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<br /> <br /> 5-1 <br />Use of contents on this sheet is subject to the limitations specified at the end of this document. <br />Section 5 <br />Rates and Charges <br />Distribution of costs to billable parameters and customer classes shown in the preceding section is <br />followed by the calculation of rates and monthly charges in this section. <br />5.1 Recommended Changes to Rate Structure <br />The current wastewater rate structure has been in place since 2010. The term “rate structure” refers to <br />the selection of customer classes and corresponding Flow, BOD and SS assignments and the type of rate <br />applied to recover costs – volumetric (in units of $/hcf, for example) or fixed (in units of $/month, for <br />example). Recommended changes to the rate structure are described below. <br />Apply the “Account/Billing Unit Charge” Separately from the Flow/BOD/SS Rate for Commercial and <br />Institutional Customer Classes. Currently, there is an account charge applied to the monthly bill for <br />account in the Industrial User customer class. Account charges for the Residential customer class are <br />added to the monthly charge. Account charges for the Commercial and Institutional customer classes <br />are added to the volumetric charge. By adding the account charges to the volumetric charge (instead of <br />collecting it separately or added to the monthly charge), each subclass in the Commercial and <br />Institutional customer classes pays a different portion of the account charge revenue requirements. <br />It is recommended that the same Account/Billing Unit charge be applied to every monthly bill in addition <br />to the portion of the monthly bill with the Flow/BOD/SS charges. <br />5.2 Residential Monthly Charges <br />For the Residential customer class, the monthly charge has three components: 1) account/billing unit <br />costs; 2) Flow, BOD and SS costs; and 3) I/I costs. Development of the monthly charge for both Single <br />Family accounts and for Multiple Family accounts is shown in Appendix E, Table E-1. <br />5.3 Commercial and Institutional Rates and Monthly Charges <br />For the Commercial and Institutional customer classes, the monthly charge has two components: 1) <br />account/billing unit costs; and 2) Flow, BOD, SS and I/I costs. The Flow, BOD, SS and I/I costs are <br />recovered through a volumetric charge which varies based on the BOD and SS characteristics of each <br />account. Development of the rates and monthly charges for Commercial and Institutional customer <br />classes is shown in Appendix E, Table E-2. <br />5.4 Industrial Rates and Monthly Charges <br />Monthly charges for each billable parameter are calculated by multiplying the unit cost for each <br />parameter (listed in Table 4-2) by the amount of discharge for each parameter and the number of <br />accounts. <br /> <br />109