GARRISON KATHIO WEST MILLE LACS LAKE SANITARY DISTRICT
AN ORDINANCE ESTABLISHING A SEWER SERVICE CHARGE SYSTEM
An Ordinance providing for Sewer Service Charges to recover costs associated with: Treatment, operation, maintenance, and replacement of the Garrison Kathio West Mille Lacs Lake Sanitary Sewer District collection system.
Unless the context specifically indicates otherwise, the meaning of the terms used in this ordinance shall be hereafter designated:
Section 1 “Administration” Fixed costs associated with the administration of the District.
Section 2 “Biochemical Oxygen Demand or BOD5” The quantity of oxygen utilized in the biochemical oxidation of organic matter under standard laboratory procedure in five (5) days at 20 degrees Centigrade in terms of milligrams per liter (mg/l).
Section 3 “District” The area within the district boundaries of the Garrison Kathio West Mille Lacs lake Sanitary Sewer District, as presently established or as amended by petition to the Minnesota Pollution Control Agency or other legal actions at a future time. The term District when used herein may also be used to refer to the Board of Managers and its authorized representatives.
Section 4 “Commercial User” Any place of business, which discharges sanitary waste as distinct from industrial wastewater.
Section 5 “Commercial Wastewater” Domestic wastewater emanating from a place of business as distinct from industrial wastewater.
Section 6 “Debt Service Charge” A charge levied by the District for the cost of repaying money bonded to construct said facilities.
Section 7 “Equivalent Dwelling Unit (EDU)” A unit of wastewater volume averaging 250 gallons per day at a strength not greater than 250 mg/l of BOD5 and 250 mg/l of Total Suspended Solids (TSS). This unit of wastewater volume is based on an average residential unit. This unit is for planning purposes only. Actual volumes may differ considerably.
Section 8 “Extra Strength Waste” Wastewater having a BOD and /or TSS greater than domestic waste as defined in Article 1, Section 14 below and not otherwise classified as an incompatible waste.
Section 9 “Governmental User” Users which are units, agencies, or instrumentalities of federal, state, or local government discharging Normal Domestic Strength wastewater.
Section 10 “Incompatible Waste” Waste that either singly or by interaction with other wastes interferes with any waste treatment process, constitutes a hazard to humans or animals, creates a public nuisance or creates any hazard in the receiving waters of the wastewater treatment works.
Section 11 “Industrial Users or Industries”
a. Entities that discharge into a publicly owned wastewater treatment works, liquid wastes resulting from the process employed in industrial or manufacturing processes, or from the development of any natural resources. These are identified in the Standard Industrial Classification Manual, 1972, Office of Management and Budget, as amended and supplemented under one of the following divisions.
Division A. Agriculture, Forestry and Fishing
Division B. Mining
Division D. Manufacturing
Division E. Transportation, Communications, Electric Gas, and sanitary Sewers
Division I. Services
For the purpose of this definition, domestic waste shall be considered to have the following characteristics:
BOD5 less than 250mg/l
Suspended Solids less than 250 mg/l
b. Any nongovernmental user of a publicly owned treatment works which discharges wastewater to the treatment works which contains toxic pollutants or poisonous solids, liquids, or gases in sufficient quantity either singly or be interaction with other wastes, to contaminate the sludge of any municipal systems, or to injure or to interfere with any sewage treatment process, or which constitutes a hazard to humans or animals, creates a public nuisance, or creates any hazard in or has an adverse effect on the waters receiving any discharge from the treatment works.
Section 12 “Industrial Waste” The liquid processing wastes from an industrial manufacturing process, trade, or business including but not limited to all Standard Industrial Classification Manual Divisions A, B, D, E and I manufactures as distinct from domestic wastewater.
Section 13 “Institutional User” Users other than commercial, governmental, industrial or residential users, discharging primarily Normal Domestic Strength wastewater (e.g. Non-profit organizations).
Section 14 “Normal Domestic Strength Wastewater” Wastewater that is primarily produced by residential users, with BOD5 concentrations not greater than 250 mg/l and suspended solids concentrations not greater than 250 mg/l.
Section 15 “Operation and Maintenance” Activities required to provide for the dependable and economical functioning of the treatment works and collection system, throughout the useful life, and at the level of performance for which the treatment works were constructed. Operation and maintenance includes replacement.
Section 16 “Operation and Maintenance Costs” Expenditures for operation and maintenance, including the replacement of equipment.
Section 17 “Public Wastewater Collection System” A system of sanitary sewers owned, maintained, operated and controlled by the District.
Section 18 “Replacement” The obtaining and installing of equipment, accessories, or appurtenances which are necessary during the useful life of the collection works to maintain the capacity and performance for which such facilities were designed and constructed. Some replacements may actually improve the functioning of the system.
Section 19 “Replacement Costs” Expenditures for replacement.
Section 20 “Residential User” A user of the treatment facilities whose premises or building is used primarily as a residence for one or more persons, including dwelling units such as detached and semi-detached housing, apartments, and manufactured homes. A residential user discharges primarily normal domestic strength sanitary wastes.
Section 21 “Sanitary Sewer” A sewer intended to carry only liquid and water carried wastes from residences, commercial buildings, industrial plants, and institutions. A sanitary sewer may inadvertently carry minor quantities of ground, storm and surface waters; however, these should not be admitted intentionally.
Section 22 “Sewer Service Charge” That portion of the charges for operation, maintenance, replacement, debt service, contract costs and other sewer related charges that are billed periodically to users of the District’s wastewater collection facilities.
Section 23 “Sewer Service fund” A fund into which income from Sewer Service Charges is deposited along with other income, including taxes intended to retire debt incurred through contractual obligations and for construction of the collection systems. Expenditures for the Sewer Service Fund will be contract costs, operation, maintenance, replacement, and capital debt retirement.
Section 24 “Shall” is mandatory; “May” is permissive.
Section 25 “Slug” Any discharge of water or wastewater which in concentration of any given constituent, or in quantity of flow, exceeds for any period of duration longer than fifteen (15) minutes, more than five (5) times the average 24-hour concentration of flows during normal operations, and shall adversely affect the collection and/or performance of the wastewater treatment works.
Section 26 “Standard Industrial Classification Manual” Office of Management and Budget, 1972, and as amended from time to time.
Section 27 “Suspended Solids (SS) or Total Suspended Solids (TSS)” The total suspended matter that either floats on the surface of, or is in suspension in water, wastewater or other liquids, and is removable by laboratory filtering as prescribed in “Standard Methods for the Examination of Water and Wastewater”, latest edition, and referred to as non-filterable residue.
Section 28 “Toxic Pollutant” The concentration of any pollutant or combination of pollutants which upon exposure to or assimilation into any organism will cause adverse affects as defined in standards issued pursuant to Section 307(a) of the Act.
Section 29 “User Charge” A charge levied on users of the collection system for the user’s proportionate share of the contract costs as well as the cost of operation, maintenance, including replacement and capital debt retirement.
Section 30 “Users” All establishments, which are connected to the public sewer collection system, including, but not limited to residential and commercial.
Section 31 “Wastewater” The spent water of a community, also referred to as sewage. From the standpoint of source, it may be a combination of the liquid and water-carried wastes from any user as well as ground water, surface water and storm water that may inadvertently enter the system.
Section 32 “Wastewater Treatment Works or Treatment Works” An arrangement of any devices, facilities, structures, equipment or processes owned or used by the District for the purpose of the transmission, storage, treatment, recycling, and reclamation of municipal sewage, domestic sewage or industrial wastewater, or structures necessary to recycle or reuse water including interceptor sewers, outfall sewers, collection sewers, pumping, power, and other equipment and their appurtenances; extensions, improvements, remodeling, additions, and alterations thereof; elements essential to provide a reliable recycled water supply such as standby treatment units and clear well facilities; and any works including land which is an integral part of the treatment process or is used for ultimate disposal of resides resulting from such treatment.
SEWER SERVICE CHARGE SYSTEM
The District shall use any combination of available means to pay the obligations of the
District. These include, but are not limited to: special assessments; sewer proximity charges on
all parcels on the line; tax levies; monthly service charges; and other fees and charges as may be
assessed from time to time, and as allowed by Minnesota Statutes including, but not limited to
§ 442A.01 to § 442A.29;
A “Sewer Service Fund” shall be created by the District. Revenues collected from monthly user
charges shall be deposited in the Sewer Service Fund. Income from revenues collected into this
fund shall be applied to the cost of operation, maintenance, replacement, contract costs, and costs
of construction of the Wastewater Collection System.
DETERMINATION OF MONTHLY SEWER SERVICE CHARGE
Section 1 Users of the Garrison Kathio West Mille Lacs Lake Sanitary District wastewater treatment works shall be identified as belonging to one of the following user classes:
Within the non-residential user class, the Board of managers reserves the right to designate other
classes from time to time.
Section 2 The rate charged residential users who discharge “Normal Domestic Strength
Wastewater” shall be determined on a per household basis only.
Section 3 The Monthly Sewer Service Charge for residential Property shall be determined by
taking into account all sources of revenue for the District and all expenses of the District. The
monthly rate will be set forth annually in an Amendment to Ordinance 13. For the purposes of
this Ordinance and for planning, one residence may be referred to as one EDU (Equivalent
Section 4 The rate assessed non-residential users who discharge “Normal Domestic Strength
Wastewater”, will be set by determining an equivalent dwelling unit (EDU) number for each
establishment. In general, the EDU number for each establishment for the purpose of calculating
a monthly charge will be established by consulting a standard reference book. Non-Residential
property owners will be notified of the number of EDU’s calculated for their property.
The EDU number used to calculate the monthly charge may in some instances be a different
number than that used to calculate the SAC charge. This is because certain classes of property
will have their EDU’s calculated for connection on an alternate basis.
Section 5 Non-residential establishments that are more than one EDU, shall have water meters
and will have their service charge based on a two part formula.
Monthly charge = Fixed Base Rate + a charge per thousand gallons.
The fixed base rate and the charge per thousand gallons will be set each year in an Amendment
to Ordinance 13.
Section 6 The Sewer Service Charge established in this Ordinance shall not prevent additional
charges to users who discharge wastes with concentrations greater than Normal Domestic
Strength or wastes of unusual character, or contractual agreements with such users, as long as the
following conditions are met:
a. The user pays Operation, Maintenance, and Replacement costs in proportion to the users proportionate contribution of wastewater flows and loadings to the treatment plant, and no user is charged at a rate less than that of “Normal Domestic Strength Wastewater”.
b. The measurements of such wastes are conducted according to the latest edition of Standard Methods for the Examination of Water and Wastewater in a manner acceptable to the District in Ordinance No. 12 “An Ordinance Establish Sewer Use Regulations.”
c. The District’s NODES/SDS Permit, sewer use regulations, and contract for treatment services are not violated.
d The District has the right to do an on-site visit to analyze and gather data about the occurrence of any leaks.
Section 7 The Board will use water flow history and the best information to establish costs.
SEWER ACCESS CHARGES
Section 1 It is the intent of this Article to outline how the District will compute Sewer Access and Connection (SAC) charges. While this Article can cover most situations, it cannot cover all of them. When omissions and exceptions occur, the Board will use its best judgment.
Section 2 SAC charges will be based on a combination of a per equivalent dwelling unit charge (also known as an EDU charge) and a per front foot charge (also known as an availability charge). During initial construction of the system, the SAC charges will be assessed to the adjacent properties.
The EDU charge will only be applied to adjacent properties that have an existing structure.
The front footage charge will be applied to all properties regardless if there is a structure present or not.
Property owners who wish to be charged for EDU’s not yet in existence at the time of construction of the sewer may notify the board, and have the EDU portion included in their initial assessment.
Section 3 The EDU Charge for connection and the front foot charge will vary after initial construction and will be determined by the District annually. It is the intent of the Board to have SAC charges in future years be at least as much as initially determined plus an annual amount added for interest.
Section 4 The following will be used to determine the number of EDU’s for a property:
A. Only developed pieces of property with a structure or structures that have plumbing facilities that require sewer service are considered for an EDU determination.
B. Undeveloped properties are not considered for an EDU determination, unless
requested by a property owner in which case the guidelines herein apply.
C. Properties that contain a structure that does not have plumbing facilities
requiring sewer service (for example, a storage building) are not considered
for an EDU determination.
D. The structure that has plumbing facilities that requires sewer service has to
first be on a property parcel that abuts the road R/W or District easement that
the sanitary sewer is being installed within. Next the structure that has
plumbing facilities that requires sewer service has to then be within 500 feet
of the road R/W or District easement that the sanitary sewer is being installed
This distance is measured in a straight line from the R/W or easement line
perpendicular to the nearest outside wall of the structure in question
(regardless of whether or not this straight line is across the property in
question). If the structure is further than this distance, it is not required to
hook-up and is not considered for an EDU determination.
If the owner of a property that does not abut the line wishes to hook-up, they
will be allowed to do so after review and acceptance by the District. The
District will review each such case individually, considering the potential for
future development and the most efficient way of servicing this property. If
this longer hook-up is acceptable to the District, the property will be
considered for an EDU determination.
E. Arrangement of lots, lot dimensions, and Real Estate code designations shall
have no affect on the determination of the number of EDU’s.
F. The number of EDU’s for each property will initially be determined by the
District’s engineer, based on guidelines such as the “Service Availability Charge
Procedures Manual” from the Metropolitan Council Environmental Services and other appropriate sources. The Board will then ratify or modify the EDU determination.
G. The initial SAC charge for resorts will be calculated as follows: The front
footage charge will be calculated as usually done. To determine the number of
EDU’s the front footage of the resort will be divided by the average front footage
for 1.0 EDU, set at 100 feet.
H. Property owners may appeal their initial EDU determination to the District
Board by submitting information and documentation to support their claim
within 30 days of notification of the number of EDU’s assigned to their
The Board will consider information submitted, as well as comparisons to
other properties within the District, overall economics of the District, and
other such factors as they may deem relevant.
Each party is responsible for their own costs in an appeal to the Board.
I. For new construction on properties that have not been assessed a sufficient number of EDU’s to cover that construction, the property owner has two options:
i. Pay the Sewer Access Charge (SAC) before connection to the system, or
ii. Agree in writing to waive all hearings, and have the amount specially assessed to their property over a period of 15 years, at the currently applicable interest rate. (Current interest rate charge is 6.5%, but this may change from time to time).
Section 5 The following guidelines are used to determine the front footage for the availability charge:
A. In general, front footage will be measured along both sides, and not just down
the center, of the R/W or easement that the sewer pipe is located within.
Exceptions and clarifications to are included in the guidelines that follow.
B. The front foot measurement will be into the private property along a line 30
feet away from the paralleling the R/W or easement line. This is done in an
attempt to ‘equalize’ the impact of wedge-shaped lots and other odd shaped
C. If the sanitary sewer goes past more than one side of a platted lot, only the
front lot footage will be used. The front side of a lot is defined as the short
side of a platted lot.
A corner platted lot is defined as a lot that is located at the intersection of two
R/W’s, the intersection of two easements, or a combination thereof. The side
lot footage on corner platted lots will not be used in calculating the assessable
A curve of approximately 90 degrees in a platted R/W does not cause the
adjacent lot to be defined as a corner lot. Such situations would need to be
reviewed on a case-by-case basis to properly determine the front footage.
In determining the front and side of a lot, the number of individual platted lots
owned by a single property owner is not considered. What is considered is the
platted lot arrangement.
D. For metes and bounds parcels and outlots, both ‘front’ and ‘side’ lot footages
will be used.
E. When a sewer line easement bisects a parcel/lot, the Sewer District will determine
if both sides of the easement have access for future development.
If this is the case, both sides of the easement will be used to calculate front footage,
If the District determines that only one side of the easement has access for
future development, only that side of the easement will be used to calculate front
Section 6 SAC charges will be applied in accordance with this Ordinance whether or not the property owner actually hooks-up to the sanitary sewer.
Section 7 Owners of properties that are not considered for an EDU determination when the sanitary sewer is installed can elect to be assessed the appropriate per EDU charge, thus foregoing the future per year percentage increases. An example of this would be an empty lot that the property owner is planning to build on in the near future.
In such a case, the property owner will provide a signed statement with a description of the proposed improvements to the District. The District will then determine the proper SAC charge.
It is the responsibility of the property owner to notify the District when the actual improvements are constructed so that any appropriate adjustments in the originally calculated EDU determination can be made.
TABLE I SAMPLE EDU DETERMINATIONS
A single-family residence, no matter whether it is seasonal or permanent = 1.0 EDU
An apartment building with eight single-family residential units = 8.0 EDU’s
A cabin unit at a resort = .5 EDU
Travel trailer park site with water and sewer hook-ups = 0.36 EDU’s (based on some historical information from the Corps of Engineer’s Cross Lake Campground).
Full service restaurant = I EDU for every 8 seats.
Rest Restaurant (fast food; disposable plates, glasses, silverware) = 1 EDU per 22 seats.
SEWER PROXIMITY CHARGES
Section 1 It is the intent of this Article to outline how the District will compute Sewer Proximity Charges (SPC). Vacant properties that lie along the sanitary line will be charged a Sewer Proximity Charge, based on the front footage of the property. Properties already being charged a monthly service charge will not receive an additional SPC. The number of feet of front footage will be calculated in the same manner as it was calculated for the initial front footage special assessment. While it will be able to cover most situations, the Board will have to interpret this Article when exceptions and omissions occur. The lot configuration present at the time of the initial special assessment will be used unless there has been a sale to a non-related party.
Section 2 Property owners, upon receipt of their first bill, may appeal if they contest the calculation of the number of feet in the front footage. Said appeal must be in writing and must be received by the Board within fourteen (14) days of receiving the first bill. The Board of Managers will offer such persons with an appeal a chance to be heard. Fourteen (14) days after receipt of the first bill, the right to appeal shall expire, unless for good cause shown why the deadline was missed.
Section 3 The SPC will be billed twice per year: in January and July. The amount will be due and owing within thirty (30) days of receipt of the bill.
Section 4 The per foot rate of the SPC charge will be determined in an Amendment to this Ordinance once a year.
Section 5. When property which has been charged a Sewer Proximity Charge is put into use and connected to the sanitary sewer line, the past three years of paid Sewer Proximity Charges may be applied to reduce the connection fee.
Section 6. In general, one paid connection charge that is also paying a monthly service charge, will be exempt up to 100 feet of property from the Sewer Proximity Charge. Said property to be exempted must be titled to the same persons, and be either connected to the initial property, or contiguous directly across the road.
Section 7. Property that has been exempted from paying a Sewer Proximity Charge because of some inherent condition of the land that makes it presently unbuildable, will have this exemption noted in the books and records of the District. If, in the future, said property is developed, the SPC will have to be paid back to January 2014, or back to some later date when a waiver was issued.
The Sewer Service Charge System and Sewer Service fund shall be administered according to the following provisions:
Section1 The District Treasurer shall maintain a proper system of accounts suitable for determining the operation and maintenance, equipment replacement, debt retirement costs of the collection system, and contract costs. A report of such costs shall be furnished at least annually to the Board of Managers.
The Board of Managers shall at least annually determine whether or not sufficient revenue is being generated for payment of contract costs and effective operation, maintenance, replacement and management of the collection system, and whether sufficient revenue is being generated for
debt retirement. The District will also determine whether the user charges are distributed proportionately to each user in accordance with this Ordinance.
The District shall, thereafter, reassess, and as necessary revise the Sewer Service Charge System then in use to insure the proportionality of the user charges and to insure the sufficiency of funds to maintain the capacity and performance to which the facilities were constructed, and to retire the construction debt.
Section 2 Bills for Sewer Service Charges shall be rendered on a monthly basis succeeding the period for which the service was rendered. The due date of bills will be set from time to time to coordinate with the billing agency.
Section 3 The owner of the premises shall be liable to pay for the service to such premises and the service is furnished to the premises by the District only upon the condition that the owner of the premises is liable therefore to the District.
Section 4 Any additional costs caused by discharges to the treatment works of toxics or other incompatible wastes, including the cost of restoring wastewater treatment services, clean up and restoration of the receiving waters and environs, and sludge disposal, shall be borne by the discharger(s) of said wastes, at no expense to the District.
Section 1 Each and every sewer service charge levied by and pursuant to this Ordinance is hereby made a lien upon the lot or premises served, and all such charges which are three months or more late may be certified to the County Auditor to be collected as taxes or assessments on the real estate. There may be more than one certification on a property each year. Each property owner shall have the right to file a written appeal request within two weeks of being notified of a proposed certification to taxes. If the charges are not paid in full, then a processing fee of seventy-five dollars will be charged and added to the amount certified to the county. If an appeal is properly requested, then the fee of seventy-five dollars will attach to the amount determined to be due at or after the hearing. Nothing in this Ordinance shall be held or construed as in any way stopping or interfering with the right of the District to levy as taxes or assessments against any premises.
Section 2 As an alternative to levying a lien, the District may, at its discretion, file suit in a civil action to collect such amounts as are delinquent and due against the occupant, owner, or user of the real estate, and shall collect as well all attorney’s fees incurred by the District in filing the civil action. Such attorney’s fees shall be fixed by the order of the court.
Section 3 For accounts, which are overdue more than three months, the District may, at its discretion, stop service to that account. However, before service is interrupted, the property owner shall be sent a notice along with a copy of this Ordinance, and given thirty days to correct the situation. This remedy is in addition to all other remedies available to the District. Before service is resumed, the account must be brought current, and all costs and attorney’s fees must be paid.
Section 4 There shall be a penalty of ten percent (10%) added to bills which are not paid by the 20th day after receipt of the bill, or by the last business day of the month, whichever day comes first. This penalty will be applied to each monthly billing only once. However, subsequent bills may have the same penalty applied to any new amounts owing.
SEVERABILITY AND VALIDITY
Section 1 If any section or subdivision of this ordinance shall be held invalid, the invalidity thereof shall not affect the validity of the other provisions of Ordinance, which shall continue in full force and effect.
Section 2 The sewer service charge system shall take precedence over any terms or conditions of agreements or contracts which are inconsistent with the requirements of Section 204(b)(1)(A) of the Act and Federal Regulation 40 CFR (Code of Federal Regulations).
Section 3 This Ordinance shall be in full force and take effect of January 1, 2017 from and after its passage and approval and publication as provided by law.
ANNUAL DETERMINATION OF CHARGES
There shall be an annual amendment to this Ordinance which sets out the following for the coming year:
Monthly Service Charge $58.25
Sewer Access Charge (SAC) $8000.00
Rate per 1,000 gallons used for properties on a meter $7.60
Sewer Proximity Charge (SPC) $3.00 per front footage
The following table sets out the Base Rate for Meters. Metered properties will pay the base rate plus a charge for each 1,000 gallons used. Table has been expanded to 10 tiers and charges have increased accordingly.
TIER # EDU EDU BASE CHARGE USAGE CHARGE
1 – 1 $58.25 NA – no meter
2 1.1 3 $59.71 $7.60/1000 gallons
3 3.1 6 $132.52 $7.60/1000 gallons
4 6.1 10 $234.46 $7.60/1000 gallons
5 10.1 15 $365.52 $7.60/1000 gallons
6 15.1 20 $511.14 $7.60/1000 gallons
7 20.1 25 $656.77 $7.60/1000 gallons
8 25.1 30 $802.39 $7.60/1000 gallons
9 30.1 35 $948.02 $7.60/1000 gallons
10 35.1 40 $1,093.64 $7.60/1000 gallons
Passed by the Board of Managers of the Garrison Kathio Mille Lacs Lake Sanitary District,
Crow Wing County, Minnesota on the 29th day of December, 2016.
/s/ Mike Timm
Mike Timm ATTEST: /s/ Loren Larson
Chairman Loren Larson
Amended 11/22/16 Res. #8-2016
Approved by Board of Managers 10-31-13
Amended 11/22/16 Res. #8-2016 increased first 3 items pg 6
amended 12/29/2016 update wording in ART III Section 7 pg 6
amended 2/27/2014 added ART V Section 5 pg 11
amended 6/26/14 added ART V Section 6 pg 11
amended 6/26/14 added ART V Section 7 pg 11
amended 11/22/16 RES #8-2016 increased costs for first 3 items ART IX Annual determination of charges pg 13
amended 11/25/14 RES#15-2014 increased costs ART IX annual determination of charges
amended 10/29/15 RES#602015 incresed costs ART IX annual determination of charges
amended 11/22/16 RES #8-2016 increased cost of per 1000 gallons ART IX pg 14