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Item 3: Action - Ratification of FY13 MWMC Budget
ECC UGENE ITY OUNCIL AIS GENDA TEM UMMARY Action: Ratification of the Metropolitan Wastewater Management Commission FY13 Regional Wastewater Program Budget and Capital Improvements Program Meeting Date: May 14, 2012 Agenda Item Number: 3 Department: Public Works Staff Contact: John Huberd www.eugene-or.gov Contact Telephone Number: 541-682-8603 ISSUE STATEMENT This agenda item relates to the ratification of the FY13 budget for the regional wastewater program serving the Eugene/Springfield metro area, as established under the 1977 Intergovernmental Agreement (IGA) between the City of Eugene, the City of Springfield, and Lane County. The regional wastewater program is managed by the Metropolitan Wastewater Management Commission (MWMC) pursuant to the provisions of the IGA. The regional wastewater budget provides funds for all regional operations, maintenance, administration, and capital project management and implementation for regional facilities. These include the Eugene/Springfield Water Pollution Control Facility, the Biosolids Management Facility, the Biocycle Farm, the Reclaimed Water Facility, and regional wastewater pump stations. BACKGROUND The purpose of the regional wastewater program is to protect public health and safety and the environment by providing high quality wastewater management services to the Eugene/Springfield metropolitan area. The MWMC and the regional partners are committed to providing these services in a manner that will achieve, sustain, and promote balance between community, environmental, and economic . needs while meeting customer service expectations The commission and the regional wastewater program staffs have worked together to identify the following key outcomes: 1.High environmental standards. 2.Fiscal management that is effective and efficient. 3.A successful intergovernmental partnership. 4.Maximum reliability and useful life of regional assets and infrastructure. 5.Public awareness and understanding of MWMC, the regional wastewater system, and MWMC’s objectives for maintaining water quality and a sustainable environment. These key outcomes and goals are in direct alignment with the City of Eugene Council Goals. Every year MWMC develops a budget that covers resource needs of the operations, maintenance, and capital improvement activities for the regional wastewater program. These activities are divided between Eugene and Springfield. The regional budget combines the portions of the City of Eugene and City of Springfield budgets that are dedicated to the regional wastewater program. The commission conducted a public hearing on the proposed draft budget for FY13, and subsequently adopted the budget on April 13, 2012. The commission’s adopted budget is attached for council consideration (see Attachment A). The S:\CMO\2012 Council Agendas\M120514\S1205143.doc budget reflects the continuing focus on design and construction of capital improvements in the approved 2004 Facilities Plan, needed to ensure the operation of the Regional Wastewater Facilities meets increasing environmental regulations and the collection and treatment capacity will be available to provide for growth in the service area. The adopted budget includes the financial resources necessary to support the regional program. The personnel, operations and maintenance budget increases by 2.9 percent from the FY12 budget. The capital budget decreases in FY13 due to the recent completion of several major capacity expansion projects at the treatment plant. During the April 13 meeting, the commission approved an overall four percent increase in the regional wastewater user rates to generate revenue for the proposed budget and, pursuant to the recommendations of the MWMC financial advisor, to address needs for future Capital Improvement Program (CIP) financing consistent with the commission’s financial plan policies and net revenue objectives. The revenues generated by the user rate increase are consistent with the MWMC's approved financial plan to maintain an unenhanced credit rating of A and adequately fund operations, administration, capital financing, debt service, and reserves. RELATED CITY POLICIES This action item is related to the City Council goals of "Sustainable Development", "Effective, Accountable, Municipal Government" and “Fair, Stable and Adequate Financial Resources.” COUNCIL OPTIONS 1. Approve motion to ratify the FY13 MWMC budget. 2. Return the FY13 MWMC Regional Wastewater Program Budget and Capital Improvements Program to MWMC with specific requests for modification and reconsideration. CITY MANAGER’S RECOMMENDATION The City Manager recommends that the council ratify the proposed FY13 MWMC Budget and Capital Improvements Program. SUGGESTED MOTION Move to ratify the FY13 MWMC Budget. ATTACHMENTS A. Transmittal Letter and MWMC FY13 Proposed Regional Wastewater Program Budget and Capital Improvements Program FOR MORE INFORMATION Staff Contact: John Huberd, Finance and Administration Manager, Wastewater Division Telephone: 541-682-8603 Staff E-Mail: john.c.huberd@ci.eugene.or.us S:\CMO\2012 Council Agendas\M120514\S1205143.doc Preliminary REGIONAL WASTEWATER PROGRAM BUDGET AND CAPITAL IMPROVEMENTS PROGRAM FY 12-13 Preliminary REGIONALWASTEWATERPROGRAM BUDGET and CAPITALIMPROVEMENTSPROGRAM FiscalYear2012-13 TheMetropolitanWastewaterManagementCommissionadopteditsOperatingBudgetand CapitalImprovementsProgram(CIP)forFY12-13April13,2012.TheBudgetandCIPare currentlyscheduledforconsiderationandratificationbytheSpringfieldCityCouncilonMay7, 2012,theEugeneCityCouncilonMay14,2012,andtheLaneCountyBoardofCommissioners onMay23,2012.TheCommissionisscheduledforfinalconsiderationandratificationofthe . budgetandCIPonJune8,2012 COMMISSIONMEMBERS: WaltMeyer,President(Eugene) MarileeWoodrow,Vice-President(Springfield) GeorgeBrown(Eugene) BillInge(LaneCounty) HilaryLoud(Eugene) DougKeeler(Springfield) FayeStewart(LaneCounty) STAFF: RonBittler,MWMCExecutiveOfficer/Springfield RonBittler,MWMCGeneralManager/SpringfieldEnvironmentalServicesManager MichelleCahill,EugeneWastewaterDivisionDirector RobertDuey,MWMCFinanceOfficer/SpringfieldFinanceDirector METROPOLITANWASTEWATERMANAGEMENTCOMMISSION FY12-13BUDGETANDCAPITALIMPROVEMENTSPROGRAM Preliminary forthe REGIONALWASTEWATERPROGRAM TABLEOFCONTENTS BudgetMessage.....................................................................................................................1 RegionalWastewaterProgramOverview..............................................................................3 Exhibit1:InteragencyCoordinationStructure...............................................................9 RegionalWastewaterProgramBudgetandProgramSummary..........................................10 Exhibit2:RegionalOperatingBudgetSummary...........................................................10 Exhibit3:LineItemSummarybyProgramArea...........................................................12 Exhibit4:BudgetSummaryandComparison................................................................13 RegionalWastewaterProgramStaffing.................................................................................17 Exhibit5:RegionalWastewaterProgramOrganizationalChart....................................17 Exhibit6:RegionalWastewaterProgramPositionSummary........................................18 RegionalWastewaterProgramReserves...............................................................................20 Exhibit7:OperatingReserves-LineItemBudget.........................................................21 BUDGETAPPENDICES AppendixA:SpringfieldProgramandBudgetDetail..........................................................25 Exhibit8:SpringfieldAdministrationProgramBudgetSummary...............................29 Exhibit9:SpringfieldAdministrationLineItemSummary.........................................30 AppendixB:EugeneProgramandBudgetDetail................................................................31 Exhibit10:EugeneOperations&MaintenanceProgramBudgetSummary.................35 Exhibit11:EugeneOperations&MaintenanceLineItemSummary............................36 CapitalImprovementsPrograms............................................................................................37 Exhibit12:CapitalPrograms–AdoptedCapitalImprovementsProgramProjects.......41 Exhibit13:CapitalPrograms5-YearPlan......................................................................45 RegionalWastewaterCapitalProgramProjectSheets..........................................................46 REGIONAL WASTEWATER PROGRAM BUDGET BUDGET MESSAGE MetropolitanWastewaterManagementCommissionBudgetMessage BUDGETMESSAGE TotheMetropolitanWastewaterManagementCommission: IampleasedtopresenttheMetropolitanWastewaterManagementCommission’s(MWMC) budgetforfiscalyear(FY)2012-13.Thisbudgetfundsoperations,administration,andcapital projectsplannedfortheRegionalWastewaterProgram(RWP).TheMWMCadministration andCapitalImprovementsProgram(CIP)componentsofthebudgetarereflectedintheCityof Springfield’sRWPbudget.Theoperations,maintenance,equipmentreplacement,andmajor rehabilitationcomponentsarereflectedintheCityofEugene’sRWPbudget.TheCities’ IndustrialPretreatmentPrograms,managedlocallyincompliancewiththeMWMCModel Ordinance,alsoareincludedintheRWPbudget. Thisyear’sbudgetreflectsacontinuedfocusondesignandconstructionofcapital improvementsplannedtoensurethatoperationoftheRegionalWastewaterFacilitiesmeets environmentalregulations,andthatadequatecapacitywillbeprovidedtomeettheneedsofa growingservicearea.TheFY12-13capitalbudgetandFY12-13–FY16-17capital improvementsworkplan,whichareincludedinthisbudgetdocument,arederivedfromthe 2004MWMCFacilitiesPlan.ThebudgetedamountforFY12-13FacilitiesPlancapital improvementprojectsis$21,587,796;$18,345,382iscarryoverfromunfinishedprojects budgetedinFY11-12,and$3,242,414,isnewfundingprogrammedinFY12-13.TheFY12- 13capitalbudgetalsoincludesEquipmentReplacement,MajorRehabilitationandMajor CapitalOutlaycapitalprojects,budgetedat$229,767,$396,540and$1,360,000respectively. ThetotalcapitalbudgetforFY12-13is$23,574,103.Approximately$11.2millionofthetotal capitalbudgetwillnotbespentinFY12-13,butisincludedtoenablecontractsforconstruction thatwilloccurinFY12-13.UnspentfundswillbecarriedforwardtotheFY13-14budgetas appropriate.InordertofundtheactualcashflowrequirementsoftheFY12-13CIP,the CommissionwilluseStateRevolvingFund(SRF)loansaswellasstrategicdrawdownsof capitalreserves. TheFY12-13RWPOperatingBudgetforPersonnelServices,MaterialsandServicesand CapitalOutlayexpenseis$16,180,490.ConsistentwiththeCommission’sFinancialPlanand policies,theFY12-13budgetmaintainsandusesseveralreserves,whicharefullydescribedin thisbudgetdocument.Finally,theFY12-13budgetincludesDebtServicepaymentstotaling $8,846,615asscheduledforrepaymentof$47.3millionofrevenuebondsissuedinNovember 2006,withanadditionalbondissuanceof$50.7millioninNovember2008,and$18.8million inSRFloanstofundtheFacilitiesPlancapitalimprovements. RevenuesourcesnecessarytofundOperations,Capitalprograms,DebtServicerequirements andReservesincludeusercharges,SystemDevelopmentCharges(SDCs),interestearningsand asmallamountofmiscellaneousrevenues.ForFY12-13userfeerevenues(includingseptage serviceandSDCComplianceCharge)areprojectedat$28,544,100.Thislevelofrevenueis projectedbasedona4%increaseinregionalwastewateruserfees,asrecommendedbythe MWMCfinancialadvisorinordertomeettheCommission’sFinancialPlanpoliciesandnet revenueobjectives.ProjectedSDCrevenuesareestimatedat$651,500. Insummary,theprojectedFY12-13budgetfundsoperationsandadministrationsufficientlyto maintainexistinglevelsofservice,andtomeettheenvironmentalperformanceandotherlegal Page1PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET OVERVIEW MetropolitanWastewaterManagementCommissionOverview REGIONALWASTEWATERPROGRAM OVERVIEW TheMetropolitanWastewaterManagementCommission TheMetropolitanWastewaterManagementCommission(MWMC)wasformedbyEugene, Springfield,andLaneCountythroughanintergovernmentalagreement(IGA)in1977toprovide wastewatercollectionandtreatmentservicesfortheEugene-Springfieldmetropolitanarea.The seven-memberCommissioniscomposedofmembersappointedbytheCityCouncilsofEugene (3representatives),Springfield(2representatives)andtheLaneCountyBoardofCommissioners (2representatives).Sinceitsinception,theCommission,inaccordancewiththeIGA,hasbeen responsibleforoversightoftheRegionalWastewaterProgram(RWP)including:construction, maintenance,andoperationoftheregionalseweragefacilities;adoptionoffinancingplans; adoptionofbudgets,userfeesandconnectionfees;adoptionofminimumstandardsforindustrial pretreatmentandlocalsewagecollectionsystems;andrecommendationsfortheexpansionof regionalfacilitiestomeetfuturecommunitygrowth.Staffingandserviceshavebeenprovidedin variouswaysoverthe35yearsofMWMC’sexistence.Since1983,theCommissionhas contractedwiththeCitiesofSpringfieldandEugeneforallstaffingandservicesnecessaryto maintainandsupporttheRWP.LaneCounty’spartnershiphasinvolvedparticipationonthe CommissionandsupporttotheLaneCountyMetropolitanWastewaterServiceDistrict(CSD), whichmanagedtheproceedsandrepaymentofgeneralobligationbondsissuedtoconstruct RWPfacilities. RegionalWastewaterProgramPurposeandKeyOutcomes ThepurposeoftheRWPistoprotectpublichealthandsafetyandtheenvironmentbyproviding highqualitywastewatermanagementservicestotheEugene-Springfieldmetropolitanarea.The MWMCandtheregionalpartnersarecommittedtoprovidingtheseservicesinamannerthat willachieve,sustain,andpromotebalancebetweencommunity,environmental,andeconomic needswhilemeetingcustomerserviceexpectations.Sincethemid-1990s,theCommissionand RWPstaffhaveworkedtogethertoidentifykeyoutcomeareaswithinwhichtofocusannual workplanandbudgetpriorities.TheFY12-13RWPworkplansandbudgetreflectafocuson thefollowingkeyoutcomesorgoals.Incarryingoutthedailyactivitiesofmanagingtheregional wastewatersystem,wewillstrivetoachieveandmaintain: 1.Highenvironmentalstandards; 2.Fiscalmanagementthatiseffectiveandefficient; 3.Asuccessfulintergovernmentalpartnership; 4.Maximumreliabilityandusefullifeofregionalassetsandinfrastructure; 5.PublicawarenessandunderstandingofMWMC,theregionalwastewatersystem,and MWMC’sobjectivesformaintainingwaterqualityandasustainableenvironment. TheCommissionbelievesthattheseoutcomes,ifachievedinthelongterm,willdemonstrate successoftheRWPincarryingoutitspurpose.Inordertodeterminewhetherwearesuccessful, indicatorsofperformanceandtargetshavebeenidentifiedforeachkeyoutcome.Tracking performancerelativetoidentifiedtargetsovertimeassistsinmanagingtheRWPtoachieve desiredresults.Thefollowingindicatorsandperformancetargetsprovideanimportant frameworkforthedevelopmentoftheFY12-13RWPOperatingBudget,CapitalImprovements Programandassociatedworkplans. Page3PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview Outcome1: Achieveandmaintainhighenvironmentalstandards. Indicators:Performance: FY10-11FY11-12FY12-13 ActualEstimatedActualTarget Amountofwastewatertreatedto 100%;13.9100%;13.2100%;13 waterqualitystandards billiongallonsbilliongallonsbilliongallons 100%100%100% Compliancewithenvironmental performancerequirementsofall compliancecompliancecompliance permits <50%EPA<50%EPA<50%EPA MWMCtargetforhighquality biosolids 40CFRPart40CFRPart40CFRPart 503.13-Table3503.13-Table3503.13-Table3 PollutantPollutantPollutant Concentrations:Concentrations:Concentrations: PolicyMetPolicyMetPolicyMet 61.6million65million70million Volumeofreclaimedwater beneficiallyreused(milliongallons) gallonsgallonsgallons 100%of100%of100%of Performancetargetsunderthe EnvironmentalManagementSystem numericEMSnumericEMSnumericEMS areachieved targetsmetortargetsmetortargetsmetoron onscheduleonscheduleschedule Outcome2: Achieveandmaintainfiscalmanagementthatiseffectiveandefficient. Indicators:Performance: FY10-11FY11-12FY12-13 ActualEstimatedActualTarget PoliciesMetPoliciesMetPoliciesMet AnnualBudgetandRatesmeet MWMCFinancialPlanPolicies CleanAuditCleanAuditCleanAudit Annualauditedfinancialstatements AA-AAA UninsuredBondRating yesyesyes ReservesFundedatTargetLevels 1.87>1.25>1.25 NetRevenuetoDebtServicecoverage ratio Page4PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview Outcome3: Achieveandmaintainasuccessfulintergovernmentalpartnership. Indicators:Performance: FY10-11FY11-12FY12-13 ActualEstimatedActualTarget IndustrialPretreatmentProgram 100%100%100% Implementationincompliance withstate/federalrequirements; anyrequiredcorrections completed WWFMPWetweather (seebelow) WetWeatherFlowManagement Plan(WWFMP)implemented provisionsplanningprogram (MWMCportion–treatmentplant implementedtransitionto upgrades)andupdatedinatimely CMOM (seebelow) manner ---BeginDraftlocal CapacityManagementOperations andMaintenance(CMOM) developmentofCMOM ProgramDevelopment CMOMProgramProgramPlan 100%ofinitiated100%ofinitiated100%of MWMCFacilitiesPlanprojects consistentwithCIPbudgetand projectswithinprojectswithininitiated schedule budgetand28.6%budgetand33.3%projectswithin (2of7projects)(3of9projects)budgetand50% onscheduleonscheduleonschedule Outcome4: Maximizereliabilityandusefullifeofregionalassetsandinfrastructure. Indicators:Performance: FY10-11FY11-12FY12-13 ActualEstimatedActualTarget 93%95%90% Preventivemaintenancecompleted ontime(bestpracticesbenchmarkis 90%) 4:15:15:1 Preventativemaintenanceto correctivemaintenanceratio (benchmark4:1-6:1) 0.6%0.7%<2%oflabor Emergencymaintenancerequired (bestpracticesbenchmarkis<2%of hours laborhours) Page5PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview Outcome5: AchieveandmaintainpublicawarenessandunderstandingofMWMC,the regionalwastewatersystem,andMWMC’sobjectivesformaintainingwaterqualityanda sustainableenvironment. Indicators:Performance: FY10-11FY11-12FY12-13 ActualEstimatedActualTarget ProducedProducedProduce MWMCAnnualReport Createanddistributee-newsletters ---2Newsletters4Newsletters Increasevisitor IncreaseMWMCwebsitetraffic ------ trafficby20% Organizepollutionprevention ------4Campaigns campaigns ProvidetoursoftheWaterPollution ------>20Tours ControlFacility DevelopnewMWMC ---Completed--- CommunicationPlan InterpretiveSignsatWastewater ---Completed--- PollutionControlFacility Completeinitialrecycledwater ---Completed--- marketingefforts RedesignexistingMWMCWebsite Completed------ FacilitiesPlanMilestoneOpenHouse Completed------ EstablishframeworkforPollution Completed------ PreventionPlans Page6PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview RolesandResponsibilities InordertoeffectivelyoverseeandmanagetheRWP,thepartneragenciesprovideallstaffing andservicestotheMWMC.Thefollowingsectionsdescribetherolesandresponsibilitiesof eachofthepartneragencies,andhowintergovernmentalcoordinationoccursonbehalfofthe Commission. CityofEugene TheCityofEugenesupportstheRWPthroughrepresentationontheMWMC,provisionof operationandmaintenanceservices,andactiveparticipationoninteragencyprojectteamsand committees.ThreeofthesevenMWMCmembersrepresentEugene–twocitizensandoneCity Councilor.PursuanttotheIGA,theEugeneWastewaterDivisionoperatesandmaintainsthe RegionalWaterPollutionControlFacility(WPCF),theBiosolidsManagementFacility(BMF) andassociatedresidualsandreclaimedwateractivities,alongwithregionalwastewaterpumping stationsandtransmissionsewers.InsupportoftheRWP,theDivisionalsoprovidestechnical servicesforwastewatertreatment;managementofequipmentreplacementandinfrastructure rehabilitation;biosolidstreatmentandrecycling;industrialsourcecontrol(inconjunctionwith Springfieldstaff);andregionallaboratoryservicesforwastewaterandwaterqualityanalyses. TheseservicesareprovidedundercontractwiththeMWMCthroughtheregionalfundingof 77.25full-timeequivalent(FTE)employees. CityofSpringfield TheCityofSpringfieldsupportstheRWPthroughrepresentationontheMWMC,provisionof MWMCadministrationservices,andactivecoordinationofandparticipationoninteragency projectteamsandcommittees.TwoMWMCmembersrepresentSpringfield–onecitizenand oneCityCouncilor.PursuanttotheIGA,theSpringfieldPublicWorksDirectorandthe EnvironmentalServicesManagerserveastheMWMCExecutiveOfficerandGeneralManager, respectively.TheEnvironmentalServicesDivisionandFinanceDepartmentstaffprovide ongoingstaffsupporttotheCommissionandadministrationoftheRWPinthefollowingareas: legalandriskmanagementservices;financialmanagementandaccounting;coordinationand managementofpublicpolicy;regulatoryandpermitcomplianceissues;coordinationbetween theCommissionandthegoverningbodies;long-rangecapitalprojectplanning,design,and constructionmanagement;coordinationofpublicinformation,education,andcitizen involvementprograms;andcoordinationanddevelopmentofregionalbudgets,rateproposals, andrevenueprojections.SpringfieldstaffalsoprovideslocalimplementationoftheIndustrial PretreatmentProgram,aswellasbillingcoordinationandcustomerservice.Theseservicesare providedundercontractwiththeMWMCthroughtheregionalfundingof14.95FTEofPublic WorksDepartmentstaffand0.88FTEofFinanceDepartmentstaff,foratotal15.83FTEas reflectedintheadoptedFY12-13budget. LaneCounty TheBoardofCountyCommissionerssupporttheRWPthroughrepresentationontheMWMC, includingtwoMWMCmembersthatrepresentLaneCounty–onecitizenandoneCounty Commissioner.LaneCounty’spartnershipinitaillyincludedprovidingsupporttomanagethe proceedsandrepaymentoftheRWPgeneralobligationbondstofinancethelocalshareofthe RWPfacilitiesconstruction.Thesebondswerepaidinfullin2002.TheCounty,whilenot presentlyprovidingsewerage,hastheauthorityunderitschartertodoso.TheUrbanGrowth BoundaryincludesthetwoCities(urbanlands)andcertainunincorporatedareassurroundingthe Page7PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview CitieswhichliesentirelywithintheCounty.Federalfundingpolicyrequiressewagetreatment anddisposalwithintheUrbanGrowthBoundarytobeprovidedonaunified,metropolitanbasis. InteragencyCoordination TheeffectivenessoftheMWMCandtheRWPdependsonextensivecoordination,especially betweenSpringfieldandEugenestaff,whoprovideongoingprogramsupport.Thiscoordination occursinseveralways.TheSpringfieldESD/MWMCGeneralManagerandtheEugene WastewaterDivisionDirectorcoordinateregularlytoensureadequatecommunicationand consistentimplementationofpoliciesandpracticesasappropriate.TheEugeneandSpringfield IndustrialPretreatmentProgramsupervisorsandstaffmeetregularlytoensureconsistent implementationoftheModelIndustrialPretreatmentOrdinance.Additionally,interagency projectteamsprovideinputonandcoordinationofongoingMWMCadministrationissuesand adhocprojectneeds. Exhibit1onthefollowingpagereflectstheinteragencycoordinationstructuresupportingthe RWP.Specialprojectteamsaretypicallyformedtomanagelargeprojectssuchasdesignand constructionofnewfacilities.Theseinteragencystaffteamsareformulatedtoprovide appropriateexpertise,operationalknowledge,projectmanagement,andintergovernmental representation. RelationshiptoEugeneandSpringfieldLocalSewerPrograms TheRWPaddressesonlypartoftheoverallwastewatercollectionandtreatmentfacilitiesthat servetheEugene-Springfieldmetropolitanarea.TheCitiesofEugeneandSpringfieldboth maintainsewerprogramsthatprovideforconstructionandmaintenanceoflocalcollection systemsandpumpstations,whichdischargetotheregionalsystem.Seweruserfeescollectedby thetwoCitiesincludebothlocalandRWPratecomponents. Page8PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionOverview EXHIBIT1 Page9PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET BUDGET AND PROGRAM SUMMARY MetropolitanWastewaterManagementCommissionBudgetandProgramSummary REGIONALWASTEWATERPROGRAM FY11-12BUDGETANDPROPOSEDFY12-13 TheMWMC’sRWPOperatingBudgetprovidestheCommissionandgoverningbodieswithan integratedviewoftheRWPelements.Exhibit2providesasummaryoftheoverallOperating Budget.SeparateSpringfieldandEugeneagencybudgetsandstaffingalsoarepresentedwithin thisbudgetdocument.MajorprogramareassupportedbySpringfieldandEugenearedescribed inthepagesthatfollowandaresummarizedinExhibit3onpage12.Finally,Exhibit4onpage 13combinesrevenues,expenditures,andreservestoillustratehowfundingforallaspectsofthe RWPisprovided.Itshouldalsobenotedthatthe“AmendedBudgetFY11-12”columninall budgettablesrepresentstheupdatedFY11-12RWPbudgetasofFebruary13,2012,which reconciledactualbeginningbalancesatJuly1,2011,andapprovedbudgettransfersand supplementalrequests. Notes: 1.TheChangecolumnandPercentChangecolumncomparetheproposedFY12-13budgetwiththeoriginally AdoptedFY11-12Budgetcolumn. 2.PersonnelServices,MaterialsandServices,andCapitalOutlaybudgetamountsrepresentcombined SpringfieldandEugeneOperatingBudgetsthatsupporttheRWP. 3.CapitalOutlaydoesnotincludeCIP,EquipmentReplacement,MajorCapitalOutlay,orMajor Rehabilitation,whicharecapitalprograms. Page10PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary 4.TheEquipmentReplacementContributionisabudgetedtransferofoperatingrevenuesto“sinkingfunds” (reserves)forscheduledfuturereplacementofmajorequipment,vehicles,andcomputers.Seetableonpage 22foryear-endbalance. 5.TheCapitalReserveContributionisabudgetedtransferofoperatingrevenuesto“sinkingfunds”(reserves). CapitalispassedthroughtheSpringfieldAdministrationBudget.Seetableonpage24foryear-endbalance. 6.TheWorkingCapitalReserveactsasarevolvingaccountwhichisdrawndownandreplenishedona monthlybasistofundEugene’sandSpringfield’scashflowneeds. 7.TheRateStabilityReserveisusedtosetasiderevenuesavailableatyear-endafterthebudgetedOperating Reservetargetismet.Internalpolicyhasestablishedalevelof$2,000,000fortheRateStabilityReserve. SeeExhibit7onpage21foryear-endbalance. 8.TheOperatingReserveisusedtoaccountfortheaccumulatedoperatingrevenuesnetofoperations expenditures.TheCommissionhasadoptedapolicyofmaintainingaminimumOperatingReservebalance approximatelyequalto10%oftheadoptedOperatingBudget.Thistargetedleveloffundingprovidesfor contingencyfundsintheeventunanticipatedexpensesorrevenueshortfallsoccurduringthebudgetyear. 9.TheDebtServicelineitemisthesumofannualinterestandprincipalpaymentsontheRevenueBondsand SRFloansmadefromtheOperatingBudget(derivedfromuserrates).ThetotalamountofDebtService budgetedinFY12-13is$8,846,615,thebalanceofwhichisbudgetedfromSDCs. 10.TheRateStabilizationReservewasestablishedat$2millionasaresultofthe2006MWMCRevenueBond DeclarationandCovenants.Itholdsfundsthatareavailableifneeded,toensureDebtServicepaymentscan bemade. 11.TheSRFloanreserveisbudgetedasrequiredperloanagreements. 12.TheRevenueBondReservesbudgetedat$8.1million,includes$4millionestablishedtocoverthe2006 bond,and$4.1millionestablishedtocoverthe2008bond. Page11PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary Page12PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary Note:*TheChange(Incr/Decr)columncomparestheproposedFY12-13budgettotheoriginallyadoptedFY11-12 budgetcolumn. Page13PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary OPERATINGBUDGETANDRATEHISTORY Thegraphsonpages15and16showtheRegionalResidentialSanitarySewercostsovera5-year period,anda5-yearRegionalOperatingBudgetComparison.BecausetheEquipment ReplacementandMajorInfrastructureRehabilitationprogramsaremanagedintheEugene OperatingBudget,basedonthesize,typeandbudgetamountoftheprojecttheseprogramsare incorporatedintoeitherthe5-yearRegionalOperatingBudgetComparisongraphorthe5-Year CapitalProgramsgraphonpage16.TheRegionalWastewaterCapitalImprovementPrograms graphonpage16showstheexpendituresovertherecentfiveyearsintheMWMC’sCapital ProgramandincludingAssetManagementprojects.AlistofcapitalprojectsislocatedinExhibit 13onpage45. AsshownontheRegionalResidentialSanitarySewerRategraphonpage15,regionalseweruser chargeshaveincrementallyinceasedtomeettherevenuerequirementsnecessarytofundfacility improvementsasindentifiedinthe2004MWMCFacilitiesPlan.ThisPlandemonstratedthe needforasignificantcapitalinvestmentinnewandexpandedfacilitiestomeetenvironmental performancerequirementsandcapacitytoservethecommunitythrough2025.Althougha portionofthesecapitalimprovementscanbefundedthroughsystemdevelopmentcharges (SDCs),muchofthefundingforapproximately$196million(in2006dollars)incapital improvementsoverthe20-yearperiodwillcomefromusercharges.Since2004,thishasbecome themajordriveroftheMWMC’sneedtoincreaseseweruserratesonanannualbasis. InFY08-09,therewasan11%userrateincreaseoverFY07-08ratesapplieduniformlyacross alluserclasses.Thisrateincreaseprovidedadequaterevenuetomeetcurrentbondcovenants andmeetrequirementstoissue$50.7millioninbondsinFY08-09.Additionally,inOctoberof 2008,theCommissionadoptedaninterimuserrateincreaseof7%duetotheclosureofHynix Semiconductor.Thisincreasewasnecessarytoissuenewrevenuebondsandmaintainbond covenantsforexistingbonds.Thetypicalresidentialmonthlywastewaterbill(basedon5,000 gallonsofusage)increasedanadditional$1.10permonthandwentintoeffectonDecember1, 2008. InFY09-10,therewasan18%userrateincreaseoverFY08-09ratesapplieduniformlyacross alluserclasses.ThisrateprovidedforOperations,Administration,Capitalprograms,reserves anddebtservicetobefundedatsufficientlevelstomeetFY09-10requirements.Itmetthe capitalandoperatingrequirements,theCommission’sFinancialPlanpolicies,andcovenants associatedwiththeMWMC’s2006and2008revenuebondsaswellasprovidedadequatedebt servicecoverageratiosforanadditional$20millionbondsaleinFY09-10. InFY10-11,therewasa5%userrateincreaseovertheFY09-10ratesprovidingforOperations, Administration,Capitalprograms,reservesanddebtservicetobefundedatsufficientlevelsto meetFY10-11requirements. InFY11-12,therewasa4%userrateincreaseovertheFY10-11ratesprovidingforOperations, Administration,Capitalprograms,reserves,debtservice,anddebtcoveragerequirementstobe fundedatsufficientlevelstomeetFY11-12requirements. Page14PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary ThePreliminaryFY12-13budgetisbasedona4%userrateincreaseovertheFY11-12rates. ThisincreasewillcontinuetoprovideforOperations,Administration,Capitalprograms,reserves anddebtservice,continuingtomeetcapitalandoperatingrequirements,supportingthe Commission’sFinancialPlanpoliciesandcovenantsassociatedwiththeMWMC’s2006and 2008revenuebonds. Thechartbelowdisplaystheregionalcomponentofaresidentialmonthlybillwhenapplyingthe baseandflowratesto5,000gallonsofwastewatertreated. Page15PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionBudgetandProgramSummary ThegraphbelowdisplaystheRegionalOperatingBudgetamountsfortherecent5-yearperiod. ThegraphbelowdisplaystheRegionalWastewaterCapitalImprovementProgramBudget amountsfortherecent5-yearperiod. Page16PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET STAFFING MetropolitanWastewaterManagementCommissionStaffing EXHIBIT5 Notes: *Full-TimeEquivalent(FTE)figuresrepresentportionsofEugeneandSpringfieldstafffundedby regionalwastewaterfunds. **Thechartrepresentsgroupsofstaffdedicatedtoprogramareasratherthanspecificpositions. Page17PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionStaffing Note:Springfield’sIndustrialPretreatmentProgramstaffingof3.05full-timeequivalents(FTE)isincorporated intothepositionsummarybecausetheIndustrialPretreatmentProgramsarefundedthroughtheRegional WastewaterProgram(RWP). Page18PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionStaffing Page19PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET RESERVES MetropolitanWastewaterManagementCommissionReserves REGIONALWASTEWATERPROGRAM RESERVES TheRWPmaintainsreservefundsfordedicatedpurposetosustainstablerateswhilefully fundingoperatingandcapitalneeds.Commissionpoliciesandguidance,whichdirectthe amountofreservesappropriatedonanannualbasis,arefoundinthe2005MWMCFinancial Plan.FurtherdetailsontheFY12-13reservesareprovidedbelow. OPERATINGRESERVES TheMWMCOperatingBudgetincludessixseparatereserves:theWorkingCapitalReserve, RateStabilityReserve,RateStabilizationReserve,RevenueBondReserve,SRFReserve,and theOperatingReserve.Revenuesareappropriatedacrossthereservesinaccordancewith Commissionpolicyandexpenditureneeds.Eachreserveisexplainedindetailbelow. WORKINGCAPITALRESERVE TheWorkingCapitalReserveactsasarevolvingaccountthatisdrawndownandreplenishedon amonthlybasistoprovidefundsforpaymentofSpringfieldAdministrationandEugene OperationscostspriortothereceiptofuserfeesfromtheSpringfieldUtilityBoardandEugene WaterandElectricBoard.TheWorkingCapitalReserveissetat$900,000forFY12-13, $200,000ofwhichisdedicatedtoAdministrationand$700,000isdedicatedtoOperations. RATESTABILITYRESERVE TheRateStabilityReservewasestablishedtoimplementtheCommission’sobjectiveof maintainingstablerates.Itisintendedtoholdrevenuesinexcessofthecurrentyear’soperating andcapitalrequirementsforuseinfutureyears,inordertoavoid“ratespikes.”Theamount budgetedonanannualbasishasbeensetat$2,000,000,withanyadditionalnetrevenuesbeing transferredtothecapitalreserveforfutureprojects. RATESTABILIZATIONRESERVE TheRateStabilizationReservecontainsfundstobeusedatanypointinthefuturewhennet revenuesareinsufficienttomeetthebondcovenantcoveragerequirement.TheCommission shallmaintaintheRateStabilizationaccountaslongasbondsareoutstanding.InFY12-13no additionalcontributiontothisreserveisbudgetedandthebalanceatJune30,2013,willremain at$2,000,000. Page20PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionReserves OPERATINGRESERVE TheOperatingReserveisusedtoaccountforaccumulatedoperatingrevenuesnetofoperating expenditures(includingotherreserves).TheCommission’sadoptedpolicyistobudgetthe OperatingReserveatapproximately10%oftheadoptedoperatingbudget.ForFY12-13,the OperatingReserveisbudgetedat$1,643,386,whichis10%oftotalPersonalServices,Materials andServices,andCapitalOutlayinaccordancewithCommissionpolicy. EXHIBIT7 CAPITALRESERVES TheMWMCCapitalBudgetincludesfivereserves:theEquipmentReplacementReserve,SDC ReimbursementReserves,SDCImprovementReserves,theCapitalReserveandtheBond Reserve.Thesereservesaccumulaterevenuetohelpfundcapitalprojectsincludingequipment replacementandmajorrehabilitation.Theyarefundedbyannualcontributionsfromuserrates, SDCs,bondproceeds,andSRFloans.Eachreserveisexplainedindetailbelow. Page21PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionReserves EQUIPMENTREPLACEMENTRESERVE TheEquipmentReplacementReserveaccumulatesreplacementfundingforthreetypesof equipment:1)major/stationaryequipmentitemscostinglessthan$200,000withusefullivesof 20yearsorless;2)fleetvehiclesmaintainedbytheEugeneWastewaterDivision;and3) computersthatservetheEugeneWastewaterDivision.ContributionstotheEquipment ReplacementReserveintheFY12-13budgettotal$843,339,additionalbudgetdetailsare providedbelow. TheEquipmentReplacementReserveisintendedtoaccumulatefundsnecessarytoprovidefor thetimelyreplacementorrehabilitationofequipment,andmayalsobeborrowedagainstto provideshort-termfinancingofcapitalimprovements.Anannualanalysisisperformedonthe EquipmentReplacementReserve.Theannualcontributionissetsothatallprojected replacementswillbefundedovera20-yearperiodandattheendofthe20-yearperiod,the reservewillcontainreplacementfundsforallequipmentprojectedtobeinuseatthattime. Estimatesusedintheanalysisincludeinterestearnings,inflationratesandusefullivesforthe equipment. SYSTEMDEVELOPMENTCHARGE(SDC)RESERVES SDCsarerequiredaspartoftheMWMCIGA.Theyareconnectionfeeschargedtonewusersto recoverthecostsrelatedtosystemcapacity,andarelimitedtofundingCapitalPrograms.The purposeoftheSDCReservesistocollectandaccountforSDCrevenuesseparatelyfromother revenuesources,inaccordancewithOregonstatutes.TheCommission’sSDCstructureincludes acombinationof“Reimbursement”and“Improvement”feecomponents.EstimatedSDC revenuesforFY12-13areapproximately$651,500.Budgetedexpendituresinclude$1,200,000 fromImprovementFeestofundportionsoftheannualdebtservicepaymentsonthe2006and 2008revenuebonds.TheprojectedbeginningSDCReservebalanceonJuly1,2012is $1,698,594. Page22PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionReserves CAPITALRESERVE TheCapitalReserveaccumulatesfundstransferredfromtheOperatingReserveforthepurpose offundingtheCIP,MajorCapitalOutlayandMajorRehabilitationProgramcosts.Theintentis tocollectsufficientfundsovertimetoconstructaportionofplannedcapitalprojectswithcashin anappropriatebalancewithprojectsthatarefundedwithdebtfinancing.TheFY12-13Budget includesacontributionfromtheOperatingReserveof$6,000,000.Thebeginningbalanceon July1,2012,isprojectedtobe$67,756,950.AdditionalbudgetdetailontheCIP,MajorCapital OutlayandMajorRehabilitationProgramreservesisprovidedbelow. BONDRESERVE TheBondReservewascreatedtoprovideassurancestothebondholdersthatadequaterevenue coveragewillbeprovidedforfuturedebtservicepayments.ForFY12-13theBondReserveis budgetedat$4,000,000inordertomeetreserverequirementsofthe2008bondissuance.The 2006bondreserveof$4,100,000isheldintheoperatingfund,asitwasfundedwithuserfees. Page23PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionReserves *Includes$450,000insponsorshipcontributions Page24PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET APPENDICES REGIONAL WASTEWATER PROGRAM BUDGET APPENDIX A SPRINGFIELD PROGRAM DETAIL MetropolitanWastewaterManagementCommissionSpringfieldBudgetDetail CITYOFSPRINGFIELD REGIONALWASTEWATERPROGRAMRESPONSIBILITIES TheCityofSpringfieldmanagesadministration ProgramResponsibilities servicesfortheRWP undertheIntergovernmental Administration&Management AgreementfortheMetropolitanWastewaterManagement FinancialPlanning&Management .Theprogramsmaintainedby Commission(MWMC) Long-RangeCapitalProjectPlanning ProjectandConstructionManagement SpringfieldtosupporttheRWParesummarizedbelow CoordinationbetweentheCommissionand andarefollowedbySpringfield’sregionalwastewater governingbodies budgetsummaries.Activities,andthereforeprogram CoordinationandManagementof: RiskManagement&LegalServices budgets,fortheMWMCadministrationvaryfromyear PublicPolicyIssues toyeardependinguponthemajorconstructionprojects RegulatoryandPermitComplianceIssues andspecialinitiativesunderway.Alistofthecapital PublicInformation,EducationandOutreach IndustrialPretreatmentSourceControl projectsSpringfieldstaffwillsupportinFY12-13is CustomerService providedinExhibit12onpage41. MWMCADMINISTRATION TheSpringfieldEnvironmentalServicesDivision(ESD)andFinanceDepartmentprovide ongoingsupportandmanagementservicesfortheMWMC.ThePublicWorksDirectorandthe EnvironmentalServicesManagerserveastheMWMCExecutiveOfficerandGeneralManager, respectively.Springfieldprovidesthefollowingadministrationfunctions:financialplanning management,accountingandfinancialreporting;riskmanagementandlegalservices; coordinationandmanagementofpublicpolicy;coordinationandmanagementofregulatoryand permitcomplianceissues;coordinationbetweentheCommissionandthegoverningbodies; long-rangecapitalprojectplanningandconstructionmanagement;coordinationofpublic information,education,andcitizeninvolvementprograms;sewerusercustomerservice;and coordinationanddevelopmentofregionalbudgets,rateproposals,andrevenueprojections. INDUSTRIALPRETREATMENT(SOURCECONTROL)PROGRAM TheIndustrialPretreatmentProgramisaregionalactivityimplementedjointlybytheCitiesof EugeneandSpringfield.TheIndustrialPretreatmentsectionoftheESDischargedwith administeringtheprogramfortheregulationandoversightofwastewaterdischargedtothe sanitarycollectionsystembyindustriesinSpringfield.Thissectionisresponsibleforensuring thatthesewastesdonotdamagethecollectionsystem,interferewithwastewatertreatment processes,resultinthepass-throughofharmfulpollutantstotreatedeffluentorbiosolids,or threatenworkerhealthorsafety. Thisresponsibilityisfulfilled,inpart,bytheuseofapermitsystemforindustrialdischargers. Thispermitsystem,commontobothEugeneandSpringfield,implementsnecessarylimitations onwastecharacteristicsandestablishesinspection,monitoring,andreportingrequirementsfor documentingwastequalityandquantitycontrols.TheIndustrialPretreatmentsectionisalso responsibleforlocatingnewindustrialdischargesinSpringfieldandevaluatingtheimpactof thosedischargesontheregionalWPCF.AsofFebruary2012,therewere20significant industrialusersunderpermitinSpringfield.TheIndustrialPretreatmentProgramalso addressesthewastewaterdischargesofsomecommercial/industrialbusinessesthroughthe developmentandimplementationofPollutionManagementPractices.Pretreatmentprogram Page25PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionSpringfieldBudgetDetail staffalsocoordinatespollutionpreventionactivitiesincooperationwiththePollution PreventionCoalitionofLaneCounty. ACCOUNTINGANDFINANCIALREPORTING AccountingandfinancialreportingservicesfortheRWPareprovidedbytheAccounting sectionintheSpringfieldFinanceDepartment,incoordinationwithESD.Springfield Accountingstaffmaintainsgrantandcontractaccountingsystems,aswellascompliancewith alllocal,stateandfederalaccountingandreportingrequirementsforMWMCfinances.This sectionalsoassistsESDwithpreparationoftheMWMCbudget,capitalfinancingdocuments, seweruserrates,andfinancialpoliciesandprocedures. PROGRAMSANDSIGNIFICANTSERVICE/EXPENDITURECHANGES InFY12-13,theCityofSpringfieldwillsupportthefollowingmajorregionalinitiativesin additiontoongoingCommissionadministrationandindustrialpretreatmentactivities: TransitionwetweatherplanningprogramtobeginCapacityManagementOperations andMaintenance(CMOM)Programdevelopment,focusingoncontinuedinflowand infiltrationreductions,includingflowmonitoring,datatracking,regionalcoordination, andcontinuetoexploremethodsofaddressingprivatelaterals. ImplementCapitalFinancingstrategiesnecessarytomeetcurrentrevenuebond obligations,prepareforadditionaldebtfinancing,andensuresufficientrevenuesin accordancewiththe2005MWMCFinancialPlan. Continueimplementationofthe2004MWMCFacilitiesPlantomeetallregulatory requirementsandcapacityneedsandupdatethe2004FacilitiesPlaninFY12-13. Consideringemergingenvironmentalregulationsthatmayimpacttheoperationofthe WPCF. Continuepublicinformation,educationandoutreachactivitiesfocusedontheMWMC FacilitiesPlanandMWMC’sobjectivesformaintainingwaterqualityandasustainable environment. ProtectRWPintereststhroughparticipationinAssociationofCleanWaterAgencies activities. CoordinatetemperatureTotalMaximumDailyLoad(TMDL)compliancethrough continueddevelopmentandimplementationoftherecycledwaterprogram. ContinueparticipationwiththeAssociationofCleanWaterAgenciesandthe DepartmentofEnvironmentalQualityinthedevelopmentoftheCapacityManagement OperationsandMaintenance(CMOM)Program. HarvestPlan,whichwasinitiatedinFY07-08. Page26PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionSpringfieldBudgetDetail SIGNIFICANTBUDGETCHANGESFORFY12-13 TheproposedbudgetforSpringfieldPersonnelServices,MaterialsandServices,andCapital OutlayforFY12-13totals$3,670,733representinganoverallincreaseof$60,763(1.7%)overthe adoptedFY11-12budget,asdisplayedinExhibit8onpage29. PersonnelServices PersonnelServicestotaling$1,635,873representaFY12-13reductionof$52,962or3.1% belowtheoriginallyadoptedFY11-12budget. StaffingLevel–15.83full-timeequivalent(FTE)staff,aof0.85FTE reduction Anetreductionof0.85FTEstaffingisincludedintheFY12-13budgetwhichrepresentsa re-allocationofanEnvironmentalServicesSupervisor(0.40)andtheeliminationofa vacantEngineeringAssistantposition(0.45). RegularWages-$1,085,478,aof$31,319or3% reduction The$31,319reductioninregularwagesrepresentsalowerstaffinglevelincorporatingthe eliminationofavacantEngineeringAssistantposition,andvacantpositionsthatarefunded atalowerlevelwithinthesalaryrange. EmployeeBenefits-$538,419,aof$14,595or3% reduction Employeefringebenefitsincludesemployeebenefits,medical/dentalinsurance,and PERS/PSRPretirementcosts,foratotalreductionof$14,595primarilybasedonthe reductioninstaffinglevels,andthelower(regularwages)budgetlevelsforpositionsthat arecurrentlyvacantalsoresultsinlowerretirementcostthatarecalculatedasapercentage ofregularwages. MaterialsandServices TheMaterialsandServicesbudgettotalis$2,034,860inFY12-13,representinganetincrease of$113,725or5.9%overtheoriginallyadoptedFY11-12budget.Themajorchanges includingbudgetreductionsandincreasesareinthefollowingbudgetcategories: ContractualServices–$187,000,aof$21,500or10% reduction The$21,500reductionincludesan$18,500reductionincontractualservicesfortechnical assistanceandflowmonitoring,anda$3,000reductionindigitalimaginganddatastorage technicalservices. Travel&MeetingExpenses-$22,000,aof$7,750or26% reduction The$7,750reductionbringsthetravelexpensebudgetinlinewithrecentexpenditure trendswhichtakesintoconsiderationincreasedopportunitiestoconductorparticipatein meetingsandemployeedevelopmenttrainingviateleconferenceandwebcasts. ComputerSoftwareandLicenseFees-$72,200,anincreaseof$30,050or71% The$30,050increaseincludesaone-timecostof$25,000forasoftwarelicensefeeanda $5,050increaseincomputersoftwareserviceandmaintenanceagreements.Theone-time Page27PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionSpringfieldBudgetDetail $25,000computersoftwarelicensefeerepresentstheMWMC’sproportionateshareofthe City’sAssetManagementSystemReplacementProject. The$25,000sharereflects2.5%oftheoverallprojectbudget($994,000).Theasset managementsystemupgradeincludesintegrationwithothersystemssuchaspipeddrainage andsurfacewaterwayfacilitiestosupportflowmonitoringandinfiltration/inflowprograms andintegrationwiththeCity’sfacilitiesmanagementsystem.Thesystemsupports engineeringdesigninprogramssuchasAutoCADandfacilitiesplanninginArcGIS.As systemimplementationoccursoverthenexttwoyears,integratedsupportfordeveloping capitalplans,andschedulesandimplementationplansforfacilitiesimprovementand expansionwillresultfromtheAssetManagementSystemReplacementProject.MWMC’s $25,000shareisone-timeinnatureaspartofthesystemacquisitionandimplementation. On-goingcostsarecurrentlyprojectedatabout$5,300annually,aftersystem implementation,foraproportionateshareofthetechnicalservicesupportandmaintenance agreement. Regulatory(WPCF/NPDES)Permits-$128,100,anincreaseof$9,286or8% TheregulatorypermitfeeamountinFY12-13fortheWaterPollutionControlFacility includingPretreatmentisprojectedabovetheFY11-12budgetamount. InternalFacilityRent-$39,775 InternalFacilityRentisbudgetedat$39,775inFY12-13andrepresentsaproportionate shareofCityfacilitiesthatareutilizedinsupportoftheMWMC.TheInternalFacilities RentisdesignedtoenabletheCity’sGeneralFundtocaptureareasonablereturnonthe investmentitmadeinpurchasingtheCityHallbuilding.Thischargeiscalculatedforall funds,butisonlychargedtocertainenterpriseandspecialrevenuefunds.Historically, chargeshavebeenappliedtotheMWMCbudgetwiththeexceptionofFY11-12andFY 10-11(asdisplayedinExhibit9),whentheCity’sbudgetprocessdidnotincludeInternal FacilityRents.ForcomparisonpurposesInternalFacilityRentactualcostswere$34,897in FY09-10and$42,592inFY08-09.ThecurrentFY12-13rateassumes$1persquarefoot, permonth,whichisestimatedtobeatypicalrateofofficespaceindowntownSpringfield. IndirectCosts-$322,103,anincreaseof$110,383or52% The$110,383increaseinIndirectCostsinFY12-13,whencomparedtoFY11-12isdueto achangeinmethodologyusedincalculatingIndirectCostsbasedonamethodology approvedbythefederalgovernmentandisinlinewiththeMWMCIntergovernmental Agreement(IGA).SpecificallytheIGAOperations,MaintenanceandAdministrative ServicesAgreement(April19,2001)Section2PaymentofServices,subsection2.1. Page28PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionSpringfieldBudgetDetail 5-YEARMWMCADOPTEDBUDGETCOMPARISON SPRINGFIELDADMINISTRATION $5,000,000 $4,500,000 $3,923,761 $3,875,032 $3,670,733 $3,609,970 $3,546,833 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $0 FY08-09FY09-10FY10-11FY11-12FY12-13 Note:*ChangecolumnandPercentChangecolumncompareproposedFY12-13budgettooriginallyadopted FY11-12budget. Page29PreliminaryFY12-13BUDGETANDCIP Metropolitan Wastewater Management Commission Springfield BudgetDetail Page 30 Preliminary FY 12-13 BUDGET AND CIP REGIONAL WASTEWATER PROGRAM BUDGET APPENDIX B EUGENE PROGRAM DETAIL MetropolitanWastewaterManagementCommissionEugeneBudgetDetail CITYOFEUGENE REGIONALWASTEWATERPROGRAMRESPONSIBILITIES TheWastewaterDivisionfortheCityofEugenemanagesall ProgramResponsibilities regionalwastewaterpollutioncontrolfacilitiesservingthe Administration&Management EugeneandSpringfieldUrbanGrowBoundaryareasunder FacilityOperations theIntergovernmentalAgreementfortheMetropolitan FacilityMaintenance WastewaterManagementCommission(MWMC).These BiosolidsManagement IndustrialSourceControl regionalfacilitiesincludetheEugene/SpringfieldRegional ManagementInformationServices WaterPollutionControlFacility(WPCF),theBiosolids ProjectManagement ManagementFacility,theBeneficialReuseSite,theBiocycle Farmsite,andregionalwastewaterpumpingstationsand transmissionsewers. Insupportofthewaterpollutioncontrolprogram,theDivisionprovidestechnicalservicesfor wastewatertreatment,managementofequipmentreplacementandinfrastructurerehabilitation, biosolidstreatmentandrecycling,andanindustrialsourcecontrolandpretreatmentprogramin conjunctionwithCityofSpringfieldstaff.Otherservicesincluderegionallaboratoryservices forwastewaterandwaterqualityanalysesandflowmonitoringontheregionalsanitarytrunk sewers. ADMINISTRATIVEANDMANAGEMENTSERVICES AdministrativeServicesprovidesmanagement,administrative,andofficesupporttothe WastewaterDivision.Thissupportincludesthegeneralplanning,directing,andmanagingof theactivitiesoftheDivision;developmentandcoordinationofthebudget;administrationof personnelrecords;andprocessingofpayroll,accountspayable,andaccountsreceivable.This sectionalsoprovidestrackingandmonitoringofallassetsfortheregionalwastewatertreatment facilitiesandclericalsupportforreception,telephoneservices,andothermiscellaneousneeds. TheAdministrativeservicesincludeoversightandcoordinationoftheDivision’s EnvironmentalManagementSystem,safety,andtrainingprograms.Anotherareathisprogram administersisthecoordinationoflocalandregionalbillingandrateactivities. REGIONALWASTEWATERTREATMENT-FACILITYOPERATIONS TheWastewaterDivisionoperatestheWPCFtotreatdomesticandindustrialliquidwastesto achieveaneffluentqualitythatprotectsandsustainsthebeneficialusesoftheWillamette River.TheWPCFisdesignedtotreatanaverageof49milliongallonsperday(mgd)ofdry weatherflow,withawetweatherpeakflowof277mgd.TheOperationssectionoptimizes wastewatertreatmentprocessestoensureeffluentqualityrequirementsaremetinanenergy efficientandcosteffectivemanner.Inaddition,theOperationssectionprovidescontinuous monitoringofthealarmfunctionsforallplantprocesses,regionalandlocalpumpstations,and theBiosolidsandBeneficialReuseSite. REGIONALWASTEWATERTREATMENT-FACILITYMAINTENANCE TheMaintenancesectionoftheWastewaterDivisionisresponsibleforpreservationofthe multi-milliondollarinvestmentintheequipmentandinfrastructureoftheWPCF.Thissection providesapreventativemaintenanceprogramtomaximizeequipmentlifeandperformance;a Page31PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionEugeneBudgetDetail correctivemaintenanceprogramforrepairingunanticipatedequipmentfailures;afacility maintenanceprogramtomaintainthebuildings,treatmentstructures,andgrounds;andastores unitthatpurchasesandstockspartsandsuppliesandassistswithprofessionalservices contracting.AlsoincludedwithintheMaintenancesection'schargearethepumpstationsand sewersintheregionalcollectionsystem,andthefacilitiesandequipmentattheBiosolids ManagementandBeneficialReuseSite. BIOSOLIDSMANAGEMENT TheResidualsManagementsectionoftheWastewaterDivisionmanagesthehandlingand beneficialreuseofthebiologicalsolids(biosolids)producedasaresultoftheactivatedsludge treatmentofwastewater.ThissectionoperatestheBiosolidsManagementFacility(BMF)and theBiocycleFarmlocatedatAwbreyLaneinEugene.Approximately4,000drytonsof biosolidsareproducedannuallybytheWPCF.Thesebiosolidsaretreatedusinganaerobic digestion,storedinfacultativelagoons(whichprovidesomeadditionaltreatmentbenefits),and thenprocessedthroughabeltfilterpressandair-driedtoreducethewatercontentandfacilitate transport.Thedriedmaterialisultimatelyappliedtoagriculturallandorirrigatedonpoplar treesattheBiocycleFarmasabeneficialfertilizerandsoilconditioner.Thissectionalso managestheBeneficialReuseSite,whichformerlyservedtotreatwastewaterfromfood processingoperations. INDUSTRIALSOURCECONTROL(Pretreatment)andANALYTICALSERVICES, SAMPLINGTEAM ThepretreatmentprogramisaregionalactivityimplementedjointlybytheCitiesofEugene andSpringfield.TheIndustrialSourceControlgroupoftheWastewaterDivisionischarged withadministeringthepretreatmentprogramfortheregulationandoversightofcommercial andindustrialwastewatersdischargedtothesanitarycollectionsystembyfixed-siteindustries inEugeneandbymobilewastehaulersintheEugeneandSpringfieldareas.Thisgroupisalso responsibleforensuringthatthesewastesdonotdamagethecollectionsystem,interferewith wastewatertreatmentprocesses,resultinthepass-throughofharmfulpollutantstotreated effluentorbiosolids,orthreatenworkerhealthorsafety. Thisresponsibilityisfulfilledthroughtheuseofapermitsystemforindustrialdischargers. Thispermitsystem,commontobothEugeneandSpringfield,implementsnecessarylimitations onwastecharacteristicsandestablishesinspection,monitoring,andreportingrequirementsfor documentingwastequalityandquantitycontrols.Thestaffisalsoresponsibleforlocatingnew industrialdischargesinEugeneandevaluatingtheimpactofnewnon-residentialdischargeson theWPCF.AsofDecember2011,therewere22significantindustrialusersunderpermitin Eugene.Thesectionalsohasresponsibilitiesrelatedtoenvironmentalspillresponseactivities. TheAnalyticalServicesgroupprovidesnecessaryanalyticalworkinsupportofwastewater treatment,residualsmanagement,industrialsourcecontrol,stormwatermonitoring,andspecial projectactivitiesoftheWastewaterDivision.Thelaboratory'sservicesincludesample handlingandanalysesofinfluentsewage,treatedwastewater,biosolids,industrialwastes, stormwater,andgroundwater.Informationfromthelaboratoryisusedtomaketreatment processcontroldecisions,documentcompliancewithregulatoryrequirements,demonstrate environmentalprotection,andensureworkerhealthandsafety. Page32PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionEugeneBudgetDetail TheSamplingTeamisresponsibleforthesamplingactivitiesrelatedtoregionalwastewater programfunctions.TheseincludetheEugenepretreatmentprogram,wastewatertreatment processcontrol,effluentandambientwaterquality,groundwaterquality,facultativesludge lagoons,andstormwatersamples.TheDivision’sEnvironmentalDataAnalystevaluatesand reportsonthesamplingdataforvariousprograms. MANAGEMENTINFORMATIONSERVICES(MIS) TheMISsectionprovidesservicesforelectronicdatagathering,analysis,andreportingas necessaryincompliancewithregulatoryrequirementsandmanagementfunctions.Thissection alsomaintainstheelectroniccommunicationlinkageswiththeCityofEugeneandtheRegional InformationSystem,andsuppliestechnicalexpertiseandassistanceintheselection,operation, andmodificationofcomputersystems(hardwareandsoftware)withintheDivision. PROJECTMANAGEMENT Managementofwastewatersystemimprovementsandongoingdevelopmentsiscarriedoutby theProjectManagementstaff.ActivitiesincludecoordinationofCIPactivitieswiththeCityof Springfieldstaff,problem-solvingandactionrecommendations,projectmanagement,technical research,coordinationofactivitiesrelatedtorenewaloftheNPDESwastewaterdischargepermit, computer-aideddesignandelectronicstorageofdesigndrawings,andplanningofprojectsto anticipateandpreparefornewregulatoryandoperationalrequirements.TheProject ManagementstaffdevelopsRequestforProposalsandRequestforQuotes,coordinatesspecial projectactivitiesbetweenworksections,andcoordinatestheprocurementofbuildingpermitsas necessaryinsupportofprojectactivities. PROGRAMSANDSIGNIFICANTSERVICE/EXPENDITURECHANGES InFY12-13,Eugenestaffwillsupportthefollowingmajorregionalinitiativesinadditionto ongoingoperationalactivities. ManagetheO&MresponsibilitiesoftheNPDESpermitsforthewastewaterdischarge andtreatmentplantstormwaterprogramsandtheLRAPAairemissionspermitforthe regionalwastewatertreatmentplant. Continuetoevaluateimpactsofregulatoryactions(suchasthefederalSSOandblending policydevelopment,WillametteRiverTMDLsimplementation,andanynewlyadopted statewaterqualitystandards)uponoperationalresponsibilities. ProvidetechnicalinputandO&Massessmentsrelatedtoproposedinitiativesfor addressingTMDLcompliance,greenhousegasemissioncontrols,andrenewableenergy objectives. Completescheduledmajorrehabilitation,equipmentreplacement,andothercapital projectsinanefficientandtimelymanner. WorkcooperativelyontheCIPelementsandeffectivelyintegratecapitalprojectwork withongoingO&Mactivities,withemphasisonmaintaininganeffectiveCIP managementandcoordinationprogramwithSpringfield. Page33PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionEugeneBudgetDetail Achieveongoingsustainableefficienciesbyinitiatingprojectstoreduceenergy consumption.ThisincludestheAerationBlowerprojectthatwillprovidesignificant ongoingelectricalenergysavings.Thetwo-yearprojectincludes$275,000thatwas budgetedintheFY11-12budgetfordesignandengineeringwork,andaproposed $1,360,000inFY12-13forequipmentandconstructioncoststocompletetheproject. ManagetheOperations&Maintenance(O&M)aspectsoftheBiocycleFarm,continuing thedevelopmentofthebiosolidsirrigationpracticesandpoplartreemanagement. SIGNIFICANTO&MBUDGETCHANGESFORFY12-13 TheproposedbudgetforEugeneOperationsandMaintenanceoftheregionalwastewatertreatment . facilities(personnel,materialsandservices,andcapitaloutlay)forFY12-13totals$12,509,757 Theamountrepresentsanincreaseof$396,929or3.3%fromtheFY11-12budget,asdisplayedin Exhibit10onpage35.Thelargestcostcentersfortheproposedbudgetarepersonnelcosts,utilities, materials,maintenance,andchemicals.DetailsofsignificantitemsandchangesproposedfortheFY 12-13OperationsandMaintenancebudgetascomparedtotheFY11-12budgetinclude: PersonnelServices PersonnelServicestotaling$7,732,894representsaFY12-13increaseof$287,271or3.9%.The majorchangesareinthefollowingbudgetcategories: StaffingLevel–77.25full-timeequivalent(FTE)staff,anincreaseof0.95FTE Anincreaseof0.95FTEFacilityMaintenanceWorkerisproposedforFY12-13.Thispositionis neededtoaddresstheincreasedfacilitymaintenanceworkloadduetoaginginfrastructureofthe originalplantaswellastherecentinfrastructurecapacityexpansion. RegularWages-$4,871,528,anincreaseof$145,506or3% Salariesarebasedupontheestimatedincreaseoftheupcomingnegotiatedmanagement/labor contractsbetweentheCityofEugeneandthelocalunion(AFSCME).ThecurrentAFSCME contractexpiresonJune30,2012.TheCostofLiving(COLA)isprojectedat2.0%.The increaseisalsoaresultofannualmeritincreasesforexistingstaff,asapplicable. EmployeeBenefits-$1,534,298,anincreaseof$49,362or3% TheemployeebenefitsconsistmainlyofPERS/OPSRPretirementsystemcostsandMedicare contributions. HealthInsurance-$1,149,667,anincreaseof$77,670or7% Theincreaseisbasedongroupclaimsexperienceandcostprojections.Costsarecalculated basedonthenumberofemployees. MaterialsandServices TheproposedMaterialsandServicesbudgettotaling$4,729,035andrepresentsanFY12-13 increaseof$78,830or1.7%.Themajorchangesareinthefollowingbudgetcategories: Utilities-$699,225,aof$76,120or10% reduction Thereductionisdueinparttoefficiencygainsinodorousaircontrols. Page34PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionEugeneBudgetDetail FleetOperatingCharges-$348,298,anincreaseof$45,476or15% Eachyearfleetratesareestimatedbyproportioninghistoriccostsbyvehiclecategory.Thisline itemisbasedonfleetratescalculatedusingthepreviousyear’sequipmentexpenditures. ContractualServices-$502,934,anincreaseof$101,028or25% Thisaccountincludesservicesforoutsidelabtesting,USGSwatermonitoring,poplartree pruningandgritdisposal.TheFY12-13budgetincreaseincludesone-timeexpensesincluding $68,900forcontractedmaintenaceofthemainelectricalfeedswitchgear,and$31,000foran Arcflashevaluationtoidentifyhazardsintheelectricalsystemandwhatsafetyprecautionsmust betakentoworkonindividualelectricalequipmentcomponents. 5-YEARMWMCADOPTEDBUDGETCOMPARISON EUGENE-OPERATIONSANDMAINTENANCE $14,000,000 $12,509,757 $12,112,828 $11,612,107 $12,000,000 $10,616,760 $10,198,461 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $0 FY08-09FY09-10FY10-11FY11-12FY12-13 Note:ChangecolumnandPercentChangecolumncompareadoptedFY11-12budgettoproposedFY12-13budget. Page35PreliminaryFY12-13BUDGETANDCIP Metropolitan Wastewater Management Commission Eugene Budget Detail EXHIBIT 11 EUGENE - OPERATIONS & MAINTENANCE LINE ITEM BUDGET SUMMARY PROPOSED ADOPTEDAMENDED CHANGE ACTUALBUDGETBUDGETBUDGET FY 10-11FY 11-12FY 11-12FY 12-13 INCR/(DECR) PERSONNEL SERVICES Regular Wages$4,401,7474,726,022$4,726,0224,871,528$145,5063% Extra Help392 - - -0 NA Overtime65,21094,64594,64594,64500% Employee Benefits1,315,5161,484,9361,484,9361,534,29849,3623% Workers' Comp/Unemploy Ins77,04668,02368,02382,75614,73322% Health Insurance941,3481,071,9971,071,9971,149,66777,6707% $6,801,259$7,445,623$7,445,623$7,732,894$287,271 TOTAL PERSONNEL SERVICES3.9% FTE75.5076.3076.3077.250.951.2% MATERIALS & SERVICES Utilities639,950775,345775,345699,225(76,120)-10% Fleet Operating Charges346,113302,822302,822348,29845,47615% Maintenance-Equip & Facilities288,293405,949405,949387,527(18,422)-5% Contractual Services355,333401,906401,906502,934101,02825% Materials & Program Expense438,032529,546529,546585,23655,69011% Chemicals326,926473,800473,800427,168(46,632)-10% Parts & Components262,799230,111230,111239,7619,6504% Risk Insurance - Employee Liability59,45365,86165,86166,7749131% Laboratory Equipment & Supplies72,41377,33877,33884,7777,43910% Computer Equip, Supplies, Maint146,723218,286256,786199,433(18,853)-9% Indirects801,5271,169,2411,169,2411,187,90218,6612% $3,737,562$4,650,205$4,688,705$4,729,035$78,830 TOTAL MATERIALS & SERVICES1.7% CAPITAL OUTLAY Motorized Vehicles00023,82823,828 NA Capital Outlay-Other017,00017,00024,0007,00041% $0$17,000$17,000$47,828$30,828 TOTAL CAPITAL OUTLAY181% LINE ITEM SUMMARY: EUGENE$10,538,821$12,112,828$12,151,328$12,509,757$396,9293.3% EQUIPMENT REPLACEMENT$259,055$720,355$732,938$229,767($490,588)-68% MAJOR REHAB$72,961$507,400$574,399$396,540($110,860)-22% MAJOR CAPITAL OUTLAY$0$275,000$275,000$1,360,000$1,085,000395% TOTAL$10,870,837$13,615,583$13,733,665$14,496,064$880,4816.5% Page 36 Preliminary FY 12-13 BUDGET AND CIP REGIONAL WASTEWATER PROGRAM BUDGET CAPITAL PROGRAM MetropolitanWastewaterManagementCommissionCapitalImprovementProgram REGIONALWASTEWATERPROGRAM CAPITALPROGRAMS Overview TheRegionalWastewaterProgram(RWP)includestwocomponents:theCapitalImprovement Program(CIP)andtheAssetManagementCapitalProgram(AMCP).TheFY12-13CIP Budget,theFY12-13AMCPBudget,andtheassociated5-yearCapitalPlanarebasedonthe 2004MWMCFacilitiesPlan(2004FP).The2004FPwasapprovedbytheMWMC,the governingbodiesoftheCityofEugene,theCityofSpringfield,LaneCounty,andtheOregon DepartmentofEnvironmentalQualityin2004.The2004FPandits20-yearcapitalprojectlist wastheresultofacomprehensiveevaluationoftheregionalwastewatertreatmentfacilities servingtheEugene-Springfieldmetropolitanarea. The2004FPbuiltonprevioustargetedstudies,includingthe1997MasterPlan,1997Biosolids ManagementPlan,2001WetWeatherFlowManagementPlan(WWFMP),andthe2003 ManagementPlanforadedicatedbiosolidslandapplicationsite.The2004FPwasintendedto meetchangingregulatoryandwetweatherflowrequirementsandtoservethecommunity’s wastewatercapacityandtreatmentneedsthrough2025.Accordingly,the2004FPestablished theCIPprojectlisttoprovidenecessaryfacilityenhancementsandexpansionsovertheplanning period.TheCIPisadministeredbytheCityofSpringfieldfortheMWMC.TheAMCP implementstheprojectsandactivitiesnecessarytomaintainfunctionality,lifespan,and effectivenessoftheMWMCfacilityassetsonanongoingbasis.TheAMCPisadministeredby theCityofEugenefortheMWMCandconsistsofthreesub-categories: EquipmentReplacementProgram MajorRehabilitationProgram MajorCapitalOutlay TheMWMChasestablishedthesecapitalprogramstoachievethefollowingRWPobjectives: Compliancewithapplicablelocal,state,andfederallawsandregulations Protectionofthehealthandsafetyofpeopleandpropertyfromexposuretohazardous conditionssuchasuntreatedorinadequatelytreatedwastewater ProvisionofadequatecapacitytofacilitatecommunitygrowthintheEugene-Springfield metropolitanareaconsistentwithadoptedlanduseplans Construction,operation,andmanagementoftheMWMCfacilitiesinamannerthatisas cost-effective,efficient,andaffordabletothecommunityaspossibleintheshortandlong term ImplementationoftheCitizensAdvisoryCommitteerecommendations,whichrepresent diversecommunityinterests,valuesandinvolvement,andthathavebeenadoptedbythe CommissionastheMWMC’splansandpolicies MitigationofpotentialnegativeimpactsoftheMWMCfacilitiesonadjacentusesand surroundingneighborhoods(ensuringthattheMWMCfacilitiesare“goodneighbors”as judgedbythecommunity) Page37PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram CapitalProgramFundingandFinancialPlanningMethodsandPolicies ThisannualbudgetdocumentpresentstheFY12-13CIPbudget,theFY12-13AMCPbudget, and5-yearCapitalPlanwhichincludestheCIPandAMCPCapitalPlan.TheMWMCCapital Programfinancialplanningandfundingmethodsareinaccordancewiththefinancial managementpoliciesputforthintheMWMC2005FinancialManagementPlan. EachofthetwoRWPcapitalprogramsreliesonfundingmechanismstoachieveRWPobjectives describedabove.TheCIPisfundedprimarilythroughproceedsfromrevenuebondsales,system developmentcharges,andtransfersfromtheOperatingFundtoCapitalReserves.TheAMCPis fundedthroughwastewateruserfees. Inadditiontorevenuebondsales,projectfinancingforcertainCIPprojectswasalsosecured throughtheCleanWaterStateRevolvingFund(CWSRF)loanprogramforqualifiedprojects. TheMWMCenteredintoCWSRFloanagreementswiththeStateofOregonDepartmentof EnvironmentalQuality(DEQ)in2008,2009,and2010thatallowtheMWMCtoborrowupto $20.8million. ThroughtheCWSRFloanprogram,loansupto$8,000,000,$7,500,000,and$4,000,000were approvedforTertiaryFiltration—Phase1,OdorousAirTreatment—Phase1,andPrimarySludge Thickeningprojects,respectively.Additionally,$1,279,200inCWSRFfinancingwasapproved fortheMWMCforCIPplanningefforts. Ofthe$8,000,000providedthroughtheTertiaryFiltrationprojectloan,$450,000iscurrently allocatedforriparianshadetreeplantingprojectstohelpaddresstheMWMC’spendingthermal loadobligations.Thefinancingofthesewatershed-basedprojectsismadeavailablethroughthe CWSRFprogramSponsorshipOption,whichprovidesfundingtotheborrowertoaddress nonpointsourcewaterqualitysolutionsthroughareducedinterestrate.Theinterestrate reductionallowstheMWMCtoinvestinwatershedimprovementsusingmoneythatwouldhave otherwisebeenpaidasinterestontheloan. Ofthe$7,500,000approvedloanfundingfortheOdorousAirTreatment—Phase1project, $4,000,000wasfundedthroughtheAmericanReinvestmentandRecoveryAct(ARRA,or “Stimulus”).Thisfundingwaspartofthefederalgovernment’seconomicstimulusprogram, withloansissuedunderfavorableconditionstostimulateinfrastructureandcapitalproject investment.TheARRAfundingagreementprovided50%oftheloaninforgivenprincipal,and theremaining50%ofprincipalpaymentbearing0%interest.Thisresultedin$2,000,000ofnet revenuetotheCIPinadditiontointerestsavings. TheRWP’soperatingfundismaintainedtopayforoperations,administration,debtservice, equipmentreplacementcontributionsandcapitalcontributionsassociatedwiththeRWP.The operatingfundderivesthemajorityofitsrevenuefromregionalwastewateruserfeesthatare collectedbytheCityofEugeneandCityofSpringfieldfromtheirrespectivecustomers.In accordancewiththeMWMC2005FinancialPlan,fundsremaininginexcessofbudgeted operationalexpenditurescanbetransferredfromtheoperatingfundtotheCapitalReservefund. Page38PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram TheCapitalReserveaccumulatesrevenuetohelpfundcapitalprojects,includingmajor rehabilitation,toreducetheamountofborrowingnecessarytofinancecapitalprojects. TheAMCPconsistsofthreeprogramsmanagedbytheCityofEugeneandfundedthrough regionalwastewateruserfees:TheEquipmentReplacementProgram,whichfundsreplacement ofequipmentvaluedatorover$10,000butlessthan$200,000;TheMajorRehabilitation Program,whichfundsrehabilitationofplantinfrastructuresuchasroofreplacements,structure coatings,etc.;andtheMajorCapitalOutlayProgramforcapitalitems(neworreplacement)with costsgreaterthan$200,000.TheMWMCassetsaretrackedthroughouttheirlifecycleusing assetmanagementtrackingsoftware.Basedonthisinformation,thethreeAMCPprogramannual budgetsareestablishedandprojectedforthefive-yearCapitalPlan. Forplanningpurposes,theMWMCmustconsidermarketchangesthatdrivecapitalproject expenditures.Specifically,theCIP’sCapitalPlanreflectsprojectedpricechangesovertimethat affectthecostofmaterialsandservices.Untilabout2003,the20-cityaverageEngineeringNews RecordConstructionCostIndex(ENRCCI)servedasagoodpredictorforfutureinflationand wasusedforprojectingtheMWMC’sconstructioncosts.Accordingly,constructioncost projectionsconsideredinthe2004FPwerebasedonJanuary2004,20-cityaverageENRCCI. However,intheperiod2004through2008,constructioninflationacceleratednationallywith localconstructioncostinflationacceleratingevenfasterthanthenationalaverage.Cityof Springfieldstaffidentifiedthistrendin2005andsubsequentlymodifiedtheirinflationary projectionmethodologyaccordingly. Inearly2006,theMWMChiredtheconsultingfirmCH2MHilltoperformacomprehensive updateofprojectcostestimates.Sincethe2006update,theRWP’sCIPhasassumedageneral priceincreaseoffive-percent-per-yearovertheplanningperiod. TheMWMCcontinuestomonitorinflationarytrendstoinformourforecastingofcapital improvementcosts.Indoingso,theCityofSpringfieldstaffhaveobservedthatwhileinthelast fewyearstheconstructionbiddingclimatehasbeenfavorablewhencomparedtoengineering estimates,mostrecentlybidshavecomeinclosertoengineeringestimates. RegionalWastewaterCapitalProgramStatusandBudget CIPProjectStatusandBudget TheproposedFY12-13CIPbudgetiscomprisedoftheindividualproposedbudgetsforeachof theactive(carryover)orstarting(new)projectsinthefirstyearofthe5-yearCapitalPlan.The totaloftheseFY12-13projectbudgetsis$21,587,796.Eachcapitalprojectrepresentedinthe FY12-13BudgetisdescribedindetailinaCIPprojectsheetthatcanbefoundattheendofthis document.Eachprojectsheetprovidesadescriptionoftheproject,theproject’spurposeand driver(thereasonfortheproject),thefundingschedulefortheproject,andtheproject’sexpected finalcostandcashflow.Forthoseprojectsthatareinprogress,ashortstatusreportisincluded ontheprojectsheet. Page39PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram CompletedCapitalProjects InFY11-12,onecapitalproject(theLineBiosolidsLagoon–Phase3project)isprojectedtobe completedandclosedout.NoCIPprojectsheetisincludedforthisprojectbecausethereisno expectedcarryoverofprojectfundstoFY12-13.TheLineBiosolidsLagoon–Phase3project willbecompletedwithintheappropriatedbudget. CarryoverCapitalProjects TheremainingfundingforactivecapitalprojectsinFY11-12iscarriedforwardtotheFY12-13 budget.Theon-goingcarryoverprojectsare: WetWeatherPlanning FacilitiesPlanEngineeringServices InfluentPumpingandHeadworksExpansion* SodiumHypochloriteConversion* PeakFlowManagementImprovements* OdorousAirTreatment–Phase2 PrimarySludgeThickening TertiaryFiltration–Phase1* EffluentReuse–Phases1&2 2010PartialFacilityPlanUpdate IncreaseDigestionCapacity* WasteActivatedSludgeThickening* Repair/PartialReplacementofBiosolidsForceMain LineBiosolidsLagoon–Phase4 Overall,thebudgetingfortheseprojectsfollows,andisconsistentwith,the2006CH2MHill estimatedcostofthelistedcapitalprojects.LandscapedesignandimplementationfortheWater PollutionControlFacilityisfundedthroughprojectsidentifiedwithanasteriskabove. NewProjects NonewCIPprojectswillbebudgetedintheFY12-13CapitalBudget. FY12-13CapitalBudgetSummary(Exhibit12) Exhibit12belowdisplaystheadjustedbudgetandend-of-yearexpenditureestimatesforFY11- 12,theamountoffundingprojectedtobecarriedovertoFY12-13andadditionalfundingfor existingand/ornewprojectsinFY12-13,andtheresultingFY12-13budget. Page40PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram EXHIBIT12 SummaryofFY12-13MWMCConstructionProgramCapitalBudget Page41PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram FY12-13AssetManagementCapitalProjectStatusandBudget EquipmentReplacementProgram TheFY12-13CapitalProgramsbudgetincludes$229,767inEquipmentReplacementpurchases thatareidentifiedonthetablebelow. GritCollectors. Theregionaltreatmentplant’sgritcollectorsareessentialtreatmentprocess equipmentthatmovesettledgrittotheintakeofthegritslurrypumps.Thegritslurryis subsequentlydewateredandproperlydisposed.Theexistingcollectorshavebeeninservicefor 16yearsandarecentinspectionconfirmedthattheyarenearingtheendoftheirusefullife. VariableFrequencyDrives .Theseparticulardrivesprovidepowerandcontroltotheregional treatmentplant’sW2Pumps.TheW2Pumpsarecriticalequipmentprovidingrecycledeffluent thatisusedacrosstheplantforavarietyofessentialapplications.ExamplesofW2wateruse includecoolingandsealwaterforprocessequipment,coolingwaterforcogeneration,chemical makeupwaterfordisinfectionanddechlorination,wash-downwater,surfacesprays,Biocycle Farmirrigation,andWaterPollutionControlFacility(WPCF)lawnandlandscapeirrigation. LocalControlPanelforReturnActivatedSludgePumps .Theregionaltreatmentplant’s returnactivatedsludgepumpsareessentialequipmenttothesecondarytreatmentprocess.The pump’slocalcontrolpanelhasbeeninservicefor28yearsandhasreachedtheendofitsuseful life.Thepumpsconveysettledsludgefromthesecondaryclarifierstotheaerationbasinsandthe solidshandlingcomplex. TotalOrganicCarbon(TOC)AnalysisSystem .TheTOCanalyzerislaboratoryequipment thatmeasurestheorganicfractionofcarboninwastewatersamples.Theanalysisisperformed onsamplesforBiosolidsManagementFacilitygroundwatermonitoring,ambientsurfacewater monitoring,andstormwatermonitoring. ComputerReplacement. Computerreplacementincludesscheduledreplacementofpersonal computersandlaptopcomputers. FleetReplacement. NofleetreplacementneedsareanticipatedforFY12-13. Page42PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram MajorRehabilitationProgram TheFY12-13CapitalProgramsbudgetincludes$396,540forMajorRehabilitationprojectsthat areidentifiedinthetablebelow. AirDryingBedResurfacing .Thebiosolidsdryingprocesstakesplaceon13asphaltdrying bedsovera25acrearea.Manyofthebedsrequireresurfacingtoextendtheirusefullife.InFY 11-12twobedswereresurfaced.InFY12-13twoadditionalbedswillberesurfaced. GritCollectorMetalRailCoating .Themetalrailsarecomponentsofthegritcollectorsthat arebeingreplaced.Therailsdonotrequirereplacementbutareinneedofrecoatingtoextend theirusefullife. BlockMasonryWallCoating .TheexteriorblockwalloftheOperationsBuildingatthe BiosolidsManagementFacilitywillbecoatedtoaddresssignsofmoisturepenetration(leakage) throughthewall. PretreatmentBuildingExteriorWallPainting/Sealing. TheexteriorwallsofthePretreatment BuildingareshowingsignsofUVdegradation.Theexteriorwallswillberecoatedtoprevent damagefrommoisturepenetration. Operations/MaintenanceBuildingImprovements .Thisexpenditurewillgotowards miscellaneousimprovements,repairs,andrenovationstoimprovethefunctionalityand usefulnessoftheOperationsand/orMaintenanceBuildings. Page43PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram MajorCapitalOutlay TheFY12-13CapitalProgramsbudgetincludes$1,360,000foroneMajorCapitalOutlayitem thatisidentifiedinthetablebelow. AerationBlowerReplacement .Thisexpenditurewillgotowardsthereplacementofa secondarytreatmentaerationbasinblower.Theexistingblowersaretheoriginalfixedspeed 1,000-horsepowerblowersandarefarlessenergyefficientthancurrentavailabletechnology. SummaryofFY12-13AMCPBudget ThefollowingtablesummarizesthethreeFY12-13AMCPprogrambudgetsdescribedabove. Five-YearCapitalPlan(Exhibit13) Foreachfiscalplanningcycle,onlythefirstyearofbudgetauthorityisappropriated.The remainingfouryearsoftheCIPandAMCPCapitalPlansareimportantandusefulforfiscaland workplanningpurposes.However,itisimportanttonotethatthefundsintheouteryearsofthe CapitalPlanareonlyplannedandnotappropriated.Also,thefullamountofobligatedmulti-year projectcostsistypicallyappropriatedinthefirstyearoftheproject,unlessasmallersubsetofthe project,suchasprojectdesign,canbeidentifiedandfundedwithoutbudgetingthefullestimated projectcost.Forthesemulti-yearcontracts,unspentfundsfromthefirstfiscalyearwilltypically becarriedovertothenextfiscalyearuntiltheprojectiscompleted.Accordingly,theRWP CapitalPlanpresentedhereinisasubsequentextensionoftheplanpresentedintheadoptedFY 11-12budgetthathasbeencarriedforwardbyoneyear.However,changestotheplantypically occurfromyeartoyearasmoreinformationbecomesavailable.InthisiterationoftheCapital Plan,significantchangesfromthelastfiscalyearinclude: ContinuationoffundingfortheFacilityPlanEngineeringServicesinFY16-17 Themajorityoffunding(thatportionnotassociatedwithlandscapemaintenance)forthe IncreaseDigestionCapacityandWasteActivatedSludgeThickeningprojectswas postponed(movedforwardontheschedule)bytwoyearsfromFY12-13toFY14-15. Thischangetotheplanreflectsarevisedunderstandingoftheprojecttimelinesbasedon Page44PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram recentwasteloaddata.Thetriggerandschedulefortheseprojectswillbefurther evaluatedinthe2010PartialFacilitiesPlanUpdateeffortcurrentlyunderway.(See Exhibit13,footnote) Exhibit13displaystheMWMCfive-yearcapitalplanprogramsbudget,includingcapital projectsandassestmanagementprojectsinthetotalamountsof$94,025,592whichincludes $83,806,196inplannedcapitalprojectsand$10,219,396inplannedassetmanagementcapital projects. Note:Thenon-landscapingportionoftheWasteActivatedSludgeThickeningandIncreaseDigestionCapacity projectbudgetsisrephasedtoFY14-15basedonwasteloadtrends. Page45PreliminaryFY12-13BUDGETANDCIP REGIONAL WASTEWATER PROGRAM BUDGET CAPITAL PROGRAM PROJECT SHEETS MetropolitanWastewaterManagementCommissionCapitalImprovementProgram LINEBIOSOLIDSLAGOONS–PHASE4 Description: Relineexistinglagoon(Phase4)attheBiosolidsManagementFacility(BMF). Status: AsofJanuary9,2012,thePhase4designphaseshouldstartinthesummerof2012. Justification: Existingclaylagoonlinersarereachingtheendofthematerial’susefullife.Anew syntheticlinerwillbeinstalledinthelagoons.InPhases1,2and3,thelinermaterial ofchoicewashighdensitypolyethylene.InthePhase1work,theconstruction contractorinstalledthemaincomponentsforanewdredgelateralmovementsystem forallfourlagoons,forimprovedoperationalsafetyandefficiency. ProjectDriver: TheMWMCproactivelydesirestoimprovethesafetyofBMFstaff,improve operationalreliabilityofthefacultativelagoons,andensureDEQcompliancerelated togroundwaterprotection. ProjectTrigger: Implementthephasedworkbasedonthe2005workplanscheduleprovidedfromthe MWMCtotheDEQ.Continuetomonitortheeffectivenessofthepreviousphasesof thelagoonliningupgrades.TheMWMCanticipatesrehabilitatingallfourexisting lagoons. ProjectType: 100%Rehabilitation EstimatedProjectCost: $3,300,000 ExpectedCashFlow: FY11-12=$50,000;FY12-13=$1,550,000;FY13-14$1,700,000 Prior2011-12 Expenditure/Category:YearsEst.Act.2012-132013-142014-152015-162016-17Total Design/Construction$0$50,000$3,250,000$0$0$0$0$3,300,000 Other$0$0$0$0$0$0$0$0 TotalCost$0$50,000$3,250,000$0$0$0$0$3,300,000 Page46PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram REPAIRAND/ORPARTIALREPLACEMENTOFBIOSOLIDSFORCEMAIN Description: Investigate,repair,and/orreplacesectionsofthebiosolidsforcemain(pipingsystem) wherestruvitedepositsreducethepipediameterandcannotberemovedbyanacid washingmethod.ThepipingsystemconnectstheWaterPollutionControlFacility(WPCF) totheBiosolidsManagementFacility(BMF).Aprojectestimateis$1.5millionthatmay requireadditionalfundingafterfurtherevaluationofthesystem. Status: AsofDecember27,2011,maintenancestaffiscollectinginformationneartheaccess locationsabouttheconditionoftheexistingMWMCbiosolidsforcemain(pipingsystem). Theinformationwillbeusedforprojectscopedetailsrelatedtoconsultantand constructionservices. Justification: Maintainsystemreliability.TheprojectwillrehabilitateportionsoftheexistingMWMC biosolidsconveyancesystem(WPCFtoBMF). ProjectDriver: Maintainsystemfunctionalityofthebiosolidsconveyancesystem. ProjectTrigger: Functionalityandcapacityissueswithintheexistingpipeline. ProjectType: 100%Rehabilitation EstimatedProjectCost: $1,500,000 ExpectedCashFlow: FY11-12=$150,000;FY12-13=$1,250,000;FY13-14=$100,000 Prior2011-12 Expenditure/Category:YearsEst.Act.2012-132013-142014-152015-162016-17Total Design/Construction$0$150,000$1,350,000$0$0$0$0$1,500,000 Other$0$0$0$0$0$0$0$0 TotalCost$0$150,000$1,350,000$0$0$0$0$1,500,000 Page47PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram WETWEATHERFLOWMANAGEMENTPLAN(year2010andbeyond) Description: EvaluatecollectionsystemflowmonitoringdatacollectedsincetheoriginalWWFMP(Wet WeatherFlowManagementPlan)whichwasfinalizedin2000.Updateandruncollection systemmodelandconfirm(revise)the2004MWMCFacilityPlanrecommendations. Continueevaluatingthewastewaterprivatelateralsystems,andinvestigatewaysto encourageorrequireprivatelateralrepairs.ThisprojectisacombinationoftwoMWMC FacilityPlanprojects–onefortheupdateofthe2001WWFMPreportandcontinuedwet weatherplanning,andoneforfurthersupportanddevelopmentofaprivatelateral program. Status: Thecollectionsystemmodelupdateportionoftheworkhasbeencompleted.Anongoing planningeffortisunderwaytoassessopportunitiestoreduceinfiltrationandinflow(I/I)and providereductiontargetstocost-effectivelyensurecompliancewithfederalandstate regulations.AregionalCapacityManagementOperationandMaintenance(CMOM) approachisunderconsideration. ProjectDriver: Continuetomonitorthewastewatercollectionsystemandrefineworkprogramstoreduce I/Ithatiscausedbywetweatherstormevents.Wastewaterprivatelateralinfiltration remainsanimportantissuetomonitorandaddress. ProjectTrigger: Scheduledupdate(WWFMPworkprograms)andaddressregulationrequirements. Improvement SDCEligibility: 11% EstimatedProjectCost :$532,000 ExpectedCashFlow: FY05-06=$6,028;FY06-07=$86,895;FY07-08=$42,589;FY08-09=$9,562 FY09-10=$14,724;FY10-11=$7,538;FY11-12=$113,054;FY12-13=$251,610 Est.Act. Expenditure/Category:PriorYears2011-122012-132013-142014-152015-162016-17Total Design/Construction00000000 Other$167,336$113,054$251,6100000$532,000 TotalCost$167,336$113,054$251,610$0$0$0$0$532,000 Page48PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram FACILITYPLANENGINEERINGSERVICESFACILITYPLANENGINEERINGSERVICES Description: Engineeringservicesforanalysis,projectdefinition,costestimating,andgeneralEngineeringservicesforanalysis,projectdefinition,costestimating,andgeneralEngineeringservicesforanalysis,projectdefinition,co stestimating,andgeneral consultationregardingconsultationregardingthe20-YearFacilitiesPlan. Status: Thisyear,workincludedcontinuedassistancewithplantwidecorrosioncontrolandThisyear,workincludedcontinuedassistancewithplantwidecorrosioncontrolandThisyear,workincludedcontinuedassistancewithplantwideco rrosioncontroland cathodicprotectionofpipingsystems,assistancebeforeandduringinstallationofrecycledcathodicprotectionofpipingsystems,assistancebeforeandduringinstallationofrecycledcathodicprotectionofpipingsystems,ass istancebeforeandduringinstallationofrecycled waterpipingsysteminconnectionwithwaterpipingsysteminconnectionwiththeCityofEugene’sWestBankBikePaththeCityofEugene’sWestBankBikePath Extensionproject,andtestingofelectricalloadscenariostosupportstaffinmanagingExtensionproject,andtestingofelectricalloadscenariostosupportstaffinmanagingExtensionproject,andtestingofelectricalloadscen ariostosupportstaffinmanaging plantoperationsduringanEWEBtemporaryshutdownoftheSantaClarafeeder.plantoperationsduringanEWEBtemporaryshutdownoftheSantaClarafeeder.plantoperationsduringanEWEBtemporaryshutdownoftheSantaClarafeeder. Justification: ProjectsweredevelopedtoProjectsweredevelopedtovaryinglevelsofspecificityinthe20-YearFacilitiesPlanandYearFacilitiesPlanand thereisanonthereisanon-goingneedtohaveaconsistenttechnicalandengineeringresourcetohelpgoingneedtohaveaconsistenttechnicalandengineeringresourcetohelp infurtherrefiningprojectsandgenerallyassistingwithimplementationoftheplan.Anotherinfurtherrefiningprojectsandgenerallyassistingwithimplementationoftheplan.Anotherinfurtherrefiningprojectsandgenerally assistingwithimplementationoftheplan.Another needaddressedbythisresourceisassurancethatthenewimprovementsmaintaintheaddressedbythisresourceisassurancethatthenewimprovementsmaintaintheaddressedbythisresourceisassurancethatthenewimprovementsmaint ainthe overallintegrityoftheplantintermsoftreatmentprocessesandhydraulics.overallintegrityoftheplantintermsoftreatmentprocessesandhydraulics.overallintegrityoftheplantintermsoftreatmentprocessesandhydraulic s. ProjectDriver: OngoinggoaltoefficientlyfollowandaccommodatetheupgradesresultingfromOngoinggoaltoefficientlyfollowandaccommodatetheupgradesresultingfromOngoinggoaltoefficientlyfollowandaccommodatetheupgradesresultin gfromthe20- YearFacilitiesPlan.YearFacilitiesPlan. ProjectTrigger: On-goingneed.goingneed. EstimatedProjectCost: $636,759(Note:Staffloweredtheforecastedannualbudgetneededforfacilityplan759(Note:Staffloweredtheforecastedannualbudgetneededforfacilityplan759(Note:Staffloweredtheforecastedannualbudgetneededforfacil ityplan engineeringservicesbasedonrecentyear’sactualcosts.Indoingso,staffnengineeringservicesbasedonrecentyear’sactualcosts.Indoingso,staffnengineeringservicesbasedonrecentyear’sactualcosts.Indoingso,staffno longer assumes5%inflationannuallyonthiseffort.Staffwillrevisitthefiveassumes5%inflationannuallyonthiseffort.Staffwillrevisitthefive-yearbudgetforthisyearbudgetforthis projecteachbudgetcyclebasedonbestavailabledata.)projecteachbudgetcyclebasedonbestavailabledata.) ExpectedCashFlow: FY06-07=$50,000;FY0707=$50,000;FY07-08=$50,044;FY08-09=$25,467; FY09-10=$31,829;FY1010=$31,829;FY10-11=$69,419;FY11-12=$60,000; FY12-13=$70,000;FY1313=$70,000;FY13-14=$70,000;FY14-15=$70,000; FY15-16=$70,000;FY1616=$70,000;FY16-17=$70,000 Est.Act. Expenditure/Category:PriorYears2011-122012-132013-142014-152015-1620166-17Total Design/Construction00000000 Other$226,759$60,000$70,000$70,00070,000$70,000$70,000$70,000$636,759 TotalCost$226,759$60,000$70,000$70,000$70,000$70,000$70,000$70,000$636,759 Page49PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram 2010PARTIALFACILITYPLANUPDATE Description: ThisisanupdatetotheFacilitiesPlanthatrevisitsandcheckstheassumptions, projections,andprojectcostsincludedinthe2004FacilitiesPlanconsideringcurrent regulatorylandscapeandtechnologicalstateoftheart,andmakesneededadjustments andrecommendations.ThisprojectisreceivingfundingthroughaCleanWaterState RevolvingFundloan. Status: PlanningeffortisunderwaywithengineeringconsultantCH2MHill Justification: Regulatoryrequirementsandsystemdataarenotstaticandtheplanmayrequirecourse correctiontomeetnewneeds. ProjectDriver: Adjustplanningfundamentalsasneededonafiveyearcycletobestreflectcurrent knowledgeofchangingconditions. ProjectTrigger: Scheduledupdate. Improvement SDCEligibility: 21% EstimatedProjectCost :$221,000 ExpectedCashFlow: FY10-11=$14,048;FY11-12=$126,381;FY12-13=$80,571 Expenditure/Category:PriorYearsEst.Act.2011-122012-132013-142014-152015-162016-17Total Design/Construction0000000$0 Other$14,048$126,381$80,5710$000$221,000 TotalCost$14,048$126,381$80,571$0$0$0$0$221,000 Page50PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionCapitalImprovementProgram 2015COMPREHENSIVEFACILITIESPLAN Description: AcomprehensiveFacilitiesPlaneffortwillbeimplementedin2015inaccordancewiththe 2004FacilitiesPlanrecommendedCIPschedule.Thisplanwillconsidera20-year planninghorizonandwilldrawonthemostrecentplantdata,regulatorylandscape,and availabletechnologyinordertoensuretheMWMCcontinuestomeetfutureregulations, environmentalstandards,andcustomerneeds. Status: Plannedforfutureimplementation. Justification: Planfutureconveyanceandtreatmentupgradesand/orexpansionstomeetregulatory requirements,preservepublichealthandregionalwaterqualitystandards. ProjectDriver: Planningforfacilitiesrequiredtoensurecontinuingcompliancewithregulations,andmeet customerservicesexpectationsinamannerthatthatwillachieve,sustain,andpromote balancebetweencommunity,environmental,andeconomicneeds. ProjectTrigger: Planningcycleinitiatedunderthe2004FacilitiesPlan. ProjectType: FacilitiesPlan Improvement SDCEligibility: Tobedetermined EstimatedProjectCost: $1,349,000 ExpectedCashFlow: FY13-14=$330,000;FY14-15=$676,000;FY15-16=$343,000 PriorEst.Act. Expenditure/Category:Years2011-122012-132013-142014-152015-162016-17Total Design/Construction$0$0$0$0$0$0$0$0 Other$0$0$0$0$1,349,000$0$0$1,349,000 TotalCost$0$0$0$0$1,349,000$0$0$1,349,000 Page51PreliminaryFY12-13BUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram INFLUENTPUMPINGIMPROVEMENTSANDHEADWORKSEXPANSIONINFLUENTPUMPINGIMPROVEMENTSANDHEADWORKSEXPANSION Description: ThisprojectprovidesinfluentpumpingimprovementsandheadworksexpansionrequiredThisprojectprovidesinfluentpumpingimprovementsandheadworksexpansionrequiredThisprojectprovidesinfluentpumpingimprovementsand headworksexpansionrequired toaccommodatetoaccommodateplanningthruyear2025peakwetweatherflowof277mgd.2025peakwetweatherflowof277mgd.Major componentsinclude:upgradestotheWillakenziePumpStation,expansionofthecomponentsinclude:upgradestotheWillakenziePumpStation,expansionofthecomponentsinclude:upgradestotheWillakenziePumpStation,expansion ofthe headworksfheadworksfacilitieswithnewscreeningandgritremovalequipment,anewInfluentPumpacilitieswithnewscreeningandgritremovalequipment,anewInfluentPump StationattheWaterPollutionControlFacility(WPCF),improvementstotheregionalforceStationattheWaterPollutionControlFacility(WPCF),improvementstotheregionalforceStationattheWaterPollutionControlFacility(W PCF),improvementstotheregionalforce mainsystemattwooffmainsystemattwooff-sitelocations,andlandscaping.Duetothetimecriticalnaturesitelocations,andlandscaping.Duetothetimecriticalnatureof thisproject,itwasdeliveredusingaConstructionManager/GeneralContractor(CM/GC)thisproject,itwasdeliveredusingaConstructionManager/GeneralContractor(CM/GC)thisproject,itwasdeliveredusingaConstructionMan ager/GeneralContractor(CM/GC) projectdeliveryprocessthattheCommissionapproved.projectdeliveryprocessthattheCommissionapproved. Status: ConstructioncompletedbyWildish.TheremainingbudgetedmoneywillhelpfundtheConstructioncompletedbyWildish.TheremainingbudgetedmoneywillhelpfundtheConstructioncompletedbyWildish.Theremainingbudgetedmoneyw illhelpfundthe WPCFlandscapeprojectrelatedtotheMWMCConditionalUsePermit(CUP)WPCFlandscapeprojectrelatedtotheMWMCConditionalUsePermit(CUP)WPCFlandscapeprojectrelatedtotheMWMCConditionalUsePermit(CUP) requirements.requirements. Justification: ImprovedinfluentpumpingandheadworkshydrauliccapacityareImprovedinfluentpumpingandheadworkshydrauliccapacityarerequiredtoincreasetotalrequiredtoincreasetotal plantinfluenthydrauliccapacityto277mgd(theforecastedyear2025peakflow)andtoplantinfluenthydrauliccapacityto277mgd(theforecastedyear2025peakflow)andtoplantinfluenthydrauliccapacityto277mgd(theforecaste dyear2025peakflow)andto meetredundancyrequirementsforpumpingandscreening.meetredundancyrequirementsforpumpingandscreening. ProjectDriver: AbilitytoprovidetreatmenttopeakflowsandsystematicelimAbilitytoprovidetreatmenttopeakflowsandsystematiceliminationofsanitarysewerinationofsanitarysewer overflowsbyyear2010.overflowsbyyear2010. ProjectTrigger: CollectionsystemcomputermodelestimatesthecurrentwetweatherpeakflowtoplanttoCollectionsystemcomputermodelestimatesthecurrentwetweatherpeakflowtoplanttoCollectionsystemcomputermodelestimatesthecurrentw etweatherpeakflowtoplantto be264mgd.The2009upgradesincreasedtheheadworkshydrauliccapacityfrom175be264mgd.The2009upgradesincreasedtheheadworkshydrauliccapacityfrom175be264mgd.The2009upgradesincreasedtheheadworkshydrauliccapacit yfrom175 mgdto277mgdmgdto277mgd(peakflows). ProjectType: 100%Capacity100%Capacity Improvement SDCEligibility: 38% EstimatedProjectCost :$28,054,000(partoftheproject8,054,000(partoftheprojectbudgetsupportsthetreatmentplantlandscapeupgrades).thetreatmentplantlandscapeupgrades). ExpectedCashFlow: FY05-06=$16,348;06=$16,348;FY06-07=$376,293;FY07-08=$2,132,064; FY08-09=$9,644,009;FY0909=$9,644,009;FY09-10=14,950,783;FY10-11=$482,947;11=$482,947; FY11-12=$229,556;12=$229,556;FY12-13=$110,000;FY13-14=$112,000 Est.Act. Expenditure/Category:PriorYears2011-122012-132013-142014-152015-1620162016-17Total Design/Construction$27,602,444$229,556$222,000$0$0$0$0$28,054,000 Other$0$0$0$0$0$0$0$0 TotalCost$27,602,444$229,556$222,000$0$0$0$0$28,054,000 Page52PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram AERATIONBASINIMPROVEMENTSAERATIONBASINIMPROVEMENTS–PHASE2 Description: AerationBasin(Phase2):Addstepfeed,anoxicselectors,andfinebubblediffusersto4Basin(Phase2):Addstepfeed,anoxicselectors,andfinebubblediffusersto4Basin(Phase2):Addstepfeed,anoxicselectors,andfinebubbledi ffusersto4 ofthe8cellsoftheaerationbasinsandmakehydraulicimprovements.Thisprojectwasofthe8cellsoftheaerationbasinsandmakehydraulicimprovements.Thisprojectwasofthe8cellsoftheaerationbasinsandmakehydraulicimprove ments.Thisprojectwas originallytheNorthAerationBasinImprovementsproject;howeverthePhaseoriginallytheNorthAerationBasinImprovementsproject;howeverthePhaseoriginallytheNorthAerationBasinImprovementsproject;howeverthePhase1 study/designphaseshowedthatimprovementstothefoureasternmostbasinsasafirststudy/designphaseshowedthatimprovementstothefoureasternmostbasinsasafirststudy/designphaseshowedthatimprovementstothefoureaste rnmostbasinsasafirst phasewouldallowforbetterhydraulicsandmoreoperationalflexibility.phasewouldallowforbetterhydraulicsandmoreoperationalflexibility.phasewouldallowforbetterhydraulicsandmoreoperationalflexibility. Status: TheAerationBasin(Phase2)projectisanticipatedtostartdesigndevelopmenTheAerationBasin(Phase2)projectisanticipatedtostartdesigndevelopmenTheAerationBasin(Phase2)projectisanticipatedtostartdesigndevelopm entin2016. Justification: Increasethedryweatheraerationbasintreatmentcapacitywithrespecttoammonia(withIncreasethedryweatheraerationbasintreatmentcapacitywithrespecttoammonia(withIncreasethedryweatheraerationbasintreatmentcapa citywithrespecttoammonia(with nitrification)andincreasethewetweathertreatmentcapacity.nitrification)andincreasethewetweathertreatmentcapacity. ProjectDriver: NPDES(NationalPollutionDischargeEliminationNPDES(NationalPollutionDischargeEliminationSystem)permitincludesammonialimitSystem)permitincludesammonialimit requiringnitrificationindryweatherandexpansionofwetweathercapacitytotreatwetrequiringnitrificationindryweatherandexpansionofwetweathercapacitytotreatwetrequiringnitrificationindryweatherandexpansiono fwetweathercapacitytotreatwet weatherflowstomeetNPDESpermitmonthlyandweeklysuspendedsolidslimits.weatherflowstomeetNPDESpermitmonthlyandweeklysuspendedsolidslimits.weatherflowstomeetNPDESpermitmonthlyandweeklysuspendedsolidslimit s. ProjectTrigger: AddresswaterqualityrequireAddresswaterqualityrequirements(needtoevaluatetheupcomingMWMCNPDESments(needtoevaluatetheupcomingMWMCNPDES permitrenewalrequirements).permitrenewalrequirements). ProjectType: 50%Capacity;50%Performance50%Capacity;50%Performance Improvement SDCEligibility: 59% EstimatedProjectCost: $12,461,000$12,461,000 ExpectedCashFlow: FY16-17=$1,500,000;FY1717=$1,500,000;FY17-18=$8,600,000;FY18-19=$2,361,00019=$2,361,000 Prior20112011-12 Expenditure/Category:YearsEst.Act.Est.Act.2012-132013-142014-152015-1620162016-17Total Design/Construction$0$0$0$0$0$0$12,461,000$12,461,000$12,461,000 Other00000000 TotalCost$0$0$0$0$0$0$12,461,000$12,461,000$12,461,000 Page53PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram SODIUMHYPOCHLORITECONVERSIONSODIUMHYPOCHLORITECONVERSION Description: ConvertthechlorinegassystemtosodiumhypochloriteforthebaseandwetweatherConvertthechlorinegassystemtosodiumhypochloriteforthebaseandwetweatherConvertthechlorinegassystemtosodiumhypochloriteforthebasean dwetweather flows.Retaintheexistingchlorinecontactbasinsforthedisinfectionprocess.Installnewflows.Retaintheexistingchlorinecontactbasinsforthedisinfectionprocess.Installnewflows.Retaintheexistingchlorinecontactb asinsforthedisinfectionprocess.Installnew systemwithcapabilityforhighratedisinfectionofprimaryeffluentdiversisystemwithcapabilityforhighratedisinfectionofprimaryeffluentdiversisystemwithcapabilityforhighratedisinfectionofprimaryeffluentdiver sionusingdosages ofsodiumhypochloriteintoanewcontactbasinstructure.Thenewcontactbasinhasofsodiumhypochloriteintoanewcontactbasinstructure.Thenewcontactbasinhasofsodiumhypochloriteintoanewcontactbasinstructure.Thenewc ontactbasinhas beensplitoffofthisprojectandwasinstalledinadifferentMWMCproject(PeakFlowbeensplitoffofthisprojectandwasinstalledinadifferentMWMCproject(PeakFlowbeensplitoffofthisprojectandwasinstalledinadifferentMWM Cproject(PeakFlow ManagementImprovements),sothebudgetforthatportionofthepManagementImprovements),sothebudgetforthatportionoftheprojecthasalsobeenrojecthasalsobeen moved.Staffincludedupgradesoftheexistingrecreationalvehicle(RV)wastewaterdumpmoved.Staffincludedupgradesoftheexistingrecreationalvehicle(RV)wastewaterdumpmoved.Staffincludedupgradesoftheexistingrecre ationalvehicle(RV)wastewaterdump stationtoaccommodateboatwastewaterdumpingintheconstructionbiddocumentsforstationtoaccommodateboatwastewaterdumpingintheconstructionbiddocumentsforstationtoaccommodateboatwastewaterdumpingintheconstru ctionbiddocumentsfor thesodiumhypochloriteconversionproject.Theboatwastewthesodiumhypochloriteconversionproject.Theboatwastewaterdumpmodificationwasaterdumpmodificationwas designedandgrantfundedbytheOregonStateMarineBoardthattheMWMCapproveddesignedandgrantfundedbytheOregonStateMarineBoardthattheMWMCapproveddesignedandgrantfundedbytheOregonStateMarineBoardthattheMWMCapp roved forimplementationattheSeptember21,2006,publicmeeting.forimplementationattheSeptember21,2006,publicmeeting. Status: TheupgradeddisinfectionsystemhasbeencontinuouslyusedsinceMarchof2010.AsofTheupgradeddisinfectionsystemhasbeencontinuouslyusedsinceMarchof2010.AsofTheupgradeddisinfectionsystemhasbeencontinuouslyuseds inceMarchof2010.Asof December23,2011,EmeryandSonsConstructionandavendor(productprovider)December23,2011,EmeryandSonsConstructionandavendor(productprovider)December23,2011,EmeryandSonsConstructionandavendor(productprovide r) submittedrecommendationstoimprovethesodiumhypochloriteinjection/mixingsystemsubmittedrecommendationstoimprovethesodiumhypochloriteinjection/mixingsystemsubmittedrecommendationstoimprovethesodiumhypoc hloriteinjection/mixingsystem relatedtothespecifiedperformancerequirements.StaffandtheMWMCdesigntedtothespecifiedperformancerequirements.StaffandtheMWMCdesigntedtothespecifiedperformancerequirements.StaffandtheMWMCdesign consultantarereviewingtheconstructionreconsultantarereviewingtheconstructionre-submittalinformationanddetails.submittalinformationanddetails. Justification: LiquidsodiumhypochloriteandsodiumbisulfitesystemwillreplacetheexistingLiquidsodiumhypochloriteandsodiumbisulfitesystemwillreplacetheexistingLiquidsodiumhypochloriteandsodiumbisulfitesystemwillreplace theexistingchlorine andsulfurdioxidegassystemsandincreasethedisinfectioncapacityfrom175mgdto277andsulfurdioxidegassystemsandincreasethedisinfectioncapacityfrom175mgdto277andsulfurdioxidegassystemsandincreasethedisinfect ioncapacityfrom175mgdto277 mgd(peakflows).Thehighratedisinfectionoftheprimaryeffluentisakeycomponentofmgd(peakflows).Thehighratedisinfectionoftheprimaryeffluentisakeycomponentofmgd(peakflows).Thehighratedisinfectionoftheprimar yeffluentisakeycomponentof theprimary/secondarysplittreatmentprocess,whichisneededftheprimary/secondarysplittreatmentprocess,whichisneededformeetingthepeakflowormeetingthepeakflow capacityneedsofthewastewatertreatmentplant.capacityneedsofthewastewatertreatmentplant. ProjectDriver: Operatorandcommunitysafetyandmeetingflowcapacityrequirementsforpeakflows.Operatorandcommunitysafetyandmeetingflowcapacityrequirementsforpeakflows.Operatorandcommunitysafetyandmeetingflowcapacityrequi rementsforpeakflows. ProjectTrigger: PhasingwithotherrelatedMWMCprojectsandPhasingwithotherrelatedMWMCprojectsandtomeetpeakflowtreatmentrequirements.kflowtreatmentrequirements. ProjectType: 50%Capacity;50%Capacity;50%Performance Improvement SDCEligibility: 25% EstimatedProjectCost: $7.8million(partoftheprojectbudgetsupportsthetreatmentplantlandscapeupgrades).(partoftheprojectbudgetsupportsthetreatmentplantlandscapeupgrades). ExpectedCashFlow: FY06-07=$1,353;FY0707=$1,353;FY07-08=$594,520;FY08-09=$3,319,347;FY0909=$3,319,347;FY09-10=$102,501; FY10-11=$180,326;FY1111=$180,326;FY11-12=$600,000;FY12-13=$300,000; FY13-14=$2,14=$2,701,953 2011-12 Expenditure/Category:PriorYearsEst.Act.2012-132013-142014-152015-162016-17Total Design/Construction$3,993,045$600,000$3,206,955$0$0$0$0$7,800,000 Other$0$0$0$0$0$0$0$0 TotalCost$3,993,045$600,000$3,206,955$0$0$0$0 $7,800,000 Page54PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram PEAKFLOWMANAGEMENTIMPROVEMENTSMANAGEMENTIMPROVEMENTS Description: ThePeakFlowManagementprojectcombinesseveralprojectelementsdescribedintheThePeakFlowManagementprojectcombinesseveralprojectelementsdescribedintheThePeakFlowManagementprojectcombinesseveralprojecteleme ntsdescribedinthe 2004MWMCFacilitiesPlanintooneconstructionproject.Theseare1)theParallel2004MWMCFacilitiesPlanintooneconstructionproject.Theseare1)theParallel2004MWMCFacilitiesPlanintooneconstructionproject.Theseare1) theParallel Primary/SecondaryPrimary/SecondaryTreatmentproject,2)theBanksideOutfallproject,3)theOutfallMixingTreatmentproject,2)theBanksideOutfallproject,3)theOutfallMixing ZoneStudy,and4)thedesignandconstructionofthehighratedisinfectionbasins,whichZoneStudy,and4)thedesignandconstructionofthehighratedisinfectionbasins,whichZoneStudy,and4)thedesignandconstructionofthehig hratedisinfectionbasins,which waspulledoutoftheSodiumHypochloriteConversionprojectandaddedtothePeakFlowwaspulledoutoftheSodiumHypochloriteConversionprojectandaddedtothePeakFlowwaspulledoutoftheSodiumHypochloriteConversionprojecta ndaddedtothePeakFlow Managementproject.Theseprojectelementscombinetoprovidethehydraulicagementproject.Theseprojectelementscombinetoprovidethehydraulicagementproject.Theseprojectelementscombinetoprovidethehydraulic infrastructurenecessarytoconveythepeakflowthroughtheplant,splittheflowintotheinfrastructurenecessarytoconveythepeakflowthroughtheplant,splittheflowintotheinfrastructurenecessarytoconveythepeakflowthr oughtheplant,splittheflowintothe parallelprimaryandsecondarytreatmentprocess,provideadditionaldisinfectioncapacityparallelprimaryandsecondarytreatmentprocess,provideadditionaldisinfectioncapacityparallelprimaryandsecondarytreatmentp rocess,provideadditionaldisinfectioncapacity, anddischargethetreatedflowinaccordancewiththe2004MWMCFacilitiesPlan.anddischargethetreatedflowinaccordancewiththe2004MWMCFacilitiesPlan.anddischargethetreatedflowinaccordancewiththe2004MWMCFacilities Plan. Status: ConstructioncompletedbyWildish.TheremainingbudgetedmoneywillhelpfundtheConstructioncompletedbyWildish.TheremainingbudgetedmoneywillhelpfundtheConstructioncompletedbyWildish.Theremainingbudgetedmoneyw illhelpfundthe WaterPollutionControlFacility(WPCF)landscapeprojectrelatedtotheMWMCWaterPollutionControlFacility(WPCF)landscapeprojectrelatedtotheMWMCWaterPollutionControlFacility(WPCF)landscapeprojectrelatedtotheMW MC ConditionalUsePermit(CUP)requirements.ConditionalUsePermit(CUP)requirements. Justification: Thisprojectexpandsthepeakwetweathertreatmentcapacityto277mgdthroughflowThisprojectexpandsthepeakwetweathertreatmentcapacityto277mgdthroughflowThisprojectexpandsthepeakwetweathertreatmentcapacityto277 mgdthroughflow managementtechniques.managementtechniques. ProjectDriver: TheDepartmentofEnvironmentalQualityTheDepartmentofEnvironmentalQuality(DEQ)andOregonAdministrativeRules(OAR)(DEQ)andOregonAdministrativeRules(OAR) relatedtowinterpeakwetweatherflow(5relatedtowinterpeakwetweatherflow(5-year,24-hourrainevent). ProjectTrigger: EliminationofsanitaryseweroverflowsbyJanuary1,2010,relatedtoOAR.EliminationofsanitaryseweroverflowsbyJanuary1,2010,relatedtoOAR.EliminationofsanitaryseweroverflowsbyJanuary1,2010,relatedtoOAR. ProjectType: 100%Capacity100%Capacity Improvement SDCEligibility: 30.2% EstimatedProjectCost :$19,054,000(partoftheprojectbudgetsupportsthetreatmentplantlandscapeupgrades).19,054,000(partoftheprojectbudgetsupportsthetreatmentplantlandscapeupgrades).19,054,000(partoftheprojectbudgetsupportsth etreatmentplantlandscapeupgrades). ExpectedCashFlow: FY06-07=$28,913;FY0707=$28,913;FY07-08=$1,499,833;FY08-09=$9,525,527;09=$9,525,527; FY09-10=$5,934,957;FY100=$5,934,957;FY10-11=$161,083;FY11-12=$690,000; FY12-13=$13=$250,000;FY13-14=$963,687 2011-12 Expenditure/Category:PriorYearsEst.Act.2012-132013-142014-152015-1620162016-17Total Design/Construction$17,150,313$690,000$1,213,687$0$0$0$0$19,054,000 Other$0$0$0$0$0$0$0$0 TotalCost$690,000$1,213,687$0$0$0$0$19,054,000 $17,150,313 Page55PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram ODOROUSAIRTREATMENT–PHASEPHASE Description: ProvideodorousairconveyanceductworkandtankcoversassociatedwiththenewProvideodorousairconveyanceductworkandtankcoversassociatedwiththenewProvideodorousairconveyanceductworkandtankcoversassociatedwitht henew PrimarySludgeThickener.PrimarySludgeThickener. Status: OdorousAirTreatmentPhase2upgradesarebeingimplementedthroughthePrimaryOdorousAirTreatmentPhase2upgradesarebeingimplementedthroughthePrimaryOdorousAirTreatmentPhase2upgradesarebeingimplementedthroughth ePrimary SludgeThickening(nowinconstruction)andOdorousSludgeThickening(nowinconstruction)andOdorousAirPhase1projects.TheOdorousAirPhase1projects.TheOdorous AirPhase1workwascompletedinFY10AirPhase1workwascompletedinFY10-11. Justification: CompliancewithConditionalUsePermitrequirementsand“goodneighbor”policytoCompliancewithConditionalUsePermitrequirementsand“goodneighbor”policytoCompliancewithConditionalUsePermitrequirementsand“goodnei ghbor”policyto reduceodorimpactsonthesurroundingcommunity.reduceodorimpactsonthesurroundingcommunity. ProjectDriver: MaintainMWMC’sstatusasenvironmentalstewards.AddressneighborhoododorntainMWMC’sstatusasenvironmentalstewards.AddressneighborhoododorntainMWMC’sstatusasenvironmentalstewards.Addressneighborhoododor complaintsandcommunityconcernsregardingodors.complaintsandcommunityconcernsregardingodors. ProjectTrigger: Constructionofneworexpandedfacilitiesrequiringodorcontrolupgrades.Constructionofneworexpandedfacilitiesrequiringodorcontrolupgrades.Constructionofneworexpandedfacilitiesrequiringodorcontrolupgrades.O dorousAir TreatmentPhase2workTreatmentPhase2workisbeingcoordinatedwiththedesignandconstructionofthenewisbeingcoordinatedwiththedesignandconstructionofthenew primarysludgethickener.primarysludgethickener. ProjectType: 100%Performance100%Performance Improvement SDCEligibility: 26% EstimatedProjectCost :$530,498(Notetheanticipatedprojectcostisreducedfrom(Notetheanticipatedprojectcostisreducedfromthepreviousbudgetyeartothepreviousbudgetyearto reflectsynergiesandchangesfromtheoriginalscopeasdescribedinthe2004Facilitiesreflectsynergiesandchangesfromtheoriginalscopeasdescribedinthe2004Facilitiesreflectsynergiesandchangesfromtheoriginalscopea sdescribedinthe2004Facilities Plan) ExpectedCashFlow: FY10-11=$36,498;11=$36,498;FY11-12=$264,000;FY12-13=$230,000 Prior2011-12 Expenditure/Category:YearsEst.Act.2012-132013-142014-152015-162012016-17Total Design/Construction$36,498$264,000$230,000$0$0$0$0$530,498 Other$0$0$0$0$0$0$0$0 TotalCost$36,498$264,000$230,000$0$0$0$0$530,498 Page56PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram PRIMARYSLUDGETHICKENING Description: Installationofprimarysludgegravitythickeningfacilities,upgradeprimarysludgepumpingInstallationofprimarysludgegravitythickeningfacilities,upgradeprimarysludgepumpingInstallationofprimarysludgegravityt hickeningfacilities,upgradeprimarysludgepumping andpipingsystems,installsupernatantoverflowpumpingandpiping,andthickenedandpipingsystems,installsupernatantoverflowpumpingandpiping,andthickenedandpipingsystems,installsupernatantoverflowpumpingandpi ping,andthickened sludgepiping/pumpingtodigesters.sludgepiping/pumpingtodigesters. Status: Constructionphase.tionphase. Justification: Optimizedigestercapacityandperformancethroughprovisionofthickersludgefeed.AlsoOptimizedigestercapacityandperformancethroughprovisionofthickersludgefeed.AlsoOptimizedigestercapacityandperformancethrou ghprovisionofthickersludgefeed.Also tothickensludgeindedicatedtankoutsideoftheprimaryclarifiestoincreaseprimarytothickensludgeindedicatedtankoutsideoftheprimaryclarifiestoincreaseprimarytothickensludgeindedicatedtankoutsideoftheprimary clarifiestoincreaseprimary treatmentcapacityandavoidwashoutofstreatmentcapacityandavoidwashoutofsolidsduringpeakflowevent.olidsduringpeakflowevent. ProjectDriver: MeetclassBbiosolidsrequirementsduringpeaktwoMeetclassBbiosolidsrequirementsduringpeaktwo-weeksolidsloadingeventwithallweeksolidsloadingeventwithall threeexistingdigestersinservice.threeexistingdigestersinservice. ProjectTrigger: AvailabilityofsludgethickeningcapacityisneededpriortoaddiAvailabilityofsludgethickeningcapacityisneededpriortoaddingafourthdigester.ngafourthdigester. ProjectType: 100%Capacity100%Capacity Improvement SDCEligibility: 65% EstimatedProjectCost :$4,498,000(MWMCreceivedaCleanWaterStateRevolvingFundloanfortheprimary(MWMCreceivedaCleanWaterStateRevolvingFundloanfortheprimary sludgethickeningprojectsludgethickeningproject.Partoftheprojectbudgetsupportsthetreatmentplantsupportsthetreatmentplant landscapeimprovements.landscapeimprovements.). ExpectedCashFlow: FY07-08=$08=$9,730;FY08-09=$40,606FY09-10=$501,876;FY1010-11=$375,533; FY11-12=$2,485,526;FY1212=$2,485,526;FY12-13=$1,084,729 Prior2011-12 Expenditure/Category:YearsEst.Act.2012-132013-142014-152015-162016-17Total Design/Construction$927,745$2,485,526$2,485,526$1,084,729$0$0$0$0$4,498,000 $0$0$0$0$0$0$0 Other$0 TotalCost$927,745$2,485,526$2,485,526$1,084,729$0$0$0$0$4,498,000 Page57PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram TERTIARYFILTRATION-PHASE1 Description: Thephasedworkprogramwillinstallinfrastructure/supportfacilitiesfor30mgdoffiltersforThephasedworkprogramwillinstallinfrastructure/supportfacilitiesfor30mgdoffiltersforThephasedworkprogramwillinstallin frastructure/supportfacilitiesfor30mgdoffiltersfor tertiaryfiltrationofsecondarytreatedeffluent.Thefirstphase/projectwillonlyinstallfiltertertiaryfiltrationofsecondarytreatedeffluent.Thefirstphase/projectwillonlyinstallfiltertertiaryfiltrationofsecon darytreatedeffluent.Thefirstphase/projectwillonlyinstallfilter systemtechnologysufficientfor10mgdoftreatment.Futureprojectswillinstallthesystemtechnologysufficientfor10mgdoftreatment.Futureprojectswillinstallthesystemtechnologysufficientfor10mgdoftreatment.Futur eprojectswillinstallthe remainingfiltertechnology.Someoftheprojectfundingwillsupportthetreatmentplantremainingfiltertechnology.Someoftheprojectfundingwillsupportthetreatmentplantremainingfiltertechnology.Someoftheprojectfun dingwillsupportthetreatmentplant landscapeupgrades.landscapeupgrades. Status: AsofDecember27,2011,theTertiaryFiltratAsofDecember27,2011,theTertiaryFiltration(Phase1)projectisnearingtheendoftheion(Phase1)projectisnearingtheendofthe constructionphaseandisintheprocessofcommissioningthenewequipment.Pacificconstructionphaseandisintheprocessofcommissioningthenewequipment.Pacificconstructionphaseandisintheprocessofcommissioningthenew equipment.Pacific Excavation,Inc.istheMWMCgeneralcontractor.Excavation,Inc.istheMWMCgeneralcontractor. Justification: Upto10mgdoffiltrationisrequiredinthefirsUpto10mgdoffiltrationisrequiredinthefirstphasetomeetdryseasonmasslimits,withtphasetomeetdryseasonmasslimits,with theneedforfiltrationincreasingupto30mgdbytheendoftheplanningperiod(yeartheneedforfiltrationincreasingupto30mgdbytheendoftheplanningperiod(yeartheneedforfiltrationincreasingupto30mgdbytheendoftheplann ingperiod(year 2025).The2004MWMCFacilitiesPlanproposesphasingfiltersonanas2025).The2004MWMCFacilitiesPlanproposesphasingfiltersonanas2025).The2004MWMCFacilitiesPlanproposesphasingfiltersonanas-neededbasis. FiltrationprovideshighqualitysecFiltrationprovideshighqualitysecondaryeffluentandpotentialLevel4reusewater.Also,ondaryeffluentandpotentialLevel4reusewater.Also, filtrationisneededtoassistwithmeetingwetseasonmassloadrequirementsduringpeakfiltrationisneededtoassistwithmeetingwetseasonmassloadrequirementsduringpeakfiltrationisneededtoassistwithmeetingwetseasonm assloadrequirementsduringpeak flowevents.flowevents. ProjectDriver: PerformancereliabilitytomeetthedryweatherNPDEStotalsuspendedsolidsPerformancereliabilitytomeetthedryweatherNPDEStotalsuspendedsolidsPerformancereliabilitytomeetthedryweatherNPDEStotalsuspendedsolidsl imitsof lessthan10mg/L,reusedevelopment,andcompliancewitheffluentlimitsduringpeaklessthan10mg/L,reusedevelopment,andcompliancewitheffluentlimitsduringpeaklessthan10mg/L,reusedevelopment,andcompliancewitheffl uentlimitsduringpeak flowconditions.flowconditions. ProjectTrigger: NPDESpermitcomplianceforTSS:Dryweathermaximummonthflowinexcessof49NPDESpermitcomplianceforTSS:Dryweathermaximummonthflowinexcessof49NPDESpermitcomplianceforTSS:Dryweathermaximummonthflowinexcessof49 mgd.Also,initiallytoprovidehigherqualmgd.Also,initiallytoprovidehigherqualityeffluentsothatreusecanbedeveloped.sothatreusecanbedeveloped. Improvement SDCEligibility: 42% EstimatedProjectCost :ReducedtoReducedto$11,500,000(MWMCreceivedaDEQstaterevolvingfund(SRF)loanforthe(MWMCreceivedaDEQstaterevolvingfund(SRF)loanforthe tertiaryfiltrationprojecttertiaryfiltrationproject.Partoftheprojectbudgetsupportsthetreatmentplantlandscapesthetreatmentplantlandscape upgrades). ExpectedCashFlow: FY07-08=$236,186;FY0808=$236,186;FY08-09=$554,241;FY09-10=$647,844; FY10-11=$3,534,429;FY1111=$3,534,429;FY11-12=$4,100,000;FY12-13=$200,000;13=$200,000; FY13-14=$2,227,300(design,construction,14=$2,227,300(design,construction,landscape,administration,etc.)landscape,administration,etc.) 2011-12 Expenditure/Category:PriorYearsEst.Act.2012-132013-142014-152015-1620162016-17Total Design/Construction$4,972,700$4,100,000$4,100,000$2,427,300$0$0$0$0$11,500,000 Other$00$0$0$0$0$0$0 TotalCost$4,972,700$4,100,000$4,100,000$2,427,300$0$0$0$0$11,500,000 Page58PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram TERTIARYFILTRATION-PHASE2PHASE2 Description: Thephasedworkprogramwillinstallinfrastructure/supportfacilitiesfor30mgdoffiltersforThephasedworkprogramwillinstallinfrastructure/supportfacilitiesfor30mgdoffiltersforThephasedworkprogramwillinstallin frastructure/supportfacilitiesfor30mgdoffiltersfor tertiaryfiltrationofsecondarytreatedeffluent.Phase2isplannedtoinstallfiltersystemtertiaryfiltrationofsecondarytreatedeffluent.Phase2isplannedtoinstallfiltersystemtertiaryfiltrationofsecondarytreatede ffluent.Phase2isplannedtoinstallfiltersystem technologysufficientforanother10mgdoftreatmentthatwilltechnologysufficientforanother10mgdoftreatmentthatwillincreasethetotalfiltrationincreasethetotalfiltration capacityto20mgd.ThePhase3projectwillinstalltheremainingfiltertechnologycapacityto20mgd.ThePhase3projectwillinstalltheremainingfiltertechnologycapacityto20mgd.ThePhase3projectwillinstalltheremainingfi ltertechnology identifiedinthe2004MWMCFacilitiesPlan.identifiedinthe2004MWMCFacilitiesPlan. Status: TertiaryFiltration(Phase2)projectisanticipatedtostartdesigndevelopmentin2013.TertiaryFiltration(Phase2)projectisanticipatedtostartdesigndevelopmentin2013.TertiaryFiltration(Phase2)projectisanticipate dtostartdesigndevelopmentin2013. Justification: The2004MWMCFacilitiesPlanproposesphasingfiltersonaphasedworkprogram.The2004MWMCFacilitiesPlanproposesphasingfiltersonaphasedworkprogram.The2004MWMCFacilitiesPlanproposesphasingfiltersonaphasedworkpro gram. FiltrationprovideshighqualitysecondaryeffluenttohelpmFiltrationprovideshighqualitysecondaryeffluenttohelpmeetpermitrequirementsandeetpermitrequirementsand potentiallevel4reusewater.potentiallevel4reusewater. ProjectDriver: PerformancereliabilitytomeetthedryweatherNPDEStotalsuspendedsolidslimitsofPerformancereliabilitytomeetthedryweatherNPDEStotalsuspendedsolidslimitsofPerformancereliabilitytomeetthedryweatherNPDEStotal suspendedsolidslimitsof lessthan10mg/L,reusedevelopment,andcompliancewitheffluentlimitsduringpeaklessthan10mg/L,reusedevelopment,andcompliancewitheffluentlimitsduringpeaklessthan10mg/L,reusedevelopment,andcompliancewitheffl uentlimitsduringpeak flowconditions.conditions. ProjectTrigger: NPDESpermitcomplianceforTSSNPDESpermitcomplianceforTSS(totalsuspendedsolids):DryweathermaximumDryweathermaximum monthflowinexcessof49mgd.Also,providehigherqualityeffluentmonthflowinexcessof49mgd.Also,providehigherqualityeffluentsothatreusecanbe developed. Improvement SDCEligibility: 42% EstimatedProjectCost :$9,680,000 ExpectedCashFlow: FY13-14=$2,900,000;FY1414=$2,900,000;FY14-15=$6,600,000;FY15-16=$180,00016=$180,000 Prior2011-12 Expenditure/Category:YearsEst.Act.2012-132013-142014-152015-162012016-17Total Design/Construction$0$0$0$9,680,000$0$0$0$9,680,000 Other$0$0$0$0$0$0$0$0 TotalCost$0$0$0$9,680,000$0$0$0$9,680,000 Page59PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram EFFLUENTREUSE-PHASES1AND2PHASES1AND2 Description: ThisprojectaddressesthermalloadissuesandprovidesadditionalenvironmentalandThisprojectaddressesthermalloadissuesandprovidesadditionalenvironmentalandThisprojectaddressesthermalloadissuesandprovidesadd itionalenvironmentaland regulatorybenefits.Thefirsttwophasesofrecycledwaterprojectsidentifiedinthe2004regulatorybenefits.Thefirsttwophasesofrecycledwaterprojectsidentifiedinthe2004regulatorybenefits.Thefirsttwophasesofrecyc ledwaterprojectsidentifiedinthe2004 MWMCFacilitiesPlanwerecombinedandinclude:ClassDReuseatBiocycleFarmMWMCFacilitiesPlanwerecombinedandinclude:ClassDReuseatBiocycleFarmMWMCFacilitiesPlanwerecombinedandinclude:ClassDReuseatBiocycleFarma nd BeneficialReuseSiteandClassAReuseDemonstrationProjects.ArecentscopeBeneficialReuseSiteandClassAReuseDemonstrationProjects.ArecentscopeBeneficialReuseSiteandClassAReuseDemonstrationProjects.Arecentsco pe adjustmentshiftedthedemonstrationprojecttoascaleClassCindustrialuseadjustmentshiftedthedemonstrationprojecttoascaleClassCindustrialuseadjustmentshiftedthedemonstrationprojecttoascaleClassCindustrialu se demonstrationwithneighboringaggregatecompanies.Projectcomponentsmayincludedemonstrationwithneighboringaggregatecompanies.Projectcomponentsmayincludedemonstrationwithneighboringaggregatecompanies.Proj ectcomponentsmayinclude additionaltreatment,disinfection,pumping,pipeline,anddistribution/irrigationsystems,astreatment,disinfection,pumping,pipeline,anddistribution/irrigationsystems,astreatment,disinfection,pumping,pipeli ne,anddistribution/irrigationsystems,as wellasriparianshadingprojectstogeneratethermaloffsetcredits.wellasriparianshadingprojectstogeneratethermaloffsetcredits. Status: Planningstagetounderstandbenefitsof,andcommunityreadinessfor,recycledwaterPlanningstagetounderstandbenefitsof,andcommunityreadinessfor,recycledwaterPlanningstagetounderstandbenefitsof,andcommunityrea dinessfor,recycledwater use. Justification: Providesplanningandinfrastructureneededsothatpollutantloads(includingthermalProvidesplanningandinfrastructureneededsothatpollutantloads(includingthermalProvidesplanningandinfrastructureneededsothatpo llutantloads(includingthermal loads)aredivertedawayfromtheWillametteRiverwhileprovidingadditionalloads)aredivertedawayfromtheWillametteRiverwhileprovidingadditionalloads)aredivertedawayfromtheWillametteRiverwhileprovidingaddition al environmentalandcommunitybenefits.environmentalandcommunitybenefits. ProjectDriver: AddressNPDESpermitthermalloadcompliancerelatedtoWillametteRivertotalNPDESpermitthermalloadcompliancerelatedtoWillametteRivertotalNPDESpermitthermalloadcompliancerelatedtoWillametteRivertotal maximumdailyloads(TMDL)temperaturerequirements.CompliancewithOregonDEQmaximumdailyloads(TMDL)temperaturerequirements.CompliancewithOregonDEQmaximumdailyloads(TMDL)temperaturerequirements.Compliancewi thOregonDEQ TMDLsettlementagreement.TMDLsettlementagreement. ProjectTrigger: CompliancewithOregonDEQTMDLsettlementagreement.CompliancewithOregonDEQTMDLsettlementagreement.Identificationofinterestedntificationofinterested potentialrecycledwaterusers.potentialrecycledwaterusers. ProjectType: 100%Performance100%Performance Improvement SDCEligibility: 26% EstimatedProjectCost: $8,477,000 ExpectedCashFlow: FY06-07=$7,000;FY0707=$7,000;FY07-08=$0;FY08-09=$2,904;FY09-10=$12,757;10=$12,757; FY10-11=$360,186;FY1111=$360,186;FY11-12=$335,278;FY12-13=$845,000; FY13-14=$4,162,000;FY1414=$4,162,000;FY14-15=$2,751,875 PriorEst.Act.Est.Act. Expenditure/Category:Years20112011-122012-132013-142014-152015-162016-17Total Design/Construction$382,847$335,278$335,278$7,758,875$0000$8,477,000 Other00000000 TotalCost$382,847$335,278$335,278$7,758,875$0$0$0$0$8,477,000 Page60PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram EFFLUENTREUSE-PHASE3 Description: ThisprojectisinThisprojectisinthe2004MWMCFacilitiesPlanknownasPermanentLevelAReusethe2004MWMCFacilitiesPlanknownasPermanentLevelAReuse (Part1).Thegoalistoprovide2.5mgdofpermanentLevelArecycledwatertolocal(Part1).Thegoalistoprovide2.5mgdofpermanentLevelArecycledwatertolocal(Part1).Thegoalistoprovide2.5mgdofpermanentLevelArecycledwate rtolocal greenspacesandcommunityareasandtoexpandthetotalrecycledwatercapacitygreenspacesandcommunityareasandtoexpandthetotalrecycledwatercapacitygreenspacesandcommunityareasandtoexpandthetotalrecycledwatercap acity (includinglevelA,C,an(includinglevelA,C,andDapplications)to5.25mgd.ProjectcomponentsmayincludedDapplications)to5.25mgd.Projectcomponentsmayinclude additionaltreatment,disinfectionwithUVsystem,pumping,pipeline,andadditionaltreatment,disinfectionwithUVsystem,pumping,pipeline,andadditionaltreatment,disinfectionwithUVsystem,pumping,pipeline,and distribution/irrigationsystems.Theprojectwillbebetterdefinedastheplanningfordistribution/irrigationsystems.Theprojectwillbebetterdefinedastheplanningfordistribution/irrigationsystems.Theprojectwillbe betterdefinedastheplanningfor effluentreusecontinuesandeffluentreusecontinuesandasmarketsforrecycledwaterareidentified.asmarketsforrecycledwaterareidentified. Status: Planningphase.Planningphase. Justification: ContinueimplementationofarecycledwaterprogramtoreducetheMWMCthermalloadContinueimplementationofarecycledwaterprogramtoreducetheMWMCthermalloadContinueimplementationofarecycledwaterprogramtoreducetheM WMCthermalload dischargeintotheWillametteRiverandofferotherenvironmentalandcommunidischargeintotheWillametteRiverandofferotherenvironmentalandcommunidischargeintotheWillametteRiverandofferotherenvironmentalandcommu nitybenefits associatedwithrecyclingwater.associatedwithrecyclingwater. ProjectDriver: ExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermitthermalloadExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermitthermalloadExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermittherma lload compliancerelatedtoWillametteRivertotalmaximumdailyloads(TMDL)temperaturecompliancerelatedtoWillametteRivertotalmaximumdailyloads(TMDL)temperaturecompliancerelatedtoWillametteRivertotalmaximumdailylo ads(TMDL)temperature requirements.requirements. ProjectTrigger: PotentialexceedanceofNPDESthermalloadlimit.PotentialexceedanceofNPDESthermalloadlimit.IdentificationofpotentialrecycledIdentificationofpotentialrecycled watercustomers.watercustomers. ProjectType: 100%Performance100%Performance Improvement SDCEligibility: 26% EstimatedProjectCost: $6,542,000 ExpectedCashFlow: FY12-13=$0;FY1313=$0;FY13-14=$200,000;FY14-15=$3,900,000;FY15--16=$2,442,000 PriorEst.Act.Est.Act. Expenditure/Category:Years2011-122012-132013-142014-152015-162016-177Total Design/Construction000$6,542,0000$000$6,542,000 Other000000000 TotalCost$0$$0$0$6,542,0000$0$0$0$6,542,000 Page61PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram EFFLUENTREUSE-PHASE4 Description: Thisprojectisinthe2004MWMCFacilitiesPlanknownasPermanentLevelAReuseThisprojectisinthe2004MWMCFacilitiesPlanknownasPermanentLevelAReuseThisprojectisinthe2004MWMCFacilitiesPlanknownasPermanentLevelAReu se (Part2).Itistoprovideupto5mgdofpermanentLevelArecycledwatertolocalgreen(Part2).Itistoprovideupto5mgdofpermanentLevelArecycledwatertolocalgreen(Part2).Itistoprovideupto5mgdofpermanentLevelArecycledwat ertolocalgreen spacesandcommunityareas.Underthisproject,thegoalistoincreasethetotalrecycledspacesandcommunityareas.Underthisproject,thegoalistoincreasethetotalrecycledspacesandcommunityareas.Underthisproject,thegoa listoincreasethetotalrecycled watercapacitytobetween7.75and10mgdincludinglevelsA,C,andDapplications.watercapacitytobetween7.75and10mgdincludinglevelsA,C,andDapplications.watercapacitytobetween7.75and10mgdincludinglevelsA,C,andDap plications. Projectcomponentsmayincludeadditionaltreatment,additionaldisinfection,pProjectcomponentsmayincludeadditionaltreatment,additionaldisinfection,pProjectcomponentsmayincludeadditionaltreatment,additional disinfection,pumping, pipeline,anddistribution/irrigationsystems.Theprojectwillbebetterdefinedasthepipeline,anddistribution/irrigationsystems.Theprojectwillbebetterdefinedasthepipeline,anddistribution/irrigationsystems.Th eprojectwillbebetterdefinedasthe planningforeffluentreusecontinuesandasmarketsforrecycledwaterareidentified.planningforeffluentreusecontinuesandasmarketsforrecycledwaterareidentified.planningforeffluentreusecontinuesandasmarketsforr ecycledwaterareidentified. Status: Planningphase.Planningphase. Justification: ContinueimplementatiContinueimplementationofarecycledwaterprogramtoreducetheMWMCthermalloadonofarecycledwaterprogramtoreducetheMWMCthermalload dischargeintotheWillametteRiverandforotherenvironmentalbenefits.dischargeintotheWillametteRiverandforotherenvironmentalbenefits.dischargeintotheWillametteRiverandforotherenvironmentalbenefits. ProjectDriver: ExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermitthermalloadExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermitthermalloadExpansionoftheMWMCrecycledwaterprogram.AddressNPDESpermittherma lload compliancerelatedcompliancerelatedtoWillametteRivertotalmaximumdailyloads(TMDL)temperaturetoWillametteRivertotalmaximumdailyloads(TMDL)temperature requirements.requirements. ProjectTrigger: PotentialexceedanceofNPDESthermalloadlimit.PotentialexceedanceofNPDESthermalloadlimit.IdentificationofpotentialrecycledIdentificationofpotentialrecycled watercustomers.watercustomers. ProjectType: 100%Performance100%Performance Improvement SDCEligibility: 26% EstimatedProjectCost: $18,835,000(estimatedbasedonCH2MHill’s2006projectdescriptionandcostestimate,18,835,000(estimatedbasedonCH2MHill’s2006projectdescriptionandcostestimate,18,835,000(estimatedbasedonCH2MHill’s2006project descriptionandcostestimate, whichassumesinflationat5%annually)whichassumesinflationat5%annually) ExpectedCashFlow: FY15-16=$4,140,000;FY1616=$4,140,000;FY16-17=$11,868,000;FY17-18=$2,827,00018=$2,827,000 PriorEst.Act.Est.Act. Expenditure/Category:Years201111-122012-132013-142014-152015-1620166-17Total Design/Construction000000$18,835,00$18,835,000$18,835,000 Other00000000 TotalCost$0$0$0$0$0$0$18,835,0018,835,000$18,835,000 Page62PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram WASTEACTIVATEDSLUDGETHICKENINGWASTEACTIVATEDSLUDGETHICKENING Description: Thisprojectprovidesathirdgravitybeltthickener(GBT)andassociatedatThisprojectprovidesathirdgravitybeltthickener(GBT)andassociatedatThisprojectprovidesathirdgravitybeltthickener(GBT)andassociatedat-gra debuilding improvements.improvements.Theprojectalsoincludeslandscaping.ThelandscapingcomponentwasTheprojectalsoincludeslandscaping.Thelandscapingcomponentwas initiatedinFY11initiatedinFY11-12. Status: Planningstagewiththeexceptionoflandscaping(inkeepingwiththe2004FacilitiesPlanPlanningstagewiththeexceptionoflandscaping(inkeepingwiththe2004FacilitiesPlanPlanningstagewiththeexceptionoflandscaping(in keepingwiththe2004FacilitiesPlan landscapingbudgetallocations,fundingfromthisprojectislandscapingbudgetallocations,fundingfromthisprojectisbeingmadeavailableinFY11beingmadeavailableinFY11- 12toaccommodatestagingoftheplant12toaccommodatestagingoftheplant-wideintegratedlandscapeplan).wideintegratedlandscapeplan). Justification: ProvidesadditionalcapacityforWasteActivatedSludge(WAS)thickeningtobetterProvidesadditionalcapacityforWasteActivatedSludge(WAS)thickeningtobetterProvidesadditionalcapacityforWasteActivatedSludge(WAS)t hickeningtobetter optimizedigestercapacity.optimizedigestercapacity. ProjectDriver: AdditionalcapacitytoprovideWASthickeningwithoneunitofflineatupperlimitflowditionalcapacitytoprovideWASthickeningwithoneunitofflineatupperlimitflowditionalcapacitytoprovideWASthickeningwithoneunitoffl ineatupperlimitflow projections.NitrificationrequiredbytheNPDESpermitandincreasingwastewaterflowsprojections.NitrificationrequiredbytheNPDESpermitandincreasingwastewaterflowsprojections.NitrificationrequiredbytheNPDESpe rmitandincreasingwastewaterflows andloadsgeneratesmoreWASsolids.AsecondarybenefitistoprovideabilitytandloadsgeneratesmoreWASsolids.AsecondarybenefitistoprovideabilitytandloadsgeneratesmoreWASsolids.Asecondarybenefitistoprovideabilit ytoconduct recuperativethickeningsothattheneedforadditionaldigestionvolumecanpotentiallyberecuperativethickeningsothattheneedforadditionaldigestionvolumecanpotentiallyberecuperativethickeningsothattheneedforadd itionaldigestionvolumecanpotentiallybe deferred. ProjectTrigger: Exceedingsolidsandhydraulicloadingratedesigncriteria.Exceedingsolidsandhydraulicloadingratedesigncriteria.ThelatestevaluationsofneedThelatestevaluationsofneed forWASthickeningindicatesanforWASthickeningindicatesaneedbyabout2016orlater.Afterthesecondarytreatmenteedbyabout2016orlater.Afterthesecondarytreatment modificationsarecompletedandoperationalforatime,thetimingofneedforthisprojectmodificationsarecompletedandoperationalforatime,thetimingofneedforthisprojectmodificationsarecompletedandoperationalforati me,thetimingofneedforthisproject shouldbereevaluated.shouldbereevaluated. EstimatedProjectCost :$3,901,000(note:Thenon-landscapeportionoftheestimatedprojectcostwastimatedprojectcostwas movedforwardtwoyearsintheschedule.Thatportionoftheestimatedcostwasmovedforwardtwoyearsintheschedule.Thatportionoftheestimatedcostwasmovedforwardtwoyearsintheschedule.Thatportionoftheestimatedcostwas adjustedforinflationusingarateof5adjustedforinflationusingarateof5%peryear). Improvement SDCEligibility: 100% ExpectedCashFlow: FY1112=$=$75,133;FY12-13=$0;FY13-14=$0;FY14-15=$4,218218,000 Prior20112011-12 Expenditure/Category:YearsEst.Act.Est.Act.2012-132013-142014-152015-1620162016-17Total Design/Construction$0$75,133$75,1330$$0$4,218,000$0$0$4,293,133 Other$0$0$0$0$0$0$0$0 TotalCost$0$75,133$75,133$0$0$4,218,000$0$0$4,293,133 Page63PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP MetropolitanWastewaterManagementCommissionMetropolitanWastewaterManagementCommissionCapitalImprovementProgramCapitalImprovementProgram INCREASEDIGESTIONCAPACITYINCREASEDIGESTIONCAPACITY Description: InstallationofafourthconventionalhighratedigesterforexpandedproductionofClassBInstallationofafourthconventionalhighratedigesterforexpandedproductionofClassBInstallationofafourthconventionalhighratedi gesterforexpandedproductionofClassB biosolids.Thisprojectalsoincludesbiosolids.Thisprojectalsoincludeslandscaping. Status: Planningstagewiththeexceptionoflandscaping(inkeepingwiththe2004FacilitiesPlanPlanningstagewiththeexceptionoflandscaping(inkeepingwiththe2004FacilitiesPlanPlanningstagewiththeexceptionoflandscaping(in keepingwiththe2004FacilitiesPlan landscapingbudgetallocations,fundingfromthisprojectisbeingmadeavailableinFY11landscapingbudgetallocations,fundingfromthisprojectisbeingmadeavailableinFY11landscapingbudgetallocations,fundingfromthisp rojectisbeingmadeavailableinFY11- 12toaccommodatestagingoftheplant12toaccommodatestagingoftheplant-wideintegratedlandscapeplan).integratedlandscapeplan). Justification: ContinuetomeettherequirementsforClassBdigestionwiththeabilitytotakeoneContinuetomeettherequirementsforClassBdigestionwiththeabilitytotakeoneContinuetomeettherequirementsforClassBdigestionwiththeabili tytotakeone digesteroutofserviceforcleaning.digesteroutofserviceforcleaning. ProjectDriver: Addressesanaerobicdigestioncapacityneeds.The2004MWMCFacAddressesanaerobicdigestioncapacityneeds.The2004MWMCFacAddressesanaerobicdigestioncapacityneeds.The2004MWMCFacilitiesPlan considersanoptiontoupgradetheexistingdigestionprocesstomeetClassAbiosolidsconsidersanoptiontoupgradetheexistingdigestionprocesstomeetClassAbiosolidsconsidersanoptiontoupgradetheexistingdigestionproce sstomeetClassAbiosolids standardsasastrategytosecureawiderrangeofbeneficialendstandardsasastrategytosecureawiderrangeofbeneficialend-useoptionsandincreaseuseoptionsandincrease programflexibility.Sincethattime,theMWMChaseffectivelyeprogramflexibility.Sincethattime,theMWMChaseffectivelyexpandedbeneficialxpandedbeneficial applicationofClassBbiosolidswithexpansionoftheBiocyclePoplarPlantation,andapplicationofClassBbiosolidswithexpansionoftheBiocyclePoplarPlantation,andapplicationofClassBbiosolidswithexpansionoftheBiocy clePoplarPlantation,and throughworkingwithoutsideendthroughworkingwithoutsideend-users. ProjectTrigger: RecentobservationsindicatethatexpandeddigestionfacilitieswillnotbeneededbeforeRecentobservationsindicatethatexpandeddigestionfacilitieswillnotbeneededbeforeRecentobservationsindicatethatexpandeddiges tionfacilitieswillnotbeneededbefore 2017orperhapslater.Theprojecttriggerdependsonprojectedloadingandotherfactors17orperhapslater.Theprojecttriggerdependsonprojectedloadingandotherfactors17orperhapslater.Theprojecttriggerdependsonprojec tedloadingandotherfactors includingtheeffectivenessofnewprimarysludgethickening,expansionoftheWasteincludingtheeffectivenessofnewprimarysludgethickening,expansionoftheWasteincludingtheeffectivenessofnewprimarysludgethickening ,expansionoftheWaste ActivatedSludgethickeningfacilities,anddigestercleaningprotocolsandschedulActivatedSludgethickeningfacilities,anddigestercleaningprotocolsandschedulActivatedSludgethickeningfacilities,anddigesterclea ningprotocolsandschedules. Thesefactorswillbestudiedunderthe2010FacilitiesPlanUpdate.Thesefactorswillbestudiedunderthe2010FacilitiesPlanUpdate.However,itis importanttonotethatthelandscapingportionofthisprojectwasimplementedinFY11importanttonotethatthelandscapingportionofthisprojectwasimplementedinFY11importanttonotethatthelandscapingportionofthisproject wasimplementedinFY11-12 andwillcontinueinFY12andwillcontinueinFY12-13 Improvement SDCEligibility: 54% EstimatedProjectCost :$9,423,000(note:Thenon$9,423,000(note:Thenon-landscapeportionoftheestimatedprojectcostwasmovedlandscapeportionoftheestimatedprojectcostwasmoved forwardtwoyearsintheschedule.Thatportionoftheestimatedcostwasadjustedforforwardtwoyearsintheschedule.Thatportionoftheestimatedcostwasadjustedforforwardtwoyearsintheschedule.Thatportionoftheestimatedc ostwasadjustedfor inflationusingarateof5percentperyear).inflationusingarateof5percentperyear). ExpectedCashFlow: FY11-12=$128,031;FY1212=$128,031;FY12-13=$39,000;FY13-14=$28,000;FY1414=$28,000;FY14-15=$2,050,000 FY15-16=$5,919,000;FY1616=$5,919,000;FY16-17=1,259,069 PriorEst.Act. Expenditure/Category:Years2011-122012-132013-142014-152015-162012016-17Total Design/Construction$0$128,031$128,031$441,669$0$8,853,400$0$0$9,423,100 Other$0$0$0$0$0$0$0$0 TotalCost$0$128,031$128,031$441,669$0$8,853,400$0$0$9,423,100 Page64PreliminaryFY12-13BUDGETANDCIPBUDGETANDCIP