TECHNICAL MEMORANDUM
To: William Grigsby
From: Kim Alexander
Date: August 27, 2024
Subject: EAMPSS FIP GPU Addendum
BACKGROUND
The City completed the East Anaheim Master Plan of Sanitary Sewers (EAMPSS) recommending approximately $7,911,000 (adjusted to July 2024 dollars) in sewer system improvements. Of this, approximately $7,101,000 (adjusted to July 2024 dollars) are related to build-out conditions of the City’s current General Plan. The City also completed the EAMPSS Financial Implementation Plan (FIP), dated June 2023, to assess the financial mec hanism for the EAMPSS buildout portion of the improvements.
Since the completion of the EAMPSS, the City has de veloped a proposed update to its General Plan. The proposed General Plan (project) involves a focused update to specific elements of the City of Anaheim General Plan, as well as targeted updates to the City’s Zoning Code and Zoning Map. The project reflects zoning and land use updat es resulting from the 2021-2029 Housing Element to address the City’s Regional Housing Needs Assessment (RHNA) growth allocation of 17,453 housing units. The project area encompasses the City of Anaheim, with some of the land use changes occurring in East Anaheim.
A project sewer study was prepared for the General Plan update (General Plan Update Draft Sewer Study, June 2024), which recommended capital improvements within the EAMPSS boundary that were not included in the EAMPSS. Ther efore, an addendum to the EAMPSS was prepared to identify and include these additional impacts due to project sewer flows that were not previously identified in the EAMPSS. The analysis i dentified potential capacity issues and developed recommended capital improvement projects that would mitigate those issues and provide additional downstream system capacity for t he buildout of the proposed General Plan.
The study area includes the parcels that are changing General Plan Land Use, identified on Figure 1 (attached).
The EAMPSS report identified one basin area with se wer main hydraulic deficiencies under the Existing Condition, and the number of deficient segments remains the same through the buildout condition. The basin area is collectively referred to as Basin Area EX-1/BO-1 in the EAMPSS.
Under the buildout condition, two additional basin areas (Basin Areas BO-2 and BO-3) were identified in the EAMPSS with sewer main hydraulic deficiencies. The General Plan Update Sewer Study identified two additional areas with deficien t segments, referred to as Area A and Area B.
Capital improvements will be needed to address these deficiencies.
Buildout deficiencies caused by new developments are addressed by sewer improvements made by the developer at their cost or through a sewer i mpact fee charged to the developer during permitting. This technical memorandum updates the s ewer impact fees developed in the FIP to include the additional buildout sewer flows and improvement costs related to the proposed update to the City’s General Plan.
EAMPSS FIP GPU Addendum
August 2024
2 RECOMMENDED CAPITAL IMPROVEMENTS
Analysis of the existing collection system within t he EAMPSS Study Area under peak flow conditions revealed sewer needs in one area in the eastern portion of the system. The total length of pipe recommended for existing sewer capacity imp rovement was 471 LF at a cost of approximately $810,000 (adjusted July 2024 dollars). A detailed description of the existing sewer needs is presented in the EAMPSS report.
The peak flow analysis for buildout condition identified additional pipe segments for improvement throughout the study area. The pipe segments consis t of a cumulative total of 3,988 LF (an addition of 3,517 LF over the existing sewer needs) at a cost of approximately $7,911,000 (adjusted July 2024 dollars). The additional incremental cost of the 3,517 LF of build-out needs is approximately $7,101,000 (adjusted July 2024 dollars).
The peak flow analysis for the buildout condition of the proposed General Plan update identified additional capacity constraints, not previously ide ntified in the EAMPSS. These pipe segments total 2,538 LF in length at a cost of approximately $4,483,000 (July 2024 dollars). The total buildout cost is approximately $12,394,000 with the incremental cost of $11,526,000, excluding existing capacity improvements. The East Anaheim buildout capital improvements and associated costs are summarized in Table 1 (attached).
Since the study area is fully developed, future development consists mainly of redevelopment of existing land uses such as the conversion of existi ng non-residential parcels into mixed-use parcels, or the redevelopment of existing residenti al parcels into higher density residences. The build-out condition flows were assessed based on th e maximum building density using the parcel’s General Plan land use. The EAMPSS and Gene ral Plan update sewer study provide planning level costs to address buildout deficienci es. Future improvements and the associated construction costs may differ from these estimates based on subsequent sewer studies and detailed design.
In the EAMPSS FIP, the City reported no remaining b alance to be recuperated from buildout condition sewer improvements recommended by the Combined East Anaheim Area Master Plan of Sanitary Sewers (CEAAMPSS), which is the previous sewer master plan update completed in December 2005. Conversely, at the time of the EAMPS S FIP, the City reported a surplus of approximately $58,000 in Development Impact Fee col lected to date for the study area. This surplus amount will reduce the construction cost to be financed for the buildout improvements.
With this adjustment, this 2024 FIP Addendum invest igates the financing for the approximately $11,526,000 (adjusted to July 2024 dollars) in total build-out improvements recommended in the August 2024 EAMPSS Addendum.
SEWER IMPACT FEES
The financial analysis incorporates the capital cost estimates for the buildout improvements. The analysis also uses the EAMPSS hydraulic model to es timate sewer flows. Impact fees were estimated based on wastewater flow contributions to the system. The capital improvements costs required to upgrade the sewer system allocated appr oximately 5% to existing users (existing improvements) and 95% to new users (buildout improvements). The costs allocated to new users can be recovered from an impact fee.
Impact fees were estimated by dividing costs allocated to new users by the projected increase in wastewater flows at buildout. Wastewater flows and estimated cost for the recommended capital improvements from the EAMPSS were used to calculate impact fees in the EAMPSS FIP. The EAMPSS FIP GPU Addendum
August 2024
3 additional wastewater flows and associated improvement costs related to the proposed General Plan are used in this analysis to update these sewer impact fees as shown in Table 2 (attached).
The costs in the EAMPSS were reported in June 2022 dollars. According to the Engineer News- Record (ENR), the Construction Cost Index (CCI) for the Los Angeles area has increased by approximately 14% at the time of this report (July 2024 ENR CCI = 15315) compared to June 2022 (ENR CCI = 13489). Therefore, the costs were adjusted using the latest available index data from July 2024 when assessing the impact fee to ens ure the fee is reflective of the construction environment. The impact fees proposed in this repor t are in July 2024 dollars. The impact fees should be adjusted annually based on the ENR CCI or comparable indices. The impact fees are summarized by customer classification in Table 3.
Table 3 – Sewer Impact Fees (July 2024 Dollars)
Land Use Unit Impact Fee
Single Family Per DU $667
Estate Per DU $769
Multi-Family Per DU $572
Commercial Per 1,000 sq ft GFA $502
Industrial Per 1,000 sq ft GFA $151
Institutional Per 1,000 sq ft GFA $367
The sewer impact fee is based on flow and will prov ide equity among customer classifications.
The City should charge an incremental impact fee to account for the sewer flow increases from the land development or redevelopment. Once these fees are established by the City Council, the City should monitor the funds received to determine if other funding sources should be pursued.
Enclosure:
Figure 1, Tables 1 and 2
Sources: Esri, HERE, Garmin, USGS, Intermap, INCREMENT P, NRCan, Esri Japan, METI, Esri China (Hong Kong), Esri Korea, Esri (Thailand), NGCC, (c) OpenStreetMap contributors, and the GIS User Community
CityBoundary
PROPOSED GPLU
Mixed-Use
Residential - Medium Density
Residential - Mid Density
Gravity Main
Outfall
E LA PALMA AVE
E RIVERDALE AVE
N KRAEMER PL
MIRALOMA
ORANGETHORPE AVE
FIGURE 1
PROJECT STUDY AREA
Table 1 - Buildout Condition Sewer Improvement Cost Estimates Basin
Area Location Pipe ID
Existing Pipe
Diameter
(inch)
Existing Pipe
Length
(feet)
Selected Pipe
Diameter(1)
(inch)
Selected Pipe
Length
(feet)
No. of Manholes Cost for
Manholes(2)
Construction
Cost(2)
Project Cost including
Eng, Contract, & CM(3)
$4,482,986
SW145221-SW145102 8 366
SW145102-SW145104 8 274
SW145104-SW145107 8 321
SW145107-SW145108 8 69
SW145108-SW145110 10 265
SW145110-SW140208 10 305
SW184403-SW184402 10 61
SW184402-SW184401 10 172
SW184401-SW184203 10 240
SW184203-SW184120 10 293
SW184120-SW184119 10 98
SW184119-OT184118 10 76
$7,910,722
SW226223-SW226222 8 115
SW226222-SW226221 8 180
SW226221-SW226220 8 176
SW220106-SW220105 10 258
SW220105-SW220103 10 336
SW220103-SW220102 10 135
SW220102-SW219317 10 299
SW219317-SW219315 10 214
SW211109-SW211101 10 218
SW211101-SW205204 10 460
SW204302-SW204301 12 140
SW204301-SW204306 12 419
SW191204-SW190426 15 350
SW190426-SW190418 15 341
SW190418-SW190404 18 347 24 347
$12,393,708
Pipe segments that are already recommended for improvement in the Existing Condition.
Pipe segments that are not deficient in the Existing Condition, but are deficient in the Build-Out Condition. (1) Selected pipe diameter based on build-out condition. (2) Refer to Table 8 for unit cost estimates based on July 2024 dollars (ENR CCI = 15315). (4) Costs for additional improvements resulting from the proposed update to the City's General Plan. (5) Costs for improvements identified in the EAMPSS and escalated to July 2024 construction costs.
TOTAL BUILDOUT IMPROVEMENT COST
EAMPSS IMPROVEMENT COST(6)
4 $49,960
BO-3
Lenain Water Treatment Plant Access
Road 12 678
Anaheim Hills Golf Course 15 559
Stormwater Channel east of Avenida
Palmera
$792,120 $1,148,574
$1,918,900 $2,782,40518 691
6 $74,940
3 $37,470
3 $37,470
$1,416,300 $2,053,635BO-2 Weir Canyon Road 12 1,242
BO-1 Running Springs Drive 12 471 4
East La Palma Ave to KraemerAREA A
AREA B
17415
12 1,029 $1,161,613
$259,624
4 15 570 2
$49,960
$24,980
$49,960
$24,9802
4 $49,960 $558,640 $810,028
$769,710 $1,116,080
(3) The total project cost to include Engineering and other Technical Services, Contract Administration, Permitting and Construction Management was assumed to be an additional 45% of the construction cost estimate. All costs are in July 2024 dollars (ENR CCI = 15315).
$376,454
GPU PROJECT IMPROVEMENT COST(4)
East La Palma Ave to Imperial Hwy
76512
$1,684,339
$876,557 $1,271,007
$793,921 $1,151,185
Table 2: Sewer Impact Fee Calculation
Total Calculations
$810,028 A
$11,583,680 B
$12,393,708 C = (A+B)
$57,800 D
$11,525,880 E = (B-D)
Total Calculations
8,268,171 F
4,495,795 G
12,763,966 H = (F+G)
Average Flow/Unit
(gpd)
Cost per 1,000 gallons
per day
$2,564 I = (E÷G) x 1000
Single Family per unit 260 $667
Estate per unit 300 $769
Multi-Family per unit 223 $572
Commercial* per 1,000 sq ft of gross floor area 196 $502 Industrial* per 1,000 sq ft of gross floor area 59 $151 Institutional* per 1,000 sq ft of gross floor area 143 $367 * Estimated using the EAMPSS Flow Factor multiplied by the Floor Area Ratio per the City General Plan.
Land Use Cost per Unit (July
2024 Dollars) Calculations
Avg Flow/Unit x (I÷1000)
Total Cost for Sewer Impact Fee Assessment
Wastewater Flows (gpd)
Existing
Expansion
Buildout
Capital Cost of Improvements (Adjusted to July 2024 dollars) Existing
Expansion
Buildout
Current Remaining Funding from East Anaheim Development Impact Fee Collection