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2016.04.18 CC Packet
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2016.04.18 CC Packet
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City Council
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Agenda/Packets
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4/18/2016
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Regular
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diameter. Some of the future watermain locations from the cities' comprehensive plans were changed <br />in order to accommodate connections between the cities. <br />Initial construction of key interconnections would be needed as soon as a growing community needed <br />access to an existing fully developed community's existing asset. The timing of the construction of the <br />interconnections would need to be planned based on projected supply and storage need. Maintenance <br />of the new interconnection would remain the responsibility of the community in which the <br />interconnection exists. <br />If an existing interconnection must be upsized to facilitate appropriate conveyance then a portion of the <br />costs of the interconnection would be borne by the community in which the interconnection exists <br />based on depreciated value of the existing watermain being upsized for the interconnection and the <br />road above it if applicable. Beyond this, additional watermain and interconnections would be added as <br />communities naturally developed. In some cases, when a specific interconnection is needed the Joint <br />Utility could work with the member communities and their planners to create appropriate incentives for <br />a given area where an interconnection is needed to develop first so that the needs of the Joint Utility as <br />a whole could be met. <br />Capital Costs for Option 2 —jointly owned supply, storage, treatment and distribution system <br />The quantity and timeline of future infrastructure was estimated as described for Option 1. The only <br />difference between Option 1 and Option 2 is ownership of the distribution system and sharing of all <br />repair and replacement costs. Developers would provide the funds for additional watermain as the cities <br />develop, but once the watermain is installed the Joint Utility, rather than the individual cities would <br />retain ownership and associated costs of the distribution system. <br />As in Option 1, initial construction of key interconnections would be needed as soon as a community <br />needed access to another community's existing asset. The timing of the construction of the <br />interconnections would need to be planned based on projected supply and storage need. In this case <br />the costs of these interconnections would be shared by the Joint Utility as a whole rather than being <br />split between the community needing access to the existing asset and the community in which the <br />interconnection exists. Maintenance of the new interconnection would then be the responsibility of the <br />Joint Utility. <br />Beyond this, additional watermain and interconnections would again be added as communities naturally <br />developed. As in Option 1, when a specific interconnection is needed the Joint Utility could work with <br />the member communities and their planners to create appropriate incentives for a given area where an <br />interconnection is needed to develop first so that the needs of the Joint Utility as a whole could be met. <br />Capital Costs for Option 3 — individual development <br />Costs for Option 3 were primarily developed using city comprehensive plans. Since these plans are <br />slightly outdated, trigger charts were created using the most recent population projections and water <br />use data. Where cities' capital improvement plans differed significantly from the trigger charts created <br />for this study, engineering judgment was used to determine which scenario was most likely to represent <br />future needs. <br />In its current arrangement, the formation of a joint utility would reduce the cities' capital investment in <br />new infrastructure by about 40%. The joint utility system is estimated to cost $12 million (41 %) less <br />than individual development. Lengthy interconnections and the associated costs could be reduced by <br />removing the City of Columbus from the joint system as it is not geographically close enough to make <br />its inclusion economical. There are existing interconnections between most of the other cities <br />Joint Water Utility Feasibility Study 31 <br />
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