vvEPA
              United States
              Environmental Protection
              Agency
              Office of Water     _
              Program Operations (WH-595)
              Washington DC 20460
              October 1979
                            FRD-9
Determining
Wastewater Treatment
Costs
for Your Community

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Copies of this Publication, FRD-9, Determining
Wastewater Treatment Costs for Your Community
are available from the address below.  When
ordering, please include the title and FRD
number.
    General Services Administration (8FSS)
    Centralized Mailing Lists Services
    Building *J1, Denver Federal Center
    Denver, Colorado  80225

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                        Determining Wastewater
                        Treatment Costs for
                        Your Community
This publication was prepared for the U.S.
Environmental Protection Agency by Sage Murphy
and Associates, Inc., Denver, Colorado under the
direction of:

    James A, Chamblee, Chief
    Priorities & Needs' Assessment Branch  (WH-59b;
    Office of Water Program Operations
    U.S. Environmental Protection Agency
    Washington, D.C.  20U60
    (202) 426-

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                Table of Contents

                                       Page No,

Why Treat Wastewater                      2
How Wastes are Collected                  3
Costs for Wastewater Collection           *t
Enlargements and Upgrades of Existing
  Wastewater Treatment Plants             7
Costs for Wastewater Treatment            7
New Plant Construction Costs              9
Operation, Maintenance, and Routine
  Replacement Costs                      12
Component Parts of Annual Operating
  and Maintenance Costs                  14
Annual Treatment Plant Operating
  Expenses                               16
                        11

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INTRODUCTION

    Public  Law 95-217,  The Clean  Water  Act of
1977,  has  mandated the  nation's waters  must be
protected  from pollution and  existing pollution
levels must  be reduced.  One  of the provisions
of the Act is  to  assist municipalities and other
public d is chargers of  waste  with  the financial
burden   of   necessary   construction   of   the
pollution  control  facilities.    In  most  cases,
the   Federal  government   will  contribute   75
percent  of  the  construction   costs  while  the
local share will be 25 percent.

    In addition,  EPA encourages small treatment
systems and  innovative  and  alternative treatment
systems;  because  they often are less costly  than
traditional  treatment methods,  resulting in  cost
savings   to   both   the   community  and    EPA.
Innovative and alternative  treatment systems can
receive up to  85 percent Federal funding.

    In order to choose  the most viable approach
for  wastewater treatment,  it  is  important  that
communities  have  a general  idea of  the potential
costs  as they  begin  the planning  process.  The
U.S.  Environmental  Protec tion  Agency  (EPA) is
providing  this brochure  to assist  you  and  your
community  in determining the approximate cost of
building   and  operating  a  . municipal wastewater
collection  and treatment   system.   The  brochure
has  been  developed for facilities  serving  less
than  50,000  people.

    We  have   developed   the   cost   to   your
community,  which  is "average" for  the population
served.    The  data  from  which  these estimates
were  derived  are  from  national averages.  Costs
in your locality will  probably vary from these
averages   due  to   regional  economic  differences,

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 climate,  terrain,   and   other   factors.    Before
 outlining  this general  cost information,  it  is
 necessary  to  present  background  information  on
 wastewater  collection  and  treatment,  as  well  as
 some  of the assumptions  used  to arrive at  these
 national averages.
 WHY TREAT WASTEWATER

     Water   has   long  been   used  to  transport
 unwanted   materials   away   from   our   homes,
 businesses,  and  industries.    About 26  billion
 gallons of  wastewater  are generated  in  the U.S.
 daily.   The wastewater  is  composed of  organic
 compounds from  plants,  animals,  and  humans;  and
 inorganic  compounds from household  activities,
 industrial  proceses,  and  commercial  practices.
 These   wastes   take   the   form  of   particles
 suspended   in    the   water,    commonly   called
 Suspended   Solids   (SS)   or   wastes  that   are
 dissolved in  the  water.   Suspended  solids  can
 harbor  harmful   microorganisms   (typhus,   polio,
 etc.)  and toxic  chemicals.

    Organic  matter  in  wastewater serves as  food
 for  bacteria  and  other  small   organisms.    The
 amount   of   oxygen  needed  by  the  organisms  to
 oxidize  the  organics  for  food  and  energy  is
 called  Biochemical Oxygen Demand (BOD).   BOD  is
 an  important  measurement,  as  aquatic   life  is
 dependent  upon  the  amount   of  oxygen  in   the
 water.   A   depletion  of  available  oxygen   can
 decrease  the  desirable  aquatic  populations  in
 our waterways, causing fish kills  for example.

    Inorganic  materials  present  problems  also.
 Phosphorus  and   nitrogen   act  as  nutrients  for
algae  and   other  growths  which  can   deplete
streams of  oxygen,  can  cause  odor problems,  and

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are  generally unsightly.  High levels  of certain
chemicals  such  as mercury,  lead,  cadmium,  and
zinc  are  suspected of causing certain  sicknesses
in humans.

     Untreated  wastewater can, therefore,  deplete
our   streams   of  fish  and  wildlife,   transmit
diseases,  reduce property  values,  and  generally
prove a public nuisance  and  health  hazard.

HOW  WASTES ARE COLLECTED

     Our  sewer  systems  are  composed  of  piping,
pump  stations,  manholes,  and  associated  items.
The   sewer   pipes  are  separated   into   four
categories:    house   connections,   collectors,
interceptors,  and force mains.   These  different
types  of  sewers may  be  compared  to  our  city
street system;   house  connections are  similar  to
driveways,  collectors  are  similar  to  suburban
streets,   interceptors  are  similar   to   major
highways.

    House  connections  carry wastewater from  the
house into the  collection  system.  The  cost  of
house  connections must  be  borne  completely  by
the  homeowner.   The  wastewater flows  from  house
connections  into  collector  sewers.   Collector
sewers  y.-e  eligible  for   Federal  funding   in
communities existing  before October  1972,  where
there are  no  sewers   now.   New  communities,  or
newly  developed  areas  of   existing  communities
must bear the  entire cost of the  collectors.   In
many  States,   however,   collector  sewers  do not
receive a  sufficiently high priority  to  receive
any  funds.    The  main   conveyance  pipe   which
gathers flows from the collectors and  transports
the  wastewater  to the treatment  plant  is  called
an  interceptor.    Depending  on   the  terrain,  a
force  main  may  be  necessary  to  carry water,

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under   pressure,   from  a  pump   station   to  the
treatment  plant.   Interceptors,  force mains,  and
pump  stations  are all  fundable  by  the  Federal
government.   The  Federal government  will pay  75
percent  of the oost  on  all eligible items.   The
community  is  responsible  for  finding  funds  to
cover the  remaining costs.

COSTS FOR  WASTEWATER COLLECTION

    The  costs  of  a  sewer  system  vary widely
among different localities.  These variances  are
influenced  by   climate,   terrain,   population
density,  soil condition, and  cost of  living  to
name but a few.   Reasonable costs for the  grant
eligible  portion  of  a  sewer  system  range   from
$500  to  $1,500 per  person served,  the   average
being  approximately   $1,000  per  person.    This
average  is for those communities  with  eligible
collector  and  interceptor  sewers.    Of   these
totals,  the  Federal  government  pays  $750 per
person  and the community pays $250  per   person,
on  the  average.    The  homeowner  must   pay any
additional  costs   for  the  house  connection and
any hookup charges.

    If   your   community  is   not  eligible  for
Federal  grants for  the  collector systems,  and
none  are  presently  existent,   the  total  costs
will  remain  approximately  the  same,   but  the
community  will  be  responsible  for  a   greater
share.   The  oost  of  the collection  system  must
be added  to  the, treatment  costs mentioned later
in  the  brochure  to  give an  estimate  of total
costs.

HOW WASTES ARE TREATED

    Wastewater   treatment    is     designed    to

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accomplish   in   a    controlled   and   managed
environment what  occurs in  nature  under  a much
slower  process.   The   contaminants  are  removed
from   the  wastewater  by   various   physical,
chemical, and biological processes.

    There  are  three basic  levels  of  wastewater
treatment:   primary,   secondary,   and  advanced
treatment.  The  objective  of primary treatment
is  to  remove   readily  settleable  and  flotable
material,  thus  reducing the amount  of suspended
solids  (S3).  Secondary treatment  is designed to
remove  dissolved  pollutants and provide  greater
efficiencies   in   suspended   solids   removal.
Advanced  treatment  is  used  for phosphorous and
nitrogen  removal  or  for greater  reduction  of BOD
and S3.

    The   effluent   (treated  wastewater)   of  a
sewage  treatment plant  must  meet certain Federal
or  State   water  quality   criteria.   Secondary
treatment   is   now   the  minimum   requirement.
Advanced   treatment   may  be  required   if  the
receiving   body   of   water    is   particularly
sensitive  to  certain  pollutants,  or  to  protect
the health and welfare of people and wildlife.

    Since  secondary  treatment  is  the  minimum
level   of   treatment   required   by   law  and  is
usually   used    in   conjunction   with   primary
treatment,  emphasis  will be placed  on it.  Most
new  treatment   plants   in  this  country will  be
some  form  of  secondary.   Secondary  treatment
utilizes  the  natural ' process of  microorganisms
feeding  on organics in  the water  which  reduces
the BOD.   The  process  creates an ideal, confined
habitat,  providing  proper  light,  temperature,
oxygen,  and  food  for  the  microorganisms.   A
secondary  treatment  plant generally  consists of
screening   devices,  a  settling  tank  (primary

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treatment,  S3  removal),  a biological  treatment
unit   (secondary   process,   BOD   removal),   a
fecondary   settling   tank,   and   chlorination
(disinfection).   The  material  settled  out  in
sedimentation  tanks,   called  sludge,   is  lurtner
reduced  or  densified  by  diSestio% j^1,0*6"1^:
drying,  or  incineration  processes for  safe  and
easy final  disposal.

    A  variety   of  biological  processes  can  be
used  for secondary treatment.   Some  of the  most
common   are   lagoons,   activated   sludge    and
trickling  filters.    Lagoons  are  large  shallow
ponls where wastewater  is held  for  a period of
 time  while  a  biological  community  feeds on  the
organics in the  wastewater.   Some lagoon designs
provide for addition  of  oxygen  to the  ponds by
 using  aerators,  thus  increasing  the  biological
 activity  and  treatment  efficiency.   Activated
 sludgT processes  consist  of  a  tank  in  which
 sufficient  air   is   supplied   to   support  a
 biological  community.   With  trickling  filters
 the biological  communities are grown  on a  fixed
 media   rather   than   in  the  water.   Trickling
 filter  plants  spray  the wastewater onto rocks  or
 plastic  media   to  which microorganisms   attach
 themselves and  use  the  wastewater  as a  food
 source.

      Plant  size,  strength  of  incoming wastes,
 e ffluent    requi rements,     climate,     energy
                    and     operating      manpower
               are  some  of the factors which bear
        The*^ selection   of  secondary   treatment
  processes.

      Advanced  treatment  can  usually be  achieved
  by adding processes  to  a secondary  plant.  Some
  advanced  treatment  processes  add chemicals  which
  enhance  the settling properties  of  the suspended

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materials.  Some  are  processes which  use  a form
of  filtration  to  refine the  secondary effluent.
Land   treatment   of    wastewater   may   achieve
advanced   treatment    standards    by   applying
partially treated wastewater to land.

ENLARGEMENTS AND  UPGRADES  OF EXISTING WASTEWATER
TREATMENT PLANTS

    Existing  treatment plants  that  cannot meet
present  effluent  requirements must  be upgraded.
This   includes   all   primary   plants,   since
secondary treatment in now  the  required minimum
level  of treatment,  and  plants  in  areas where
discharges are  restricted  and advanced treatment
is  required.   An  upgrade  can  range from  the
modification   of  present   processes  to  the
addition  of  totally new  processes.   A treatment
plant  may also need   to  be enlarged  to relieve
overloaded  conditions.  The  type  and  extent of
the needed  additional  construction  is dependent
upon  the individual  community and  the existing
plant  (present   capabilities,   adaptability  to
modification,    etc.).     In   enlarging   and
upgrading, a complete  evaluation  of the existing
system is essential  along  with  a  detailed study
of    alternatives.     Costs   associated    with
enlarging and  upgrading   plants  are  so  plant
specific  that reasonable  cost estimates   cannot
be  presented within the scope of this  brochure.

COSTS FOR WASTEWATER TREATMENT

    The   choice   of   treatment  alternatives  is
dependent upon variables  such as  climate, land
availability,   waste   constituents,   effluent
restrictions,  general  community  goals,  process
reliability, and  costs.  There is  no  single best

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method  of treatment.   The deciding  factor when
considering  alternatives  often  is  system  costs,
not  only the  initial  capital  outlay,  but also
the yearly charges that the community must  meet.

    The  Federal  government will fund 75 percent
(85  percent  in  some  cases)  of  the  costs  for
treatment plant  construction.  This includes  new
construction,  enlarging  or  upgrading  a  plant.
The  only nonfundable portion  is the cost  of  the
land  on  which  the  plant  is  built.    Land   is
fundable only if it is used  for land  application
of   wastewater.    The   annual   operation   and
maintenance  costs  of  the treatment facility  are
completely  the  responsibility of the  community.
These  costs  are shared by  the homeowners through
hookup   and   user   charges.     Industries   which
discharge  into  the   treatment  system  pay  a
portion  of   yearly   operating   expenses   in
proportion  to their use.

     Costs  are  presented  for   lagoons,   other
secondary   plants,   and    advanced    treatment
plants.  Costs  presented include total  cost  for
new   construction,   yearly    treatment   plant
operation,  maintenance,  and  routine  replacement
 cost,   and  the annual  operating expenses  of  the
 plant.    These  costs  may  vary  due to  regional
 labor  rates,  chemical  costs, utility  costs,  and
 construction  material  costs.   All  costs  are in
 January, 1979 dollars.   Estimates  for  inflation
 between  that  time  and   now  should  be  used to
 determine the present cost.

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MEW PLANT CONSTRUCTION COSTS

    Figure 1  provides  average costs (in millions
of  dollars)   derived  from historical  data  for
construction   of    new    plants.    A   general
assumption made  when  determining plant  size is
that  100 gallons  of  wastewater per  person  per
day is generated.  The graph  covers a population
of  zero  to  50,000.   The   actual  flow  for  a
community can vary widely depending upon locale,
climate,  size of  community,  and the  degree of
industrialization.
EXAMPLE

    The  example  presented  below  provides  new
plant   construction  costs;   annual  operation,
maintenance,  and routine  replacement costs;  and
annual  treatment  plant  operating  expenses  for
constructing   and  operating   a  new   secondary
treatment  plant for a community of  25,000  people.

POPULATION:   25.000

NEW  PLANT  CONSTRUCTION COSTS:   From  the graph  in
Figure  1,  follow the  line up from  the population
(25,000)   until   it  cuts   across   the   secondary
treatment   curve.   Follow  the  line  across  the
vertical   cost  scale.    Read  the   cost  from the
scale   in   millions  of  dollars  =  4.8  million
dollars.

    CAPITAL OUTLAY  = 4.8 x 1,000,000  =  $4,800,000

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                        10

SAMPLE FORM (For your community)
POPULATION SERVED:

TREATMENT
LEVEL:
CAPITAL  OUTLAY:   From the  graph  in  Figure  1,
trace      a       line      up       from       the
population 	 to  the treatment  level
curve, across  the cost scale.  Enter the cost  in
the     blank     and     multiply     by     1,000
dollars.  	 x       1,000     dollars
= 	.   Enter  this  figure   in  the   blank
below  for new  plant construction  costs.

    CAPITAL OUTLAY -  $	

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      FIG. 1
       NEW PLANT CONSTRUCTION  COST
   10-i
   9 J
   8-
2  7-
§   -
2   5-
V)
O
    1-
   *

AWT
                                            SECONDARY
                                               LAGOONS
                                   X

                        2O   25    30    35   4
                                                     SO
           POPULATION (THOUSANDS OF PEOPLE)
             ASSUMING tOO GAL. PER CAPITA PER DAY

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FIG. 2
         ANNUAL  O & M COSTS
6OO-
2 soo-
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Ul
ui
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-M
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O
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u 100



,/
/AWT
^
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-x/'
^^ »^*
.^r ^*^
^^^ *^%
, ^^ ^'** SECONDARY
^ ^*
.X ^*
^^ , -'
+*r 4^%"
'^ t^*
^»^
%^*
^»***
[M 	 — 	 ' 	 ' 	 " LAGOONS
' -'_ .'- n'n o e ir\ IK /1O ^K If!
      5     1O    15    2O   23    J"   •"




       POPULATION (THOUSANDS OF PEOPLE)
        ASSUMING 1OO OAL.PER CAPITA PER DAY

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COMPONENT   PARTS   OF   ANNUAL   OPERATING   AND
MAINTENANCE COSTS

    The    pie   diagram    (Figure    3)    below
demonstrates    the    relative   proportions   of
components  which  make  up  the  annual  cost  of
operating  and maintaining  a plant.   This can aid
a  community in determining  what  impacts  future
increases   in   utility  rates,  chemical   costs,
labor  rates, or  routine  replacement  costs will
have on  operating costs.

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FIG. 3
           PROPORTIONATE  O & M  COSTS
LAGOONS
SECONDARY
 AWT
                                         UTILITIES
       MATERIALS




       CHEMICALS




       OTHERS (4*)*











       UTILITIES










1O% f—MATERIALS







       CHEMICALS





       OTHERS
                                         UTILITIES
                                         MATERIALS
                                         CHEMICALS
                                          OTHERS

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                        16

ANNUAL TREATMENT PLANT OPERATING EXPENSES

    Annual  operating expenses  are  those  costs,
calculated  on a  yearly  basis,  required  to own
and  operate  a facility.   They  include principal
and interest  payments for retirement of any  debt
acquired  for  the  construction,  yearly salaries
for   manpower  (including  overhead  and  fringe
benefits),    chemical   and   power   costs   for
operation,  and all costs  associated with  routine
replacement  and  maintenance  of  the facilities.

     Annual  operating expenses  for municipalities
were   developed   assuming  75   percent   Federal
 funding  and  25  percent  municipal  funding  ol
 construction  costs,  general   obligation  bonding
 at six  percent  compounded semiannually  for  dv
 years,  and  100  percent municipal  funding  for
 annual  operation  and  maintenance  costs.    The
 municipality's   share   in   terms   of   annual
 operating expenses  (in thousands of  dollars per
 year) is  presented  in Figure  4  for a population
 range of zero to 50,000.

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                        17
EXAMPLE
ANNUAL TREATMENT  PLANT  OPERATING EXPENSES:  From
the graph  in Figure U,  follow the  line  up from
the population  (25.000)  until it cuts across  the
secondary   treatment   curve.    Follow  the  line
across  from  the  intersection  to  the   vertical
cost  scale.  Read  the  cost   from  the  scale   in
thousands  of  dollars   per  year  =  325.  thousand
dollars.

    ANNUAL  TREATMENT PLANT OPERATING EXPENSES  =
    325 x  1,000 = $325,000 per year
 SAMPLE  FORM  (For  your community)

 ANNUAL  TREATMENT  PLANT OPERATING  EXPENSES:   From
 the  graph in Figure  4,  trace a line  up  from the
 population 	 to  the  treatment   level
 curve,  across to the  cost  scale.   Enter  the cost
 in   the    blank    and    multiply    by   1,000
 dollars.   	 x         1,000          dollars
 _ 	.   Enter  this   figure   in  the
 blank  below  for   the   annual  treatment  plant
 operating   cost   in  dollars   per   year   which
 includes  the  municipality's 25 percent  share of
 the capital  outlay and  the  bond  debt retirement
 plus   the   annual   operation,   maintenance,  and
 routine replacement costs.

     ANNUAL  TREATMENT PLANT  OPERATING EXPENSES  =
     $	 per year.

     The   annual    treatment   plant    operating
 expenses  are  a  rough planning  level estimate of
 what   the   new  treatment  plant   will   cost   the
 community.

     Remember  that  the  actual   costs  in   your
 community may be  very different;  because we  have
 used   national   average  costs   for   treatment
  plants,  and we  have not  included  any  costs  for
  the sewage  collection system.

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   FIG. 4
         ANNUAL TREATMENT  PLANT

            OPERATING EXPENSES
  5OO
§ 4°°1           /
SS    1                    ^
|30°J—-,'   ^

in     I  S       ^*
i- 2OO-|X^     ^
*"     I       *^                   .»!»»
8    4    ^-x            	

   4:	
                                        .-
                                        SECONDARY
              ib   15   20   5   30   35


            POPULATION (THOUSANDS OF PEOPLE)
	
  LAGOONS
                                       40  43   50
             ASSUMING 100 GAL, PER CAPITA PER DAY

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                            19

    REFERENCES AND ADDITIONAL SOURCES OF INFORMATION

    1.   Environmental Pollution Control
        Alternatives:  Municipal Wastewater
        (EPA-625/5-76-012).

    2.   A Primer on Wastewater Treatment  (Office  of
        Public Affairs, A-107, July  1976).

    3.   Construction Costs for Municipal  Wastewater
        Treatment Plants:  1973-1977
        (EPA-430/9-77-013, MCD-37).

    U.  Analysis of  Operation  and  Maintenance Costs
        for Municipal  Wastewater Treatment  Systems
        (EPA-430/9-77-015, MCD-39).

    5.  Construction Costs for Municipal Wastewater
        Conveyance Systems:  1973-1977
        (EPA-M30/9-77-01M, MCD-38).

    6.  Cost  Effective Comparison  of Land
        Application  and Advanced Waste Treatment
         (EPA-M30/9-75-015, MCD-17).

     7.  All You Need to Know About Sewage Treatment
        Construction Grants (Office of Public
         Affairs, A-107, August 1976).
U. S. GOVERNMENT PRINTING OFFICE: 1979 - 661-529

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    3' 
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