Title
Resolution to Establish the Fixed Charges for the 2009 Water and Sanitary Sewer Improvement Charges
Memorandum
We recommend your approval of the attached resolution which establishes the 2009 water main and sanitary sewer improvement fixed charges as required by Section 1:274 of the City Code. These charges will also be applied to construction of applicable special assessment projects.
The following charges are recommended for 2009:
Water Main Improvement Fixed Charge: $12,559.00 per residential unit served
Sanitary Sewer Improvement Fixed Charge: $20,987.00 per residential unit served
The current unit charges are $11,194.00 for water main improvements and $17,877.00 for sanitary sewer improvements as established by Council on February 22, 2005 (R-46-2-05).
The proposed water main improvement fixed charge was calculated by averaging the unit cost of the ten most recent water main projects constructed by Public Services. The actual cost of each water main project was adjusted using the most recently available published index number (July 2007) from the Handy-Whitman Index for “Distribution Plant - Mains, Average All Types”. The difference between the water main improvement fixed charge for 2005 and 2009 is due to this cost index adjustment.
The proposed sanitary sewer improvement fixed charge was determined by using the same method with the ten most recently constructed sanitary sewer projects. These recent projects have been to extend sanitary service to areas not previously served and often difficult to serve (e.g., long lots, deep excavations, difficult terrain). As a result, the unit costs of the sanitary sewer projects have increased with time. The actual cost of each sanitary sewer project was adjusted using the 2007 average annual index number from the Engineering News Record Construction Cost Index. The difference between the sanitary sewer fixed charge for 2005 and 2009 is due to the increase in project costs and the cost index adj...
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