6.7. SR 11-15-2004 - Laserfiche WebLink

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WASTE WATER TREATMENT SYSTEM Provides for the administration, operation, and maintenance of the sanitary sewer system, laboratory, and lift stations for the sanitary treatment of household, commercial, and industrial waste deposited into the sanitary sewer system. 2005 BUDGET COMPARED WITH 2004 BUDGET The 2005 Wastewater Treatment System (WWTS) budget calls for expenditures in the amount of $1,665,350. This represents a $337,200 or 25.4% increase from the 2004 budget. The WWTS department includes four full-time employees plus one summer seasonal employee. Depreciation is the main reason for the budget increase. The new GASB 34 accounting rules require depreciation not only on the plant and lift stations but also on all of the sewer pipes under the streets. Accordingly, depreciation went from $300,000 in the 2004 budget to $686,000 in the 2005 budget. This is a $386,000 increase. Another change to note in the 2005 budget as compared to 2004 is that the debt payment on the 1994 improvement project has been paid off. The city now is only making debt payments on the 1996 improvement project. Accordingly, the debt expenditure decreased $130,700 in the 2005 budget and is shown as a total in 2005 at $216,500. This is good news as additional debt in the near future is anticipated for plant expansion improvements. The capital outlay expenditures identified in the 2005 budget include: a new truck for $25,000; a new hoist for working in and around the lift stations for $18,000; and improvements to the Upland/Main Street lift station in the amount of $6,500. Other expenditure increases are in the personnel services category for typical employee wage and step increases. The engineering line item includes work on the facilities master plan and work on the trunk sewer analysis for the Highway 169/County Road 33 area. Regarding revenues there is a slight increase in the revenues for customer charges based on more customers and a 3% rate increase. The most significant increase in the revenues category is in the sewer availability charge. The projection in 2005 is $750,000 and this is nearly identical to the actual amount received in 2003. These funds are intended for debt payment, plant replacement expenditures, and for plant expansion improvements. The SAC fee is being projected for 2005 at $2,500 per unit. The SAC revenues are based on 300 new homes being started in 2005. It should be noted that one major capital improvement is planned for the plant in 2005. This is the headworks project and this expenditure is identified in the capital improvement program. The headworks is where major pipes from the city lift stations enter the sewer plant. This project is estimated at a cost between $1-1.5 million. Funding for this project will come from the WWTS reserves.