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Home My WebLink AboutBudget Work Session - Water & Sewer Fund Budgets, rate models.pdf Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Anna Rosenberry, Finance Director Chris Kukulski, City Manager SUBJECT: Budget Work Session: Water & Sewer Rates MEETING DATE: June 20, 2011 AGENDA ITEM TYPE: Action Item RECOMMENDATION: Listen to the City Manager’s presentation, discuss and give feedback. BACKGROUND: During this Budget Work Session, we’ll review the Water & Sewer Fund budgets for this year, as well as an update of our 5-year rate model for each utility. We will be discussing the different assumptions and estimates that effect rates. Attached to this memo are budget discussion sheets including the rate models and a detailed deferred maintenance list. The City Manager’s Recommended Budget described two options for Water & Sewer rates (Option A & Option B), and since that budget was presented, we have opened the bids on our Water Treatment Plant construction project. As stated in the discussion documents, we have not arrived at a total project price for the Water Treatment Plant as of the date of this memo. We hope to have more information for the Commission on this topic on meeting night. The Commission will not adopt a rate at this meeting. However, we will need to have an indication of what financial assumptions should be used and what level of rate increase might be preferred, so that we can advertise for the Rate Adoption Hearings that will occur later this summer. The last time our 5-year rate models were updated was in the spring of 2009. Since that time, numerous financial commitments have changed, and new policy objectives for the utilities have been discussed. We intend to show the Commission the financial implications of those changes during this work session. UNRESOLVED ISSUES: The city’s rate models have sought to make sound estimates for any presently-unresolved financial issues within the utilities. Because these are 5-year plans, many factors remain unknown, or open-ended, and must be estimated. ALTERNATIVES: There are numerous alternatives, to be discussed. 98 FISCAL EFFECTS: This discussion will have no immediate effect. Attachments: none Report compiled on: June 10, 2011 99 June 20, 2011 ‐ Budget Discussion Sheets Water & Sewer Rate Option A & Option B: There are many estimates and funding decisions addressed in both the Water & Sewer rate studies. For the City Manager’s Recommended Budget, we sought to keep all factors the same EXCEPT to provide an option for additional funding of deferred pipe maintenance. We did this to provide a means to meet the Commission Goal to “Adopt Plans to Address Deferred Infrastructure Maintenance.” Option A: Water & Sewer financial models with Adopted Capital Improvement Plans (CIP) for pipe replacement projects. Under our existing model, each utility funds a pipe replacement project every‐other‐year. Option B: Water & Sewer financial models with increased dollars for pipe replacement projects. These amounts are based on our recently developed deferred maintenance project listings (attached.) Option A: ~$600,000/utility/yearRequired Rate Increase Each Year FY12 FY13 FY14 FY15 FY16Annual AverageWater Pipe Replacement Projects 3%‐ 1,100,000 ‐ 1,210,000 ‐ 462,000 Sewer Pipe Replacement Projects 5% 800,000 ‐ 1,000,000 ‐ 1,200,000 600,000 Total 800,000.00 1,100,000 1,000,000 1,210,000 1,200,000 1,062,000 ProjectedOption B: ~$900,000/utility/yearRequired Rate Increase Each Year FY12 FY13 FY14 FY15 FY16 Annual Average Water Pipe Replacement Projects5% 922,555 1,205,720 974,165 947,720 969,435 1,003,919 Sewer Pipe Replacement Projects7% 884,600 886,000 1,003,150 952,700 803,200 905,930 Total1,807,155 2,091,720 1,977,315 1,900,420 1,772,635 1,909,849 Projected100 June 20, 2011 ‐ Budget Discussion Sheets Water Fund and Water Rates Both the Water Plant and the Water Operations Divisions are paid for by the Water Fund. Water Plant information begins on page 153 of the City Manager’s (CM) Recommended Budget document. Water Operations information begins on page 158 of the City Manager’s Recommended Budget document. Water Fund – FY12 Expenditure Total $14.5 Million (including plant construction) The Water Fund is an enterprise fund that supports the operations of water treatment and distribution. It is a self-funded utility; the primary source of revenue is from water customer payments. Water Plant Bids: On Tuesday, June 7, 2011, we opened project bids from 13 firms for the construction of the Water Treatment Plant and associated water intake improvements. The bids ranged from a high of $55 Million, to a low of $28.6 Million. The lowest bid received on the intake project has already been withdrawn by the bidder due to a calculation error on their part. At the time of this Memo, we do not know the combination of bids that will be recommended for award. It is likely that the final bid award could push the total project costs beyond the $40.7 Million budget. Project engineers, plant operators, and finance staff will be meeting during the week of June 13, and intend to have more information for the Commission on June 20th. Rates: The CM Recommended Budget includes a rate increase for Option A in FY12 = 3.0%. This amount is based on a rate study with a $40.7 million Treatment Plant project. The study tracks on what we have referred to as “Moderate” growth; 1% growth in accounts/sales and approximately $400,000 annually in impact fee revenues. The rate study was originally completed in 2007, was updated in 2009, and is again updated this spring. The study is attached as Exhibit A. We will need to adopt a rate increase later this summer. We have found it useful to adopt rate resolutions for a 2-year period (FY12 and FY13) and will be asking the Commission to consider doing so again. Other rate-related factors include: a. Water sales had declined in FY09 & FY10, due weather changes (drought ending,) conservation efforts, and the local economy. With June still unaccounted for, we are on track for our estimate for FY11. Annually, the months of July through October reflect the weather-related water sales changes. In wet years, we will see declining sales; in dry years (e.g. FY08) we will see expanded sales. The chart below shows water sales for those months during the past 4 years. The rate study has been based on our FY11 budgeted water sales levels, with moderate growth of 1% in FY12, FY13, FY14 and 2% in FY15 & FY16. 101 June 20, 2011 ‐ Budget Discussion Sheets b. Water Impact Fees are accounted for in a separate fund for budgeting purposes. However, because of the tie between the current Plant construction project and water customer rates, the amount of Water Impact Fee collections is an important factor. The good news is that Water Impact Fee collections have out-stripped our “moderate” rate study estimates. We have included the effects of this additional cash, but have NOT increased our estimates for collections during the rate study years. This is a conservative financial approach. We are continuing to conservatively estimate that Water Impact Fee revenues (fees and interest earnings) in FY12 = $475,000. Interest Earnings will decline significantly once the plant construction begins and cash is used. $703,000 $570,000 $554,000 $448,000 $868,000 $813,000 $680,000 $939,000 $751,000 $584,000 $716,000 $637,505 $532,000 $653,000 $569,000 $475,526 FY08FY09FY10FY11Metered Water SalesJuly AugustSeptemberOctoberWater Impact Fee RevenuesFY09 FY10 FY11* est FY12 Rate Study Amount 400,000$ 300,000$ 400,000$ 400,000$ Actual Revenues 947,000$ 880,000$ 700,000$ ‐$ Fees Collected Over Our Estimates 547,000$ 580,000$ 300,000$ 102 June 20, 2011 ‐ Budget Discussion Sheets c. Purchase of Water Rights are proposed to be included in the rate model. Both options A and B include $200,000 per year in utility money to purchase water rights. This would be a policy change and is meant to be in addition to the current “Cash in Lieu of Water Rights” program related to annexations and development projects. Capital Projects: Capital Projects account for more than half the Water budget this year. We have been spending money on Design and Membrane purchases, and are now are anticipating the beginning of construction on the Plant itself this summer. Over the next two fiscal years, the construction project will be the dominant budgetary feature for the Water Fund and Water Impact Fees. Water Fund Capital Projects Include: Plant Design & Construction (FY12 Share) = $ 9,800,854 Water Pipe Biannual Engineering and Design= $ 90,000 Laurel Glen Shops Annex Project = $ 100,000 Backhoe (Compactor Backhoe) = $ 111,362 Total $10,102,216 Expenditures proposed for Water Impact Fees are: Plant Design & Construction (FY12 Share) = $ 5,000,000 Integrated Water Resources Plan = $ 250,000 Total $ 5,250,000 103 Option A ‐ Updated Rate Study FY12‐FY16FactorsCity of BozemanWater Rate StudyExhibit 1Escalation FactorsBudgetedFY11 FY12 FY13 FY14 FY15 FY16RevenuesRates ‐ Acct Growth1.0% 1.0% 1.0% 1.0% 2.0% 2.0%Other Revenues1.0% 1.0% 1.0% 1.0% 2.0% 2.0%Interest Income1.0% 1.0% 1.0% 1.0% 1.0% 1.0%ExpensesUtilities3.0% 3.0% 3.0% 3.0% 3.0% 3.0%Labor3.9% 2.0% 2.5% 2.5% 2.5% 2.5%Benefits ‐ Medical10.0% 8.0% 8.0% 8.0% 8.0% 8.0%Materials & Supplies3.0% 3.0% 3.0% 3.0% 3.0% 3.0%Chemicals10.0% 10.0% 10.0% 10.0% 10.0% 10.0%Electricity8.0% 8.0% 8.0% 8.0% 8.0% 8.0%Natural Gas5.0% 5.0% 5.0% 5.0% 5.0% 5.0%Gas & Oil8.0% 8.0% 8.0% 8.0% 8.0% 8.0%Equipment3.0% 5.0% 5.0% 5.0% 5.0% 5.0%Miscellaneous2.0% 3.0% 3.0% 3.0% 3.0% 3.0%Debt ServiceRevenue Bond (Outstanding)Term in Years202020202020Rate5.50%New SRF LoanTerm in Years202020202020Rate3.75% 3.75% 3.75% 3.75% 3.75% 3.75%Projected6/13/2011104 Option A ‐ Updated Rate Study FY12‐FY16RevenuesCity of BozemanWater Rate StudyExhibit 2RevenuesActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16Rate RevenuesRate Revenues5,597,551.00 5,720,376.00 5,777,579.76 5,835,355.56 5,893,709.11 6,011,583.30 6,131,814.96 Unmetered Sales2,252.00 2,500.00 2,525.00 2,550.25 2,575.75 2,627.27 2,679.81 Low Income Discount(9,401.00) (10,000.00) (10,000.00) (10,000.00) (10,000.00) (10,000.00) (10,000.00) ACH Discount(29,643.00) (25,000.00) (25,000.00) (25,000.00) (25,000.00) (25,000.00) (25,000.00) Total Rate Revenue5,560,759.00 5,687,876.00 5,745,104.76 5,802,905.81 5,861,284.87 5,979,210.56 6,099,494.77 Other RevenuesSales of Water Materials53,339.00 50,000.00 50,500.00 51,005.00 51,515.05 52,545.35 53,596.26 Hydrant Fees175,063.00 135,000.00 136,350.00 137,713.50 139,090.64 141,872.45 144,709.90 Interest Income197,205.00 106,000.00 94,000.00 105,778.00 65,470.00 26,140.00 26,401.40 Refunds & Reimb5,463.00 1,020.00 1,030.20 1,040.50 1,050.91 1,071.93 1,093.36 Hookup Charges19,475.00 16,320.00 16,483.20 16,648.03 16,814.51 17,150.80 17,493.82 Other/Grants 50,866.00 45,000.00 45,450.00 45,904.50 46,363.55 47,290.82 48,236.63 Late Charges22,126.00 20,402.00 20,200.00 20,402.00 20,606.02 21,018.14 21,438.50 Hang Tag Charges22,025.00 18,360.00 18,180.00 18,361.80 18,545.42 18,916.33 19,294.65 Total Other Revenue545,562.00 392,102.00 382,193.40 396,853.33 359,456.09 326,005.81 332,264.53 Operating Revenues6,106,321.00 6,079,978.00 6,127,298.16 6,199,759.14 6,220,740.95 6,305,216.37 6,431,759.30 Other: Contributed Capital2,365,633.83 Cash in Lieu of Water Rights7,357.00 30,000.00 Grand Total8,479,311.83 6,109,978.00 6,127,298.16 6,199,759.14 6,220,740.95 6,305,216.37 6,431,759.30 Projected6/13/2011105 OPtion A ‐ Updated Rate Study FY12‐FY16Operating ExpendituresCity of BozemanWater Rate StudyExhibit 3Operating ExpendituresActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16Water PlantWater Treatment Plant OpsPersonnel536,263.00 542,174.00 553,017.48 566,842.92 601,013.99 596,039.34 610,940.32 FY14 ‐ 2FTE's, 2 Months StartupBenefits ‐ Medical79,605.00 86,025.00 92,907.00 100,339.56 108,366.72 117,036.06 126,398.95 Overtime29,812.00 26,583.00 26,583.00 26,583.00 26,583.00 26,583.00 26,583.00 Total Personnel645,680.00 654,782.00 643,979.00 655,730.00 655,730.00 655,730.00 655,730.00 Operations831,575.00 871,189.00 897,324.67 924,244.41 951,971.74 980,530.89 1,009,946.82 Chemicals136,319.00 160,000.00 176,000.00 193,600.00 212,960.00 234,256.00 257,681.60 Gas & Oil6,574.00 8,000.00 8,640.00 9,331.20 10,077.70 10,883.91 11,754.62 Electricity47,032.00 60,000.00 64,800.00 69,984.00 75,582.72 81,629.34 88,159.68 Natural Gas39,683.00 52,000.00 54,600.00 57,330.00 60,196.50 63,206.33 66,366.64 Total Operations1,061,183.00 1,151,189.00 1,201,364.67 1,254,489.61 1,310,788.66 1,370,506.47 1,433,909.37 Water OperationsWater OperationsPersonnel815,683.00 869,232.00 886,616.64 908,782.06 931,501.61 954,789.15 978,658.88 Benefits ‐ Medical130,660.00 149,544.00 161,507.52 174,428.12 188,382.37 203,452.96 219,729.20 Overtime17,061.00 23,873.00 23,873.00 23,873.00 23,873.00 23,873.00 23,873.00 Total Personnel963,404.00 1,042,649.00 1,071,997.16 1,107,083.18 1,143,756.98 1,182,115.11 1,222,261.07 Operations651,882.00 692,511.00 713,286.33 734,684.92 756,725.47 779,427.23 779,427.23 Chemicals‐ ‐ ‐ ‐ ‐ ‐ ‐ Gas & Oil25,969.00 25,000.00 27,000.00 29,160.00 31,492.80 34,012.22 36,733.20 Electricity21,675.00 20,000.00 21,600.00 23,328.00 25,194.24 27,209.78 29,386.56 Natural Gas8,773.00 8,000.00 8,400.00 8,820.00 9,261.00 9,724.05 10,210.25 Total Operations708,299.00 745,511.00 770,286.33 795,992.92 822,673.51 850,373.28 855,757.25 Utility LocatesPersonnel‐ ‐ ‐ ‐ ‐ ‐ ‐ Benefits ‐ Medical‐ ‐ ‐ ‐ ‐ ‐ ‐ Overtime‐ 448.00 448.00 448.00 448.00 448.00 448.00 Total Personnel‐ 448.00 448.00 448.00 448.00 448.00 448.00 Operations5,104.00 7,250.00 7,467.50 7,691.53 7,922.27 8,159.94 8,404.74 Total Operations5,104.00 7,250.00 7,467.50 7,691.53 7,922.27 8,159.94 8,404.74 Water ServicesOperations28,009.00 35,000.00 37,800.00 40,824.00 44,089.92 47,617.11 51,426.48 Total Operations28,009.00 35,000.00 37,800.00 40,824.00 44,089.92 47,617.11 51,426.48 Projected6/13/2011106 OPtion A ‐ Updated Rate Study FY12‐FY16Operating ExpendituresMeter ReadingPersonnel123,713.00 51,937.00 52,975.74 54,300.13 55,657.64 57,049.08 58,475.30 Benefits ‐ Medical17,134.00 9,300.00 10,044.00 10,847.52 11,715.32 12,652.55 13,664.75 Overtime 686.00 2,775.00 2,775.00 2,775.00 2,775.00 2,775.00 2,775.00 Total Personnel141,533.00 64,012.00 65,794.74 67,922.65 70,147.96 72,476.63 74,915.06 Operations177,957.00 229,600.00 236,488.00 243,582.64 250,890.12 258,416.82 266,169.33 Chemicals‐ ‐ Gas & Oil‐ ‐ Electricity‐ ‐ Natural Gas‐ ‐ Total Operations177,957.00 229,600.00 236,488.00 243,582.64 250,890.12 258,416.82 266,169.33 HydrantsOperations36,649.00 42,000.00 45,360.00 48,988.80 52,907.90 57,140.54 61,711.78 Total Operations36,649.00 42,000.00 45,360.00 48,988.80 52,907.90 57,140.54 61,711.78 ValvesOperations16,656.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Total Operations16,656.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Main RepairsOperations20,317.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Total Operations20,317.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Grand Total Operating Expenses 3,804,791.00 4,002,441.00 4,113,385.40 4,257,745.33 4,397,146.68 4,543,798.57 4,674,812.92 ck figreport5613737 10780660capital & debt18089466778219diff‐ ‐ Past Rate Study Amounts3,799,282.00 3,974,785.00 4,101,624.00 4,239,538.00 4,367,785.00 diff(5,509.00) (27,656.00) (11,761.40) (18,207.33) (29,361.68) 6/13/2011107 Option A ‐ Updated Rate Study FY12‐FY16Capital Expenditures ‐ Wat FundCity of BozemanWater Rate StudyExhibit 4Capital Expenditures ‐ Water FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16TotalsWater PlantW07 ‐ WTP Construction995,126.00 5,276,505.00 10,430,851.17 10,430,851.1727,133,333.33 Water OperationsW03 ‐ Bi Annual Eng‐ 90,000.00 90,000.00 90,000.00 W04 ‐ BiAnnual Upgrades875,072.00 1,100,000.00 1,100,000.00 ‐ 1,210,000.00 ‐ W12 ‐ Truck W Hoist46,791.00 W16 ‐ Backhoe111,362.00 W15 ‐ Meter Van32,448.00 W17 ‐ 1 Ton Truck37,856.00 W22 ‐ 1/2 Ton Truck35,000.00 PW1 ‐ Shops Complex26,119.00 10,000.00 PW2 ‐ Laurel Glen Shop100,000.00 GF99 ‐ IBM i5 Replacement7,500.00 WW22 ‐ Lower Yard Insulation15,700.00 W23 ‐ Lyman Creek Dechlorination50,000.00 WW23 ‐ Mini Excavator & Trailer25,000.00 ***Water Right Purchase***200,000.00 200,000.00 200,000.00 200,000.00 200,000.00 Grand Total ‐ Capital Expenditures for Water Fund1,912,017.00 6,501,453.00 10,932,213.1711,850,498.17290,000.00 1,410,000.00 290,000.00 Less: Funding Sources other than RatesGrants‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ Cash on Hand‐ 4,200,000.00 2,000,000.00 1,000,000.00 7,200,000.00 SRF Loan‐ ‐ 8,000,000.00 7,000,000.00 1,500,000.00 ‐ ‐ 16,500,000.00 ‐ Total Funding Sources other than Rates‐ 4,200,000.00 10,000,000.00 8,000,000.00 1,500,000.00 ‐ ‐ Rate Revenues Required for CIP1,912,017.00 2,301,453.00 932,213.17 3,850,498.17 (1,210,000.00) 1,410,000.00 290,000.00 Projected6/13/2011108 Option A ‐ Updated Rate Study FY12‐FY16Capital Expenditures ‐ ImpactCity of BozemanWater Rate StudyExhibit 5Capital Expenditures ‐ Water Impact Fee FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16TotalsWater PlantW07 ‐ WTP Construction84,690.00 500,000.00 6,533,333.33 6,533,333.33 ‐ ‐ ‐ 13,651,356.67 WIF‐04 Lyman Improvements (FY08 CIP Carryover) 400,426.00 WIF‐01 Sourdough Creek dam69,954.00 200,000.00 WIF‐09 Water Supply/Storage Expansion Study250,000.00 Grand Total ‐ Water Impact Fee Fund555,070.00 700,000.00 6,783,333.33 6,533,333.33 ‐ ‐ ‐ Projected6/13/2011109 Option A ‐ Updated Rate Study FY12‐FY16WTP ConstructionCity of BozemanWater Rate StudyExhibit 6Water Treatment Plant Construction ProjectActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16 TotalsWTP Water Fund995,126.00 5,276,505.00 10,430,851.17 10,430,851.17‐ 27,133,333.33 Impact Fees‐ 500,000.00 6,533,333.33 6,533,333.33 ‐ 13,566,666.67 Grand Total ‐ Project Costs995,126.00 5,776,505.00 16,964,184.50 16,964,184.50‐ ‐ ‐ 40,700,000.00FY11FY12FY13FY14Total Project CostsEstimate*** April 2011 Bid Award40,700,000.00Water Fund67% 27,133,333.33995,126.00 5,276,505.00 10,430,851.17 10,430,851.17‐ 27,133,333.33 Impact Fees33% 13,566,666.67‐ 500,000.00 6,533,333.33 6,533,333.33 ‐ 13,566,666.67 Construction Costs (Total Less Design/Eng)Estimate33,936,000.0017%43%40%Water Fund67% 22,624,000.005,276,505.00 8,673,747.50 8,673,747.50 22,624,000.00 Impact Fees33% 11,312,000.00500,000.00 5,406,000.00 5,406,000.00 11,312,000.00 Engineering/Legal/AdminEstimateFY08/FY09/FY106,764,000.00 Combined33.00% 33.00% 33.00%Water Fund67% 4,509,333.33 995,126.00 ‐ 1,757,103.67 1,757,103.67 4,509,333.33 Impact Fees33% 2,254,666.67 ‐ ‐ 1,127,333.33 1,127,333.33 2,254,666.67 Projected110 Option A ‐ Updated Rate Study FY12‐FY16Debt ServiceCity of BozemanWater Rate StudyExhibit 7Water Fund Debt ServiceActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16Lyman Creek Bonds II ‐ Final Payment FY11Debt Service (Actuals)30,387.00 32,916.00 ‐ ‐ ‐ ‐ ‐ WTP SRF LoanDebt Service Estimated Payments$572,146.05 $1,287,328.61 $1,394,605.99 $1,394,605.99 $1,394,605.99Total SRF Loan Amounts ‐ Utility8,000,000.00 15,000,000.00 16,500,000.00 16,500,000.00 16,500,000.00 Total SRF Loan Amounts ‐ Impact Fees‐ 3,000,000.00 3,000,000.00 3,000,000.00 3,000,000.00 Grand Total Debt Service30,387.00 32,916.00 $572,146.05 $1,287,328.61 $1,394,605.99$1,394,605.99$1,394,605.99Projected111 Option A ‐ Updated Rate Study FY12‐FY16Reserve RecapCity of BozemanWater Rate StudyExhibit 8Reserves RecapActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Water FundOperating & Capital ReserveBeginning Balance11,241,829.00 6,784,997.00 4,894,757.64 335,373.03 2,405,081.71 2,095,407.56 Add: Operating Revenues6,079,978.00 6,127,298.16 6,199,759.14 6,220,740.95 6,305,216.37 6,431,759.30 Add: Additional Rate Revenue‐ 172,353.14 351,610.91 537,997.78 733,514.04 938,504.30 Add: SRF Loan Proceeds‐ 8,000,000.00 7,000,000.00 1,500,000.00 ‐ ‐ Less: Operating Expenditures(4,002,441.00) (4,113,385.40) (4,257,745.33) (4,397,146.68) (4,543,798.57) (4,674,812.92) Less: Capital Expenditures(6,501,453.00) (10,932,213.17) (11,850,498.17) (290,000.00) (1,410,000.00) (290,000.00) Less: Debt Service Payment(32,916.00) (572,146.05) (1,287,328.61) (1,394,605.99) (1,394,605.99) (1,394,605.99) Less: Funding of Debt Service Reserve(572,146.05) (715,182.56) (107,277.38) ‐ Ending Balance ‐ Water Fund6,784,997.00 4,894,757.64 335,373.03 2,405,081.71 2,095,407.56 3,106,252.25 Ending Balance ‐ Debt Service Reserve572,146.05 1,287,328.61 1,394,605.99 1,394,605.99 1,394,605.99 Operating & Capital Reserve Target8,556,594.63 8,570,272.71 8,588,070.51 8,605,256.97 8,623,337.34 8,639,489.80 45 O&M493,451.63 507,129.71 524,927.51 542,113.97 560,194.34 576,346.80 Annual Deprec8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 Water Impact Fee FundBeginning Balance8,768,618.00 8,668,618.00 2,535,284.67 (598,048.67) (198,048.67) 301,951.33 Add: Impact Fee Revenues400,000.00 400,000.00 400,000.00 400,000.00 500,000.00 500,000.00 Add: SRF Loan Proceeds‐ ‐ 3,000,000.00 ‐ ‐ ‐ Less: Capital Expenditures(500,000.00) (6,533,333.33) (6,533,333.33) ‐ ‐ ‐ ‐ Ending Balance ‐ Water Impact Fees8,668,618.00 2,535,284.67 (598,048.67) (198,048.67) 301,951.33 801,951.33 Projected112 Option A ‐ Updated Rate Study FY12‐FY16Rate RequirementsCity of BozemanWater Rate StudyExhibit 9Water Fund Rate RequirementsActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16RevenuesWater Sales5,560,759.00 5,687,876.00 5,745,104.76 5,802,905.81 5,861,284.87 5,979,210.56 6,099,494.77 Other Revenues545,562.00 392,102.00 382,193.40 396,853.33 359,456.09 326,005.81 332,264.53 Total Revenues6,106,321.00 6,079,978.00 6,127,298.16 6,199,759.14 6,220,740.95 6,305,216.37 6,431,759.30 ExpensesO&M ExpensesWater Treatment Plant Ops1,706,863.00 1,805,971.00 1,845,343.67 1,910,219.61 1,966,518.66 2,026,236.47 2,089,639.37 Water Operations1,671,703.00 1,788,160.00 1,842,283.49 1,903,076.10 1,966,430.49 2,032,488.39 2,078,018.32 Utility Locates5,104.00 7,698.00 7,915.50 8,139.53 8,370.27 8,607.94 8,852.74 Water Services28,009.00 35,000.00 37,800.00 40,824.00 44,089.92 47,617.11 51,426.48 Meter Reading319,490.00 293,612.00 302,282.74 311,505.29 321,038.08 330,893.45 341,084.38 Hydrants 36,649.00 42,000.00 45,360.00 48,988.80 52,907.90 57,140.54 61,711.78 Valves 16,656.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Main Repairs20,317.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Debt Service Existing Debt Service30,387.00 32,916.00 New Plant Debt Service572,146.05 1,287,328.61 1,394,605.99 1,394,605.99 1,394,605.99 Rates Dedicated to CIP1,912,017.00 2,301,453.00 932,213.17 3,850,498.17 (1,210,000.00) 1,410,000.00 290,000.00 Total Expenses5,747,195.00 6,336,810.00 5,617,744.62 9,395,572.10 4,581,752.67 7,348,404.56 6,359,418.91 Balance or (Deficiency) of Funds359,126.00 (256,832.00) 509,553.54 (3,195,812.96) 1,638,988.28 (1,043,188.19) 72,340.39 REQUIRED RATE ADJUSTMENT CUMULATIVE‐ ‐ 3.0%6.1%9.3%12.6% 15.9%Proposed Rate Adjustment ‐ ANNUALLY3.2%3.0% 3.0% 3.0% 3.0% 3.0%Additional Revenue beyond Total Revenues172,353.14$ 351,610.91$ 537,997.78$ 733,514.04$ 938,504.30$ Debt Service Coverage RatioMinimum: 1.253.82 1.78 1.69 1.79 1.93 Average Residential Customer (10 CF, 3/4" Meter)35.64$ 36.78$ 37.88$ 39.02$ 40.19$ 41.40$ With Rate Increase1.14 1.10$ 1.14$ 1.17$ 1.21$ 1.24$ 36.78$ 37.88$ 39.02$ 40.19$ 41.40$ 42.64$ Projected113 OPTION B ‐ Updated Rate Study FY12‐FY16Capital Expenditures ‐ Wat FundCity of BozemanWater Rate StudyExhibit 4Capital Expenditures ‐ Water FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16TotalsWater PlantW07 ‐ WTP Construction995,126.00 5,276,505.00 10,430,851.17 10,430,851.1727,133,333.33 Water OperationsW03 ‐ Bi Annual Eng‐ 90,000.00 90,000.00 90,000.00 W04 ‐ BiAnnual Upgrades875,072.00 1,100,000.00 922,555.00 1,205,720 974,165 947,720 969,435 W12 ‐ Truck W Hoist46,791.00 W16 ‐ Backhoe111,362.00 W15 ‐ Meter Van32,448.00 W17 ‐ 1 Ton Truck37,856.00 W22 ‐ 1/2 Ton Truck35,000.00 PW1 ‐ Shops Complex26,119.00 10,000.00 PW2 ‐ Laurel Glen Shop100,000.00 GF99 ‐ IBM i5 Replacement7,500.00 WW22 ‐ Lower Yard Insulation15,700.00 W23 ‐ Lyman Creek Dechlorination50,000.00 WW23 ‐ Mini Excavator & Trailer25,000.00 ***Water Right Purchase***200,000.00 200,000.00 200,000.00 200,000.00 200,000.00 Grand Total ‐ Capital Expenditures for Water Fund1,912,017.00 6,501,453.00 11,854,768.1711,956,218.171,264,165.00 1,147,720.00 1,259,435.00 Less: Funding Sources other than RatesGrants‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ Cash on Hand‐ 4,200,000.00 2,000,000.00 1,000,000.00 7,200,000.00 SRF Loan‐ ‐ ‐ 8,000,000.00 7,000,000.00 1,500,000.00 ‐ 16,500,000.00 ‐ Total Funding Sources other than Rates‐ 4,200,000.00 2,000,000.00 9,000,000.00 7,000,000.00 1,500,000.00 ‐ Rate Revenues Required for CIP1,912,017.00 2,301,453.00 9,854,768.17 2,956,218.17 (5,735,835.00) (352,280.00) 1,259,435.00 Projected6/13/2011114 Option B ‐ Updated Rate Study FY12‐FY16Reserve RecapCity of BozemanWater Rate StudyExhibit 8Reserves RecapActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Water FundOperating & Capital ReserveBeginning Balance11,241,829.00 6,784,997.00 (2,793,653.17) (5,815,027.36) 844,828.06 2,796,459.81 Add: Operating Revenues6,079,978.00 6,152,298.16 6,224,759.14 6,245,740.95 6,330,216.37 6,456,759.30 Add: Additional Rate Revenue‐ 288,505.24 594,325.79 918,356.32 1,264,484.67 1,633,933.64 Add: SRF Loan Proceeds‐ ‐ 8,000,000.00 7,000,000.00 1,500,000.00 ‐ Less: Operating Expenditures(4,002,441.00) (4,164,685.40) (4,310,839.33) (4,452,120.45) (4,600,743.30) (4,733,825.61) Less: Capital Expenditures(6,501,453.00) (11,854,768.17) (11,956,218.17) (1,264,165.00) (1,147,720.00) (1,259,435.00) Less: Debt Service Payment(32,916.00) ‐ (786,700.82) (1,287,328.61) (1,394,605.99) (1,394,605.99) Less: Funding of Debt Service Reserve‐ (786,700.82) (500,627.79) ‐ Ending Balance ‐ Water Fund6,784,997.00 (2,793,653.17) (5,815,027.36) 844,828.06 2,796,459.81 3,499,286.15 Ending Balance ‐ Debt Service Reserve‐ 786,700.82 1,287,328.61 1,287,328.61 1,287,328.61 Operating & Capital Reserve Target8,556,594.63 8,576,597.36 8,594,616.34 8,612,034.56 8,630,357.93 8,646,765.34 45 O&M493,451.63 513,454.36 531,473.34 548,891.56 567,214.93 583,622.34 Annual Deprec8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 8,063,143.00 Water Impact Fee FundBeginning Balance8,768,618.00 8,668,618.00 2,535,284.67 (598,048.67) (198,048.67) 301,951.33 Add: Impact Fee Revenues400,000.00 400,000.00 400,000.00 400,000.00 500,000.00 500,000.00 Add: SRF Loan Proceeds‐ ‐ 3,000,000.00 ‐ ‐ ‐ Less: Capital Expenditures(500,000.00) (6,533,333.33) (6,533,333.33) ‐ ‐ ‐ ‐ Ending Balance ‐ Water Impact Fees8,668,618.00 2,535,284.67 (598,048.67) (198,048.67) 301,951.33 801,951.33 Projected115 Option B ‐ Updated Rate Study FY12‐FY16Rate RequirementsCity of BozemanWater Rate StudyExhibit 9Water Fund Rate RequirementsActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16RevenuesWater Sales5,560,759.00 5,687,876.00 5,770,104.76 5,827,905.81 5,886,284.87 6,004,210.56 6,124,494.77 Other Revenues545,562.00 392,102.00 382,193.40 396,853.33 359,456.09 326,005.81 332,264.53 Total Revenues6,106,321.00 6,079,978.00 6,152,298.16 6,224,759.14 6,245,740.95 6,330,216.37 6,456,759.30 ExpensesO&M ExpensesWater Treatment Plant Ops1,706,863.00 1,805,971.00 1,845,343.67 1,910,219.61 1,966,518.66 2,026,236.47 2,089,639.37 Water Operations1,671,703.00 1,788,160.00 1,893,583.49 1,956,170.10 2,021,404.26 2,089,433.12 2,137,031.01 Utility Locates5,104.00 7,698.00 7,915.50 8,139.53 8,370.27 8,607.94 8,852.74 Water Services28,009.00 35,000.00 37,800.00 40,824.00 44,089.92 47,617.11 51,426.48 Meter Reading319,490.00 293,612.00 302,282.74 311,505.29 321,038.08 330,893.45 341,084.38 Hydrants 36,649.00 42,000.00 45,360.00 48,988.80 52,907.90 57,140.54 61,711.78 Valves 16,656.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Main Repairs20,317.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Debt Service Existing Debt Service30,387.00 32,916.00 New Plant Debt Service‐ 786,700.82 1,287,328.61 1,394,605.99 1,394,605.99 Rates Dedicated to CIP1,912,017.00 2,301,453.00 9,854,768.17 2,956,218.17 (5,735,835.00) (352,280.00) 1,259,435.00 Total Expenses5,747,195.00 6,336,810.00 14,019,453.57 8,053,758.31 3,614.06 5,643,069.29 7,387,866.60 Balance or (Deficiency) of Funds359,126.00 (256,832.00) (7,867,155.41) (1,828,999.17) 6,242,126.90 687,147.08 (931,107.30) REQUIRED RATE ADJUSTMENT CUMULATIVE‐ ‐ 5.0% 10.3%15.8%21.6% 27.6%Proposed Rate Adjustment ‐ ANNUALLY3.2%5.0% 5.0% 5.0% 5.0% 5.0%Additional Revenue beyond Total Revenues288,505.24$ 594,325.79$ 918,356.32$ 1,264,484.67$ 1,633,933.64$ Debt Service Coverage RatioMinimum: 1.25n/a3.19 2.11 2.15 2.41 Average Residential Customer (10 CF, 3/4" Meter)35.64$ 36.78$ 38.62$ 40.55$ 42.58$ 44.71$ With Rate Increase1.14 1.84$ 1.93$ 2.03$ 2.13$ 2.24$ 36.78$ 38.62$ 40.55$ 42.58$ 44.71$ 46.94$ Projected116 Annual Planned Maintenance Program - By Maintenance Type CIP PROJECT FUND:WATER REHAB FY12:$922,555 FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY12 DESCRIPTION OF MAINTENANCE PROJECTS: Bryant/Gold Ave: N. Rouse Ave - Bond St S. Black Ave: E. College St - S. End of Bypass S. Black Ave: Replace Bypass - E. Aspen St: N. Rouse Ave - End E. Peach St: N. Rouse Ave - Perkins Pl FY12: FY13:$1,205,720 FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY13 DESCRIPTION OF MAINTENANCE PROJECTS: Mendenhall St: N. 8th Ave - N. Broadway Ave FY12: FY13: FY14:$974,165 FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY14 DESCRIPTION OF MAINTENANCE PROJECTS: N. Montana Ave: E. Lamme St - E. Peach St N. Montana Ave: E. Tamarack St - S. 34' N. Montana Ave: E. Peach St - E. Tamarack St E. Story St: S. Tracy Ave - S. Church Ave Dell Place: Alderson Ct - E. Story St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB117 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15:$947,720 FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY15 DESCRIPTION OF MAINTENANCE PROJECTS: S. Grand Ave: W. Garfield St - W. College St S. Grand Ave: W College St - W. Main St FY12: FY13: FY14: FY15: FY16:$969,435 FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY16 DESCRIPTION OF MAINTENANCE PROJECTS: S. Tracy Ave: W. Garfield St - E. Story St N. Willson Ave: W. Lamme St - W. Short St W. Babcock St: S. 10th Ave - S. 8th Ave N. Montana Ave: E. Tamarack St - N End of Exist FY12: FY13: FY14: FY15: FY16: FY17:$1,097,145 FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY17 DESCRIPTION OF MAINTENANCE PROJECTS: W Olive St: S. 5th Ave - S. 3rd Ave W. Olive St: S. 6th Ave - S. 5th Ave N. Grand Ave: W. Lamme St - W. Peach St N. 5th Ave: W. Aspen St - W. Tamarack St S. 3rd Ave: W. Harrison Ave - W. Curtiss St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB118 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18:$952,450 FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY18 DESCRIPTION OF MAINTENANCE PROJECTS: S. 6th Ave: W. Harrison Ave - W. Olive St W. Koch St: S. Grand Ave - S. Willson Ave S. Willson Ave: W. College St - W. Koch St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19:$838,500 FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY19 DESCRIPTION OF MAINTENANCE PROJECTS: S. 7th Ave: W. Harrison Ave - W. Story St W. Harrison Ave: S. 8th Ave - S. 7th Ave W. Harrison Ave: S. 5th Ave - S. 4th Ave W. Harrison Ave: S. 4th Ave - S. 3rd Ave S. 5th Ave: W. Garfield St - W. College St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20:$1,175,405 FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY20 DESCRIPTION OF MAINTENANCE PROJECTS: Buttonwood Ave: E. Main St - Int. Cemetary W. Story St: S. 5th Ave - S. 3rd Ave W. Dickerson St: S. 5th Ave - S. 3rd Ave W. Alderson St: S. 5th Ave - S. 3rd Ave N. 3rd Ave: W. Peach St - W. Aspen St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB119 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21:$926,865 FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM 21 DESCRIPTION OF MAINTENANCE PROJECTS: W. Dickerson St: S Willson Ave - S Tracy Ave S. 7th Ave: W. Koch St - W. Curtiss St S. 7th Ave: W. Curtiss St - W. Babcock St W. Tamarack: N. 5th - N. Tracy S. 4th Ave: W. Garfield St - W. Harrison St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22:$996,525 FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY22 DESCRIPTION OF MAINTENANCE PROJECTS: E. Lamme St: N. Church Ave - Davis St Fridley St: N. Wallace Ave - Ida Ave Plum Ave: E Peach St - E Cottonwood St N. Chuch Ave: E. Peach St - Fridley St W. Lincoln St: Maple Lane - Tia Ln FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23:$989,860 FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY23 DESCRIPTION OF MAINTENANCE PROJECTS: Pioneer Dr: S. 14th Ave - S. 13th Ave W. Lincoln St: S. Grand Ave - S. Wilson Ave Lloyd St: Loop Connection - Maple Ln: End - Kagy Blvd W. Kagy Blvd: Stadium Dr - Greek Way S. 3rd Ave: Greek Way - W. Lincoln St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB120 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24:$1,203,140 FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY24 DESCRIPTION OF MAINTENANCE PROJECTS: S. 5th Ave: W. Dickerson St - W. Mendenhall St S. Willson Ave: Arthur St - W. College St N. Tracy Ave: W. Lamme St - W. Peach St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25:$1,008,135 FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY25 DESCRIPTION OF MAINTENANCE PROJECTS: N. Black Ave: E. Lamme St - E. Tamarack St S 11th Ave: Kagy Blvd - Tia Ln Loop W. Koch St: S. 8th Ave - S. 7th Ave W. Koch St: S. 7th Ave - West 66' N. Tracy Ave: W. Peach St - W. Tamarack St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26:$1,306,125 FY27: FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY26 DESCRIPTION OF MAINTENANCE PROJECTS: N. Bozeman Ave: E. Lamme St - E. Peach St N. 3rd Ave: W. Lamme St - W. Peach St N. Bozeman Ave: E. Peach St - E. Tamarack St N. Broadway Ave: E. Mendenhall St - Front St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB121 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27:$968,575 FY28: FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY27 DESCRIPTION OF MAINTENANCE PROJECTS: S. 6th Ave: Grant St - W. Garfield St W. Peach St: N. 7th Ave - N. Black Ave S. 3rd Ave: W. Garfield St - W. Harrison St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28:$1,024,260 FY29: FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY28 DESCRIPTION OF MAINTENANCE PROJECTS: S. 7th Ave: W. Story St - W. Koch St N. 5th/6th Ave: W. Beall St - W. Short St E. Curtiss St: Buttonwood Ave - E Olive St W. Lamme St: N 8th Ave - N. 3rd Ave N. 7th Ave: W. Mendenhall St - W. Beall St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29:$1,037,590 FY30: FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY29 DESCRIPTION OF MAINTENANCE PROJECTS: W. Aspen St: N. 7th Ave - N. 5th Ave Cypress Ave: E Babcock St - E. Olive St Village Crossing Way: S. End - Ext off Main S. Church Ave: E. Story St - E. Olive St S. Willson Ave: W. Grant St - W. Garfield St S. Willson Ave: W. Lincoln St - W. Grant St E. Peach St: Ida Ave - Plum Ave E. Main St: Buttonwood Ave - E. of Cypress Annual Planned Maintenance Program - By Maintenance Type WATER REHAB122 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30:$1,066,400 FY31: PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY30 DESCRIPTION OF MAINTENANCE PROJECTS: S. 10th Ave: W. College St - W. Babcock St S. 9th Ave: W. Babcock St - W. Olive St S. Wallace Ave: E. Olive St - E/W Park Main E. Main St: S. Wallace Ave - Buttonwood Ave FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31:$1,188,090 PROGRAM:WATER PIPE REPLACEMENT PROGRAM FY31 DESCRIPTION OF MAINTENANCE PROJECTS: Brady Ave: Fridley St - End W. Babcock St: S. 8th Ave - S. Bozeman Ave S. 9th Ave: W. Curtiss St - W. College St Annual Planned Maintenance Program - By Maintenance Type WATER REHAB123 June 20, 2011 ‐ Budget Discussion Sheets Wastewater Fund – FY12 Budget Worksheet Both the Water Reclamation Facility and the Wastewater Operations Divisions are paid for by the Wastewater Fund. Water Reclamation Facility information begins on page 167 of the City Manager’s Recommended Budget document. Wastewater Operations information begins on page 163 of the City Manager’s Recommended Budget document. Wastewater Fund - FY12 Expenditure Total $7 Million The CM Recommended Budget includes a proposed rate increase for Option A in FY12 = 5%. Like water rates, the study tracks on what we have referred to as “Moderate” growth. However, unlike water rates, wastewater rates do NOT see the fluctuation related to summer weather watering. Wastewater rates are based on a customer’s “winter-quarter average” water consumption. Revenues are tracking close to our estimates for FY11. The rate model includes customer revenues increasing by the same amounts as the Water Rate Model: 1% in FY12, FY13, FY14 and 2% in FY15 & FY16. Just as with Water finances, Wastewater Impact Fees are accounted for in a separate fund for budgeting purposes. And, because of the tie between the current Plant construction project and wastewater customer rates, the amount of Wastewater Impact Fee collections is an important factor. Again, the good news is that Wastewater Impact Fee collections have out-stripped our “moderate” estimates. We have included the effects of this additional cash, but have NOT increased our estimates for collections during the rate study years. This is a conservative financial approach. The Solvent Site Remediation Project is paid for by sewer customers. We have incorporated the new estimates for the clean-up and monitoring, as prepared by our consultants. The monitoring and annual oversight is included in the operating portion of the rate study, and will continue for decades. The active bio-remediation will extend through fiscal year 2016 and is listed with the capital funding in the rate study. For budget purposes, we have combined the two costs and listed them in the Capital Projects. Capital Projects: Because we have already fully budgeted the WRF Construction expenditures, we will be using our “capital carry-over” provisions to complete the project this year. It is expected to be on-line in December of this year. This method ensures that budgeted totals over the years of the project don’t exceed project costs merely due to timing issues. Wastewater Impact Fee RevenuesFY09 FY10 FY11* Est FY12Rate Study Amount 400,000$ 300,000$ 400,000$ 400,000$ Actual Revenues 932,000$ 879,000$ 640,000$ Fees Collected Over Our Estimates532,000$ 579,000$ 240,000$ 124 June 20, 2011 ‐ Budget Discussion Sheets The Wastewater fund’s capital projects will return to a much more predictable level of pipe and equipment replacements. Wastewater Fund Capital Projects Include: Laurel Glen Shops Annex = $ 100,000 Wastewater System BiAnnual Upgrades (pipes)= $ 800,000 Solvent Site Remediation $ 737,680 TV Van Refurbish $ 167,000 1-Ton Truck w/Hoist $ 45,000 Skid Steer for Polymer Totes $ 45,000 Total $ 1,894,680 125 Option A ‐ Updated Rate Study FY12‐FY16FactorsCity of BozemanWastewater Rate Study ‐ FY12 thru FY16Exhibit 1Escalation FactorsBudgetedFY11 FY12 FY13 FY14 FY15 FY16RevenuesRates ‐ Acct Growth0.0% 1.0% 1.0% 1.0% 2.0% 2.0%Other Revenues1.0% 1.0% 1.0% 1.0% 2.0% 2.0%Interest Income1.0% 1.0% 1.0% 1.0% 1.0% 1.0%ExpensesUtilities3.0% 3.0% 3.0% 3.0% 3.0% 3.0%Labor1.0% 2.0% 2.5% 2.5% 3.0% 3.5%Benefits ‐ Medical0.0% 10.0% 10.0% 10.0% 10.0% 10.0%Materials & Supplies3.0% 3.0% 3.0% 3.0% 3.0% 3.0%Chemicals10.0% 10.0% 10.0% 10.0% 10.0% 10.0%Electricity8.0% 8.0% 8.0% 8.0% 8.0% 8.0%Natural Gas5.0% 5.0% 5.0% 5.0% 5.0% 5.0%Gas & Oil8.0% 8.0% 8.0% 8.0% 8.0% 8.0%Equipment3.0% 5.0% 5.0% 5.0% 5.0% 5.0%Miscellaneous3.0% 3.0% 3.0% 3.0% 3.0% 3.0%Debt ServiceRevenue Bond (Outstanding)Term in Years202020202020Rate5.50%New SRF LoanTerm in Years202020202020Rate3.75% 3.75% 3.75% 3.75% 3.75% 3.75%Projected6/13/2011126 Option A ‐ Updated Rate Study FY12‐FY16RevenuesCity of BozemanWastewater Rate StudyExhibit 2RevenuesActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16Rate RevenuesRate Revenues5,303,774.00 5,785,000.00 5,842,850.00 5,901,278.50 5,960,291.29 6,079,497.11 6,201,087.05 Unmetered Sales21,123.00 20,000.00 20,200.00 20,402.00 20,606.02 21,018.14 21,438.50 Low Income Discount(9,638.00) (9,000.00) (10,000.00) (10,000.00) (10,000.00) (10,000.00) (10,000.00) ACH Discount‐ ‐ (25,000.00) (25,000.00) (25,000.00) (25,000.00) (25,000.00) Total Rate Revenue5,315,259.00 5,796,000.00 5,828,050.00 5,886,680.50 5,945,897.31 6,065,515.25 6,187,525.56 Other RevenuesSewer Hookup Charges‐ 2,000.00 2,020.00 2,040.20 2,060.60 2,101.81 2,143.85 Sale of Sewer Materials3,050.00 3,000.00 3,030.00 3,060.30 3,090.90 3,152.72 3,215.78 Interest Income161,860.00 100,000.00 101,000.00 102,010.00 103,030.10 104,060.40 105,101.01 Refunds & Reimb30,000.00 30,000.00 30,300.00 30,603.00 30,909.03 31,527.21 32,157.75 Lift Stations15,636.00 12,000.00 14,841.95 14,990.37 15,140.27 15,443.08 15,751.94 Extra Strength Surcharge12,628.00 20,000.00 20,200.00 20,402.00 20,606.02 21,018.14 21,438.50 Other 43,307.00 50,000.00 20,200.00 20,402.00 20,606.02 21,018.14 21,438.50 Sales 995.00 1,000.00 18,180.00 18,361.80 18,545.42 18,916.33 19,294.65 Total Other Revenue267,476.00 218,000.00 209,771.95 211,869.67 213,988.37 217,237.83 220,541.99 Operating Revenues5,582,735.00 6,014,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 Other: Contributed Capital1,152,686.00 ‐ Grants1,270.00 Loan Proceeds9,500,000.00 Grand Total6,735,421.00 15,514,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 Projected6/13/2011127 Option A ‐ Updated Rate Study FY12‐FY16Operating ExpendituresCity of BozemanWastewater Rate StudyExhibit 3Operating ExpendituresActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Wastewater OperationsWastewater OperationsPersonnel420,625.00 445,501.00 454,411.02 465,771.30 477,415.58 491,738.05 508,948.88 Benefits ‐ Medical103,314.00 74,214.00 81,635.40 89,798.94 98,778.83 108,656.72 119,522.39 Overtime10,660.00 17,398.00 17,398.00 17,398.00 17,398.00 17,398.00 17,398.00 Total Personnel534,599.00 537,113.00 553,444.42 572,968.24 593,592.41 617,792.76 645,869.27 Operations1,067,681.00 1,137,102.00 741,215.06 763,451.51 786,355.06 809,945.71 834,244.08 ***Solvent Site ACTIVE Remediation ‐ Monitoring*** incl above263,093.60 294,145.39 68,330.57 111,991.88 78,737.89 Chemicals 1,185.00 1,000.00 1,100.00 1,210.00 1,331.00 1,464.10 1,610.51 Gas & Oil12,167.00 15,000.00 16,200.00 17,496.00 18,895.68 20,407.33 22,039.92 Electricity17,038.00 12,500.00 13,500.00 14,580.00 15,746.40 17,006.11 18,366.60 Natural Gas9,470.00 8,750.00 9,187.50 9,646.88 10,129.22 10,635.68 11,167.46 Total Operations1,107,541.00 1,174,352.00 1,044,296.16 1,100,529.78 900,787.93 971,450.81 966,166.47 Utility LocatesPersonnel‐ ‐ ‐ ‐ ‐ ‐ ‐ Benefits ‐ Medical‐ ‐ ‐ ‐ ‐ ‐ ‐ Overtime‐ ‐ ‐ ‐ ‐ ‐ ‐ Total Personnel‐ ‐ ‐ ‐ ‐ ‐ ‐ Operations1,911.00 2,000.00 2,060.00 2,121.80 2,185.45 2,251.02 2,318.55 Chemicals‐ ‐ ‐ ‐ ‐ ‐ ‐ Gas & Oil‐ ‐ ‐ ‐ ‐ ‐ ‐ Electricity‐ ‐ ‐ ‐ ‐ ‐ ‐ Natural Gas‐ ‐ ‐ ‐ ‐ ‐ ‐ Total Operations1,911.00 2,000.00 2,060.00 2,121.80 2,185.45 2,251.02 2,318.55 Wastewater ServicesOperations2,547.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 Total Operations2,547.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 ManholesOperations8,798.00 10,000.00 10,800.00 11,664.00 12,597.12 13,604.89 14,693.28 Total Operations8,798.00 10,000.00 10,800.00 11,664.00 12,597.12 13,604.89 14,693.28 TelevisingOperations4,269.00 6,600.00 6,798.00 7,001.94 7,212.00 7,428.36 7,651.21 Total Operations4,269.00 6,600.00 6,798.00 7,001.94 7,212.00 7,428.36 7,651.21 Projected6/13/2011128 Option A ‐ Updated Rate Study FY12‐FY16Operating ExpendituresMain RepairsOperations907.00 1,000.00 1,080.00 1,166.40 1,259.71 1,360.49 1,469.33 Total Operations907.00 1,000.00 1,080.00 1,166.40 1,259.71 1,360.49 1,469.33 Wastewater PlantWastewater Plant OperationsPersonnel716,467.00 718,135.00 732,497.70 750,810.14 769,580.40 792,667.81 820,411.18 Benefits ‐ Medical109,000.00 113,925.00 125,317.50 137,849.25 151,634.18 166,797.59 183,477.35 Overtime33,468.00 39,770.00 39,770.00 39,770.00 39,770.00 39,770.00 39,770.00 Total Personnel858,935.00 871,830.00 897,585.20 928,429.39 960,984.57 999,235.40 1,043,658.53 Operations601,979.00 715,422.00 736,884.66 758,991.20 781,760.94 805,213.76 829,370.18 Chemicals 53,923.00 60,000.00 66,000.00 72,600.00 79,860.00 87,846.00 96,630.60 Gas & Oil6,662.00 9,000.00 9,720.00 10,497.60 11,337.41 12,244.40 13,223.95 Electricity 284,694.00 366,000.00 395,280.00 426,902.40 461,054.59 497,938.96 537,774.08 Natural Gas10,882.00 17,000.00 17,850.00 18,742.50 19,679.63 20,663.61 21,696.79 Total Operations958,140.00 1,167,422.00 1,225,734.66 1,287,733.70 1,353,692.56 1,423,906.73 1,498,695.59 LaboratoryPersonnel106,562.00 106,276.00 108,401.52 111,111.56 113,889.35 117,306.03 121,411.74 Benefits ‐ Medical16,618.00 17,670.00 19,437.00 21,380.70 23,518.77 25,870.65 28,457.71 Overtime4,402.00 4,394.00 4,394.00 4,394.00 4,394.00 4,394.00 4,394.00 Total Personnel127,582.00 128,340.00 132,232.52 136,886.26 141,802.12 147,570.67 154,263.45 Operations28,978.00 40,400.00 41,612.00 42,860.36 44,146.17 45,470.56 46,834.67 Total Operations28,978.00 40,400.00 41,612.00 42,860.36 44,146.17 45,470.56 46,834.67 Slude InjectionPersonnel5,551.00 5,480.00 5,589.60 5,729.34 5,872.57 6,048.75 6,260.46 Benefits ‐ Medical880.00 930.00 1,023.00 1,125.30 1,237.83 1,361.61 1,497.77 Overtime376.00 ‐ ‐ ‐ ‐ ‐ ‐ Total Personnel6,807.00 6,410.00 6,612.60 6,854.64 7,110.40 7,410.36 7,758.23 Operations83,451.00 29,600.00 30,488.00 31,402.64 32,344.72 33,315.06 34,314.51 Chemicals‐ ‐ ‐ ‐ ‐ ‐ ‐ Gas & Oil16,120.00 30,000.00 32,400.00 34,992.00 37,791.36 40,814.67 44,079.84 Electricity‐ ‐ ‐ ‐ ‐ ‐ ‐ Natural Gas‐ ‐ ‐ ‐ ‐ ‐ ‐ Total Operations99,571.00 59,600.00 62,888.00 66,394.64 70,136.08 74,129.73 78,394.35 PreTreatmentOperations8,477.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 Total Operations8,477.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 Grand Total Operating Expenses 3,748,155.00 4,010,067.00 3,989,213.56 4,168,749.24 4,099,710.45 4,315,878.84 4,472,099.97 6/13/2011129 Option A ‐ Updated Rate Study FY12‐FY16Capital Expend ‐ WWat FundCity of BozemanWastewater Rate StudyExhibit 4Capital Expenditures ‐ Wastewater FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Wastewater PlantWW04 ‐ WRF ConstructionWW24 ‐ Latchet Lab Equipment Wastewater OperationsWW02 ‐ 1 ton truck with hoist45,000.00 45,000.00 WW03 ‐ 1/2 ton flex fuel truck25,000.00 WW07 ‐ Biannual Project Engineering90,000.00 90,000.00 WW08 ‐ Biannual Project Construction800,000.00 ‐ 1,000,000.00 ‐ 1,200,000.00 WW17 ‐ TV van replacement167,000.00 WW21 ‐ Flusher truck replacement253,094.00 PW02 ‐ Laurel Glen Shops Annex100,000.00 PW01 ‐ Shops Facility Expansion Plan10,000.00 WW26 ‐ Vac truck replacement262,000.00 WW27 ‐ SKID STEER VEHICLE45,000.00 WW23 ‐ MINI EXCAVATOR & TRAILER25,000.00 ***Solvent Site Active Remediation ‐ BIO REMENDIATION (ends FY16)380,000.00 54,000.00 100,000.00 55,000.00 103,000.00 ***Unidentified CIP***(200,000.00) 600,000.00 (400,000.00) 600,000.00 (600,000.00) Grand Total ‐ Capital Expenditures for Wastewater Fund‐ 1,337,000.00 1,057,094.00 745,000.00 1,007,000.00 703,000.00 Less: Funding Sources other than RatesGrants‐ ‐ ‐ Cash on Hand‐ ‐ ‐ SRF Loan‐ ‐ ‐ net of SRF Loan to Reserve‐ ‐ Total Funding Sources other than Rates‐ ‐ ‐ ‐ ‐ ‐ ‐ Rate Revenues Dedicated to CIP‐ ‐ 1,337,000.00 1,057,094.00 745,000.00 1,007,000.00 703,000.00 Projected6/13/2011130 Option A ‐ Updated Rate Study FY12‐FY16Capital Expenditures ‐ ImpactCity of BozemanWastewater Rate StudyExhibit 5Capital Expenditures ‐ Wastewater Impact Fee FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16TotalsWastewater PlantWWIF00 ‐ WRF Phase I Debt Service ‐ 404,000.00 408,040.00 416,201.00 424,525.00 433,015.00 2,085,781.00 Grand Total ‐ Water Impact Fee Fund‐ ‐ 404,000.00 408,040.00 416,201.00 424,525.00 433,015.00 Projected6/13/2011131 Option A ‐ Updated Rate Study FY12‐FY16Debt ServiceCity of BozemanWastewater Rate StudyExhibit 7Wastewater Fund Debt ServiceActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16WRF SRF LoanSummary of All Loans1,021,006.00 $1,900,817.00 $1,917,480.00 $1,915,845.00 $1,914,840.00 $1,912,448.00 Borrow an additional $2M140,000.00 140,000.00 140,000.00 140,000.00 140,000.00 Grand Total Debt Service‐ 1,021,006.00 2,040,817.00 2,057,480.00 2,055,845.00 2,054,840.00 2,052,448.00 Projected132 Option A ‐ Updated Rate Study FY12‐FY16Reserve RecapCity of BozemanWastewater Rate StudyExhibit 8Reserves RecapActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Wastewater FundOperating & Capital ReserveBeginning Balance8,698,577.00 2,982,927.00 3,945,120.89 3,360,654.47 3,547,601.54 3,729,909.23 Add: Operating Revenues6,014,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 Add: Additional Rate Revenue‐ 291,402.50 600,306.65 927,616.85 1,277,273.45 1,650,513.40 Add: SRF Loan Proceeds2,000,000.00 ‐ ‐ Less: Operating Expenditures(4,010,067.00) (3,989,213.56) (4,168,749.24) (4,099,710.45) (4,315,878.84) (4,472,099.97) Less: Capital Expenditures(6,698,577.00) (1,337,000.00) (1,057,094.00) (745,000.00) (1,007,000.00) (703,000.00) Less: Debt Service Payment(1,021,006.00) (2,040,817.00) (2,057,480.00) (2,055,845.00) (2,054,840.00) (2,052,448.00) Less: Funding of Debt Service ReserveEnding Balance ‐ Wastewater Fund2,982,927.00 3,945,120.89 3,360,654.47 3,547,601.54 3,729,909.23 4,560,942.20 Ending Balance ‐ Debt Service Reserve‐ ‐ ‐ Operating & Capital Reserve Target5,321,643.82 5,463,890.41 5,635,187.03 5,780,312.35 5,965,209.31 6,147,462.89 45 O&M494,391.82 491,820.85 513,955.39 505,443.75 532,094.65 551,354.79 Annual Deprec4,827,252.00 4,972,069.56 5,121,231.65 5,274,868.60 5,433,114.65 5,596,108.09 Wastewater Impact Fee FundBeginning Balance‐ ‐ (4,000.00) (12,040.00) (28,241.00) (52,766.00) Add: Impact Fee Revenues‐ 400,000.00 400,000.00 400,000.00 400,000.00 400,000.00 Add: SRF Loan Proceeds‐ ‐ ‐ ‐ ‐ ‐ Less: Capital Expenditures‐ (404,000.00) (408,040.00) (416,201.00) (424,525.00) (433,015.00) ‐ Ending Balance ‐ Wastewater Impact Fees‐ (4,000.00) (12,040.00) (28,241.00) (52,766.00) (85,781.00) Projected133 Option A ‐ Updated Rate Study FY12‐FY16Rate RequirementsCity of BozemanWastewater Rate StudyExhibit 9Wastewater Fund Rate RequirementsActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16RevenuesWastewater Services5,315,259.00 5,796,000.00 5,828,050.00 5,886,680.50 5,945,897.31 6,065,515.25 6,187,525.56 Other Revenues267,476.00 218,000.00 209,771.95 211,869.67 213,988.37 217,237.83 220,541.99 Total Revenues5,582,735.00 6,014,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 ExpensesO&M ExpensesWastewater Operations1,642,140.00 1,711,465.00 1,597,740.58 1,673,498.01 1,494,380.34 1,589,243.58 1,612,035.73 Utility Locates1,911.00 2,000.00 2,060.00 2,121.80 2,185.45 2,251.02 2,318.55 Wastewater Services2,547.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 Manholes8,798.00 10,000.00 10,800.00 11,664.00 12,597.12 13,604.89 14,693.28 Televising4,269.00 6,600.00 6,798.00 7,001.94 7,212.00 7,428.36 7,651.21 Main Repairs907.00 1,000.00 1,080.00 1,166.40 1,259.71 1,360.49 1,469.33 Wastewater Plant Operations1,817,075.00 2,039,252.00 2,123,319.86 2,216,163.09 2,314,677.13 2,423,142.13 2,542,354.13 Laboratory156,560.00 168,740.00 173,844.52 179,746.62 185,948.29 193,041.23 201,098.12 Slude Injection106,378.00 66,010.00 69,500.60 73,249.28 77,246.48 81,540.09 86,152.59 Debt Service‐ 1,021,006.00 2,040,817.00 2,057,480.00 2,055,845.00 2,054,840.00 2,052,448.00 Plus: Impact Fees Dedicated to Debt Svc‐ (404,000.00) (408,040.00) (416,201.00) (424,525.00) (433,015.00) Rates Dedicated to CIP‐ ‐ 1,337,000.00 1,057,094.00 745,000.00 1,007,000.00 703,000.00 Total Expenses3,740,585.00 5,028,573.00 6,961,535.56 6,873,797.39 6,482,882.34 6,951,740.56 6,793,104.12 Balance or (Deficiency) of Funds1,842,150.00 985,427.00 (923,713.61) (775,247.22) (322,996.67) (668,987.47) (385,036.58) REQUIRED RATE ADJUSTMENT CUMULATIVE‐ ‐ 15.85% 13.17%5.43% 11.03% 17.03%Proposed Rate Adjustment10.2%5.0% 5.0% 5.0% 5.0% 5.0%Additional Revenue beyond Total Revenues291,402.50$ 600,306.65$ 927,616.85$ 1,277,273.45$ 1,650,513.40$ Bond Coverage RatioAverage Residential Customer (10 CF, 3/4" Meter)35.57$ 39.20$ 41.16$ 43.22$ 45.38$ 47.65$ With Rate Increase3.63 1.96$ 2.06$ 2.16$ 2.27$ 2.38$ 39.20$ 41.16$ 43.22$ 45.38$ 47.65$ 50.03$ Projected134 Option B ‐ Updated Rate Study FY12‐FY16Capital Expend ‐ WWat FundCity of BozemanWastewater Rate StudyExhibit 4Capital Expenditures ‐ Wastewater FundActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Wastewater PlantWW04 ‐ WRF ConstructionWW24 ‐ Latchet Lab Equipment Wastewater OperationsWW02 ‐ 1 ton truck with hoist45,000.00 45,000.00 WW03 ‐ 1/2 ton flex fuel truck25,000.00 WW07 ‐ Biannual Project Engineering90,000.00 90,000.00 WW08 ‐ Biannual Project Construction884,600.00 886,000.00 1,003,150.00 952,700.00 803,200.00 WW17 ‐ TV van replacement167,000.00 WW21 ‐ Flusher truck replacement253,094.00 PW02 ‐ Laurel Glen Shops Annex100,000.00 PW01 ‐ Shops Facility Expansion Plan10,000.00 WW26 ‐ Vac truck replacement262,000.00 WW27 ‐ SKID STEER VEHICLE45,000.00 WW23 ‐ MINI EXCAVATOR & TRAILER25,000.00 ***Solvent Site Active Remediation ‐ BIO REMENDIATION (ends FY16)380,000.00 54,000.00 100,000.00 55,000.00 103,000.00 ***Unidentified CIP***Grand Total ‐ Capital Expenditures for Wastewater Fund‐ 1,621,600.00 1,343,094.00 1,148,150.00 1,359,700.00 906,200.00 Less: Funding Sources other than RatesGrants‐ ‐ ‐ Cash on Hand‐ ‐ ‐ SRF Loan‐ ‐ ‐ net of SRF Loan to Reserve‐ ‐ Total Funding Sources other than Rates‐ ‐ ‐ ‐ ‐ ‐ ‐ Rate Revenues Dedicated to CIP‐ ‐ 1,621,600.00 1,343,094.00 1,148,150.00 1,359,700.00 906,200.00 Projected6/13/2011135 Option B ‐ Updated Rate Study FY12‐FY16Reserve RecapCity of BozemanWastewater Rate StudyExhibit 8Reserves RecapActuals BudgetedFY10FY11FY12FY13FY14FY15FY16Wastewater FundOperating & Capital ReserveBeginning Balance8,698,577.00 2,982,927.00 3,777,081.89 3,154,897.40 3,335,280.21 3,729,097.30 Add: Operating Revenues6,014,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 Add: Additional Rate Revenue‐ 407,963.50 848,588.58 1,324,202.59 1,841,482.84 2,403,513.43 Add: SRF Loan Proceeds2,000,000.00 ‐ ‐ Less: Operating Expenditures(4,010,067.00) (3,989,213.56) (4,168,749.24) (4,099,710.45) (4,315,878.84) (4,472,099.97) Less: Capital Expenditures(6,698,577.00) (1,621,600.00) (1,343,094.00) (1,148,150.00) (1,359,700.00) (906,200.00) Less: Debt Service Payment(1,021,006.00) (2,040,817.00) (2,057,480.00) (2,055,845.00) (2,054,840.00) (2,052,448.00) Less: Funding of Debt Service ReserveEnding Balance ‐ Wastewater Fund2,982,927.00 3,777,081.89 3,154,897.40 3,335,280.21 3,729,097.30 5,109,930.29 Ending Balance ‐ Debt Service Reserve‐ ‐ ‐ Operating & Capital Reserve Target5,830,224.82 5,827,653.85 5,849,788.39 5,841,276.75 5,867,927.65 5,887,187.79 45 O&M494,391.82 491,820.85 513,955.39 505,443.75 532,094.65 551,354.79 Annual Deprec5,335,833.00 5,335,833.00 5,335,833.00 5,335,833.00 5,335,833.00 5,335,833.00 ProjectedWastewater Impact Fee FundBeginning Balance‐ ‐ (4,000.00) (4,040.00) (4,241.00) (4,766.00) Add: Impact Fee Revenues‐ 400,000.00 408,000.00 416,000.00 424,000.00 433,000.00 Add: SRF Loan Proceeds‐ ‐ ‐ ‐ ‐ ‐ Less: Capital Expenditures‐ (404,000.00) (408,040.00) (416,201.00) (424,525.00) (433,015.00) ‐ Ending Balance ‐ Wastewater Impact Fees‐ (4,000.00) (4,040.00) (4,241.00) (4,766.00) (4,781.00) 136 Option B ‐ Updated Rate Study FY12‐FY16Rate RequirementsCity of BozemanWastewater Rate StudyExhibit 9Wastewater Fund Rate RequirementsActuals BudgetedFY10 FY11 FY12 FY13 FY14 FY15 FY16RevenuesWastewater Services5,315,259.00 5,796,000.00 5,828,050.00 5,886,680.50 5,945,897.31 6,065,515.25 6,187,525.56 Other Revenues267,476.00 218,000.00 209,771.95 211,869.67 213,988.37 217,237.83 220,541.99 Total Revenues5,582,735.00 6,014,000.00 6,037,821.95 6,098,550.17 6,159,885.67 6,282,753.08 6,408,067.54 ExpensesO&M ExpensesWastewater Operations1,642,140.00 1,711,465.00 1,597,740.58 1,673,498.01 1,494,380.34 1,589,243.58 1,612,035.73 Utility Locates1,911.00 2,000.00 2,060.00 2,121.80 2,185.45 2,251.02 2,318.55 Wastewater Services2,547.00 2,500.00 2,575.00 2,652.25 2,731.82 2,813.77 2,898.19 Manholes8,798.00 10,000.00 10,800.00 11,664.00 12,597.12 13,604.89 14,693.28 Televising4,269.00 6,600.00 6,798.00 7,001.94 7,212.00 7,428.36 7,651.21 Main Repairs907.00 1,000.00 1,080.00 1,166.40 1,259.71 1,360.49 1,469.33 Wastewater Plant Operations1,817,075.00 2,039,252.00 2,123,319.86 2,216,163.09 2,314,677.13 2,423,142.13 2,542,354.13 Laboratory156,560.00 168,740.00 173,844.52 179,746.62 185,948.29 193,041.23 201,098.12 Slude Injection106,378.00 66,010.00 69,500.60 73,249.28 77,246.48 81,540.09 86,152.59 Debt Service‐ 1,021,006.00 2,040,817.00 2,057,480.00 2,055,845.00 2,054,840.00 2,052,448.00 Plus: Impact Fees Dedicated to Debt Svc‐ (404,000.00) (408,040.00) (416,201.00) (424,525.00) (433,015.00) Rates Dedicated to CIP‐ ‐ 1,621,600.00 1,343,094.00 1,148,150.00 1,359,700.00 906,200.00 Total Expenses3,740,585.00 5,028,573.00 7,246,135.56 7,159,797.39 6,886,032.34 7,304,440.56 6,996,304.12 Balance or (Deficiency) of Funds1,842,150.00 985,427.00 (1,208,313.61) (1,061,247.22) (726,146.67) (1,021,687.47) (588,236.58) REQUIRED RATE ADJUSTMENT CUMULATIVE‐ ‐ 20.73% 18.03% 12.21% 16.84% 26.02%Proposed Rate Adjustment10.2%7.0%7.0%7.0%7.0%7.0%Additional Revenue beyond Total Revenues407,963.50$ 848,588.58$ 1,324,202.59$ 1,841,482.84$ 2,403,513.43$ Bond Coverage RatioAverage Residential Customer (10 CF, 3/4" Meter)39.20$ 39.20$ 41.94$ 44.88$ 48.02$ 51.38$ With Rate Increase2.74$ 2.94$ 3.14$ 3.36$ 3.60$ 39.20$ 41.94$ 44.88$ 48.02$ 51.38$ 54.98$ Projected137 Annual Planned Maintenance Program - By Maintenance Type CIP PROJECT FUND:WASTEWATER REHAB FY12:$884,600 FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY12 DESCRIPTION OF MAINTENANCE PROJECTS: N. Grand Ave: E. Mendenhall St - E. Beall St N. Black Ave: Alley N of Main - E. Mendenhall st E. Mendenhall St: N. Grand Ave - N. Church St N. Willson Ave: E. Mendenhall St - Lamme St N. Willson Ave: Lamme St - E. Villard St Lamme St: N. Tracy Ave - N. Rouse Ave N. Tracy Ave: E. Beall St - E. Cottonwood Ave N. Black Ave: E. Beall Str - E. Cottonwood Ave N. Black Ave: E. Cottonwood Ave - Tamarack St N. Bozeman Ave: E. Beall St - Tamarack St N. Bozeman Ave: E. Main St - E. Mendenhall st N. Montana Ave: E. Beall St - E. Peach St E. Cottonwood St: N. Tracy Ave - N. Black Ave FY12: FY13:$886,000 FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY13 DESCRIPTION OF MAINTENANCE PROJECTS: W. Main St: N. 7th Ave - N. Grand Ave W. Main St: N. Grand Ave - N. Tracy Ave E. Main St: N. Tracy Ave - N. Black Ave E. Main St: N. Black Ave - N. Church Ave E Mendenhall St: N. 7th Ave - N. Grand Ave W. Lamme St: N. 7th Ave - Mid block East W. Lamme St: N. 5th Ave - N. Grand Ave W. Beall St: N. 5th Ave - N. 3rd Ave. N. 3rd Ave: W. Beall St - W. Villard St N. 3rd Ave: W. Villard St - W. Peach St N. 4th Ave: W. Villard St - W. Short St N. 5th Ave: W. Beall St - W. Peach St N. 6th Ave: W. Villard St - N. 5th Ave N. 7th Ave: W. Villard St - W. Peach St W. Peach St: N. 7th Ave - N. Grand Ave FY12: FY13: FY14:$1,003,150 FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY14 DESCRIPTION OF MAINTENANCE PROJECTS: N. Grand Ave: W. Mendenhall St - W. Main St S. Grand Ave: W. Main St - W. Babcock St S. Grand Ave: W. Babcock St - S. End of Line N. Willson Ave: W. Mendenhall St - W. Main St N. Willson Ave: W. Main St - W. Hayes St S. Tracy Ave: W. Main St - W. Garfield St Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB138 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15:$914,000 FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY15 DESCRIPTION OF MAINTENANCE PROJECTS: S. 3rd Ave: W. Olive St - W. Lincoln St S. 4th Ave: W. Babcock St - W. Olive St S. 4th Ave: W. College St - W. Lincoln St S. 5th Ave: W. Olive St - W. Lincoln St W. Babcock St: S. 6th Ave - S. Grand Ave W. Olive St: S. 6th Ave - S. 3rd Ave Alley N of Koch: S. 5th Ave - E. End FY12: FY13: FY14: FY15: FY16:$952,700 FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY16 DESCRIPTION OF MAINTENANCE PROJECTS: Interstate/walmart: N. Rouse Ave - N. 3rd Ave Pea Cannery Line: N. Rouse Ave - End Juniper Street: N. Rouse Ave - E. Tamarack St N. Rouse Ave: Humane Society - Bridger Center Dr Bridger Center Main: Bridger Drive - N End of Main Industrial Dr: Trunk Main - Half way to Griffin FY12: FY13: FY14: FY15: FY16: FY17:$803,200 FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY17 DESCRIPTION OF MAINTENANCE PROJECTS: Alley N of Story: S 5th Ave - E. End Alley N of Dickerson: S 5th Ave - E. End Alley N of Alderson: S 5th Ave - E. End W. College St: S 5th Ave - E. End W. College St: S 4th Ave - S. 3rd Ave Alley N. of Harrison: S. 5th Ave - S. 4th Ave Alley N. of Cleveland: S. 5th Ave - S. 4th Ave S. 6th Ave: W. Babcoc St - Alley N. of Olive S. 6th Ave: W. Story St - W. Grant St S. 7th Ave: Alley N of Olive - W. Story St S. 7th Ave: W. Story St - W. Harrison W. Olive St: S. 6th Ave - S. 7th Ave W. Story St: S. 6th Ave - S. 7th Ave Alley btwn 7th & 8th: Alley N of Olive - Alley N. of Koch Alley btwn 7th & 8th: Alley N of Dickerson - W. Harrison St Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB139 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18:$963,350 FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY18 DESCRIPTION OF MAINTENANCE PROJECTS: Alley N of Babcock: S. 11th Ave - Alley E of 7th W. Babcock St: S. 11th Ave - S. 10th Ave Alley N of Olive: S. 6th Ave - S. 7th Ave Alley N of Olive: S. 11th Ave - Alley E of 8th Alley btwn 8th & 9th: Alley N of Olive - W. College St S. 9th St: W. Main St - Alley N of Olive Alley btwn 9th & 10th: Alley N of Olive - W. College St S. 10th Ave: W. Main St - W. Harrison St W. Harrison St: S. 6th Ave - S. 10th Ave FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19:$1,027,550 FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY19 DESCRIPTION OF MAINTENANCE PROJECTS: Alley W of S 10th Ave: Alley N of Olive - W. Koch St Alley W of S 10th Ave: N of Dickerson - W. Alderson St Alley W of S 10th Ave: N of College - W. College St W. Curtiss St: S. 10th Ave - Alley W of S. 10th W. Curtiss St: Alley W of S. 10th - Alley W of S. 11th Chequamegon Vill: All internal mains - W. Koch St: Alley W of S. 10th - Alley W of S. 12th Alley W of S 11th Ave: Alley S of Alderson - University W. Villard St: N. 7th Ave - N. 8th Ave N. 8th Ave: W. Villard St - W. Beall St N. 8th Ave: W. Beall St - W. Mendenhall St Alley N of Main St: N. 9th Ave - N. 7th Ave Alley W of 8th Ave: W. Durston Rd - W. Villard St W. Villard St: Alley W of N 8th - N. 9th Ave N. 9th Ave: W. Villard St - W. Main St W. Beall St: N. 8th Ave - N. 9th Ave Alley W. of 9th Ave: W. Durston Rd - W. Villard St W. Villard St: Alley W of 9th Ave - N. 10th Ave N. 10th Ave: W. Villard St - W. Main St Alley W. of 10th Ave: W. Durston Rd - W. Mendenhall St W. Lamme St: N. 9th Ave - N. 11th Ave FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20:$880,250 FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY20 DESCRIPTION OF MAINTENANCE PROJECTS: S. Black Ave: E. Main St - E. College St S. Black Ave: E. College St - Southern Cul-de-sac E. Dickerson St: S. Black Ave - End 3 Cul-de-sacs Black: - S. Bozeman Ave: E Main St - E. Story St E. Story St: S. Bozeman Ave - Bonner Ln Dell Place: E. Story St - End E. Babcock St: W of Bozeman - E of Bozeman E. Olive St: S. Bozeman Ave - S Rouse Ave Lindley Place: E. Olive St - E. Koch St S. Church Ave: E. Main St - All but last run E. Babcock St: S. Church Ave - E half a block E. Olive St: S. Church Ave - S. Rouse Ave Parkside Main: S. Church Ave - W. end E. Story St: S. Church Ave - Bonner Ln Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB140 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21:$947,950 FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY21 DESCRIPTION OF MAINTENANCE PROJECTS: E. Aspen St: Front St - E of Church Ave Connection Main: Front St - E. Cottonwood St E. Cottonwood St: E of Church Ave - Connection Main E. Cottonwood St: Connection Main - Plum Ave Plum Ave: Front St - E. Cottonwood St E. Peach St: Plum Ave - N. Wallace Ave E. Peach St: N. Wallace Ave - N. Church Ave E. Peach St: N. Church Ave - Perkins Place N. Church Ave: E. Aspen St - Davis St N. Wallace Ave: E. Peach St - E. Lamme St N. Wallace Ave: E. Lamme St - E. Babcock St S. Wallace Ave: E. Babcock St - E. Olive St E. Lamme St: N. Church Ave - Plum Ave E. Mendenhall St: N. Church Ave - N. Wallace Ave Alley N of Babcock St: S. Wallace Ave - S. Church Ave. Ida Ave: E. Peach St - South End Alley N of Fridley St: Ida Ave - Brady Ave Fridley St: Ida Ave - Brady Ave Plum Ave: E. Peach St - Davis St Plum Ave: Davis St - End of Main Orange St: Plum Ave - End of Main Davis St: Plum Ave - End of Main E. Mendenhall St: N. Wallace Ave - Plum Ext FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22:$982,000 FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY22 DESCRIPTION OF MAINTENANCE PROJECTS: Front St: Plum Ave - Broadway Ave Front St: Broadway Ave - E End E of Broadway Broadway Ave: Front St - E Main st E. Mendenhall St: Broadway Ave - Plum Ext E. Main St: W of Broadway Ave - E of Cypress Ave E of Cypress Ave: E. Main St - E. Babcock St Marwyn Rearangement: All - Btwn Main and Village Downtown: - Line to the Hopital: Haggerty Ln - Hospital Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB141 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23:$906,100 FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY23 DESCRIPTION OF MAINTENANCE PROJECTS: Bonner Lane: E. Story St - End of Main S. Church Sewer: Mid Manhole - End of Main E. Cleveland St: S. Rouse Ave - S. Bozeman Ave S. Montana Ave: E. Cleveland St - E. Lincoln St S. Bozeman Ave: E. Cleveland St - E. Lincoln St E Garfield St: S. Black Ave - E. of S. Bozeman S. Black Ave: E. Garfield St - E. Mason St S. Tracy Ave: S. Black Ave - End of Main S of E Lincoln St: S. Black Ave - End of Main E. Lincoln St: S. Rouse Ave - W of S Bozeman Ave Mason St: S. Black Ave - E of S. Tracy Ave S. Tracy Ave: W. Mason St - Spring Creek Dr Hoffman Dr: S. Tracy Ave - First Run East Accola Dr: S. Black Ave - East End of Main S. Willson Ave: W. Grant St - W. Mason St S. Willson Ave: W. Mason St - W. Kagy Blvd S. 3rd Ave: S. Grand Ave - W. Kagy Blvd Greek Way: S. 3rd Ave - End of Main Greek Way: W. Kagy Blvd - End of Main S. Rouse Ave: Hoffman Dr - First Run South FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24:$862,250 FY25: FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY24 DESCRIPTION OF MAINTENANCE PROJECTS: W. Kagy Blvd: S. Tracy Ave - S Towne Square W. Kagy Blvd: S Towne Square - S. Willson Ave W. Kagy Blvd: S. Willson Ave - End E of S 7th Ave Spring Creek Dr: S. Tracy Ave - End of Main Spring Creek Dr: S. Tracy Ave - Highland Ct Hill St: S. 3rd Ave - Spring Creek Dr Hill St: Highland Ct - First Run West Highland Ct: Hill St - Westridge Dr Westridge Dr: Spring Creek Dr - West End of Main Circle Dr: Mid Section with Defects - Colter Ave: Cul-de-sac - End of Main Langohr Ave: Henderson St - Staudaher St Staudaher St: Langohr Ave - Healy Ave Erwin Ave: Staudaher St - End of Main W. Lincoln St: W of S. 11th Ave - W. of Tia Ln S. 19th Ave: W. Garfield Ave - MSU Facility S. 19th Ave: W. Garfield Ave - Branegan Ct Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB142 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25:$947,450 FY26: FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY25 DESCRIPTION OF MAINTENANCE PROJECTS: W. Main Sewer: S. 15th Ave - End of Main S. 15th Ave: W. Main St - W. Babcock St S. 15th Ave: W. Babcock St - S of W. Koch St S. 15th Ave: S of W. Koch St - W. College St S. 16th Ave: W. Babcock St - W. Koch St Midnite Sewer: S. 16th Ave - End of Main W. College St: S. 16th Ave - S. 15th Ave W. Koch St: E of S. 16th Ave - W. of S. 16th Ave Alley W. of 19th: W. Main St - W. Babcock St Alley W. of 19th: W. Babcock St - W. Dickerson St W. Dickerson St: Alley W. of 19th - S. 19th Ave S. 19th Ave: W. Dickerson St - W. College St W. Babcock St: E of S. 19th Ave - W. Main St W. Koch St: Alley W. of 19th - 19th/includes S leg Alley W. of 20th: W. Babcock St - W. College St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26:$912,700 FY27: FY28: FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY26 DESCRIPTION OF MAINTENANCE PROJECTS: Durston Rd: W of N. 8th Ave - Alley W of N. 10th Durston Rd: N. 17th Ave - W of N. 11th Ave Durston/11th: W of 11th Ave - S End of Food Service W. Villard St: Alley W of N. 10th - School property N. 15th Ave: Durston Rd - W. Main St Alley W of 15th Ave: Durston Rd - W. Beall St Alley W of 16th Ave: Durston Rd - W. Beall St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28:$1,006,350 FY29: FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY28 DESCRIPTION OF MAINTENANCE PROJECTS: Baxter Ln: E of N. 7th Ave - W. of N. 7th Ave W. Oak St: Walmart - W. of N. 7th Ave Main E. of N. 7th Ave: W. Oak St - N. of W. Peach St Alley W. of N. 7th Ave: W. Oak St - W. Birch St Alley W. of N. 7th Ave: W. Birch St - Durston Rd W. Birch St: Alley W of N. 8th - Alley E of N. 8th Alley W. of N. 8th Ave: Run with Defects south of E/W trunk - W. Griffin Dr: Wheat Dr - First Run East Maus Ln: Lea Ave - Maus Ln West Winds Trunk: W. Oak St - First Run North Yellowstone Ave: Durston Rd - First Run South Teton Ave: Toole St - First Run South Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB143 Annual Planned Maintenance Program - By Maintenance Type FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29:$1,164,000 FY30: FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY29 DESCRIPTION OF MAINTENANCE PROJECTS: Baxter Ln: N. 19th Ave - Commerce Way Baxter Ln: Baxter Springs Conn - East One Run R-1 S. Rouse Trunk: E. Babcock St - E. Cleveland St FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30:$1,102,000 FY31: PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY30 DESCRIPTION OF MAINTENANCE PROJECTS: Frontage Rd Phase I: Replacement of 1 of the 20" Mains FY12: FY13: FY14: FY15: FY16: FY17: FY18: FY19: FY20: FY21: FY22: FY23: FY24: FY25: FY26: FY27: FY28: FY29: FY30: FY31:$1,521,000 PROGRAM:WASTEWATER PIPE REPLACEMENT PROGRAM FY31 DESCRIPTION OF MAINTENANCE PROJECTS: Frontage Rd Phase II: First parallel 20" - Second parallel 20" Annual Planned Maintenance Program - By Maintenance Type WASTEWATER REHAB144