Request for Committee Action
A briefing memo explaining the purpose, background, and impact of the requested action.
Water Distribution Improvements: Appropriation increase (RCA-2024-01377)
ORIGINATING DEPARTMENT
To Committee(s)
| # | Committee Name | Meeting Date |
|---|---|---|
| 1 | Climate & Infrastructure Committee | November 21, 2024 |
Action Item(s)
| # | File Type | Subcategory | Item Description |
|---|---|---|---|
| 1 | Resolution | Appropriation | Passage of Resolution amending the 2024 Capital Improvement Appropriation Resolution by increasing the appropriation for the Public Works Water Fund (CWT1224) by $4,500,000 for water distribution improvements. |
Background Analysis
WTR12 is a revenue- and bond-funded capital program for improvement of the drinking water distribution system. The majority of the program funds are spent on water main cleaning and lining to restore flow capacity and improve water quality. Valves in cleaning and lining project areas are replaced to achieve proper isolation and to fully renew all the distribution infrastructure in an area.
An increased allocation of $4,500,000 for WTR12 is requested for the current 2024 project year. This increase is requested for four items: $1,000,000 for un-programmed water main work in conjunction with other projects and sidewalk repairs, $1,000,000 for work in the 2024 cleaning and lining project areas, $1,250,000 for preparation work in cleaning and lining areas planned for 2025 and 2026, and $250,000 for new 3-inch and 4-inch water meters.
In support of and in conjunction with several Public Works projects, the Division of Water Treatment and Distribution Services (WTDS) added projects that were not originally budgeted for 2024. These included the Hennepin Avenue paving project, the Midtown Greenway bridge at 1st Avenue South project and at Upton Avenue South at West 43rd Street project. WTDS performed capital work to improve infrastructure that was not directly impacted by the other Public Works projects at an additional cost of $900,000. An additional $100,000 was needed to perform sidewalk repairs.
In addition to contracted services, WTDS staff perform work in support of the long-term cleaning and lining program. In 2024, additional work was needed beyond the planned work. The configuration of streets within some of the cleaning and lining areas and the hilly nature of the neighborhoods required additional effort by WTDS staff in laying out and maintaining the temporary water supply system as well as the need for additional traffic control. Secondly, the soils encountered while excavating access holes in some of the areas needed to be hauled out and replaced. This resulted in added trucking and processing costs as well as the purchase of additional backfill material. Lastly, the contractor encountered unexpected failures of their lining process resulting in additional time needed by WTDS staff in continued support of the project. The cost for the additional work performed by staff in 2024 increased by $1,000,000 from the initial estimate.
To ensure project areas are ready for subsequent years contracted work, WTDS staff performed selective replacement of infrastructure in preparation for the 2025 and 2026 construction seasons. This work includes removal and replacement of water main gate valves, maintenance holes and hydrants. WTDS took advantage of the unseasonably mild late winter and early spring in 2024 to further accelerate the preparation work for the 2025 and 2026 areas which continued into the summer months. The additional cost for the 2025 and 2026 preparation work totaled $1,250,000.
Finally, WTDS has a preventative maintenance program for city-owned commercial water meters. Over time, the wear and tear of use results in a loss in accuracy that cannot be corrected by maintenance. At that point the meter must be replaced. In support of this preventative maintenance program, an additional $250,000 is needed to replace 3-inch and 4-inch sized water meters that no longer can be maintained for accuracy. Meters are funded under the WTR12 capital program and as they are replaced they are included in the asset portfolio and depreciated over the cost of their service life.
An increased allocation of $4,500,000 is requested for the 2024 project WTR12-Water Distribution Improvements. The Water enterprise fund has a sufficient operating fund balance to pay for the 2024 increase while maintaining recommended reserves.