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HomeMy WebLinkAbout1989-12-19; City Council; Resolution 89-4451 c' = .". -2 P ' I1 e 0 I' j I/ RESOLUTION NO. 89-445 1 2 3 4 5 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING A CONSULTANT CONTRACT BETWEEN THE CITY OF CARLSBAD AND JAMES M. MONTGOMERY, CONSULTING ENGINEERS, INCORPORATED, AN AUTHORIZING THE TRANSFER OF FUNDS FOR THE PREPARATION OF A SEWER RATE STUDY FOR THE CITY OF CARLSBAD WHEREAS, proposals have been received for the preparatiol 6 of a sewer rate study for the City of Carlsbad; 7 WHEREAS, the firm of James M. Montgomery, Consultinc 8 for the amount of $51,000; g Engineers, Incorporated, has been selected to perform the worl 10 WHEREAS, there are adequate funds available in the Sewe: 11 WHEREAS, there are no funds budgeted for the work; and 12 Enterprise Fund Retained Earnings Account to accomplish thc 13 11 work- 14 17 1. That the above recitations are true and correct. 16 City of Carlsbad, as follows: 15 NOW, THEREFORE, BE IT RESOLVED by the City Council of thc Account No. 511-820-6110-2479 is authorized and directed. 25 Enterprise Fund Retained Earnings Account No. 511-890 t 24 3. That the transfer of $51,000 from the Sewe 23 said contract. 22 and City Clerk are hereby authorized and directed to execut' 21 attached hereto as Exhibit A, is hereby approved and the Mayo 20 Incorporated, for the preparation of a sewer rate study 19 Carlsbad and James M. Montgomery, Consulting Engineers 18 2. That the consultant contract between the City o 26 27 //I I// 28 //I 4 1 7 T : x// 0 0 PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council held on the 19th day of December , 1989, by the following vote, to wit: 1 2 3 4 AYES: Council Members Lewis, Pettine and Larson NOES: None 5 6 7 ABSENT: Council Members Kulchin and M fJl 9 10 11 (SEAL) 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 i I. r 1 0 0 CONSULTANT CONTRACT FOR PREPARATION OF SEWER RATE STUDY FOR THE CITY OF CARLSBAD THIS CONTRACT, made and entered into as of the day of 1 19_, by and between the CITY OF CARLSBAD, a municipal corporation, hereinafter referred to as "City," and James M. Montgomery, Consulting Engineers,Inc. of Pasadena, California, hereinafter referred to as "Consultant." RECITALS The City requires the services of a qualified engineering consultant tc provide the necessary services for conducting a sewer rate study; and The Consultant possesses the necessary skills and qualifications to providf the services required by the City; NOW, THEREFORE, in consideration of these recitals and the mutual covenant. contained herein, City and Consultant agree as follows: 1. CONSULTANT'S OBLIGATIONS The consultant shall provide necessary consulting services for th conducting of a sewer rate study in accordance with the attached "Proposal submitted by the Consultant, dated July 13, 1989. 2. CITY OBLIGATIONS A. The Utilities & Maintenance Director, or his designate representative, shall provide appropriate direction and liaison to tt consultant. 12/8/89 f b ? 1 0 e i B. The Finance Director and the City Engineer, or their designate( representatives, shall provide appropriate liaison to the Consultant. C. A1 1 of the above will make records avail ab1 e to the Consultant and respond to requests for information from the Consultant in a timely manner, whict- is two (2) workdays unless there are complications. 3. PROGRESS AND COMPLETION The work under this Contract will begin within ten (10) days after receipl of Notification To Proceed by the Utilities & Maintenance Director and bL completed within the time limit specified therein. Extensions of time may be granted if requested by the Consultant-and agreed to in writing by the Utilities & Maintenance Director. In consideration of such requests, the Utilities 8 Maintenance Director will give allowance for documented and substantiatec unforeseeable and unavoidable delays not caused by a 1 ack of foresight on thc part of the Consultant, or delays caused by City inaction or other agencies' 1 ack of timely action. 4. FEES TO BE PAID TO CONSULTANT The full sum fee payable according to Paragraph 5, "Payment of Fees," shall be fifty-one thousand dollars ($51,000.00). No other compensation for services wi 11 be a1 1 owed except those i tems covered by Supplemental Contracts per Paragraph 7, "Changes in Work." 5. PAYMENT OF FEES Partial payment of fees shall be made. Two (2) copies of invoices are to be submitted to the Department Secretary, Uti1 ities & Maintenance Department, 1200 Elm Avenue, Carlsbad, California 92008 by the fifth of each month. Checks for partial payments will be disbursed by the third Friday of the month. T > r I 0 e 2 6. FINAL SUBMISSIONS Within fifteen (15) days of completion and approval of the final work, the Consultant shall deliver to the Utilities & Maintenance Director, all final documents which shall be appropriately signed. 7. CHANGES IN WORK If, in the course of this Contract, changes deemed merited by the Consul tan. or the City, and informal consultations with the other party indicate that I change in the conditions of the Contract is warranted, the Consultant or the Cit, may request a change in Contract. Such changes shall be processed by the Ci t in the following manner: A letter outlining the required changes shall b forwarded to the Utilities & Maintenance Director by the Consultant informin the Director of the proposed changes along with a statement of estimated change in charges or time schedule. After reaching mutual agreement on the proposal a Supplemental Contract shall be prepared by the City, and approved by the Ci t Council or City Manager. Such Supplemental Contract shall not render ineffectiv or invalidate unaffected portions of the Contract. Changes requiring immediat action by the Consultant or the City shall be ordered by the Utilities Maintenance Director who will inform a principal of the Consultant’s firm of tt necessity of such action and follow up with a Supplemental Contract covering sur work. 8. COVENANTS AGAINST CONTINGENT FEES The Consultant warrants that their firm has not employed or retained a1 company or person, other than a bona fide employee working for the Consultan. to solicit or secure this Contract, and that the Consultant has not paid 1 agreed to pay any company or person, other than a bona fide employee, any fe commission, percentage, brokerage fee, gift, or any other considerati i 1 l e e l contingent upon, or resulting from, the award or making of this Contract. Fo' breach or violation of this warranty, the City shall have the right to annul thi Contract without liability, or, in its discretion, to deduct from the agreemen price or consideration, or otherwise recover, the full amount of such fee commission, percentage, brokerage fee, gift, or contingent fee. 9. NONDISCRIMINATION CLAUSE The Consultant shall comply with the State and Federal Regulations regardin! nondiscrimination. 10. TERMINATION OF CONTRACT In the event of the Consultant's failure to prosecute, deliver, or perforl the work as provided for in this Contract, and the Notice to Proceed, the Citj may terminate this Contract for nonperformance by notifying the Consultant b! certified mail of the termination of the Contract. The Consultant, thereupon, has five (5) working days to deliver said documents owned by the City and al- work in progress to the Utilities & Maintenance Director. The Utilities I Maintenance Director shall make a determination of fact based upon the document! delivered to the City of the percentage of work which the Consultant ha5 performed which is usable and of worth to the City in having the Contract completed. Based upon that finding, as reported to the City Manager and/or Citj Council, a determination of the final payment of the Contract shall be made. Final payment shall be in compliance with the Code of Federal Reaulations. 11. DISPUTES If a dispute should arise regarding the performance of work under thi: Contract, the following procedure shall be used to resolve any question of fact or interpretation not otherwise settled by agreement between parties. Such questions, if they become identifi.ed as a part of a dispute among persons r 1 I 1 e 1) operating under the provisions of this Contract, shall be reduced to writing b, the principal of the Consultant or the Utilities & Maintenance Director. A cop of such documented dispute shall be forwarded to both parties involved alon with recommended methods of resolution which would be of benefit to both parties The Utilities & Maintenance Director or the principal of the Consultant receivin the letter shall reply to the letter along with a recommended method o resolution within ten (10) calendar days. If the resolution thus obtained i unsatisfactory to the aggrieved party, a letter outlining the dispute shall b forwarded to the City Manager or the City Council through the Office of the Cit Manager for resolution. The City Counci 1 or the City Manager may then opt t consider the directed solution to the problem. In such cases, the action of th City Council shall be binding upon the parties involved, although nothing in thi procedure shall prohibit the parties seeking remedies avail able to them at lah 12. RESPONSIBILITY OF THE CONSULTANT The Consultant is hired to render professional services as set forth herei and any payments made to Consultant are compensation solely for such services The Consultant shall certify as to the correctness of all designs and sign a1 plans, specifications, and estimates furnished with a Registered Civil Engineer’ number. 13. SUSPENSION OR TERMINATION OF SERVICES This Contract may be terminated by either party upon tendering thirty (3( days written notice to the other party. In the event of such suspension c termination, upon request of the City, the Consultant shall assemble the WOI product and put same in order for proper fi 1 ing and closing and del iver sai product to the Utilities and Maintenance Director. In the event of terminatior the Consultant shall be paid for work performed to the termination date; however ? 1 1 I 0 0 ( the total shall not exceed the guaranteed total maximum. The Utilities ; Maintenance Director shall make the final determination as to the portions o tasks completed and the compensation to be made. Compensation to be made i compliance with the Code of Federal Requlations. 14. STATUS OF THE CONSULTANT A. The Consultant shall perform the services provided for herein i Consultant’s own way as an independent Contractor and in pursuit of Consultant’ independent calling, and not as an employee of the City. The Consultant shal be under control of the Utilities & Maintenance Director or his designate representative, only as to the result to be accomplished and the personne assigned to the’project, but shall consult with the Utilities & Maintenanc Director, or designated persons as provided for herein. B. The Consultant is an independent contractor of the City. The paymen made to the Consultant pursuant to this Contract shall be the full and complet compensation to which the Consultant is entitled pursuant to this Contract The City shall not make any federal or state tax withholdings on behalf of th Consultant. The City shall not be required to pay any workers’ compensatia insurance on behalf of the Consultant. The Consultant agrees to indemnify th City for any tax, retirement contribution, social security, overtime payment or workers’ compensation payment which the City may be required to make on behal of the Consultant or any employee of the Consultant for work done under thi Contract. C. The Consultant shall be aware of and comply with the Immiaratic Reform and Control Act of 1986, to include but not 1 imi ted to, verifying th el igi bil ity for employment of all agents, employees, subcontractors an consultants that are included in this Contract. i e 0 f 1 15. CONFORMITY TO LEGAL REOUIREMENTS A. The Consultant shall cause all documents to conform to all appl icabl requirements of law: Federal, State, County and City. Consultant shall provid all necessary supporting documents, to be filed with any agencies whose approva' is necessary. B. The City will provide copies of the approved documents to any othel agencies, as required. 16. OWNERSHIP OF DOCUMENTS All documents, studies, sketches, drawings, reports, and specifications a. herein required are the property of the City, whether the work for which the: are made is to be executed or not. In the event this Contract is terminated, all documents, studies, sketches, drawings, reports and specifications shall bc delivered forthwith to the Utilities & Maintenance Director. The Consultanl shall have the right to make one (1) copy for the Consultant's records. 17. HOLD HARMLESS AGREEMENT The City, its agents, officers, and employees shall not be liable for an: cl aims, 1 iabil i ties, penal ties, fines, or any damage to goods, properties, or effects of any person whatever, nor for personal injuries or death caused by, or resulting from, or claimed to have been caused by any act, or omission of the Consultant or the Consultant's agents, employees, or representatives. The Consultant agrees to defend, indemnify, and save free and harmless the City anc its authorized officers and employees against any of the foregoing liabilitiec or claims of any kind and any cost and expense that is incurred by the City or account of any of the foregoing liabilities. Consultant shall not be liable for any of the foregoing liabilities caused by the sole negligence of the City. Further, Consultant shall be entitled to rely on any and all data furnished by City to Consultant under this Agreement. ? 1 a a 7 L 8 18. ASSIGNMENT OF CONTRACT The Consultant shall not assign this Contract or any part thereof or any monies due thereunder without the prior written consent of the City. 19. SUBCONTRACTING If the Consultant shall subcontract any of the work to be performed under this Contract by the Consultant, the Consultant shall be fully responsible to the City for the acts and omissions of the Consultant’s subcontractor(s) and of the persons either directly or indirectly employed by the subcontractor(s), as the Consultant is for the acts and omissions of persons directly employed bj Consultant. Nothing contained in this Contract shall create any contractual re1 ationship between any subcontractor of Consultant and the City. Thc Consultant shall bind every subcontractor and every subcontractor of a subcontractor by the terms of this Contract applicable to Consultant’s work unless specifically noted to the contrary in the subcontract in question anc approved in writing by the Utilities & Maintenance Director. 20. PROHIBITED INTEREST No official of the City who is authorized in such capacity on behalf of tht City to negotiate, make, accept, or approve, or take part in negotiating, making! accepting, or approving of any architectural , engineering, inspection construction or material supply contractor, or any subcontractor in connectio with the construction of the project, shall become directly or indirectl, interested personally in this Contract or in any part thereof. No officer employee, architect, attorney, engineer, or inspector of or for the City who i authori xed in such capacity and on behal f of the City to exercise any executive supervisory, or other similar functions in connection with the performance o this Contract shall become directly or indirectly interested personally in thi Contract or any part thereof. r * t , 0 a : 21. VERBAL CONTRACT OR CONVERSATION No verbal agreement or conversation with any officer, agent, or employet of the City, either before, during, or after the execution of this Contract, shall affect or modify any of the terms or obligations herein contained nor suct verbal agreement or conversation entitle the Consultant to any additional paymeni whatsoever under the terms of this Contract. 22. SUCCESSORS OR ASSIGNS Suhject to the provisions of Paragraph 18, "Hold Harmless Agreement," al' terms, conditions, and provisions hereof shall insure to and shall bind each 0' the parties hereto, and each of their respective heirs, executors administrators, successors, and assigns. 23. LFFECTIVE DATE This Contract shall be effective on and from the day and year first abovc written o 24. CONFLICT OF INTEREST The Consultant shall file a Conflict of Interest Statement with the Cit, Clerk of the City of Carlsbad in accordance with the requirements of the Cit, of Carlsbad Conflict of Interest Code prior to commencing work under thi Contract.. 25. INSURANCE A. The Consultant shall obtain and maintain a policy of liabilit insurance from an insurance company authorized to be in business in the Stat of California, in an insurable amount of not less than one mill ion dollar ($1,000,000). This insurance shall be in force during the life of this Contrac and shall not be cancelled without thirty (30) days prior written notice to th City C1 erk. 1 I 0 0 7 I 1 B. The City shall be named as an additional insured on this policy The Consultant shall furnish a certificate of said insurance to the City Cler prior to commencing work under this Contract. IN WITNESS WHEREOF, we have hereunto set our hands and seals. (CONSULTANT’S NAME) CITY OF CARLSBAD: B ~ckuolc ha QrAd.ea Title Title APPROVED AS TO FORM: ATTESTED: Vincent F. Biondo, Jr. Aletha L. Rautenkranz City Attorney City Clerk I t 1 I 0 a & - ~ .- . 4 d$ /sss - +@€a* 44fQ 4 e%e .a83 &.47$%aq “*..d,, City of Carlsbad Proposal to Perform Sewer Rate Study July 1989 JBM James M. Montgomery Consulting Engmeers. Inc. 4B ! i I 1 I 1 r .( .. .. . .. .* '. <- .~ .- . I ;.. . - . i- I .. _._ ->.. . I. .. ' . I. ~. . , .- ,.. . , .. . .. .. . ., .. ,. .. . - . -. --- , - . . ... .- ... _... - c, . ., ' -. . , 1. ... :. .:. .. .*.. ., ._, . ., -. ;. .-. . .. .. . - . a- .. . -. . . .. : .I .- .. 1 . .. . . '. t. ,. 0 r 1 0- 0 SECTION 1 INTRODUCTION This doccment is a proposal by James M. F~Iontgsmery, Consulting Engineers. 1 (J") to provide consulting engineering services to develop a wastewater mte/reve pqrrt?l commensurate with State Water Rescurces Ccntrd Board requirements. PROPOSAL STRUCTURE This JMM proposal is presented in six sections. Besides this introduction section. methodology tasks and schedule for completion are outlined in Section 2. The pro team is presented in Section 3 and capabilities and related experiences in Section 4. ' information J" will need from the City is listed in Section 5. Section 6 describes schedule of fees and conditions. KEY EL,EMENTS Financiad Plan The J" study will focus on the present financial position and project the future posi over a five year planning horizon. Increases in population, new commercial industriai development, financing and capital improvements will be considered projecting the future financial position. From these projections, financial requirem, will be determined. Rate Study J" will review and evaluate the existing charge system. Based on these finar requirements, an equitable set of rates will be recornmen implement, and convenient to update. Inventory of Assets J" will work with the City to complete and upgrade the list of wastewater collec and treatment facility assets, which the City has largely performed already. L completion of this list of assets, JMM will perform a valuation of the system's assets. -1- , ! ! . I .L .- .. I. . .. . .. .. .I, 7.. .- - . .. .. ,. - L% .. .. .1 -. ....,. - , .. I . .. .. ., .. 0 .. . .I . r i . ._. . .. -. .. .. - a . .- .. , .- . .. .. r I 0. a SECTION 2 METHOD OF APPROACH AND SCHEDULE Based m many years of experience, JTVIM'S pr~jeci approach is well organized and lead efficiently and quickly to the desired results. Our approach is reflective of the cmilable, of past experience, and of nrt?agcment mpirements as well as understanding of data availability and timing requirements. The project is identifiec the tasks shown below: Task GrouE 1 2 3 4 5 6 These tasks are described below. Subject Meetings Data Compilation and Review Data Projection User Charge and Fee Development Inventory/Vaiuation of Assets Reports and Deliverables TASK GROUP I - MEETINGS Ongoing communications are of prime importance to successful planning. We prefer a "no-surprises" relationship with the City and promote frequent and written oral communication. We propose the following meetings: Task 1.1 - Kick-Off Meeting The kick-off meeting will be convened within a week of Notice to Proceed. Prior to the kick-off meeting, J" shall provide a detailed listing of the data needed from the City. The kick-off meeting wiIl have the following agenda: 1. Introduction of City staff and J" study team. 2. Exchange of data with discussion of possible data holes. 3. Discussion of policy consideration and restraints on: o capital financing o growth projections 0 rate structure o budget schedule and needs 4. Adjustments or refinements to schedule and scope. -2- I e Task 1.2 - Mid-course Meeting e This meeting will be held approximately 30 days into the project study. Tables showing the results of data compilation and rate review will be presented to show status of the study. Task 1.3 - Draft Review Meeting A meeting will be held to review and address City staff comments on Draft Report. Task 1.4 - Workshop Meeting This meeting will be held with the City Manager ad Assistant City Manager. J" will present the recommendations of the study and answer questions regarding any aspects of the study. Task 1.5 - City Council Meeting/Public Hearing J" will make a formal presentation to City Council at a public hearing and will answer any questions that the Council or public may have about the financial plan and wastewater rate study. J" will assist preparing the staff report to Council. if requested. TASK GROUP 2 - DATA COMPILATION AND REVIEW TASK 2.1 - Review Current and Historical Revenues and Reserves Existing data and reports regarding the City's current rate and revenue structure and reserve balance will be reviewed if available. The analysis will include property taxes. interest income, and revenues from standby charges, service charges, service connection fees, regional connection fees, and any other revenue sources re orted in the City's audit or budget reports. it is understood that the City will identi R reserve funds as encumbered or unencumbered, operational and capital as the case may be. Task 2.2 - Review Current Operating Budget and Historical Expenditures City expenditures and those from the Encina Water Pollution Control Facility for the past five years ,will be analyzed and summarized in a form suitable to J" for datz projections and allocations in subsequent tasks. The City shail ais0 provide budgeted expenses for 1989-90. -3- I e m Task 2.3 - Review User Data City staff will provide data regarding the numbers of accounts by user classification for review by J”. The user classifications will be as follows if possible: 1A. Single family residential 1B. Multiple family residential and mobile homes (number of units) 11. Commercial with low pollutant loadings 111. Commercial with medium pollutant loadings !V. Commercial with high pol!utznt Icadlngs V. Schools VI. High-volume users - Low pollutant loadings are generally defined as those whose combined BOD (biochemical oxygen demand) and SS (suspended solids) strength is less than 400 mg/l. Medium loading is similarly defined at combined strength of between 400 to 1000 mg/l and high loading for strength greater than 1000 mg/l. High volume users are those using more than 25,000 gallons per day (gpd). Section 5 presents the different types of commercial users. Task 2.4 - Review Wastewater Flow Equivalent Dwelling Unit (EDU) Data City staff will provide last year’s water use data and any known wastewater quantity data for each of the non-residential user classifications for review by J”. Data on EDU’s for existing non-residential users should also be provided. Infiltration and inflow data should be provided if available. Task 2.5 - Review Current Charge System ‘. . ‘,9 TASK GROUP 3 - DATA PROJECTION A five-year frnancial planning period will be used to make projections. It is recognized that financial figures such as revenues and expenses and related operation figures like quantity of wastewater generated can be projected with sufficient accuracy only for a few years. The model will be set up so that projections for additional years can be accomplished easily. Task 3.1 - Project User and WastewatedEDU Data Using growth figures received from the City staff. the number and types of services. resulting wastewater generation over the planning period will be projected. Data in the Master Plan may be updated at this stage. Task 3.2 - Project Revenue Sources The various revenue sources currently funding the City’s operations will be reviewed and projected. -4- < ’ 0 -. 0 Task 3.3 - Project Operations and Maintenance Costs Each expenditure item will be reviewed and projected separately. Costs such as power will be projected using the latest available cost and energy indices and economic forecasts. Changes, if any, in O&M costs due to changes in number of users, capacity or because of regulatory requirements will be considered. Treatment costs from the Encina Water Pollution Control Facility will be obtained. Task 3.4- Review Capital Improvement Plans Capital improvement plans as described in the^ Citp”s-Master Plan will be reviewed. Expansion costs of the Encina Water Pollution Control Facility will be obtained and reviewed with the City Engineer. Cash requirements associated with-- capitai improvement plans for the planning period will be reviewed with City staff. TASK GROUP 4 - USER CHARGE AND FEE DEVELOPMENT TASK 4.1 - Allocate Revenue Requirements The revenue requirements determined by projecting the fiscal data in Task 3.2 will be allocated as to flow, BOD, and suspended solids. Task 4.2 - Calculate User Charges J” will provide an alternative to the existing method of charges based on EDU’s. This alternative method will be based on flow for commercial and non-commercial users. Allocated costs of operation, maintenance and replacement will be used to formulate a fair and equitable user charge system. The allocated costs will be divided by the appropriate use measures (e.g. numbers of accounts, gallons of flow or pounds of BOD and suspended solids) to obtain unit costs which will then be used to determine wastewater rates Yor each custikner class. (r. . -4 Task 4.3 - Recommend Rates and Financial Plan t Based on the calculations and City policies, an acceptable set of rates and plans to meet City’s goals will be prepared. The rates will be structured taking into consideration bond coverage requirements. TASK GROUP 5 - INVENTORY AND VALUATION OF ASSETS J” will work with the City to compile an extensive list of assets that comprise the City’s wastewater system. Valuation of these assets will then be performed using two methods--reproduction costs new (RCN) and reproduction costs new less depreciation (RCNLD). Both of these valuation parameters will be useful to the City. -5- 0 e TASK GROUP 6 - REPORTS AND DELIVERABLES Task 6.1 .- Mid-Course Report The report for the mid-course meeting will be a compendium of tables, without text. showing the effects of various alternatives on rates. Five copies will be provided. Task 6.2 - Draft Report D4-e i liva &A Lu the v;arbhop, a draft report will be produced fm cr%cA- revkv by staff and J". Five copies of the draft report will be provided. Task 6.3 - Final Report Following receipt of comments on the draft report, the final report will be produced. It will include complete textual information supporting the many tabulations and graphics. Ten copies will be provided. A computer diskette including the rate calculation model on Lotus Symphony or Lotus 123 can be provided. Task 6.4 - Ordinance Revision J" will propose appropriate changes in the City's rate ordinances, corresponding to recommendations made in the final report. -6- , , 0' 0 SCHEDULE J" has an exceIIent reputation for meeting its schedule requirements. We recent\) an in-depth revenue program for the City of Burbank with a very tight schedule. W the following schedule for this study. Notice ts Proceed Kickoff Meeting Mid-Course Meeting Draft Report Review Meeting Final Report August !, log? .~ " A?!gUSt 8; 1.989 September 8, 1989 September 21, 1989 September 26, 1989 September 29, 1989 -7- ! - .I -I- . t. .. .. 0 -. ' ,. ._ ,I . ., . ., ..: .. > - ... . .. , .. . - 5: >' :. ,- - . ,, I . r- . II. ~ -.. . r ,. . ". . .: .. . . .- .' .. r. . ., .. . , .- ~ -. _. X ,. x: . .. . .. -. : * c .. .. ., .. .. ~ _. . .". .. . .. .. . ,. .. ._ .A. . .. . .. ..:. . . .: . . : .- . : . . -- . ~. ... ; -: . .. :I.- . ,- ;.* A. .' .. . 2' .. .. ._ . , .. ,. ~ . .. - , : , . .. .. .. .. . : >. .,.. 0 3- .. .I . - . ." . . . . .. . .. * .. : ? .. %' 1 . . - ... -".. . . 1 -, .. .. . .. @. 0 SECTION 3 PROJECT TEAM It is the policy of J" to staff dl projects from our own organization of experienced professionals. All projects are carried out utilizing a team approach with coordination between the chit zxl the :e&% maintained at all times. A structured team is assembled from our staff designed to provide excellent management. review. and analytical abilities combined with proven experience. A concise summary of qualifications of the key project team members is presented in the following paragraphs. Detailed education and experience biographies for all the project team members follow. PROJECT MANAGER - RICHARD W. HOWELL The major responsibility of the project manager is to provide the overall supervision and administration of the project. Mr. Howell's duties as the project manager would inciude ensuring that qualified staff are available for the project, directing the project approach, reviewing the quality of the finished project, monitoring its progress and meeting deadlines and assuring cost control of the total effort. Mr. Howell is J"'s Financial Studies Division Manager. He has been involved with financing and rate studies for over ten years. Mr. Howell's education is in management as well as civil engineering and he has served as project engineer and/or project manager on over fifty water and wastewater rate studies and financing analyses. PROJECT ENGINEER - JAMES R. LESERMAN Mr. Leserman has extensive work experience in the financial, budgetary and planning aspects of public works operations. He has analyzed costs and determined rates as part of comprehensive studies many times including most recently for two wastewater agencies in Southern California. Mr. Lesennan worked for several years in a pianning and financial role for the County Sanitation Districts of Los Angeles County. He holds advanced degrees in both engineering and finance. -8- 0 0 , COST ES".ATING - WILLIAM T. MCGIVNEY Mr. McGivney is JMM's chief costs estimator. He provides' cost estimating and economic analytical assistance based on years of practical experience with construction planning techniques. He is responsible for updating all price indexing and unit price changes relating to component materials common to water and wastewater construction. He is ideally suited to take a lead role in the valuation of the City's wastewater system assets by preparing accurate and valid cost estimates. PROJECT SUPPORT - SUDICX D. PWXWALA .. - Mr. Pardiwala will provi&e supp~rt f~r this project. Mr. Pardiwala is current!y completing water and wastewater rate studies for Del Mar. He has performed financiai and institutional analyses including water and wastewater rate studies for several other municipal clients. He has several years of project economic and financial analysis experience with J" and other engineering firms. Mr. Pardiwala holds degrees in engineering and business administration. -9- * m RIcaARD w. SOWELL EDUCATION: M.S., Environmental Engineering, Stanford Vniversity B.S., Civil Engineering, Stanford University B.A., Xanagernent Engineering, Claremont McKenna College REGISTRATION: Civil Engineer in California and Washington Professional Engineer in Arizona, Montana and Nevada Diplomate, American Academy of Environmental Engineers SUMb¶ARV: Mr. Howell is manager of JMM's Financial Studies Division. He has over 15 ye& experience in financial and institutional studies and in civil and environmc engineering. Mr. Howell's managerial and engineering experience has had a nation perspective with projects located in the states of Arizona, California, Idaho, Louis. Montana, Nevada, New York, Oregon, Utah, Pennsylvania, Washington, West Virginia Wyoming. Mr. Howell has overseas experience in Jamaica and Sudan. EXPERIENCE: JAMES M- MONTGOMERY, CONSULTING ENGINEERS, INC- AS manager of the Financial Studies Division, Mr. Howell is responsible for the f financial and institutional studies prepared throughout the Southwest Region, md regular participant in such work in the rest of the United States and abroad. Mr. Howell has been with JMM more than 13 years. Xis experience includes water wastewater cost of service and rate studies, including detailed connection fee evaluat financial planning, economic feasibility and financing alternatives analyses; institut and utility managenent studies; and value appraisals for acquisition and deprecia Mr. Howell has been responsible for the financial content of many official staten associated with public works debt financing. He has served as an expert mitne Superior Court. He has participated in the formation of special districts and has responsible for assessment engineering on several improvement district projects rangi size up to $85 millaon. Mr. Howell has prepared water system rules and regulations, s use ordinances and has evaluated several major intermunicipal utility service agreern both as newly proposed and for negotiation of changes to existing agreements. Mr. Hc has participated in over 50 grant-funded projects under various state and fec assistance programs and has been instrumental in successfully interpreting re&; procedure and grantsmanship protocol for many clients. Extensive utilization of corn] methods has been incorporated into much of Mr. Howell's financial and institut experience including financial statement modelling and pro forma forecasting, altern financing evaluation, assessment spreads, cash flow/reserves optimization and prl worth economic analyses. Mr. Howell's financial and institutional management experience sows from a si foundation as a water and wastewater engineer. As a sanitary engineer he ..vas respoT for many water and sewage pipeline and pumping projects, water and wastec treatment projects, ocean engineering and master planning. Mr. Howell has constm experience including resident engineeri'ng/inspection, construction management plan construction administration and claims negotiation. < e- a R3CEAX.D W. HOWELL (CONTINUED) CONSULTING FIR.?.? IN WASHINGTON STATE Mr. Howell participated in the facility planning, scheduling, environmeztal is1 assessment preparation, desip, cost estimation, construction inspection, and prepara of operation and maintenance manuals for several sewerage and wastewater treatz projects. He authored much of the wastewater section of a significant water resom study. He prepared assessments for newly formed local improveznent districts, performed underwater inspections of the installation of four ocean outfaib. ORGANIZATXONS: American Academy of Environmental Engineers Arnerican Public Vorks Association American Society of Civil Engineers American Water Works Association Government Finance Officers Association Water Pollution Control Federation " PTJBLICATltONS/PRESENTATltONSI Howell, ELW., "Developments in Public Works Financing, An Overview" presentel Montgomery Engineers hual Seminar, "Plant Improvements in an Era of Fua Cutbacks," April 24, 1983. Howell, XW., "History of Public Works Financing in California," presented to Sout California Water Utilities Association, August 19, 1983. Howell, R.W.; Chapman, D.F., "Small Agencies' Troubles with Federally Funded Proje presented to American Public Works Association, Nevada Section Conference, Oct 1983. Howell, R.W., "Wastewater Law and Regulation in the United States and Califor presented to the Enviromnent Committee of the Uorld Federation of Engine< Organizations, May 1984. Howell, RV., "State and Local Government Finance," AWWA Pacific Northwest Seq Annual Conference, May 1985. 0 e JAMES R LESERMAN EDUCATION: M.B.A., Finance, University of Southern California M.S., Environmental Engineering, University of North Carolina B.S., Engineering, Northwestern University REGISTRATION: Civil Engineer in California SUMMARY: Mr. Leserman has experience in the financial, budgetary and planning aspects of public works operations. He has extensive experience in all disciplines within environmental engineering including water and wastewater treatment, solid waste management, and air pollution control. EXPERIENCE: JAMES M. MONTGOMERY, CONSULTING ENGINEERS, INC. Mr. Leserman is a Supervising Engineer, specializing in financial planning and analysis, water and wastewater rate studies, system apprdisals, economics, solid waste management systems, and organizational assessments and evaluations. He performed water rate studies and financial analyses for the Cities of Napa and Whittier. He undertook a wastewater rate study for the Dana Point Sanitary District, He participated in a study evaluating the efficiency of a physico-chemical wastewater treatment plant in Niagara Falls, New York, by analyzing operations and maintenance costs, identifying capital requirements, and developing a capital management plan. Mr. Leserman worked with a local municipality to appraise the publically-owned water works, and to find a buyer for the system. He contributed to an evaluation of a sanitary landfill operation in Utah by providing financial, economic, and cost analyses. Mr. Leserman provided financial analysis to a water and wastewater utility bond issue in Southern Florida. Mr. Leserman has served as a liaison between the City of Los Angeles and contributing agencies in the negotiation of new wastewater system service contacts. COUNTY SANITATION DISTRICTS OF LOS ANGELES COUNTY, CAIIIF0RNI-A Mr. Leserman was responsible for developing and computerizing the $90 million annual budget for the Districts' Solid Waste Management Department. ,Ye determined the revenue and fee requirements for the solid waste management and energy recovery operations, and prepared and negotiated the agency's equipment lease-purchase financing arrangements. He tracked relevant state and federal legislation and initiated the use of a computerized tracking system, enabling quicker response time to legislative items. Mr. Leserman contributed to environmental impact reports for-landfills and refuse to energy facilities. 0' e JAMES R LESERMAN (CONTINUED) As a field engineer, Mr. Leserman tested and started up new equipment associated with secondary treatment facilities, authored equipment training manuals, and implemented a hazardous materials handling system. SMALL CONSULTING FIRM, SANTA MONICA, CALIFORNIA Mr. Leserman inspected and evaluated industrial facilities for compliance with applicable air quality regulations. MAJOR ARCHITECT/ENGINEERING FTRM, CHZCAGO, -0IS Mr. Leserman designed control and safety systems, evaluated pollution control equipment, and performed scientific studies for this large firm specializing in utility power plant design. ORGANIZATIONS: American Society of Civil Engineers American Water Works Association Government Refuse Disposal and Collection Association Southern California Waste Management Forum Southern California Water gtilities Association . Water Pollution Control Federation I 0 m wILLIA3d T. MffiIVNEY EDUCATXON: M.S., Resource Zconomics, University of Rhode Island B.S., Economics, California Polytechnic University SUMMARY: Mr. McGivney provides highly specialized cost estimating services and econo: analytical assistance to J" engineering projects. TlSs expertise is based on years practical experience with construction planning techniques. Since joining our firm he been involved with review and implementation of state-of-the-art computer-assisted c estimating programs at JMM. His experience includes in-depth financial and account analysis as controller for a major manufacturing firm. Mr. McGivney is also responsible for the complete project scheduling effort in support JMM engineering projects. This support takes the form of both production work : educational seminars throughout the many regional offices of JMM. He has published in-house series on CPM scheduling which has been video-taped and made available €or indoctrination of new and experienced JMM engineers. The lnain thrust of this schedul production effort is CPM scheduling, aelay claims analysis, and construction sanagea and is carried out by an expert staff of engineers and technical support personnel. EXPERIENCE= JAMES X. MONTGOMERY, CONSULTING ESGINEERS, INC. Senior Schedule Analyst: Mr. McGivney has been responsible for establishing i developing the scheduling effort at JMM. He has developed the Project Controls ldas Schedule system for all in-house design production work in the Southwest Region. 1% responsible for primary schedule submittal review for all Construction Manages Services projects, and in this capacity reviews the project specification and contr submittals. Senior Cost Estimator: Mr. McGivney is assigned to the firm's Financial Studies 3ivis as principal estimator. He is responsible for the preparation of final cost sstirnatps water and wastewater treatment plants, Turnping stations, reservoirs, transrniss pipelines, operations and control buildings, and other associated plant facility desi produced by the firm. In this capacity, Mr. McGivney provides updating of all pl indexing and unit price changes relating to component materials common to water wastewater construction. Be is also directly involved with the firm's various compt nod& used in the analysis of treatment plant costs and project cost optimizx developed to assist project engineers with both preliminary and detailed cost estimate2 me11 as alternative design selection. He recently completed an estimate for a X designed project (in joint venture with another fim) with the City of Los Angc involving more than two thousand contract drawings and over seventeen thousand page2 specifications with an estirnated construction cost in excess of $200 million. MAJOR MANUFACTURING FIRM, LOS ANGELES In the role of plant controller, Mr. Mcc",ivney mas responsible to corporate officers continuous detailed analysis of plant operating costs and profit analysis for all prod lines. He :naintained a current data base for the computer inventory system (M.: including reconciliation of printout reports to verify system integrity. e, 0 WlUJAlM T. McGm (CONTINUED) PRIVATE BUSINESS Mr. McGivney spent a number of years in the private business sector in the construct market. He spent two years as general manager of two cabinet and millwork compar performing all management functions, all cost estimating, and the fixing of profit xar! for the entire product spread. Mr. McGivney was self-employed for several yeaE commercial and residential construction. Be operated as a general contractor and directly responsible for estimating, project managernant, and cootdilation of all part pating trades. 0 .' m SUDHIX D. PARDIWALA EDUCATION: U.B.A., Finance/-kcountirg, UCLA M.S., Chemical Engineering, Arizona State 'Jniversity B.S., Chemical Engineering, Hdim Institute of Technology, Bombay REGISTRATION: Chemical Engineer in California SUMMARY: Mr. Pardiwala has extensive expertise in water and wastewater utility cost accounting, budgeting, and valuation, financial and revenue planning, assessGent engineering, and has completed numerous water and wastewater rate studies for utilities. He has developed and utilized computer models to conduct the financial evaluation and studies, and has developed models of activity systelns for analyytical analysis. :is engineering education and background provides Mr. Pardiwala with an excellent basis for financial studies of public and municipal utilities. EXPERIENCE: JAMES M. MONTGOMERY, CONSULTING ENGINEERS, INC. Supervisory Zngineer: Mr. Pardiwala has conducted and completed financial analyses hcluding water and wastewater rate studies, connection fee evaluations, financial planning and economic feasibility studies for num,, =-0:m agencies. They include the Cities of Downey, Rialto, Malibu, San Fernando, Sweetwater, Burbank, and Victor Valley County Water District, all in California. These studies involved a cosplete analysis of the client's budgeting and cost systems, and evaluation of financing alternatives. Developed rules and regulations governing utility operations and sewer use ordinances. R2sponsible for financial data included in official stateaents issued for purpose of public works debt financing. Other projects included alternate methods of financing, formation of special districts ranging in size up to $85 million, the preparation of assessment charges for inclusion on County tax rolls and master planning of water facilities for the City of Riverside. CONSULTING ASSIGNMENTS, LOS MGELES, CAzlIFORNIA As an independent consultant, Mr. Pardiwala carried out a market survey and performed financial analysis including cash flow, financing, cQstbg, hdgeting, valuation and risk analysis. 0 .. 0 SUDHIR D. PAIiDrWALA (CONTNUED) MAJOR ENGINEERING, CONSULTANT AND CONSTRUCTION PJRIM 33 LOS ANGELES, CALIFORNIA Senior Esglneer: Designed, engineered and perforae.3. economic analysis for process equipment. Responsible for specifications and purchase of equipment. Developed cash flows in coordination with cost engiaeering. Modeled and developed computer programs to simulata systems. CONSULTING ENGINEERING FIRM IN LOS ANGELIS, CALIFORNIA Research "IZeer: Modeled and developed cornputer programs to sindate processes and process equigment. Provided technical support to cliegts. Worked on projects involving .water treatment for commercial power plants. ARQBMA STATE UNIVERSm, TEMPE, AREONA Mr. Pardiwala's thesis for his master's degree was on ultra purification of x.vater and involved the design of a unit incorporating reverse osmosis, 3eionization, ultrafiltration and activated charcoal filters. i f?J QO " . .,. .. __ .. .... .~ - , ,.. . , .. "i.7 - .~. 4 .. ^. ?< .. .* .. , :- .I -. \. .. .... .I ,. :. . , YLc. ....... _.,. .;< 1p .-. . -. 2. ". ...... .I ....... ,. .: .. ..Ye-.? .: - c . .. -.. .... :_ . ...... . 5 ,. . ..... __ ,. .. ..... -. .,. .. .,-t +./. .. . . 9 :" , . .. I. . .I - -:*. ,. , ,. , . .,- ~ = W..'. >;~ . -., ... ,; .. ;.:- .<.-. . - . . ... .... ... .\. .... *, i -..!;. . SECTION 4 ~:... . -.*.E. .... .. I -. ... .. I . .j ...... ...... ........... .. - .... - .. e .. 0 SECTION 4 RELATED EXPERIENCE AND REFERENCES JMk? has prepared numerous rate and E~zxid studies iwolving wastewater systems. staff provides many years of experience in financial analysis and rate investigations. . has completed well over 150 analytical and statistical fmancial studies of water wastewater systems. In addition to studies which dealt primarily with the determination of proper rate schec many other investigations and studies involving cost determinations which have a rf effect on utility rates have been completed. These include master plans and feasi studies, analyses of bond issue casts, water reclamation studies, water resource st1 water storage investigations, water treatment studies, wastewater collection. treat1 disposal and reclamation studies assessment engineering, as well as the effect on rates utility properties are purchased or sold. During the last two years, as interest rates came down, interest in refinancing and finanmg peaked and the financial studies group prepared financial plans for several and agencies in California and the USA. These projects included rate studie: refinancing existing issues as well as preparing plans, estimating costs and economk preparing official statements for new issues. Most of J"'s business is repeat business. i.e., business from satisfied clients who pn deal with us because of our responsive and timely assistance. A case in point is the ( Burbank. The financial studies group completed a rate study involving user charges ar then retained to prepare a financial plan to finance expansion of wastewater facilities. shows the on-going reiationships we build with our clients. The following list gives references of several currently or recently completed wastewat studies and bond studies. We invite the City to contact any of these references to our rate work. This list is followed by descriptions of some of J"'s projects representative list showing names of some of our other clients. -10- 0 '. 0 REFERENCES Wastewater Rate Studies Dana Point Sanitary District 1989 Wastewater Rate Study Mr. Sherman Salonen General Manager (7 14) 496-9322 Wastewater Flow : 2 mgd City of San Fernando 1988 Wastewater Rate Study Mr. Donald Penman City Manager Wastewater Flow : 2 mgd (818) 898-1201 City of Dei Mar 1989 Water and Wastewater Rate Study Ms. Gloria Curry City ?vhagei (619) 755-93 13 \EI~f~.m+nr WULUL F'". 1uw . . 1.8 mgd City of Burbank 1986 Wastewater Rate Study Mr. Paul Thyamagondalu Supervising Engineer Wastewater Flow : 17 mgd (818) 953-9530 Elsinore Valley Municipal Water District City of Los Angeles 1987 Wastewater Rate Study 1988 Wastewater Rate Implementation Mr. Robert Modrich Mr. Donald Smith Controller Wastewater Program Director Wastewater Flow : 3 mgd Wastewater Flow : 440 mgd Capistrano Beach Sanitary District 1989 Wastewater Rate Study Mr. Dennis A. Erdman Manager Wastewater Flow: 1 mgd (714) 674-3 146 ' (213) 322-3 13 1 (714) 496-9247 Financial Plans City of Riverside 1985 Water Bond Study Mr. Thomas K. Clarke Utilities Administrative Officer (7 14) 787-7502 City of Upland 1986 Water Revenue Study Mr. Larry Dilly Water Department Manager (714) 982-1352 County of Los Angeles 1987 Financial Plan for Malibu Mr. Brian Scanlon Superintendent, Sewer Maintenance Division (2 13) 738-2534 -11- 0 '' 0 CITY OF BURBANK .. The City of Burbank had been using system development charges to fund operatio running a deficit in their budget. The State Water Resources Control Board requir City to meet EPA's revenue program guidelines and recommended JMM to develo City's wastewater revenue program. J" successfully performed a user charge study which included an analysis of the wastewater rate structure. This included a detailed study of historical water consul data mG infdtration and inflow data. Analysis showed thzt rwe2ilues coiectzd fror strength users was totally inadequate. Rates were structured to take into accou .r,,.14m--.-c-- n..... _- waacwava lluw -Id the strength of the City's large CGsEei&d n;;d i.;.,d.astrial accoun addition because of large capital expenditures at Hyperion treatment facilities, designed a lifeline rate for the City's senior citizens so that they would not be burdened by high sewer rates. A program of charges for inspections of industrial discharge permitees was developed to reflect cost of service. In addition a sys~ reserves was designed to prevent commingling of funds from system development cl from restricted bond accounts and from operations. JMM made presentations to tt Council and at public hearings to ensure smooth passage of the rate increases. The r program was approved by the SWRCB. JMM also drafted an ordinance to refle recommended changes. One of the features of this ordinance provided staff the flexib. implement rate increases necessitated by inflation without approaching Council for app As part of this study, J" provided a rate model on Lotus Symphony to the City. model is being used to determine rates for subsequent years. As a follow up to the user charge study, J" was retained to perform a study 1 system development charges. The City treats part of its wastewater at its own faciliti part at the Los Angeles Hyperion Treatment piant. The City's facilities needed expanded to meet increased demand. J" evaluated the costs of increase in tre capacity and recommended system development charges for the residential and 7 commercial and industrial users. Followin the above work, J" provided a financial analysis study to be included City's 0 8- lcial Statement for a proposed bond sale to finance construction of the City': expansion. This included an analysis of bond sizing, estimating reserves, bond issues coverage requirements and methods of increasing rating and reducing interest costs. J" also performed an engineering feasibility study and evaluated the economics of consemation by using reclaimed water to irrigate the City's parks, golf courses. a freeway landscaping and industrial uses such as plating. CITY OF CULVER CITY, CALIFORNIA JMM has been performing Culver City's annual wastewater rate review update for tl eight years. This consists of a review of the annual expenditures including the c( operation and capital expenses at Los Angeles and the operation and capital costs of City. These are integrated to develop a new set of rates. This year because of tht capital improvements at Los Angeles .,Hyperion treatment plant, the user charges inc by 300 percent. JMM wrote a report, presented to Coundl, to ensure smooth pass this large rate increase. -12- a .. 0 CITY OF RIALTO, CALIFORNIA The City of Rialto was required by state regulators to provide tertiary treatment for effluent discharged into the Santa Ana River. JMM performed an engineering stud preliminary design, estimated the costs and performed a financial analysis to p wastewater services charges and connection fees for five years, In addition, J" eval the City's financial resources and recommended sale of revenue bonds to finance construction. This included determining bond coverage. interest rate, and issue costs. I*ntn L,vwirrY OF LEHIGH, PENNSYLVANIA Wastewzter iz Tkhigf: Ccu~ty, Pennsylvania, is generated in a nurr?ber cf different citic townships, is conveyed through interceptor sewers owned by several other agencies. ultimately treated in a regional plant operated by the City of Allentown. During a rate study, J" reviewed the agreements governing the distribution of treatment ca and the atlocation of treatment and transportation costs to the various signatory agenci computer spreadsheet model of the institutional structure was created and then calibra historical cost, flow and pollutant loading data to ensure the accuracy of the rate an allocation calculations. The model was used to identify cost subsidies caused by the current institutional str and to project the impacts of a new industrial waste pretreatment plant on the ratt costs of the signatories. The model was also used during negotiations between the C and two large industrial dischargers over the industries' contributions toward the cost plant. The rate model was installed in the County's microcomputer for use in future negoti To assist County personnel in operating the model, JMM prepared an operating man( conducted a training session. CITY OF SAN FERNANDO, CALIFORNIA J" was retained to prepare a water rate study, wastewater rate study, and sewer c study to estimate ultimate sewer discharge from the City. The primary source oj supply for the City was groundwater. To meet peak demands that exceed the existin1 rights, water is purchased from the Metropolitan Water District of Southern Californi: rate study recommended using a pass through charge from users to recover the MWI: 1 purchase costs. The rate study also developed a rate schedule to fund the $3 million improvement program. Wastewater treatment and disposal services were provided by the City of Los Angele wastewater rate study provided a rate schedule to fund the City's portion of the Los treatment plant improvement program over a five-year period. In addition, t schedule was developed to provide sufficient funds to purchase additional capacit) improved treatment facilities. -13- *. a CITY OF FOLSOM, CALIFORNIA J" completed a water and sewer rate study for the City of Folsom following atlnexatiofl of the Foisom-South area. The annexation procedures increased the geograph extent of the City by a factor of two. The rate study was completed to determini revenues generated by the new users would be adequate to fund the additional costs. J: worked with City staff to develop water and wastewater capital improvement programs. rate study also considered providing funds to repay past loans from the General Fund to Water Department. Based upon the comparison of the cost projections to the rev( sources, J" determined that the existing rate structure was not adequate. J" wo with the City staff to develop a rate structure which had minimal impact on special groups. The wastewater rate structure was modified to be consistent with the structure by the regional wastewater agency, in accordance with Clean Water Grant guidelines. CXTY OF CORONA, CALIFORNIA J" conducted a financing feasibility study for the City of Corona, that resulted successful bond issue authorization. J" also was retained to provide the City with a 1 service rate study and subsequent updates. The study recommended a change in the C rate structure from a minimum charge with water allowances to a service availability ci without water allowance. The service availability charge was designed for periodic ul using specific cost functions that were not related to the amount of water used. CITY OF DEL MAR, CALIFORNIA J" was selected to evaluate the City's system of fees and charges associated wit water and wastewater services. The City serves residential and commercial customt weil as the County Fairgrounds which includes the Del Mar Racetrack. The Ract dominates the water and wastewater demands. J" developed a report and determi. fair and equitable charge for the Fairgrounds which were benefiting from an inequitabl structure as compared to the balance of the City's other users. The study also eva alternative rate structures to eiiminate the City's deficit in the water and wastc accounts. CITY OF SCOTISDALE, ARIZONA J" completed a financial study of utility operations for the City of Scottsdale Mu. Utilities Department. This study involved an evaluation of present water and sew structures; an evaluation of connection and development fees; and a determination ol and wastewater revenue requirements, by source, for a five-year period. Also inclu the study are determinations of appropriate cost allocation methodoiogie: recommendations regarding revisions to accounting and administrative practices. All0 of direct and indirect costs are made to properly define the actual costs for providi water and sewer system services. The final product of the study included recommen and formula for equitable water and sewer rates, fees chargeable to new develop me^ financing plans (including methods and policies). To ensure a successful and completion of the study, seven meetings were held with City Council, City Staff. public workshops throughout the study. All of the recommendations resulting frc extensive study were adopted by the City Council and implemented by the MI Utilities Department. a .. 0 CITY OF SKAGWAY, ALASKA The City of Skagway, Alaska, selected J" to prepare a financial and revenue plan wastewater, water, and solid waste disposal systems. The adoption of an equitable of rates and user charges pursuant to criteria developed in regulations issued by required as a condition of receiving federal and state grant funds under PL 92-50C report included the development of an annual budget to recover costs of opc maintenance, capital replacement, and debt service for the water and wastewater systc comparison of monthly rates which would include recovery of debt service was mac rates providing for collection of the debt service. A review of the present solid operation and alternative me:hods of imp:=ving the system was accomplished, Es! annual budgets were presented for four alternatives of disposal including incint development of the sanitzry !ztx!E! site: trmsfer by the City of Skagway t~' Hzines. for disposal by a private fm: and the collection, transfer, and disposal by a firm at : Sanitary landfill site development appeared to be the most economical alternative but. the difficulty in locating a suitable site, the report recommended that the City contrs a private firm for collection, transfer, and disposal in Haines until a long-term altt can be determined. An ordinance to provide for rules and regulations to assure operation of the City utility systems and. schedule of recommended rates and fee: charged and collected for utility service in the City of Skagway were also included. DANA POINT SANITARY DISTRICT Dana Point Sanitary District was using ad valorem taxation to fund the operating cos( sewer services. J" revised their revenue program to meet federal and state guidelil helped implement the program. J" prepared their annual roll to collect sewer charges along with property taxes. -15- * i T e+ 0 REPRESENTATIVE LIST OF FINANCIAL ANALYSIS AND RATE STUDIES American Potash and Chemical Corporation Azusa, California, City of Azusa Irrigating Company Azusa Valley Water Company Baker, Oregon, City of Basic Management, Inc. Boise, City of Broward County, Florida Burbank, California, City of - California Domestic Water Company Camarillo Sanitary District Canby, Oregon, City of Capistrano Beach Sanitary District Charleston, West Virgina, City of Chino Basin Municipal Water District Chino, California, City of Clark County, Nevada (Las Vegas) Compton, California, City of Contra Costa County Water District Corona, California, City of Costa Mesa County Water District Covina, California, City of Covina Irrigating Company Crestmore Village Water Company Cucamonga County Water District Culver City, California, City of Dei Mar, California, City of Dominguez Water Company Downey, California, City of El Centro, California, City of El Monte, California, City of Elsinore Valley Municipal Water District El Tor0 Water District Escondido Mutual Water company Fairfield, California, City of Glendora Irrigating Company Guadalupe, California, City of Helena, Montana, City of Idaho Department of Health & Welfare Jackson, Wyoming, City of La Habra Heights County Water District La Habra Heights Mutual Water Company Laguna Hills Utility Company Las Vega Valley Water District, Nevada Lauderhill, Florida, City of bs hgeies, California, County of Lytle Creek Water and Improvement Company Missoula, Montana, City of Mojave Water Agency Monrovia, California, City of -16- e . . 0 REPRESENTATIVE LIST OF FINANCIAL, ANALYSIS AND RATE STUDIES (Continued) Montebello, California, City of Mountain Properties, lnc. Murphy Ranch Mutual Water Company Nevada Imgation District North Cucamonga Water Company North LsnilderMe, FIcrib2 Opa Loch, Florida. City of Pajaro County Ezsit.t;r?_n- District Palm Springs Water Company Pasadena, California, City of Pomona, California, City of Pomona Valley Water Company Rancho California, City of Rancho California Water District Rancho Las Posas Water Company Redlands, California, City of Rialto, California, City of Rohnert Park, California, City of Sacramento, California, City of San Buenaventura, California, City of San Dieguito Irrigation District San Dimas, California, City of San Dimas-Charter Oak Domestic Water Company San Dimas Water Company San Fernando, City of Safford, Arizona. City of Santa Fe Irrigation District Santa Rosa Ranches Water District Scottsdale, Arizona, City of Simi Valley County Sanitation District Skagway, Alaska, City of South Gate, California, City of South Pasadena, California, City of Stockton East Water District Sweetwater Authority Thousand Oaks, California, City of Torrance, California, City of Transamerica Development Company Turner Ranches Water Company Tustin Water Works Upland, California, City of Vallejo County Flood Control and Sanitation District, California Vernon, California, City of Victor Valley County Water District Walt Disney World, Florida Watsonville, California. City of West Covina, California, City of Yorba Linda County Water District -17- r i I \ i I ! I" .. .. . _. . .I .. . ,. > ,- I _. :: .: -.: .- . -2 I - :. i .I ' , ., .. . . .. .. .. ...; 2- - .. .. .. >. ' .. . -. .. . /. -. .. .. . _. .. .. .. .. .. f?J QQ .. . .. . .. .. . . .. .. .,*. ' ._. - .. ... , . .:. - - 1 .. .. 4.*, . .: ',,'. : . .. . .- .- ./ .. -.. . r .. , : __. - . -. L " .. . . .. .. .. ,- .. 7. .. .. ,, .. .. . - .ir .. .. .. .. .. c .- _. .. , , . .:. -. . ._..".. - . .. . : , -.. . . i . .. N b t m '' m i L . SECTION 5 WASTEWATER RATE STUDY DATA REQUIREMENTS In order to complete the study within the specified time limits, it is expected that the ( will previde the following information during the kick-off rneethg. The City has alrc collected much of the information required. Our discussions with staff suggest tl should not be any problem gathering the remaining information. 1. Audited financial reports for last four years and proposed budget for coming y Please provide a. Budget details with line item explanations b. Breakdown of costs between sewer system and treatment administration. c. Depreciation schedule d. Existing reserves e. Debt servicing requirements, bond covenants f. Insurance costs. g. Name of power company h. Future capital expenditures 2. Number of multi-family units. 3. Expected future growth pattern or general plan. 4. Typical wastewater strengths if known for various users. 5. List of commercial, industrial and institutional users with water usage for last J These need to be classified into various categories as shown in the accompan table on the foilowing page. 6. Total wastewater flow. Provide infiltration and inflow data if available. 7. Total Encina Wastewater Treatment Facility capacity 7. Previous reports including master plan updates and previous revenue programs rate studies. 8. Current fee ordinance. -18- - , e .' @ i 1 . TYPICAL WASTERWATER STRENGTHS BY USER CLASSIFICATION Users BOD w/ 1 ss BOD+SS mg/ 1 mg/ 1 Group 1 Residential Typical Domestic 175 175 350 Group I1 Commercial Softwater Service Car Wash Office Buildings Laundromats Department and Retail Stores Warehouse Hospitals Indoor Theatre 3 20 130 150 150 150 250 190 55 150 80 110 150 150 100 210 58 170 210 260 300 300 350 400 ~~~ Group I11 Commercial Hotels-Motels(w/o restaurants) Repair and Sewice Stations Commercial Laundry Manufacturing .Lumber yard 310 180 450 405 400 120 280 240 420 430 430 460 690 825 830 Group IV Commercial Hotels-Motels (w restaurants) Bakeries (wholesale) Supermarkets Mortuary Restaurants 500 1,000 800 800 1,000 600 600 800 800 600 1,100 1,600 1,600 1,600 1,600 Group V Institutional Membership Organizations Social Services Schools Motion Pictures (studios) 13 0 13 0 130 13 0 80 80 100 100 210 210 230 230 ~~~~ ~~~~ ~ Group VI Large Volume Users - - ** Wastewater strength data is adapted from State Water Resources Control Board's(SWRCB) "Revenue Program Guidelines for Wastewater Agencies". .i -. -. 0 .. . I 'I .' ' .. .. ... .. . . .. - ~ .. - 5 .: ~0. -- . I , - ._. , i z , ') - 1. . .. .. . '. .. , ?- _.. . 1. .. . ,. .. .. ,. ._ .- *. -- -. * .. ?2 .L .. . 1. .. ' .. .. . <' . , .,+ .. . .. L% .- -- . . .r& .. .. . .. ... -. -... - ; . *. , . 4" , r,c;; .. : " . ,>L ". * i ~ . : " .. - : ,. - , ../. -:. _. .. -. , - '' sECTIO . ~~ .I. .. ..., .. ... . , ,. .. . j .. ., . ,. .. .. , ._ . .. .- .. IN 6 * iL c 8 0 .. e 1," 7 .. SECTION 6 SCHEDULE OF FEES AND CONDITIONS; -19-