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HomeMy WebLinkAbout04.23.1990 CIP & Impact Fee Study-Proposed SupplementCity Of Friendswood CAPITAL IMPROVEMENTS PLAN AND IMPACT FEE STUDY PROPOSED WATER DISTRIBUTION AND WASTEWATER COLLECTION SYSTEMS PROPOSED SUPPLEMENT City Of Friendswood, Texas April23, 1990 k City of Friendswood Supplement to the Capital Improvements Plan and Impact Fee Study 2 SUMMARY OF REVISED IMPACT FEE SCHEDULE A. City Wide Impact Fees 1. Surface Water Facilities $711 2. Wastewater Treatment Facilities 77 3. Impact Fee/C1P Study 6 Total $794 B. Water Distribution Impact Fees 1. Melody Lane Water System $854 2. Bay Area Boulevard Water System $294 3. Central Service Area Water System $358 C. Wastewater Collection Impact Fees 1. Melody Lane Wastewater System $453 2. Central Service Area Wastewater System Segment Charge Cumulative Charge Segment A; $212 $820 Segment B; $221 $608 Segment C; $163 $387 Segment D; $48 $224 Segment E; $176 $176 All Fees Are Calculated Based For A Single Equivalent Service Units City of Friendswood Supplement to the Capital Improvements Plan and Impact Fee Study 1. INTRODUCTION A Capital Improvements Plan and Impact Fee Study dated March 21, 1990 regarding the fees necessary to offset the costs of specific water and sewer line projects was prepared as a part of the process described In legislation adopted by the State of Texas in 1987 and amended In 1989. Impact fees related to plant capacity, both water supply and wastewater treatment, were not considered for various reasons. Preliminary Input in response to the Fee Study, however, has been supportive of an expanded approach in the Implementation of Impact fees that would recognize past expenditures by the City of Friendswood for surface water supply and wastewater treatment capacity. Such expenditures, to the extent that they are clearly necessitated for the support of new development, may be included in the calculation of Impact Fees. The following sections address the adoption of City Wide Impact fees for new development with regard to facilities required to provide surface water and wastewater treatment as necessary to support the continued growth of the City of Friendswood consistent with the projections In the Capital Improvements Plan. 11. SURFACE WATER SUPPLY FACILITIES The City of Friendswood has been Involved for a number of years In plans to reduce dependency on groundwater in order to comply with goals designed to reduce continued land subsidence In this area as established by the Harris -Galveston Coastal Subsidence District. The Subsidence District has, within the last few years adopted a policy that limits groundwater withdrawal to specific levels depending on location within the two county area. After considering a number of surface water alternatives, the City of Friendswood elected to purchase an allocation in the Southeast Water Purification Plant currently under constructlon by the City of Houston. In addition to the purchase of surface water capacity, the Implementation of this alternative has dictated the construction of water transmission lines and water plant components designed to convey and handle the water received from the Southeast Plant. To the extent that the surface water allocation and related facilities will benefit future development, it Is appropriate to recognize the costs of these improvements as a part of the impact fee structure. The City of Friendswood's surface water facilities may be grouped into three categories; Surface Water Capacity, Surface Water Transmission, Pumping and Storage Facilities and System Wide Improvements to Accommodate Surface Water Distribution. City of Friendswood Supplement to the Capital improvements Plan and Impact Fee Study 4 Surface Water Capacity The surface water allocation of 3.0 mgd is sufficient to accommodate a finite number of connections which can be determined from historical water utilization. As referenced in the Impact Fee Study, water consumption In Friendswood in 1989 averaged approximately 2.8 mgd for 7,662 equivalent connections. The 80% surface component of current water requirements then Is approximately 2.25 mgd which leaves a balance of 0.75 mgd In unused capacity for new development. Assuming the current use rate, 0.75 mgd will accommodate an additional 2,554 equivalent. connections. The Capital Improvements Plan assumes a total of 4,819 additional connections over the term of the planning period which implies that additional surface water capacity will have to be purchased during the next ten years. If the unit cost of additional surface water capacity Is different than the Initial allocation In the Southeast Plant, adjustments will have to be made in future updates of the Impact Fee structure. The total cost of the City's Initial purchase of surface water including financing and issuance costs as Itemized on Exhibit "A" is $5,420,437. The unit cost, based on 7,662 existing and 2,554 new connections is $531. Surface Water Transmission, Pumping and Storage Facilities There are a number of projects and studies that have been accomplished in connection with the construction of facilities designed to convey surface water to the City of Friendswood and provide storage and pumping capacity to distribute the water to the City's customers. The summation of these projects are estimated to be sufficient for Friendswood's requirements through the 50% build out level, or 12,500 equivalent connections based on current projections of 25,000 connections at 100% build out. Ultimately, a second surface water line Is envisioned along the alignment of Beamer and FM-2351 with the attendant storage and pumping facilities to complete the conveyance and handling of surface water for the City of Friendswood. The total cost of the surface water transmission, pumping and storage facilities relevant to the 50% level of build out Including financing and issuance costs as Itemized on Exhibit "A" is $1,959,459, The unit cost, based on 7,662 existing and 4,819 pro/ected new and 19 future (that is, connections anticipated beyond the ten year limitation of the Capital Improvements Study) connections Is $157. City of Friendswood Supplement to the Capital Improvements Plan and Impact Fee Study System Wide Improvements Several components of the surface water conversion effort Including the Surface Water Monitoring Equipment and the Modifications to Existing Water Plants to Accommodate Surface Water are not particularly sensitive to "levels of build out" and are intended to apply to the overall system. To that extent, these improvements with a cost of $574,439 Including financing and Issuance costs as itemized on Exhibit "A" are proposed to apply to the entire 25,000 connections projected for the City of Friendswood. The unit cost, based on 7,662 existing and 4,819 projected new and 12,519 future connections is $23. The Proposed Impact Fee For All Surface Water Related Facilities As Described Above Is $711 Per Equivalent Service Unit. III. WASTEWATER TREATMENT FACILITIES The City of Friendswood has purchased capacity In each of the two construction phases of the Blackhawk Wastewater Treatment Plant. The City In combination with WCID 108 obtained 2.0 mgd capacity in the. Initial phase of construction at no cost due to EPA participation. An additional 0.5 mgd capacity was purchased by Clearwood Improvement District in that same construction phase for a cost of approximately $272,432, Upon annexation into the City of Friendswood, the Clearwood treatment capacity and debt was assumed by Friendswood. Essentially all of the 2.5 mgd capacity referenced above, however, is being used to accommodate existing development. The 2.375 mgd treatment capacity obtained by the City of Friendswood In the second construction phase for a cost of $467,316 Is available to support new development. Assuming an average rate of flow of 390 gpd per connection used as the basis of an Equivalent Service Unit In the Impact Fee Study, the additional 2.375 mgd will provide capacity for.an approximately 6,090 additional connections which equates to an Impact fee of $77 per equivalent service unit. The Proposed Impact Fee For Wastewater Treatment Facilities As Described Above Is $77 Per Equivalent Service Unit. City of Friendswood Supplement to the Capital Improvements Plan and Impact Fee Study IV. PROPOSED MODIFICATIONS TO THE IMPACT FEE STRUCTURE A, Delete the surcharge calculated for the preparation of the Impact Fee Study and Capital Improvements Plan as a part of the fees proposed In connection with the Water Distribution and Wastewater Collection lines specific to particular service areas and Incorporate It Instead as a part of the City wide fee proposed In connection with the Surface Water and Wastewater Treatment Facilities. B, Delete the Impact Fee proposed for Wastewater Treatment specific to the Bay Area Boulevard Service Area In consideration of the City Wide fee proposed for treatment capacity. C. Charge a fee of $794 per connection for all connections regardless of where they occur in the City for Surface Water Facilities ($711), Wastewater Treatment Capacity ($77) and Preparation of the Impact Fee Study and Capital Improvements Plan ($6). D. Charge additional fees as appropriate for specific service areas in conformance with the Impact Fee Study and Capital Improvements Plan, City of Friendswood Supplement to the Capital Improvements Plan and Impact Fee Study Surface Water Allocation Surface Water Transmission, Storage and Pumping 24" Bay Area Blvd Line 18" Connector Booster Station & Storage Water System Study Application for Aid Surface Water Planning Prelim Engr System Improvements System Wide Improvements Surface Water Monitoring System Existing Plant Modifications for Surface Water Balance on Financing Issuance Cost Sub Totals Interest Costs EXHIBIT "A" Facility Amount Costs Financed $3,300,000 $204,655 352,701 550,826 4,505 14,550 21,886 20.7 $1,169,913 157,394 164.358 $321,752 Totals $4,791,665 Issuance and Financing Total Costs Costs $2,700,000 $2,120,437 $5,420,437 $116,353 316,853 550,826 4,505 0 0 20.790 $1,009,327 157,394 164.358 $321,762 $792,672 $1,962,585 $252,687 $574,439 332,981 261,506 35,940 4,400,000 3,391.362 $7,791,362 $3,427,302 $7,967,461