, more stringent quality requirements on wastewater discharges may be required to meet such goals. 102. 102. DEFINITIONS ----,..,A1-,-,_ --Unless otherwise defined herein, terms related to water quality shall be as adopted in the latest edition of Standard Methods for the Examination of Water and Wastewater, published by the American Public Health Association, the American Water Works Association and the Water Pollution Control Federation. The testing procedures for waste constituents and characteristics shall be as provided in 40 CFR 136 (Code of Federal Regulations; Title 40; Protection of Environment; Chapter I, Environmental Protection Agency; Part 136, Test Procedures for the Analyses of Pollutants), or as specified. Other terms not herein defined are defined as being the same as set forth in the International Conference of Building Officials Uniform Building Code, Current Edition. Book Page 10 1. 2. 5. 8. Ad Valorem Tax shall mean that portion of the basic tax allocated for the benefit of an individual District on the assessed value of land and improvements •..vith in its boundaries, exclus~ve of bonded indebtedness. Assessed Value shall mean that portion of the total assessed value of the land and improvements upon 1.-.;hich taxes are collectee---aA€1 allocated. 3. Biochemical Oxygen Demand (BOD) shall mean the measure of biodegradable organic material in domestic or other wastewaters as represented by the quantity of oxygen utilized over a period of five days at 20 degrees centigrade and as determined by the appropriate testing procedures, and expressed in terms of mass and/or concentration [pounds per day or milligrams per liter (mg/L)]. 4. Board shall mean the Board of Directors of the Orange County Sanitation District. 5. Bypass shall mean the intentional diversion of wastestreams from any portion of an industrial user's treatment facility. 6. Capital Facilities Connection Charge shall mean the one-time payment of a fee, imposed by the governing Board of the District, to pay for the future costs of constructing new sewerage collection, treatment, and disposal facilities; the replacement, rehabilitation, or reconstruction of existing facilities; and as a contributive share of the cost of the existing facilities. Said charge shall be paid by all property owners at the time they develop the property and connect directly or indirectly to the District sewerage facilities as a new system user. This charge, whose rates areas set forth in a separate Ordinance, is expressly authorized by the provisions of California Health & Safety Code Sections 5471 and 5474. --+--RESERVED Charge For Use shall mean the District=:s sanitary sewer service charge, a charge established and levied by the District upon residential, commercial and industrial users of the District=:s system, pursuant to Sections 302.6(F)2, or 303.6(F)2 of this Ordinance, in proportion to the use of the treatment works by their respective class, that provides for the recovery of the costs of operation and maintenance expenses, capital facilities Book Page 11 r l r f ( i C ( [ l ( l L L L L L l L L 7. 14 . rehabilitation or replacement, and adequate reserves for the sewage treatment works. -----9-. ---Chemical Oxygen Demand (COD) shall mean the measure of chemically oxidizable material in domestic or other wastewaters as determined by appropriate testing procedures and expressed in terms of milligrams per liter. 10. Class I User shall mean any user who discharges wastewater that: fil a}-ls subject to Federal Categorical Pretreatment Standards; or b,l b) averages 25,000 gallons per day or more of regulated process wastewater; or ~ et-is determined by the General Manager to have a reasonable potential for adversely affecting the District=:s operation or for violating any pretreatment standard, local limit, or discharge requirement; or gl fit-may cause, as determined by the General Manager, pass through or interference with the District sewerage facilities. ------++-,---Class 11 User shall mean any industrial user whose charge for use is greater than the ad---valorem tax basic---tevy. allocated to the Dist.fists ecial assessment "OCSD Sewer User Fee" included on the Count of Oran e secured ro e tax bill, exclusive of debt service, that discharges wastes other than sanitary, and that is not otherwise required to obtain a Class I permit. -----12-.-RESERVED 13. Code of Federal Regulations (CFR) shall mean the codification of the general and permanent regulations published in the Federal Register by the executive departments and agencies of the Federal Government. Compatible Pollutant shall mean a combination of biochemical oxygen demand, suspended solids, pH, fecal coliform bacteria, plus other pollutants that the District's treatment facilities are designed to accept and/or remove. Compatible pollutants are non-compatible when discharged in quantities that have an adverse effect on the District's system or NPDES permit, or when discharged in qualities or quantities violating any Federal Book Page 12 Categorical Pretreatment Standard, local limit, or other discharge requirement. 11. 15. Composite Sample shall mean a collection of individual samples obtained at selected intervals based on an increment of either flow or time. The resulting mixture ( composite sample) forms a representative sample of the wastestream discharged during the sample period. Samples will be collected when manufacturing, processing, or other industrial wastewater discharge occurs. 12. 16. Connection Permit shall mean a permit issued by the governing District, upon payment of a capital facilities connection charge, authorizing the permittee to connect directly to a District sewerage facility or to a sewer which ultimately discharges into a District sewerage facility. --~11~.-RESERVED 14. 18. Cyanide, (Amenable) shall mean those cyanides amenable to chlorination as described in 40 CFR 136.3. 15. 19. Department Head shall mean that person duly designated by the General Manager to direct the Technical Services Department, including the Source Control Division Laboratory and perform those delegated duties as specified in this Ordinance. 16. 20. Development shall mean parcel of land on which dwelling units, commercial or industrial buildings or other improvements are built. 17. 21. Discharger shall mean any person who discharges or causes a discharge of wastewater directly or indirectly to a public sewer. Discharger shall mean the same as User. ---2"""2~. -District shall mean the Orange County Sanitation District. 23 . District Sewerage Facility or System shall mean any property belonging to the District used in the treatment, reclamation, reuse, transportation, or disposal of wastewater, or sludge. 19. 24. Division Head shall mean that person duly designated by the General Manager to implement the District's Source Control Program and perform the duties as specified in this Ordinance. Book Page 13 r i r r l r I, I l 20. 25. Domestic Wastewater shall mean the liquid and solid waterborne wastes derived from the ordinary living processes of humans of such character as to permit satisfactory disposal, without special treatment, into the public sewer or by means of a private disposal system. 21. 26. Dwelling Unit shall mean a single unit providing complete, independent living facilities for one or more persons, which may include permanent provisions for living, sleeping, eating, cooking and sanitation. For the purpose of this Ordinance, a mobile home shall be considered as a Dwelling Unit. More than one Dwelling Unit per structure and/or lot shall be deemed multiple Dwelling Units. 22. 27. Enforcement Compliance Schedule Agreement (ECSA) shall mean a mutual agreement between the District and permittee amending the permit to require implementation of necessary pretreatment practices and/or installation of equipment to ensure permit compliance. 23. -28-.-RESERVED 24. 29. Federal Categorical Pretreatment Standards shall mean any regulation containing pollutant discharge limits promulgated by the U.S. EPA in accordance with Sections 307(b) and (c) of the Clean Water Act (33 U.S.C. 1317) which apply to a specific category of industrial users and which appear in 40 CFR Chapter I, Subchapter N, Parts 405-4 71 . 30. Federal Regulations shall mean any applicable provision of the Federal Water Pollution Control Act, also known as the Clean Water Act, as amended, Title 33, United States Code, Section 1251 and following, and any regulation promulgated by the United States Environmental Protection Agency under Title 40 CFR implementing that act. 25. 31. Floor Area shall mean the area included within the surrounding exterior walls of a building or portion thereof, exclusive of ramps, docks, vent shafts, and courts. The floor area of a building, or portion thereof, not provided with surrounding exterior walls shall be the usable area under the horizontal projection of the roof or floor above. Book Page 14 26. 32. Flow Monitoring Facilities shall mean equipment and structures provided at the user's expense to measure, totalize, and/or record, the incoming water to the facility or the wastewater discharged to the sewer. 27. 33. General Manager shall mean the individual duly designated by the Board of Directors of the District to administer this Ordinance (REFER TO SECTION 107). 28. 34. Grab Sample shall mean a sample taken from a waste stream on a one-time basis without regard to the flow in the waste stream and without consideration of time. 29. 35 . Industrial User shall mean any user that discharges industrial wastewater. 30. 36. Industrial Wastewater shall mean all liquid-carried wastes and wastewater of the community, excluding domestic wastewater, and shall include all wastewater from any producing, manufacturing, processing, agricultural, or other operation. These may also include wastes of human origin similar to domestic wastewaters. 31. 37. Infectious Waste shall mean materials which are likely to transmit etiologic agents which cause, or significantly contribute to the cause of, increased morbidity or mortality of human beings, as more specifically set forth in Health and Safety Code Section 25117.5. 32. 38. Inspector shall mean a person authorized by the General Manager to inspect any existing or proposed wastewater generation, conveyance, processing, and disposal facilities. ---3-9-. -Interference shall mean any discharge which, alone or in conjunction with discharges from other sources, inhibits or disrupts the District's treatment processes or operations, or its sludge processes, use, or disposal; or is a cause of violation of the District's NPDES permit or prevents lawful sludge use or disposal. 33. 40 . LEL (Lower Explosive Limit) shall mean the minimum concentration of a combustible gas or vapor in air (usually expressed in percent by volume at sea level) which will ignite if an ignition source (sufficient ignition energy) is present. 34. -----L+-1--,---'Local Sewering Agency shall mean any public agency or private corporation responsible for the collection and Book Page 15 L l. ( L disposal of wastewater to the District's sewerage facilities duly authorized under the laws of the State of California to construct and/or maintain public sewers. 35. 42. Major Violation shall mean a discharge over the permitted discharge limit, as determined by the result of a composite sample analysis, as follows: fil at--a discharge exceeding a mass emission limit by 20% or more, or Rl bt--a discharge exceeding a concentration limit by 20% or more, or ~ ~a pH discharge less than 5.0. 36. 4J. Mass Emission Rate shall mean the weight of 37. 38. material discharged to the sewer system during a given time interval. Unless otherwise specified, the mass emission rate shall mean pounds per day of a particular constituent or combination of constituents. -----~--May shall mean permissive. 45. Medical Waste shall mean the discharge of isolation wastes, infectious agents, human blood and blood byproducts, pathological wastes, sharps, body parts, fomites, etiologic agents, contaminated bedding, surgical wastes, potentially contaminated laboratory wastes, and dialysis wastes. 46. -----,Milligrams Per Liter (mg/L} shall mean a unit of the concentration of 39. water or wastewater constituent. It is 1 gram of the constituent in 1,000 liters of water. It has replaced the unit formerly used, parts per million, to which it is approximately equivalent in reporting the results of water and wastewater analysis. 47. Minor Violation shall mean a discharge over the permitted discharge limit as determined by the result of a composite sample analysis, as follows: fil at--a discharge exceeding a mass emission limit by less than 20%, or Rl bt--a discharge exceeding a concentration limit by less than 20%, or Book Page 16 £1 G)-a pH discharge equal to or greater than 5.0, but less than 6.0, or gl at-a pH discharge greater than 12.0. 40. 48. National Pollutant Discharge Elimination System (NPDES) shall mean the permit issued to control the discharge to surface waters of the United States as detailed in Public Law 92-500, Section 402. 41. 49. New Construction shall mean any structure planned or under construction for which a connection permit has not been issued. 42. 50. New Source shall mean those sources that are new as defined by 40 CFR 403.3(k) as revised. 43. 51. Non-Compatible Pollutant shall mean any pollutant which is not a compatible pollutant as defined herein. 44. 52. Normal Working Day shall mean the period of time during which production or operation is taking place or any period during which discharge to the sewer is occurring. 45. 53. RESERVED 46. 54. Ordinance shall mean that document entitled "Wastewater Discharge Regulations" containing District requirements, conditions, and limits for connecting and discharging to the sewer system, as may be amended and modified. _____ 5 ..... 5.__ -2!:i shall mean both acidity and alkalinity on a scale ranging from 0 to M 14 where 7 represents neutrality, numbers less than 7 increasing acidity, and more than 7 increasing alkalinity, and is the logarithm of the reciprocal of the quantity of hydrogen ions in moles per liter of solution. 47. 56. Pass Through shall mean discharge through the District=:s sewerage facilities to waters of the U.S. which, alone or in conjunction with discharges from other sources, is a cause of a violation of the District=:s NPDES permit. Book Page 17 r r r f f { l L. l 48. 57. Permittee shall mean a person who has received a permit to discharge wastewater into the District's sewerage facilities subject to the requirements and conditions established by the District. 49. 5g..,...__Person shall mean any individual, partnership, firm, association, corporation or public agency, including the State of California and the United States of America. 50. 59. Pesticides shall mean those compounds classified as such under Federal or State law or regulations including, but not limited to those listed in Section 209.B.4 51. ~Pollutant shall mean any constituent or characteristic of wastewaters on which a discharge limit may be imposed either by the District or the regulatory bodies empowered to regulate the District. 52. 61. Polychlorinated Biphenyls (PCB) shall mean those compounds classified as such under Federal or State law including, but not limited to those listed in Section 209.B.3 53. 62. Pretreatment shall mean the reduction of the amount of pollutants, the elimination of pollutants, or the alteration of the nature of pollutant properties in wastewater to a level authorized by the District prior to discharge of the wastewater into the District's system. The reduction or alteration can be obtained by physical, chemical or biological process, or process changes by other means. -----..... 6-.-.3-. -Pretreatment Facility shall mean any works or devices that the General Manager determines are appropriate to treat, restrict, or prevent the flow of industrial wastewater prior to discharge into a public sewer. 54. 64 . Priority Pollutants shall mean the most recently adopted list of toxic pollutants identified and listed by EPA as having the greatest environmental impact. They are classified as non-compatible pollutants and may require pretreatment prior to discharge in order to prevent: g), at-interference with the District's operation; or Rl, bt---sludge contamination; or ~ st-pass through into receiving waters or into the atmosphere. Book Page 18 55. 65. Public Agency shall mean the State of California and any city, county, district, other local authority or public body of or within this State. 56. 66. Public Sewer shall mean a sewer owned and operated by the District, a city or other local sewering agency which is tributary to the District=:s sewerage facilities. 57. 67. RCRAshall mean Resource Conservation and Recovery Act of l-9-7e1976 (42 U.S.C. aOOl,6901, et seq.) and as amended. 58. 68. Regulatory Agencies shall mean those agencies having jurisdiction over the operation of the District including, but not limited to, the following: fil ------...-.+---United States Environmental Protection Agency, Region IX, San Francisco and Washington, DC (EPA). bl b) California State Water Resources Control Board (SWRCB). ~ ---------California Regional Water Quality Control Board, Santa Ana Region (RWQCB). 91 d) South Coast Air Quality Management District (SCAQMD). ID -------......---California Department of Health Services (OOHS). -----6-9>--. -Regulatory Compliance Schedule Agreement (RCSA) shall mean an agreement between the District and permittee requiring the permittee to implement pretreatment practices and/or install equipment to ensure compliance with future revised categorical pretreatment standards or revised discharge limits. 59. 70 . Sample Point shall mean a location approved by the District, from which wastewater can be collected that is representative in content and consistency of the entire flow of wastewater being sampled. 60. 71 . Sampling Facilities shall mean structure(s) provided at the user's expense for the District or user to measure and record wastewater constituent mass, concentrations, collect a representative sample, or provide access to plug or terminate the discharge. Book Page 19 construction, completing construction, or for attaining final compliance; ~ f)---failure to provide required reports including but not limited to periodic self-monitoring reports and reports on compliance with compliance schedules within 30 days of the due date; fi 91--failure to accurately report non-compliance with discharge limits or any other requirements applicable to the user pursuant to this Ordinance; or gl R}-any other violation or group of violations that the District determines will adversely affect the operation or implementation of the District's pretreatment program. 67. 78. Slug Load shall mean a discharge that exceeds the prohibitions stated in Section 209 and significantly exceeds the usual user flow or pollutant loading, either mass or concentration. 68. 79. Sludge shall mean any solid, semi-solid or liquid decant, subnate or supernate from a manufacturing process, utility seNice, or pretreatment facility. 69. Special Assessment shall mean the portion of the secured property tax bill that represents the special assessment sewer user fee as defined by the District. 80. Special Purpose User shall mean any discharger who is granted a Special Purpose Discharge Permit by the District to discharge unpolluted water, storm runoff, or groundwater to the District's sewerage facilities. 70. 81 . Spent Solutions shall mean any concentrated industrial wastewater. 71. 82. Spill Containment shall mean a protection system installed by the permittee to prohibit the discharge to the sewer of non-compatible pollutants. 72. 83. Standard Industrial Classification (S.I.C.) shall mean a system of classifying industries as identified in the S.I.C. Manual, 1987, or subsequent edition, as prepared by the Office of Management and Budget. Book Page 21 80. 93. Wastewater shall mean the liquid and water- carried wastes of the community and all constituents thereof, whether treated or untreated, discharged into or permitted to enter a public sewer. 81. 94 . Wastewater Constituents and Characteristics shall mean the individual chemical, physical, bacteriological, and radiological parameters, including volume and flow rate and such other parameters that serve to define, classify or measure the quality and quantity of wastewater. B. B. Words used in this Ordinance in the singular may include the plural and the plural the singular. Use of masculine shall mean feminine and use of feminine shall mean masculine. Shall is mandatory; may is permissive or discretionary. 103. 103. CONFIDENTIAL INFORMATION All user information and data on file with the District shall be available to the public and governmental agencies without restriction unless the user specifically requests and is able to demonstrate to the satisfaction of the District that the release of such information would divulge information, processes or methods which would be detrimental to the user's competitive position. The demonstration of the need for confidentiality made by the permittee must meet the burden necessary for withholding such information from the general public under applicable State and Federal Law. Any such claim must be made at the time of submittal of the information by marking the submittal "Confidential Business Information" on each page containing such information. Information which is demonstrated to be confidential shall not be transmitted to anyone other than a governmental agency without prior notification to the user. Information concerning wastewater quality and quantity will not be deemed confidential. 104. 104. TRANSFER OF PERMITS A. A. Permits issued under this Ordinance are for a specific user, for a specific operation at a specific location or for a specific wastehauler, and create no vested rights. 1. No permit may be transferred to allow a discharge to a public sewer from a point other than the location for which the permit was originally issued. 2. Except as expressly set forth herein, no permit for an existing facility may be transferred to a new owner and/or operator of that facility. Book Page 23 Said authority includes the right to establish limits, conditions, and prohibitions; to establish flow rates or prohibit flows discharged to the District's sewerage facilities; to require the development of compliance schedules for the installation of equipment systems and materials by all users; and to take all actions necessary to enforce its authority, whether within or outside the District's boundaries, including those users that are tributary to the District or within areas for which the District has contracted to provide sewerage services. The District has the authority pursuant to California Health and Safety Codes 5471 and 5474 to prescribe, revise, and collect all fees and charges for services and facilities furnished by the District either within or without its territorial limits. 107. 107. DELEGATION OF AUTHORITY Whenever any power is granted to or a duty is imposed upon the General Manager, the power may be exercised or the duty may be performed by any person so authorized by the General Manager. 108. SIGNATORY REQUIREMENTS Reports and permit applications required by this Ordinance shall contain the following certification statement: "I have personally examined and am familiar with the information submitted in the attached document, and I hereby certify under penalty of perjury that this information was obtained in accordance with the Federal Pretreatment Requirements. Moreover, based upon my inquiry of those individuals immediately responsible for obtaining the information reported herein, I believe that the submitted information is true, accurate, and complete. I am aware that there are significant penalties for submitting false information, including the possibility of fine and imprisonment." The statement shall be signed by an authorized representative of the industrial user as defined in 40 CFR 403.12(4!)(1-4). ARTICLE2 GENERAL PROHIBITIONS AND LIMITS ON DISCHARGES 201. 201. PROHIBITED DISCHARGES A. A. No person shall discharge or cause to be introduced a quantity or quality of wastewater directly or indirectly to sewerage facilities owned by or tributary to the District's sewerage facilities which causes, or is capable of causing, either alone or by interaction with other substances: BookPage25 D. D. No user shall increase the contribution of flow, pollutants, or change the nature of pollutants where such contribution or change does not meet applicable standards and requirements or where such contribution would cause the District to violate any Federal, State, or local regulatory permit. 202. 202. PROHIBITION ON DILUTION No user shall increase the use of water or in any other manner attempt to dilute a discharge as a partial or complete substitute for treatment to achieve compliance with this Ordinance and the user's permit or to establish an artificially high flow rate for permit mass emission rates. 203. PROHIBITION ON SURFACE RUNOFF AND GROUNDWATER A. A. No person shall discharge groundwater, surface runoff, or subsurface drainage directly or indirectly to the District's sewerage facilities except as provided herein. Pursuant to Section 305, et seq., the District may approve the discharge of such water only when no alternate method of disposal is reasonably available or to mitigate an environmental risk or health hazard. B. B. The discharge of such waters shall require a Special Purpose Discharge Permit from the District. C. C. If a permit is granted for the discharge of such water into a public sewer, the user shall pay the applicable charges established herein and shall meet such other conditions as required by the District. 203. 204 . PROHIBITION ON UNPOLLUTED WATER A. A. No person shall discharge unpolluted water such as single pass cooling water directly or indirectly to the District's sewerage facilities except as provided herein. Pursuant to Section 305, et seq., the District may approve the discharge of such water only when no alternate method of disposal or reuse is reasonably available or to mitigate an environmental risk or health hazard. B. B. The discharge of such waters shall require a Special Purpose Discharge Permit from the District. ~ C. If a permit is granted for the discharge of such water into a public sewer, the user shall pay the applicable charges established herein and shall meet such other conditions as required by the District. 204. 205. PROHIBITION ON RADIOACTIVE WASTES No person shall discharge radioactive waste unless: Book Page 27 r r L ,. A. The person is authorized to use radioactive materials by the State Department of Health or other governmental agency empowered to regulate the use of radioactive materials; and B. The waste is discharged in strict conformity with current California Radiation Control Regulations (California Code of Regulations, Title 17) for safe disposal; and ---C.-,-. --The person is in compliance with all rules and regulations of all other applicable regulatory agencies; and ---D,.,_. --The person has obtained a Class I permit from the District. 205. ~~PROHIBITION ON THE USE OF GRINDERS Waste from industrial or commercial grinders shall not be discharged into a public sewer, except wastes generated in packing or preparing food or food products. Such grinders must shred the waste to a degree that all particles will be carried freely under normal flow conditions prevailing in the public sewer. 206. 207. PROHIBITION ON POINT OF DISCHARGE No person, except local sewering agencies involved in maintenance functions of sanitary sewer facilities, shall discharge any wastewater directly into a manhole or other opening in a sewer other than through an approved building sewer, unless approved by the District upon written application by the user and payment of the applicable fees and charges established herein. 207. 208. PROHIBITION ON WASTEHAULER DISCHARGES A. A. No Wastehauler shall discharge septic waste, cesspool wastes, wastes from a vacuum pumping truck or other liquid waste transport vehicle, without first obtaining both a valid Orange County Health Department Permit and a OCSD Wastehauler Permit as required by Section 306. Such wastewaters shall be discharged only at a location specified by the District. B. B. No Wastehauler discharging septic waste, or sanitary waste shall discharge constituents in excess of those specified in the respective permit based on the Limits For Wastehaulers Discharging Domestic Waste in Table I. C. The discharge of industrial wastewater by any Wastehauler is prohibited unless written permission of the General Manager has been obtained, the proper permits have been obtained, and the waste meets Federal and State limits applicable to the user from which the waste was BookPage28 r r r { t l l L 209. 210. A C. of 10,000 pounds per day. 5. -----H---'Containing excessive flow or other materials, including, but not limited to, ammonia, chemical oxygen demand, total organic carbon, priority pollutants, suspended solids, oil and grease of animal or vegetable origin, total dissolved solids, and phenolic compounds released in a discharge at a flow rate and/or concentration which will cause problems, pass through, or interference with the sewerage facilities. 6. 7. Producing a gaseous mixture that is 10% or greater of the lower explosive limit (LEL) or having a closed cup flashpoint of less than 140 degrees Fahrenheit or 60 degrees Centigrade using the test methods specified in 40 CFR 261.21. 7. 8. Containing material which will readily settle or cause an obstruction to flow in the sewer resulting in interference, such as, but not limited to, sand, mud, glass, metal filings, diatomaceous earth, cat litter, asphalt, dead animals, wood, bones, hair, and fleshings. 8. 9. In violation of any applicable Federal Categorical Pretreatment Standards, State standards or other local regulations covering wastewater disposal or operations. MASS EMISSION RATE DETERMINATION -----Mass emission rates for non-compatible or compatible pollutants that are present or anticipated in the user's wastewater discharge may be set for each user and made an applicable part of each user's permit. These rates shall be based on Table I, Local Discharge Limits, or Federal Categorical Pretreatment Standards, and the user's average daily wastewater discharge for the past three years, the most recent representative data, or other data acceptable to the General Manager. ---8 ...... --To verify the user's operating data, the District may require a user to submit an inventory of all wastewater streams and/or records indicating production rates. The District may revise limits or mass emission rates previously established in the discharger's permit at any time, based on: current or anticipated operating data of the discharger or the District; the District=:s ability to meet NPDES limits; or changes in the requirements of Regulatory Agencies. BookPage30 C. D. The excess use of water to establish an artificially high flow rate for mass emission rate determination is prohibited. 210. 211. PROHIBITION ON MEDICAL WASTE A. /\. No person shall discharge solid wastes from hospitals, clinics, offices of medical doctors, convalescent homes, medical laboratories or other medical facilities to the sewerage system including, but not limited to, hypodermic needles, syringes, instruments, utensils or other paper and plastic items of a disposable nature except where prior written approval for such discharges is given by the General Manager. B. B. The District shall have the authority to require that any discharge of an infectious waste to the sewer be rendered non-infectious prior to discharge if the infectious waste is deemed to pose a threat to the public health and safety, or will result in any violation of applicable waste discharge requirements. 211. 212. PROHIBITION ON DISPOSAL OF SPENT SOLUTIONS AND SLUDGES Spent solutions, sludges, and materials of quantity or quality in violation of, or prohibited by this Ordinance, or any permit issued under this Ordinance must be disposed of in a legal manner at a legally acceptable point of disposal as defined by the District or appropriate Regulatory Agency. All waste manifests shall be retained for a minimum of three years, and made available to the District upon request. II- II- II- Book Page 31 r { L L L L CONSTITUENT Arsenic Cadmium Chromium (Total) Copper Lead Mercury Nickel Silver Zinc Cyanide (Total) Cyanide (Amenable) Polychlorinated Biphenyls Pesticides Total Toxic Organics Sulfide (Total) Sulfide (Dissolved) Oil and grease of mineral or petroleum origin CONSTITUENT Cadmium Chromium Copper Lead Nickel Zinc TABLE I ORANGE COUNTY SANITATION DISTRICT LOCAL DISCHARGE LIMITS(a) MILLIGRAMS/LITER 2.0 1.0 2.0 3.0 2.0 0.03 10.0 5.0 5.0 1.0 0.01 0.01 0.58 5.0 0.5 10.0 100.0 LIMITS FOR WASTEHAULERS DISCHARGING DOMESTIC WASTE MILLIGRAMS/LITER 1.0 2.0 25.0 10.0 10.0 50.0 (a): Users subject to Federal Categorical Pretreatment Standards may be required to meet more stringent limits. ARTICLE 3 DISCHARGE PERMITS, CHARGES, AND FEES 301. INTRODUCTION & A. To provide the maximum public benefit from the use of District sewerage facilities, written authorization to use said facilities is required. This written authorization shall be in the form of a discharge permit. No vested right shall be given by issuance of permits provided for in this Ordinance. The District reserves the right to establish, by Ordinance or in Wastewater Discharge Permits, more stringent standards or requirements on BookPage32 discharges to the District~:s sewerage facilities if deemed by the General Manager appropriate to comply with the objectives presented in the Introduction and Summary of this Ordinance and the prohibitions and limitations in Article 2. B. B. The discharge permit shall be in one of six forms and is dependent upon the type of discharger, volume, and characteristics of discharge. The six discharge permits are: 1. 2. 3. 4. 5. 6. -----1+-.--Class I Wastewater Discharge Permit. _____ ..___,Class II Wastewater Discharge Permit. -----3.--RESERVED _____ 4..,.._ --Special Purpose Discharge Permit. -------Wastehauler Discharge Permit. 6. --Transportable Treatment Unit Discharge Permit. 302. CLASS I WASTEWATER DISCHARGE PERMITS A. No user requiring a Class I permit shall discharge wastewater without obtaining a Class I Wastewater Discharge Permit. ---B-.--Class I Wastewater Discharge Permits shall be expressly subject to all provisions of this Ordinance and all other regulations, charges for use, and fees established by the District. The conditions of Wastewater Discharge Permits shall be enforced by the District in accordance with this Ordinance and applicable State and Federal Regulations. --;C,,..,.--.AII Class I users proposing to discharge directly or indirectly into the District=:s sewerage facilities shall obtain a Wastewater Discharge Permit by filing an application pursuant to Section 302.1 and paying the applicable fees pursuant to Section 302.3. For purposes of this Ordinance, a Class I user is any user: +1-. -~Subject to Federal Categorical Pretreatment Standards; or 2. 2. Discharging wastewater which averages 25,000 gallons per day or more of regulated process water; or 3. 3. Discharging wastewater determined by the District to have a reasonable potential for adversely affecting the District-:s operation or BookPage33 ( l L L L L for violating any pretreatment standard, local limits, or discharge requirement; or 4. --------Discharging wastewater which may cause, as determined by the General Manager, pass through or interference with the District's system. 302.1 302.1 Class I Wastewater Discharge Permit Application A /\. Any person required to obtain a Class I Wastewater Discharge Permit shall complete and file with the District, prior to commencing discharge, an application on the form prescribed by the District. The applicant shall submit, in units and terms appropriate for evaluation, the following information: 1. ------+----Name, address, assessor's parcel number(s), S.I.C. number(s), description of the manufacturing process or service activity. 2. -----cc----(Whichever is applicable) name, address of any and all principals/owners/major shareholders of company; Articles of Incorporation; most recent Report of the Secretary of State; Business License. 3. ------a-,---Volume of wastewater to be discharged. -----Name of individual who can be served with notices other than officers of corporation. ---5-=-. ----1Name and address of property owner, landlord and/or manager of the property. L -----H-:---Water supplier and water account numbers. 7. Wastewater constituents and characteristics as required by the District, including, but not limited to, those mentioned in Section 210, Mass Emission Rate Determination, and Table I, Local Discharge Limits, of this Ordinance. These constituents and characteristics shall be determined by a laboratory selected by the discharger and acceptable to the District. --------Time and duration of discharge. ---9-. --1Number of employees and average hours of work per employee per day. 10. Waste minimization and water conservation practices. Book Page 34 8. C. D. 10. 11. Production records, if applicable. 11. 12. 13. 14. -------+1~2-. -Waste manifests, if applicable. ----+1 a-3-,--. -Landscaped area in square feet, if applicable. -------:---Tons of cooling tower capacity, if applicable. ---1 ..... 51-. -EPA Hazardous Waste Generator Number, if applicable. 15. 16. Any other information as specified. B. Applicants may be required to submit site plans, floor plans, mechanical and plumbing plans, and details to show all sewers, spill containment, clarifiers, pretreatment equipment, and appurtenances by size, location, and elevation for evaluation. G. Applicants may also be required to submit information related to the applicant's business operations, processes, and potential discharge as may be requested by the District to properly evaluate the permit application. After evaluation of the data, the District may issue a Wastewater Discharge Permit, subject to terms and conditions set forth in this Ordinance and as otherwise determined by the General Manager to be appropriate to protect the District's sewerage facilities. E. The permit application may be denied if the applicant fails to establish to the District's satisfaction that adequate pretreatment equipment is included within the applicant's plans to ensure that the discharge limits will be met or if the applicant has, in the past, demonstrated an inability to comply with applicable discharge limits. 302.2 302.2 Class I Permit Conditions1 and Limits A'"',,_· --A Class I permit shall contain all of the following conditions or limits: ------t1--c-. --Mass emission rates and concentration limits regulating non-compatible pollutants. -----~--Requirements to notify the District in writing prior to modification to processes or operations through which industrial wastewater may be produced. 3. Location of the user's on-site sampling point. BookPage35 L L B. 4. _____ ......,...._-n.equirements for submission of technical reports, production data, discharge reports, and/or waste manifests. 5. --------Requirements for maintaining, for a minimum of three years, plant records relating to wastewater discharge, and waste manifests as specified by District. B. -----e6c-. --"Requirements to submit copies of tax and water bills. A Class I permit may contain any of the following conditions or limits: ------+-,---Requirements for the user to construct and maintain, at his own expense, appropriate pretreatment equipment, pH control, flow monitoring facilities, and sampling facilities. ------2-. --Limits on rate and time of discharge or requirements for flow regulation and equalization. ------tl,,---Requirements to self-monitor. ------4-. --Assumed values for BOD and suspended solids characteristics that typify the discharger's effluent for determination of the charge for use. ------5-. --Other terms and conditions which may be appropriate to ensure compliance with this Ordinance. -----ec---,Other terms and conditions determined by the General Manager to be appropriate to protect the sewerage system. 302.3 302.3 Class I Permit Fee --------The Class I permit fee shall be in an amount adopted by Ordinance of the Board of Directors. The permit fee shall be payable at the time a permit application is submitted for the issuance of a new permit or a renewed permit. Payment of permit must be received by the District prior to issuance of either a new permit or a renewed permit. Permittee shall also pay any delinquent invoices in full prior to permit renewal. ---B.-. --Any permit issued for a location wherein the Permittee is not the property owner may be conditioned upon depositing financial security to guarantee payment of all annual fees and charges to be incurred, in accordance with the provisions of Section 621.(E) of this Ordinance. Book Page 36 r f [ L l L L C. recover the cost of conveying, treating, and disposing of sewage in District facilities are exclusive of any fees levied by local sewering agencies. The charge for use shall be based on the total maintenance, operation, capital expenditures, and reserve requirements for providing wastewater collection, treatment, and disposal. ---B.,...._ --A discharger who is issued a Class I Wastewater Discharge Permit under the provisions of this Ordinance shall pay a charge for use in accordance with the formula contained herein and the unit charge rates adopted annually by Ordinance of the Board of Directors. These fees shall be invoiced on a quarterly basis. The quarterly invoice shall be based upon an estimate of the annual use as determined by the District. Annually, the District shall compute the charge for use based upon actual use for the preceding 1212-month period on an annual reconciliation statement. The charge for use is payable within forty-five (45) days of invoicing by the District. A credit to the permittee v.<ill be al-lewed against this permit charge for use, equal to the annual ad \.ialorem tax basic levy allocated to the DistriGt for the property for •..vhich a permit has been issued by the District. A cf8S.it will alsowill be allowed for any sanitary sewer service charge adopted by the Board of Directors by separate Ordinance and levied against the permitted property. Current property tax bills shall be supplied by the permittee to the District by May 31 of each year for use in determining the ad valorem tax credit and/or theany sanitary sewer service credit. including the special assessment. If the tax bills are not supplied, the District will endeavor to obtain the data. Data obtained by the District will be considered correct and will not be adjusted before the next annual reconciliation statement. There shall be a fee levied for District administrative costs when aa valorem property tax orthe sanitary sewer service charge data afeis obtained by the District. The amount of the fee shall be adopted by the District's Board of Directors. D. In order for the District to determine actual annual water use, the user shall provide to the District copies of its water bills. If these water bill copies are not received by July 31 of each year for the 12-month period ended closest to June 30, the District will endeavor to obtain the water use data. Data obtained by the District will be considered correct and will not be adjusted before the next annual reconciliation statement. There shall be a fee levied for District administrative costs when water use data is obtained by the District. The amount of the fee shall be adopted by the District's Board of Directors. E. The charge for use shall be computed by the following formula: Charge for Use= V0V + B0B + S0 S Tax Credit- S ecial Assessment Book Page38 Where V = total annual volume of flow, in millions of gallons B = total annual discharge of biochemical oxygen demand, in thousands of pounds S = total annual discharge of suspended solids, in thousands of pounds Vo,B0 ,S0 = Unit Charge rates established and adopted by Ordinance of the District's Board of Directors, based upon the funding requirements of providing sewerage service, in dollars per unit as described in Paragraph F below: F. The Unit Charge rates in the charge-for-use formula shall be determined by the following method: ------An Operations and Maintenance component of the Unit Charge for the total annual operation and maintenance funding requirements of the sewerage system shall be levied at a rate to be determined from time to time by the Board of Directors. This Charge shall be allocated among the three wastewater charge parameters of flow, biochemical oxygen demand and suspended solids in accordance with the General Manager's determination as to the costs associated with each parameter and pursuant to applicable requirements of State and Federal Regulatory Agencies. The operation and maintenance costs as distributed to flow, biochemical oxygen demand and suspended solids shall be divided by the projected annual total flow volume and weights of biochemical oxygen demand and suspended solids to be treated by the sewerage system in the budgeted year. 1. --------A Capital Facilities Replacement Service component of the Unit Charge for capital replacement and capital improvement shall be levied at a rate to be determined from time to time by the Board of Directors. This charge shall be allocated among wastewater charge parameters of flow, biochemical oxygen demand, and suspended solids in accordance with the General Manager's determination of which portion of the charge predominantly relates to each parameter. The capital facilities charge distributed to biochemical oxygen demand, and suspended solids shall be divided by the projected annual weights of biochemical oxygen demand and suspended solids to be treated by the sewerage system in the budgeted year. 2. -------The Unit Charge rates for each respective wastewater component in (1) and (2) above shall be summed. The Book Page39 l L L L Unit Charge rates so determined will be expressed in dollars per million gallons for Vo, and in dollars per thousand pounds for B0 and So. F. G. Other measurements of the organic content of the wastewater of a discharger, such as COD or TOC, may be used instead of BOD. However, the discharger must establish to the General Manager's satisfaction a relationship between the BOD of the wastewater and the parameter of measure. This relationship shall be used by the District in determining the charge for use. When wastewater from sanitary facilities is discharged separately from the other wastewater of a discharger, the charge for use for discharging the sanitary wastewater may be determined by using the following: 1,_ +1-. --25 gallons per employee per eight-hour working day. -----~--BOD and suspended solids to be calculated at domestic wastewater strength per employee per year. The number of employees will be considered as the average number of people employed full-time on a daily basis. This may be determined by averaging the number of people employed at the beginning and end of each quarter, or other period that reflects normal employment fluctuations. 303. 303. CLASS II WASTEWATER DISCHARGE PERMITS A. No user requiring a Class II permit shall discharge wastewater without obtaining a Wastewater Discharge Permit. B. Class 11 Wastewater Discharge Permits shall be expressly subject to all provisions of this Ordinance and all other regulations, charges for use and fees established by the District. The conditions of Wastewater Discharge Permits shall be enforced by the District in accordance with this Ordinance and applicable State and Federal Regulations. C. All Class II users proposing to discharge directly or indirectly into the District sewerage facilities shall obtain a Wastewater discharge Permit by filing an application pursuant to Section 303.1 and paying the applicable fees pursuant to Section 303.3. For purposes of this Ordinance, a Class II user is any user: 1. 1. Whose charge for use is greater than the ad valorem tax basic levy allocated to the Districtg>ecial assessment; and ..,...2-. --<Discharging waste other than sanitary; and Book Page40 operation, capital expenditures, and reserve requirements for providing wastewater collection, treatment, and disposal. ---B~. --A discharger who is issued a Class II Wastewater Discharge Permit under the provisions of this Ordinance shall pay a charge for use in accordance with the formula contained herein and the Unit Charge rates adopted annually by Ordinance of the Board of Directors. These fees shall be invoiced on a quarterly basis. The quarterly invoice shall be based upon an estimate of the annual use as determined by the District. Annually, the District shall compute the charge for use based upon actual use for the preceding ~12-month period on an annual reconciliation statement. The charge for use is payable within forty-five (45) days of invoicing by the District. A credit to the permittee 'Nill be allowed against this permit charge for use, equal to the annual ad valorem tax basic levy allocated to the District for the property for which a permit has been issued by the -District. A credit will alsowill be allowed for any sanitary sewer service charge adopted by the Board of Directors by separate Ordinance and levied against the permitted property. C. Current property tax bills shall be supplied by the permittee to the District by May 31 of each year for use in determining the ad valore~ credit and/or theany sanitary sewer service credit. including the special assessment. If the tax bills are not supplied, the District will endeavor to obtain the data. Data obtained by the District will be considered correct and will not be adjusted before the next annual reconciliation statement. There shall be a fee levied for District administrative costs when ad va lorern p-reperty tax or sanitary sewer service charge data is obtained by the District. The amount of the fee shall be adopted by the District's Board of Directors. D. In order for the District to determine actual annual water use, the user shall provide to the District copies of its water bills. If these water bill copies are not received by July 31 of each year for the 12-month period ended closest to June 30, the District will endeavor to obtain the water use data. Data obtained by the District will be considered correct and will not be adjusted before the next annual reconciliation statement. There shall be a fee levied for District administrative costs when water use data is obtained by the District. The amount of the fee shall be adopted by the District's Board of Directors. E. The charge for use shall be computed by the following formula: Charge for Use= V0V + B0 B + S0 S Tax Credit Special Assessment Where V = total annual volume of flow, in millions of gallons B = total annual discharge of biochemical oxygen demand, in thousands of pounds Book Page45 ( l ( [ L L L S = total annual discharge of suspended solids, in thousands of pounds Vo,Bo,So = Unit Charge rates adopted annually by Ordinance of the District's Board of Directors, based upon the funding requirements of providing sewerage service, in dollars per unit as described in Paragraph F below. ---f'F'-:-. --The unit charge rates in the charge for use formula shall be established annually and shall be determined by the following method: G. 1. -----+--An Operations and Maintenance component of the Unit Charge for the total annual operation and maintenance funding requirements of the sewerage system shall be levied at a rate to be determined from time to time by the Board of Directors. This charge shall be allocated among the three wastewater charge parameters of flow, biochemical oxygen demand and suspended solids in accordance with the General Manager's determination as to the costs associated with each parameter and pursuant to applicable requirements of State and Federal Regulatory Agencies. The operation and maintenance costs as distributed to flow, biochemical oxygen demand and suspended solids shall be divided by the projected annual total flow volume and weights of biochemical oxygen demand and suspended solids to be treated by the sewerage system in the budgeted year. _____ ..,,__ __ A Capital Facilities Replacement component of the Unit Charge for capital replacement and capital improvement shall be levied at a rate to be determined from time to time by the Board of Directors. This charge shall be allocated among the three wastewater charge parameters of flow, biochemical oxygen demand and suspended solids in accordance with the General Manager's determination of which portion of the charge predominantly relates to each parameter. The capital facilities charge distributed to biochemical oxygen demand and suspended solids shall be divided by the projected annual weights of biochemical oxygen demand and suspended solids to be treated by the sewerage system in the budgeted year. ------=-----The unit charge rates for each respective wastewater component in (1) and (2) above shall be summed. The Unit Charge rates so determined will be expressed in dollars per million gallons for V 0, and in dollars per thousand pounds for Bo and So. Other measurements of the organic content of the wastewater of a discharger, such as COD or TOC, may be used instead of BOD. Book Page46 However, the discharger must establish to the General Manager's satisfaction a relationship between the BOD of the wastewater and the other parameter of measure. This relationship shall be used by the District in determining the charge for use. When wastewater from sanitary facilities is discharged separately from the other wastewater of a discharger, the charge for use for discharging the sanitary wastewater may be determined by using the following: 1. 25 gallons per employee per eight-hour working day. 2. 2. BOD and suspended solids to be calculated at domestic wastewater strength per employee per year. The number of employees will be considered as the average number of people employed full-time on a daily basis. This may be determined by averaging the number of people employed at the beginning and end of each quarter, or other period that reflects normal employment fluctuations. 304. 304. RESERVED 305. 305. SPECIAL PURPOSE DISCHARGE PERMITS A. No user requiring a Special Purpose Discharge Permit shall discharge wastewater without obtaining a Special Purpose Discharge Permit. B. Special Purpose Discharge Permits shall be expressly subject to all provisions of this Ordinance and all other regulations, charges for use, and fees established by the District. The conditions of Wastewater Discharge Permits shall be enforced by the District in accordance with this Ordinance and applicable State and Federal Regulations. C. All Special Purpose Discharge Permit users proposing to discharge directly or indirectly into the District=~s sewerage facilities shall obtain a Wastewater Discharge Permit by filing an application pursuant to Section 305.1 and paying the applicable fees pursuant to Sections 305.3 and 305.6. This discharge permit may be granted when no alternative method of disposal is reasonably available, or to mitigate an environmental risk or health hazard. 305.1 305.1 Special Purpose Discharge Permit Application A. A. Applicants seeking a special purpose wastewater permit shall complete and file with the District, prior to commencing discharge, an application in the form prescribed by the District. This application shall be accompanied by the applicable fees, plumbing plans, a detailed analysis of Book Page47 [ the alternatives for water disposal, or other data as needed by the District for review. B. B. The permit application may be denied when the applicant has failed to establish to the District=~s satisfaction that adequate pretreatment equipment is included within the applicants' plans to ensure that the discharge limits will be met or that the applicant has, in the past, demonstrated an inability to comply with applicable discharge limits. 305.2 305.2 Special Purpose Discharge Permit Conditions and Limits A. A. Discharge conditions and limits shall be no less stringent than Section 205, Limits on Radioactive Wastes; Section 209, Limits on Wastewater Strength and Characteristics; Section 210, Mass Emission Rate Determination, and Table I, Local Discharge Limits. B. B. Monitoring requirements for the discharge shall be for those non-compatible pollutants known to exist in the discharge. At least one analysis prior to sewer discharge shall be performed for all constituents contained in the most current Environmental Protection Agency (EPA) "Priority Pollutant" list, excluding asbestos. C. The District may specify and make part of each Special Purpose Discharge Permit specific pretreatment requirements or other terms and conditions determined by the General Manager to be appropriate to protect the District's Sewerage Facility, the Local Sewering Agency, to comply with Regulatory Agencies' requirements, to ensure compliance with this Ordinance, and to assess user charges. 305.3 305.3 Special Purpose Discharge Permit Fee The special purpose discharge permit fee shall be paid by the applicant in an amount adopted by Ordinance of the Board of Directors. Payment of permit fees must be received by the District prior to issuance of either a new permit or a renewed permit. Each permittee shall also pay delinquent invoices in full prior to permit renewal. 305.4 305.4 Special Purpose Discharge Permit Modification of Terms and Conditions A. The terms and conditions of an issued permit may be subject to modification and change in the sole determination by the District during the life of the permit based on: -+1-,---. --The discharger's current or anticipated operating data; Book Page48 2. 2. The District's current or anticipated operating data; rt3.--Changes in the requirements of Regulatory Agencies which affect the District; or 4. A determination by the General Manager that such modification is appropriate to further the objectives of this Ordinance. B. A permittee may request a modification to the terms and conditions of an issued permit. The request shall be in writing stating the requested change, and the reasons for the change. The District shall review the request, make a determination on the request, and respond in writing. C. A permittee shall be informed of any changes in the permit at least forty-five (45) days prior to the effective date of change. Any changes or new conditions in the permit shall include a reasonable time schedule for compliance. 305.5 305.5 Special Purpose Discharge Permit Duration and Renewal Special purpose discharge permits shall be issued for a period not to exceed one (1) year, but may be renewed as determined by the General Manager. Users seeking permit renewal shall comply with all provisions of this Article 3. 305.6 305.6 Special Purpose Discharge Permit Charge for Use -- A charge for use to cover all costs of the District for providing sewerage service and monitoring shall be established by the General Manager. A deposit determined by the General Manager to be sufficient to pay the estimated charges for use shall accompany the Special Purpose Discharge Permit application, and said deposit shall be applied to the charges for use. 306. 306. WASTEHAULER DISCHARGE PERMIT A. Wastehauler Discharge Permits shall be expressly subject to all provisions of this Ordinance and all other regulations, charges for use, and fees established by the District. The conditions of Wastehauler discharge permits shall be enforced by the District in accordance with this Ordinance and applicable State and Federal Regulations. 8. A Wastehauler proposing to discharge waste into the District disposal station shall obtain both a valid Orange County Health Department Permit (where applicable), and a OCSD Wastehauler Permit. 306.1 306 .1 Wastehauler Discharge Permit Application Book Page49 r ! ,- I r- ' f f ' f ( L L L L L A. A. No Wastehauler shall discharge wastewater without a Wastehauler Discharge Permit. B. C. Any person required to obtain a Wastehauler Discharge Permit shall complete and file with the District prior to commencing discharge, an application in a form prescribed by the District. This application shall be accompanied by the applicable fees. The applicant shall submit, in units and terms appropriate for evaluation, the following information: 1. 1. Name, address, telephone number, and description of the industries, or clients using the applicant's services. 2. 2. (Whichever is applicable) Name, address of any and all principals/owners/major shareholders of the company; Articles of Incorporation; most recent Report of the Secretary of State; Business License. 3. 3. Name and address of leaseholder of the vehicle or trailer, if applicable. 4. 4. Number of trucks and trailers and the license numbers and tank hauling capacity of each. 5. 5. A copy of the applicant's Orange County Health Department Permit. C. Other information related to the applicant's business operations and potential discharge may be requested to properly evaluate the permit application. D. After evaluation of the data furnished, the District may issue a Wastehauler discharge permit, subject to terms and conditions set forth in this Ordinance and as otherwise determined by the General Manager to be appropriate to protect the District's system. 306.2 ~Wastehauler Discharge Permit Conditions and Limits The issuance of a Wastehauler permit may contain any of the following conditions or limits: ---~-Limits on discharge of heavy metals and other priority pollutants. ---B-. --Requirements for maintaining and submitting waste hauling records and waste manifests. Book Page 50 [ [ l l L Any changes or new conditions in the permit shall include a reasonable time schedule for compliance. ~Wastehauler Discharge Permit Duration and Renewal Wastehauler discharge permits shall be issued for a period not to exceed one (1) year. Upon expiration of the permit, the user shall apply for renewal of the permit in accordance with the provisions of Article 3. 306.6 ~e-:-7---Wastehauler Discharge Permit Charge for Use A charge for use to cover all costs of the District for providing the disposal station service and monitoring shall be established by Ordinance of the Board of Directors. 307. 307. TRANSPORTABLE TREATMENT UNIT (TTU) DISCHARGE PERMIT Any person intending to operate a TTU shall obtain a TTU Discharge Permit prior to discharge into the District=:s sewerage system. TTU discharge permits shall be expressly subject to all provisions of this Ordinance and all other regulations, and fees established by the District. The conditions of TTU discharge permits shall be enforced by the District in accordance with this Ordinance and applicable State and Federal Regulations. 307.1 307.1 TTU Discharge Permit Application A. Any person required to obtain a TTU Wastewater Discharge Permit shall complete and file with the District prior to commencing discharge, an application in a form prescribed by the District. This application shall be accompanied by the applicable fees. The applicant shall submit, in units and terms appropriate for evaluation, the following information: 1,_ 1. Name, address, description of the service activity, copy of the permit to operate issued by the State of California, Department of Health Services. 2. (Whichever is applicable) name, address of any and all principals/owners/major shareholders of company; Articles of Incorporation; most recent Report of the Secretary of State; Business License. 3. Volume of wastewater that can be processed by the applicant. 4. 4. Name of individual, other than officers of corporation, who can be served with notices. a5.,..... --Department of Motor Vehicles license plate number(s). Book Page 52 L L H. H. Other terms and conditions which may be applicable to ensure compliance with this Ordinance. +---1.-~Other terms and conditions determined by the General Manager to be appropriate to protect the District's system. 307.3 307.3 TTU Discharge Permit Fee A A The TTU permit fee shall be in an amount adopted by Ordinance of the Board of Directors. The permit fee shall be payable within forty-five (45) days of invoicing by the District. Payment of permit fees must be received by the District prior to issuance of either a new permit or a renewed permit. Permittee shall also pay any delinquent invoices in full prior to permit renewal. B. B. Any permit issued may be conditioned upon depositing financial security to guarantee payment of all annual fees and charges to be incurred, in accordance with the provisions of Section 621.(E)*** of this Ordinance. 307.4 307.4 TTU Discharge Permit Modifications of Terms and Conditions A The terms and conditions of an issued permit may be subject to modification and change in the sole determination by the General Manager during the life of the permit based on: 1. 2. 3. 4. The discharger's current or anticipated operating data; The District's current or anticipated operating data; Changes in the requirements of Regulatory Agencies which affect the District; or A determination by the General Manager that such modification is appropriate to further the objectives of this Ordinance. B. The permittee shall request a modification to the terms and conditions of an issued permit prior to increasing the contribution of flow, pollutants, or changing the nature of pollutants where such contribution or change will cause the permittee to be in violation of their permit or this Ordinance. The request shall be in writing stating the requested change, and the reasons for the change. The District shall review the request, make a determination on the request, and respond in writing. The District's approval may be granted or denied. Book Page 54 C. Permittee shall be informed of any change in the permit limits, conditions, or requirements at least forty-five ( 45) days prior to the effective date of change. Any changes or new conditions in the permit shall include a reasonable time schedule for compliance. 307.5 TIU Discharge Permit Duration and Renewal TTU permits shall be issued for a period not to exceed one (1) year. 308. 308. RESERVED 309. 309. RESERVED 310. 310. OUT OF DISTRICT PERMITS/DISCHARGERS A. A. Industrial Wastewater Discharge Permits for dischargers located outside of the District's service area but tributary to the District's sewerage facilities, may be issued by a local sewering agency after approval by the District. The District shall have the right of inspection and sampling of the user's discharge to determine compliance with industrial waste discharge regulations. Such inspection and sampling will be performed under a coordinated plan developed with the local agency. The more stringent of the industrial waste discharge regulations and effluent limits of the District and the local agency shall apply to the discharger. B. B. Pursuant to Article 6 herein, the District shall have the right to enforce the Federal Pretreatment Regulations, the provisions of this Ordinance, and permit conditions and limits applicable to any person located outside of the District's service area, but whose discharge is tributary to the District's sewerage facilities. C. C. The fees for use shall be determined by the District and set forth in a use agreement with the local sewering agency. ARTICLE4 FACILITIES REQUIREMENTS 401. 40-'.h-DRAWING SUBMITTAL REQUIREMENTS Upon request by the District: A. Applicants or users may be required to submit three copies of detailed facility plans. The submittal shall be in a form and content acceptable to the District for review of existing or proposed pretreatment facilities, spill containment facilities, monitoring facilities, metering facilities, and operating procedures. Book Page 55 l [ L L The review of the plans and procedures shall in no way relieve the user of the responsibility of modifying the facilities or procedures in the future, as necessary to produce an acceptable discharge, and to meet the requirements of this Ordinance or any requirements of other Regulatory Agencies. B. The drawing shall depict as a minimum the manufacturing process (waste generating sources), spill containment, monitoring or metering facilities, and pretreatment facilities. C. The applicant or user shall submit a schematic drawing of the pretreatment facilities, piping and instrumentation diagram, and wastewater characterization report. D. Users and applicants may also be required to submit for review site plans, floor plans, mechanical and plumbing plans, and details to show all sewers, spill containment, clarifiers, and appurtenances by size, location, and elevation for evaluation. E. The District may require the drawings be prepared by a California Registered Chemical, Mechanical, or Civil Engineer. 402. 40&-PRETREATMENT FACILITIES A. All users shall provide wastewater acceptable to the District, under the limits established herein before discharging to any public sewer. Any facilities required to pretreat or transport wastewater shall be provided and maintained by a qualified operator and in proper operating condition at the user's expense. B. All users may also be required by the District to submit waste analysis plans, contingency plans, and meet other necessary requirements to ensure proper operation of the pretreatment facilities and compliance with permit limits and this Ordinance. C. No user shall increase the use of water or in any other manner attempt to dilute a discharge as a partial or complete substitute for treatment to achieve compliance with this Ordinance and the user's Permit. 403. 403. SPILL CONTAINMENT FACILITIES/ACCIDENTAL SLUG CONTROL PLANS A. All users shall provide spill containment for protection against discharge of prohibited materials or other wastes regulated by this Ordinance. Such protection shall be designed to secure the discharges and to prevent them from entering into the system in accordance with reasonable engineering Book Page 56 standards. Such facilities shall be provided and maintained at the user's expense. B. The General Manager may require any industrial user to develop and implement an accidental discharge/slug control plan. At least once every two years the District shall evaluate whether each significant industrial user needs such a plan. Any user required to develop and implement an accidental discharge/control slug plan shall submit a plan which addresses, at a minimum, the following: 1. Description of discharge practices, including non-routine batch discharges. ~-2.. Description of stored chemicals. 3. Procedures for immediately notifying the POTW of any accidental of slug discharge. Such notification must also be given for any discharge which would violate any of the prohibited discharges in Article 2 of this Ordinance. 4. Procedures to prevent adverse impact from any accidental or slug discharge. Such procedures include, but are not limited to, inspection and maintenance of storage areas, handling and transfer of materials, loading and unloading operations, control of plant site run-off, worker training, building of containment structures or equipment, measures for containing toxic organic pollutants (including solvents), and measures and equipment for emergency response. 404. 404. MONITORING/METERING FACILITIES A. The District may require the user to construct and maintain in proper operating condition at the user's sole expense, flow monitoring, constituent monitoring and/or sampling facilities. B. The monitoring or metering facilities may be required to include a security closure that can be locked with a District provided hasp lock during sampling or upon termination of service. C. The location of the monitoring or metering facilities shall be subject to approval by the District. D. The user shall provide immediate, clear, safe and uninterrupted access to the District to the user's monitoring and metering facilities. Book Page 57 f l l l L . L 405. 405. WASTE MINIMIZATION REQUIREMENTS The user shall provide waste minimization plans to conserve water, investigate product substitution, provide inventory control, implement employee education, and other steps as necessary to minimize waste produced. ARTICLE 5 MONITORING, REPORTING, NOTIFICATION, AND INSPECTION REQUIREMENTS 501. MONITORING AND REPORTING CONDITIONS A. B. Monitoring for Annual Charge for Use The wastewater constituents and characteristics of a discharger needed for determining the annual charge for use shall be submitted in the form of self-monitoring reports by the user to the District, if requested. The frequency of analyses and reporting shall be set forth in the user's permit. The analyses of these constituents and characteristics shall be by a laboratory acceptable to the District, and at the sole expense of the permittee. Analyses performed by District's personnel may used in the determination of the annual charge for use. Monitoring for Compliance with Permit Conditions or Reporting Requirements The District may require reports for self-monitoring of wastewater constituents and characteristics of the discharger needed for determining compliance with any limit or requirements as specified in the user's permit, Federal or State Regulations, or this Ordinance. These reports include: f41,_ Baseline Monitoring Reports. t2-t2. Compliance Schedule Progress Reports. ~3. 90-Day Compliance Reports. (4)4. Periodic Reports on continued compliance. ~5. Notification of the Discharge of Hazardous Waste . ~6. Other reports as required by the District. Monitoring reports of the analyses of wastewater constituents and characteristics shall be in a manner and form approved by the District and shall be submitted upon request of the District. When applicable, the Book Page 58 self-monitoring requirement and frequency of reporting may be set forth in the user's permit as directed by the District. The analyses of wastewater constituents and characteristics and the preparation of the monitoring report shall be done at the sole expense of the user. Failure by the user to perform any required monitoring, or to submit monitoring reports required by the District constitutes a violation of this Ordinance, may result in determining whether the permittee is in significant non- compliance, and be cause for the District to initiate all necessary tasks and analyses to determine the wastewater constituents and characteristics for compliance with any limits and requirements specified in the user's permit or in this Ordinance. The user shall be responsible for any and all expenses of the District in undertaking such monitoring analyses and preparation of reports. 501.1 501.1 Inspection and Sampling Conditions 501.2 l\. The District may inspect and sample the wastewater generating and disposal facilities of any user to ascertain whether the intent of this Ordinance is being met and the user is complying with all requirements. B. The District shall have the right to place on the user's property or other locations as determined by the District, such devices as are necessary to conduct sampling or metering operations. Where a user has security measures in force, the user shall make necessary arrangements so that personnel from the District shall be permitted to enter without delay for the purpose of performing their specific responsibilities. C. In order for the District to determine the wastewater characteristics of the discharger for purposes of determining the annual use charge and for compliance with permit requirements, the user shall make available for inspection and copying by the District all notices, self-monitoring reports, waste manifests, and records including, but not limited to, those related to production, wastewater generation, wastewater disposal, and those required in the Federal Pretreatment Requirements without restriction but subject to the confidentiality provision set forth in Section 103 herein. All such records shall be kept by the user a minimum of three (3) years. Right of Entry Persons or occupants of premises where wastewater is created or discharged shall allow the District, or its representatives, reasonable access to all parts of the wastewater generating and disposal facilities for the purposes of inspection and sampling during all times the discharger's facility is open, operating, or any other reasonable time. No person shall interfere with, delay, resist or refuse entrance to Book Page 59 B. If a permittee knows in advance of the need for a bypass, it shall submit a written request to allow the bypass to the District, if possible, at least ten (10) days before the date of the bypass. C. The District may approve an anticipated bypass at its sole discretion after considering its adverse effects, and the District determines that the conditions listed in 501.4(A)( 1-3) are met. D. A permittee shall provide telephone notification to the District of an unanticipated bypass that exceeds its permitted discharge limits within four hours from the time the permittee becomes aware of the bypass. A written report shall also be provided within five (5) days of the time the permittee becomes aware or could reasonably have been aware of the bypass. The report shall contain a description of the bypass and its cause; the duration of the bypass, including exact dates and times, and, if the bypass has not been corrected, the anticipated time it is expected to continue; and steps taken or planned to reduce, eliminate, and prevent recurrence of the bypass. Failure to submit oral notice or written report may be grounds for permit revocation. ARTICLE 6 ENFORCEMENT 600. PURPOSE AND SCOPE ---A.-c--. --The Board finds that in order for the District to comply with the laws, regulations, and rules imposed upon it by Regulatory Agencies and to ensure that the District's sewerage facilities and treatment processes are protected and are able to operate with the highest degree of efficiency, and to protect the public health and environment, specific enforcement provisions must be adopted to govern the discharges to the District's system by industrial discharge permittees. B. To ensure that all interested parties are afforded due process of law and that non-compliance and violations are resolved as soon as possible, the general policy of the District is that: 1. 1. Any determination relating to a Probation Order, Enforcement Compliance Schedule Agreement (ECSA), or Regulatory Compliance Schedule Agreement (RCSA) will be made by the Division Head of the Source Control Division, with a right of appeal by the permittee to the General Manager pursuant to the procedures set forth in Section 617. c2c-. --A user, permittee, or applicant for a permit may request the Steering Committee to hear an appeal of the General Manager's Book Page 61 A Mee-. --Self-Monitoring Requirements as a Result of Non-Compliance 1 . 1 . If analysis of any sample obtained by the District or by a permittee shows non-compliance with the applicable wastewater discharge limits set forth in the Ordinance or in the permittee's discharge permit, the District may impose self-monitoring requirements on the permittee. 2. 2. A permittee shall perform required self-monitoring of constituents in a frequency, at the specific location, and in a manner directed by the District. 3. 3. All analyses of self-monitoring samples shall be performed by an independent laboratory acceptable to the District and submitted to the District in a form and frequency determined by the District. 4. All self-monitoring costs shall be borne by the permittee. 5. 5. Nothing in this section shall be deemed to limit the authority of the District to impose self-monitoring as a permit condition. B. Purpose of Non-Compliance Sampling Fees The purpose of the non-compliance sampling fee is to compensate the District for costs of additional sampling, monitoring, laboratory analysis, treatment, disposal, and administrative processing incurred as a result of the non-compliance, and shall be in addition to and not in lieu of any penalties as may be assessed pursuant to Sections 615 and 616. C. Non-Compliance Sampling Fees for Composite Samples 1. Each violation of a permittee's permit limit or condition is a violation of this Ordinance. 2. a) b) If analysis of any composite sample of a permittee's discharge obtained by the District shows a major violation by the permittee of the mass emission rates or concentration limits specified in the permittee's discharge permit or in this Ordinance, then the permittee shall pay non-compliance sampling fees to the District pursuant to fee schedules adopted by the District's Board of Directors. If analysis of any composite sample of a permittee's discharge obtained by the District shows a minor violation by the permittee of the mass emission rates or concentration limits specified in the permittee's discharge permit or in this Book Page 63 r r L l l. l! L C l L L Ordinance, then the District may impose non-compliance sampling fees pursuant to fee schedules adopted by the District's Board of Directors. 3. The fees specified in subsection 602.C.~2 (a), C.2.(b) and D herein shall be imposed for each date on which the District conducts sampling as a result of a violation by a permittee. D. Non-Compliance Sampling Fees for Grab Samples and Self- Monitoring Results 1. 2. If analysis of any grab sample analysis of a permittee's discharge shows non-compliance with any concentration limits as set forth in the user's permit or in this Ordinance, the District may impose non- compliance sampling fees, pursuant to fee schedules adopted by the District's Board of Directors, for sampling conducted by the District as a result of a violation by the permittee. If any self-monitoring analysis of a permittee's discharge shows non- compliance with any concentration limits or mass emission rates as set forth in the user's permit or in this Ordinance, the District may impose non-compliance sampling fees, pursuant to fee schedules adopted by the District's Board of Directors, for sampling conducted by the District as a result of a violation by the permittee. 602. 1 Probation Order A. Grounds In the event the Division Head determines that a permittee has violated any provision of this Ordinance, or the terms, conditions and limits of its discharge permit, or has not made payment of all amounts owed to the District for user charges, non-compliance fees or any other fees, the General Manager may issue a Probation Order, whereby the permittee must comply with all directives, conditions and requirements therein within the time prescribed. B. Provisions The issuance of a Probation Order may contain terms and conditions including, but not limited to, installation of pretreatment equipment and facilities, requirements for self-monitoring, submittal of drawings or technical reports, operator certification, audit of waste minimization practices, payment of fees, limits on rate and time of discharge, or other provisions to ensure compliance with this Ordinance. C. Probation Order -Expiration Book Page 64 A Probation Order issued by the General Manager shall be in effect for a period not to exceed ninety (90) days. 602.2 Enforcement Compliance Schedule Agreement (ECSA) A. Grounds Upon determination that a permittee is in non-compliance with the terms, conditions or limits specified in its permit or any provision of this Ordinance, and needs to construct and/or acquire and install equipment related to pretreatment, the General Manager may require the permittee to enter into an ECSA which will, upon the effective date of the ECSA, amend the permittee's permit. The ECSA shall contain terms and conditions by which a permittee must operate during its term and shall provide specific dates for achieving compliance with each term and condition for construction and/or acquisition and installation of required equipment related to pretreatment. B. Provisions The issuance of an ECSA may contain terms and conditions including but not limited to requirements for self-monitoring, installation of pretreatment equipment and facilities, submittal of drawings or reports, operator certification, audit of waste minimization practices, payment of fees, limits on rate and time of discharge, deposit of performance guarantee, or other provisions to ensure compliance with this Ordinance. C. ECSA -Payment of Amounts Owed The District shall not enter into an ECSA until such time as all amounts owed to the District, including user fees, non-compliance sampling fees, deposits, or other amounts due are paid in full, or an agreement for deferred payment secured by collateral or a third party, is approved by the General Manager. Failure to pay all amounts owed to the District shall be grounds for permit suspension or permit revocation as set forth in Section 604 and 605. D. ECSA-Permit Suspension/Revocation If compliance is not achieved in accordance with the terms and conditions of an ECSA during its term, the General Manager may issue an order suspending or revoking the discharge permit pursuant to Section 604 or 605 of this Ordinance. 603. REGULA TORY COMPLIANCE SCHEDULE AGREEMENT (RCSA) A. Grounds Book Page 65 6. Violates a Probation Order. 7. Refuses reasonable access to the permittee's premises for the purpose of inspection and monitoring. 8. Does not make timely payment of all amounts owed to the District for user charges, non-compliance sampling fees, permit fees, or any other fees imposed pursuant to this Ordinance. 9. Violates any condition or limit of its discharge permit or any provision of the District's Ordinance. B. Notice/Hearing When the General Manager has reason to believe that grounds exist for permit suspension, he shall give written notice thereof by certified mail to the permittee setting forth a statement of the facts and grounds deemed to exist, together with the time and place where the charges shall be heard by the General Manager's designee. The hearing date shall be not less than fifteen (15) calendar days nor more than forty-five (45) calendar days after the mailing of such notice. 1. At the suspension hearing, the permittee shall have an opportunity to respond to the allegations set forth in the notice by presenting written or oral evidence. The hearing shall be conducted in accordance with procedures established by the General Manager and approved by the District's General Counsel. 2. After the conclusion of the hearing, the General Manager's designee shall submit a written report to the General Manager setting forth a brief statement of facts found to be true, a determination of the issues presented, conclusions, and a recommendation. Upon receipt of the written report, the General Manager shall make his determination and should he find that grounds exist for suspension of the permit, he shall issue his decision and order in writing within thirty (30) calendar days after the conclusion of the hearing by his designee. The written decision and order of the General Manager shall be sent by certified mail to the permittee or its legal counsel/representative at the permittee's business address. C. Effect 1. Upon an order of suspension by the General Manager becoming final, the permittee shall immediately cease and desist its discharge and shall have no right to discharge any industrial wastewater, directly or Book Page 67 I l I \ { l ' indirectly to the District's system for the duration of the suspension. All costs for physically terminating and reinstating service shall be paid by the permittee. 2. Any owner or responsible management employee of the permittee shall be bound by the order of suspension. 3. An order of permit suspension issued by the General Manager shall be final in all respects on the sixteenth (16th) day after it is mailed to the permittee unless a request for hearing is filed with the Steering Committee pursuant to Section 618 no later than 5:00 p.m. on the fifteenth (15th) day following such mailing. 605. PERMIT REVOCATION A. Grounds The General Manager may revoke any permit when it is determined that a permittee: 1. Knowingly provides a false statement, representation, record, report, or other document to the District. 2. Refuses to provide records, reports, plans, or other documents required by the District to determine permit terms, conditions, or limits, discharge compliance, or compliance with this Ordinance. 3. Falsifies, tampers with, or knowingly renders inaccurate any monitoring device or sample collection method. 4. Fails to report significant changes in operations or wastewater constituents and characteristics. 5. Fails to comply with the terms and conditions of an ECSA, permit suspension, or probation order. 6. 7. Discharges effluent to the District's sewerage system while its permit is suspended. Refuses reasonable access to the permittee's premises for the purpose of inspection and monitoring. 8. Does not make timely payment of all amounts owed to the District for user charges, non-compliance sampling fees, permit fees, or any other fees imposed pursuant to this Ordinance. Book Page 68 9. Causes interference with the District-:s collection, treatment, or disposal system. 10. Fails to submit oral notice or written report of bypass occurrence. 11. Violates any condition or limit of its discharge permit or any provision of the District's Ordinance. 8. Notice/Hearing When the General Manager has reason to believe that grounds exist for the revocation of a permit, he shall give written notice by certified mail thereof to the permittee setting forth a statement of the facts and grounds deemed to exist together with the time and place where the charges shall be heard by the General Manager's designee. The hearing date shall be not less than fifteen (15) calendar days ReFor more than forty-five (45) calendar days after the mailing of such notice. 1. At the hearing, the permittee shall have an opportunity to respond to the allegations set forth in the notice by presenting written or oral evidence. The revocation hearing shall be conducted in accordance with the procedures established by the General Manager and approved by the District's General Counsel. 2. After the cohclusion of the hearing, the General Manager's designee shall submit a written report to the General Manager setting forth a brief statement of facts found to be true, a determination of the issues presented, conclusions, and a recommendation. C. Effect Upon receipt of the written report, the General Manager shall make his determination and should he find that grounds exist for permanent revocation of the permit, he shall issue his decision and order in writing within thirty (30) calendar days after the conclusion of the hearing by his designee. The written decision and order of the General Manager shall be sent by certified mail to the permittee or its legal counsel/representative at the permittee's business address. In the event the General Manager determines to not revoke the permit, he may order other enforcement actions, including, but not limited to, a temporary suspension of the permit, under terms and conditions that he deems appropriate. 1. Upon an order of revocation by the General Manager becoming final, the permittee shall permanently lose all rights to discharge any Book Page 69 r 1 I l { industrial wastewater directly or indirectly to the District's system. All costs for physical termination shall be paid by the permittee. 2. Any owner or responsible management employee of the permittee shall be bound by the order of revocation. 3. Any future application for a permit at any location within the District by any person subject to an order of revocation will be considered by the District after fully reviewing the records of the revoked permit, which records may be the basis for denial of a new permit. 4. An order of permit revocation issued by the General Manager shall be final in all respects on the sixteenth (16th) day after it is mailed to the permittee unless a request for hearing is filed with the Steering Committee pursuant to Section 618 no later than 5:00 p.m. on the fifteenth (15th) day following such mailing. 606. WASTEHAULER NON-COMPLIANCE WITH PERMIT CONDITIONS A Wastehauler's non-compliance with permit requirements shall be determined by an analysis of a sample of the discharge for any constituent or conditions specified in the Wastehauler's discharge permit or this Ordinance. If the discharge of a Wastehauler is found by the analysis to be in excess of the concentration limits specified in the Wastehauler's discharge permit or in this Ordinance, the Wastehauler shall, after receiving a demand from the District, identify in writing, all sources of the discharge. Even if it is established to the satisfaction of the General Manager that the origin of the discharge is septic waste or sanitary waste, the District may still elect not to accept waste from that particular source. If the discharge is from an industrial source(s) and exceeds permit concentration limits or limits specified in this Ordinance, the following shall apply: A. First Violation 1. The permittee shall pay a non-compliance sampling fee. 2. The Wastehauler permit for disposal privileges shall be suspended for five (5) days. B. Second Violation 1. The permittee shall pay a non-compliance sampling fee. Book Page 70 2. The Wastehauler permit for disposal privileges shall be suspended for ten (10) days. 3. The Wastehauler permit may be revoked in accordance with Section 606. 607. DAMAGE TO FACILITIES OR INTERRUPTION OF NORMAL OPERATIONS A. Any person who discharges any waste which causes or contributes to any obstruction, interference, damage, or any other impairment to the District's sewerage facilities or to the operation of those facilities shall be liable for all costs required to clean or repair the facilities together with expenses incurred by the Districts to resume normal operations. Such discharge shall be grounds for permit revocation. A service charge of twenty-five percent (25%) of District's costs shall be added to the costs and charges to reimburse the District for miscellaneous overhead, including administrative personnel and record keeping. The total amount shall be payable within forty-five (45) days of invoicing by the District. B. Any person who discharges a waste which causes or contributes to the District violating its discharge requirements established by any Regulatory Agency incurring additional expenses or suffering losses or damage to the facilities, shall be liable for any costs or expenses incurred by the District, including regulatory fines, penalties, and assessments made by other agencies or a court. 608. INDUSTRIAL WASTE PASS THROUGH Any person whose discharge results in a pass through event affecting the District or its sewerage facilities shall be liable for all costs associated with the event, including treatment costs, regulatory fines, penalties, assessments, and other indirect costs. The discharger shall submit to the District plans to prevent future recurrences to the satisfaction of the District. 609. PUBLICATION OF VIOLATION Upon a determination in a permit suspension, permit revocation, or civil penalty proceedings that a user has discharged in violation of its permit or any provision under this Ordinance, the District may require that the user notify the public and/or other users of the District=:s sewerage facilities of such violation, of actions taken to correct such violation, and of any administrative or judicial orders or penalties imposed as a result of such violation. Book Page 71 r l. ( L [ L L 610. PUBLISHED NOTICES FOR SIGNIFICANT NON-COMPLIANCE 611. In accordance with Federal Regulations, the District shall annually cause to be published the names of all industrial users in significant non-compliance. Upon a minimum of a thirty (30)-day notification to the user, said publication shall be made in the newspaper of the largest daily circulation published in the District's service area. PUBLIC NUISANCE Discharge of wastewater in any manner in violation of this Ordinance or of any order issued by the General Manager, as authorized by this Ordinance, is hereby declared a public nuisance and shall be corrected or abated as directed by the General Manager. Any person creating a public nuisance is guilty of a misdemeanor. 612. TERMINATION OF SERVICE 613. A. The District, by order of the General Manager, may physically terminate sewerage service to any property as follows: B. 1. On a term of any order of emergency suspension or revocation of a permit; or 2. Upon the failure of a person not holding a valid discharge permit to immediately cease discharge, whether direct or indirect, to the District's sewerage facilities. All costs for physical termination shall be paid by the user as well as all costs for reinstating service. EMERGENCY SUSPENSION ORDER A. The District may, by order of the General Manager, suspend sewerage service or Wastehauler discharge service when the General Manager determines that such suspension is necessary in order to stop an actual or impending discharge which presents or may present an imminent or substantial endangerment to the health and welfare of persons, or to the environment, or may cause interference to the District's sewerage facilities, or may cause the District to violate any State or Federal Law or Regulation. Any discharger notified of and subject to an Emergency Suspension Order shall immediately cease and desist the discharge of all industrial wastewater to the sewerage system. B. As soon as reasonably practicable following the issuance of an Emergency Suspension Order, but in no event more than five (5) days following the Book Page 72 issuance of such order, the General Manager shall hold a hearing to provide the user the opportunity to present information in opposition to the issuance of the Emergency Suspension Order. Such a hearing shall not stay the effect of the Emergency Suspension Order. The hearing shall be conducted in accordance with procedures established by the General Manager and approved by the District's General Counsel. The General Manager shall issue a written decision and order within two (2) business days following the hearing, which decision shall be sent by certified mail to the user or its legal counsel/representative at that user's business address. The decision of the General Manager following the hearing shall be final and not appealable. 614. INJUNCTION Whenever a discharger of wastewater is in violation of or has the reasonable potential to violate any provision of this Ordinance, permit condition, or any Federal Pretreatment Standard or requirement as set forth in 40 CFR Section 403.8 et seq., fails to submit required reports, or refuses to allow the District entry to inspect or monitor the user's discharge, the District may petition the Superior Court for the issuance of a preliminary or permanent injunction, or both, as may be appropriate to restrain the continued violation or to prevent threatened violations by the discharger. 615. CIVIL PENAL TIES A. Authority All users of the District's system and facilities are subject to enforcement actions administratively or judicially by the District, U.S. EPA, State of California Regional Water Quality Control Board, or the County of Orange District Attorney. Said actions may be taken pursuant to the authority and provisions of several laws, including but not limited to: (1) Federal Water Pollution Control Act, commonly known as the Clean Water Act (33 U.S.C.A. Section 1251 et seq.); (2) California Porter-Cologne Water Quality Control Act (California Water Code Section 13000 et seq.); (3) California Hazardous Waste Control Law(California Health & Safety Code Sections 25100 to 25250); (4) Resource Conservation and Recovery Act of 1976 (42 U.S.C.A Section 6901 et seq.); and (5) California Government Code, Sections 54 739-54 7 40. B. Recovery of Fines or Penalties In the event the District is subject to the payment of fines or penalties pursuant to the legal authority and actions of other regulatory or enforcement agencies based on a violation of law or regulation or its permits, and said violation can be established by District, as caused by the discharge of any user of the District's system which is in violation of any provision of the District's Ordinance or the user's permit, District shall be entitled to recover from the user all costs and expenses, Book Page 73 r r'- l l I { I , {_ ( L l [ L including, but not limited to, the full amount of said fines or penalties to which it has been subjected. C. Ordinance Pursuant to the authority of California Government Code Sections 54739 - 54 7 40, any person who violates any provision of this Ordinance; any permit condition, prohibition or effluent limit; or any suspension or revocation order shall be liable civilly for a sum not to exceed $25,000.00 per violation for each day in which such violation occurs. Pursuant to the authority of the Clean Water Act, 33 U.S.C. Section 1251 et seq., any person who violates any provision of this Ordinance, or any permit condition, prohibition, or effluent limit shall be liable civilly for a sum not to exceed $25,000.00 per violation for each day in which such violation occurs. The General Counsel of the District, upon order of the General Manager, shall petition the Superior Court to impose, assess, and recover such penalties, or such other penalties as the District may impose, assess, and recover pursuant to Federal and/or State legislative authorization. D. Administrative Civil Penalties 1. 2. 3. Pursuant to the authority of California Government Code Sections 54740.5 and 54740.6, the District may issue an administrative complaint to any person who violates: a) any provision of this Ordinance; b) any permit condition, prohibition, or effluent limit; or c) any suspension or revocation order. The administrative complaint shall be served by personal delivery or certified mail on the person and shall inform the person that a hearing will be conducted, and shall specify a hearing date within sixty (60) days following service. The administrative complaint will allege the act or failure to act that constitutes the violation of the District's requirements, the provisions of law authorizing civil liability to be imposed, and the proposed civil penalty. The matter shall be heard by the General Manager or his designee. The person to whom an administrative complaint has been issued may waive the right to a hearing, in which case a hearing will not be conducted. At the hearing, the person shall have an opportunity to respond to the allegations set forth in the administrative complaint by presenting written or oral evidence. The hearing shall be conducted in accordance with the procedures established by the General Manager and approved by the District=:s General Counsel. Book Page 74 4. After the conclusion of the hearing, the General Manager's designee shall submit a written report to the General Manager setting forth a brief statement of the facts found to be true, a determination of the issues presented, conclusions, and a recommendation. 5. Upon receipt of the written report, the General Manager shall make his determination and should he find that grounds exist for assessment of a civil penalty against the person, he shall issue his decision and order in writing within thirty (30) calendar days after the conclusion of the hearing by his designee. 6. If, after the hearing or appeal, if any, it is found that the person has violated reporting or discharge requirements, the General Manager or Steering Committee may assess a civil penalty against that person. In determining the amount of the civil penalty, the General Manager or Steering Committee may take into consideration all relevant circumstances, including but not limited to the extent of harm caused by the violation, the economic benefit derived through any non- compliance, the nature and persistence of the violation, the length of time over which the violation occurs, and corrective action, if any, attempted or taken by the person involved. 7. Civil penalties may be assessed as follows: a) In an amount which shall not exceed two thousand dollars ($2,000.00) for each day for failing or refusing to furnish technical or monitoring reports; b) In an amount which shall not exceed three thousand dollars ($3,000.00) for each day for failing or refusing to timely comply with any compliance schedules established by the District; c) In an amount which shall not exceed five thousand dollars ($5,000.00) per violation for each day of discharge in violation of any waste discharge limit, permit condition, or requirement issued, reissued, or adopted by the District; d) In any amount which does not exceed ten dollars ($10.00) per gallon for discharges in violation of any suspension, revocation, cease and desist order or other orders, or prohibition issued, reissued, or adopted by the District; 8. An order assessing administrative civil penalties issued by the General Manager shall be final in all respects on the thirty-first (31st) day after its is served on the person unless an appeal and Book Page 75 r ( ( I r ( {_ L { l request for hearing is filed with the Steering Committee pursuant to Section 618 no later than the thirtieth (30th) day following such mailing. An order assessing administrative civil penalties issued by the Steering Committee shall be final upon issuance. 9. Copies of the administrative order shall be served on the party served with the administrative complaint, either by personal service or by registered mail to the person at his business or residence address, and upon other persons who appeared at the hearing and requested a copy of the order. 10. Any person aggrieved by a final order issued by the Steering Committee, after granting review of the order of the General Manager, may obtain review of the order of the Steering Committee in the superior court, pursuant to Government Code Section 54740.6, by filing in the court a petition for writ of mandate within thirty (30) days following the service of a copy of the decision or order issued by the Steering Committee. 11. Payment of any order setting administrative civil penalties shall be made within thirty (30) days of the date the order becomes final. The amount of any administrative civil penalties imposed which have remained delinquent for a period of sixty (60) days shall constitute a lien against the real property of the discharger from which the discharge resulting in the imposition of the civil penalty originated. The lien shall have no effect until recorded with the county recorder. The District may record the lien for any unpaid administrative civil penalties on the ninety-first (91 st) day following the date the order becomes final. 12. No administrative civil penalties shall be recoverable under Section 615.D for any violation for which the District has recovered civil penalties through a judicial proceeding filed pursuant to Government Code Section 54740. 616. CRIMINAL PENALTIES Any person who violates any provision of this Ordinance is guilty of a misdemeanor, which upon conviction is punishable by a fine not to exceed $1,000.00, or imprisonment for not more than thirty (30) days, or both. Each violation and each day in which a violation occurs may constitute a new and separate violation of this Ordinance and shall be subject to the penalties contained herein. 617. APPEALS TO GENERAL MANAGER Book Page 76 A. General Any user, permit applicant or permittee affected by any decision, action or determination made by the Division Head may file with the General Manager a written request for an appeal hearing. The request must be received by the District within fifteen (15) days of mailing of notice of the decision, action, or determination of the District to the appellant. The request for hearing shall set forth in detail all facts supporting the appellant's request. B. Notice The General Manager shall, within fifteen (15) days of receiving the request for appeal, and pursuant to Section 107, designate a Department Head or other person to hear the appeal and provide written notice to the appellant of the hearing date, time and place. The hearing date shall not be more than thirty (30) days from the mailing of such notice by certified mail to the appellant unless a later date is agreed to by the appellant. If the hearing is not held within said time due to actions or inactions of the appellant, then the staff decision shall be deemed final. C. Hearing At the hearing, the appellant shall have the opportunity to present information supporting its position concerning the Division Head's decision, action or determination. The hearing shall be conducted in accordance with procedures established by the General Manager and approved by the District's General Counsel. D. Written Determination After the conclusion of the hearing, the Department Head ( or other designee) shall submit a written report to the General Manager setting forth a brief statement of facts found to be true, a determination of the issues presented, conclusions, and a recommendation whether to uphold, modify or reverse the Division Head's original decision, action or determination. Upon receipt of the written report, the General Manager shall make his determination and shall issue his decision and order within thirty (30) calendar days of the hearing by his designee. The written decision and order of the General Manager shall be sent by certified mail to the appellant or its legal counsel/representative at the appellant's business address. The order of the General Manager shall be final in all respects on the sixteenth (16th) day after it is mailed to the appellant unless a request for hearing is filed with the Steering Committee pursuant to Section 618, no later than 5:00 p.m. on the fifteenth day following such mailing. 618. APPEALS TO THE STEERING COMMITTEE Book Page 77 r r r ( - ( ( f L A. General Any user, permit applicant, or permittee adversely affected by a decision, action, or determination made by the General Manager may, prior to the date that the General Manager's order becomes final, file a written request for hearing before the Steering Committee of the Joint Boards of Directors accompanied by an appeal fee in the amount established by a separate resolution of the District's Board of Directors. The request for hearing shall set forth in detail all the issues in dispute for which the appellant seeks determination and all facts supporting appellant's request. No later than sixty (60) days after receipt of the request for hearing, the Steering Committee shall either set the matter for a hearing, or deny the request for a hearing. A hearing shall be held by the Steering Committee within sixty-five (65) days from the date of determination granting a hearing, unless a later date is agreed to by the appellant and the Steering Committee. If the matter is not heard within the required time, due to actions or inactions of the appellant, the General Manager's order shall be deemed final. B. Granting Request for Hearing The Steering Committee shall grant all requests for a hearing on appeals concerning permit suspension, revocation, or denial. Whether to grant or deny the request for a hearing on appeals of other decisions of the General Manager shall be within the sole discretion of the Steering Committee. C. Appeal Fee Refund The appeal fee shall be refunded if the Steering Committee denies a hearing or reverses or modifies, in favor of the appellant, the order of the General Manager. The fee shall not be refunded if the Steering Committee denies the appeal. D. Written Determination After the hearing, the Steering Committee shall make a determination whether to uphold, modify, or reverse the decision, action, or determination made by the General Manager. The decision of the Steering Committee shall be set forth in writing within sixty-five (65) days after the close of the hearing and shall contain a finding of the facts found to be true, the determination of issues presented, and the conclusions. The written decision and order of the Steering Committee shall be sent by certified mail to the appellant or its legal counsel/representative at the appellant's business address. Book Page 78 The order of the Steering Committee shall be final upon its adoption. In the event the Steering Committee fails to reverse or modify the General Manager's order, it shall be deemed affirmed. 618.1 Appeal of Charges and Fees Any user, permit applicant, or permittee affected by any decision, action, or determination by the District, relating to fiscal issues of the District in which the user, applicant, or permittee is located, including but not limited to the imposition and collection of fees, such as connection charges, sewer use charges, special purpose discharge use charges and Wastehauler fees, may request that the District reconsider imposition of such fees or charges. Following review of such a request, the District shall notify the user, permit applicant, or permittee by certified mail of the District=:s decision on the reconsideration request. Any user, permit applicant, or permittee adversely affected by the District's decision on the reconsideration request may file an appeal which shall be heard by the Board of Directors of the District in which the appellant's property is located. The notice of appeal must be received by the District within thirty (30) days of the mailing of the District's decision on the reconsideration request. Notwithstanding the foregoing, appeals of non-compliance sampling fees shall be made pursuant to the appeal procedures set forth in Sections 617 and 618. 619. PAYMENT OF CHARGES A Except as otherwise provided, all fees, charges and penalties established by this Ordinance are due and payable upon receipt of notice thereof. All such amounts are delinquent if unpaid forty-five (45) days after date of invoice. B. Any charge that becomes delinquent shall have added to it a penalty in accordance with the following: 1. Forty-six (46) days after date of invoice, a basic penalty of ten percent (10%) of the base invoice amount, not to exceed a maximum of $1,000.00; and 2. A penalty of one and one-half percent (1.5%) per month of the base invoice amount and basic penalty shall accrue from and after the forty-sixth (46th) day after date of invoice. C. Any invoice outstanding and unpaid after ninety (90) days shall be cause for immediate initiation of permit revocation proceedings or immediate suspension of the permit. Book Page 79 { (. { l L ( L D. Penalties charged under this Section shall not accrue to those invoices successfully appealed, provided the District receives written notification of said appeal prior to the payment due date. E. Payment of disputed charges is still required by the due date during District review of any appeal submitted by permittees. 619.1 Collection of Delinquent Accounts Collection of delinquent accounts shall be in accordance with the District's policy resolution establishing procedures for collection of delinquent obligations owed to the District, as amended from time to time by the Board of Directors. Any such action for collection may include an application for an injunction to prevent repeated and recurring violations of this Ordinance. 620. RECOVERY OF COSTS INCURRED BY DISTRICT 621. In the event permittee fails to comply with any of the terms and conditions of the District's Ordinance, a probationary order, a permit suspension or revocation, an ECSA, RCSA, or a permit issued hereunder, the District shall be entitled to reasonable attorney's fees and costs which may be incurred in order to enforce any of said terms and conditions, with or without filing proceedings in court. FINANCIAL SECURITY/AMENDMENTS TO PERMIT A Compliance Deposit Permittees that have been subject to enforcement and/or collection proceedings may be required to deposit with the District an amount determined by the General Manager as necessary to guarantee payment to District of all charges, fees, penalties, costs and expenses that may be incurred in the future, before permission is granted for further discharge to the sewer. B. Delinquent Accounts The District may require an amendment to the permit of any permittee who fails to make payment in full of all fees and charges assessed by the District, including reconciliation amounts, delinquency penalties, and other costs or fees incurred by Permittee. C. Bankruptcy Every Permittee filing any legal action in any court of competent jurisdiction, including the United States Bankruptcy Court, for purposes of discharging its financial debts or obligations or seeking court-ordered, protection from its creditors, Book Page 80 shall, within ten (10) days of filing such action, apply for and obtain the issuance of an amendment to its permit. D. Permit Amendments The District shall review and examine Permittee's account to determine whether previously incurred fees and charges have been paid in accordance with time requirements prescribed by this Ordinance. The District may thereafter issue an amendment to the User's permit in accordance with the provisions of Article 3 and Section 621 (E) of this Ordinance. E. Security An amendment to a waste discharge permit issued pursuant to Sections 621 (8), (C), and (D), may be conditioned upon the Permittee depositing financial security in an amount equal to the average total fees and charges for two (2) calendar quarters during the preceding year. Said deposit shall be used to guarantee payment of all fees and charges incurred for future services and facilities furnished by District and shall not be used by the District to recover outstanding fees and charges incurred prior to the Permittee filing and receiving protection from creditors in the United States Bankruptcy Court. F. Return of Security In the event the Permittee makes payment in full within the time prescribed by this Ordinance of all fees and charges incurred over a period of two (2) years following the issuance of an amendment to the permit pursuant to Sections 621 (B), (C), and (D), the District shall either return the security deposit posted by the Permittee or credit their account. 622. JUDICIAL REVIEW A. Purpose and Effect Pursuant to Section 1094.6 of the California Code of Civil Procedure, the District hereby enacts this part to limit to ninety (90) days following final decisions in adjudicatory administrative hearings the time within which an action can be brought to review such decisions by means of administrative mandamus. B. Definitions As used in this Section, the following terms and words shall have the following meanings: Book Page81 F. Notice In making a final decision, the District shall provide notice to the party that the time within which judicial review must be sought is governed by Section 1094.6 of the Code of Civil Procedure. G. Administrative Civil Penalties Notwithstanding the foregoing in Section 622, and pursuant to Government Code Section 54 7 40.6, judicial review of an order of the Steering Committee imposing administrative civil penalties pursuant to Section 615.D may be made only if the petition for writ of mandate is filed not later than the thirtieth (30th) day following the day on which the order of the Steering Committee becomes final. ARTICLE 7 SEWER SERVICE CHARGES -CONNECTION CHARGES 701. SANITARY SEWER SERVICE CHARGE Every parcel of real property located within the District which is improved with structures designed for residential, commercial, or industrial use, and connected to the District=:s system, shall pay a sanitary sewer service charge in an amount adopted by the Board of Directors by separate Ordinance. 702. CAPITAL FACILITIES CONNECTION CHARGE Every parcel of real property located within the District which is improved with structures designed for residential, commercial, or industrial use, and connected to the District-:s system, shall pay a capital facilities connection charge in an amount adopted by the Board of Directors by separate Ordinance. ARTICLE 8 SEVERABILITY 801 . SEVERABILITY If any provision of these Regulations or the application to any or circumstances is held invalid, the remainder of the regulations or the application of such provision to other persons or other circumstances shall not be affected. 802. GENERAL APPLICATION The provisions of this Ordinance shall apply to all properties within the District including those properties otherwise deemed exempt from payment of taxes or BookPage83 r { { l ( l assessments by provisions of the State Constitution or statute, including properties owned by other public agencies or tax-exempt organizations. Section II: This Ordimrnce is enacted as an urgency measure to take effect i-mfR~Fder to preserve the public health and safety, and in order to continue the provision of sewer services by the newly formed District. The facts requiring the public health and safety to be preserved are that the regulation of the-tl-IBcharge of industrial and-sanitary sewage is regulated by feder-a+-and state law, and protectiaA-Of H¾i,ividualS= health and the environment require that no discharges of untreated sei'rNaleeJwafStE~ltel:....a,::e-.:::t-Howed to occur that are not in accoFd with technical specifications and requirements. Section II: Effective Date. That the provisions of this Ordinance shall become effective thirty (30) days after adoption. Section Ill: Tlq.j.s-Repeal. Ordinance shall take effect immediately upon adoptionNo. OCSD-01 is hereby repealed. Section IV: The Secretary of the Board shall certify to the adoption of this Ordinance and shall cause a summary to be published in a newspaper of general circulation as required by law. PASSED AND ADOPTED by the affirmative vote of greater than two-thirds of the Board of Directors of the Orange County Sanitation District at a Special Meeting held Jwy 1, 1998.==--=======--=-=== ATTEST: Secretary of the Board of Directors Orange County Sanitation District Chair, Board of Directors Orange County Sanitation District +l=lomas L. VVoodruffBradley R. Hoqin, General Counsel Book Page 84 Staff has re-evaluated every project in the Validated Capital Improvement Program and many newly proposed projects as a part of the 2006-07 and 2007-08 budget preparation process. Approximately $4 7 4 million of budgeted construction costs will be delayed or deferred. In addition, the Sanitation District contracted with Carollo Engineers to complete a Revenue Program and Rate Analysis study. The result of these efforts was to reduce projected 2006-07 and 2007-08 single family residential rate (SFR) increases, the basis for all sewer service charges, from 20.0% to 14.625%. PROJECT/CONTRACT COST SUMMARY Without a Board action (by 2/3 majority), the SFR rate for 2006-07 will remain at $151.00 per year. The $173 rate recommended for 2006-07 will generate approximately $167.6 million of user fees; an annual increase of $21.0 million over the prior year. There are no extraordinary costs associated with the recommendation. BUDGET IMPACT IZI This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. D Not applicable (information item). Applies to future budget periods ADDITIONAL INFORMATION Rate Increase Chronology June 2003 1) 1 n June 2003, the Board approved a revised Capital Improvement Plan (CIP). 2) To support this CIP, staff recommended a five-year plan which included rate increases averaging 20%. 3) The Board directed staff to issue a Proposition 218 public notice stating the rates would increase by an amount not to exceed a total of 20% annually increase over the next five year period. 4) While the increases were tentatively approved and noticed, the Board chose not to implement the full 20% increase for 2003/04. 5) The Board did discussed alternatives between 10-20%. 6) Ultimately, the Board acted to implement a 15% increase in 2003/04. C:\Documents and Settings\xerox\Local Settings\Temporary Internet Files\OLK78106 06-28 Ord 30.doc Revised: 06/04/03 Page2 r r l l { L L L L 7) Staff reset the budget and long-term cash flow model to reflect the annual increases of 15% for the subsequent five-year period. 8) Board policy stated that 50% of all future capital improvements (approximate percentage of non-capacity related projects), would be funded from current revenues and the remaining 50% through debt financing. However, reducing the projected annual rate increases to 15% required as deviation from that policy in order to support the capital program. As of July 2003, the ratio of CIP funded debt increased to 62 percent. By July 2005, --this ratio decreased to 58 percent. The debt fiscal policy has subsequently been changed to provide additional flexibility when addressing this District's capital program and debt issuances. 9) While the five-year plan was still in place, the Board directed staff that to bring back the rate schedule for annual adoption. June 2004 1. Through the adoption of the 2004/05 Budget, the Board acted to implement a portion of the 20% rate increase included in the five-year plan. 2. The Board acted to implement a 15% rate increase for 2004/05. June 2005 1. The CIP increased by $400M, from $1.948 to 2.388. 2. Additionally, Operations costs increased by $400M, from $1.38 to $1.78. 3. To support these increased costs, rates needed to be increased above 15%. 4. The Board approved a 31% rate increase for 2005-06, instead of 15%. 5. The additional increase was based on only 15% increases in each of the previous two years. 6. Both the 2005-06 Adopted Budget and the existing ordinance include 20% rate increases for 06-07 and 07-08. 7. Proposition 218 notices were issued based on the 20% figure. 8. As the Board must act to implement any rate increase, it reserves the option to approve any rate increase, under the existing Proposition 218 notice, that does not exceed 20% in fiscal year 2006-07, or 40% over the next two years. C:\Documents and Settingslxerox\Local Settings\Temporary Internet Files\OLK78106 06-28 Ord 30.doc Revised: 06/04/03 Book Page 87 Page 3 Results of Rate Review Using flow, growth, capital improvement program, and Operation and Maintenance assumptions provided by the Sanitation District, Carollo developed an independent rate model. The results of their study closely matched the in-house model developed by District staff, calling for SFR annual rate increases approximating 14.25-14.50 percent over the next two years. ------,~ --· In addition, the Carollo rate model developed proposed revised capital facility capacity charges (CFCC) that increases the benchmark 3-bedroom, SFR from $2,890 to $4 ,360, or 50.9 percent, and the average demand for commercial industria ram $1,050 to $1,306, or 24.4 percent. These increases are reflective of the increase in the CIP program in June 2005 from $1.94 billion to 2.38 billion. The CFCC SFR increase was more substantial than the Commercial/Industrial rate due to the nature of the CIP program. The majority of the CIP program is due to the increase in treatment standards that is concentrated on improved flow treatment as opposed to increased BOD and TSS treatment, two variables that impact Commercial/Industrial customers more so than flow. The previous CFCC rates have not been increased over the last two and one-half years. It has generally been the practice of the Sanitation District not to update CFCC rates until the completion of an Interim Strategic Plan Update, which generally occurs only once in approximately five years. With the implementation of this new rate ordinance, staff is also recommending that these fees be adjusted annually to reflect the current value of the facilities or the current cost of capital projects. It is recommended that annual cost escalator be based on a commonly accepted price indicator; the Engineering News Record Construction Cost Index for Los Angeles. ALTERNATIVES None. CEQA FINDINGS NIA ATTACHMENTS 1. Capital Improvement & Rehabilitation, Refurbishment, Replacement Program 2. Revenue Program and Rate Update Report from Carollo Engineers 3. Ordinance No. OCSD-30 LT:lc C:\Documents and Settingslxerox\Local Settings\Temporary Internet Files\OLK78106 06-28 Ord 30.doc Revised: 06/04/03 Book Page 88 Page4 r l l L L Comparative Treatment Costs Partial Total (O&M, Compliance, Lab) Cost I MG Cost I MG San Diego ................... $ 1,621 City of Los Angeles ....... $ 1,261 Modesto ..................... $ 1,252 OCSD ........................ $1,246 ....... $ 731 LA County San District .................... $ 767 rov2/02/08 Book Page 91 CIP Oversight Workshop March 29, 2006 Questions? 3 { l L L L l L L Orange County Sanitation District Revenue Program and Rate Update FINAL April 2006 Book Page 92 Orange County Sanitation District Revenue Program and Rate Update Final Report TABLE OF CONTENTS 1.0 INTRODUCTION ......................................................................................................... 1 1.1 Purpose and Scope ........................................................................................... 1 1.1.1 Purpose .............................................................................................. 1 1. 1.2 Scope of Work .................................................................................... 1 1.2 Background ....................................................................................................... 1 1.3 Project Findings and Recommendations ........................................................... 2 2.0 ASSUMPTIONS AND DATA ....................................................................................... 2 2.1 Flow and Growth Assumptions .......................................................................... 2 2.1.1 Flows .................................................................................................. 2 2.1.2 Equivalent Dwelling Units ................................................................... 3 2.2 User Rate Categories ........................................................................................ 4 2.3 Capital Facility Capacity Charge (CFCC) Categories ...................................... .4 2.4 Capital Improvement Program .......................................................................... 5 2.5 Functional Allocation ......................................................................................... 6 2.6 Operations and Maintenance Expenditures ...................................................... 8 2. 7 Existing Financial Information ........................................................................... 8 3.0 REVENUE REQUIREMENT ANALYSIS ..................................................................... 9 3.1 Introduction ........................................................................................................ 9 3.2 Funding Sources ........................................................................ , ...................... 9 3.3 Findings and Recommendations ..................................................................... 12 4.0 RATE STRUCTURE ANALYSIS ............................................................................... 14 4.1 Introduction ...................................................................................................... 14 4.2 Revenue Needs ............................................................................................... 15 4.3 Functional Allocation ....................................................................................... 16 4.4 Unit Costs ........................................................................................................ 19 4.5 Customer Category Rates ............................................................................... 21 4.6 Findings and Recommendations ..................................................................... 21 5.0 CAPITAL FACILITIES CAPACITY CHARGEANALYSIS .......................................... 22 5.1 Introduction ...................................................................................................... 22 5.2 Methodology .................................................................................................... 23 5.2.1 Approach and Assumptions .............................................................. 23 5.2.2 CFCC Calculation ............................................................................. 24 5.3 Findings and Recommendations ..................................................................... 27 APPENDIX A APPENDIX B DRAFT -April 6, 2006 Project Calculations User Categories H:\Client\Ocsd_PHXIM740BA00\Rpt\Revenue Program & Rate.doc Book Page 93 l r f t f l L L L Table 2.1 Table 2.2 Table 2.3 Table 2.4 Table 2.5 Table 3.1 Table 3.2 Table 3.3 Table 4.1 Table 4.2 Table 4.3 Table 4.4 Table4.5 Table 4.6 Table 4.7 Table 4.8 Table 4.9 Table 4.10 Table 4.11 Table 5.1 Table 5.2 Table 5.3 Table 5.4 Table 5.5 Table 5.6 LIST OF TABLES Summary of Total Projected Treatment Plant Flows ......................................... 3 Historical and Projected Equivalent Dwelling Units ........................................... 3 Operation and Maintenance Cost Allocation to Billable Constituents ............... 6 Capital Cost Allocations to Billable Constituents ............................................... 7 CIP Billable Constituents Cost Breakdown (Millions of Dollars) ........................ 8 Outstanding Certificates of Participation Debt at July 1, 2005 ........................ 10 FY 2006/07 Reserve Requirements (Millions of Dollars) ................................ 11 Revenue Requirements ................................................................................... 13 Sewer Service Charges ................................................................................... 15 Expenditures and Off-Setting Revenues ......................................................... 16 Allocation Percentage Basis ............................................................................ 17 Functional Allocation of Costs ......................................................................... 18 Total Flow and Load lnformation ..................................................................... 19 Flow and Load per EDU .................................................................................. 19 Total Annual Flow and Loads .......................................................................... 20 Unit Cost Calculation ....................................................................................... 20 Annual Charge per EDU Calculation ............................................................... 20 Proposed Industrial User Sewer Service Charges ......................................... 21 Projected Sewer Service Charges .................................................................. 22 CIP Billable Constituents Cost Breakdown ..................................................... 24 Expansion Expenditure Allocation ................................................................... 25 Residential CFCC Calculation ......................................................................... 25 Commercial-Industrial CFCC Calculation ........................................................ 26 Supplemental Capital Facilities Capacity Charge Calculation ......................... 27 Recommended CFCC and SCFCC ................................................................. 28 DRAFT -April 6, 2006 H:\Client\Ocsd_PHXW\7408AOO\Rpt\Revenue Program & Rate.doc Book Page 94 ii Orange County Sanitation District DRAFT REPORT 1.0 INTRODUCTION 1.1 Purpose and Scope 1.1.1 Purpose The purpose of this report is to present the findings of a study of the District's sewer service and capital facilities capacity charges (CFCC). The study evaluated the District's wastewater utility revenue needs, and developed sewer service rates and wastewater capital facilities capacity charges to equitably distribute costs among utility customers. 1.1.2 Scope of Work The scope of work includes the following: • Perform a revenue requirement analysis; • Evaluate the District's sewer service charges; • Evaluate the District's wastewater capital facilities capacity charges. 1.2 Background The Orange County Sanitation District is a public agency responsible for regional wastewater collection, treatment, and disposal. The District provides service to an area of approximately 471 square miles with a population of approximately 2.5 million people in the northern and central portion of the County, treating approximately 243 mgd of wastewater. The District owns sanitary sewerage facilities with a replacement value of approximately $5.38 billion. On July 17, 2002, the Board of Directors approved Resolution No. OCSD-14, "Establishing the Policy for Level of Treatment of Wastewater Discharged into the Ocean." This resolution established the District's policy to treat all wastewater discharges into the ocean to secondary treatment standards. Implementation of full secondary treatment standards is scheduled to be completed on or before December 31, 2012. The wastewater system must also meet other demands, including service to a growing population, odor control improvements, and air quality protection needs. Over the next 16 years, the District's overall Capital Improvements Plan (CIP) is projected to total $1.88 billion. All capital costs presented within this report are stated in 2006 dollars, unless otherwise denoted. DRAFT -April 6, 2006 H:\Client\Ocsd_PHX\/\l\7408A00\Rpt\Revenue Program & Rate.doc Book Page 95 1 r L l { L ( L L 1.3 Project Findings and Recommendations It is recommended that the District increase the annual sewer service charge from $151 to $172.50 per equivalent dwelling unit (EDU) in FY 2006/07. It is also recommended that the District implement annual increases between 14.25 percent and 11.75 percent in subsequent years. This projection should be revisited on a periodic basis, as the District updates its operational and capital projections. It is further recommended that the District increase the Residential Capital Facilities Capacity Charge from $2,890 to $4,363 per EDU and Commercial-Industrial Capital Facilities Capacity Charge from $1,050 to $1,307 per 1,000 square feet in FY 2006/07. In subsequent years, it is recommended that the CFCC be increased with inflation. Finally, it is recommended that the District increase the Supplemental Capital Facilities Capacity Charge to $0.001344 per gallon, $0.754730 per lbs. of B.O.D., and $0.091720 per lbs. of T.S.S. The basis for these recommendations is presented within the report herein. The project calculations are presented in Appendix A of this report. 2.0 ASSUMPTIONS AND DATA 2.1 Flow and Growth Assumptions According to the Interim Strategic Plan Update (June 2002), the population of the District's service area is projected to grow to 2. 7 million by the year 2020. Average flow rates at both treatment plants are projected to increase to a total combined flow of 278 million gallons a day by 2020. The average yearly influent flow to the District has remained relatively stable for the preceding five years. The wastewater flow for Fiscal Year 2000-01 was 246 mgd (average annual basis) and for Fiscal Year 2004-05 was 243 mgd (average annual basis). The highest flows of 500 mgd (peak hour wet weather basis) were recorded during El Nino storm periods in December 1997 and February 1998. There were no sewer failures or overflows during these events. 2.1.1 Flows Projected flows treated by the District are presented within Table 2.1. DRAFT -April 6, 2006 2 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 96 Table 2.1 Summary of Total Projected Treatment Plant Flows Revenue Program and Rate Update Orange County Sanitation District Flow (mgd) Flow Source 2005 2010 2015 2020 Service Area Flows 233 238 242 246 -Irvine Ranch Water District (IRWD) 13.5 14.0 15.0 15.0 -Santa Ana Watershed Protection Agency (SAWPA) 9.50 12.0 15.0 17.0 Total District Flows 256 264 272 278 Source: Orange County Sanitation District, Nov 2004 Board Agenda Report. 2.1.2 Equivalent Dwelling Units The District provided customer growth figures. Two methods were used to estimate growth. One method projects growth based on historic growth rates. The other method projects growth based on projections provided by the Center for Demographic Research at the California State University at Fullerton. The number of customers or connections to a sewer system is often expressed in Equivalent Dwelling Units. An Equivalent Dwelling Unit (EDU) is a measurement of the demand on sewer and treatment facilities in terms of flow and strength that is equivalent to that produced by a single-family home. Biological Oxygen Demand (BOD) and Total Suspended Solids (TSS) measure influent strength. Both residential and commercial sewer service charges, as well as CFCCs, are based on EDUs. The historical number of customers served by the District for the Fiscal Years 2000-01 through 2004-05, identified in Equivalent Dwelling Units ("EDUs"), are set forth in Table 2.2 below. Table 2.2 Historical and Projected Equivalent Dwelling Units Revenue Program and Rate Update Orange County Sanitation District Fiscal Years 2000-01 through 2009-10 Fiscal Year Historical EDUs 2000-01 883,603 2001-02 898,031 2002-03 897,757 2003-04 884,169 2004-05 893,501 (1) EDU growth during the projection period is estimated at approximately 0.4% per annum. Source: Orange County Sanitation District. DRAFT -April 6, 2006 3 H:\Client\Ocsd_PHXVVl7408A00\Rpt\Revenue Program & Rate.doc Book Page 97 F ' r \ r r r \ L ( l t L. L The District calculates the number of EDUs based on the annual revenues divided by the current single-family residential (3-bedroom house) annual sewer service charge. Based on projected revenues for FY 2006/07 of $147.2 million and a current annual sewer service charge of $151 per EDU, the District is assumed to serve 975,123 EDUs. This EDU count is used as the basis for the analysis presented within this study. 2.2 User Rate Categories Users are billed a flat wastewater service charge based on the property use classification maintained by the County Assessor. The District maintains a listing of average flow and wastewater strength discharges for each property type, which is used to develop the user rates. The single family residential (SFR) sewer service charge is based on typical flow and loadings for an average 3-bedroom home and serves as the base rate to calculate rates for other users. Multi-family residential users are charged 70 percent per unit of the SFR rate. Commercial and the majority of industrial users are charged a percentage of the SFR rate as specified in Ordinance No. OCSD-26 (OCSD-26), the Fees and Charges Ordinance. These use factors are based on the average flow and strength characteristics for the type of property, charged on a per 1,000 square-foot basis. Users with unusually high flows and/or strength of wastewater, known as "Permit Users," pay individually calculated charges, based on measured wastewater flows and strengths. The District currently has 30 different residential and commercial use codes. See Appendix B for a complete listing of user rate categories, contained in OCSD-26. 2.3 Capital Facility Capacity Charge (CFCC) Categories The Capital Facility Capacity Charge is a one-time charge imposed when a building or structure is newly connected to the District's system, or when an existing structure or category of use is expanded or increased. The current base charge is $2,890, calculated based on the flow and wastewater loadings for an average 3-bedroom home. Adjustments to the base charge are delineated in OCSD-26. The rates for each size of SFR and MFR are determined as a relative percentage higher or lower than the base (3 bedroom SFR) of 1.0, depending on the unit's size. Commercial and industrial CFCCs are classified as "Low," "Average," or "High" demand connections, based on the property type. Significant commercial-industrial users and special purpose dischargers are subject to a Supplemental Capital Facilities Capacity Charge for discharges in excess of baselines established for flow, BOD, and TSS. A full description of the baselines and supplemental CFCC rates are described in sections 3.07 -3.10 of OCSD-26. A "Significant Commercial-Industrial User'' (SCIU) is an entity that discharges commercial or industrial flow in an amount greater than 25,000 gpd, or BOD greater than 150 pounds DRAFT -April 6, 2006 H:\Client\Ocsd_PHXWl740BA00\Rpt\Revenue Program & Rate.doc Book Page 98 4 per day, or TSS greater than 150 pounds per day, or who is required to obtain a Waste Discharge Permit due to having federally or District regulated or significant discharges. A "special purpose discharger" (SPD) is an entity who discharges an amount greater than 25,000 gpd (excluding domestic, industrial, or commercial) and who is required to obtain a Special Purpose Discharge Permit as prescribed in Section 305 of Ordinance No. OCSD-01. 2.4 Capital Improvement Program The District developed the current Capital Improvement Program ("CIP") in combination with the Interim Strategic Plan. The District expects to meet future demands on the Wastewater System through the CIP. This program has been developed to satisfy anticipated regulatory requirements, increased population, additional treatment requirements, conservation, energy, and other resource-savings considerations, odor control improvements, and air quality protection needs. Over the next 16 years, the District's CIP will accomplish: • Major rehabilitation of the existing headworks, primary treatment, secondary treatment, outfall pumping, and solids handling facilities at both treatment plants. • Replace and rehabilitate 17 of the District's outlying pumping stations, and 44 trunk sewer improvement projects. • Fund cooperative projects to help cities upgrade their sewer systems. • Disinfect the District's ocean discharge to reduce bacterial levels below State bathing standards. • Reclaim 70 millions of gallons per day of the District's effluent, or nearly one-third of the total daily flow (Groundwater Replenishment System). • Achieve full secondary treatment standards. In preparation of each year's Budget, the District conducts an Annual CIP Validation Study to ensure that the scopes of the projects were necessary, and that the cost estimates were accurate. As a result of the completion of the CIP Validation Study and the Secondary Treatment Peer Review in the spring of 2003, a revised CIP was developed to meet secondary treatment standards as quickly as possible, while providing for increased flows and rehabilitation and refurbishment of existing facilities. Implementation of full secondary treatment standards is scheduled to be completed on or before December 31, 2012. The CIP, as included within this study, totals $1.71 billion in 2006 dollars ($1.86 billion in nominal dollars) between FY 2006/07 and FY 2020/21. Of this total, $1.36 billion will be undertaken for replacement/rehabilitation and treatment upgrades, while $0.35 billion will be undertaken to provide capacity for projected growth. The CIP expenditures over the next DRAFT -April 6, 2006 5 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 99 l L L five years are projected to total $1.40 billion in 2006 dollars; an annual average of $281 million. 2.5 Functional Allocation In addition to the breakdown between replacement and expansion projects, it is also necessary to allocate these costs to billable constituents that can be measured both at the treatment facilities and for each user to enable the capital and O&M project costs to be charged to existing and future users. To accomplish this, the costs for each project were broken into the costs associated with treatment of the billable constituents: flow and strength (Biochemical Oxygen Demand (BOD) and Total Suspended Solids (TSS)). An example of these allocations are shown later in the report in Table 4.4. The allocation of O&M expenditures by unit process are illustrated in Table 2.3. Table 2.3 Operation and Maintenance Cost Allocation to Billable Constituents Revenue Program and Rate Update Orange County Sanitation District Allocation Percentages(%) Treatment Process Flow BOD TSS Collection and Diversion 90 5 5 lnterplant 90 5 5 Headworks 75 5 20 Primary Sedimentation 15 25 60 Activated Sludge Process -100 - Oxygen Activated Sludge -100 - Blower Equipment and Structures -100 - Aeration Equipment and Structures -100 - Trickling Filters -100 - Secondary Sedimentation -100 - Sludge Thickening !1> -25 75 Digestion -25 75 Solids Handling -20 80 Solids Disposal -45 55 Effluent Disposal 100 -- Non-Assignable Costs !2> 32 33 34 Source: 1998 Determination of Financial Rates and Charges Report. ( 1) Allocation of sludge thickening was changed to reflect co-thickening process. (2) Percentage based on weighted average for all other allocated costs. DRAFT -April 6, 2006 H:\Client\Ocsd_PHXIM740BA00\Rpt\Revenue Program & Rate.doc Book Page 100 6 For the capital related costs, the allocation basis is illustrated below in Table 2.4. Table 2.4 Capital Cost Allocations to Billable Constituents Revenue Program and Rate Update Orange County Sanitation District Allocation Percentages(%) Unit Process Flow BOD TSS Collection and Diversion 90 10 - lnterplant 90 10 - Headworks 75 5 20 Primary Sedimentation -30 70 Activated Sludge Process -100 - Oxygen Activated Sludge -100 - Blower Equipment and Structures -100 - Aeration Equipment and Structures -100 - Trickling Filters -100 0 Secondary Sedimentation -70 30 Sludge Thickening (1) -25 75 Digestion -25 75 Solids Handling -20 80 Solids Disposal -45 55 Effluent Disposal 100 -- Non-Assignable Costs (2l 44 37 19 Source: 1998 Determination of Financial Rates and Charges Report. (1) Allocation of sludge thickening was changed to reflect co-thickening process. (2) Percentage based on weighted average for all other allocated costs. Table 2.5 presents the replacement and expansion GIP costs broken into the billable constituents from FY 2006/07 to FY 2020/21. These capital expenditures are stated in 2006 dollars. DRAFT -April 6, 2006 7 H:\Client\Ocsd_PHXV\l\7408AOO\Rpt\Revenue Program & Rate.doc Book Page 101 r-t r f J l l L L L L Table 2.5 CIP Billable Constituents Cost Breakdown {Millions of Dollars) Revenue Program and Rate Update Orange County Sanitation District Flow BOD TSS Total CIP Costs Replacement $499 $528 $333 $1,360 Expansion $158 $174 $ 23 $ 354 2.6 Operations and Maintenance Expenditures The revenue requirement analysis uses the District's FY 2005/06 budgets as the basis for forecasting future revenue needs. Expenditures are assumed to increase commensurate with cost inflation and projected cost increases associated with increases in wastewater flows due to growth and higher treatment standards. Revenues and expenses are projected for future fiscal years using the following annual escalation factors, as agreed upon with the District: • General Cost Inflation: 4% • Power & Chemicals: 7% • Labor Inflation: 6% • FY 2005/06 Construction Cost Inflation: 5% • Customer Growth: 0.4% • FY 2005/06 Fund Earnings: 4% This analysis incorporates the District's proposed FY 2006/07 and FY 2007 /08 operating budgets. 2.7 Existing Financial Information The background financial information supplied by·the District included: existing debt service and future payments, current reserve ending fund balance, other future non-treatment alternative-related expenses, other future revenues, future property taxes, and other miscellaneous financial information. The District also provided revenues and expenses associated with providing service to Irvine Ranch Water District (IRWD), Santa Ana Watershed Project Authority (SAWPA), and other miscellaneous items. DRAFT -April 6, 2006 8 H:\Client\Ocsd_PHXVV\740BA00\Rpt\Revenue Program & Rate.doc Book Page 102 3.0 REVENUE REQU IREMENT ANALYSIS 3.1 Introduction The revenue requirement analysis determines the amount of rate revenue needed in a given year to meet a utility's expected financial obligations. At least two separate tests must be met in order for rates to be sufficient: 1) Cash Flow Test -A utility must generate annual utility revenues adequate to meet general cash needs. 2) Bond Coverage Test -Annual rate revenues must satisfy debt coverage obligations on Certificates of Participation. The cash flow test identifies projected cash requirements in each given year. Cash requirements include operations and maintenance expenses, debt service payments, policy-driven additions to working capital, miscellaneous capital outlays, replacement funding, and rate funded capital expenditures. These expenses are compared to total annual projected revenues. Shortfalls are then used to estimate needed rate increases. The bond coverage test measures the ability of a utility to meet both legal and policy-driven revenue obligations. Because the District has variable rate COPs, it is required to collect sufficient funds through rates to meet all ongoing operational and maintenance expenses, as well as 2.00 times the total debt service requirements due in a year. A certificate of participation (COP) is a debt instrument where the purchaser receives a share in an installment sale arrangement with the District. Revenues must be sufficient to satisfy both tests. If revenues are found to be deficient through one or both of the tests, then the greater deficiency (shortfall) drives the rate increase. 3.2 Funding Sources Over the next ten years, the District projects $1.69 billion in future wastewater treatment improvements and in future collection system capital improvements, as stated in 2006 dollars. The District expects to fund these improvements through a combination of revenues, reserves, and COPs. The District expects to issue approximately $1.0 billion in certificates of participation over the next ten years. Payments with respect to any such indebtedness are expected to be executed and delivered as Additional Obligations under the Master Agreement on a parity with the Installment Payments. Current Revenues Sewer Service Charges -User charges can be increased to accumulate reserves to cash fund capital projects. The District established a Capital Improvement Reserve to fund annual increments of the capital improvement program with a target level at one half of the DRAFT -April 6, 2006 H:\Client\Ocsd_PHXWl7408AOO\Rpt\Revenue Program & Rate.doc Book Page 103 9 r ,~ r r r ! { L I L L average annual capital improvement program through the year 2020. The Capital Replacement/Renewal Reserve was established to provide thirty percent of the funding to replace or refurbish the current collection, treatment, and disposal facilities. Further, for this analysis, we have used a "rate smoothing" strategy for meeting future rate requirements. Projected rate increases in FY 2006/07 are designed to both flatten annual rate increases and allow for the accumulation of reserves. This approach is designed to reduce long-term costs to the customers by reducing the District's debt requirements and helping maintain their current bond rating. Capital Facilities Capacity Charges -CFCCs are a one-time charge imposed on new development or expansion of existing users that increase demand on the system. They provide for equitable cost recovery of growth-related costs. New Debt The District can issue Certificates of Participation (COPs) to fund capital-related projects. By issuing debt, the Utility is legally required to maintain a 1.25x coverage ratio on the maximum outstanding annual debt service. This means that rates must cover annual cash operating expenses plus 125 percent of the maximum annual outstanding debt service payments. This coverage requirement is delineated within The Master Agreement for District Obligations, dated August 1, 2000. However, because some of the District's outstanding COPs are variable rate, a more stringent coverage ratio of 2.00x is imposed. Currently the District has Senior Obligations Outstanding payable on a parity with the Installment Payments under the Installment Purchase Agreement. Table 2.6 below describes the District's outstanding certificates of participation as of July 1, 2005. Table 3.1 Outstanding Certificates of Participation Debt at July 1, 2005 Revenue Program and Rate Update Orange County Sanitation District Principal Issue Outstanding Final Amount Date Balance Maturity 1992 Certificates $160,600,000 12/3/92 $100,275,000 8/1/13 1993 Certificates 46,000,000 9/2/93 42,050,000 8/1/16 Series 2000 Certificates 218,600,000 8/13/00 199,000,000 8/1/30 Series 2003 Certificates 280,000,000 8/26/03 280,000,000 2/1/33 Series 2006 Certificates 200,000,000 3/1/06 200,000,000 2/1/36 Total Long-Term Debt $905,200,000 $821,325,000 DRAFT -April 6, 2006 H:\Client\Ocsd_PHX\/\/\7408A00\Rpt\Revenue Program & Rate.doc Book Page 104 10 Reserves The District maintains eight separate categories for its reserve funds. The following table delineates the projected reserve requirements for FY 2006/07. Increases to the Capital Improvement Program Reserve and Debt Service Required Reserves are attributable principally to the funding of projected CIP cash flow and the Reserve Fund for the Certificates. Table 3.2 FY 2006/07 Reserve Requirements (Millions of Dollars) Revenue Program and Rate Update Orange County Sanitation District Cash Flow Requirements Reserve Operating Expenses $65 Certificate of Participation Payments 58 Operating Contingencies Reserve 13 Capital Improvement Program Reserve 85 Catastrophe and Self Insurance 57 Capital Replacement and Refurbishment 53 Debt Service Required Reserves 92 Less: Adjustment to Reserves {40} Total $382 FY 2006/07 Projected Reserve Requirements. • The Cash Flow Requirements Reserve was established to fund operation, maintenance, and certificates of participation debt service expenses for the first half of the fiscal year, prior to the receipt of the first installment of the property tax allocation and sewer service user fees which are collected as a separate line item on the property tax bill. The level of this reserve is established as the sum of an amount equal to six months operations and maintenance expense and the total of certificates of participation debt service expenses due in the subsequent fiscal year. • The Operating Contingency Reserve was established to provide for non-recurring expenditures that were not anticipated when the annual budget and Sewer Service Charges were adopted. The level of this reserve is equal to ten percent of the District's annual operating budget. DRAFT -April 6, 2006 11 H:\Client\Ocsd_PHXW.7408A00\Rpt\Revenue Program & Rate.doc Book Page 105 r r r • The Capital Improvement Reserve was established to fund annual increments of the capital improvement program with a target level at one half of the average annual capital improvement program through the year 2020. Levels higher and lower than the target can be expected while the long-term financing and capital improvement programs r are being finalized. • The Catastrophic Loss, or Self-Insurance Reserve is established for property damage r including fire, flood and earthquake, general liability, and workers' compensation. The 1 level of reserve in this fund is maintained at a level to fund the District's non-reimbursed costs, which are estimated to be $57 million. Ir { r r ' l r l L L f L i L I \._ ! L L t L • The Short-Term Capital Fund Reserve was created for specific short-term capital improvements such as the GWRS. • The Capital Replacement/Renewal Reserve was established to provide thirty percent of the funding to replace or refurbish the current collection, treatment, and disposal facilities. The current replacement value of these facilities is estimated to be approximately $5.38 billion. The initial reserve level for this fund was established at $50 million and is augmented by interest earnings and a portion of the annual Sewer Service Charges. • Debt Service Reserves are controlled by a trustee pursuant to the provisions of certificates of participation issues and is not available for the general needs of the District. • The Rate Stabilization Reserve accumulates all available funds that exceed the targets for all other reserves. The Rate Stabilization Reserve is a separate fund from the Rate Stabilization Account established under the Trust Agreement. These funds are applied to future years' needs and must be maintained at specified levels. There is currently no established target for this reserve. • Adjustments to the total reserves reflect ability of one reserve to support the requirements of other reserves. Not all reserves will be fully utilized at any given point. 3.3 Findings and Recommendations The results of the revenue requirements are summarized in Table 3. Annual rate increases are shown expressed on a percentage basis. DRAFT -April 6, 2006 12 H:\Client\Ocsd_PHXVll\7408AOO\Rpt\Revenue Program & Rate.doc Book Page 106 Table 3.3 Revenue Requirements Revenue Program and Rate Update Orange County Sanitation District FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 ~o Revenues 2007 2008 2009 2010 2011 ~~ 5: 'Tl User Charges $ 147,243,628 $168,898,748 $193,738,687 $222,231,836 $253,799,868 ~ -i l!l_, Other Operating Revenues 29,914,489 '-u )> 26,056,728 24,950,157 25,758,603 27,586,547 :r-c >< -, Non-Operating Revenues 67,533,527 ;:1:= 55,560,000 58,338,000 61 ,254,900 64,317,645 .... a, .i,. -0 Intra-District Revenues 00 I\J ~o S!O ::u 0) -g Self-Insurance 2.599.000 2,599,000 2,599.000 2,599,000 2,599,000 ::u Total Revenues $316,735,029 $353,846,885 (D $ 231,459,356 $254,785,905 $283,351, 191 <: (D ::J C: Expenditures (D "ll IXJ a <O Ongoing Operating Expenses 0 iil 0 3 ~ po Operating Expenses $ 129,308,110 $138,502,130 $147,292,361 $156,650,748 $166,614,622 ~ ::u GI $' Reserve Contributions (Q Cl. 0 C1) (') ..... Other Operating Expenses 0 ...... Debt Service 57,786,240 70,669,047 87,907,206 102,721,906 114,608,054 Miscellaneous Capital Replacement Funding ---1,157,625 Rate Funded Capital Improvements 9,101 ,807 49,328,619 49,069,438 31,606,403 52,069,197 Bond Coverage Requirements 32,392,585 -19,246,819 52,662,367 43,169,890 Policy Driven Rate Increase 20,982,217 17,755.182 3,686.504 1,051 .482 4 607 607 Total Expenditures $ 249,570,958 $276,254,977 $308,359,954 $344,692,906 $381,069,370 Revenues Surplus (Deficiency)· $ (18,111 ,602) $ (21,469,072) $ (25,008,763) $ (27,957,877) $ (27,222,485) Projected Rate Increase 14.25% 14.25% 14.25% 13.75% 11 .75% * Surplus (Deficiency) before rate increase ...... (,) r r L t L L L L L At the direction of the District, rate increases have been levelized (smoothed), to allow for gradual increase, eliminating significant rate spikes. Rate levelization provides two significant benefits. First, increasing rates over a multi-year period can help reduce rate shock to a utility's customers and allow them to better plan for projected increases. Second, by increasing rates over time in anticipation of large capital expenditures, the District will temporarily generate excess cash reserves through FY 2011/12, which can be used to cash fund a greater portion of the CIP, thus reducing the magnitude and costs of borrowing. Further, bond rating agencies (Moody's, Fitch ICBA, and Standard and Poor's) have placed increasingly greater weight on good business practices when assigning credit ratings. These business practices include, among others, balancing cash and debt financing, as well as the implementation of proactive rate increases, which demonstrate a municipality's commitment to meeting its stated and require level-of-service and environmental objectives. 4.0 RATE STRUCTURE ANALYSIS 4.1 Introduction Sewer service charges are developed to equitably allocate costs to users to operate, service debt, and perform repairs and replacements for wastewater collection and treatment systems. The overall procedure used to develop sewer service charges is as follows: • Revenue Needs. Define the annual revenue that must be recovered from sewer service charges and permit users. • Functional Allocation. Determine the percentage allocation of O&M and capital costs to the billable constituents: flow, Biochemical Oxygen Demand (BOD), and Total Suspended Solids (TSS), based upon the existing allocation methodology. • Unit Costs. Develop unit costs for each billable constituent by dividing the total cost allocated to that constituent by the total wastewater flow or loadings of that constituent. • Customer Category Rates. Develop rates for each customer category, by applying unit costs to estimated flows and related loadings for each category. The District collects Sewer Service Charges from property owners through the semi-annual property tax bill distributed by the County throughout the District, except in Revenue Area No. 14. Pursuant to the IRWD Agreement, the District receives payments from the Irvine Ranch Water District (the "IRWD"), which directly collects fees from customers through a monthly billing procedure in Revenue Area No. 14. In May 2005, the Board adopted Ordinance No. OCSD-26 increasing the FY 2005-06 single family residential rate 31 percent, from $115.00 to $151.00 per year. This increase was necessary in order to meet the District's cash flow needs due to the addition of disinfection treatment and other operating requirements. DRAFT -April 6, 2006 14 H:\Client\Ocsd_PHXVl/\7408A00\Rpt\Revenue Program & Rate.doc Book Page 108 Table 4.1 shows the approved residential rate increases. Table 4.1 Sewer Service Charges Revenue Program and Rate Update Orange County Sanitation District Annual Single Family Percentage Fiscal Year Residence Rate Increase 2005-06 $151.00 31.3% 2006-07* $181.00 19.9% 2007-08* $217.00 19.9% Source: Ordinance No. OCSD-26. * Proposed. Commercial Sewer Service Charges. The sewer service charges for commercial categories are based on a multiplier of the Single Family Residential charge. Industrial Sewer Service Charges. The District charges industrial sewer service charges to customers discharging high-strength or high-volume wastes into the sewer systems. Customers subject to industrial sewer service charges are billed directly by the District. The fee charged to each customer is based on the customer's sewage volume, the concentration of Biochemical Oxygen Demand, and Total Suspended Solids. 4.2 Revenue Needs The revenue needs are defined as the amount of revenues that must be recovered through sewer service charges and permit user charges in order to cover annual expenditures less any offsetting revenues. Offsetting revenues can include interest earnings, IRWD and SAWPA payments, and other non-operating revenues. Expenditures and offsetting revenues for FY 2006/07 are as follows: DRAFT -April 6, 2006 15 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 109 r r [ l L ' L l L Table 4.2 Expenditures and Off-Setting Revenues Revenue Program and Rate Update Orange County Sanitation District FY 2006 Expenditures 2007 Ongoing Operating Expenses Operating Expenses $ 129,308,110 Reserve Contributions Other Operating Expenses Debt Service 57,786,240 Miscellaneous Capital - Replacement Funding -- Rate Funded Capital Improvements 9,101,807 Bond Coverage Requirements 32,392,585 Policy Driven Rate Increases 20,982,217 Less Off-Setting Revenues Other Operating Revenues (26,056,728) Non-Operating Revenues (55,560,000) Intra-District Revenues - Self-Insurance (2 599 000) Total Revenue Needs: $ 165,355,230 In FY 2006/07, $165 million must be recovered through sewer service charges and permit user charges to cover the District's annual expenditures. 4.3 Functional Allocation The District's existing allocation methodology was used as the basis to develop sewer service charges. Bartle Wells Associates reviewed the District's allocation and concurred that the allocation was reasonable. Their findings are documented in the January 2006 draft report, "Review of Rates and Charges Report," which will be finalized in May 2006. This study does not modify the District's existing allocations. To develop sewer service charges, unit rates per unit of flow, BOD, and TSS are applied to standard flow and loading factors developed for most customer categories. Users with unusually high flows and/or strength of wastewater, known as "Permit Users," are charged based on measured wastewater flows and strengths. DRAFT -April 6, 2006 16 H:\Client\Ocsd_PHXVV\7408A00\Rpt\Revenue Program & Rate.doc Book Page 11 O Table 4.3 presents a summary of the allocation percentage basis: Table 4.3 Allocation Percentage Basis Revenue Program and Rate Update Orange County Sanitation District Description Flow BOD TSS Treatment Expenditures 24% 31% 46% Plant-in-Service 55% 30% 15% GIP 44% 37% 19% Non-Assignable Costs 32% 33% 34% Table 4.4 illustrates how expenditures and offsetting revenues are allocated to flow, BOD, and TSS, based on the allocation percentage listed above. DRAFT -April 6, 2006 H:\Client\Ocsd_PHXWl7408A00\Rpt\Revenue Program & Rate.doc Book Page 111 17 r-r-r--r--r-r-r--------i -----i I -7 Table 4.4 presents the allocation of costs to billable constituents: ::i:o ~~ a "'T1 §--1 ~· l"C )> :c-c i~ --.JC) -I>. ~N >o 80 :;ii C) "S f C (I) "C a (Q iil llJ 3 0 Qo 0 ;a :II" ~ ~ ~ ~ """ """ N ...... 0) Table 4.4 Functional Allocation of Costs Revenue Program and Rate Update Orange County Sanitation District Expenditures Ongoing Operating Expenses Operating Expenses $129,308, 110 Reserve Contributions - Other Operating Expenses New Debt Service 57,786,240 Miscellaneous Capital -- Rate Funded Capital Improvements -- Replacement Funding 9,101,807 Bond Coverage Requirements 32,392,585 Policy Driven Rate Increases 20,982,217 Less Off-Setting Revenues Other Operating Revenues (26,056,728) Non-Operating Revenues (55,560,000) Intra-District Revenues -- Self-Insurance (2,599,000) Subtotals: $165,355,230 Functional Allocation Flow BOD 24% 31% 32% 33% 44% 37% 44% 37% 44% 37% 55% 30%. 44% 37% 32% 33% 32% 33% 32% 33% 32% 33% 32% 33% $ 53,521,546 $ 55,175,631 $ --, ~ --, ~-,-, -~'7 TSS 46% As Treatment Expenditures 34% As All Others 19% As CIP 19% AsCIP 19% AsCIP 15% As Plant-in-Service 19% As CIP 34% As All Others 34% As All Others 34% As All Others 34% As All Others 34% As All Others 56,658,053 --~ " 4.4 Unit Costs Residential and Commercial Sewer Service Charges Calculation Residential and commercial sewer service charges are calculated on a EDU base charge. Each residential and commercial category has a defined flow and strength (BOD and TSS) assumption. To develop sewer service charges, unit rates per unit of flow, BOD, and TSS are applied to standard flow and loading factors developed for most customer categories. a) EDU Defined Equivalents Calculation. The number of existing users was determined using a fee-based approach. The number of EDUs was determined by taking the total revenue and dividing by the Single Family Residential rate of the same year. The projected number of customers served by the District for the Fiscal Year 2006-07, identified in EDUs, is 975,123. The following table presents flow and load information from the District's plants. Table 4.5 Total Flow and Load Information Revenue Program and Rate Update Orange County Sanitation District Description Flow(mgd) BOD Load TSS Load (ppd) (ppd) Plant 1 and 2 220 433,939 466,026 The flows and loadings per EDU treated by the District in FY 2004/05 are as follows: Table 4.6 Flow and Load per EDU Program and Rate Update Orange County Sanitation District BOD TSS Flow Concentration Concentration (flow-gpdltotal (BOD-mglUtotal (TSS-mglUtotal Description EDUs) EDUs) EDUs) EDU Equivalent Calculations 226 236 253 (w/o SAWPA and IRWD) b) Total Annual Flow and Loads Calculation. Based on these flows and loadings, the totals are as follows: (. DRAFT -April 6, 2006 19 H:\Client\Ocsd_PHXI/V\7408A00\Rpt\Revenue Program & Rate.doc Book Page 113 r l r l l [ Table 4.7 Total Annual Flow and Loads Revenue Program and Rate Update Orange County Sanitation District Description Flow (mgd) BOD Load (lbs) TSS Load (lbs) Customer Information 80,464,880 158,387,684 170,099,310 Total Annual Flow and Loads c) Unit Cost Calculation. The unit cost was calculated by taking the cost allocations for flow, BOD and TSS, and dividing it by the total annual flow and loads. Table 5 presents the unit cost per flow, BOD and TSS. Table 4.8 Unit Cost Calculation Revenue Program and Rate Update Orange County Sanitation District Flow BOD TSS Cost Allocation $53,521,529 $55,175,615 $56,658,043 -;-Total Flow (1,000 gal) Total B.O.D. (lbs) Total T.S.S. (lbs) Total Annual Flow and Loads 80,464,880 158,387,684 170,099,310 = $ / 1,000 gals $/lbs B.O.D $/lbs B.O.D Unit Costs $0.67 $0.35 $0.33 d) Annual Charge per EDU Calculation. Table 4.9 Annual Charge per EDU Calculation Revenue Program and Rate Update Orange County Sanitation District Flow BOD TSS Equivalent Dwelling Unit Gal/Day B.O.D. (mg/I) T.S.S. (mg/I) Defined Flows and Loads 226 236 253 1,000 Gal/Yr. B.O.D. (lbs) / Yr. T.S.S. (lbs) / Yr. 83 164 176 Annual Charge per EDU $54.89 $57.19 $58.73 Total: $170.81 DRAFT -April 6, 2006 20 H:\Client\Ocsd_PHX\M7408A00\Rpt\Revenue Program & Rate.doc 4.5 Customer Category Rates The single family residential (SFR) sewer service charge is based on typical flow and loadings for an average 3-bedroom home and serves as the base rate to calculate rates for other users. Users are charged a percentage of the SFR rate as specified in Ordinance No. OCSD-26 (OCSD-26), the Fees and Charges Ordinance. These use factors are based on the average flow and strength characteristics for the type of property, charged on a per 1,000 square-foot basis. Eg. 1: Multi-family residential with factor 0. 7 Annual cost: $170.81 X 0.7 = $119.57 Eg. 2: Neighborhood shopping center with factor 1.39 Annual cost: $170.81 X 1.39 = $237 .43 Eg. 3: Take-out restaurant with factor 3.0 Annual cost: $170.81 X 3.0 = $512.43 Industrial User Sewer Service Charges The District's industrial users are charged individually based on the measured quantity of each of the billable constituents. The calculation of the charges is based on the user's flows and loads. Table 4.10 presents the unit costs that are recommended. Table 4.10 Proposed Industrial User Sewer Service Charges Revenue Program and Rate Update Orange County Sanitation District $ I 1,000 gals $/lbs 8.0.D $/lbs 8.0.D Unit Costs $0.67 $0.35 $0.33 4.6 Findings and Recommendations It is recommended that the District adopt a sewer service charge of $170.81 per EDU per year for FY 2006/07. In subsequent years, we recommend that the District increase sewer service charges between 11.25 percent and 14.25 percent annually, as illustrated in Table 4.11. DRAFT -April 6, 2006 21 H:\Client\Ocsd_PHXIM74DBA00\Rpt\Revenue Program & Rate.doc r r i r r i • l L L L Table 4.11 Projected Sewer Service Charges Revenue Program and Rate Update Orange County Sanitation District Annual Single Family Percentage Fiscal Year Residence Rate Increase 2006-07 $172.50 14.25% 2007-08 $197.00 14.25% 2008-09 $225.25 14.25% 2009-10 $256.25 13.75% 2010-11 $286.25 11.75% 5.0 CAPITAL FACILITIES CAPACITY CHARGE ANALYSIS 5.1 Introduction Capital Facilities Capacity Charges (formerly known as connection fees) are one-time fees paid at the time property is developed and connected to the Wastewater System. The fees are levied to pay a portion of the District's capital costs and for access to capacity in the Wastewater System. Currently, the District has Capital Facilities Capacity Charges of $2,890 per residential unit (three-bedroom) and $1,050 per 1,000 square feet for commercial and industrial users. Under the current industrial use ordinance, additional CFCCs, referred to as Supplemental Capital Facilities Capacity Charges, can be imposed on industrial users who place larger than average demands on the Wastewater System. Capital Facilities Capacity Charges are reviewed annually to reflect the changes in the value of the Wastewater System to which a new customer is connecting. CFCCs are designed to recover capital costs of providing capacity for new users. They may fund future capacity expansion projects. The underlying premise is to charge each new user the estimated reasonable cost of providing capital facilities necessary to provide wastewater service (i.e., require growth to pay for growth). Absent such charges, existing customers would be required to bear the burden of all capital costs, including capacity- related costs, through rates. Consequently, new customers would receive the benefit of sewer availability, without themselves paying for that capacity. Similar to the District's sewer service charges, the base CFCC is equal to the capital costs required to support the wastewater flows and loadings estimated for an average 3-bedroom single-family residence, or per Equivalent Dwelling Unit (EDU). Other residential rates are calculated relative to this base charge, based upon the assumed flows and loading. Commercial and industrial CFCCs are calculated in units of CFCC per 1,000 square feet. Permit Users are subject to a supplemental charge based on the expected flows and loadings in excess of the maximum allowed for under base commercial/industrial CFCCs. The supplemental charge is equal to the unit cost of flow, BOD, and SS capacity. Permit DRAFT -April 6, 2006 H:1Client\Ocsd_PHXWl7408A00\Rpt\Revenue Program & Rate.doc Book Page 116 22 Users are also subject to increases in CFCCs if flows and/or loadings significantly exceed the amount of capacity previously allocated and paid for, at the same rate as the supplemental charges described above. Pursuant to an agreement with the IRWD, the IRWD is not required to pay Capital Facilities Capacity Charges. In exchange, the IRWD provides funding to the District for the construction costs of certain wastewater collection, transmission, treatment, and disposal facilities to be used by the I RWD and is obligated to make certain payments to the District for certain services arising from the Wastewater System (including any standby or availability charges). 5.2 Methodology The CFCC, as calculated for this study, evaluates future expansion related capital expenditures only. These costs will be incurred to provide available capacity for new system users. As expressed in the formula below, the CFCC is calculated by dividing the future expansion GIP costs by the total number of future connections expressed in EDUs. 5.2.1 CFCC = Cost of Added Capacity with New Facilities Future Users (EDUs) Approach and Assumptions The following assumptions were used in calculating the CFCC alternatives: • Future Facilities. The cost of future expansion facilities are projected to total $354 million through FY 2020/21, stated in 2006 dollars. The GIP used within this analysis represents the District's projected expenditures at this point in time. • Flow and Load Basis. All CFCC calculation alternatives included in this report are based upon EDU flow of 226 gallons per day (gpd). Strength characteristics are assumed to equal to 0.45 lb/day BOD and 0.48 lb/day TSS, commensurate with single-family residential strength assumptions. • Available Remaining EDUs. The Center for Demographic Research projects the population with the District's service area to increase from 2.28 million in 2005 to 2.47 million by 2020. This growth rate equates to roughly 78,120 new EDUs through the planning period ending in FY 2021/22. Additionally, SAWPA is projected to purchase an additional 4 mgd of treatment capacity, beyond its current 13 mgd ownership. This additional capacity requirement equates to roughly 14,252 new EDUs. In total, 92,372 new EDU are projected to connect through the planning period. • Residential and Commercial EDUs. Based upon the District's customer billing records, approximately 58 percent of the current EDU are residential and 42 percent are commercial/industrial. This same percentage split between residential and commercial is assumed to continue for all new EDUs connecting to the wastewater system. DRAFT -April 6, 2006 23 H:\Client\Ocsd_PHXWl7408A00\Rpt\Revenue Program & Rate.doc Book Page 117 r r ,-- L L L L I b L 5.2.2 CFCC Calculation Allocation to Billable Constituents The total expansion cost as calculated in the Capital Improvement Program was allocated to billable constituents -flow, BOD, and TSS. To accomplish this, project expenditures were assigned to treatment unit processes. Based on the capital allocation for each unit process, projected expenditures were assigned to the three billable constituent categories. For example, headwork projects are allocated 75 percent to flow, 5 percent to BOD, and 20 percent to TSS. Consequently, all headwork-related expenditures would be allocated to the flow, BOD, and TSS according to the same percentages. The allocation percentages for the headwords and all other unit processes were previously presented in Table 2.4. Table 5.1 presents the expansion CIP costs breakdown based on the allocation for all projects. Table 5.1 CIP Billable Constituents Cost Breakdown Revenue Program and Rate Update Orange County Sanitation District Total CIP Costs Flow BOD TSS Expansion Cost $354,307,038 $157,512,922 $174,074,367 $22,719,749 Percentage 100% 44% 49% 6% Allocation These capital expenditures are then allocated to residential and commercial-industrial customer categories. Residential users and commercial-industrial users are treated differently on two accounts. First, residential CFCCs are recovered on an EDU basis. Commercial-industrial CFCCs are recovered on a 1,000 square foot basis. Additionally, residential users are assumed to be responsible for a majority of the District's inflow and infiltration (l&I). During wet weather events, non-point source water enters the wastewater collection system and must be treated with all other wastewater flows at the treatment facilities. The District experiences a 2.0 peaking factor during wet weather. Much of the inflow and infiltration (l&I) enters the sewer system through the laterals connecting users to the collection systems. Based on the length of the laterals, is assumed that 99.9 percent of the length of the laterals within the District's service area connect residential units to the sewer system. The flow cost component of the CFCC is divided by the 2.0 peaking factor. A base line factor of 1.0 is attributable to treating new wastewater flows discharged by future users. This cost is allocated between residential and commercial-industrial users based on a pro rata share of projected wastewater flows -58 percent residential and 42 percent commercial-industrial. The flow cost component attributable to l&I, or the incremental sizing DRAFT -April 6, 2006 24 H:\Client\Ocsd_PHXIM740BA00\Rpt\Revenue Program & Rate.doc Book Page 118 requirements to treat for peak flows (2.0 less the base line of 1.0), is allocated wholly to residential. Consequently, half of the District's flow-related expansion costs are assumed to be attributable to providing additional capacity for future users wastewater discharges, and half of the flow-related costs are assumed to be attributable to providing additional capacity necessary to treat l&I during wet weather events as new users connect to the system. The 8.O.D. and T.S.S. cost components are allocated to residential and commercial- industrial based on a pro rata share of projected loadings. The allocation of costs is presented in Table 5.2 below. This allocation methodology was adopted by the District during its last Rate Advisory Committee process. Table 5.2 Expansion Expenditure Allocation Revenue Program and Rate Update Oranae County Sanitation District Total Flow 8.0.D. T.S.S. Expansion Expenditures $354,307,038 J $157,512,922 $174,074,367 $22,719,749 Residential Total Flow ~ 8.0.D. I T.S.S.t Allocated Expenditures $234,962,303 r $120,234,541 $101,482,519 $13,245,243 Percentage Share of Total Expenditures 66% 76% 58% 58% · Commercial-Industrial Total Flow 8.0.D. T.S.S. / Allocated Expenditures $119,344,735, $37,278,381 $72,591,848 $9,474,506 Percentage Share of Total 42% I Expenditures 34% 24% 42% Residential Capital Facilities Capacity Charge Calculation. Unit costs per EDU for flow, BOD, and TSS were developed by dividing the costs for each functional cost category by the number of projected EDUs. The calculation is shown below in Table 5.3: Table 5.3 Residential CFCC Calculation Revenue Program and Rate Update Orange County Sanitation District I Expansion Projects EDUs CFCC per EDU Total Flow $234,962,303 53,851 $4,363 $120,234,541 53,851 $2,233 8.0.D. $101,482,519 53,851 $1,884 T.S.S. $13,245,243 53,851 $246 Commercial-Industrial Capital Facilities Capacity Charge Calculation. DRAFT -April 6, 2006 25 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 119 r r { l L L L i L Unit costs per 1,000 square feet for flow, BOD, and TSS were developed by dividing the costs for each functional cost category by the number of projected 1,000 square feet of future commercial-industrial users. The calculation is shown below in Table 5.4: Table 5.4 Commercial-Industrial CFCC Calculation Revenue Program and Rate Update Orange County Sanitation District Total Flow B.0.0. T.S.S. Expansion Projects 1,000 sq ft $119,344,735 $37,278,381 $72,591,848 $9,474,506 CFCC per 1,000 sq ft 91,340 $1,307 91,340 $408 91,340 $795 91,340 $104 The CFCC methodology presented within this report reflects an update to the District's Capital Improvement Program and growth projections only. No change to the CFCC methodology is proposed. 5.2.3 Supplemental Capital Facilities Capacity Charge As discussed above, permit users that exceed designated flow and loading discharges are subject to a supplemental capital facilities capacity charge (SCFCC). The SCFCC is intended to recover the cost of providing capacity to these customers, not recovered through the initial CFCC that is imposed upon the industrial user at the time it is connected to the wastewater system. The initial industrial CFCC is collected at the time of building permit application, by the local cities and sanitary districts that are tributary to the OCSD system. It is based on the square footage of the new improvements on the site. Since there are 23 cities/sanitary districts spread over the 471 square mile OCSD service area, this is the most expeditious way for both the industry to pay and OCSD to collect the CFCC. However, since the costs that the CFCC is meant to pay for are incurred and accounted for based on the flow and strength of the wastewater treated, there has to be an adjustment to reconcile the difference between the levied square footage charge and the actual costs incurred that are related to the flow and strength of the treated wastewater. In addition, industrial users typically have a higher flow and strength wastewater than the initial square footage charge is meant to compensate for. The SCFCC reconciles these differences. It is commensurate with a rental rate, in which the user is required to pay an equitable rental charge for capacity used within the system beyond the initially purchased capacity. The alternative would be for each industry to apply directly to OCSD for an up-front CFCC charge based on the anticipated flow and strength of the wastewater that they will discharge into the system. For an industry that has a high flow and/or strength discharge into the system, an up front fee could be in the millions of dollars. In addition, since industrial flows and strengths can vary considerably from year to year, based on the business climate, an up-front fee would not accurately capture the actual impact on the system. Thus, most of the time the industry would be either over paying or under paying. DRAFT -April 6, 2006 26 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 120 The SCFCC allows the industry to only pay for the capacity they require and to do it on a yearly basis. This makes the charge more accurate and reduces the large up-front cash outlay that would be necessary for a one time CFCC. The SCFCC is calculated based on the same methodology as the CFCC. The District's total projected expansion related capital expenditures are divided by the total number of future EDUs served with the expansion the wastewater system. These costs are then amortized over a thirty-year period at a 5 percent interest rate. Finally, amortized costs are divided by the base flow and loadings contributed per EDU. The SCFCC calculation is shown in Table 5.5. Like the CFCC this is a significant increase over the current SCFCC. The increase reflects the update to the District's CIP, which includes shifts in costs, the flow, 8.0.D., and T.S.S. Table 5.5 Supplemental Capital Facilities Capacity Charge Calculation Revenue Program and Rate Update Orange County Sanitation District Total Flow 8.0.D. T.S.S. Expansion Projects $354,307,038 $157,512,922 $174,074,367 $22,719,749 EDUs(1J 92,372 92,372 92,372 CFCC per EDU $1 ,705 $1,884 $246 Amortized CFCC(2l $110.93 $122.59 $16.00 + 226 0.45 0.48 Per Gallon Per lbs. Per lbs. SCFCC $0.001344 $0.754730 $0.091720 ( 1) Total EDUs of future capacity (2) Amortized at 5% for 30 years 5.3 Findings and Recommendations It is recommended that the District adopt the residential CFCC, commercial-industrial CFCC, and SCFCC as presented above. The recommended charges are presented in Table 5.6. DRAFT -April 6, 2006 27 H:\Client\Ocsd_PHXW\7408A00\Rpt\Revenue Program & Rate.doc Book Page 121 [ l [ L Table 5.6 Recommended CFCC and SCFCC Revenue Program and Rate Update Orange County Sanitation District Total Flow B.O.D. T.S.S. Per EDU Residential CFCC $4,363 $2,233 $1,884 $246 Per 1,000 sq ft Commercial- Industrial CFCC $1,307 $408 $795 $104 Per Gallon Per lbs. Per lbs. SCFCC $0.001344 $0.754730 $0.091720 This analysis assumes that the CFCC and SCFCC will be escalated each year to reflect the current value of the facilities or the current cost of capital projects. The District can apply an annual cost escalator based on such commonly accepted price indicators as the Engineering News Record Construction Cost Index for Los Angeles, or the Consumer Price Index (CPI). DRAFT -April 6, 2006 28 H:\Client\Ocsd_PHXIM7408A00\Rpt\Revenue Program & Rate.doc Book Page 122 Appendix A PROJECT CALCULATIONS l Book Page 123 r-r-c-: r--r---• r-r--1 ' r.,,.-~--. •· , 2003 Acquisition / Construction Principal Payments $ s $ $ Interest Payments 14,221,250 14,221 ,250 14,221,250 Total Annual Payments $ 14,221,250 $ 14,221,250 $ 14,221,250 $ 2006 Certificates of Participation Principal Payments $ 6,160,000 $ 6,340,000 $ 6,555,000 $ Interest Payments 6,121,000 5,938,392 5,717,822 Total Annual Payments $ 12,281,000 $ 12,278,392 $ 12,272,822 $ FY 2006 FY 2007 FY 2008 Total Senior COP Debt 2007 2008 2009 Principal Payments $ 19,625,000 $ 20,605,000 $ 21,615,000 $ Interest Payments 34511 854 33,641 812 32 535 390 Total Annual Payments $ 54,136,854 $ 54,246,812 $ 54,150,390 $ Junior Debt Principal Payments Interest Payments Total Annual Payments $ $ $ $ tD Junior Debt 0 Principal Payments 0 ~ Interest Payments ~ Total Annual Payments $ $ $ $ CQ Cl) Junior Debt ..... ~ Principal Payments (0 Interest Payments Total Annual Payments $ $ $ $ FY 2006 FY 2007 FY 2008 Total Junior Debt 2007 2008 2009 Principal Payments $ $ $ $ Interest Payments Total Annual Payments $ $ $ $ Prepared by Carollo Engineers Page 2 -I 14,221,250 14,221,250 6,755,000 5,522,664 12,277,664 FY 2009 2010 22,865,000 31 502,548 54,367,548 FY 2009 2010 --. $ $ 14,221,250 $ 14,221,250 $ $ 6,965,000 $ 5,310,566 $ 12,275,566 $ FY 2010 2011 $ 24,030,000 $ 30 363.193 $ 54,393,193 $ $ $ $ -s $ $ FY 2010 2011 $ $ $ $ ---i $ 14,221,250 14,221,250 $ 7,175,000 $ 5,101,057 12,276,057 $ FY2011 2012 24,770,000 s 29,408,561 54,178,561 $ $ $ $ FY2011 2012 $ $ .-"1 -, --:, --, ---, $ $ 14,221,250 14,221,250 14,221,250 14,221,250 $ 14,221,250 $ 14,221,250 7,420,000 $ 7,645,000 $ 7,885,000 4,857,345 4,633,485 4,393,413 12,277,345 $ 12,278,485 $ 12,278,413 FY 2012 FY 2013 FY 2014 2013 2014 2015 25,890,000 $ 41,185,000 $ 28,185,000 28,330.152 26.481 ,998 25.316.614 54,220,152 $ 67,666,998 $ 53,501,614 $ $ $ $ $ $ FY2012 FY 2013 FY2014 2013 2014 2015 $ s $ $ 4/6/2006 FUTURE DEBT SERVICE FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY2011 FY 2012 FY 2013 FY2014 Certificates of Participation 2007 2008 2009 2010 2011 2012 2013 2014 2015 Principal Payments s 844,386 $ 3,841,954 $ 8,044,883 $ 11,824,669 s 15,160,155 $ 18,029,127 $ 19,774,969 $ 20,763,717 $ 21,801,903 Interest Paymenls 2,805,000 12,580,281 25,711,933 36,529,689 45,054 705 51 ,309.198 53,212 741 52,223,!l93 51,185,807 Total Annual Payments $ 3,649,386 $ 16,422,235 $ 33,756,816 $ 48,354,358 $ 60,214,861 $ 69,338,325 $ 72,987,710 $ 72,987,710 $ 72,987,710 Added Reserve Requirement $10,200,000 $25,500,000 $22,950,000 $17,850,000 $15,300,000 $10,200,000 $0 $0 $0 Alternate Loans [Traditional Structure] Principal Payments $ $ $ s $ s $ $ $ Interest Payments Total Annual Payments s $ s $ s $ s $ $ Added Reserve Requirement $0 $0 $0 $0 $0 $0 $0 $0 $0 Alternate Loans [Level Principal Payments] Principal Payments $ $ $ $ $ $ $ s $ Interest Payments - Total Annual Payments $ $ $ $ $ $ $ $ $ Added Reserve Requirement $0 $0 $0 $0 $0 $0 $0 $0 $0 a, Debt Assumptions FY 2006 FY 2007 FY 2008 FY 2009 FY2010 FY2011 FY2012 FY 2013 FY2014 0 Certificates of Participation 2007 2008 2009 2010 2011 2012 2013 2014 2015 0 :ii;-Debt Proceeds $ 100,000,000 $ 250,000,000 $ 225,000,000 $ 175,000,000 $ 150,000,000 $ 100,000,000 $ $ -s ~ Term of Bond 30 years 30 years 30 years 30 years 30 years 30 years 30 years 30years 30 years CQ Interest Rate 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% 5.00% (I) Issuance Costs 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% 2.00% .... Reserve Requirement 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% w 0 Alternate Loans [Traditional Structure] Debt Proceeds $ $ $ $ $ $ $ $ $ Debi Payments $ $ $ $ $ $ $ $ $ Term of Bond 20 years 20 years 20 years 20 years 20 years 20 years 20 years 20 years 20 years Interest Rate 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% Issuance Costs 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Reserve Requirement 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Alternate Loans [Level Principal Payments] Debt Proceeds $ s $ $ $ $ $ s $ Term of Bond 20 years 20 years 20 years 20years 20 years 20 years 20 years 20 years 20years Interest Rate 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% 2.50% Issuance Costs 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Reserve Requirement 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Pre~~e~ b_Y Caroll~ Engineers Page 3 4/6/2006 RESERVE REQUIREMENT FY 2006 FY 2007 FY 2008 FY 2009 FY 2010 FY2011 FY 2012 Operating Fund 2007 2008 2009 2010 2011 2012 2013 Cash Flow Reserve -50% Operating Expenditures 50% $ 64,654,055 $ 69,251,065 $ 73,646,180 $ 78,325,374 $ 83,307,311 $ 83,307,311 $ 92,361,902 -Annual Debt Service 57,786,240 70,669,047 87,907,206 102,721,906 114,608,054 123,516,886 127,207,862 Operating Contingency -10% Operating Expenditures 10% 12,930,811 13,850,213 14,729,236 15,665,075 16,661,462 16,661,462 18,472,380 Capital Improvement Reserve -50% Annual Average GIP 50% 84,779,357 77,707,846 71,435.458 67,059,727 61,906,900 58,529,000 56,613,313 Self-Insurance -$57 Million 57,000,000 57,000,000 57,000,000 57,000,000 57,000,000 57,000,000 57,000,000 Certificate of Participation Reserve -10% of Outstanding COPs 10% 92,007,543 117,879,323 140,689,570 157,390,151 170,763,241 178,098,016 173,895,821 Capital Replacement Reserve 53,060,000 54,121,000 55,203,000 56,307,000 57,433,000 58,562,000 59,754,000 Adjustments (40,000,000) (40,000,000) (40,000,000) (40,000,000) (40.000,000) (40,000,000) (40,000,000) Ending Fund Balance $ 362,218,005 $ 420,478,494 $ 460,610,651 $ 494,469,232 $ 521,679,968 $ 535,694,674 $ 545,305,279 a:, 0 0 FUND RESERVES :a;,, ~ (Q OPERATING & CAPITAL RESERVES Cl) ..... FY 2006 FY 2007 FY 2008 FY 2009 FY 2D1D FY2011 FY 2012 c.., Operating & Capital Fund 2007 2008 2009 2010 2011 2012 2013 ..., Beginning Balance $ 510,000,000 $ 435,864,422 $ 438,233,676 s 461,167,000 $ 514,880,849 $ 561,796,485 $ 616,351,885 IRWD Equity Payments 9,833,783 15,387,230 11,998,036 12,030,146 13,002,553 10,394,534 7,614,698 Grants 9,127,000 10,715,000 6,700,000 6,700,000 6,700,000 6,700,000 6,700,000 Developer Contributions CFCC Revenues 1 12,046,775 12,601,557 13,185,621 13,800,548 14,448,004 15,129,747 15,847,628 Bond Proceeds 100,000,000 250,000,000 225,000,000 175,000,000 150,000,000 100,000,000 less: Use of Funds (258,789,553) (304,089,715) (256,883,657) (207,530,694) (184,150,557) (158,326,092) (101,209,133) plus cash flow 53 646,417 17 755 182 22,933,324 53 713 849 46,915,636 80,657,211 82,518,374 Ending Fund Balance $ 435,864,422 $ 438,233,676 $ 461,167,000 $ 514,880,849 $ 561,796,485 $ 616,351,885 $ 627,823,652 435,864,422 438,233,676 461,167,000 514,880,849 561,796,485 616,351,885 627,823,652 Prepared by Carollo Engineers Paoe ~ 4/6/2006 .. Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.131 .riil S638 BODl4l Pleion Corporation #2 0.58 $372 0.659 Data Aire Inc. #2 0.50 $316 0.967 Avlaflon Equipment, Inc. 0.58 $368 0.324 Engravers Ink Co. Ltd 0.12 $75 0.029 Amerimax Building Product1 0.92 $587 0.418 Dlsnevland Resort 332.30 $211,860 687.548 B I Technologies, Inc. 1.19 $756 1.966 Taylor-Dunn Manufacturing 1.18 $750 2.485 Veeco Eledro Fab Inc. #2 0.19 $124 0.041 Caran Precision Englneerin, 0.48 $304 0.993 Boeing Companv (Cypress} 0.72 $456 1.491 Allied Pacrfic Metal Stampln 0.61 S390 1,042 Air Industries Company -A 0.42 $266 1.704 Statek Corporation #2 0.68 $434 0.331 Pacific Utility Products Inc. 0.18 $114 0.394 Hyatt Die Casting & Engine, 0.51 S326 1.063 Anaheim Extrusion Co. Inc. 0.50 S321 0.977 Georgia Pacific Corporation 2.41 $1;534 15.825 Bearing Inspection Inc. 2.01 $1 ,285 4.489 X z X Electronics 0.17 $107 0.210 A RO Service 0.24 $156 0,174 Independent Forge Compar 0.23 $1 48 0.298 Jellco Container Inc. 0.69 $440 1.642 General Container Corpora1 0.44 $281 0.772 S PS Technologies 5.29 $3,375 5.114 Bee-Mag Plating 0.58 $370 0.057 Basic Electronics Inc, 0.21 $136 0.870 Precision Powdercoating Im 0.39 $249 0.155 ltt Industries, Cannon 22.62 $14,356 13.546 Alloy Tech Electropolishing 0.51 $322 0.180 Brldgemark Corporation 0.70 $449 0.000 Harbor Truck Bodies Inc. 0.52 $331 0.877 Cempi Industries Inc. 0.40 $258 0.560 Kirkhill Rubber Co. 3.44 S2.192 7.167 Boeing Company -Bldg, 27 2.36 $1 ,505 3.627 Select Circuits 0.69 $440 1.015 Shepard Brothers Inc. 0.21 $131 0.924 B A F Industries 0.42 $268 0.568 Lam-Plate Tech, Inc. 0.45 $289 0.249 Ducommun Aerostructures, 4.04 $2,578 6.584 Logl Graphics Inc. 0.58 $372 0.214 Los Angeles Times Com mu 7.43 $4,734 48.056 Textron Fastening Systems 11 .37 $7,246 9.732 Circuit Tech Inc. 0.26 $168 0.471 O'donnell Oil, Lie 0.46 $292 0.019 Beckman Coulter, Inc. 14.93 $9,616 15.963 Star Powder Coating 0.02 $15 0.025 Electrorack Products Co. In, 0.58 $370 2.324 Neutronic Stamping And Pl, 0.95 $606 0.132 Orang·e County Register 15.09· S9,620 36.435 Toyota Racing Developmen 0.41 $259 0.771 Magnetic:: Metals Corporatlo 1.07 S685 11.599 Pure-Chem Products Comp 0.18 5118 0.342 Private Label Laboratories, 0.24 $154 10.689 Superior Processing 0.74 $470 0.089 (1)-Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross @5289 TSS141 rlil $4.32 Charae $190 0.710 $307 $869 $279 0.938 $405 $1.000 $93 0.324 $140 $602 $8 0.033 $14 $98 $121 0.713 $308 $1 ,016 $198,358 687.548 $297,117 $707,335 $567 1.949 $842 $2,166 $717 2.359 $1,019 $2,486 $12 0.041 $18 $154 $286 0.993 $429 $1,019 $430 1.491 $644 $1,530 $301 0.465 $201 $891 $49·2 0.789 $341 $1,099 $96 0.300 $130 $659 $114 0.235 $102 $329 $307 1.063 $459 $1,092 $282 ,.051 $454 $1,057 $4,566 3.795 $1,640 $7,739 $i,295 2.069 $894 $3,474 $61 0.107 $46 $214 $137 0.490 $212 $504 $86 0.306 $132 $366 $474 0.878 $379 $1,293 $223 0.688 $297 $801 $1,475 4.670 $2,018 $6,868 $16 0.103 $45 S431 $251 .0.347 $150 $537 $4-5 0.158 $68 $362 $3,908 14.888 $6,434 $24 698 $52 0.133 $57 $432 $0 0.000 so $449 $253 0.886 $383 $967 $162 0.560 $242 $662 $2,068 7.167 $3,097 $7,356 $1 ,046 3.627 $1 ,567 $4,119 $293 0.270 $117 $850 S267 0.965 S41 7 $815 $164 0.475 $205 $638 $72 0.067 $29 $390 S1 ,899 4.316 $1,865 $6,343 $62 0.106 $46 $479 $13,864 11.879 $5,133 $23,732 $2,808 7.090 $3,064 $13,118 $136 0.207 $89 $393 $5 0.019 $8 $306 $4,605 17.539 $7.579 $21 ,701 $7 0.018 $8 $30 $670 1.238 $535 $1 ,576 $38 0.117, $51 $694 $10,51 1 30.547 $13,201 $33,332 $222 0.745 $322 $804 $3,346 2.409 $1 ,041 $5,072 $99 0.152 $66 $282 $3,084 0.642 $277 53,515 $26 0.065 $28 5524 Proposed FY 06-07 Est.. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credit 121 Permit Ch•. (@ $665 IRl $348 IRl $333 PermitChn. Prior Yr. Over PY Increase $867 $1 $388 $230 $236 $854 $853 69381.00% $0 $959 $41 $330 $337 $312 $979 $938 2261.28% $6 $556 $46 $384 $113 $108 $605 $559 1222.11% $7 S89 $9 $79 $10 $11 $100 $90 981.75% $1 $904 $111 $612 $146 $237 $995 $884 794.50% $16 $543,235 $164,100 $221,032 $239,514 $229,015 $689,561 $525,461 320.21% $23,384 $1,614 $552 $789 $685 $649 $2,123 $1,571 284.58% $79 $1,757 $729 $782 $866 $786 $2,433 $1,704 233.78% $104 $93 $61 $129 $14 $14 $157 $97 159.26% $9 $635 $384 $317 $346 $331 $993 $610 158.77% $55 $926 $604 $476 $519 $497 $1,492 $887 146.82% $86 $495 $396 $407 $363 $155 $924 $528 133.19% $56 $590 $509 $278 $594 $263 $1,134 $625 122.98% $72 $354 $305 $452 $115 s100 $668 $363 119.06% $43 $176 $154 $1 19 $137 $78 $335 $181 117.48% $22 $594 $497 $340 $370 $354 $1,064 $567 113.96% $71 $568 $489 $335 $340 $350 $1,026 $536 109.56% $70 $3,643 $4,096 $1 ,600 $5,513 $1 ,264 $8,377 $4,281 104.51% $584 $1,687 $1 ,787 $1 ,340 $1,564 $689 $3,593 $1,806 101.10% $255 $101 $113 $112 $73 $36 $220 $108 95.55% $16 $253 $251 $162 $165 $163 $491 $239 95.22% $36 $182 $185 $154 $104 $102 $360 $175 95.06% $26 $599 $695 S459 S5n $292 $1 ,324 $629 90.56% $99 $363 $438 $293 $269 5229 $791 $353 80.55% $62 $3.070 $3,799 $3,521 S1.782 $1 ,556 $6,858 $3,059 80.53% $541 $186 $245 $386 $20 $34 $440 $195 79.37% $35 $208 $328 $142 $303 $116 $560 $232 70.68% $47 $143 $219 $260 $54 $53 $367 $147 67.23% $31 S9.934 $14,764 $14,978 $4,719 $4,959 $24,655 $9,892 67.00% $2,104 $164 $268 $336 $63 $44 $443 $176 65.52% $38 $166 $283 $469 $0 $0 $469 $185 65.39% $40 $393 $574 $345 $306 $295 $946 $372 64.78% $82 $262 $399 $269 $195 $187 $651 $252 63.00% $57 $2,931 $4,425 $2,286 S2.497 $2,387 $7,170 $2,745 62.03% $631 $1 ,612 $2,507 $1 ,571 $1,264 $1 ,208 $4,042 $1,535 61.25% $357 $289 $561 $459 $354 $90 $903 $342 60.87% $80 $328 $486 $137 $322 $321 $780 $294 60.43% $69 $240 $398 $280 $198 $158 $636 $238 59.85% $57 $122 $268 $302 $87 $22 $411 $143 53.52% $38 $2,138 $4,205 $2,690 $2,294 $1,438 $6,421 $2,216 52.70% $599 $150 $329 $388 $75 $35 $498 $168 51.17% $47 $6,754 $16,978 $4,939 $16,741 $3,957 $25,637 $8,659 51.00% $2,419 $4.252 $8,866 $7,560 $3,390 $2,362 $13,312 $4,446 50.15% $1,263 $119 $274 $175 $164 $69 $408 $134 48.94% $39 $92 $214 $305 $7 $6 $318 $104 48.87% $30 $7,364 $14,336 $9,928 $5,561 $5,842 $21,331 $6,994 48.79% $2,043 $9 $20 $15 $9 $6 $30 $10 48.35% $3 $4S9 $1,086 $386 $810 $412 $1,608 $522 48.00% $155 $203 $491 $632 $46 $39 $717 $226 46.03% $70 S10.410 $22,922 $10,036 $12,692 $10,175 $32,904 $9,981 43.54% $3,266 $251 $553 $271 $269 $248 $787 $235 42.49% $79 $1,115 $3,957 $715 $4,041 $802 $5,558 $1,601 40.45% $564 $72 $210 $123 $119 $51 $293 $83 39.45% $30 $570 $2,944 S160 $3,724 $214 $4,098 $1,153 39.17% $420 $133 $390 $490 $31 $7? S543 $152 39.03% $56 t / Distributed at lf lq 0~ FAHR Meeting 1 of 7 Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.131 lfiJ $:638 BOD 14\ Crockett Container Corp. 0.81 $518 10.198 Electro Metal Finishing Cori 0.18 $114 0.690 Unvatec Corporation 0.35 $224 0.780 Kenlen Specialrties Inc. 0.58 $370 0.196 Anaheim Truck Depot #2 Bl 1.72 $1.100 1.285 Media Mastering Seivices. I 0.77 $490 0.535 Hanson-Loran Co., Inc. 0.42 $266 2.793 Acroburr Inc. #2 0.25 $157 0.059 Soldermask, Inc. 0.37 $238 0.982 Accurate Metal Fabricators 2.75 S1 ,751 3.294 Auto-Chlor Svstem Of Wast 0.06 $36 1.509 Johnson Controls, Inc. 7.73 $4,927 2.502 Railmakers. Inc. 0.10 $62 0.203 Garg-Oil Production Lie 1.20 $7.68 0.000 Precious Metals Plating 0.57 $366 0.105 Cannon Equipment West In 1.19 $758 1.700 Valeant Pharmaceuticals Irr 14.55 $9,277 5.421 Nu-Tee Powder Coating 0.54 $344 2.009 Universal Alloy Coro. 4,99 $3,1!34 3.689 Weber Precision Graohics 0.31 $199 2.605 Rock Industries, Inc. 0.46 $290 0.457 General Ceramics Coro. ·3.42 $2,178 0.417 South Coast OIi Corporalior 1.79 $1,141 0.000 Sclentllic Spray Finishes, In 0.08 $54 0.176 Stepan Company 8:05 $5,133 169.945 E F T Fast Quality Seivlce 0.69 $438 0.230 Arrowhead Products Carper 11.27 $7,184 11.693 United Custom Polishing & 0.30 $193 0.127 S FP P, LP. 0.13 $83 0.259 Bazz Houston Co. 1.71 $1,087 1.196 Car11ill Inc. 2.34 $1,489 7.807 Scls,orek & Son Flavors, Inc 1.26 $803 25.192 Pier Oil Company 0.55 $360 0.000 Advance Tech Platlna Inc. t 1.60 S1.022 0.633 Sioux Honey Assoclatlon Cc 2.45 $1,560 189.439 Plegel Oil Company (BlattnE 2.19 $1,398 0.000 Olymp[c Powder Coatfngs Ir 0,56 $357 0.455 Fabrication Com:epts Corp< 3.88 $2,476 3.940 Derm Cosmetics Labs Inc. 0.24 $154 30.729 Gomtech Electronlcs, Inc. 0.20 $125 1.112 Multi-Fineline Electronlx Inc 15.50 $9,885 20.808 I P C Cal Flex Inc. 0.68 $436 0.594 Exquisite Designs Inc. 0.15 $98 0.027 Bodycote Lindberg Coro. 3.43 $2,187 1.275 Leach International 1.42 $903 0.326 Crest Coating Inc. 1.38 $882 6.377 Mlcrometals Inc. #2 3.87 $2.470 6.600 M C P Foods Inc. 28.37 $18,068 3,216.281 Hightower Pla~ng & Manufa 2.94 $1 ,874 0.237 Burlington Engineering, Inc. 0.1 6 $102 0.335 Gorillas Polishing And Plati1 1.60 $1,017 0.265 Ameripec Inc. 23.00 $14,666 373.603 Knott's Berry Farm Foods 17.49 $11,153 664,806 Fineline Circuits & Technolc 1.20 $768 1.604 Brisiol Industries 4.71 $3,001 2.473 (1) -Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross (ii) $289 TSS (4) (@ $432 Charae $2,942 1.022 $442 $3.902 5199 0.213 $92 $405 $225 0.691 $299 $748 $57 0.196 $85 $511 $371 1.285 $555 $2,026 $154 0.438 $189 $833 5806 0.753 $325 $1,397 $17 0.108 $47 $221 $283 0.344 $149 $670 $950 3.274 $1.415 S4,116 $435 0.142 $61 5533 $722 3.239 S1.400 $7,049 $59 0.203 $88 $208 $0 0.000 $0 $768 $30 0.153 $66 $463 $490 1.700 $735 $1,983 $1 ,564 5.421 $2,343 $13,184 $580 0.656 $283 $1,207 $1,064 3.524 $1,523 $5,771 $752 0.570 $246 $1,197 $132 0.252 $109 $531 S120 0.417 $180 $2.478 $0 0.000 $0 $1,141 S51 0.176 $76 $181 $49,fl29 0.574 $248 $54.410 $66 0.230 $99 $604 $3,373 9.757 $4,216 $14,774 $37 0.127 $55 $284 $75 0.114 $49 $207 $346 1.131 $489 $1,921 $2,252 5.425 $2,344 S6,086 $7,268 1.183 $511 $8,582 so 0.000 so $350 $183 0.740 $320 $1 ,525 $54,653 1.759 $760 $56,973 $0 0.110 $48 $1,446 $131 0.389 $168 $656 $1,137 3.713 $1,605 $5,217 $8,865 1.021 $441 59.461 $321 0.080 $35 $480 $6,003 2.400 $1,037 $16,925 $171 0.462 $200 SBOT $8 0.027 $12 S118 $368 1.275 $551 $3,106 $94 0.305 $132 $1,128 $1,840 1.208 $522 $3,244 $1,904 3.244 $1,402 $5,776 $927,897 46.887 $20,175 $966,161 S68 1.656 $716 $2,658 $97 0.335 $145 $344 $76 0253 $109 $1,203 $107,784 12.486 $5,396. $127,846 $191,797 35.917 $15,521 $218,471 $463 0.301 $130 $1,361 $713 2.564 $1,108 S4,822 Proposed FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credit (21 Permit Cha. (@ $665 (@$348 I@ $333 Permit Cha. Prior Yr. Over PY Increase $703 $3,199 $540 53,553 $340 $4,433 $1,234 38.59% $456 $94 $311 $119 $240 $71 $431 $119 38.31% $44 $213 $535 $234 $272 $230 $735 $201 37.48% $76 $131 $380 $386 $68 $65 $520 $139 36.62% $54 $544 $1,481 $1,147 $448 $428 $2,023 $541 36.55% $211 $214 $619 $511 $186 $146 $843 $224 36.18% $88 $286 $1, 111 $278 $973 $251 $1,501 $391 35.16% $158 $57 $164 $164 $21 $36 $221 $57 34.54% $23 $137 $533 $249 $342 $115 $705 $172 32.21% $76 $1,008 $3,108 ,$1,827 $1 ,147 $1,091 $4,065 $957 30.78% $443 $65 $468 $38 $526 $47 $611 $143 30.47% $67 $1,603 $5,445 $5,141 $872 $1,079 $7,091 $1,646 30.22% $776 $52 $157 $65 $71 S68 $203 $47 28.83% $22 $146 $622 $801 $0 $0 $801 $179 28.80% $89 $97 $366 $382 $37 S51 $470 $104 28.27% $52 $455 $1,528 $791 $592 $566 $1 ,949 $421 27.53% $218 S2,686 $10,498 $9,679 $1,888 $1,806 $13,373 $2,875 27.39% $1,496 $204 $1,004 $359 $700 $219 $1,278 $274 27.29% $143 $1 ,227 $4,543 $3,321 $1,285 $1,174 $5,780 $1,237 27.23% $647 $168 $1,028 $207 $907 $190 $1,305 $276 26.87% $147 $100 $431 $303 $159 S84 $546 $115 26.79% $61 $453 $2,025 $2,272 $145 $139 $2.556 $531 26.22% $289 $197 $944 $1,190 $0 $0 $1,190 $246 26.08% $135 $40 $141 $56 $61 $59 $176 $35 24.74% $20 $2.417 $51,992 $5,355 $59,202 $191 $64,748 $12,756 24.53% $7,409 $110 $494 $457 $80 $77 $613 $120 24.22% $70 $2,792 $11,982 $7,495 $4,073 $3,250 $14,819 $2,837 23.68% $1,707 $51 $233 $201 $44 $42 $287 $55 23.54% $33 $33 $174 $87 $90 $38 $215 $41 23.41% $25 $357 $1,564 $1,134 $417 $377 $1,928 $363 23.23% $223 $1,150 $4,936 $1 ,554 $2,720 $1,807 $6,081 $1,145 23.20% $703 $390 $8,192 $838 $8,776 S394 $10,007 $1,816 22.16% $1,167 $51 $299 $365 $0 $0 $365 $66 21.98% $43 $264 $1,261 $1,066 $221 $246 $1,533 $273 21.63% $180 $867 $56,106 $1 ,627 $65 993 S586 $68,206 $12,100 21.57% $7,995 $214 $1,232 51 ,459 $0 S37 $1,496 $264 21.43% $176 $112 $544 $372 $159 $130 $660 $116 21.31% $78 $918 $4,299 S2,583 $1,373 $1,237 $5,192 $893 20.78% $613 $175 $9,286 $161 $10,705 $340 $11,206 $1,920 20.68% $1,323 $29 $452 $131 $387 $27 $545 $93 20.50% $64 $1,653 $15,273 $10,313 $7,249 $799 $18,361 $3,088 20.22% $2,176 $128 $678 $455 $207 $154 $815 $137 20.19% $97 $17 $101 $102 $9 S9 $121 $20 19.88% $14 $476 $2,630 $2,281 $444 $425 $3,150 $520 19.78% $375 $162 $966 $942 $114 $102 $1,157 $191 19.73% $138 $282 $2,962 $921 $2,221 $402 $3,544 $582 19.66% $422 $795 $4,982 $2,577 $2,299 $1 ,081 $5,957 $976 19.58% $710 $261 $965,900 $18,871 $1 .120,424 $15,551 $1,154,846 $188,946 19.56% $137,641 $492 $2,167 $1,955 $83 $552 $2,590 $423 19.52% $309 $63 $280 $107 $117 $112 $335 $55 19.51% $40 $156 $1,047 $1,061 $92 $84 $1,238 $191 18.24% $149 $1,020 $126,827 $15,301 $130,148 $4,159 $149,608 $22,782 17.96% $18,,073 S2,122 $216,349 $11,636 $231,592 $11,964 $255,191 $38,842 17.95% $30,830 $122 $1,239 $801 $559 $100 $1 ,460 $222 17.88% $177 $711 $4,111 $3,130 $861 $854 $4,846 $735 17.88% $586 2 of 7 Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.I3I l1il $638 BOD/41 Rioiflex Technology, Inc. 0.64 $409 0.377 Prime Technologies, Inc. 3.32 $2,113 15 .. 553 Western Medical Center An 11.36 $7,242 23.685 Nor-Cal Beverage Co. Inc. ( 20.98 $13,373 639.616 Pepsi-Cola Bo\tllng Group 19.67 $12,543 411 .922 Custom Enamelers Inc. 0.86 $551 Q.526 Goodwin Company 2.00 $1,274 48.426 Alexander 011 Company 0.18 $1 12 0.000 Seven-Up Bottling Compan: 44.68 $28,488 782.239 Ccda Waters LL.C. 8.o? $5.145 0.921 Data Solder Inc. 0.59 $378 0.197 Brasstech, Inc, 2.05 $1.304 1.906 Circuit Access. Inc. 0.71 $451 3.591 Waste Management or Ora 1.86 $1,186 34.178 Velie Circuits Inc, 10.84 $6,910 7.297 M.S. Bellows 0.1 6 $105 2.458 Metal Powder Products -Ar 2.45 $1.564 12.684 Ralphs Grocery Company (I 6.63 $4,229 65.528 Harte-Hanks Shoppers 4.70 52.998 10.061 R B C Transport Dynamics · 0.92 $.589 1.947 Sunny Delight Beverages C 14.55 $15,650 317.961 South Bay Chrome Sales 1.52 5968 0.518 Toe o.c. Inc Dba Kindred I-4.59 $2,929 9.580 West American Rubber Cor 10.03 $6,397 5.489 Speedy Circuits, Facility #2 1.36 $866 0.453 Nor-Cal Beverage Co. Inc. ( 45.38 $28,932 555.657 South Coast Circuits #2 1.47 $936 0.483 Los A.lamltos Medical Cent£ 17.40 $11,094 36281 John A. Thomas 25.36 $16,171 140.038 Remedy Environmental Ser 1.06 $673 3.756 Criterion Machine Works 0.64 $406 0.346 K C A Electronics Inc. 39.23 $25,011 10.459 South Coast Circuits #3 3.53 $2,253 7.816 Victory Circuits Inc. 0.19 $120 0.871 S.B. Thomas Inc. 3.15 $2,007 33.116 Sanmlna Corporation (Redr 9.55 $6,090 2.072 Anaheim General Hospital 7.63 $4,867 15.918 Catalina Cylinders, A Div. O 6.29 $4,009 5.012 Bridgford Foods Corporatlo, 4.20 $2,675 16.058 Aqua-Con Company 0.70 $444 0.115 Jazz Semiconductor 269.66 $171,919 21.392 Stalek Corporation 4.94 $3,151 38.837 Primal Bements 1.22 $779 32.536 Cadillac Plating, Inc. 1.83 $1,166 0.272 A P W Enclosure Systems, 3.11 $1,981 3.064 Fullerton Cultured Speciallii 31.81 520,280 427.809 Precon, Inc. 0.38 $244 0.821 Ora Beth Scott 0.84 $534 0.000 Hawk Industrial Uniform 7.05 $4,492 96.965 Chrome Tech, Inc. 4:20 $2,679 2.508 Mark Optics Inc. 0.31 $197 0.293 0 . C. Alphanetics Inc, 7.34 $4,677 9.355 Almatron Electronics. Inc. 1.87 $1,190 2.658 Murrietta Circuits Inc. 1.69 $1,075 2.309 Tac West, Inc. 11.19 $7,134 74.387 (1) -Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross l1il S289 TSS 141 (@$432 Charae $109 0.326 5141 $659 $4,487 1.052 S455 $7,055 $6,833 23.685 $10,235 $24,311 $184,529 29.006 $12,535 $210,437 S118,839 39.612 $1 7,118 $148,501 $152 0.640 $277 $979 $13,971 3.493 $1,509 $16,754 $0 0.000 $0 $112 $225,676 45.012 $19,451 $273,615 S266 1.178 $509 $5,920 $57 0.167 $68 $503 $550 1.906 $824 $2,677 $1,036 0.383 $166 $1.653 $9,860 5.546 $2,397 $13.443 $2,106 1.702 $736 $9,751 $709 0.623 $226 $1,040 $3,659 3.018 $1,304 $6,528 $18,905 31 .666 $13,684 $36,818 $2,903 8.822 S3,812 $9,713 $562 2,001 $865 $2,016 $91,732 34.570 $14,939 $122.321 $149 0.373 $161 $1,279 $2,764 9.580 ~140 :!i9,833 $1 ,584 5.489 $2.372 $10,353 $131 0.463 $196 $1.192 $160,307 79.410 $34.316 $223,555 $139 0.209 $90 $1,166 $10,467 36.281 $15,678 $37,240 $40,401 12.058 $5,211 $61,783 $1,084 0.193 $83 $1 ,840 $100 0.899 $388 $894 $3,017 15.993 $6,911 $34.940 $2,255 0.550 $238 S4.745 $251 0.082 $35 $407 $9,554 10.216 $4,415 $15,976 $598 1.611 $696 $7.384 $4,692 15.918 $6,879 $16,338 $1,446 3.913 $1,691 $7,146 $4,633 7.702 $3,328 $10,637 $33 0.200 $86 $564 $6,172 21.392 $9,244 5187.335 $11,204 8.037 $3.473 $17,828 $9,387 8.943 $3,865 $14,030 $78 0.626 $271 $1,515 $884 3.491 $1.509 $4,373 $123,423 87.633 537.870 $181,573 $237 0.342 $146 S629 $0 0.000 $0 $534 $27,974 20.048 $8,664 $41.130 $724 1.137 $491 $3,894 $85 0.514 $222 $504 $2,699 1.016 $439 $7,815 $767 0.973 S420 $2,377 $666 1.038 $449 $2,190 $21,461 14.376 $6,212 $34.807 Proposed FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOU Charge TSS Charge Net Change from % Iner. Residential Credit /21 Permit Cha. l1il $665 l1il $348 l1il $333 Permit Cha. Prior Yr. Over PY Increase $91 $568 $427 $131 $109 $667 $99 17.34% $81 $254 $6,801 $2,205 $5,418 $350 $7,973 $1,173 17.24% $969 $4,089 $20,222 $7,556 $8,251 $7,889 $23,696 $3,474 17.18% $2,882 $0 $210,437 $13,952 $222,817 $9,662 $246,430 $35,993 17.10% $29,987 $3,517 $144,984 $13,086 $143,497 $13,194 $169,778 $24,794 17.10% $20,660 $149 $830 $575 $183 $213 $971 $141 16.97% $118 $1'50 $16,604 $1 ,329 $16,870 $1 ,1 63 $19,362 $2,758 16.61% $2,366 $12 $101 $117 $0 so $117 $16 16.37% $14 $796 $272,819 $29,721 $272,501 $14,993 $317,215 $44,396 16.27% $38,877 $682 $5,238 $5,368 $321 $392 $6,081 $843 16.10% $746 $59 $444 $394 $69. $52 $515 $71 16.09% $63 $385 $2,292 $1 ,360 $664 $635 $2,659 $367 16.01% $327 $58 $1,595 $471 $1 ,261 $128 $1,849 $254 15.93% $227 $493 $12,950 $1,238 $11,906 $1,847 $14,991 $2,041 15.76% $1,845 $837 $8,914 $7,209 $2,542 $567 $10,318 $1,404 15.76% $1,270 $53 $987 $109 $856 $174 $1,140 $153 15.54% $141 $410 $6,118 $1 ,632 $4,419 $1,005 $7,056 $938 15.33% $872 $3,971 $32,847 $4.412 $22,827 $10,548 $37,787 $4,941 15.04% $4,681 $1,382 $8,331 $3,128 $3.505 $2,939 $9,571 $1,240 14.89% $1,187 $309 $1,706 $615 S678 S667 $1,959 $253 14.85% $243 $1,295 $121,026 $16,327 $110,765 $11,515 $138,607 $17,582 14.53% $17,246 $131 S1,148 $1 ,010 $180 $124 $1,315 $167 14.51% $164 $1,420 $8,413 $3,056 $3,337 $3,191 $9,584 $1,171 1::S.92% $1,199 $1,209 $9,144 $6,674 S1,912 $1,828 $10,414 $1,270 13.89% $1,303 $125 $1,067 $903 $158 $151 $1,212 $145 13.58% $152 $3,190 $2.20,365 $30,184 $193,569 $26.451 $250,204 $29,838 13.54% $31,402 $90 $1,075 $976 $168 S70 $1,214 $139 12.91% $153 $5,074 S32,166 $11 ,574 $12,639 $12,085 $36,298 $4,132 12.85% $4,584 $0 $61,783 $16,871 $48,784 $4,016 $69,671 $7,888 12.77% $8,804 $0 $1,840 $702 $1,308 $64 $2,075 $235 12.76% $262 $146 $748 $423 $121 $299 $843 $95 12.67% $107 S3.779 $31,161 ·$26,094 $3,643 $5,327 $35,065 $3,904 12.53% $4,440 $65 $4,680 $2,350 $2,723 $183 $5,256 $576 12.31% $667 so $407 $126 $303 $27 $456 $49 12.09% $58 $771 $15,205 ·$2,094 $11 ,536 $3,403 $17,033 $1,828 12.02% $2,167 $575 $6,809 $6,354 $722 $537 $7,612 $803 11.80% $970 52,075 $14,263 $5,078 $5,545 $5,302 $15,925 $1,662 11.65% $2,033 $663 $6,483 $4.183 $1,746 $1 ,303 $7,232 $749 11.55% $924 $809 $9,827 $2.791 $5,594 $2,565 $10,951 $1,123 11.43% $1,400 $52 $512 5464 $40 567 $570 $58 11.40% $73 $13,137 $174,198 $179.362 $7,452 $7,125 $193,939 $19,741 11.33% $24,823 $302 $17,527 $3,287 $13,529 $2,677 $19,493 $1,967 11.22% $2,498 $387 $13,643 $813 $11 ,334 $2,979 $15,126 $1,483 10.87% $1,944 $143 $1,372 $1,21c $95 $209 $1,520 $148 10.75% $196 $487 $3,887 $2,066 $1,067 $1,163 $4,297 $410 10.55% $554 $1,005 $180,568 $21,158 $149,032 529.190 $199,380 $18,812 10.42% $25,731 $36 $593 $255 $286 $114 $655 $62 10.38% $85 $29 $505 $557 so $0 $557 $52 10.34% $72 $152 $40,978 $4,687 533,779 $6 678 $45,143 $4,165 10.16% $5,839 $217 $3,677 $2,795 $874 $379 $4,048 $371 10.08% $524 $68 $436 $206 $102 $171 $479 $43 9.98% $62 $106 $7,709 $4,880. $3,259 S338 $8,477 $768 9.96% $1,099 $111 $2,266 $1,241 $926 $324 $2,491 $225 9.94% $323 $120 $2,070 $1,122 S804 S346 $2,272 $202 9.76% $295 $0 $34,807 $7,443 S.25,913 $4,789 $38,145 $3,338 9.59% $4,960 3 of 7 Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol. f3l /lil 5638 BOD/41 Exceilo Circuits Manufacturi 4.33 $2,762 1.009 Aistvle Apparel -A&G Inc. 423.74 $270,154 1,837.906 Western Yarn Dyeing, Inc. 23.68 $15,096 36.437 Econollte Control Products I 1.30 $830 2.002 Wlnonics (Brea) 24.35 $15,522 14.610 Steiner Coro. Oba Alsco 25.65 $16,354 11 1.300 American Circuit Technolog 6.72 $4,282 7.006 Uwmc Hospital Corporailon 36.52 $23,285 76.149 H.B. OIi Operations Trust 0.95 $605 0.000 Sunclipse, Inc. (Corrugator I 6.20 $3,954 78.926 Artlstrc Plating & Me~l Finis 9.63 $6,143 3.657 Ametek Aerospace, Inc. 1.43 $910 2.961 Accurate Circuit Engineerin1 1.03 $659 2.194 West Newport Oil Compan) 34.74 $22,146 54.515 Stainless Micro-Polish, Inc. 2.85 $1,819 0.783 Petroprize 0.32 $201 0.000 Continuous Coating Corpon 11.94 $7,611 1.259 Stremicks Heritage Foods L 81 .91 $52,221 1,566.385 United Circuit Technology Ir 0.80 $512 0.451 Cleugh's Frozen Foods, Inc 11.46 $7.309 99.644 Powdercoat Services, inc. # 0.38 $242 0.190 Pulmuone Usa, Inc. 13.56 58,644-132.689 Cal-Tronics Circuit Inc. 0.42 $268 0.784 Strip Clean Company 0.84 $533 0.117 Tiodize Company, Inc. 2.54 $1 ,618 0.488 Kodak Processing Labs 8.40 $5,357 11.802 Weyerhaeuser Company #, 2.05 $1,304 11.718 Van Law Food Products, lm 7.34 $4,682 959.078 Capro Oil Company 1.92 $1 ,226 0.000 Alloy Die Casting Co. 4.55 $2,902 2.323 House Foods America Coro 77.17 $49,202 1.396.327 Markland Manufacturing, Int 18.14 $11,565 5.291 South Coast Circuits #4 3.63 $2,313 0.902 Anaheim Plating & Polishin{ 2.95 $1,881 1.400 Dean Foods Co. Of Ca Inc. 36.62 $23,344 516.202 D & S Custom Plating Inc. 0.73 $466 0.407 Pacific Ocean Dyeing And F 147.98 $94,345 147.504 Nollac Oil Company 1.55 $989 0.199 Dae Shin Usa, Inc. 200.83 $128,040 187.387 A & R Powder Coating Inc. 0.35 $221 0.1 50 South Coast Circuits, Inc. 1.45 $925 1.287 Coastline Metal Finishing C, 6.32 $4,028 1.946 Powdercoal Services, Inc. # 0.61 $387 0.407 Medtronic Heart Valves, Inc 9.03 $5,759 24.951 Cal-Aurum Industries Inc. 16.22 $10.341 0.977 Dos Cuarda Offshore Res.,l 7.79 $4,965 15.524 George A. Jones, Imperial ~ 1.62 $968 0.281 Moravek Biochemicals Inc. 1.33 $850 0.926 Pioneer Circuits 11.16 $7,111 7.070 Health Care Apparel Servic, 15.50 $9,884 11.457 Hixson Metal Finishing 20.43 $13,027 11.631 TT M Technologies #1 43.07 S27,45o 29.462 Chrome Tech# 2 0.81 $513 1.294 Copper Clad Multilayer Pree 7.38 $4,708 1.296 Merry X-Ray 0.14 $88 0.274 (1)-Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross /lil 5289 TSS141 11i1!1432 Charae $291 0.517 $223 $3,277 $530,236 367.692 $158,894 $959,285 $10,51 2 5.680 $2,455 $28,062 $578 3.086 $1,334 $2,741 $4.215 3.214 $1,389 $21,126 $32,110 30.191 $13,047 $61,511 $2,021 2.933 $1,267 $7,571 $21,969 76.149 $32,907 $78,161 $0 0.000 $0 $605 $22,770 36.167 $15,629 $42,353 $1,055 4.810 $2,079 $9,276 $854 2.923 $1,263 $3,027 $633 0.874 $378 $1,670 $16,728 7.430 $3,211 $41,084 $226 0.447 $193 $2,238 $0 0.000 $0 $201 $363 1.543 $667 $8.641 $451.902 441.738 $190,893 $695,016 $130 0.457 $197 $840 $28,747 28.574 $12,348 $48.404 S55 0.195 $84 $381 $38,281 34:690 $14,991 $61,916 $226 0.150 S65 $559 $34 0.013 $6 $572 $141 0.526 $227 $1,986 $3,405 -:l.195 $1,381 $10,143 $3,381 9.798 $4,234 $8.919 $276,694 296.788 $127,822 $409,198 $0 0.000 $0 $1,226 $670 4.100 $1,TT2 $5,344 $402,840 446.150 $192,799 $644,842 $1,526 3.919 $1,694 $14,785 $260 0.354 $153 $2,726 $404 0.972 $420 $2,705 $148,924 179.269 sn.469 $249,738 $117 0.434 $188 $771 $42,555 51.620 $22,307 $159.207 $57 0.D19. $8 $1,055 $54,061 52.575 $22,720 $204.821 $43 0.133 $57 $322 $371 0.292 $1 26 $1 ,423 $561 2.781 $1,202 $5,791 $117 0.297-$128 $633 $7,198 12.248 $5,293 $18,250 $282 0.977 $422 $11 ,045 $4.479 6,388 $2,761 $12,204 $81 0.281 $121 $1 .171 $267 0.261 $113 $1 ,230 $2,040 4.782 $2,066 $11 ,217 $3,305 7.640 $3,302 $16.491 $3,356 3.516 $1 ,519 ·$17,902 $8,500 10.715 $4,630 $40,586 $373 1.346 $582 $1,468 $374 0.136 $59 $5,140 $79 0.274 $118 $285 Propased FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credltf2l Permit Cha. /lil $665 @S348 @$333 Permit Cha. Prior Yr. Over PY Increase $164 $3,113 $2,882 $351 $172 $3,405 $293 9.40% $444 $4,026 $955,258 $281,850 $640,253 $122,475 $1,044,577 $89,319 9.35% $136,124 $298 $27,764 $15,749 $12.693 $1.892 $30,334 $2,570 9.26% $3,956 $367 $2,374 $866 $697 $1,028 $2,591 $217 9.14% $338 $626 $20,499 S16,194 $5,090 $1,071 $22,354 $1,855 9.05% $2,921 $1 ,064 $60,447 $17,062 $38,772 $10,056 $65,891 $5,444 9.01% $8,614 $334 $7,236 $4,467 $2,441 $977 $7,885 $648 8.96% $1,031 $8,187 $69,974 $24,293 $26.527 $25,364 $76,185 $6,211 8.88% $9,971 $25 $580 $631 $0 $0 $631 $51 8.81% $83 $2,224 $40,129 S4,125 $27,495 $12,047 $43,666 $3,537 8.81% $5,718 $739 $8,537 S6,409 $1.274 $1,602 $9,285 $748 8.76% $1,217 $310 $2,717 $949 $1,031 $974 $2,954 $237 8.73% $387 $65 $1,605 S688 $764 $291 $1,743 $139 8.64% $229 so $41,084 $23.105 S18,991 $2,475 $44,570 $3,486 8.49% $5,854 $99 $2,140 $1,898 $273 $149 $2,320 $180 8.41% $305 $7 $193 $210 $0 so $210 $16 8.34% $28 $418 $8,223 $7,941 $43S $514 $8,893 $670 8.15% $1,172 $3.925 $691,091 $54,481 $545,666 $147,139 $747,286 $56,195 8.13% $98,480 S59 $780 $534 $157 $152 $844 $63 8.11% $111 $382 $48,023 $7.625 $34.712 $9,518 $51,855 $3,833 7.98% $6,843 $26 $355 $252 $66 $65 $383 $28 7.92% $51 $0 $61,916 $9,018 $46,224 $11,555 $66,797 $4,881 7.88% $8,823 $0 $559 $279 $273 $50 $602 $44 7.81% $80 $15 $557 $556 $41 $4 $601 $43 7.80% $79 $99 $1,886 $1,688 $1 70 $175 $2,033 $146 7.76% $269 $148 $9,994 $5,589 $4.111 $1,064 $10,764 $770 7.71% $1,424 $788 $8,131 $1,361 $4.082 $3,264 $8,706 $575 7.08% $1,159 $576 $408,622 $4,884 S334,104 $98.524 $437,513 $28,891 7.07% $58,229 $29 $1,196 $1,279 so $0 $1,279 $83 6.90% $170 $474 $4,870 $3,028 $809 $1,366 $5,202 $332 6.82% $694 $2,072 $642,770 $51,332 $486,424 $148,608 $686,365 $43,595 6.78% $91,595 $533 $14,253 $12,066 $1,843 $1,305 $15,215 $962 6.75% $2,031 $58 $2,668 $2,413 $314 $118 $2,845 $177 6.64% $380 $104 $2,602 $1 ,963 $488. $324 $2,774 $173 6.64% $371 51,495 $248,242 $24,1155 $179,824 $59,713 $263,891 $15,649 6.30% $35,375 S44 $727 $486 $142 $145 $772 $46 6.29% $104 $-2,074 $157,132 $98,429 $51,384 $17194 $167,007 $9,875 6.28% $22,391 $13 $1,042 $1 ,032 $69 S6 $1,108 $65 6.28% $149 51,226 $203,595 S133,583 $65,278 $17,512 $216,373 $12,778 6.28% $29,012 $1 4 $308 $231 $52 $44 $328 $19 6.22% $44 $0 $1,423 $965 $448 $97 $1,511 $88 6.20% $203 $322 $5,468 $4,202 $678 $926 $5,806 $338 6.17% $779 $26 $607 $403 $142 $99 $644 $37 6.14% $86 S548 $17,702 $6,008 $8;692 $4,080 $18,780 S1,078 6.09% $2,522 $235 $10,811 $10,789 $340 $325 $11,455 $644 5.96% $1,541 $200 $12,004 $5.180 $5,408 $2,128 $12,716 $712 5.93% $1,711 $34 $1,137 S1 ,010 $98 $94 $1,201 $65 5.70% $162 $2 $1,228 S887 S323 $87 $1,296 $69 5.59% $175 $328 $10,890 S7,419 $2.463 $1,593 $11,475 $585 5.37% $1,552 $499 $15,992 S10.312 $3,991 S2,545 $16,848 $856 5.35% $2,279 $42 $17,860 $13,591 $4,062 $1.171 $18,814 $954 5.34% $2,545 $252 $40,334 $28,645 $10,263 $3,569 $42,477 $2,143 5.31% $5,748 $106 $1,363 $536 $451 S448 $1,435 $72 5.28% $194 $0 $5,140 $4,912 $451 S45 $5,408 $268 5.21% $733 $21 $265 $92 $95 $91 $279 $14 5.19% $38 4 of 7 Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.13\ lal S638 BOD /41 Speedy Circuits. Div. Of Pjc 2.16 $1,377 5.177 Dean Foods Co. Of Ca. Inc. 16.07 $10.248 272.864 Ultra-Pure Metal Finishing, I 4.72 $3,008 0.234 We~erl]aeuser Company 9.47 $6,039 46.606 Data Electronic Services Inc 3.72 $2,372 2.591 Astech Engineered Product 13.75 $8.768 2.942 Santa Ana Plating (Cnk CaJ 3.79 $2,414 0.461 TT M Technologies Inc. 13.93 $8,882 3.886 Active Plating Inc. 3.90 $2,486 1.498 Suncllpse, Inc. (Dba Corru I 15.26 $9,730 95.996 City Of Anaheim -Public Ut 10.10 $6,438 0.246 Chroma S_ystems Partners 145.03 592,461 144.887 Irvine Ranch Water District--216.53 $138.046 5.417 Brindle/Thomas 0.15 $93 0.000 Sanmlna Corporation (Airw1 13.17 $8,395 2.439 The Water Man 5.92 $3,774 0.190 City Of Tustin Water Service 83.71 $53,369 0.019 Don Miguel Mexican Foods 14.91 $9,503 148.425 D S Waters Of America. Lp 38.70 $24,671 6.066 Embe_e Inc. #3 4.68 $2984 1.448 Aluminum Precision Produc 2.55 $1,627 2 .. 554 Dvnamlc Details Inc. 51.50 $32,836 18.911 Precision Circuits West Inc. 0.86 $548 0.112 Electron Plating Iii Inc. 5.13 $3,272 0.911 Electronic Precision Special 9.27 $5;913 1.692 Marcel Electronics lnternatJ< 29.90 $19,061 10.347 Placentia-Linda Hospital, In, 17.64 $11,249 36.787 El Metate Foods Inc 1.88 $1,195 41.179 USDF 215.04 $137,101 248.970 Orange County Plating Co , ·4.50 $2,870 1.126 Embee Inc. #1 7.99 $5,096 0.626 A & G Electropollsh 0.79 $501 0.068 Roadrunner Circuit Tectmol 0,54 $343 0.145 City Of Tustin, Water SeNlc 14.55 $9,278 0.019 Omni Metal Finishing, Inc. 12.04 $7,876 0.758 P C A Industries, Lie 20.19 $12,870 2.558 Krvler CorporaUon 2.55 $1,625 0.275 Precision Resource, Califon 3.73 $2,378 6.224 Harrys Dye & Wash Inc. 14.87 $9.477 11.316 Nelco Products, Inc. 15.10 $9,630 6.864 Superior Plattng 2.02 $1 ,288 0.353 Pacific Image Technology, I 0.40 $257 0.087 Anodyne Inc. 3.25 $2,071 1.129 Cartel Electronics, Inc. 3.97 $2.530 2.903 Central PowderCoaUng 0.31 $196 0.378 Clrtech Inc. 8.36 $5,332 7.869 Hamilton Materials 1.19 $759 2.481 Wlnonlcs, Inc. 10.98 $7,002 0.235 Angelica Textile Services 97.38 S62.085 59.300 Sekisui Ta Industries, Inc. 6.88 $4,386 2.826 Classic Plating Inc. 2.55 $1 ,623 0.848 West Anaheim Medical Ger 21.41 $13.653 44.649 Alcoa Global Fasteners, Inc 34.30 $21,871 24.551 Soulh Coast Oil Co. 0.51 $326 0.145 J & H Deburring Inc. #2 1.39 $887 6.083 (1) -Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross I@ S289 TSS 141 /@ $432 Charoe 51.494 1.834 $793 $3.663 $78,721 108.981 $47,095 $136,065 $68 0.964 $41 7 $3,492 $13,446 82.197 $35,521 $55,006 $748 0.879 $380 $3,499 $849 1.981 $856 $10.473 $133 1.056 $456 $3,003 $1,121 4.188 $1 ,810 $11,813 $432 0.586 '$253 $3,172 $27,695 67.606 $29.215 $66,640 $71 0.078 $34 $6,543 $41,800 77.563 $33,518 $167,779 $1,563 1.806 $780 $140,3"89 $0 0,000 $0 $93 $704 4.182 $1,807 $10.906 $55 0.190 682 $3,911 $5 0.717 $310 $53,684 $42.821 63.603 $27,485 S79.809 $1.750 2.891 $1 ,249 $27,670 $418 1.022 S442 $3,844 $737 2.307 $997 $3,361 $5,456 9.704-$4,193 $42,485 $32 0.078 $34 $614 $263 1.812 $783 $4,318 $48.8 1.990 $860 $7,261 $2,985 7.445 $3,217 $25,263 $10,613 36.787 $15,897 $37,759 $11,880 21 .011 $9,080 $22,155 $71,828 124.347 $53,735 $262,664 $325 0.782 $338 $3,533 $181 0.947 $409 $5.686 $20 0.068 $29 $550 $42 0.091 S39 $424 $5 0.747 $323 $9,606 $219 2.219 $959 $8,854 $738 2.720 $1,175 $14,784 $79 0.275 $119 $1 ,823 $1,796 4.474 $1,933 $6,107 $3.265 7.894 $3,411 $16,153 $1 ,980 6.864 $2,966 $14,576 $102 0.306 $132 $1,622 $25 0.069 $30 $311 $326 1.004 $434 $2,831 $838 1.661 $718 $4,085 $109 0.206 $89 S394 $2,270 6.242 $2.697 $10,299 $716 2.481 $1,072 $2,547 $68 2.139 $924 $7,994 $1 7,108 45.005 $19,448 $98,642 $815 2.325 $1,005 $6,206 $245 0.767 $331 $2,199 $12,881 44.649 $19,295 $45,829 $7,083 34.270 $14,809 $43,763 $42 0.149 $64 $432 $1,755 3.554 $1,536 $4,177 Proposed FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credit 121 Permit Cho. I@ S665 /al S348 @ S333 Permit Cho. Prior Yr. Over PY Increase $0 $3,663 $1,436 $1 ,803 $61 1 $3,851 $188 5.13% $522 $918 $135,147 $10,692 $95,055 $36,300 $142,047 $6,901 5.11% $19,258 $122 $3,369 $3,138 $82 S321 $3,540 $171 5.08% $480 $7,447 $47,559 56,301 $16,236 $27,379 $49,915 $2,356 4.95% $6,777 $0 $3,499 $2.474 $903 $293 $3,670 $171 4.88% $499 $134 $10,339 $9.148 $1,025 $660 $10,833 $493 4.77% $1,473 $109 $2,895 $2,518 $161 $352 $3,031 $136 4.70% $412 $337 $11,476 $9:267 $1,354 $1,395 $12,015 $539 4.70% $1,635 $0 $3,172 $2,594 $522 $195 $3,311 $139 4.39% $452 $3.297 $63,343 $10,151 $33,441 $22,519 $66,111 $2,768 4.37% $9,026 so $6,543 $6,717 $86 $26 $6,828 $286 4.37% $932 $2,227 $165,551 $96,463 $50,473 $25,835 $172,772 $7,220 4.36% $23,591 $0 $140,389 $144,022 $1 ,887 $602 $146,511 $6,121 4.36% $20,005 so $93 S97 $0 $0 $97 $4 4.33% $13 $358 $10,547 $8,758 $850 $1.393 $11,001 $454 4.30% $1,503 $9 $3,902 $3,938 S66 $83 $4,067 $165 4.23% $556 $0 $53,684 $55,679 $7 $239 $55,925 $2,240 4.17% $7,650 $315 $79,495 $9,915 $51 ,705 $21,186 $82,806 $3,311 4.16% $11,328 $0 $27,670 $25,739 $2,113 S963 $28,815 $1,145 4.14% $3,943 $31 $3,812 $3,113 $504 $340 $3,958 $146 3.83% $543 $129 $3,232 $1 ,698 $890 $768 $3,356 $124 3.83% $461 $29 $42,456 $34,257 $6,588 $3.232 $44,077 $1,622 3.82% $6,050 S1 $614 $572 $39 $26 $637 $23 3.80% $87 $140 $4,178 $3,414 $317 $604 $4,334 $157 3.75% $595 $105 $7,156 $6,169 $589 $663 $7,421 $265 3.71% $1,020 $222 ,$25,041 $19,886 $3,604 S2.480 $25,970 $929 3.71% $3,568 $2.269 $35,490 $1 1,736 $12,815 $12,253 $36,804 $1,314 3.70% $5,057 $368 $21,788 $1.247 $14,345 S6,999 $22,591 $803 '3.69% $3,105 $686 $261,979 $143.037 $86,731 $41,419 $271,186 $9,208 3.51% $37,332 $9 $3,524 $2,995 $392 $260 $3,647 $124 3.51% $502 $32 $5,654 $5,317 $218 $315 $5,850 $196 3.46% $806 $0 $550 $523 $24 $23 $569 $19 '3.46% $78 $0 $424 $358 $51 $30 $439 $15 3.42% $60 so $9,606 $9,679 $7 $249 $9,935 $329 3.42% $1,369 $134 $8,720 S8.009 $264 S739 $9,012 $292 3.35% $1 ,243 $51 $14,732 $13,427 $891 $906 $15,224 $492 3.34% $2,099 $0 $1.823 S1.695 $96 $92 $1,882 $60 3.27% $260 $155 $5,953 S2,481 $2,168 $1.490 $6,140 $187 3.14% $848 $189 $15,964 $9,888 $3.942 $2.629 $16,459 $495 3.10% $2,275 $294 $14,282 $10,047 $2,391 $2,286 $14,724 $442 3.09% $2,035 $0 $1.522 $1,344 $123 $102 $1,569 $47 3.06% $217 $0 $311 $268 $30 $23 $321 $9 3.04% $44 $25 $2,806 $2,161 $393 $334 $2,889 $83 2.95% $400 $0 $4,085 S2.639 $1,011 $553 $4,204 $119 2.91% $582 $0 $394 $205 $132 $69 $405 $11 2.72% $56 $166 $10,133 $5.562 $2,741 $2,079 $10,383 $250 2.47% $1,444 :me $2,428 $792 $864 S826 $2,482 $55 2.25% $346 $62 $7,932 $7,305 $82 $712 $8,099 $167 2.11% $1 ,130 $278 $98,363 $64.773 $20,658 $14.991 $100,421 $2,058 2.09% $14,017 $0 $6,206 $4,576 $984 $774 $6,335 $129 2.07% $884 $0 $2,199 $1,693 $.295 $255 $2,244 $45 2.05% $313 $2,045 $43,784 $14.244 $15,554 $14,872 $44,670 $886 2.02% $6,239 Si,783 $41,980 $22.818 $8,553 $11,415 $42,785 $805 1.92% $5,982 so $432 $340 $.51 $50 $440 $8 1.86% $62 $26 $4,152 S925 $2,119 $1,184 $4,228 $76 1.83% $592 5 of 7 Fiscal Year 05-06 Actual Charges Uhder the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.I3I ® !l.638 BOD /4\ Black Oxide Industries Inc. 4.43 $2.827 City Of Huntington Beach Fi 2.66 $1,696 La Palma lntercommunity H 12.63 $8,053 Toyota Racing Developmen 2.18 $1,393 Microseml Integrated Produ 39.62 525,257 Gallade Chemical Inc. 1.36 $869 Pacific Quartz, Inc. 1.19 $761 Performance Powder, Inc. 1.46 $929 Huntington Beach Hospital 10.96 $6,988 Weidmann Water Condition 7.83 $4,989 Ideal Uniform Rental Servlo 6.19 $3,948 Thompson Energy Resouro 0.04 $27 La Habra Plating Co. Inc. 1.01 $641 All Metals Processing Of 0. 5.65 $3,600 California State University /l 101.75 $64,871 P(cofarad Inc. 0.72 $458 Kinsbursky Brottiers Supply 1.67 $1 ,067 Cd Video Inc. 0.06 $37 Mask Technoloqy Inc. 1.14 $727 Pacifi"c Western Container 0.87 $556 Goglanlan Bakeries 6.84 $4,358 Gunthers Athletic Service 1.90 $1,209 B_oelng Company (General I 54.35 $34.650 Roto-Dle Companv, Inc. 0.26 $166 Powdercoat Services, Inc. ; 0.14 $90 Industrial Metal Finishing, In 0.45 $285 Embee Inc. #2 16.99 $10,835 Irvine Sensors Cori:i. 0.38 $245 Cooper And Brain Inc. 16.79 $10,702 City or Newport Beach, Ger 1.93 $1,231 Mesa Consolidated Water [ 10.73 $6,841 Wheel Services Grouo, Inc. 1.55 $987 Tavco Englneerfno Inc. 0,75 $480 Plimatex Industries Inc. 8.56 $5.459 City Of Tustin -Maintenanc1 0.48 $307 Boeing Company (Graham} 2.07 $1,319 Anomll Ent. Dba Danco Mel 5.85 $3,732 Powdercoat Services, Inc. 1 0.24 $152 R TI Electronics, Inc. 0.52 $333 Therrnal-Vac Technology, Ir 2.20 $1,402 Disneyland Resort-Dea 241 .29 $153,835 Ikon Powder CoatinQ, Inc. 0.70 $448 SL Joseph Hospital 34.49 $21 ,987 MIiiett Industries 0.36 $228 Chapman Medical Center 5.02 $3,198 El Toro Meat Shoo 3.62 $2,308 Crest National DiQilal Media 1.93 $1,227 Foame,x LP. 1.81 $1 ,156 Cytec Engineered Materials 1.1 7 $744 M TS Microelectronics Inc. 0.09 S60 Joint Forces TrainlnQ Base, 38.50 $24,544 Uop Lie 0.42 $265 Hartwell Corporation 2.46 $1,570 Brea Community Hosoital 3.67 $2,340 Tustin Hospital And Medica 6.75 $4,305 (1) -Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. 0.574 1.065 26:335 4.221 1.095 0.728 1.232 0.581 22.853 0.277 12.663 0.003 0.108 1.900 84.860 0.584 1.109 0.078 0.682 2.232 57.428 1.290 81.328 0.171 0.095 1.469 3.376 0.289 1.278 1.694 6.354 0.365 1.864 5.068 1.037 2.354 1.914 0.129 1.021 0.795 503.076 0.480 71.905 0.632 10.459 88.992 3.805 3.635 2.372 0.193 48.635 0.867 5.134 7.653 14.080 BOD Charge Total TSS Charge Gross ®!l.289 TSSl4I @ !1.432 Charoe $166 1.505 $650 $3,643 $307 0.954 $412 $2,416 $7,598 26.335 $11,380 $27,031 $1,218 4.161 $1 ,798 $4.4-09 $316 8,267 $3,573 $29.146 $210 2.363 $1 ,021 $.2,100 $355 1.482 $640 $1 ,757 $168 0.537 $232 $1,329 $6,593 22.853 $9,876 $23,457 $80 1.566 $677 $5,746 $3,653 7.691 $3,324 $10.925 $1 0.009 $4 $32 $31 0.378 S163 $835 $548 4.891 $2,114 $6,262 $24,482 63.645 $27,504 $116,856 $168 1.080 $467 $1,094 $320 1.648 $712 $2.099 $23 0.054 $23 $83 $197 0.604 $261 $1,185 $644 1.401 $605 $1,805 $16,568 42.278 $18,270 $39,196 $372 1.403 $606 $2,187 $23,463 121.766 $52,620 $110,733 $49 0.171 $74 $290 $27 0.095 $41 $159 $424 1.024 $443 $1,151 $974 7.262 $3,138 $14,947 $83 0.289 $125 $453 $369 6.036 $2,608 $13.679 $489 1.694 $732 $2.452 $1,833 7.517 $3,248 $11 ,922 $105 0.754 $326 $1,418 $538 1.475 $637 $1,655 $1,462 10.140 $4,382 $11 ,303 $299 0.867 $375 $981 $679 '2.417 $1,044 $3,043 S552 6.078 $2,627 $6.911 $37 0.190 $82 $272 $295 1.022 $442 $1,069 $229 1.492 $645 $2,276 5145, 137 503.076 $217,399 $516,372- $138 0.673 $291 $877 $20,745 71.905 $31,073 $73,805 $182 0.637 $275 $686 $3,017 10.459 $4.520 $10,735 S25.674 70.110 $30,297 $58,279 $1,098 3.805 $1,644 $3,969 $1,049 3.627 $1 ,567 $3,772 $684 2.372 $1 ,025 $2.453 $°56 0.193 $83 $199 $14,031 56.091 S24-239 S62.814 $250 0.867 $375 5890 $1.481 5.134 -$2,219 S5.270 $2,208 7.653 -$3,307 $7,855 $4,062 14.080 $6,085 $14,452 Proposed FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credit /21 Permit Cho. @$665 @$348 @$333 PermitChn. Prior Yr. Over PY Increase $57 $3,586 $2,950 $200 $501 $3,651 $65 1.81% $511 $0 $2,416 $1.770 $371 $318 $2,459 $43 1.77% $344 $1,138 $25,893 $8,401 $9,174 $8,772 $26,347 $455 1.76% $3,690 $173 $4,236 $1 ,453 $1.470 $1,386 $4,309 $74 1.75% $604 $158 $28,988 $26.351 $381 $2,754 $29,486 $498 1.72% $4,131 $1 85 $1,915 $906 $254 $787 $1,947 $32 1.68% $273 $68 $1,689 $794 $429 $494 $1,717 $28 1.67% $241 $0 $1,329 $969 $202 $179 $1,351 $22 1.64% $189 $942 $22,515 $7,290 $7,961 $7,612 $22,864 $348 1.55% $3,208 $11 $5,735 $5,205 $96 $522 $5,823 $88 1.53% $817 so $10,925 $4,119 $4,411 $2,562 $11,092 $167 1.53% $1,557 $0 $32 $29 $1 $3 $33 $0 1.48% $5 $15 $820 $669 $38 S126 $832 $12 1.45% $117 $301 $5,961 $3,756 $662 $1,629 $6,047 $86 1.45% $849 $0 $116,856 $67,679 529,562 $21,200 $118,440 $1,584 1.36% $16,652 $65 $1,029 $478 $203 $360 $1 ,041 $13 1.23% $147 $74 $2,026 $1,114 $386 $549 $2,049 $23 1.14% $289 so $83 $38 $27 $18 $83 $1 1.10% $12 $0 $1,185 $758 $238 $201 $1,197 $12 1.05% $169 $0 $1,805 $580 sns $467 $1,824 $19 1.05% $257 $946 $38,250 $4,546 $20,006 $14,082 $38,634 $385 1.01% $5,451 $23 $2,165 $1,261 $449 $467 $2,178 $13 0.61% $308 $6,017 $104,716 $36.150 $28,331 $40,559 $105,040 $324 0.31% $14,922 $0 $290 $174 $60 $57 $290 $1 0.17% $41 $0 $159 $94 $33 $32 $159 $0 0.12% $23 $0 $1,151 S297 $512 $341 $1,150 ($1) -0.10% $164 $26 $14,921 $11,304 $1,176 $2,419 $14,899 ($22 -0.15% $2,126 $0 $453 $255 $101 596 $452 ($1 -0.16% $65 $4 $13,675 $11,165 $445 $2,011 $13,621 ($54 -0.39% $1,949 $0 $2,452 $1,285 $590 S564 $2,439 ($13) -0.53% $349 $0 $11,922 $7,137 $2,213 $2,504 $11,854 ($68 -0.57% $1,699 $0 $1,418 $1,030 $127 $251 $1,408 ($10) -0.71% S202 so $1,655 $501 $649 $491 $1,641 ($14) -0.83% $236 $349 $10,955 $5,695 $1,765 $3,378 $10,838 ($116 -1 .06% $1,561 $0 $981 $320 $361 $289 $970 ($11) -1.07% $140 $0 $3,043 $1,376 $820 $805 $3,002 ($41) -1 .36% $434 $217 $6,694 $3,894 $.667 $2,025 $6,585 ($109 -1.63% $954 $0 $272 $159 $45 $63 $267 ($5 -1 .66% $39 $8 $1,061 $347 $356 $340 $1,043 ($18 -1.66% $151 $0 $2,276 $1,462 $277 $497 $2,236 ($40 -1.74% $324 $3.452 $512,920 $160,495 $175,252 $167,570 $503,316 ($9,604 -1 .87% $73,091 $0 $877 $467 $167 $224 $859 ($19 -2.11% $125 $226 $73,579 $22,939 $25,049 $23,951 $71,938 ($1,640 -2.23% $10,485 $0 $686 $238 $220 $212 $670 ($15 -2.24% $98 $17 $10,718 $3,337 $3.643 $3,484 $10,464 ($254 -2.37o/o $1,527 $133 $58,146 $2,407 $31,001 $23,353 $56,762 ($1,384 -2.38% $8,286 $0 $3,969 $1.280 $1,326 $1,267 $3,873 ($96 -2.42% $566 $0 $3,772 $1 ,206 $1,266 $1,208 $3,680 ($92 -2.43% $538 $0 $2,453 $776 $826 $790 $2,392 ($61 -2.48% $350 $0 $199 $63 $67 $64 $194 ($5 -2.49% $28 $0 $62,814 $25,606 $16,942 518,683 $61,232 ($1,582 -2.52% $8,951 $0 $890 $277 $302 $289 $868 ($22) -2.53% $127 $0 $5,270 $1,638 $1 ,788 $1,710 $5,136 ($133 -2.53% $751 $0 $7,855 $2,441 $2,666 $2,549 $7,657 ($199 -2.53% $1,119 $0 $14,452 $4,492 $4,905 $4,690 $14.087 ($365 -2.53% $2,059 6 of 7 Fiscal Year 05-06 Actual Charges Under the Cost of Service Methodology (1) Total Flow Charge Total COMPANY NAME Vol.I31 i6l S638 800141 Renal Research Institute, LI 3.18 $2,024 6.620 Kaiser Permanente Medlcai 21 .46 $13,683 44.747 Anaheim Memorial Medical 30.34 $19,341 63.250 Children's Hospital Of Oran1 13.94 $8,888 29.067 Uc.I Medical Center 68.41 $43,613 142.630 Hoag Memorial Hospilal Pri 51 .92 $33,102 108.255 SL Jude Medical Center 14.46 $9,218 30.145 Southern California Edison 2.50 $1,594 5.213 Culligan Water CondJtloninc 15.62 $9,960 0.081 Sechrist Industries. Inc. 0.50 $321 1.041 Fairview Developmental Ce 51 .54 $32,860 210.628 Metropolitan Water District 1 2.00 $1 ,277 3.995 Taormina Industries, Uc #4 1.60 $1 ,018 4.672 Grande Foods, A California 2.31 $1,415 87.549 Expo Dyeing And Finishing 95.09 $60,623 181.725 Lace.y Custom Linens 1.70 $1 ,085 1.681 Ideal Anodizing Inc. 7.73 $4,929 0.718 Aluminum Forge• Div. Of A 3.00 $1,914 1.919 Kimberly-Clark Worldwide, I 482.39 $307,549 466.290 Linea Industries Inc. 1.86 $1,186 0,450 Aluminum PrecTslon Produc 2.09 $1,332 0.780 Techpiate, Inc. 0.06 $37 0.•78 Ricoh Electronics #2 2.10 $1 ,341 8202 A & K beburring And Tumbl 0.13 $82 0.118 Gkn Aerospace Transparen 10.24 S6,528 4.955 Semicoa Semiconductors 3.29 $2,097 2.302 Orange County Metal Proce 16.64 $9,969 0.366 VIiia Park Orchards Assocle 4.21 $2,684 5.946 Dunham Metal Processing 3.61 $2,305 0.447 Precision Anodizing And Pl, 19.39 $12;363 4.277 Serrano Water District 1.29 $822 0.019 Calif. Consolidated Water P 16.78 $10,695 0.594 Santana Services 0.39 $248 0.034 Gerard Roofing Technologit 3.39 $2,163 2.957 lntec Products, ln.c. 4.27 $2,724 0.319 Gemini lndusfrles Inc. 4.63 $2,955 0.994 City Of Anatieim -Water Se 8.05 $5,132 0.114 Los Alamitos Race Course 0.00 $0 0.000 Dr. Smoothie Enterprises 0.04 $27 0.087 S & C Oil Corporation Q,03 519 0.000 Lam U9hUng System, Inc. 0.64 $408 1-202 W.M.Elllotl O.Q1 $4 0.000 H. Koch & Sons Co. 0.31 $1 95 0.212 Progressive MarkeUng 0.84 $539 0.875 Cambro Manufacturing 3.58 S2,279 7.454 Amcor-Suncllpse Inc. 0.91 $582 3.206 Transllne Technology Inc. 0.23 $149 0.100 GRANO TOTAL $3,581,229 20,821.123 (1)-Utilizing Flow Data from FY 04-05. (2) -Tax Credits based on taxes paid in FY 04-05. (3) -Per million gallons. (4) per thousand pounds. BOD Charge Total TSS Charge Gross t'Bl $289 TSS/4I 6'J 5432 Charne $1,910 6.620 $2,861 $6,795 $12,910 44.747 $19,337 $45,929 $18,248 63.250 $27,333 ·$64,921 $8.386 29.067 $12,561 $29,835 S41.149 142.630 $61 ,636 $146,398 $31,232 108.255 $46,781 $111 ,115 $8,697 30.145 $13,027 $30,941 $1,504 5.213 $2,253 $5,351 $2.3 8.139 $3.517 $13,500 $300 1.123 $485 $1,106 $60,766 202.031 $87,306 $180,932 $1,153 4.445 $1 ,921 $4,350 $1.348 11.182 $4,832 $7,198 $25,258 77.220 $33,370 $60,103 $52.428 228.964 $98,945 $211,996 $485 3.331 $1,439 $3,009 $207 9.157 $3,957 $9,093 $554 6.375 $2,755 $5,222 $134,525 1,109.691 $479,542 $921,616 $130 2.854 $1,233 $2,550 $225 2.500 $1,080 $2,637 $23 0.132 $57 511 7 $2,366 21.250 $9,183 $12,891 $34 0.269 S116 $232 $1,430 49.809 $21,524 $29 482 $664 9.782 $41227 $6,988 $106 23,31 8 $10,077 $20,151 $1 ,715 15.668 $6,771 $11,170 $129 6.885 $2,975 $5,409 $1 ,234 78.467 $33,909 $47,506 $5 4.289 $1,853 $2,681 $171 65.322 $28,228 $39,095 $10 1.855 $802 $1,059 $853 82.609 $35,699 $38,715 $92 48.699 $21 ,045 $23,861 $2.87 77.038 $33,291 $36,533 $33 109.457 $4,7,301 $52.465 $0 0.000 $0 so $25 0.087 $38 $89 $0 0.000 $0 $19 $347 1.068 $462 $1,216 $0 Q.000 $0 $4 $61 0:212 $92 $348 5252 0.578 $250 S1,041 $2,150 7.454 $3,221 $7,651 $925 1.479 $639 $2,146 $29 0.100 $43 $221 $6,006,894 $8,355 $3,610,442 $13,198,566 Proposed FY 06-07 Est. Charges Under the Net Cost of Service Methodology (1) 14.25% Less:Tax Net Flow Charge BOD Charge TSS Charge Net Change from % Iner. Residential Credit 121 PermitChn. (@$665 lnl ~348 lill ~333 PermitChn Prior Yr. Over PY Increase $0 $6,795 $2,112 $2,306 $2,205 $6,623 ($172 -2.53% $968 $0 $45,929 $14,275 S15,588 $14,905 $44,768 ($1,161 -2.53% $6,545 so $64,921 $20.178 $22,034 $21,068 $63,280 ($1 ,641) -2.53% $9,251 $0 $29,835 $9,273 $10,126 $9,682 $29,081 ($754) -2.53% $4,251 $0 $146,398 $45,501 S49,687 $47,609 $142,697 ($3,702) -2.63% $20,862 $0 $111,115 $34,535 $37,712 $36,059 $108,305 ($2,809) -2.53% $15,834 $0 $30,941 $9,617 $10,501 $10,041 $30,159 ($7821 -2.53% $4,409 $0 $5,351 $1,663 $1,816 $1,736 $5,215 ($135} -2.53% $762 $0 $13,500 $10,391 $28 $2.711 $13,130 ($370 -2.74% $1,924 $0 $1,106 $335 $363 $374 $1,071 ($35) -3.17% $158 $0 $180,932 $34,283 $73,374 $67,295 $174,952 ($5,980) -3.31% S25,783 $0 $4,350 $1,332 $1,392 $1,481 $4,204 ($1461 -3.35% $620 $544 $6,653 $1,062 $1,628 $3,725 $6,414 ($240) -3.60% $948 so $60,103 $1,539 $30,499 $25,721 $57,758 ($2,344) -3.90% $8,565 $682 $211,314 $63,248 $63,306 $76,266 $202,819 ($8,494) -4.02% $30,112 $62 $2,947 51,132 $586 $1,110 $2,827 ($121) -4.09% $420 $274 $8,819 $5,142 $250 $3,050 $8,442 ($376) -4.27% $1,257 $171 $5,052 51,997 $669 $2,123 $4,789 ($263) -5.21% $720 521 ,031 $900,584 $320,863 $162.437 $369,627 $852,927 1$47,658) -5.29% $128,333 $70 $2,479 $1,238 $157 $951 $2,345 ($134) -5.41% $353 so $2,637 $1,389 $272 $833 $2,494 1$143) -5.43¾ $376 $0 $1f7 $39 $27 $44 $110 ($7) -5.81% $17 $829 $12,061 $1,399 $2,857 $7,078 $11 ,335 ($727) -6.02% $1,719 $0 $232 $85 $41 $90 $216 ($16' -6.91% $33 $2,453 $27,029 $6,811 $1,726 $16,591 $25,128 ($1 ,901' -7.03% $3,852 $142 $6,846 $2,188 $802 $3,258 $6,248 ($5981 -8.74% $976 $51 $20,100 $10,400 $127 $7,767 $18,295 ($1 ,805) -8.98% $2,864 so $11,170 $2,800 $2,071 $5,219 $10,090 ($1,0801 -9.67% $1,592 $10 $5,399 $2,404 $156 $2,293 $4,853 ($5461 -10.11% $769 $328 $47,178 $12,899 $1 ,490 $26,137 $40,525 {$6,653) -14.10% $6,723 $0 $2,681 $857 $7 $1,429 $2,293 ($388) -14.48% $382 $260 $38,835 $11.158 $207 $21,758 $33,123 ($5,712) -14.71% $5,534 $15 $1 ,044 $259 $12 $618 $888 ($156) -14.91% $149 $802 $37,913 $2.257 $1,030 $27,516 $30,803 {$7,110) -18.75% $5,403 $227 $23,634 $2,842 $1 11 $18,221 $19.174 1$4,459) -18.87% $3,368 $101 $36,432 $3,083 $346 $25,661 $29,089 ($7,342) -20.15% $5,192 $0 $52,465 $5.354 $40 $36,459 $41,853 ($10,613) -20.23% $7,476 $2,262 1$2,262) so so so $0 $2,262 -100.00% ($322 $41}9 {$380] $28 $30 $29 $87 $467 -122.88% ($54 $95 ($76) 520 so so $20 $96 -126.64% ($11 $2,321 ($1,104) $426 S419 $356 $1,200 $2,305 -208.68% ($157 $7 ($3) S4 $0 $0 $4 $7 -224.92% ($0 $512 ($165 -$203 $74-$71 $348 $512 -311.03% ($23 $1,135 ($94) S562 $305 $193 $1,059 $1,153 -1231.28% ($13) $8,165 ($514) $2,378 $2,597 $2,483 $7,457 $7,971 -1551.60% ($73 $2,224 ($78) $607 $1,117 $493 $2,216 $2,295 -2927.30% ($11) S221 ($0) $1 55 $35 $3.3 $223 $223 -167793.35% /SO $820,551 $12,378,014 $3,736,263 $7,253,246 $2,782,900 $13,772,410 $1,394,395 $1,763,867 7 of 7