NTMWD WATER AND WASTEWATER PROJECTS, COST FORECASTS

Transcription

1 Regional Service Through Unity Meeting our Region s Needs Today and Tomorrow NTMWD WATER AND WASTEWATER PROJECTS, COST FORECASTS Tom Kula, Executive Director June 27, 2017 Forney City Council

2 OUR CLICK VISION, TO EDIT MISSION MASTER AND TITLE GOALS STYLE VISION: Regional Service Through Unity Meeting Our Region s Needs Today and Tomorrow MISSION: Provide high quality and dependable water, wastewater and solid waste services in a cost efficient manner Goal 1: Provide Superior Water, Wastewater and Solid Waste ServicesToday Goal 2: Secure the Future for Water, Wastewater and Solid Waste Supplies and Services Goal 3: Maintain Strong Relationships with Member Cities, Customers, Partners and thepublic Goal 4: Maintain our Infrastructure to Provide Reliable Service Today and Tomorrow Goal 5: Take Care of Our People 2

3 AGENDA History, Service Area, Regional System Services Essential for Economic Prosperity Water Key Projects, Initiatives Wholesale Rate Projections Value of Water Wastewater Key Projects, Initiatives Cost Projections Questions 3

4 MESQUITE WASTEWATER TREATMENT PLANT MGD Treatment Capacity NTMWD takes over operation of Mesquite Wastewater Plant from City of Mesquite MGD Avg / 82.5 MGD Peak Treatment Capacity Significant regional growth over last 40+ years of operation Serves Mesquite, Forney, Rockwall & Heath Improvements Odor control Back-up power Converting from chlorine to UV disinfection Adding filtration capacity 4

5 HISTORY OF NTMWD 10 Original Member Cities Farmersville, Forney, Garland, McKinney, Mesquite, Plano, Princeton, Rockwall, Royse City, and Wylie We decided we were all in this together. We couldn t do it separately Created by Texas Legislature to Provide Water Service 1956 Began Providing Treated WATER to Member Cities 1970s Expanded to WASTEWATER Service 1973 Richardson added as Member City 1980s Expanded to SOLID WASTE Service 1998 Allen added as Member City 2001 Frisco added as Member City _ 5

6 REGIONAL PROVIDER: WATER, WASTEWATER, SOLID WASTE 6

7 Focused on Serving Growing Region City Allen ,940 8,314 18,309 43,554 84,246 91,390 Farmersville 1,955 2,021 2,311 2,360 2,640 3,118 3,301 3,310 Forney 1,425 1,544 1,745 2,483 4,070 5,588 14,661 17,480 Frisco 736 1,184 1,845 3,420 6,138 33, , ,510 Garland 10,291 38,501 81, , , , , ,960 McKinney 10,560 13,763 15,193 16,249 21,283 54, , ,840 Mesquite 1,684 27,526 55,131 67, , , , ,230 Plano 2,115 3,695 17,872 72, , , , ,140 Princeton ,105 3,408 2,321 3,477 6,807 7,910 Richardson 1,289 16,810 48,405 72,496 74,840 91,802 99, ,430 Rockwall 1,501 2,166 3,121 5,939 10,486 17,976 37,490 40,620 Royse City 1,266 1,274 1,535 1,566 2,206 2,957 9,349 10,220 Wylie 1,295 1,804 2,675 3,152 8,716 15,132 41,427 45,000 NTMWD Total Population Served: Historical and Projected Year Population Served 32,000 60, , ,000 1,600,000 2,500,000 3,700,000 Note: Collin County updated growth projections estimate 1.3 million more residents than previous estimates. 7

8 Water Essential for Economic Growth Water supply infrastructure is the driving force of community and business vitality CityLine - Richardson Gateway Development - Forney The Star - Frisco Legacy West - Plano 8

9 9

10 RESERVOIR ELEVATIONS JUNE 22, 2017 Reservoir Lavon 30% Chapman 15% Tawakoni 8% Texoma 28% Conservation Pool Elevation Current Elevation Up/Down % Full *Source: Texas Water Development Board Real-time lake level updates available on NTMWD.com

11 CONSERVATION NEEDED TO STRETCH SUPPLIES Critical strategy for maximizing supplies Has helped defer approx. $1B in projects Award-winning programs Water IQ WaterMyYard.org Water4Otter School Education Program 11

12 NEW PROJECTS NEEDED FOR RELIABILITY AND GROWTH New supplies critical for future of North Texas Water demands will increase 1.5 times over next 40 years 12

13 KEY WATER SUPPLY PROJECTS Trinity River Main Stem Pump Station & Pipeline Expands reuse supplies Divert flows from river into wetlands Completion by early 2019 Lower Bois d Arc Creek Reservoir First major reservoir to be constructed in Texas in 30 years To meet region s needs through 2040 Working on final permit from USACE Completion by early

14 AGING INFRASTRUCTURE NEEDS REPAIRS, UPGRADES Wylie Plant I (60-year-old facility) out of service for major upgrades Example of aging infrastructure costs Limited excess capacity due to ongoing maintenance of system Monitoring closely and communicating with cities Summer 2017 example: Basic Permitted Capacity of Wylie WTP: Plant Capacity (MGD) I 70 II 280 III 280 IV 140 Total: 770 Wylie WTP I Not Available due to Construction: -70 New Wylie Total: Tawakoni WTP: 30 Net Total: 730 Historic Peak Hour WTP Production (2011): -712 Excess Capacity: 18

15 Water Service Costs Going Up Across U.S. Maintaining Aging Infrastructure Meeting Increasing Regulations Increasing Costs = Higher Water and Wastewater Rates Expanding/ Building New Projects for Growth 15

16 CAPITAL IMPROVEMENT PROGRAM ($3.7 BILLION) $800 Millions $700 $600 $500 $400 $300 $200 Bond Financed Projects FY18 - LBCR Dam - LBCR Mitigation - LBCR Road Relocation FY19 - LBCR Pump Station - LBCR Raw Water Pipeline - New 70 mgd Leonard WTP - Leonard WTP to North System Treated Water Pipeline FY24 - Exp Leonard WTP to 140 mgd FY28 - Exp Leonard WTP to 210 mgd FY29 - Sulphur River Basin Rsv FY30 - Texoma to Leonard WTP Raw Water Pipeline FY31 - Leonard WTP to North System Treated Water Pipeline FY32 - Exp Leonard WTP to 280 mgd $100 $0 Cash Financed Projects FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY35 FY36 Cash Financing $100 $73 $41 $51 $69 $65 $76 $73 $70 $76 $75 $63 $59 $43 $40 $27 $30 $24 $28 $30 1/17 Cap Imp Prog $362 $511 $722 $125 $95 $148 $131 $232 $94 $76 $119 $221 $172 $193 $154 $175 $30 $24 $61 $30 16

17 PROJECTED MEMBER WATER RATES & FUND BALANCES $200 Preliminary Rates are Adopted by the Board Annually in September $5.00 3/17 Rate Projection Fund Balance (Millions) $160 $120 $80 $40 10% 11% 10% 10% 10% 10% 7% 7% 5% 4% 2/16 Rate Projection Operating Fund Balance Represents 90 Days O&M Expense. FY18 Current Projected Rate is $.04 / 1,000 Less Than 2/16 Projected Rate - Due To Deferral of TRA Main Stem Water Purchase from FY18 to FY19. $4.00 $3.00 $2.00 $1.00 Rate per 1,000 $0 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 FY31 FY32 FY33 FY34 FY35 FY36 Oper Fund $31 $32 $33 $35 $38 $40 $43 $45 $48 $51 $53 $55 $58 $61 $64 $67 $70 $74 $77 $81 Contingency Fund $14 $14 $14 $14 $14 $14 $14 $14 $14 $14 $14 $14 $14 $15 $15 $15 $15 $15 $15 $15 Cap Imp Fund $20 $16 $20 $21 $17 $25 $25 $25 $31 $31 $29 $38 $37 $42 $34 $25 $25 $32 $28 $33 3/17 Projection $2.53 $2.78 $3.06 $3.36 $3.60 $3.79 $3.89 $3.96 $4.01 $4.05 $4.09 $4.13 $4.16 $4.19 $4.22 $4.25 $4.28 $4.30 $4.32 $4.34 2/16 Projection $2.53 $2.82 $3.10 $3.40 $3.64 $3.80 $3.89 $3.95 $4.00 $4.04 $4.08 $4.12 $4.15 $4.18 $4.21 $4.23 $4.25 $4.26 $4.27 $

18 Water Rates Pay for #MoreThanWater Cities pay costs of shared system Not paying for unused water District open to continuing discussions on cost allocation options 18

19 WATER RATES PAY FOR MORE THAN WATER Current rate = $2.53/1000 gallons $2.12 covers system FIXED costs (ex. infrastructure, debt) $0.41 covers VARIABLE costs (ex. chemicals, energy) Cities may receive annual rebate when actual consumption is lower than contracted amount FY18 projected rate = $2.78/1000 gallons Approx. 85% of rate will cover fixed system costs Still about 1/4 penny per gallon of treated water delivered 19

20 WATER TRADITIONALLY UNDERVALUED Need to work together to inform consumers about VALUE OF WATER Journey of Water video on NTMWD.com Paying for water SERVICE, not a commodity Rate increases fund critical infrastructure needs Essential for public health & safety Vital for economic prosperity *Combined District & cities estimated cost 20

21 NTMWD SERVICE AREA FOR CITY OF FORNEY S. Mesquite RWWTP Forney Lift Station Buffalo Creek Lift Station 21

22 PROJECTS TO 2020 SERVING CITY OF FORNEY Kaufman County Regional Feasibility Study Buffalo Creek Interceptor Parallel S. Mesquite RWWTP Projects: 1. Filter & UV Improvements 2. Influent Flow & Clarifier 3. Aeration Improvements Ph II 4. Sludge Truck Weighing Parallel Gravity Interceptor Forney Mustang Creek Lift Station 22

23 WASTEWATER INITIATIVES Regional Capacity Management, Operations, and Maintenance (CMOM) Efforts Continue Collaborative Regional Approach Has Yielded Positive Results Demonstrated to EPA that right steps are being taken Framework to avoid future enforcement by implementing sustainable practices Allows local utilities to determine necessary investments to provide safe, affordable, and reliable services CMOM Implementation Must Continue District, Community, and Regional CMOM Plans are finalized and implementation is ongoing Efforts underway to jointly manage Regional system capacity 23

24 REGIONAL WASTEWATER SYSTEM: CAPITAL PROGRAM $180 $160 $140 $120 PRELIMINARY FY17-FY22 FY17: Rowlett Creek Peak Flow Phase I - Increase from $29M to $45M, Wilson Creek Exp n to 64 MGD - Increase from $40M to $52M FY18: Wilson Creek Electrical Phase II - Increase from $4M to $12M FY19: Rowlett Creek Peak Flow Phase II - Increase from $19M to $40M FY20: Wilson Creek Exp n to 76MGD <$21M>, updated to New WWTP $104M FY21: Rowlett Creek Peak Flow Phase III - Increase from $23M to $56M Millions $100 $80 $60 $40 $20 $0 FY17 FY18 FY19 FY20 FY21 FY22 Current Program $130 $59 $60 $119 $58 $10 5/2016 Program $67 $34 $62 $31 $5 $39 24

25 REGIONAL WASTEWATER SYSTEM: PRELIMINARY CHARGES ($M) Subject to change based on Actual Expenditures & Flows Participating Cities FY17 Budget FY18 Est Allen $5.14 $5.65 Forney $1.53 $1.69 Frisco $2.12 $2.34 Heath $0.75 $0.83 McKinney $10.32 $11.36 Mesquite $8.42 $9.27 Plano $18.58 $20.45 Princeton $0.49 $0.54 Prosper $0.81 $0.89 Richardson $6.27 $6.90 Rockwall $1.18 $1.30 Seagoville $1.12 $

26 MESQUITE WASTEWATER TREATMENT PLANT MGD Treatment Capacity NTMWD takes over operation of Mesquite Wastewater Plant from City of Mesquite MGD Avg / 82.5 MGD Peak Treatment Capacity Significant regional growth over last 40+ years of operation Serves Mesquite, Forney, Rockwall & Heath Improvements Odor control Back-up power Converting from chlorine to UV disinfection Adding filtration capacity 26

27 QUESTIONS? Resources on Sign up at bottom of homepage to receive enewsletters SOCIAL @NTMWD 27