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A. The city shall establish by ordinance rate classifications, service charges, inspection and permit fees, application and connection fees, and such other fees and charges necessary and sufficient in the opinion of the city council to pay for the following:

1. The costs associated with the development, adoption and implementation of a comprehensive water system master plan;

2. The costs, including debt service and related financing expenses, of the construction and reconstruction of water facilities necessary and required for the acquisition, treatment and distribution of water that benefit the service area but not presently in existence;

3. The operation, repair, maintenance, improvement, replacement and reconstruction of water utility facilities that benefit the service area which presently exists;

4. The costs of monitoring, inspection, enforcement, and administration of the utility including, but not limited to, water sampling, cross connection control, facilities security, construction inspection, and other activities which are reasonably required for the proper and adequate implementation of the city’s water policies.

B. The fees and charges to be paid and collected pursuant hereto shall not be used for general or other governmental or proprietary purposes of the city except to pay for the equitable share of the costs of accounting, management, and government thereof incurred on behalf of the utility. (Ord. 5849 § 1, 2004.)