Section NR 162.07 - Requirements for a user charge system and sewer use ordinance(1) GENERAL. Any user charge system and applicable ordinances adopted by a recipient shall be maintained in accordance with s. 281.58 (14) (b) 7, Stats., for the useful life of a wastewater treatment works. The applicant shall submit user charge information to the department and shall certify to the department that the user charge system meets all the applicable requirements in this section.(2) APPLICABILITY. A user charge system and sewer use ordinance is required of the applicant receiving financial assistance under this subchapter for any wastewater treatment works project.(3) USER CHARGE SYSTEM REQUIREMENTS. Any user charge system under this section shall do all of the following: (a) Require that each user or user class pays its proportionate share of operation and maintenance costs, including replacement costs, of the wastewater treatment works within the recipient's service area.(b) Provide that the costs of operation and maintenance for all flow not directly attributable to users be distributed proportionally among all users of the recipient's wastewater treatment works.(c) Require that the charges for users or user classes generate sufficient revenue to pay costs identified in par. (e) 2. and 3.(d) Require that the recipient establish an equipment replacement fund, maintain the equipment replacement fund as a separate fund of the municipality, and make deposits to this fund on an annual basis or maintain a balance acceptable to the department. This fund is to be used for the costs of replacing equipment related to the wastewater treatment works. The municipality may also use the equipment replacement fund for unexpected, unbudgeted costs incurred for continuing effective operations of the treatment works. The municipality shall periodically make appropriate adjustments to the equipment replacement fund deposit schedule or balance, including adjustments needed to restore the fund balance following an expenditure from the fund.(e) Establish a financial management system that accounts for all of the following: 2. Costs of operations and maintenance of the wastewater treatment works, including an appropriate amount of money to be deposited annually into the equipment replacement fund.3. Debt service costs, including debt service reserves and debt coverage requirements. In this subdivision, "debt coverage" means the ratio of net revenue available for debt service to the average annual debt service requirements of an issue of revenue bonds.(f) Require the review, at least once every 2 years, of the wastewater contribution of users and user classes, the total costs of operations and maintenance of the wastewater treatment works, and the overall user charge system.(g) Require that each user that discharges any toxic pollutants or high strength wastes to a wastewater treatment works pay for any increased costs associated with the discharge.(h) Provide that each user is notified, at least annually, in conjunction with a regular bill, of the rate of charge attributable to service provided by the wastewater treatment works.(i) Be based on actual or estimated use except as provided for under s. 281.58 (14) (b) 7, Stats.(4) MUNICIPAL RESPONSIBILITIES. The municipality shall do all of the following: (a) Incorporate the user charge system in one or more municipal ordinances or other legislative enactments and make reference to the user charge system or systems in intermunicipal agreements if the project serves more than one municipality.(b) Terminate any term or condition of any pre-existing agreement or contract between the recipient and a user that is inconsistent with the requirements of this section.(c) Maintain records to document compliance with this section.(d) For a wastewater treatment works, enact and enforce a sewer use ordinance that does all of the following:1. Prohibits any new connections from sources that will add substantial infiltration or inflow into the sanitary sewer system.2. Requires that new sewers and connections to the sewer system be properly designed and constructed.3. Requires that wastewater introduced into the treatment works not do any of the following: a. Endanger public safety or the environment.b. Jeopardize the physical integrity of the treatment works.c. Cause substantial upset to the treatment process.d. Cause a violation of effluent or water quality limitations.4. Defines normal domestic strength of the wastewater.5. Controls and monitors industrial discharges by requiring control manholes, pretreatment, and grease, oil, and sand interceptors.6. Provides a methodology for establishing sewer use rates that complies with sub. (3). A municipality may include an optional class of low-income residential users, with incomes below a level established by the municipality, who are charged at a lower rate than other residential users.7. Defines violations and penalties for violators.(5) DEPARTMENT REVIEW. The department may annually review a recipient's user charge system to ensure that it continues to meet the requirements of this section.Wis. Admin. Code Department of Natural Resources NR 162.07
CR 03-027: cr. Register November 2003 No. 575, eff. 12-1-03.Amended by, CR 14-043: cr. Register June 2015 No. 714, eff. 7-1-15; correction in (1) (j) made under s. 35.17, Stats., Register June 2015 No. 714, eff.7/1/2015.Adopted by, CR 22-045: cr. Register October 2023 No. 814, eff. 11/1/2023The performance standards are established in ch. NR 151. The model ordinance is established in ch. NR 152.