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<br />DRAFT REPORT <br /> <br />D. Determination of Customer Classes <br />The City's water utility serves residential, commercial, and industrial customers. Besides these <br />customers, the City has three treated water contract customers, Campbell Soup, Tenaska III, and <br />Lamar County Water Supply District (LCWSD), a municipal utility district that retails to its own <br />customers. In addition, the City has a contract to provide raw water to Lamar Power Partners. It <br />should be noted that the contract with Marvin-Jennings Clardy WSC (MJC WSC) is no longer in <br />effect. MJC WSC is now classified as a commercial customer. Small industrial customers have <br /> <br />been grouped with commercial customers to correspond to the City's current rate structure. The <br /> <br /> <br />following lists the treated water customer classes isolated in the report. <br /> <br />a. Residential customers <br />b. Commercial customers (including small industry) <br />c. Campbell Soup <br />d. Tenaska III <br />e. Lamar County Water Supply District <br /> <br />Lamar Power Partners was isolated as a customer class, however, its raw water rate is calculated <br />separately and the revenues associated with the raw water purchases were used as an offset to <br />calculate the treated water rates. These adjustments help to prevent an overestimate of <br />consumption and an underestimate of revenues. <br /> <br />City of Paris, Texas <br />Water and Wastewater Cost of Service Study <br />May 2005 <br /> <br />7 <br />