BPU
Budget
Subcommittee
Fiscal Year 2024/25 Water, Wastewater, Regional Reuse
and Storm water and Creeks O&M and CIP Budgets
March 19, 2024
1 Nick Harvey
Acting Deputy Director - Administration
Overview
• Water, Local Wastewater, Regional Reuse and Storm water and Creeks Budgets
• CIP Review
• Budget Schedule
• Recommendation
Staff Assumptions
• Water projected to increase 1%
• Based on growth assumption, not demand increase
• Wastewater use will remain flat
• Development will stay stable
• Rates will increase per current schedule
3 July 2021 July 2022 July 2023 July 2024
Water Usage 2% 3% 3% 4%
Water Fixed 2% 3% 3% 4%
Sewer Usage 2% 2% 2% 2%
Sewer Fixed 2% 2% 2% 2%
Expenditure Increases
• 2.5% COLA included for Regional budget
• Costs of Chemicals and Electricity
• Water Purchase
• Insurance Premiums
• Outside Services
• Staffing Changes
• New Recycled Water Supervisor – Replacing Skilled Maintenance Worker • New Trucked Waste Coordinator – Replacing Department Application Specialist • New Technical Applications Specialist (TAS) – Replacing Dept Technology Coordinator (DTC)
• Water Reuse Engineer moved from Asset Management to Regional 4 • Water Fund – 5.9%
• Wastewater Fund – (-1.9%)
• Regional Reuse Fund – 8.5%
• Storm water and Creeks Funds – 20%
• $746k (18.9%) funded by General Fund
• $3.2M (81.1%) funded by Enterprise Funds
Water, Local WW, Regional Reuse and
Storm water and Creeks O&M Increases
Water & Wastewater
Total Budget
2024-25
Water Operations
Purchase
of Water
8 • Growth only – No increased demand
expected
Volume of water increasing by 1%
• 9.88%
Sonoma Water rate increase
Water O&M
Wastewater Operations
Wastewater O&M
Regional Operations
Regional Budget
Refund Reserve History
Regional Partner Allocations FY 2024/25
Operating Fund Reserves
as of June 30, 2023
16 • Operating
• $1,846,792
• Catastrophic
• $6,800,000
• Undesignated
• $6,800,000
• $17.1M in 2022
• Rate Stabilization
• $1,000,000
• Operating
• $5,223,341
• Catastrophic
• $5,750,000
• Undesignated
• $14,892,243
• $21.3M in 2022
Water Wastewater Regional • Operating
• $1,785,606
• Catastrophic
• $6,053,551
• Partner Agency
Refund Reserve
• $2,853,199
• $2.6M in 2022
Undesignated Fund Balance – Water
FY 2023/24 Deficit Budget ($3.6 Million)
FY 2024/25 Surplus Budget ($942k)
Undesignated Fund Balance – Local
Wastewater
FY 2023/24 Deficit Budget ($3.1 Million)
FY 2024/25 Surplus Budget ($890k)
Storm Water and Creeks Operations
Storm water and Creeks O&M
Storm water and Creeks Enterprise Reserves
as of June 30,2023
21 1671 – Storm Water Enterprise – Undesignated $744,613
1672 – Storm Water – Creek Restoration – Undesignated $1,359,587
CIP Funding
• Proposed Funding
• Water - $9,468,705 ($15,068,705 Planned - $5.6M reduction) • Wastewater - $3,310,000 ($13,910,415 Planned - $10.6M reduction) • Regional - $11,000,000 – As planned
• Storm water and Creeks - $1,657,634
22 Water CIP 2024/25
• Master Plans/Studies/Misc - $1,435,000
• Water Mains & Services - $3,560,000
• Pump Stations & Facilities - $1,000,000
• Groundwater - $3,473,705
Local Wastewater CIP 2023/24
• Master Plans/Studies/Misc - $100,000
• Sewer Mains & Services - $910,000
• Sewer Trunks - $2,300,000
Regional CIP 2024/25
• Plant Infrastructure - $10,100,000
• Geysers Infrastructure - $900,000
Storm Water CIP 2024/25
• Programmatic Projects
(General maintenance/On-Call
etc.) - $757,634
• McMinn Ave Storm Drain
Replacement - $150k
• Lower Colgan Creek
Restoration Phase 3 - $750k
Document Overview
28 Project Overview
• Water Projects
• Water Mains & Services
• Groundwater Program
• Pump Stations
• Sewer Projects
• Sewer Mains & Services
• Sewer Trunk Lines
• Regional Projects
• LTP Electrical Infrastructure Improvements
• Reclamation Pump Station E Building Upgrade
• Geysers Pump Station Electrical Upgrades
• Storm Water Projects
• Lower Colgan Creek Restoration Phase 3
PID 2290 Rock Creek and Matanzas Water and Sewer Main Replacements • Upsize and replace 4” to 8” water main, installed 1953 Water Estimate: $3,030,000
Design: Currently in Design
Construction: Year 1
PID 2263 Calistoga Rd Reconstruction- Montecito Blvd to Highway 12 • Replace 16” water main, installed 1958/59
Water Estimate: $1,705,000
Design: Year 1
Construction: Year 2
29 Water Mains
PID 2142
Farmers Lane Water Treatment Plant
Rehabilitation
Assessment Complete
Total Project Estimate:
$4,300,000
Design: Year 1
Construction: Year 2
30 Groundwater Program
31 PID 2481
2024 Water System VFD Replacements
Various Locations
Total Project Estimate: $1,830,000
Design: Year 1
Construction: Year 1 & 2
Pump Stations
32 PID 2290 Rock Creek and Matanzas Water and Sewer Main Replacements • Asbestos cement sewer main (1,780 LF, 1953) will be replaced with PVC.
Sewer Estimate: $1,020,000
Design: Year 1
Construction: Year 2
PID 2117 Fulton Rd Sewer Main Improvements West 3rd St to Santa Rosa Creek • Open cut replacement with an 8” sewer main.
Total Project Estimate: $2,700,000
Design: Complete
Construction: Year 1
PID 1805 Oakmont Treatment Plant Sewer Trunk Relocation • Move sewer trunk under creek to mitigate sewage entering creek during disaster.
Total Project Estimate: $2,320,000
Design: Complete
Construction: Year 1
Sewer Mains
PID 2403
Llano Trunk Lining – Phase 1
Total Project Estimate:
$16,910,000
Design: Currently in Design
Construction: Year 1
33 Sewer Trunks
34 PID 2468 LTP Electrical
Infrastructure Improvements
Project in Design.
FY24-25 proposed funding $8,000,000 for purchase of
long lead electrical equipment.
Some equipment has 2-3 year lead time.
Project Components being replaced
1. SWGR G1 (Emergency Generator Switchgear)
2. Standby Power System Redundancy
3. Replace SWGR M1
4. Install new Switchgear M3 near Substation.
5. Install duct bank system from new SWGR M3 to Load
Centers.
6. Convert 15kV overhead to underground.
7. Replace Existing Load Centers.
8. Replace existing 15kV cables from SWGR M1/M2 to
Load Centers.
35 PID 2488 Reclamation
Pump Station E Building
Upgrade
Current building has exceeded its
useful line and needs to be replaced.
This project will also replace the gravel
floor with a concrete floor.
• Estimated Project Cost:
• $500,000.
• Estimated Project Schedule.
• Completed by July 2025
36 PID 2448 Geysers Pump Station
Electrical Upgrades
• Pumps and their electrical control equipment are
some of the most critical assets on the Geysers
Pipeline.
• Many key components of the electrical control
equipment have reached the end of their useful lives
and are no longer supported by the company that
manufactured them.
• 2023-2024 FUNDING:
• $1,350,000
• Purchase New Pump VFD’s (Variable Frequency
Drives).
• Year 1 Budget 2024-2025:
• $500,000
• Begin to Purchase new Pump Soft Starters with
improved lockout/tagout features.
37 PID 1946 Lower Colgan Creek Restoration –
Phase 3
• Phases 1 and 2 constructed in 2015 and 2021, respectively • Phase 3 will connect earlier phases and:
• Restore a ~2,5000-foot creek/flood control channel
• Plant native riparian trees and shrubs
• Increase flood capacity from 25 to 100-year level
• Construct paved bicycle and pedestrian pathway, and
bridge
• $5.8 million in grant funding obtained for land acquisition, design, and construction
Design: Currently in Design
Construction: Years 1 & 2
Storm Water
Budget Schedule
• SubTAC – February 8th, March 14th and April 4th (If needed) • BPU Budget Subcommittee – February 27th, March 19th
• BPU – March 21st
• O&M and CIP Study Session
• Consider recommendation on Sonoma Water Rate Increase • City Council – March 26th
• Consider recommendation on Sonoma Water Rate Increase • BPU – April 4th
• O&M and CIP Budget Recommendation to City Council
• City Council – April 16th
• Consideration of Preliminary approval of Regional Budget • City Council – May 7th & 8th
• Budget Study Sessions
• City Council – June 18th
• Budget Adoption
DISCUSSION /
QUESTIONS?
39 Recommendation
It is recommended by Santa Rosa Water that the Board of Public Utilities Budget Review Subcommittee, by motion, recommend that the Board of Public Utilities approve the Fiscal Year 2024/25 Water, Local Wastewater, Regional Reuse and Storm water and Creeks Enterprise operations and maintenance and capital expenditure appropriation requests
CONNECT WITH US!
CALL: 707.543.4200
EMAIL: SRWATER@SRCITY .ORG
VISIT: SRCITY .ORG/WATER
41