The URL can be used to link to this page

Home My WebLink AboutAmendment to FY2015 Water Impact Fee CIP Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Chris Saunders, Policy and Planning Manager Wendy Thomas, Director of Community Development SUBJECT: Amendment to the FY 2015 Water Impact Fee Capital Improvement Program (CIP) to add the oversizing of a water main from 8 inch diameter to 12 inch diameter with initial pipe installation under the future extension of W. Babcock Street from Water Lily Drive to Laurel Parkway. MEETING DATE: April 14, 2014 AGENDA ITEM TYPE: Action RECOMMENDATION: Amend the FY 2015 Water Impact Fee Capital Improvement Program (CIP) to add the oversizing of a water main from 8 inch diameter to 12 inch diameter with initial pipe installation under the future extension of W. Babcock Street from Water Lily Drive to Laurel Parkway. RECOMMENDED MOTION: Having heard and considered the evidence and public testimony, I find the oversizing of a water line from 8 inch diameter to 12 inch diameter with initial installation under the future extension of W. Babcock Street from Water Lily Drive to Laurel Parkway is consistent with the requirements of the impact fee program. Therefore, I move to add these system improvements to the FY 2015 Water Capital Improvements Program list and provide for funding in the estimated amount of $25,000. EXECUTIVE SUMMARY: The impact fee program funds the expansion of water, sewer, transportation, and fire/EMS infrastructure. The Capital Improvement Program (CIP) is the process by which the City Commission schedules projects and commits funds. An amendment to the schedule of water projects is proposed. Impact Fee Advisory Committee. The committee considered this amendment at their meeting on March 27, 2014. A quorum was not present. The members present informally discussed the proposed change and concurred that it was consistent with the purpose and requirements of the impact fee program. No vote was taken as a quorum was not present. Unresolved issues: None Alternatives: 1. Amend the CIP as proposed. 330 2. Do not amend the CIP. Amendment) Amend the FY 2015 Water Impact Fee Capital Improvement Program (CIP) to add the oversizing of a water main from 8 inch diameter to 12 inch diameter with initial pipe installation under the future extension of W. Babcock Street from Water Lily Drive to Laurel Parkway. The proposed CIP amendment will fund the oversizing of a new extension of a water main under West Babcock Street. A vicinity map of the proposed location is attached. The minimum water pipe size allowed to be installed is 8 inch diameter. Installing the additional capacity in the oversized pipe with the initial construction greatly reduces costs such as trenching, design, and similar items which are shared with the project improvements rather than all being attributed to the capacity expansion with a later installation. Some costs such as repair of roads are avoided all together. Therefore, it is advantageous to the City to fund this increase in pipe size now to occur with the initial installation of pipe and prior to the street construction. The City’s Water Facility Plan lays out the locations for the major distribution mains, those greater than 8 inches in size. The proposed amendment is shown as a portion of segment P-568 on Figure 2 of the Water Facility Plan. Segment P-568 is depicted as a 12 inch diameter pipe. Therefore, the proposed project conforms to the facility plan. The existing portion of the water line under West Babcock Street from Cottonwood Road to Water Lily Drive was oversized in a similar manner with impact fee funds through credit request IFCR-1101. The water mains under Cottonwood Road and under West Babcock Street east of Cottonwood Road are also 12 inch diameter pipe. This amendment and sizing will support the next phase of the Norton East Ranch Subdivision. A master plan of the Norton East Ranch Subdivision was required as part of the annexation of the area. A copy of the master plan is attached. The non-impact fee eligible portion of the project will be provided as a subdivision project improvement. No other funding is expected to be required. BACKGROUND: This item proposes an amendment to the Water Impact Fee CIP. The City has adopted water impact fees to help provide for additional capacity in the water treatment and distribution facilities to provide service to new development within the community. A full description of the impact fee program is given in Division 2.06.9, Impact Fees, in the Bozeman Municipal Code. The City has established five criteria which must be satisfied before expending impact fees. See 2.06.1690, BMC. These are: • Capacity expansion • Not project related • Timely request • Capital Improvement Program listed • Capital Improvement Program funded • Listing and funding on the CIP indicates that a particular project is a community priority. The amendments to the CIP facilitate a future impact fee credit request by private parties to expand authorized road segments. The individual projects would then be funded by a combination of public and private funds with each bearing its proportionate share. Final cost share is determined at the conclusion of the project when all final costs have been determined. 331 FISCAL EFFECTS: The final design of the project has not been completed and therefore final cost information is not available. A preliminary cost estimate is provided. The addition of this project to the CIP will preliminarily commit the City to funding this pipe project. A separate impact fee credit request will need to be received and approved before the funds are actually committed. Initial estimate for the oversizing is $25,000. The anticipated revenues shown on the Commission approved 2014 Water CIP were $933,500. Actual revenues to date in the fiscal year have been $1,154,299.74. This provides a positive unencumbered balance of $220,799 which can fund the proposed project. The Water impact fee fund has an adequate balance to support this amendment without displacing another project or reaching a negative balance. Attachments: Vicinity map of the amendment locations Proposed CIP listing sheet for water main P-568 oversizing Norton Ranch annexation master plan Report compiled on: April 3, 2014 332 HUFFINE LN DURSTON RD FALLON ST RESORT DR S COTTONWOOD RD W BABCOCK ST N COTTONWOOD RD STAFFORD AVE A L P H A D R ADVANCE DR CASC A D E ST WATER LILY DR C L I FDEN DR GLENWOOD DR BEMBRICK ST ROSA WAY SHADOWGLEN DR TR I U M P H S T CLASSICAL WAY RAE WA T E R L N ALEXANDER ST PER R Y ST BRISBIN ST PALISADE DR POND LILY DR STONE FLY DR BULL FROG DR HANLEY AVE GLENWOOD DR Legend West Babcock water line CIP amendment City Limits Water Distribution System (current) Water CIP AmendmentVicinity MapRevised: This map was created by theCity of BozemanDepartment of Planningand Community Development ¯1 inch = 833 feet Intended for Planning purposes onlysome layers may not line up properly. 333 334 Water Impact Fee Capital Improvement PlanDRAFT: Proposed AmendmentFinancial Summary Current YearFY14 FY15 FY16 FY17 FY18 FY19UnscheduledProjected Beginning Reserve Balance Dedicated to CIP‐$ ‐$ (25,000)$ 99,890$ 329,277$ 850,628$ ‐$ Plus: Impact Fee Revenues Dedicated to CIP 933,500$ 1,083,242$ 1,127,005$ 1,149,545$ 1,172,536$ 1,195,987$ ‐$ Plus: Loan for WIF03 ‐ 5.3MG Storage Reservoir 5,000,000$ Less: Scheduled CIP Project Costs (933,500)$ (1,108,242)$ (6,002,115)$ (920,158)$ (651,185)$ ‐$ (25,880,000)$ Projected Year‐End Cash Dedicated to CIP‐$ (25,000)$ 99,890$ 329,277$ 850,628$ 2,046,615$ Assumptions Made for Revenue Estimates: Current YearFY14 FY15 FY16 FY17 FY18 FY19Estimated Annual Water Impact Fee Revenues 933,500$ 1,083,242$ 1,104,907$ 1,127,005$ 1,149,545$ 1,172,536$ Estimated Annual Increase 0.0% 2% 2% 2% 2% 2%Total Estimated Revenues 933,500$ 1,104,907$ 1,127,005$ 1,149,545$ 1,172,536$ 1,195,987$ Current Revenues Dedicated to CIP % 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Plus: Increase Dedicated to Water Capacity Expansion CIP 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Total % Dedicated to CIP 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%ProjectedProjectedTotal Estimated Revenues Dedicated to CIP 933,500$ 1,104,907$ 1,127,005$ 1,149,545$ 1,172,536$ 1,195,987$ 30,000,00025,000,00020,000,00015,000,00010,000,0005,000,0000FY15 FY16 FY17 FY18 FY19 UnscheduledWater Impact Fee Projects 335 CIP PROJECT FUPROJ.DEPARTMENTPROJECT NAMEFY16UnscheduledFY15FY17FY18FY19Impact Fees WaterW33PUBLIC WORKSWATER SUPPLY CAPITAL IMPROVEMENTSImpact Fees WaterWIF03WATER IF5.3MG CONCRETE WATER STORAGE RESERVOIR$300,000$5,000,000WIF05WATER IFWEST WATER TRANSMISSION MAIN LOOP$21,680,000WIF07WATER IFGRAF STREET EXTENSION$150,000WIF08WATER IFWATER TREATMENT PLANT DEBT SERVICE PAYMENT$383,242$902,115$920,158$501,185WIF09WATER IFCOTTONWOOD/STUCKY TRUNK MAIN LOOP$4,200,000WIF10WATER IFWATER MASTER PLAN UPDATE$350,000WIF11WATER IFWATER MAIN EXTENSION ‐ FERGUSON AVE (DURSTON TO OAK STREET)$100,000WIF12WATER IFWATER MAIN EXTENSION ‐ SOUTH 11TH (OPPORTUNITY TO ARNOLD STREET)$50,000WIF13WATER IFW. BABCOCK STREET FROM WATER LILY DRIVE TO LAUREL PARKWAY ‐ 8 TO 12 INCH WATER PIPE OVERSIZING$25,000$1,108,242$6,002,115$920,158$651,185$25,880,000Summary for Impact Fees Water (10 items)Totals by year:$1,108,242 $6,002,115 $920,158$25,880,000FY15FY16FY17UnscheduledFY19$651,185FY18336 CIP Project Fund Impact Fees Water PROJECT NUMBER WIF13 DEPARTMENT WATER IF PROJECT NAME W. Babcock Street from Water Lily Drive to Laurel Parkway - 8 to 12 inch water pipe oversizing FY15 $25,000 FY16 Unscheduled DESCRIPTION OF PROJECT Oversizing of a water line from 8 inch diameter to 12 inch diameter with initial installation under the future extension of W. Babcock Street from Water Lily Drive to Laurel Parkway ALTERNATIVES CONSIDERED Wait until a future time to install the additional capacity at significantly increased costs. ADVANTAGES OF APPROVAL The minimum water pipe size allowed to be installed is 8 inch diameter. A 12 inch diameter is proposed. Installing the additional capacity in the oversized pipe with the initial construction greatly reduces costs such as trenching, design, and similar items which are shared with the project improvements rather than all being attributed to the capacity expansion with a later installation. Some costs such as repair of roadways are avoided all together. Therefore, it is very cost advantageous to the City to fund this increase in pipe size now to occur with the first installation of pipe and prior to the street construction. The City’s water facility plan lays out the locations for the major distribution trunks, those over 8 inches in size. This is project P-568 on Figure 2 of the water facility plan. Project P-568 is depicted as a 12 inch diameter pipe. Therefore, the proposed project conforms to and advances the Water facility plan ADDITIONAL OPERATING COSTS IN THE FUTURE, IF FUNDED Routine operations and maintenance. FUNDING SOURCES Impact Fees $25,000, the balance of the work will be a subdivision project improvement. New Replacement Equipment Project FY17 FY18 FY19 337