The Pella City Council, during last week’s regular meeting, approved the second reading, waived third readings and adopted an ordinance adjusting septage rates.
As reported previously, at the June 3, 2014 Policy and Planning Meeting, Council discussed septage disposal rates and directed staff to prepare an ordinance amending the current rates.
The City’s current rate for septage disposal at the City’s Wastewater Treatment Plant (WWTP) is $46.20 per 1,000 gallons. Recently, the City has observed a significant amount of septage coming to the City’s treatment plant from beyond the “Pella area”. The reason for the increase in the “Out-of-Area” disposal is presumed to be the disparity of rates between the City of Pella and other surrounding disposal sites.
The City’s current rate structure does not differentiate between “In-Service” area or “Out-of-Service” area, which is customary of other disposal sites, and charges a below market rate of $46.20 per 1,000 gallons for all haulers.
In order to remain competitive with other disposal sites and ensure recovery of costs associated with disposal, staff recommends the following amendment to the rate for disposal at the City’s WWTP:
1,000 gallons = $100
1,000 gallons = $200
The development of an “In-Service” area and “Out-of-Service” area proposed by staff is based on the distance from other regional and available treatment plants. The Septic Service Line as noted on the map is equal distance from the City of Pella’s Wastewater Treatment Plant to other regional disposal sites to encourage the use of other regionally appropriate facilities.
With the establishment of service areas and associated rates, the City will continue to provide a suitable location for regionally appropriate disposal, while ensuring the City receives appropriate cost recovery through market appropriate disposal rates.