t
2016-2025 Decade Plan for Capital Improvements
b
The Decade Plan for the Water Authority is developed every two years and describes proposed Capital Improvement Program (CIP) spending for the next ten years. The Decade Plan provides a direct link from the Water Authority's financial plan to the proposed capital needs. The Decade Plan does not obligate current or future funds for individual projects or categories of projects. The Decade Plan is a CIP planning document to identify projects and proposed spending over the next ten years. The Decade Plan was developed using asset management principles.
The following summarizes the proposed spending for the Basic Renewal Program, Special Projects and Growth Projects. The Growth Projects were divided into two categories: Level 1 Priority and Level 2 Priority Projects. The Level 1 Priority Projects are higher risk projects that are targeted for funding first. The Level 2 Priority Projects will be completed as funding becomes available.
|
FY16-17 (millions) |
FY16-25 (millions) |
Basic Program (Level 1 Priority Renewal Projects) |
$95 |
$595 |
|
|
|
Special Projects |
$12.7 |
$39.5 |
|
|
|
Growth Program (Level 1 Priority Growth Projects) |
$8 |
$40 |
Growth Program (Level 2 Priority Growth Projects) |
$23 |
$124 |
Total Growth Program |
$31 |
$164 |
|
|
|
Total Level 1 Priority (Renewal & Growth) + Special Projects |
$116 |
$675 |
Total Level 2 Priority (Growth) |
$23 |
$124 |
Total of All Programs (Renewal, Special Project, Growth) |
$139 |
$798 |
The Basic Program consists primarily of renewal projects for both water and wastewater plant and field assets. Special projects include Steel Waterline Replacement, Automatic Meter Infrastructure, Renewable Energy Projects, and the Yucca-Central Interceptor Realignment Project. Growth projects are new projects funded by the Water Authority or developer funded projects that are reimbursed through approved Development Agreements as well as for replacing vehicles. The spending Southside Water Reclamation Plant includes the additional special funding.
FISCAL IMPACT:
Total funding for this Decade Plan is $798-million through FY 2025 for Level 1 and 2 Priority and Special Projects. Funding for the Decade Plan and proposed CIP projects will be appropriated in the Fiscal Year that they are proposed. Revenues for the proposed programs will come from a variety of sources including water and sewer rates, Utility Expansion Charges, grants, and revenue bonds. Revenues for the Basic Renewal Program assume an increase of $3-million per year that started in FY2015 and continuing at this rate of increase through the decade. This increase in revenue is intended to increase the capital asset renewal program spending to maintain the infrastructure so that the expected level of service to customers can be sustained.