HomeMy WebLinkAbout06/02/1998, 1B - 1998 SEWER FUND REVIEW council June 2 1998
j acEnaa nEpoRt
CITY OF SAN LU IS O B I S P O
FROM: John Moss,Utilities Director M
Prepared By: Sue Baasch,Administrative Analyst
SUBJECT: 1998 SEWER FUND REVIEW
CAO RECOMMENDATION
1. Receive and file the 1998 annual sewer fund financial review; and
2. Conceptually approve the proposed operating program change request ($45,000) and
capital improvement plan requests($384,000),pending the June 16, 1998 budget review.
DISCUSSION
Overview
This report presents the annual review of the sewer fund. The 1998 analysis shows that the
sewer fund is healthy and meets all City fiscal policies. No change is recommended to the
approved sewer rates. The rates currently in place will allow the sewer fund to continue to meet
the fiscal policies established by the City and to support the recommended operating budgets and
capital improvement projects.
Staff recommends Council review the attached analysis and conceptually approve the proposed
changes to the 1997-99 Financial Plan for 1998-99 as follows:
Operating Program Change Request
Water Reclamation Facility
■ Increase chemicals budget(sodium hypochlorite and sodium bisulfite) $ 45,000
Capital Improvement Plan Requests
■ Overhaul of grinders and transfer equipment-Water Reclamation Facility $ 20,000
■ Convert database and add Sewer Systems to GIS 42,500
■ Purchase CUPA software(sewer share) 11,100
■ Acquire office space for Utilities Administration staff(sewer share) 310.800
$384,400
Council Agenda Report- ;098 Sewer Fund Review
Page 2
Background
One year ago, Council approved rate increases of 2.5% for 1997 and 1.5% for 1998, following
the review of the 1997 sewer fund analysis. That report projected no rate increases.for 1999 and
2000. The significant issue in that report, as now, is to identify the appropriate use of working
capital. Currently, working capital exceeds the City minimum of 20% of operating expenditures.
Staff acknowledges the larger than required working capital, and continues to recommend
careful use of it to pay for one-time capital expenditures. This complies with the City policy for
using working capital to pay for one-time capital projects and not to use it to match ongoing
operating budget requirements.
In the 1997 report, staff recommended that working capital be used to pay for significant capital
projects identified in the 1997-99 Financial Plan as well retained to fund system deficiencies to
be identified in the long-range planning ("Sewer Master Plan") that will be accompanying the
Airport Area Specific Plan.
Staff recommends staying with the approved course. The 1997 report showed that working
capital would be used for two years to assist in paying for the approved capital program. The
1998 report shows working capital will be used for three years to assist in paying for the
approved and projected capital program. This is primarily due to moving the replacement of the
Laguna lift station forward from 2001 to 1999 at an estimated cost of$1.0 million dollars. In
1996-97, working capital was $3.73 million; in 1999-00 it is projected at $1.23 million. This
level is still above the minimum working capital requirement.
Staff has not changed the 1997 projection for no rate increases in 1999 and 2000 in this analysis.
The need for rate increases will be related to collecting a high level of capital improvement
charges($507,900 in 1999 and $754,800 in 2000). Staff will evaluate this assumption within the
context of the preparation 1999-01 Financial Plan and with the added information of the
collected 1998 capital improvement charges. In 1997, there was a significant increase in the
amount of capital improvement charges collected, and, hopefully, this trend will continue. New
development pays for system impacts through these capital improvement charges, so the level of
capital improvement charges is directly related to new development.
Sewer Master Plan
Being developed in conjunction with Airport Area Specific Plan, the Sewer Master Plan will
address capacity demand issues in the Edna-Islay, Tank Farm area and system improvements
necessary to meet full General Plan build-out projections. It will identify system deficiencies
and provide recommendations, cost estimates, and a phasing strategy for system improvements.
The Plan is expected to take another year to complete and is likely to recommend a number of
improvements which will be costly to implement. The working capital we set aside now can be
used to fund these improvements, and mitigate future rate increases.
Council Agenda Report- .L998 Sewer Fund Review
Page 3
Creek Bank Stabilization Project
While there is no formal report on this project in this report, it is the Utilities Department
understanding that this project will be coming forward from the Public Works Department this
summer for Council consideration. Accordingly, the estimated amount of sewer fund share of
this project, $310,000,has been factored into this financial review.
Rate Review Exhibits
Financial schedules providing detail for the sewer fund analysis are provided in Exhibits A.1
through A.3. The significant operating program change request is Exhibit B.I. The capital
improvement project requests are provided in Exhibits C.1 through CA.
Rate Setting Methodology
In determining sewer revenue requirements and setting recommended rates, the following
general methodology is used:
Step 1: Determine Sewer Fund revenue requirements for:
IN Operations and maintenance
■ Capital improvements and replacements
■ Debt service obligations(existing and projected)
Step 2: Subtract from this amount "non-rate revenues" such as:
■ Interest earnings
■ Connection fees
■ Other service charges (lateral installations and abandonments, etc.)
Step 3: Identify sewer rate requirements:
■ Revenue needed to be generated from sewer rates is the difference between
sewer revenue requirements(Step 1)and "non-rate" revenues(Step 2).
Step 4: Determine new rates:
■ Model the rate base (consumption and customer account assumptions) against
the existing rate structure and rate requirements identified in Step 3.
Because this analysis is performed over a multi-year period, other factors are considered, such as
working capital available to support capital projects, debt service requirements, and minimum
working capital policy.
Proposed Budget Changes
We recommend the following changes to the 1997-99 Financial Plan for 1998-99:
/46-3
Council Agenda Report- .998 Sewer Fund Review
Page 4
Operating Program Change Request
Water Reclamation Facility
■ Increase budget for sodium hypochlorite and sodium bisulfite
This is a request to approve funding($45,000)for additional disinfection and dechlorination
chemicals for the Water Reclamation Facility.
Capital Improvement Plan Requests
As identified above,there are four requested additions to the approved capital improvement plan:
■ Overhaul grinders and transfer equipment at the Water Reclamation Facility
Two critical equipment components have been identified that required maintenance and
overhaul in the next fiscal year: the influent grinders and the transfer equipment for the
emergency back-up generator. Total cost for the overhaul of the grinders and equipment is
estimated at$20,000.
■ Convert database and add wastewater systems to GIS
Completing the conversion of the sewer mapping information to correspond to the new City
map standards will cost an additional $42,500. In addition, the existing data bases will be
linked to the City's GIS computer system.
■ Purchase CUPA software
The County is the lead agency in the new Certified Uniform Program Agency "CUPA," a
unified inspection program for hazardous materials and their storage. The City Fire and
Utilities Department are participating agencies in the program arrangement. This request is
to fund the Utilities Department share of the software to implement and monitor the new
program. Total cost to the sewer fund is projected to be $11,100.
■ Acquire Office Space for Utilities Administration Staff
Funding the sewer fund's 32% share of the cost for acquiring and rehabilitating office space
for the Utilities Administrative staff will cost$310,800.
Summary of Key Assumptions
The following is a summary of key assumptions for expenditures and revenues:
■ Operations and maintenance costs are based on the preliminary 1998-99 Budget with an
inflation rate of 3%thereafter.
■ Sewer customer growth rate is projected at 0.5% in 1998-99; 0.7% in 1999-00 and 1.0% in
2000-01.
Council Agenda Report- -498 Sewer Fund Review
Page 5
■ Sales to Cal Poly are increased by 1%in 1998-99 because of the updated water and sewer rate
agreement with the University. Thereafter, Cal Poly's rates are fixed at a proportion of the
commercial rate, and will increase proportionately as other customers.
■ Capital improvement charges (development impact fees) are estimated based on inflationary
and customer growth adjustments to the base year (1992-93) projection of$583,200, which
assumed annual growth of 1% in the City. These impact fees are projected at $349,800 in
1998-99.
■ Annual debt service payments of$2,135,700 are to repay the State Revolving Loan Funds
received by the City for the construction of the Unit 3 and 4 improvements to the Water
Reclamation Facility and collection system improvement("Relief Sewer Main").
FISCAL IMPACT
There are no recommended changes to the approved rate schedule. In July 1998, there is an
adopted 1.5% rate increase which establishes monthly sewer rates of$21.79 for single family
dwellings. This is an increase of 32 cents over the 1997 single family monthly charge.
EXIiIBITS
A. Sewer Fund Review
1. Changes in financial position
2. Assumptions for fund projections
3. Capital improvement plan
B. Significant Operating Program Change Request
1. Water Reclamation Facility Chemicals
C.. Capital Improvement Plan Requests
1. Overhaul of Grinders and Transfer Equipment
2. Convert Database and add Sewer Systems to GIS
3. Purchase CUPA software(sewer share)
4. Acquire office space for Utilities Administration staff(sewer share)
/zz?
SIT A.1
.w
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0 0 0 0 0 0 0
CV O 0G N — 00 O Ol — T O O l- l- N 00 O
p .d O — vi a " N N — Q b l_ W o0 C W O
N ° N 0�0 cn r- CYN000 n O - CN wA. cNn
L
96 en n N e_l — N � —
O O O O O O O O O O O O O O O O O
O OO O 0 0 0 0 0 0 O O O
of O N �D O �D O l: en — O^ 00
.. as O c en D� r_ N oo �O O �D' O+ h — epi o0 W
ON O O 00 eel V to in O to lD
L N t._ en en 00 00 00 %C en t+l v
M to � N e+i �• N l� — —
O O O O O O O O O O O O O O O O O
A
� �� O 00 N — aD 00 7 O% [�
al. O ri h O� Ol N a a vi O n t O O Ol oe
ti ° O Q — t'l R 7 en O Q N en O %n — \o
L N r- en en 00 vl r, — R v R �O
�. Vl �o N en N n N
O O O O O O O 0 0 0 0 0 0 O O O O
Qom. O O O O O O O 0 0 0 0 0 0 O O O
1C7C1C1`+++ p O 00 vl %D O to en O I� O %O �o O
N O O tz N en %6 t- O tfen O O� Ol
.� O en O en t- to %n 00 en O e+l r� N en
r•1 N �a e.) en WY 00 t_ b — 00 en n R
N e'i N N r_ tai N
v
O O O O O O O O O O O O O O O O O O
0 0 O O O
l0 G r R 7 — %D en — �o t` R %D t, 00 00 �O
V t_ 00 06 D+ O Di eT en h
W) O+
en cn — C Ol N N v 7 cn N %0e� en
Z N N e1 N — en t- O 00 — O
en 110 N e•f N �D en
LL.
M
1i O O O O O O O O O 0 0 0 0 0 0 O O O O O
W 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
00 en eel Q N en lD Nr en 'cr m 00 N O, O O h M 00
OQl Q 7 r " % tz e•i en — P 00 t_ C O O� o� Hl N v1
W� „y N O as en V_ en en O v O v en O 0% Q c %0 — t`
— N N 00 m t. O eel — R O M N O %n
Y/ to h N C_ N h e+l en Pl C_
t
Z 0 0 0 0 0 0 O O O O O
OOl O O O O O O O O 0 0 0 0 0 0 O O O O O O
,� R t, M n — en No 00 — O lD e_ vl W% a en
° — O — h en O l� — e+i o0 N h %O en O+ N O N
P a Q — lD ID en — N en 7 as 00 00 N O — O en as N a,
lD 00 N eel — N
N N H N tr —
O
a
..
J ;,
Q �
y C
� d y
al y � lE d N d
ODLD = > >.
Q Q/• s _ DO U y N O �O O y
m L9
Z >� "n c no £ 4 ° y a O
d o O L 4 y
y
CQ N
> U : > =
� CJ
L OL ^� C wO
OC
d 9 w 2.. U y V1 s d C
N C OLDO O
d U O > a O V= Oo O > p yy 0 y d t 0
W rE3y ° e _ aOo 0 Od m Q
ma
crn d
>% o R U U
Z y e-' U V O � aO o " n° ° ayi ' em eu
eQ > s e a m d F d m s F e c c 5
_ . > 5v� O o0 UD d0 UO > d Y Y
V w
0
SIT A.2
o
0 0 �+ E g o o N c o0 00
o ri r o 0
� o n n
N N Q U fA 6A 69
69
U
N
O N d O O+ �� 0cli0
05
T O gg
en enO O e O t^ en
— " " n N cO TvOi
a 6 V9.64
ON
v
O
O
N O N
z
C \ e \ 0^ n o vcc
1 X00 000
en
69eq
T O+
f' Sq 6S64
V 69 O
LU
N
0 a
L
IL
N Q.
4l d
N
m
Q 9 �
d �
Z cl
M x _
m C N
LLE
c v d
Q v
as N 000' _..
W
e o — d oc r- ° U
°' o o ELLI
� a0o
e
N O e 0-0
= o d 0 3 o fl
M O N — U
Ii Lil .@ LL C OD = V
0 F" C.. y �.+ CA L L U.—
CO)LU '_' > s °' d pyo .me E a 00 e
V/ C > L LO' aL7 L G U N 01 I r. OUO
Z U U t U d 7 Q 0 cis
O � � u. rO^ �.' U E U fy.• � LQ U
cc L '
caC U
� C 6�
m E a o
w d CD L U �,a
d
_ d E U 0 . c m Q R Q
N 10
c d ¢ U — c a rn r T i
m L 3 Y i d
CO) d r 3 as
Q O c o E 3 ..
/49_
SIT A.3
0 0 0 0 0 0 0 0 0 0 00 0 0 0 0
o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
Co 0000u) oo r a 0000Ln m
w O r 0 0 0 N Cf) m r CA O C7 h 0 0 m
F-
Cr) vnNO � CoN r p rNNC7Cl� v
r r r
Le Cn
O O O O O O O O
vL
000
O O O
^O 0 0tLo b O O O
` N O N O O
CL r r
10 000
t5q 000 00 0 00 0
O O CON O N r O N r Co
Z CL N r r
n
LL m O
+" 000
0 0 0 0 oO O
OOO Co OO
O
W O m N O O N O L 0 CD
r
Wd r r r
N o 0 0 0 0 0 0 0 0 0 0 0
0 0 0 0 o O O o Cl 0 0
W so, Co o o LO o r v o o LO m
V O r O N O r In C7 O O C7
Co r if O 'Cr n r N N r r N
^p C9 m r N Ch
O
L
Z
Q
J J J
IL
Q Q
3 � 0 r 0
'Z S rn c E c
mCD
o m vii � m E
m , m
W Co R Co o 0
O m w O Q C CL
a) o f Cl) E N
G E E C m N CA p -2 L
Ca C O O L F R C A } (n
G 0 a a L U m a T, cc V C Y
to d 3 2
J G v U E oC � `Cb U. C'� o a o m
Q C � � m E E CO a ow m C (n 6a cm
O m :: 3 m Ca m
H _ m ym E Ca t Ea S2
Ca
D. 3 T T a Co o E m Q = m =_ c m
V G � mCn Co -j -j � r2 � � U iHLLODU
QE V L'
V o ¢ 3 a 0
E%HIBIT B.1
1997-99 Financial Plan Supplement: 1998-99 Budget
SIGNIFICANT OPERATING PROGRAM CHANGE
PROGRAM: Water Reclamation
REQUEST TITLE: Chemicals
Request Summary
This is a request to approve the purchase of additional disinfection and dechlorination chemicals for the Water
Reclamation Facility(WRF) at an annual cost of$45,000. While the amount of chemicals necessary to treat the
wastewater at the upgraded plant has been carefully monitored over the last three years of operation to arrive at
the appropriate amount to budget for each of the chemicals, it is difficult to predict precisely the needs of the
plant. Weather patterns and operational adjustments can dramatically change the amount of chemicals necessary.
The recent wet weather conditions and subsequent high flows at the WRF have highlighted the need to budget for
extreme weather patterns and for continuing operational adjustments necessary to meet permitting requirements.
Key Objectives
■ Continuous compliance with all federal, state and local regulations.
■ Adequate disinfection and dechlorination of wastewater.
Factors Driving the Request for Change
■ High flows during wet weather require adequate supply of essential disinfection and dechlorination
chemicals.
■ Adequate budgeting is essential for accurate sewer fund revenue analysis. .
Cost Summary
Proposed Cost Changes
Operating Costs Current Costs 1998-99
Contract services
Sodium Hypochlorite $140,000 $25,000
Sodium Bisulfite $80,000 $20,000
Total Operating Costs $220,000 $45,000
Line Item Detail
Lone Item Description Account No. 1998-99
Chlorine 520-5533-360-293 $165,000
Sulfur Dioxide 520-5533-360-376 $100,000
Total Operating Costs $265,000
H:mydorJSOPCch=.wrf
]s'>�IT C.1
1997-99 Financial Plan Supplement: 1998-99 Budget
CAPITAL IMPROVEMENT PLAN
PROGRAM: Water Reclamation Facility
REQUEST TITLE: Equipment Maintenance
Project Summary
As part of the continual operation of the Water Reclamation Facility,existing processes and equipment require
routine on-going maintenance. Two critical equipment components have been identified that require
maintenance and overhaul,they are the influent grinders and the transfer equipment for the emergency back-up
generator. Total cost for overhaul of the grinders and the transfer equipment is$20,000.
Project Objectives
■ Rehabilitate and maintain existing equipment.
■ To maintain water reclamation at essential levels of performance and to treat wastewater to a purity
continuously and consistently meeting all standards set be state and federal agencies.
■ To provide adequate preliminary solids removal.
■ To provide immediate emergency power to essential processes at the WRF.
Existing Situation
Currently the grinders are not operating efficiently and are requiring increased maintenance because the worn
teeth and gears are causing the grinder to clog more frequently. Inefficient grinders cause operational problems
for other processes related processes. Rehabilitation of the worn grinder will restore it to its design efficiency.
The transfer equipment for the emergency back-up generator has not been maintained since its installation in
1994, several years past its required maintenance interval. Failure of this equipment would result in no
emergency back-up power for critical processes during a power outage. Proper maintenance of the transfer
equipment will ensure reliable uninterrupted emergency back-up power for the WRF.
Goal and Policy Links
■ 1997-99 Financial Plan Water Reclamation Program Objectives
■ Wastewater Management Plan.
■ Efficient,continuous and compliant operation of the Water Reclamation Facility.
Project Work Completed
The WRF's operations and maintenance staff have identified this equipment as critical to efficient operations,
within permit conditions. Major equipment repair and rehabilitation is an ongoing program at the WRF.
Project Phasing and Funding Sources
Project Costs by Type
Project Costs
To-Date 1998-99 1999-00 2000-01 2000-02 Total
Contract Services
Transfer Equipment $0 $6,000 $0 $0 $0 $6,000
Grinder $o $14,000 $0 $0 $0 $14,000
Total $0 $20,000 $0 $0 $0 $20,000
A%_10
Water Reclamation Facility Equipment Maintenance
Project Funding by Source
Project Funding Sources
To-Date 1998-99 1999-00 1 2000-01 2000-02 Total
Sewer Fund $0 20,000 1 $0 $0 $0 $20,000
Total $0 $20,000 SO $0 $0 $20,000
Implementation
Task Date
Contract maintenance for transfer switches September 1998
Contract grinder maintenance July 1998
Project Manager
WRF staff will mange these projects.
Public Art Policy
Not applicable to equipment acquisitions or maintenance.
Alternatives
■ Deny or defer the project Denial or deferral will result in decreased efficiency and reliability of the
equipment and associated processes and increased maintenance overtime. Failure of the equipment may
result in process disruption, staff overtime and discharge violations.
Project Effect on the Operating Budget
This project will not have an adverse effect on the operating budget.
IimydodCIPmoto.ww
EffiBIT C.2
1997-99 Financial Play upplement: 1998-99 Budget
CAPITAL IMPROVEMENT PLAN
PROGRAM: Wastewater Collection and Water Distribution
REQUEST TITLE: Database Conversion and Addition of Water and Wastewater Systems to GIS
Project Summary
A number of years ago separate city base maps were consolidated into a single uniform map to provide better
communications between departments. Currently, the departments of Fire, Police and Public Works are using
the new map. Community Development is nearing completion of its conversion and the Utilities Department has
completed all mapping conversion to the new map. However, Utilities data which is "map based" is still
referenced to the old map and likewise needs conversion in order to fully implement the new map. Two sets of
data will be converted as a part of this project: a)map referenced data will be converted to the new map, and b)
Utilities base attribute data(pipe size,depth,etc.)will be converted to metric units.
Currently, as mentioned above,the Utilities map of its facilities has been converted to the new map in an Auto-
Cad format This allows multiple paper maps to be reproduced but does not allow any GIS functionality. A third
aspect of this project would convert the AutoCad files into Arclnfo files that would allow Utilities Staff to
develop GIS applications identified which would, in turn, allow Utilities personnel to access water and sewer
system and maintenance information, simplify map reproduction and updating, and, most importantly, allow
more efficient planning and scheduling of work. In order to achieve full functionality, this project will, as a
fourth task, link the data about the facilities to the Arclnfo map. The requested amount to complete this project
is$60,000. Of this amount,the water fund's share is$17,500; and the sewer fund's share is$42,500.
Project Objectives
■ Convert Database to new grid system and renumber manholes,valves,hydrants,etc.
■ Convert database structures(pipe lengths& sizes and other attributes)to metric.
■ Increase productivity of maintenance work,CIP planning and emergency response.
■ Simplify updating water and sewer system of maps.
■ Link existing water and sewer system maintenance databases to GIS mapping.
■ Improve coordination of Utilities and Public Works CIP programs.
Existing Situation
Currently water and sewer crews are using maps with the original grid system to perform preventative
maintenance activities because manholes, valves, hydrants and other"assets" do not correspond to the new map
grids. Accurate information and maps are essential to the maintenance and operation of the water and
wastewater systems. Linking the water and sewer systems maintenance database with the ArcInfo mapping will
significantly improve maintenance, information access and planning activities.
Goal and Policy Links
■ Urban Water Management and Wastewater Management Plans.
■ Uninterrupted water and wastewater service are primary goals for the water distribution and wastewater
collection programs.
■ Consolidation and standardization of one map grid system for both public safety and community
development grid systems.
Database Conversion and Addition of Water and Wastewater Systems to GIS
■ Adopted Geodata Services Program goal: accurate,comprehensive and up-to-date City maps.
■ Allow City Utilities to develop GIS applications.
Other Special Review Considerations
The recommended conversion and upgrade has been coordinated with the Information Systems, Geodata
Services and Engineering managers with their concurrence.
Project Phasing and Funding Sources
Project Costs by Type
Project Costs
To-Date 1998-99 1999-00 2000-01 2000.02 Total
Contract Services $25,000 $23,000 $0 $0 $0 $48,000
Training $0 $4,000 $0 $0 $0 $4,000
Equipment $0 $9,000 $0 $0 $0 $9,000
Software $0 $24,000 $0 $0 $0 $24,000
Total $25,000 $60,000 $0 $0 $0 $85,000
Project Funding by Source
Project Funding Sources
TO-Date 1998-99 1999-00 2000-01 2000-02 Total
Water Fund $25,000 $17,500 $0 $0 $0 $42,500
Sewer Fund $42,500 $42,500
Total $25,000 $60,000 $0 $0 $0 $85,000
Implementation
Task Date
Conversion of Databases August 1998
Purchase New Equipment August 1998
Linking of Water and Sewer System information to GIS mapping September 1998
Training September 1998
Project Manager
Utilities staff will manage the conversion of the databases, and the linkage of water and sewer system
information to GIS will be managed by Geodata Services.
Public Art Policy
Public art requirements do not apply to equipment acquisitions.
Alternatives
■ Derry the project Denial will make water and sewer maintenance activities increasingly more difficult
because of the problems of working on a non-standard map and the extra staff time updating and
maintaining another map system. Exclusion of the water and sewer systems to the GIS program would
further inhibit more productive maintenance, information access,coordination and planning activities.
16,13
Database Conversion and Addition of Water and Wastewater Systems to GIS
Project Effect on the Operating Budget
■ This program will not have an appreciable effect on the operating budget.
K-Budgct98/CBcis.ww
1997-99 Financial Plan Supplement: 1998-99 Budget
CAPITAL IMPROVEMENT PLAN
PROGRAM: Wastewater Pretreatment and Hazardous Materials Compliance
REQUEST TITLE: CUPA Software
Project Summary
Effective implementation of the Certified Uniform Program Agency (CUPA) will rely on the streamlining of
inspection data, permits, compliance status, enforcement actions and a variety of other administrative and
inspection related activities. A joint purchase of a uniform computerized management system with the County
for the CUPA program will allow significant streamlining and cost-saving opportunities. This request is for the
City's portion of the software and some additional computer equipment. Total cost of the software is $155,000,
and the City's share is approximately 11% or $17,100. The additional computer equipment is estimated at
$5,000, so the City's total estimated cost is $22,100, to be shared equally by the general ($11,000) and sewer
fiords($11,100).
The CUPA program was developed by the state to create a unified hazardous waste and materials management
regulation program. In January 1997 the County of San Luis Obispo was certified to be the CUPA while the
City will act as a Participating Agency (PA) within the City under the County's CUPA. The City Fire
Department will administer the PA program and the Utilities Department pretreatment section will perform the
field inspections.
The CUPA program has six programs involving waste generators, underground storage tanks, aboveground
storage tanks,risk management and prevention plans,business plans storage requirements and Unified Fire Code
(UFC) hazardous materials response plans and inventory. The City has been working with the County
Environmental Health Department (EHD) on evaluating software that meets all the CUPA requirements and
needs of both agencies. CUPA regulations require consistent and coordinated activities such as inspection forms,
permits, and reports between the CUPA and the PA. The most effective way to implement this is by using the
same computer program.
Project Objectives
■ Comply with SB 1082.
■ Standardize, streamline and consolidate inspection data, permit information, compliance status,
enforcement and other elements of the CUPA program.
■ Better organize and share information between sections and agencies.
Existing Situation
Currently the City and the County EHD do not use similar or compatible software, inspection reporting methods
or tracking programs. There are more than five different computer programs being used between the two
agencies to administer the programs within the CUPA, none of these existing programs can be coordinated or
modified to work between the agencies.
Goal and Policy Links
■ Reduction of the impacts on City industries caused by multiple agency inspections by County EHD,
Utilities and Fire Departments.
■ Improved handling and management of hazardous materials in the City by more focused inspections.
/0�/S
COPA Software
■ Improved protection of water quality.
■ Improve industrial compliance with hazardous waste and material regulation thereby creating a safer
environment.
■ Improve emergency responder safety through knowledge of on-site hazardous materials.
Project Work Completed
The City and the County have been working together on evaluating software that can manage the information
required for the program. Selection of a software package will require meeting strict criteria that will benefit all
agencies involved and result in more efficient program administration.
Other Special Review Considerations
The recommended software and equipment purchases will be coordinated with Information Systems managers
after their concurrence.
Project Phasing and Funding Sources
Total cost of the CUPA software is $155,000, the City's share is 11% or$17,100. The City's share will be funded
equally between the Utilities and Fire Department. $5,000 has been requested for any computer equipment the
City may need to operate the new software.
Project Costs by Type
Project Costs
To-Date 1998-99 1999-00 2000-01 2000-02 Total
City Share of Software $0 $17,100 $0 $0 $0 $17,100
City Share of Equipment $0 $5,000 $0 $0 $0 $5,000
Total $0 $22,100 $0 $o $0 $22,100
Project Funding by Source
Project Funding Sources
To-Date 1998-99 1999-00 1 2000-01 2000-02 Total
City of San Luis Obispo General Fund $0 $11,000 $0 $0 $0 $11,000
City of San Luis Obispo Sewer Fund_ $0 $11,100 $0 $0 $0 $11,100
Total $22,100 $22,100
Implementation
Task Date
Selection and Purchase of Software August 1998
Purchase of Necessary Equipment September 1998
Project Manager
The Fire and Utilities Department will oversee this project with support from the Information Systems.
Public Art Policy
CUPA Software -- _-- --- - ----=-
Not.applicable to equipmentacguisitions.
Alternatives
Deny the project Denial of this project will result in increased staff time coordinating.CUPA program activities
using several different databases. It will. also result in less responsive customer service and slower information
exchange to inspectors,emergency responders and'other agencies.
Project Effect on the Operatin&Budget
This program will not have an appreciable effect on the operating budget.
)EDIT C.4
1997-99 Financial Plan Supplement: 1998-99 Budget-
CAPITAL IMPROVEMENT PLAN
PROGRAM: Water and Sewer Administration
REQUEST TITLE: Acquire Office Space for Utilities Administration and Conservation Staff
Project Summary
Acquisition of cost-effective, professional office space to accommodate the Utilities Administration and
Conservation staff is increasingly a high priority. Two years ago, staff reviewed the options for additional space
and determined that the option meeting the majority of the goals for the department and the City would be the
acquisition of an adequately-sized building downtown, located as close as possible to City Hall and the parking
structure. The need for more office space has become even more critical with the anticipated need for additional
space for the Public Works Department Recently, a building meeting the Utilities Department requirements has
become available, and staff is requesting $971,400 in budget to meet the estimated costs of this project. Of this
amount,the water fund's share is$660,600;and the sewer fund's share is$310,800.
Project Objectives
■ Obtain cost-effective office space geographically adjacent to City Hall, allowing the consolidation of the
Utilities administrative and conservation staff.
■ Creates, in tum, additional office space in the 955 Morro building, to meet Public Works' needs for
proposed staffing additions/work task group consolidation.
Existing Situation
The Utilities Department has examined options for additional office space (estimated at up to 3,000 square feet)
to consolidate staff for the last two years. The administrative staff works in 955 Morro, separate from the
Conservation staff who currently work out of the old library building. Originally, the conservation staff was
temporary and was temporarily working out of the old library. The regular staff of three have continued to work
in the temporary surroundings, and this situation needs to be corrected. In addition, the tight conditions in 955
Morro allow no flexibility for the Public Works Department's plans for work group consolidation or any staffing
additions.
Goal and Policy Links
■ Consolidation of the Utilities administrative and conservation staff is highly desirable for improved work
flow and customer service.
■ Conservation is no longer a temporary program and needs to have professional office surroundings,
consistent with City standards for all other City offices.
Project Work Completed
■ A likely building has been identified and Council has approved pursuing the feasibility of the acquisition
and rehabilitation of this building.
■ Appraisal secured,following Council authorization to pursue the feasibility of this project.
■ Phase 1 assessment completed, identifying no Recognizable Environmental Conditions.
■ General Plan Conformance being sought(May 27, 1998-Planning Commission Meeting).
■ Estimated date to return to Council for purchase approval-June 2, 1998.
le _1k
Acquisition and Rehabilitation of Utilities Office Space
Other Special Review Considerations
This project will be reviewed for General Plan Conformance by the Planning Commission on May 27, 1998.
Project Phasing and Funding Sources
Project Costs by Type
Project Costs
To-Date 1998-99 1999-00 2000-01 2000-02 Total
Studies(Appraisal,Phase 1 assessment,
study of construction costs) 9,500 9,500
Design 63,600 63,600
Construction and furnishings 397,800 397,800
Construction Management 30,000 30,000
Acquisition 480,000 480,000
Total 9,500 1 971,400 980,900
Project Funding by Source
Project Funding Sources
To-Date 1 1998-99 1999-00 1 1000-01 2000-02 Total
Water Fund 9,500 660,600 670,100
Sewer Fund 310,800 310,800
Total 9,500 971,400 980,900
Implementation
Task Completion Date
Complete property purchase June 1998
Prepare RFP for Architectural Design Services July 1998
Award Contract for Architectural Services September 1998
Prepare Plans and Specifications November 1998
Solicit Construction Bids January 1999
Award Construction Contract February 1999
Construction May 1999
Occupancy June 1999
Project Manager
The project manager will be the Department Administrative Analyst.
Public Art Policy
Not applicable.
Project Effect on the Operating Budget
There will be additional building maintenance expenses, but this will be partially offset by the savings from the
contributions($6,000 annually)to the General Fund for lease of building space in 955 Morro.
/A& -/9
• • O 00
CD CD
CD
CD
CD
CD cn
CCD
CD
CD
O
00
nCD
CD
CD
ITI
orQ
ori
0
c�
�. IM
CD
0
0
0
O o
00
CD 4
C 0 �
CD �.
CD
o > r
CD
CD
W CD
' Q, �C-Dt
a lot
CIA
�3
En CD
CD
w w ).-A .p N
00 )--A O
� O O O O
� O
O
CD
lot CL
CCA �
Poe
C
C-+ CD
CL
CD
• CD
CL cn
n �
CD CD
C
O
O
O
O
609
G G X N 0 A `J
it it > > Q m O d � O O CD _
w w o " c o y _CL c Co -i 'c — m O n = y Z
H - e o _ 3
� C3 A = - o `G = n � � '1 C1 "� 3 -diD � �
O a N a. c y CO <• 3 0 m C oz m O 't VJ < -� = V1 y O f� w
n Q ' M E-1n m .. x ^ •fl " m O. y ^' 7 m w w m m n m
co 0c - e " o ff A m o p w m o x7 c<D c < w co as �.
rA O p iD z �e m = — C �' m 3 0 -m' " y o n H c
o m ui L CD G m C) —• n < C O. m o m co Z
o. oo rn a y o 'o v - < _ H eb m 0 < " f] " y o
= a rb .9 0=0 3 " m 'O m coZ
7 o y ^ C N N 3 CCt CD n CD S
•C m 'D w m m Z
m + v 3 w w
z ^
C ti N CDD
3 h
d
m r
O
lA N W N to U N
_ ►+
Its:
U N O W
U J11001,
O - w 00 O� w - J W V L C O O O O O 0 0 0 0 0 O O O O O O O O VI O
w w W W to N W N is cn cn
In N_ W O O A W O �d �..� O N N — r m
J 0% A A �O O W A O A O w W J w NO O N
H N u �O �O O A J 00 J — U w J C\ A J — A a
00 W to a W U 00 v VI
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o e' o R1
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 ^.
. 7'1
C
W W
LA
Q� N Z
�i to O QO O J Lj N W N N
N W A A N N to O\ w b 0
:O to w :O :O O �0 Oo - W m i %A - T C% J a
C\ Oo 0o J D\ b. -j C\ :•• in C� d a is %o 3 a
O O O O O O O O O O O O O O O O O C
O O O O 0 0 0 0 0 0 O O O O O O O O
N
A V W 00 N pb
W N J W O W 00 L., LA J w O W O b
ul N M lA N J O O A �p
O a Q\ O J O w w 0 d 7.A O m U 00 O �3
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o O
0 0 0 0 000000 0 .00000 o = �
. — N J N •-• W N O� lA •O
. 7 LA 00 V 01
OW N A Ow A A W A O
{J. W O lA A 14 N �O �O V1 W O A No
00 C, �O C 00 — IJ GO O S00
O O O 0 0 0 0 0 0 O 0 0 0 0 0 O O b
O O v O 0 0 0 0 0 0 O O O O O O O .j .O
y
i
N •.• W N O� to "O
01 N w " 0% 00 00 00 V1 W -4 N O
LAW O. A W A O W 00 O
N
Go
w %A �O O� O O. DD Na No �A A O i9 �p
Oa% O 'ChIJ O %O — tJ O O 2. �D
O O O O O O O O O O O O O O O O O O
O O .Oi O 0 0 0 0 0 0 O O O O O O O, 0
VWi T DO V w 000 tJi� L O 0� UJi W N o p
O H ? co to J 0% A - N N A %0 to O fD p
O 00 tJ -4
O O O 0 0 0 0 0 0 O O O O O O O
O O O A 0 0 0 0 0 0 O O O O O O O rO+
i'♦ ZIP
n o n
y a
n o O m l c m m y 3 o m m,c,< C y �J
CD O n -p S ' 3 fG m N 0 p 1
7C O m O 7 Al n C j m m m m 0 ^1 O a
ti 3
m =.v m o c co
m� T � 3 3 n m 3 r
-: m 3 3 0
K - =
cn � n � ? ,' m3 -� Qo00
CD n m c m m 'o'
m w3 cn 3 3
CD aNi S o m z m 0 CD CD
p 3 - v <
m m l< 7. y m m o
3 m (n C
CD W m v :3 m
a 3 1 o z
O H O m —i
D D
r r r-
a
z
mn
0
X
�j i i N V i r A O A i 0 0
s O fn O O 'CO W "
O O O O O O O O O O O to Q m
O 00 O O O O O O O O CO)
1 C
i I
Ln CJ N 0 fn fn <O m rn
O f0
46 (n 000 �Dp T
O O O 00 000 O � Iv
O O O 00 000 GQ 97
C
i i N z
043 01 � P0 000 v
0 00 0 00 000 0 �
0 0 0 0 0 0 00 0 m
0
00 0 . 00 000 a
i i N V
1
�O
000 � co
O O O. 000 O •"
m
0 0 0 000 No.
_ NO ON -4A W.►
0 00 V00 Alflf),
:+ m "G071 N000 � O y�
.�
i 00 p10000 CO
co
0 0 0 0 0 O OO O O OOOOO O O 00 00000 O
r
£'V 7.IUTRTZ
u v �
g N
A n °- '�.. '^
0 co
CL
c 7.� A D 7 = — n 9 0 O. V
o m �_ m C1 m Cy
m v
o c y � 0 3 CD _. CDo 3 n t9 Ro .7
�e co ec 3 'e = 0 7o y
-.
a ; Co < m 3
° a � �
ID O• v N 7 b -i nC3a 9
co y �0 N O ^ y ' A n r y O c0i U)
a
con nw cco nw Tocn c
cow ° w 3 ' ^ m
mo £ O O d O O
7
S O c O O d m
ca
n f H w co3 ° ' coy
o c ° � m
U
O O 7
co ^
a X
v
O — ZeP
yCL.CDv
w C
co
V.
co ��7.
O 0
69
N n '
000 a p to — W W �O
0 0 0
O
O OND v O o \ o N o
O O N
O
n
O �
U v tJ 49 V C a N —
ON
7 c
�p y v w \ 0 3 z
Ch -
00 �C D O CD
O y -hi Oi O O
N O
tp
d
N
da 0 N N W O w w W O
W
0000
00O J p \ \ 3 S N o C
f 0 0 O -.3 0
- w O —
Z'• IT
•Pe
111
vd, ofc4)/efloo
pe 4�
r
I a. : Ir5, 900 VI.
Annual, �
a's 4 RUS
�ti 01A1
9 �I Qtr s mr�
11 �r • r � V w . r I
Z7% 5
w
y.
. g tl1 . G
,: � a r• �� � r. a
a
r
f 10 . 3 a �a
•
rr
1 � h M r. �.� ,� w �•
pogfo
too 9 a
J
�z>
Y TO 9a �•
41 140 . 315 1l �• 74a1