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HomeMy WebLinkAbout7 - Final recommendation of the Utilities 2008 Budget and CIPCITY OF BOULDER WATER RESOURCES ADVISORY BOARD AGENDA 1TEM MEETING DATE: June 28, 2007 AGENDA TITLE: Staff Presentation regarding the 2008 Proposed Utilities (Water, Wastewater and Stormwater/ Flood Management) Budget including the 5-year Capital Improvement Program (CIP) and the Monthly Ut~lity Rates and a Board Recommendation regarding the five-year CIP. PRESENTERS: Ned Williams, Director of Public Works for Utilities Bob Harberg, Utilities Planning & Project Management Coordinator Carol Linn, Utilities Financial Manager BOARD ACTION REQUESTED: A recommendaYion ta the C~ty's Planning Board and City Council is requested concerning the Proposed Utilities Division 2008-2013 Capital Iinprovement Program (CIP). EXECUTIVE SUMMARY: At the May 21, 2007 WRAB meeting, Staffpresented tbe preliminary 2008 proposed utilities bud~et mcluding the five-year capital ~mprovement program and the projected increases for monthly utility rates. Since that time, the operating budget (e.g. personnel costs) and transfers have been updated and incorporated into the fund financials per tbe mty's budget guidelmes and minor inodifications have been made to the 2008-2013 capital improvement program (CIP). W~th these changes, the proposed rate mcreases for 2008 have re~nained the satne for wastewater and stonnwater and the proposed rate inerease for water has been adjusted from 5°/o to 4%. Attached is information conceming the Proposed 2008 Utilities Budget and the 2008-2013 Utilities Capital Improvement Program (CIP). Attachments A through C are the fund fiuancials and CIP for each utility (Water, Wastewater and Storinwater and Flood Management). Attachmcnt D in an overv~ew memo of the Utihties CIP and Attachment E shows the staffing ]evels for Utilities prograins. Fiscal Impacts: The followmg percentage increases in additional revenue from inonthly utility fees are recommended for 2008 to fund the proposed budget and caprtal improvements program. Page 1 Water 4% Wastewater 3% Stormwater/ Flood Management 3% Board Feedback: The preliminary 2008 Utilities budget and 2008-2013 CIP were presented to the WRAB on May 21, 2007. Staff is asking that WRAB review the proposed 2008-2013 CIP and to provide a board recommendation on the proposed plan. Public Feedback: No one from the public spoke at the May 21 meeting on this item. A public hearing is scheduled for the June 28 meeting. Staff Recommendation: Approva] of a motion for tbe proposed 2008-2013 CIP that can be forwarded to the Planning Board and City Council. 2008 PROPOSED BUDGET HIGHLIGHTS: Monthlv Utilitv Rates The Urilities Division's mission is to provide quality water services, as desired by the community, in a manner which emphasizes efficient management of fiscal and natural resources, and protects human and environmental health. Each of the city's three utilities (water, wastewater and stormwater/flood management) is a separate enterprise fund established to finance and account for the acquisition, operation and mamtenance of each utiliry's facilities and services while maintaining designated reserves and meeting debt servtce requirements. The utiliry funds receive the ma~onty of their revenues from monthly utiliry charges. The 2008 proposed budget reflects the following rate increases (last year's estimate for 2008 are included in parenthesis): Water 4% (10%) Wastewater 3% (4%) Stormwater/ Flood Management 3% (3%) The proposed increascs would increase the annual utiliry bill for a rypical residentia] custoiner by about $23.00 or $1.92 per ~nonth. The increase for water was able to be reduced from 10% to 4% pr~marily because of the collection of about $3 million in excess revenue in 2006, reduction of the undesignated reserve level and the recent refunding of two bond issues which resulted m lower annual debt payments. Potential Chanees in the Water Rate Structure During 2007, potential changes to the water rate structure will be considered and include: I. Evaluate if outdoor water allocations are needed for tl~e winter inonths (Dec, Jan and Feb) for single-family residential customers. Pagc 2 2. Evaluate if changes to the indoor allocat~on for single-family residential customers (7,000 gallons/month) are needed. 3. Evaluate if changes to the indoor allocation for multi-family residential customers (4,000 gallons/month/unit) are needed. 4. Evaluate changes to commercial/industr~al water budgets. Any changes to the water rate structure would also include an analysis on the impacts to water revenues, monthly utility rates and the proposed 2008 rate increase. Additions to Operatina Budeet In addition to a 2 percent inflationary increase for nonpersonnel expenditures (per the city budget guidelines), the following operating budget additions are being proposed for the 2008 budget. Add. Stormwater/ Empl Water Wastewater Flood Mngtnnt Total WaterResources-Platte n/a $71,000 $71,000 River Endangered Species Assessment Water Treatment - Energy n/a 35,000 35,000 Costs Windy Gap Payments - n/a 240,000 240,000 Add( Operating Assessment Wastewater Treatment n/a 506,000 506,000 Plant Improvements - Ener and Chemical costs Total n/a $346,000 $506,000 $0 $852,000 All of these additions are ongoing that would increase the annual operating expenditures for the associated utility on an ongoing basis. These additions are currently incorporated into tbe fund financials and woufd be funded as part of the proposed revenue inereases. At tl~e May WRAB meeting two other additions had been identified: utiliry maintenance fuel costs in the Water fimd ($ I 1,000 ongoing) and an EPA Data Collection effort in the Stonnwater/Flood Manageinent fund ($60,000 one-time). Staff has since determined that these can be funded within the base budget and ~s no longer proposing these be budget additions. Reserves Late in 2006, the city had contracted with Red Oak Consultmg to conduct a review of the various financial reserves and reserve levels for each of the city's three utilities. This included a survey of the reserve policies of ten other utilities. The findings of the study were presented Yo the WRAB in January 2007. Based on the study fiudmgs, consultanYs recommendation and the WRAB's mput, staff has modified the reserve practices of each urility. The 2008-2013 fund Page 3 financial for each utility shows a 25% operating reserve (increased from 20%) and a separate capital reserve. The capital reserve is set based on the minimum annual renewal and replacement capital costs. The capital reserves are initially established at: Water -$2,000,000; Wastewater - $500,000 and Stormwater/Flood Management - $200,000. CapiCal Improvement Proeram Please refer to Attachment D, the CIP Overview Memo, for summary information regarding the Urilities CIP. Schedule The current schedule of major budget milestones is provided below. Elements involving the WRAB are highlighted in bold italics. Milestone Date Public Hearing/ WRAB Recommendation on CIP June 28, 2007 Deparhnental Budget Review by City Manager June 25-July 20, 2007 CIP Submitted to Planning Board July 7, 2007 Planning Board CIP Hearing July 19, 2007 Check in w/City Council on Budget (if needed) July 31, 2007 City Council Study Session on Budget August 28, 2007 City Council Study Session on Budget (if needed) Sep[. ll, 200 % City Council Consideration/Adoption of Budget October 2007 Attachment A: Water - Fund Financial and Capital Improvement Program Attachment B: Wastewater - Fund Financial Capital Improvement Program Attachment C: Stormwater/ Flood Management - Fund Financial and Capital Improvement Program Attachment D: C1P Overview Memo Attachment E: Utiliry Staffing Levels Page 4 Attachment A A B C D E F G H I J K L M N O P Q R CITY OF BOULDE R 19-Jun-07 i 200 8 FUND FINANC IAL -Draft- WA TER UTILITY FU ND 2006 2007 2008 2009 2010 2011 2012 2013 ACTUAL REVISED RECOMMENDED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED UNAPPROPRIATED FUND BALANCE Beginning of Year Fund Balance $31,414,234 $52,157,441 $37,753,947 $33,674,021 $26,984,167 $25,637,785 $26,300,240 $25,628,362 SOURCES OF FUNDS O eratin - Sale of Water to General Cust $19.087,162 J $19,890,200 $21,922,829 $24,163,192 $27,116,750 $27,714,254 Proected Rate Increase $763,486 4% $1,989,02D 10% $2,192,283 10% $2,899,583 12% $542,335 2% $554,285 2% Bulk/lrri ation Water Sales $97,500 $99,500 $100,000 I $102.000 $103,000 $103,000 H droeiectric Revenue $2,000,000 $1,895,000 $1,790,000 i $1,790,000 $1,790,000 $1,790,000 Miscellaneous O ratin Revenues $25,000 $25,000 $25,000 i $25,000 ~ $25,000 $25,000 TOTA~ OPERATING SOURCES OF FUNOS $21,973,149 $23,898,720 $26,030,112 $28,979,775 $29,577,085 $30,186,539 I Non-Operatin - ' i Plant Investment Fees $2.500,000 , $2,500,000 I __ $2,500,000 $2,500,000 $2,500,000 $2,500,000 Connection Cha es $165,000 $165,000 $165,000 $165,000 $165,000 $165,000 S cial Assessments $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 State & Federal Grants $0 $0 $0 $0 $0 $0 Interest on Investments $1,755.559 , $1,346,961 $1,079,367 $1,025,511 $1,052,010 $1,025,134 Rent, assessments and other misc revenues $17,500 $17,500 $17,500 $18,500 $18,500 $18,500 ' Sale of Real Estate - Yards Maste lan $0 $D $D $0 $0 $0 Transfer from the General Fund - Fire Trainin Cent $130,000 $130,000 $130,000 $130,000 5130,000 $130,000 Extraordina Revenues - Lakewood Settiement $0 $D $0 $0 $0 $0 Projected Bond Proceeds $0 $28,235,000 $0 $0 I $5,085,000 $0 TOTAL NON-OPERATING SOURCES OF FUNDS $4,573,059 $32,399,461 $3,896,867 $3,844,011 $8,955,510 $3,843,634 ~ TOTAL SOURCES OF FUNDS E48,006,004 E51,133,54fi 526,546,207 556,298,181 i29,926,978 532,823,T86 538,532,595 ' i34,~30,173 USES OF FUNDS O~ratin Ex nditures-- ~ ~ ~ . _ . .- - -- Administration $543,361 $881,926 $856,607 $882,305 $908,774 ; $936,038 - _ $964,119 . . - $993,042 Ptannin ag nd Pro'ect Mana ement $454,175 I $560,345 $577,890 $595,227 i $613,084 ! $631,476 $650,420 $669,933 Water Resources and H droelectric O eretions $1,913,030 $1,788,269 $1,863,384 $1,919,286 I $1,976,864 ~ $2,036,170 $2,097,255 $2,160,173 WaterTreatment $3,805,353 $3,922,548 $4,021,000 $4,141,630 $4,265,879 , $4,393,855 $4,525,677 $4,661,441 Water Quali & Environmental Svcs $751,442 $752,691 $785,509 $809,074 $833,346 ~ $858,347 $8&4,097 $910,620 WaterConservation $376,393 5446,648 $453,100 $466,693 $480,694' $495,115 $509,968 $525,267 S stem Maintenance $2,252,557 $2,859,246 $3,006,434 $3,096,627 $3,189,526' $3,285,212 ~ $3,383,768 $3,485,281 Com ensation Ad'ustment $0 $0 $48,028 $49,589 $51,201 $52,86 $54,583 $56,357 Wind Ga Pa ment $2,118,387 $2,108,314 $2,198,779 ' $2,210,367 $2,224,916 $2,238,285 $2,253,788 $2,268,610 Pro osed Action Plan Ad'ustments I Wind Ga Pa ment $0 $0 $240,000 $247,200 $254,616 , ' $262,254 $270,122 $278,226 PlatteRiverAssessments $0 $0 $71,000 $73,13o $75,324 ~ $77,584 $79,911 $82,308 , Water Treatment Ener Costs $0 $0 $35,000 $36,050 $37,132 $38,245 $39,393 $40,575 ~ Emer~e~_Reseroe $0 $330,000 $360;000 $370,800 ' _ $381,924 $393,382 $405,183 $417,339 SickNacation Accrual $93,512 $100,000 $100,000 $703,OOD $106,090 $109,273 $112,551 $1'15,927 TOTAL OPERATING l1SES OF FUNDS $12,121,126 $13,749,987 $14,616.731 i $15,000,978 $15,399,369 $15,808,099 $16,230,829 $16,665,099 Debt-- BRWTP 1 996 Revenue Bond; Refundin in 2005 $850,713 $851,520 $845,302 $843,810 $844,505 ~ $848,752 $854,690 $854,438 Silver Lake 1999 Revenue Bond $1,238,170 $232,330 ' $0 _ $0 $0 $0 $0 $0 Barked AMR/ Caribou 2000 Revenue 8ond $2,273,436 $396,999 $0 ~ $0 $0 $0 $0 $0 Refundin of the 1999 and 2000 Revenue Bonds $0 $31,893,155 I $3,258,354 $3,257,654 $3,253,354 $2.507,921 $2,5o6,088 $2,511,421 Lakewood Pi eline 2001 Revenue Bond $2,181,069 $2,180,919 $2,178,969 $2,180,202 $2,174,452 $2,171,885 i $2,172,302 $2,175,502 ArbiVa e Payment $0 $0 i $13,352 $0 $0 ~ $0 ~ $0 $0 Projected Bond-Boulder Res WTP Improvements $0 $0 $0 $285,000 $285,000 $285,000 $285,D00 $285,000 Pro'ectl ed Bond-NCWCD Conveyance Line $0 $0 $0 $2,285,000 $2,285,000 $2,285,000 $2,285,000 $2,285,000 Pro ected Bond-Betasso WTP Im rovements $0 $Q $0 $0 $0 $0 $465,000 $465,000 TOTAL OEBT SERVICE $6,543,328 $35,554,923 $6,295,977 $8,851,666 $8,842,311 $8,098.558 $8,568,080 8,576,361 Transfers Out- CostAllocation $1,043,443 $1,105,108 $1,149,406 $1,195,382 $1,314,920 ' $1,446,412 $1,591,053 $1,750,159 68 Plannin & Develo ment Services $167,800 $172,834 i $178,019 $183,360 $188,860 I $194,526 $200,362 $206,373 OtherTransfers $10,000 . $10,000 i $15,000 $15,450 $15,914 ! $16,391 $16,883 $17,389 TOTAL TRANSFERS OUT $1,221,243 i $1,287,942 $1,342,425 $7,394,192 $1,519,694 $1,657,329 $1,H08,298 $1,973,921 Ca ital Im rovements Pro ram- TOTAL CAPITAL USES OF FUNDS $6,041,221 $5,950,000 $8,775,000 $9,980,000 $6,000,000 $7,100,000 $8,030,000 $6,400,000 LAKEWOOD PIPELINE - 60ND $1,242,367 $0 $0 $0 SO $0 $0 $0 PROJECTED BOND - BRWTP IMP $0 $0 $0 $3,000,000 $0 $0 $0 $0 PROJECTED BOND - NCWCD CONVEYANCE $0 $0 $0 $25,000,000 $0 $0 $0 $0 PROJECTED BOND - BETAS50 WTP IMP $0 $0 $0 $0 $0 $0 $5,000,000 $0 PROJECTED BONDS - ISSUANCE COSTS $0 $0 $0 $235,000 $0 $0 $85,000 $0 ENCUMBRANCES, CARRYOVERS & MID-YRATB's $0 $9,424,188 $0 $0 $0 $0 $0 $0 TOTAL USES OF FUNDS 527,169,285 565,967,040 E31,030,133 563,461,835 a31,761,374 532,663,986 539,722,207 ;33,615,381 Eme en ReserveAd'ustment $0 $330,000 $304,000 $370,800 $381,924 $393,382 $405,183 $41T,339 SicklVacation Accrual Ad ustment $93,512 $100,000 $100,00o $103,000 $1o6,09D $109,273 $112,551 $115,927 FUND BALANCE - END OF YEAR ;52,157,441 537,753,947 $33,6T4,021 ;26,984,1B7 525,637,785 526,300,240 525,628,362 526,576,420 i Desi nated Reserves - i Bond Reserves $6,270,103 $3,068,830 'i $3,068,830 $3,068,830 $3,068,830 $3,068,830 $3,068,830 $3,068,830 Lakewood Pi line Remediation Reserve $15,283,877 $14,891,793 ~ $15,473,648 $14,036,810 $14,681,658 $15,356,131 $12,993,453 $13,590,370 ~ Lakewood/USFS Damage Claims Reserve $100,000 $100,000 $100,000 $100,000 $100,000 $100,000 I $100,000 $100,000 Vacation/Sick/Bonus Liabili $588,974 $606,643 $624,843 $643,588 $662,895 $682,782 $703,266 $724,364 Pay Period 27 - 2013 Reserve $0 $40,280 $80,560 $111,560 $142,560 $173,560 $204,560 $235,564 TOTAL RESERVES $22,242,954 $18,707,546 ', $19,347,88~ $17,960,788 $18,655,943 $19,381,303 $17,070,109 $17,719,124 SURPLUS! DEFICIT vs. DESIGNATED RESERV 529,914,487 519,046,401 E14,326,141 59,023,379 j6,981,842 56,918,936 I 58,558,253 $8,857,296 OPERATING RESERVE~GoaL• 25% of 0 eraGn 53,335,592 E3,759,482 53,989,789 54,098,792 ;4,229,766 54,366,357 E4,509,782 ¢~,659,755 CAPITAL RESERVE (GoaL y2,000,000) 52,000,000 SZ,000,000 SZ,000,000 52,OOD,DDO S2,OOD,ODO ' S2,000,000 ~ 52,000,000 . 52 000,000 SURPWS!(DEFICIT) vs. ALL RESERVES 524,578,895 513,286,918 - _ $8,336,352 52,924,587 5752,076 5552,579 5~,048,471 52,197,541 -- _.. -' __ _ -~ . - - - - " Reserve levels are based on indust standards and are maintained for revenue bonds, revenue fluctuations weather and water usa e i m ac --- ts and the ca ital intensive nature of the uti lit . $21.263,897 $18,311,744 $0 3% $732,470 4% $122,533 $72,100 $2,130,770 $2,000,000 $30,676 $47,500 $23,547,876 $21,163,814 I $2,743,297 $2,500,000 $179,853 $150,000 $5,706 $10,000 $4,035 $11,924 $2,011,351 i $850,000 $13,886 I $16,500 $0 $250,000 $0 $130,000 $19,500,000 I $0 $0 $26,051,308 $24,458,128 $29,969,732 Attachment A A B C D E F G H I J K CITY OF BOULDER 19Jun-07 _ 2008 - 2013 CAPITAL IMPROVEMENT PROGRAM WATER UTILITY FUND PROJECT NAME 2006 ACTUAL 2007 REVISED 2008 RECOMMENDED 2609 2010 PROJECTED I PROJECTED 2011 PROJECTED 2012 PROJECTED 2013 PROJECTED TOTAL Treated Water Pressure Reducin and H droele ctric Facilities Maxwell H dro/PRV Station 411342 i $0 $0 $0 $0 $0 $0 $0 $0 $0 Kohler H dro/PRV Station 411376 $0 $0 $0 $0 $0 $0 $0 $0 $0 Sunshine Hydro/PRV Station 411328 $0 $0 $0 $0 $0 $0 $0 $0 $0 Orodell H dro/PRV Station 411331 $6,116 $0 $0 $0 $0 $0 $0 $0 $6,116 Sunshine H dro/PRV Station 411347 $0 $0 $0 $0 $0 $0 $0 $0 $D Peart Street H drolPRV Station $0 $0 $0 $0 $200,000 $0 $0 $0 $200,000 Subtotal - Treated Water PRV and H dro $6,116 $0 $0 $0 $200,000 $0 $0 I $0 $206,116 _ I Water Treatment Facilities Betasso WTP 411947 $702.608 $4,537,660 $100,000 $100,000 $100,000 $500,000 $0 $0 $6,040,268 Betasso WTP - Bond Proceeds $0 $0 $0 $0 $0 $0 $5,000,000 $0 $5,000,000 Bond Issuance Costs $0 $0 $0 $0 $0 $0 $85,0~0 $0 $85,000 Boulder Reservoir WTP 411652 $69,108 $245,294 $300,000 $0 $0 $0 $0 $0 $614,402 Boulder Res WTP - Bond Proceeds $0 $0 $0 $3,000,000 $0 $0 $0 $0 $3,000,000 Subtotal - Water Treatment Facilities $771.716 $4,782,954 $400,000 $3,100,D00 $100,000 $500,000 $5,085,000 $0 $14,739,670 25 Treated Water Pum Stations Cher ale Pum Station 411010 $0 $0 $50,000 $500,000 $0 $0 $0 $0 $550,000 Boulder Reservoir Hi h Service Pum Station 411011 $0 $0 $0 $0 $0 $0 $0 $D $0 Iris Pum Station 411012 $0 $0 $100,000 $1,000,000 $0 $0 $0 $0 $1,100,000 Subtotal -Treated Water Pum Stations $0 $0 $150,000 $1,500,000 $0 $0 $0 $0 $1,650,000 Treated Water Stora e Tanks ' Kohler Stora e Tank 411671 $0 $100,000 $0 $0 $0 $0 $0 $0 $100,000 Chautauqua Stora e Tank 411672 $0 $2D0,000 $500,000 $0 $0 $0 $U $0 $700,000 Maxwell Stora e Tank 411673 $0 $0 $0 $0 $0 $0 $0 $0 $0 Betasso Stora e Tank $0 $0 $0 $0 $250,000 $0 $0 $0 $250,000 Gun6arrel Stora e Tank 411670 $0 $100,000 $0 $0 $0 $0 $0 $0 $100,000 Devil's Thumb Storage Tank 411674 $0 $0 $0 $0 $0 $0 $D $0 $0 Boulder Reservoir Stora e Tank ~ $0 $0 $0 $0 $0 $0 $0 $100,000 $100,000 Booten Stora e Tank $0 $0 $0 $0 $0 $0 $0 $0 $0 Subtotal - Treated Water Store e Tanks ~ $0 $400,000 $500,000 $0 $250,000 $0 $0 $100,000 $1,250,000 Distribution S stem RehabilitaUon I Zone Isolation Valves 411390 $124,565 $5,184 $0 $0 $0 $0 $0 $0 $129,749' Cathodic Pro;ection $0 $0 $100,000 $100,000 $0 $0 $0 $0 $200,000 Waterline Re lacement 411389 $1,789,517 ~ $2,650,247 $3 000,000 53,000,000 $3,000,000 $3,500,000 S3,500,000 I ~3,500,000 $23,939,764 Subtotal - Distribution S stem $1,914,082 $2,655,431 $3,100,D00 $3,100,000 $3,000,000 $3,500,000 $3,500,000 $3,500,000 $24,269,513 Treated Water Transmission S stem I Boulder Can on - Fourmile to Pearl 411666 $0 $0 $0 $0 $0 $0 $0 $0 $0 Sunshine Transmission Pi e $0 $0 $0 $200,000 $500,~00 $0 $0 $0 $1,000,000 Betasso to Orodell Transmission Pi I $0 $0 $0 $50,000 $200,000 $0 $0 $0 $250,000 Zone 1 Transmission Facilities 411002 $5,356 $0 $0 $0 $0 ~ $0 $0 $500,000 $505,3561 Zone 2 Transmission Faciiities 411004 $0 $0 $500,000 $0 $0 $0 $0 $0 $500,000 Zone 3 Transmission Facilities 411005 $0 $0 $0 $500,000 $0 $0 $0 $0 $500,000 Boulder Can on - Orodell to Fourmile $0 $0 $0 $0 $50,000 $500,000 $0 $0 I $550,000 Zone 2 / Zone 3 Pressure Modifications 411003 $0 $0 $0 $0 $0 $0 $0 $0 $0 Subtotal - Treated Water Transmission S stem $5,356 $0 $500,000 $750,000 $1,050,000 $500,000 $0 $500,000 $3,305,356 i Source Water Trensmission S stem I Lakewood Pi eline 411780 $93,745 $149,373 $100,000 52,100,000 $0 $0 $3,000,000 $0 $5,443,118 Lakewood Pi eline - Non-Conformin Pi e Ca 411788 $53,958 $7,080 $0 $0 $0 $0 $0 $0 $61,038 Lakewood Pi eline - Non-Conformin Pi Ope 411790 $388,717 $0 $0 $0 $0 $0 $0 $0 $388,717 _ Lakewood Pi eline Welds 411792 $0 $0 $0 $0 $0 $0 $0 $0 $0 Lakewood Pi eline SettlemenV Liti atlon 411795 $1,237,493 $1,000,000 $0 $0 $0 $0 $0 $0 $2,237,493 Lakewood Pi eline - Bond Proceeds 2001 415790 ' $1,242,367 $0 $0 $0 $0 $0 $0 $0 $1,242,367 Silver Lake Pi eline 411640 $U $0 $0 $0 $0 $0 $0 $0 $0 Source Water Transmission Pi e Ins ections $0 $0 $0 $80,000 $0 $0 $80,000 $0 $160,000' Subtotal-SourceWaterTransmissionS stem $3,016,280 $1,156,453 $100,000 $2,180,000 $0 $0 $3,080,000 $0 $9,532,733 Barker Water S stem Barker Gravi Pi eline Re air 411106 $491,207 $928,334 $750,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $7,169,541 Barker-Kossler Penstock Re air 411107 $343,751 $619,407 $0 $0 $0 $0 $0 $0 $963,158 Barker Dam Outlet 411109 $48,523 $145,422 $0 SO $0 $0 $0 $1,000,000 $1,193,945 Barker Dam Outlet - Bond Proceeds $0 $0 $0 $0 30 $0 $0 $0 $0 Barker Dam Resurface 411110 $6,055~ $0 $0 $0 $0 $0 $0 $0 $6,055 Barker H dro S stem Inte ration 411111 $171,354 ~ $1,122,354 $0 $0 $50,000 $50,000 $50,000 $50,000 $1,493,708 Barker Relicensin 411112 $81,867 $391,020 $1,800,000 $1,000,000 $0 $0 $0 $0 $3,272,887 Barker Instream Flow Release 411114 $8,067 $66,933 $0 30 $0 $0 $0 $0 $75,000 Boulder Can on to Betasso Pi eline I $0 $0 $0 $0 $0 $0 $0 $0 $0 Barker Source Water Protection $0 $0 $0 $0 $0 $0 $0 $0 $0 Subtotal - Barker Water S stem $1,150,824 $3,273,470 $2,550,000 $2,000,000 $1,050,000 $1,050,000 $1,050,000 $2,050,000 $14,174,294 83 Raw Water Stora e Reservoirs Albion Dam $0 $0 $0 $0 $0 $0 $150,000 $0 $150,000 Silver Lake Dam $0 $0 $0 $0 $0 $0 $0 $0 $0 Island Lake Dam $0 $0 $0 $0 $0 $0 $0 $0 $0 Green Lake 1 Dam $0 $0 $0 $0 $0 $0 $0 $0 $0 Green Lake 2 Dam 411627 $0 $0 $0 $0 $100,D00 $1,000,000 $0 $0 $1,100,000 Green Lake 3 Dam $0 $0 $0 $0 $0 $0 $0 $0 $0 Goose Lake Dam 411612 $0 $0 $0 $0 $0 $0 $0 $0 $0 Boulder Reservoir Dam $0 $0 $Q $0 $0 $0 $0 $0 $0 Lakewood Reservoir Dam 411981 $0 $0 $0 $0 $0 $250,000 $0 $0 $250,000 Subtotal - Raw Water Stora e Reservoirs $0 $0 $0 ! $0 $100,000 $1,250,000 $150,000 $0 $1,500,000 95 Other Raw Water Facllities Farmer's Ditch 411550 $0 $0 $0 $0 $0 $0 $0 $0 $0 Anderson Ditch 411883 $0 $0 $0 $0 $0 $0 $0 $0 $0 Instream Flow Structures and Ga in 411549 $0 $0 $0 $0 $0 $50,000 $0 $0 $50,000 Como Creek Diversion Structure 411548 $4,689 $0 $0 $0 $0 $0 $0 $0 $4,689 Lakewood Diversion Structure $0 $0 $0 $0 $0 $0 $0 $0 $0 Silver Lake Diversion Structure $0 $0 j $0 $0 $0 $0 $0 $0 $0 NCWCD Conve ance - Boulder Feeder Canal 411546 $82,565 $439,388 $0 $0 $0 $0 $0 $0 $356,823 NCWCD Conve ance - Carter Lake Pi eline 411547 $0 $250,000 ~1,000,000 $0 $0 $0 $U $0 $1,250,000 Bond Issuance Costs i $0 $0 $0 $235,000 ~ $0 $0 $0 $0 $235,000 NCWCD Conve ance - Bond Proceeds Subtotal - Other Raw Water Facilities $0 $77,876 $0 $689,388 $0 $1,000,000 $25.OQ0,000 $25,235,000 $0 $0 $0 $50,000 $0 $0 $0 $0 $25,000,000 $26,896,512 108 Source Water Pressure Reducin , Pum in and H droelectric Lakewood H droelectric 411801 $0 $0 $0 $0 $0 $0 $0 $0 $0 Silver Lake H_ydroelectric 411970 $0 $0 $0 $0 $0 $0 $0 $0 $0 Boulder Reservoir Intake and Pum in 411655 $0 $0 $0 $100,000 $0 $0 $0 $0 ~ $100,000 Betasso H dro PRV Station 411974 $0 $215,826 $0 $0 $0 $0 $0 $0 $215,826 Subtotal - Source Water PRV, Pum in and H d ro $0 $215,826 $0 $100,000 $0 $0 $0 $0 $315,826 115 Water Distribution System Ex ansion Annexation Related Water S stem Ex ansion 411433 $0 $525,000 $0 $0 $0 $0 $0 $0 $525,000 Subtotal - Water Distribution S stem Expansion $0 $525,000 $0 $0 $0 $0 $0 $0 $525,000 119 Water S stem Monitorin and Meterin Automated Meter Readin 411454 $0 $0 $0 $0 $0 $0 $0 $0 $0 Water S stem Securi U rades 411440 $88,291 $209,265 $100,000 $100,000 $100,000 $100,000 $100,000 $100.oo0 $897,556 Distribution S stem Water Quali 411425 $66,347 $260,935 $150,000 $150,D00 $150,000 $150,000 $150,000 $150,000 $1,227,282 Data Communications S stem 411435, $0 i $0 $0 $0 $0 $0 $D $0 $0 Yards Master Plan Implementation 411039 $723 $499,278 $225,000 I $0 $0 $0 $~ $0 $725,001 Utili Billin Com uter S stem Re lacemenl 411453 $341,728 $197.380 $0 $0 $0 $0 $0 $0 $539,108 Subtotal - Water S stem Monitorin and Meterin $497,089 $1,166,858_ $475,000 $250,000 $25~,000 $250,000 $250,D00 $250,000 $3,388,947 ~ TOTAL CAPITAL USES OF FUNDS $7,283,587 $14,865,380 $8,775,000 ~38,215,000 $6,000,000 $7,100,000 $13,115,000 $6,400,D00 $101,753,967 Attachment B A B C D E F G H I J K L M N O P Q R ~ CITY OF BOULDER 19Jun-07 i 2008 FUND FINANCIAL - Draft- WASTEWATER FUND 2006 ACTUAL 2007 REVISED 2008 RECOMMENDED 2009 PROJECTED 2010 PROJECTED 2011 PROJECTED 2012 PROJECTED 2013 PROJECTED UNAPPROP RIATEU FUND BALANCE Beginning of Year Fund Balance $58,066,163 $44,101,976 $10,992,065 $9.631,352 $8,040,045 $4,720,970 $4,763,259 $4,695,T78 SOURCES OF FUNDS O eratin - _ -- Sewer Char es to General Customers $11,886,243 $11,775,070 $12,506,537 $12,907,497 $13,321,311 $74,682,749 $15,889,084 i $16,876,714 Pro ected Rate Increase $0 20°~ $706,504 ~ 6% $375,196 3% $387,225 3% $1,332,131 10% $1,174,620 8% $953,345 6% $506,283 3% Surchar el Pretreatment Fees $127,243 $120,500 $131,000 $137,000 $131,000 $131,000 $131,000 $131,000 Co eneration Revenues $78,128 $80,000 $80,000 $80,000 $50,000 $80,000 $80.000 $50,000 TOTAL OPERATING SOURCES OF FUNDS $12,091,614 $12,682,074 $13,092,733 - $13,505,722 $14,864,442 $16,068,369 $17,053,429 $17,593,397 • - Non-0 eratin - Plant Investment Fees $491,189 $420,000 $450,000 $450,000 $450,000 $450,000 $450,000 $450,000 Connection Char es $15,977 $11,500 $11,500 $11,500 $11,500 $11,500 ~ $11,500 $11,500 S cial Assessments Interest on Investments Rent and other miscellaneous revenue $4,220 $2,254,268 $26,603 1 $20,000 $380,000 $27,500 $5,000 $511,131 $28,500 $5,000 $385,254 $29,500 $5,000 $321,602 _ $31,500 $5,000 $188,839 $32,500 $5,000 $190,530 $34,5Q0 $5,000 $187,831 $36,500 Sale of Real Estate - Yards Maste lan $0 $125,000 $0 $0 SO $0 $0 $0 Pro'ected Bond - VWVfP Imp! Biosolids Di ester TOTAL NON-OPERATING SOURCES OF FUNDS $0 $2,792,257 $0 $984,000 $0 $1,006,131 I $0 $881,254 $13,205,000 $14,024,602 $0 $687,839 $0 $691,530 $0 $690,831 TOTAL SOURCES OF FUNDS 314,883,871 573,666,074 514,098,865 S14,386,976 SZ8~889~044 516,756,208 $17,744,959 578,284,228 USES OF FUNDS 0 eratin Ex nditures- Administration Plannin andProectMana emeM $351,803 $200,556 $505,244 $323,974 $465,237 $331,248 $479,194 $341,186 $493,570 $351,422 $508,377 $361,965 $523,628 $372,824 $539,337 $384,008 Wastewater Qualit & Environmental Svcs $810,675 ~ $833,738 $862,119 $887,983 $914,622 $942,061 $970,323 $999,432 S stem Maintenance $1,257,647 ~ $1,529,994 $1,602,495 $1,650,570 $1,700,087 $1,751,090 $1,803,622 $1,857,731 WastewaterTreatment $3,979,521 ' $4,445,351 $4,720,982 $4,862,611 $5,008,490 $5,158,744 $5,313,507 $5,472,912 Com nsation Ad'ustment $0 $0 $29,084 $30,029 $31,005 $32,013 $33,053 $34,127 Pro osed Action Plan Ad ustments- ' WVYfP Im rovements WVVfP Im rovements - 2010 Im rovements $0 $U $0 $0 $506,000 $0 $521,180 $0 $536,815 $0 $552,920 $210,000 ~_ $569,507 $216,300 $586,593 $222,789 WWTP Biosolids Di ester $0 $0 $0 $0 $0 $65,000 $66,950 $68,959 Emer enc Reserve $0 $240,000 $250,000 $257,500 I $265,225 , $273,182 $281,377 $289,819 SickNacation Accrual $53,260 $75,000 $75,000 $77,250 $79,568 i $81,955 $84.413 $86,946 TOTAL OPERATING USES OF FUNDS $6,653,462 $7,953,301 $8,842,166 $9,107,504 $9,380,804 ' i $9,937,306 $10,235,505 $70,542,652 Debt- VJWTP Im rovements 2005 Revenue Bond 2005 Refundin of the 1992 Marshall Landfill Bonc Arbitra e Pa ment Pro ected Bond - WWTP Biosolids Di ester Pro ected Bond - VWVfP Improvements $3,504,466 $168,713 $0 $0 $0 I $3,574,833 $169,621 $0 $0 $0 $3,565,944 $170,057 $30,583 $0 $0 $3,557,523 $170,331 $0 $0 $0 $3,556,583 $165,456 $0 $285,000 $920,000 $3,550,367 _ _ $165,568 $0 $285,000 $920,000 $3,546,533 $175,454 $0 $285,000 $920,000 $3,544,883 $0 $0 5285,000 5920,000 ~ ' _ TOTAL DEBT SERVICE $3,673,179 $3,744,454 $3,766,5&4 $3,727,854 $4,927,039 $4,920,935 $4,926,987 $4,749,883 Transfers Out- ' CostAllocation $736,024 $756,926 $787,268 $818,758 $900,634 $990,697 $1,089,767 $1,198,744 Plannin & Develo ment Services $168,310 $173,360 $178.560 $183,917 $189,435 $195,118 $200,972 $207,001 TOTAL TRANSFERS OUT $904,334 $930,286 ~ $965,828 $1,002,675 $1,090.069 $1,185,815 i $1,290,739 $1,405,745 I -- j - Ca ital Im rovements Pro ram- ~ TOTAL CAPITAL USES OF FUNDS $1,124,219 $950,000 $2,210,000 $2.475,000 $3,950,000 $1,025,000 $1,725,000 $1,375,000 BOND-WWTP IMPROVEMENTS $16,546,124 $29,669,048 $0 $0 $0 $0 $0 $0 PROJECTED BOND-BIOSOLIDS DIGESTER $0 $0 $0 $0 $3,000,000 $0 $0 $0 PROJECTED BOND-W1NTP IMPROVEMENTS $0 $0 30 $0 $10,000,000 $0 $0 $0 BOND - ISSUANCE COSTS $0 $0 $0 $0 $205,000 $0 $0 $0 CARRYOVERS, ENCUMBRANCES & MID-YR ATBs $0 $3,843,896 $0 $0 $0 $0 $0 $0 - I TOTAL USES OF FUNDS 528,901,318 547,090,985 515,784,578 516,313,033 532,552,912 517,069,056 518,178,231 518,073,280 Emer enc ReserveAd'ustment SickNacation Accrual Ad'ustment $0 $53.260 $240,000 $75,000 $250,000 $75,000 $257,500 $77,250 $265,225 $79.568 $273,182 $81,955 $281,377 $84,413 $289,819 $86,946 FUND BALANCE - END OF YEAR 344,101,976 S10,992,065 $9,631,352 i8,040,Od5 54,720,970 54,763,259 54,695,7T8 55,283,490 -- Designated Reserves - I Bond Reserves $170,250 j $170,250 $170,250 $170,250 $170,250 $170,250 $170,250 $170,250 SickNacation/Bonus Liabili $623,645 $642,354 $661,625 $681,474 $701,918 $722,975 $744,665 $767,005 Pa Period 27 - 2013 Reserve $0 $29,580 $59,160 $83J60 $108,360 ~ $132,960 $157,560 $182,160 TOTAL RESERVES $793,895 $842,184 , $891,035 $935,484 $980,528 ' i $1,026,185 $1,072,475 $1,119,415 --- L ~ -- , I - - -- -- . _ I - SURPLUS! DEFICIT~s. DESIGNATED RESERVE 343,308,081 $10,149,881 58,740,377 E7,104,561 $3,740,442 $3,737,073 53,623,303 $4,164,075 OPERATING RESERVE (Goal:25% of Operating) "; $1,889,449 ~ $2,220,897 g2,451,999 $2,527,545 52,617,718 52,780,780 52,881,561 =2,987,099 CAPITAL RESERVE (Goal: $500,000) I $500,000 i $500,000 5500,000 S500,000 5500,000 5500,000 $500,000 $500,000 SURPLUS/(DEFICIT) vs. ALL RESERVES b40,918,632 $7,428,984 55,788,318 54,077,017 $622,724 5456,293 5241,742 E676,976 I ' Reserve levels are based on indust standards and are maintained for revenue bonds, revenue fluctuations weather and water usa e im acts and the ca ital intensive nature of the utilit~ Attachment B A B C D E F G H I J K ~ CI7'Y OF BOULDER , _ _ 19JunA7 { Q 2008 - 2013 CAPITAL IMPROVEMENT PROGRAM i 3 WASTEWATER UTILITY FUND __ I ~ 2006 2007 2008 20D9 2010 2011 2012 I 2013 PROJECT NAME ACTUAL ! RECOMMENDED, PROJECTE~ PROJECTED I REVISED PROJECTED PROJECTED PROJECTED TOTAL I WastewaterTreatment ' - WWTP Pum s 421339 $0 I - --; - $0 $0 $0 $0 - $~00,000 $0 _ ___ _ _ ----- $0 $~00,000 WNlfP Permit Impravements 421617 , $0 $154,341 $200,OU0 $1.000,~00 ~ $0 $0 $0 $200,000 $1,554,341 Lower Boulder Creek Enhancement 421661 $0 $~ $0 $0 $0 $0 $0 $0 __ 50 VNNfP Headworks 421U03 $0 $100,000 $0 $0 ' $0 $0 $0 $0 $100,000 WWTP Instrumentation/Control 421437 $0 $0 $0 $0 ' $0 $0 $0 $0 $0 WWTP Electrical 421439 $0 $0 i $0 $0 $0 $0 $0 $100,600 $100,000 WWTP Tricklin Filters 421001 I $0 $0 $0 $0 $0 _ $0 $0 $0 $0 WW iP Solids Contact 42135T i $0 $100,000 $0 $0 $0 $0 $0 $0 $100,000 W1ArfP Primary Clarifiers 421005 $0 $0 $0 _ ~ $0 I $0 $0 $300,000 $0 $300,000 WWTP Secondary Clarifiers 421006 $170,837 VWVfP Effluent Outfall Relocation I 421441 $0 _ $0 $0 $0 $0 $150,000 $0 $0 $0 $0 $0 $0 $0 _ $0 $320,837 $0 50 WWfP Permit Improvements - Projected Bond 425xxx $0 $0 $0 $0 $10,000,000 $0 ! $0 $0 $10,000,000 WWTP Permit Improvements - Bond Proceeds 423900 $16,546,124 Bond Issuance Costs ~ 423998 ! $0 Subtotal - Wastewater Treatment Plant $16,716,961 ~ $29,669,048 $0 $0 $0 $30,023,389 $260,000 $0 $0 $1,150,000 $D $205,000 $10,205,000 $0 ~ $0 $0 $0 $100,000 $300,000 $0 $46,215,172 $0 I $205,000 $3~0,000 I $58,995,350 Marshall Landfill I I Marshall Landfill $0 $0 $0 $0 ! $100.000 ' $0 I $0 $0 $100,000 Subtotal - Marshall Landflll $0 $0 $0 $0 i $10Q000 $0 I $0 $0 $100,DD0 Biosolids Recyclin - -- - - Biosalids Compostin~ ~ 421675 $0 $716,334 ~ $U $0 $0 $0 $0 $0 $716,334 - - - - - Biosolids Handlin 8 Dewaterin I 421670 $0 - $985,654 $1,200,000 - $0 $0 $0 $0 $0 $2,185,654 WV~ffP Biosolids Digester 421671 ' $85,090 $164,910 $5~,000 $600.000 $3,000,000 $0 ~ $D $0 ~ $3,900,000 VW+lTP Biosolids Di ester - Band Proceeds 424xxx $0 _ $0 $0 $0 ~ $3,000,000 $0 $0 $0 $3,000,000 WWTP Cogeneration 421329 $0 $0 $0 $75.000 $0 $0 $125,000 $0 $200,000 WWTP Di ester Com lex ! _ 421007 $0 $0 ~ $0 $0 i $0 $0 $0 $0 ~ $0 WWTPDi~esterCleanin~ 421360 $0 $0 $0 _ $0 $0 $0 $150,000 $0 $150,000 Bond Issuance Costs ~' 424rocx; $0 $0 $0 $0 $0 $0 $0 $0 $0 Subtotal - Biosolids Recycling ~ $85,090 $1,866,898 $1,250,000 $675,000 $6,OOU,000 $0 $275,000 $0 $10,151,988 -- -- - -- - --- - -- - --- Wastewater System Monitoring and Metering __ _ ~ Yards Master Plan Implementation 421039 $0 $250,000 $110,000 $0 $0 $0 $0 $0 i $36o,040 Automated Meter Readin~ 421548 $0 $0 $0 $0 $0 $0 $U $0 I $0 _ Utfli Billin Com uter S stem Re lacement 421453 $351,2Q0 $191,849 $0 $0 $0 $0 $0 $0 ' $543,049 Subtotal - Monltorin~ and Metering $351,260 $441,849 $170,OU~ $0 $0 $0 $0 $903,049 $0 _ - _ _ _ _ -- Collection and Conve~ance System Rehabiliqtion f Collection S stem Monitorin 421450 $0 $0 $0 $0 $0 $0 5150,000 $0 ! $150,000 3anit~ Sewers ~ ~ 421002 $267,374 $813,132 $550,000 $550,000 , $750,000 ~ S825,000 5900,000 $975,000 ' $5,630,506 Sewer Manhole Rehabilitation 421454 $242,611 $157,201 ~ $100,000 $100,000 $100,~00 i $100,000 I $100,000 $100,000 $999,812 Broadway Sanitary Sewer 421004 $0 $0 $0 $0 $0 $0 $0 $0 $0 IBM Pum Station 421521 $0 r $0 $0 $0 $0 $0 $0 $0 50 Subtotal - Sewer System Rehabilitation $509,985 $970,333 $650,OOU $650,DQ0 $850,OD0 $925,000 $1,150,000 $1,075,000 $6,780,318 ~ I _ - - - Wastewater System Expansion Annexation Related WW S stem Expansion 421436 - $7,107 ! $717,893 $0 $0 $0 $0 , $0 $0 i $725,000 Subtotal - Wastewater System Expansion I $7,107 ' $717,893 $0 $0 $0 $0 I $0 $0 $725,000 - I ___ _ TOTAL CAPITAL USES OF FUNDS $17,670,343 $34,020,362 $2,210,000 $2,475,000 $17.155,000 $1,025,000 $1,725,000 $1,375,000 $77,655,705 Attachment C q B C D E F G H I J K L M N O P Q R CITY OF BOULDER ~ 19Jun-07 - 2008 FUND FINANCIAL STORMWATER AND FLOOD MANAGEMENT UTILI - - TY F UND -Draft- 2006 2007 2008 2009 2010 2011 2012 2013 i ACTUAL REVISED R ECOMMENDED PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED UNAPPROP RIATED FUND BALANCE BeginningofYearFundBa~ance $9,361,428 $9,121,411 $5,770,442 $3,428.055 $3,396,132 $3,359,236 $3,352,977 $3,368,041 , SOURCES OF FUNDS O ratin -- I Service Char e Fees $4,588,721 $4,518,297 $4,663,154 $4,812,654 $4,966,948 $5,175,957 $5,341,898 $5,513,160 Pro'ected Rate Increases $0 3°k $135,549 39'0 $139,895 3% $144,380 3% $198,678 4% $~55,279 3°/, $160,257 I 3% $165,395 i 3% TOTAL OPERATING SOURCES OF FUNDS $4,588,721 $4,653,846 $4,803,048 $4.957,034 _ 55,165,626 $5,331,236 i $5,502,155 $5,678,555 i, _ Non-O eratin -- PlantlnvestmentFees $497,558 $540,000 $500,000 $500,000 $500,000 $500,000 $500,000 $500,000 Urban Draina e District Funds Colorado De i of Trans ortaion Funds $860,229 $0 $485,000 $1,722,000 $500,000 $1,529,000 $500,000 $500,000 $0 $0 $500,000 $0 i 5500,000 $0 $500,000 $0 Scate 8 Federal Grants $10,080 ~ $0 $0 $0 $0 $0 $0 $0 Interest on Investments $404,063 $225,000 $240,426 $137,122 $135,845 $134,369 $134,119 $134,722 Inte ovemmental Transfers WASH Pro ram $126,023 $~09,252 $123,600 $127,308 $131,127 $135,061 $139,113 I $143,286 Rent and other miscellaneous revenue $50,094 $17,000 $31,000 $31,o00 $31,000 $31,0o0 $1,000 i $1,000 Sale of Real Estate - Yards Maste lan $0 $125,000 $0 $0 $0 $0 $4 $0 Proiected Bond - South Boulder Creek TOTAL NON-OPERATING SOURCES OF FUNDS $0 $1,948,047 $0 $3,183,252 $0 $2,924,026 $0 $1,295,430 $3 085,000 $4,382,973 $0 $1,300,430 $0 $1,274,232 $0 $1.279,008 TOTAL SOURCES OF FUNDS 56,536,T68 57.837,098 57,727.074 56,252,464 58,548,599 ~,631,666 56,776,387 S6,9S7,562 USES OF FUNDS I . . O eratin Ex enditures- Administration $260,879 $384,150 $362,204 $383,370 $394,871 $406,717 $418,919 $431,486 Plannin and Pro'ect Mana ement $1,174,407 $943,800 $953,114 $981,707 $1,011,159 $1,041,493 ' $1,072,738 $1,104,920 StormwaterConVactMana ement $53,849 $46,129 $47,052 $48,464 $49,917 $51,415 $52,957 $54,546 StormwaterQuali andEducatlon $761,544 $795,950 $891,462 $871,856 $898,012 $924,952 $952,700 $981,281 I ~ S stem Maintenance $605,843 $688,754 $724,625 $746,364 $768,755 $791,817 ' $815,572 $840,039 Com ensation Ad'ustment $0 $0 $18,244 $18,837 $19,449 $20,081 $20,734 $21,408 j Emer enc Reserve $0 $84,000 $90,000 $92,700 $95,481 $98,345 $101,296 $104,335 SickNacation Accrual TOTAL OPERATING USES OF FUNDS $42,408 $2,814,114 $40,000 $2,982,783 $50,000 $3,136,701 $51,500 $3,194,798 $53,045 $3,290,689 $54,636 $3,389,458 $56,275 $3,491,192 $57,964 $3,595,979 Debt-- Goose Creek/BVRC 1998 Revenue Bond $805,158 ~ $806,309 $806,273 $870,029 $1,126,036 ! $493,531 $491,872 $494,288 Pro'ected Bond - South Boulder Creek $0 $0 ~ $0 $0 $285,000 ' $285,000 $285,000 $285,000 Crawford Pro rty Ac uisiGOn $'114,539 $0 I $0 $0 $0 $0 $0 $0 TOTAL DEBT SERVICE $919,697 $806,309 $806,273 $81D,029 $1,411,036 $778,531 $776,872 $779,288 I Transfers Out-- I CostAllocation $156,776 $182,544 $189,861; $197,456 $217,2D2 $238,922 $262,814 $289,095 Plannin &Develo mentServices $101,448 $104,49'I $107,626 $110,855 $114,180 $117,606 $121,134 $124,768 OtherTransfers $10,000 $10,000 $~S,ODD $15,450 $15,914 $16,391 $16,883 $17,389 TOTAL TRANSFERS OUT $268,224 $297,035 $312,487 $323,761 $347,296 $372,919 $400,831 $431,252 Ca ital Im rovements P rem- TOTAL CAPITAL USES OF FUNDS $2,732,342 $2,150,000 $5,354,000 $2,100,000 $1,600,000 $2,250,000 $2,250,000 $2,250,000 PROJECTED BOND - SOUTH BOULDER CREEK $0 $0 $0 $0 $3,000,000 $0 $0 $0 PROJECTED BOND - ISSUANCE COSTS $0 $0 $0 $0 $85,000 $0 $0 $0 ENCUMBRANCES, CARRYOVERS & MID-YR ATBS $0 $5,675,940 $0 $0 $0 $0 $0 $0 TOTAL USES OF FUNDS 56,734,377 511,912,067 ;9,608,461 56,428,587 59,734,020 56,790,907 Sg.918,894 57,056,520 Emer enc Reserve Ad'ustment Sick/Vacation Accrual Ad'ustment $0 $42,408 $84,000 $40,000 $90,000 $50,000 $92,700 $51,500 i $95,481 , $53,045 ~ $98,345 $54,636 $101,296 $56,275 $104,335 $57,964 I FUND BALANCE - END OF YEAR 59,121,411 55,170,442 ZS,428,055 53,386,132 E3,359,236 $3,352,977 53,368,041 53,431,382 I Desi nated Reserves - Bond Reserves $824,7'IS ~ $824,715 $824,715 $824,715 $824,715 $824,715 $824,715 $824,T15 Post Flood Pro e Ac uisition $1,050,000 $1,050,000 $1,050,000 $1,050,000 $1,050,000 $1,050,000 $1,050,000 $1,050,000 SickNacation/Bonus Liabilit $127,049 $130,860 $134,786 $138,830 $142,995 $147,285 _ $151,703 $156,254 Pa Period 27 - 2013 Reserve $0 $9,230 $18,460 $25,660 $32,860 $40,060 I $47,260 554,460 TOTAL RESERVES $2,001,764 $2,014,805 $2,027,961 ~ : $2,039,205 $2,050,570 $2,062.060 - $2,073,678 $2,085,429 -- . ~ - --- - - _ _ SURPLUS!(DEFICIT) vs. DESIGNATED RESERVE 57,119,647 E3,155,637 5~,400,094 , • 57,356,927 - S'1,308,666 -- _ $1,29Q917 . _ b1,294,363 ~ 51,345,953 OPERATING RESERVE ~Goal: 25°h of Operetingp 5770,585 ~ 19,955 SS b862,297 _ 5879,640 5909,496 5940,594 5973,006 51,006,808 CAPITAL RESERVE (Goal: 5200,000) i 5200,000 _ I _ 5200,000 520Q000 5200,000 5200,000 ' S200,000 , E200,000 5200,000 SURPLUS!(DEFICIT) vs. ALL RESERVES 56,149,063 SZ,135,682 b337,79T 5277,287 5199,170 __ 5150,323 i 5121,357 5739,145 ~ ~ ' Reserve levels are based on indust standards and are maintained f or re venue bonds an _ d the ca ital intensive n ature of the utilit . Attachment C A B C D E F G H I J K ~ ~ CITY OF BOULDER I 19-Jun-07 2 j 2008-2013 CAPITAL IMPROVEMENT PROGRAM - Draft - - 3 STDRMWATER AND FLOOD MANAGEMENT UTILITY FUND I _ _ - -- 2006 2007 2008 2009 2010 2011 2012 2073 PROJECT NAME ACTUAL REVISED RECOMMENDEC PROJECTED I PROJECTED PROJECTED PROJECTED PROJECTED TOTAL MajorDrainageways_ Elmer's Two-mile Creek _ 431332 $19,436 I ~ _~ $1,833,541 I _- _ 53,529,000 ~ I SO ' $0 __ _ $0 ~ __ $0 I _ $0 $5,381,977 Goose Creek 431710 $0' $0 _ $0 $0 $0 $Oj $0 $0 $0 South Boulder Creek - 431202 _ $74,981 $128,779 -- $150,000 - - $300,000 , ~u0 $0 - --- $0 $0 -- - $653,760 - South Boulder Creek - Bond Proceeds $0 $0 $0 ' ~ $0 j $3,000,000 $0 _$0 $0 $3,000,000 Bond Issuance Costs $0 $0 $0 $0 $85,000 $0 $0 _ $0 _ $85,000 Four Mile Canyon Creek 431729 $149,404 $921,560 ~232,500 $250,000 $250,OC0 $250.000 $250,000 , $250,000 $2,553,464 BearCreek 431010 $0 I $0 $0 $0 $0 _ $0 $0 $0 $0 Gregory Creek 431702 ~ $0 ~ - - $0 $0 $0 $0 $0 ~ $0 _ $0 $0 Boulder Creek 431015 $0 ~ -~- $100,000 $100,000 - - $0 - $0 $0 - $0 -- - $0 - - $200,000 Wonderland Creek 421003 $0 , $350 000 $232,500 I $250,000 i 525~.000 $500,000 ~500,000 $500 000 $2,582,500 431009 Wonderland Creek - Dia onal Hi hwa Under 9 9 Y - -- $100,615 ' $D $0 ~ $0 $0 $0 $0 $0 ' $100,615 Y . Preflood Acqwsition 1 431622 $1,045,012 $500 000 $500,000 $500,000 $500,000 $500,000 ! $500,000 ' $540,000 $4,545,012 ~ Greenwa s Pro ram 431630 $73,045 $595,121 $150,00~ $150,000 $150,000 $150,000 $150,000 $150,000 $1,568.166 Subtotai - Major Drainageway Im~rovements $1,462,493 $4,429,001 $4,894,000 $1,450,000 $4,235,000 $1,400,000 $1,400,000 $1,400,000 $20,670,494 ~ - - Miscellaneous Yards Master Pian Implementation 431039 ' $11,000~ $239,000 $110,000 $0 $0 $0 ~ $0 $0 $360,000 Utility Billing Computer System Replacement 1431453 $182,236 $99,695 $0 $0 $0 $0 $0 ! $0 $281,931 Subtotal - Miscellaneous Drainage Improvements $193,236 $338,695 $110,000 $0 _ $0 $0 $0 $0 $641,931 Stormwater Management Upper Goose Creek Drainage _ 431459 $0 i $0 $0 ~ $0 $100,000 i $500,000 $500,000 $500,000 $1,600,000 _ y p Stormwater Qualit Im rovements 431775 ~ $0I $100,000 _ $50,000 $50,000 $50,000 ~ $50,000 $50,000 $50,000 $400,000 Broadway Storm Sewer __ S;om~ Sewer Rehabilrtation 431013 $0_ $0 $0 $0 $0 $50,000 ; $300.000 j 350.000 I ~ $0 I $50,000 I $0 550,000 I $0 $50,000 $OJ 550,000 f_ $300,000 _ $300,000 Bouider Transit Villac~e BVRC Redevelopment 431704 $0 ' $964,613 ~ $0 _$331,783 $0 $0 $0 ~ ~ $0 $0 I $0 ~ __ _ $0 $0 , $0 , $0 $0 $0~ ~ $0 $1,296,396 Transportation Coordination 431780 $112,000 $388,000 $250,000 $250,000 $250,000 I $250,000 $250,000 $250,000 $2,000,000 Subtotal - Localized Drainage Improvements $1,076,613 $819,783 _ $350,000 $650,000 _ _ $450,000 $850,000 __ $850,000 $850,000 $5,896,396 TOTAL CAPITAL USES OF FUNDS - $2,732,342 $5,587,479 $5,354,000 - -- ; $2,100,000 $4,685,000 - - ~ $2,250,000 $2,250,000 -- $2,250,000 $27,208,821 - Attachment D SUMMARY OF THE 2008-2013 UTILITIES DNISION CAPITAL IMPROVEMENT PROGRAM June 13, 2007 OVERVIEW The overall program and funding priorities are reflected in the staging and timing of projects over the 6 year Capital Improvement Program (CIP) time period. The following primary factors were considered in determining the overall program and funding priorities: Water and Wastewater Utility 1. Reliabiltty of water and wastewater collection, delivery and treatinent 2. Water quality and other environmental regulations 3. Worker health and safety 4. Opportunity to collaborate with other city projects, i.e., transportation 5. PotenYial for operation and maintenance cost savings 6. Accommodating new growth and development Stormwater and Flood ManaQement Utilitv 1. Property damage or safety hazard mitigation 2. Water quality and other env~ronmental regulations 3. Worker health and safery 4. Opportuniry to collaborate with other city projects, i.e., transportation 5. Potential for operation and maintenance cost savings 6. Accommodating new growth and development No effart has been made in developing the CIP to target improvements in a certain geographic area. POLICY ISSUES There are no policy issues related to the CIP this year. HIGHLIGHTS Highlights of the proposed CIP are as follows: Water UhhtyProjects Contmued emphasis on the rehabilitation and iinprovement of the city's existing water system infrastructure continues, especially in the area of the city's deteriorated water distribution systetn. This is reflected in the significant fundmg for on-going waterline replacement that has been increased in 2008 as well as several other rehabilitation projects for various water system facilities. 2. Additional funds have been allocated for repair and rehabilitation of the Lakewood Pipeline. Staff is planning to inspect the existing pipe this fall and evaluate various repair and rehabilitation alternatives. Additional funding for the Barker Water Systein has been allocated. Repa~rs to this water system are necessary to assure safe and reliable water deliveries to the Betasso Water Treahnent Plant (WTP) from Barker Reservoir. Priority work includes 1) repairs to the Barker Gravity Pipeline including potential slip linmg or portions of the pipe, 2) repairs and further integration of the Barker hydro equipment and appurtenances and 3) working with the Federal Emergency Regulatory Commission (FERC) to convert the cunently licensed project to a license exempt project by submitting an application that will require much technical and legal analysis and supporting documentation. 4. Funding has been allocated for improvements to the Boulder Reservoir WTP. This work ~s necessary to expand the treatment capaciry and comply with federal Safe Drinking Water Act regulations. Work at the Boulder Reservoir WTP (and Boulder Reservoir Intake and Pumping, Iris Pump Station and Cherryvale Pump Station) currently scheduled in 2009, was prompted by staff review of the city's water delivery system in light of the 2002-2004 drought. Water from the Northern Colorado Water Conservancy District (NCWCD) Colorado Big-Thompson Project will play an increasingly important role in the city's overall water system deliveries. This water is treated and delivered through these facilities and expansion of the treatment capacity is necessary due to this situation. 5. Funding has been allocated far the next phase of iinprovements to the Betasso WTP and major improvements are anticipated in 2012. A recent analysis indicates that existmg treatment processes will be adequate to meet water demands in compliance with federal Safe Drinking Water Act regulations until that time. 6. Funding has been aliocated far the NCWCD Conveyance - Carter Lake Pipeline project in 2009. Whercas water conveyed by the Boulder Feeder Canal is subject to water quality concerns, water c~nveyed by a pipeline would be protected from contaminant risk. The NCWCD completed a feasibility study for a new pipeline from Carter Lake m 2006. The city is currently participatmg in the NCWCD sponsored permitting process along with other water providers. Staff initiated an evaluation of various water source protection and treatment alternatives and this is currently being rev~ewed by the WRAB. The City is also pursuing Federal funding for this project. Wastewater Utilitv It is anticipated the Colorado Department of Public Health and Environment will issue a revised discharge permit in 2008 for tl~e city's Wastewater Treahnent Plant. The new discharge pennit may include more restrict~ve limits for aminonia and other nitrogen based compounds_ Fundmg has been allocated in 2007-2010 for additional treaunent improvements. Additional funding is recommended m 2008 for the Biosolids Handing and Dewatering project. Staff recently completed a study of the centrifuge return water (centrate) after problems with existing piping. The study recommends that the existing piping be abandoned and the centrate stored and redirected to the plant headworks. 3. Funding far the Biosolids Digester project has been reduced because recent analysis suggests that a new smaller digester in combination with the existing digesters will adequately meet the biosolids stabilization criteria needed for land application. Stormwater and Flood Manageinent Utility Additional funding for Elmer's Two-mile Creek is recommended in 2008 and a previous funding allocation in 2009 has been eliminated. Recent appraisals for property acquisition are higher tban originally expected and staff believes it will be more efficient to construct the improvements as one large project rather than in pbases as originally planned. Utilities funds will be leveraged with Federal Transportation Improvement Project (TIP) funds and it is important that this project be completed m a timely manner so that the TIP funding is not jeopardized. TIP funding in the amount of $1,529,000 is included in the 2008 Stormwater and Flood Management CIP. This project is being coordinated by the city's Greenways Program. 2. Money allocated for flood mitigation work along Fourmile Canyon Creek and Wonderland Creek has been reduced and/or delayed. This money will be used for property acquisition and l~mited construction projects until decisions are reached through the on-going flood mitigation planning process. It is anticipated the results of this planning process w~ll be available in the fall of 2007. All projects are being closely coordinated with the city's Greenways Program and Transportation Division. The South Boulder Creek Flood Mapping Study is complete and will be submitted to FEMA in the near future. The mapping study results will become the basis for future floodplain inanagement, initigation plannmg, regulatory restrict~ons and flood insurance requirements for the South Boulder Creek corridor. FEMA review will take nine to12 months. Funding for flood mitigation plannmg is recommended m 2008_ It is anticipated the mitigation planning will be completed in 2009 and construction of mitigation improveinents will begin in 2010. It is anticipated that the focus of these efforts would be to primarily mitigaYe the impacts of flooding in the West Valley, where flood impacts were previously not identified and substantial urban development has smce occurred. It is also important that flood mitigation planning be coordinated with the U.S. 36 Conidor Improvements-EnvironmenYal Impact Statement. The ciry is also pursuing Federal funding for this project. 4. Staff recently comp(eted work on the Stormwater Master Plan (SMP). The SMP focused on localized drainage and water quality problems. Numerous deficiencies and potential solutions were idenhfied, the highest prionty being Upper Goose Creek Drainage. Funding allocarions in 2010-2013 have been increased for the project, although additional benefit-cost analysis will be performed before a decision is made to move forward with the construction. MASTER PLANNING Master Planning is an element of the decision making process for proposed CIP projects. H~storically, master plans focused on service area growth and its impact on related utility infrastructure needs. At this point in time, growth is not as ~mportant an issue as the need to rehabilitate and address deficiencies in the existing infrastructure. Identification of these issues occurs on an on-going basis and is documented in the Utilities Division Annual Reports as well as on-going studies and reports. Master plan summaries are provided in the Boulder Valley Comprehensive Plan and were recently updated. At this point in time ex~sting master plans provide an adequate basis from which to formulate the CIP in conjunction with other information. The Treated Water Master Plan was updated in 2000 and Wastewater Collection System Master Plan in 2003. An update to the Wastewater Treatment Master Plan was recently completed. The Comprehensive Flood and Stormwater (CFS) Master Plan was updated in 2004 and the Stormwater Master Plan was recently completed. The relationship of each CIP project to the master plans and studies is presented in the detailed project descriptions. The Utiliries Division will update these master plans consistent with the city's Business Plan over the next several years. The Business Plan calls for a separate master plan for each of the Utilities Division three restricted funds. It is anticipated the current Wastewater Treatment Master Plan and Wastewater Collection System Master Plan will be merged as the Wastewater Utility Master Plan and work on this will begin in 2007. The Water Utiliry Master P(an and Stormwater and Flood Management Utility Master Plan will follow. Recent changes to the Boulder Valley Comprehensive Plan including land use des~gnations are not extensive and so no major changes to exisring Utilities Dtvision master plans are required. Aspects that are inore important to the Utilities Division CIP planning include the rate of deterioration of existing infrastructure as well as changes tn water related regulations and technologies. FINANCING Each of the ciry's utiliry funds is established as a separate enterprise fund designed to finance and account for each utility's facilities and services. Funding for the Urilities Division capital improvement program is derived primarily from monthly utiliry fees. In addition to the monthly urility fees, significant revenue sources include Plant Investment Fees (PIFs), from new development or redevelopment and hydroelectric sales to Xcel Energy. Sales from monthly utility fees are variable and reflect the overall growth of the service area and yearly weather fluctuations. Other revenue sources mclude reimbursements from the Urban Dramage & Flood Control District (for stonnwater/ flood management projects), state and federal grants, and revobmg loans from the Colorado Department of Public Health and Environment (none anticipated at this time). These revenues are project specific and are highly variable depending on the external agency's funding situation and priorities. Currently, the following projects are anticipated to qualify for such revenues: Stormwater and Flood Management - Elmer's Two-mile Creek Stormwater and Flood Management - Preflood Acquisition If the above mentioned funds are insufficient, projects will be funded by issuing revenue bonds with the debt service financed by general utility charges. For the years 2008-2013, it is anticipated that new bonds will be issued for the following projects: • Water - Boulder Reservoir WTP (2009) • Water - NCWCD Conveyance - Carter Lake Pipeline (2009) • Water - Betasso WTP (2012) • Wastewater - Biosolids Digester (2010) • Wastewater - WWTP Improvements (2010) • Stormwater and Flood Management - South Boulder Creek (2010) Utilities Division staff will complete the evaluation of the proposed CIP on rates in conjunction with the development of the 2008 operating budget. Rate increases are cunently projected as follows: • Water Utility: 2007 - 4 percent • Wastewater Utility: 2007 - 3 percent • Stonnwater and Flood Management Utility: 2007 - 3 percent CONSTRUCTION INFLATION Construction inflation is tracked using the Engineering News Record (ENR) Cost Index for Denver and the Colorado Department of Transportation (CDOT) Colorado Construction Cost Index. The ENR index is a composite index based on costs for: 1) local portland cement, 2) local 2x4 lumber, 3) national structural steel, and 4) local union wages plus fringes for carpenters, bricklayers and iron workers. The CDOT index is a composite index based on costs for 1) unclassified excavation, 2) hot bituminous paveinent 3) concrete pavelnent, 4) stnictural steel and 5) reinforcing steel. The ENR index indicates construction costs have increased 22.5 percent during the past five years; the CDOT index indicates an increase of almost 50 percent during the same period of time. The ENR index is more reflective of equipment and building construction such as at the treat~nent plants. The Colorado cost index is more reflective of heavy civil construction such as roadway and major drainageway work. The following graphs depict the cumulative percent change in these indices. Cummulative Percent Chenge In CDOT Colorado Constructlon Cost Index eooo~ ~ _ so.oo~ 40 00% 0 g ~ ao a ~ E p~ ~ u Y 10.00% 8 0 oox ,o oox zo oox Year Cummuiative Percenl Change in ENR Cost h~dex fw Oemer ~ c" v 3 ~ e E ~ ~ ~ 100Q 1W3 ZUD~ 200.5 1000 Ver PUBLIC PROCESS AND ADVISORY BOARD ACTION The preliminary CIP was discussed at the Water Resource Advisory Board (WRAB) on May 21, 2007. A public hearing with the WRAB is scheduled for June 18, 2007. Attachment E 2008 Utility Staffing Levels Pro ram ! Water Wastewater Stormwaterl Flood Total Administration Division Administration 2.50 1.35 1.15 5.00 Billing Services 2.85 1.66 124 5.75 Support Services 0.66 0.42 ' 0.44 1.52 subtotal 6.01 ; 3.43 2.83 12.27 Planning and Project Management Planning and Project Management 5.92 ', 226 3.48 11.66 Flood Management 0.75 _ 0.75 subtotal 5.92 2.26 4.23 12.41 Water Resources Water Resources Operations 2.00 2.00 Watershed Operations 2.00 ' 2.00 Hydroelectric Operations 3.00 3.00 subtotal 7.00 7.00 Water Treatment - - - - - - --- -- Betasso WTP Operations 13.75 I - - - - - - 13 75 - Bldr Res WTP Operations - - 925 9.25 - System Controls 3.00 __ __ _ _ ~ 3.00 subtotal 26.00 26.00 Water Quality Environmental Svcs Water Quality Operations 6.83 I -- ------ -- -- 6.83 Water Conservation 1.66 1.66 Wastewater Quality Operations - - Industrial Pretreatment --- 4.12 - 3.66 - --- - 4.12 - --- 3.66 -- ------ Stormwater Quality Operations - - - - - - 3.72 -- -- I 3.72 ---- Stormwater Permit Com liance p subtotal - - System Maintenance - -- i 8.49 7.78 - -~ 1.76 __ 5.48 ~ 1.76 21J5 - - Distribution System Maintenance Meter Operations 14.95 ', i 7.36 0 64 14.95 8.00 Collection System Maintenance 13 95 13.95 Storm Sewer Maintenance - ----- - Flood Channel Maintenance ---- - --- - - ~ - 4.75 --- - 2.05 - 4.75 - 2.05 subtotal~ 22.31 14.59 6.80 43.70 Wastewater Treatment Wastewater Operations --- I 16.00 -- 16.00 WWTP Maintenance Cogeneration - --- - - T 9.00 - 1 1.00 I - ---- 9.00 1.00 Biosolids Rec clin Y 9 --- - -- 1.25 125 -- Biosolids Processing_ ____ - h I 3.75 3 75 subtotal - -- Total ~ 31.00 31.00 ~ - -- ~ - 75.73 ', 59.06 19.34 154.13 The Boulder Water Budget Program MAKING IT WORK WELL 14 June '07, by Jim Knopf There have been a lot of reactions to the water budget program since it started on January First, and it's clear that there are a number of relatively small things that will help it go more smoothly. The following concerns and requests come from an array of sources including WRAB members, irrigation professionals, Boulder Tomorrow representatives, and more. 1. Budget Adjustments... A. City R.O.W. landscaping. ..People need to be notified that the initial budgets did NOT include an allocation for the city right of way that adjacent property owners are required to maintain. There should be some public information (especially on water bills) that encourages people to request adjustments to provide for maintaining these landscapes, which include nearly all the street trees in the city. B. Refunds for incorrect bi11s...The current city policy of NOT refunding money collected from adjusted inaccurate water budgets, should be corrected immediately. All collections based on adjusted water budgets should be retroactive to 1 January '07, when the program started. C. Timely Adjustments...Boulder Tomorrow reported at the May WRAB meeting, that it was taking too long to get appropriate adjustments to water budgets. This needs immediate attention. 2. Commercial -Industrial Customers... A. 12 identical monthly budgets vs. historic use...In Dec 2004, WRAB encouraged a so-called "classic water budget program" which included use of historic water consumption as the basis for commercial-industrial customers, including Page 1 those doing limited outdoor irrigation via the same meter used for indoor water. The current policy of dividing the total annual water use by 12, totally ignores the reality of legitimately using some water outside to maintain landscaping, including some on city ROW property. To force smaller businesses to spend thousands of dollars to install outside meters for very small landscapes is completely unreasonable. As soon as possible, this policy of 12 equal water budgets needs to be changed to reflect historic use patterns more accurately. B. Problems with change in occupancy, vacant space, etc... Boulder Tomorrow reported a number of situations where budgets were based on a time when properties were not fully occupied. This needs to be considered, and timely adjustments made. 3. Multi-family -HOA issues... A. Indoor laundry & other common indoor facilities...There need to be timely adjustments for problems related to legitimate use of water in common indoor facilities. Appropriate parties need to be notified that such adjustments are available. B. Inaccurate counts of unit occupancy, single-family vs. duplexes, etc... Boulder Tomorrow reported the need to make timely adjustments with these problems. C. Tennant/Owner/ City communications...TOO often the wrong party is getting the information from the city. This needs to be consciously addressed. 4. Budget Number Confusion...Water budget numbers on the monthly bills never exactly match the budget numbers based on each month's percent of the annual total, or the amount predicted the previous month. Apparently, this happens because meters are often measured on a different day each Page 2 month, resulting in a fewer or more days in the billing period, and rarely match the calendar month. It would help to explain this to customers in a water budget "fact sheet" (possibly included in the water bill mailings), and on the website. 5. Required landscapes that waste water...It has been reported that some city regulations require landscapes that cannot be maintained on the assigned water budgets. This should be reviewed, and corrected if true. We would like to see examples of cases where this was found to occur. 6. Parks and Transportation...There should be a report on how both parks and transportation are doing regarding their water budgets. Undeveloped park land and medians should NOT be included, because it will "mask" whether irrigated areas are being over-watered. Four parks were studied last year, and it was found that rotor heads were given the same time as spray heads. This means the spray areas got too much water, and the rotor areas got too little. This can easily be corrected by adjusting the controllers, but it has been reported that no controller reprogramming has been done. Baseline median irrigation from 30th to Foothills Parkway was redone last year, but there appears to be no irrigation this year so far. 7. Need for "current" meter readings ...Brent Mecham (NOrthern Water Conservation District) recently wrote in Colorado Green, that in order for water budget programs to work smoothly, everyone needs to be able to read their meters. This is true. The Badger Orion remote readers are ideally suited to providing this information, but few people are aware that they exist. A. Meter reading policy...Boulder needs to review its policies about meter reading, and like most cities, it should encourage meter reading to detect leaks, and irrigate efficiently. B. Remote meter readers...free remote meter readers should be provided to all WRAB, Planning Board, Parks Page 3 Board, and City council members so they can become fully aware of how this technology works. Each reader should include a table that people can use to record their water use and compare it to their monthly water budgets. 8. Conservation budget Line Item...There should be a clearly identifiable line item in the annual utilities budget for water conservation, so that it is easy to track what is being done. Water conservation should logically be moved to the water resources portion of the budget rather than water quality. 9. Solicit Customer Suggestions...there should be an initiative to solicit suggestions from customers asking for ideas that will help make the program go better, and help customers use water more wisely. This should NOT be worded as "what's wrong". It should be aimed at getting helpful suggestions for improvements. 10. Report on computer program capabilities...There has been a request for WRAB to get a report on the capabilities of the new billing system. Among other things, there is interest in how we can get regular reports on how various customer categories are doing, etc. il. Water Bi11s...It would be very good to include the price of water in all blocks on the bill, so that people can be aware of the higher costs for excessive use, BEFORE they use too much. 12. Water Budget "Fact Sheet", "Information Notes", Newsletter, or something similar...Regular communication via inserts in the bills and on the website can help keep customers informed, especially as new considerations emerge. This will be especially helpful if always available for easy access in the same format and in the same places. WRAB Water Budget Study Session... Several WRAB members have suggested a study session focused entirely on the water budget program...as soon as possible. Page 4 Review of WRAB agenda item Evaluation of Water Treatment Fluoridation Chemrcals By Richard Knaub, Ph.D. First I think that the city staff should be commended for providing a thorough practical evaluation of the fluoridation options. Issues The original concern which brought this to the attention of the Board was the issue of heavy metal contamination. There are, in addition, the issue of increased sodium with its potential health effects and then finally the cost of changing systems. Heavy Metal Coniamination A number of experts have expressed concern with the addition of heavy metals to the drinking water and it is generally agreed that the less added, the better. What was at issue in the election was if the risk from the small amount which was added during fluoridation was worth the benefits provided by the fluoride. The public, by a narrow margin, voted that they were. The narrow margin could be taken as an indication that the public, like the experts, believe that the less added the better. Of the three standard treatments only one does not have AWWA standards for heavy metal contamination. That is Hydrofluorosilicic Acid, the one currently used by the city of Boulder (and 59% of the country). The manufacturer has promised that the concentrations will never exceed 200 mg/1, although with 50% of the product coming from China there appears to be little regulatory reinforcement of this promise. The other two standard treatments Sodium Silicofluoride and Sodium Fluoride do have AWWA standards attached to their heavy metal contaminations levels. Those are less tban 500 mg/1 and less than 400 mg/1 respectively. While it would appear that Sodium Fluoride is the cleaner of the two, there is no actual analysis data available from the manufacturer, even for pharmaceutical grade. In practice, Sodium Silicofluoride is the cleaner product and the data showing its contamination level is readily available. SUMMARY: With Arsenic levels at only 2% those of Hydrofluorosilicic Acid and lead concentrations at only 6% Sodium Silicofluoride is a clear improvement in fluaridation treatment. Increased Sodium Health Effects Both lead and sodium increase hypertension, so the issue of lowering lead while increasing sodium is a balancing act. The EPA says that the amount on increased sodium would be in the "very low sodium" content category if Sodium Silicofluoride replaced Hydrofluorosilicic Acid in Boulder's water. For practical purposes, this means that anyone able to drink the water now, based on the sodium content, would be able to continue drinking the water. The small amount of lead provided by the addition Hydrofluorosilicic Acid does have a small effect on hypertension according to the WHO Food Additives Series: 44. So the reduction of lead would most likely compensate for any additional increase caused by the sodium, if Sodium Silicofluoride became the fluoridation method. However, the considerable reduction in lead contamination would significantly benefit the infants and children, by reducing developmental disorders caused by low level lead exposure. SUMMARY: The effects of increased Sodium would be mitigated by the decrease in lead concentrations for those with hypertension, while decrease in lead concentration would have a positive effect on the development of infants and children, so Sodium Silicofluoride is a clear improvement in fluoridation treatment. Cost It has already been noted that there is a chemical savings for Sodium Silicofluoride over Hydrofluorosilicic Acid. It has also been noted that there is a significant capital cost in switching over to Sodium Silicofluoride rather than replacing the Hydrofluorosilicic Acid system when it becomes necessary. Traditional cost projection techniques do not generally consider the issues of energy and carbon foot print. However, it is worth noting the differences in sources for Hydrofluorosilicic Acid and Sodium Silicofluoride. According to the summary table in Appendix A, Hydrofluorosilicic Acid is 50% domestically produced 50% imported from China, while Sodium Silicofluoride is 90% domestically produced with the other 10% is produced in North America. The cost of Hydrofluorosilicic Acid needs to include the cost of shipping half of the volume used from China, which means energy is a larger percentage of the cost per ton. The cost increase from 2004-2006 is very close to the increase in oil prices for the same period. The increase for 2007 would fit the projected oil price increase. Because there is a smaller percentage of energy cost per ton for the Sodium Silicofluoride, it is reasonable to believe that price increases tied to energy costs would be smaller. Based on the energy projected costs, the $156 price difference per ton in 2007 would fall to $82.00 per ton in 2008 and by 2009 Sodium Silicofluoride would be the almost $25/ton cheaper than the Hydrofluorosilicic Acid. Since there is more fluoride in the Sodium Silicofluoride resulting in a chemical cost savings at 2007 prices, this is likely in increase significantly in the near future. If these projections are correct, the chemical cost savings from 2009- 2013 ($872,000) would cover the projected costs of converting to a Sodium Silicofluoride bag system. In addition, since Boulder is trying to reduce its carbon foot print, the carbon savings of using a mostly domestically produced product over partly domestically produced product are significant This is particularly true since the domestically produced product is more concentrated and the city uses less weight. Moving less weight shorter distances reduces carbon emissions. SUMMARY: The projected savings in chemical costs from 2009-2013, figuring in likely increases for higher energy prices will likely exceed the capital expenses of converting over to a Sodium Silicofluoride bag system. In addition tbere is a considerable reduction in carbon emission for the transportation of chemical.