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AWWA JTMGT57477

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AWWA JTMGT57477 Structuring an Effective Contract for the Provision of Wholesale Water and Wastewater Service

Conference Proceeding by American Water Works Association,

McKinley, J. Rowe; Brunwasser, Bernard

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Many urban water and wastewater utilities, particularly those that provide serviceto jurisdictions outside of the owner-utility's corporate boundaries, are seeinganincreasing percentage of the total annual service requirements coming from these outsidejurisdictions. Where such service to the outside jurisdiction is provided on a wholesalebasis, it is very important that the owner-utility protect itself and the citizens of itscommunity through the establishment of effective service agreements or contracts withits wholesale service customers. This paper addresses some of the importantconsiderations that the owner municipal utility should incorporate in its contracts for theprovision of wholesale water and wastewater service. They include: effective date and legal authority to enterinto an agreement with the wholesale service entity; discussion of owner andwholesale customer facilities involved in the agreement; contract capacityrequirements and basis for revision to initial contract capacities; initial basis ofcharge, billing frequency, due date, and notification process for revisions to initial ratesand charges; charges for exceeding contractual capacities; location of meteringand/or sampling facilities and ownership/maintenance responsibilities of such facilities;basis for metering, sampling, and billing; pretreatment agreement; terms ofagreement and basis/procedures for early termination; provision for arbitration ofdisputes; and, miscellaneous other issues.

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Edition: Vol. - No. Number of Pages: 5File Size: 1 file , 120 KB