11-15-2016 City Council Study Session Packet
City of Grand Island
Tuesday, November 15, 2016
Study Session Packet
City Council:
Linna Dee Donaldson
Michelle Fitzke
Chuck Haase
Julie Hehnke
Jeremy Jones
Vaughn Minton
Mitchell Nickerson
Mike Paulick
Roger Steele
Mark Stelk
Mayor:
Jeremy L. Jensen
City Administrator:
Marlan Ferguson
City Clerk:
RaNae Edwards
7:00 PM
Council Chambers - City Hall
100 East 1st Street
Grand Island Study Session - 11/15/2016 Page 1 / 16
City of Grand Island Tuesday, November 15, 2016
Call to Order
This is an open meeting of the Grand Island City Council. The City of Grand Island abides by the Open
Meetings Act in conducting business. A copy of the Open Meetings Act is displayed in the back of this room
as required by state law.
The City Council may vote to go into Closed Session on any agenda item as allowed by state law.
Invocation
Pledge of Allegiance
Roll Call
A - SUBMITTAL OF REQUESTS FOR FUTURE ITEMS
Individuals who have appropriate items for City Council consideration should complete the Request for
Future Agenda Items form located at the Information Booth. If the issue can be handled administratively
without Council action, notification will be provided. If the item is scheduled for a meeting or study
session, notification of the date will be given.
B - RESERVE TIME TO SPEAK ON AGENDA ITEMS
This is an opportunity for individuals wishing to provide input on any of tonight's agenda items to reserve
time to speak. Please come forward, state your name and address, and the Agenda topic on which you will
be speaking.
Grand Island Study Session - 11/15/2016 Page 2 / 16
City of Grand Island
Tuesday, November 15, 2016
Study Session
Item -1
Presentation and Discussion Concerning the Grand Island Water
System
Staff Contact: Tim Luchsinger, Utilities Director
Grand Island Study Session - 11/15/2016 Page 3 / 16
Council Agenda Memo
From:Timothy Luchsinger, Utilities Director
Meeting:November 15, 2016
Subject:Grand Island Water System Revenue Discussion
Presenter(s):Timothy Luchsinger, Utilities Director
Background
The Grand Island water system has increased to where additional capacity is required to
allow future growth in the city. An elevated storage tank is recommended by the recently
completed water system master plan.
Discussion
To fund the cost of the elevated storage tank, a bond issue is proposed and a cost of
service study was made by the Nebraska Municipal Power Pool in order to support
projected revenue requirements of the bond debt service. The results of the study and
possible changes to the water system rate structure will be provided to the Council for
discussion.
Conclusion
This item is presented to the City Council in a Study Session to allow for any questions to
be answered and to create a greater understanding of the issue at hand.
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UTILITIES
Water System Revenue Discussion
Study Session
November 15, 2016
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UTILITIES
02468101214161820222426
2015 City Demand (MGD) millions of gallons per day
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UTILITIES
0
5,000
10,000
15,000
20,000
25,000
30,000
0:00:000:36:001:12:001:48:002:24:003:00:003:36:004:12:004:48:005:24:006:00:006:36:007:12:007:48:008:24:009:00:009:36:0010:12:0010:48:0011:24:0012:00:0012:36:0013:12:0013:48:0014:24:0015:00:0015:36:0016:12:0016:48:0017:24:0018:00:0018:36:0019:12:0019:48:0020:24:0021:00:0021:36:0022:12:0022:48:0023:24:000:00:00City Total Water Flow Demand (gpm)
Total Flow (gpm)
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UTILITIES
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UTILITIES
$7M estimated cost
$500,000 annual debt
service
10% of current annual
budget
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UTILITIES
-$15,000,000
-$10,000,000
-$5,000,000
$0
$5,000,000
$10,000,000
$15,000,000
Water Department - Fund 525
Adjusted Revenues Adjusted Expenditures Cash Balance Adjusted Capital Expenditures
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UTILITIES
Water Rate Structure
Customer Charge for unfunded mandates for Clean
Water Act (Backflow program)
Meter Charge
Commodity
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UTILITIES
Customer Charge for unfunded mandates for Clean
Water Act (Backflow program)
Added in 2004 at $0.35 per account
Proposed change of $0.70 per account based on
current program expenses
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UTILITIES
Monthly Meter Charge
Size Current Proposed
5/8” $2.50 $6.50
3/4” $2.50 $6.50
1” $2.50 $6.50
1-1/2” $8.00 $12.00
2” $22.50 $28.50
3” $40.00 $48.50
4” $55.00 $66.00
6” $225.00 $225.00
8” $1,250.00 $1,250.00
10” $4,000.00 $4,000.00
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UTILITIES
Monthly Commodity Charge
Commodity Current $/ccf Proposed $/ccf
First 5 ccf (0-5) $1.496 $0.800
Next 5 ccf (5-10) $0.700 $1.040
Next 5 ccf (10-15) $0.692 $1.352
Next 25 ccf (15-40) $0.767 $1.352
Next 60 ccf (40-100) $0.713 $0.715
Next 900 ccf (100-1000) $0.654 $0.690
Next 1000 ccf (1000-2000) $0.574 $0.690
Over 2000 ccf (2000+) $0.535 $0.665
Minimum charge (5 ccf) $7.48 $0.00
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UTILITIES
Residential Comparison (5 ccf)
$-
$5.00 $10.00 $15.00
$20.00 $25.00 $30.00
$35.00 $40.00
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UTILITIES
Residential Comparison (50 ccf)
$-
$20.00
$40.00
$60.00
$80.00
$100.00
$120.00
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