Establishing Budgets & Implementation of Water and Sewer Projects History with Victor CIP in early-1990s

Thank You!!!!                             Also note preparation of LETTERS OF TRANSMITTAL to local State legislators! VILLAGE OF BARKER Mayor Cheryl Parr Village Board Members Kathie Smith Maggie Cole Mark Remington Village of Brockport Mayor Mort Wexler Harry Donahue Leslie Ann Morelli Rick Herzog Dave Moore

Who was the U.S. President in the last year the Buffalo Bills Played in the Super Bowl?

How much does a pound of beer weigh?

Name the Tallest High Peak in the Adirondacks!

Establishing Budgets Looked at differently based upon phase of project Are you trying to get a “magnitude of costs”? When is the improvement likely to take place? What restrictions will be placed on Project? What background information is available?

Different Phases = Different Costs Concept Phase: You have an idea with limited information. Study and Report Phase: Background information & design criteria established. Preliminary Design Phase: Concepts are being formulated. Final Design Phase: Plans and Specs are done, now you really know what is included.

Variables in Cost Estimates Level of Project Difficulty. Funding Agency Requirements. What is the retainage amount? What is the Warranty Period (1 or 2 years)? What is the Project Schedule? Time of year that the Project is starting. Number of days to complete the work. What are the liquidated Damages?

Variables in Cost Estimates Workload of Contractors in the area? Geographic area of the Project. Engineers relationship with Contractors? Availability of materials, supplies, equipment and labor force? Economic climate (oil & steel prices). Single Prime Contract or Multiple Prime?

Wicks Law Section 135 of NYS Finance Law requires multiple prime contracts where the cost exceeds: $3 Million in Bronx, Kings, New York, Queens and Richmond Counties. $1.5 Million in Nassau, Suffolk and Westchester Counties. $500,000 in all other Counties

Multiple Prime Contracts General Construction Plumbing Heating, Ventilation & Air Conditioning (HVAC) Electrical

Methods for Obtaining Cost Estimating Information Recent Bid Tabulations

Methods for Obtaining Cost Estimating Information R.S. Means (www.rsmeans.com) Avalon Plan Room (www.avalonroch-planroom.com) Construction Data Service (www.cdcnews.com) Dodge Reports (www.cdcnews.com) Manufacturer’s Representatives Suppliers & Contractors

Are you having fun yet?

State and Federal Agencies Funding Opportunities USDA Rural Development Community Development Block Grant (CDBG) NYS EFC Drinking Water State Revolving Fund (DWSRF) NYS EFC Clean Water State Revolving Fund (CWSRF) NYS Intermunicipal Infrastructure Grants (IMG) NYS Water Infrastructure Improvement Act (WIIA) NYS Water Quality Improvement Program (WQIP)

Other Funding Opportunities State and Federal Representatives State Senators and Assemblymen Congress and US Senators Municipal Bond Market Within your existing Budgets

How are Projects Paid Back?

Project Payback Methods Equivalent Dwelling Units (EDU’s) Assessed Valuation Method (AV) Water/Sewer Usage

Equivalent Dwelling Units (EDU’s) 1 EDU = 1 Single Family Home 2 EDU’s = 2 Family Home…… ETC. 1 EDU = 60,000 Gallons Per Year (GPY) Each Unit pays an Equal Amount

Equivalent Dwelling Unit (EDU) Calculation Example Total Project Cost = $1,000,000 Interest Rate and Term = 3% for 38 years Annual Debt Service Cost = $ 44,438 Total EDU’s in Project Area = 100 Cost per EDU = $ 44,438/ 100 EDU’s Cost per EDU = $ 444.38 per year

Assessed Valuation (AV) Method Determine Total Assessed Valuation of Project Area Rate established based upon $1,000 of AV Each property pays their share based upon their AV

Assessed Valuation Calculation Example Total AV in Project Area = $ 90,000,000 Annual Debt Service Cost = $ 80,000 AV Rate = $80,000 / ($90,000,000/$1,000) AV Rate = $0.89/ $1,000 AV Average AV for a Single Family Home is $100,000 Cost per Year = $0.89/$1,000 AV x $100,000 Cost per Year = $89 per Year

Water/Sewer Usage Method Total Gallons per year produced or treated. Determine amount of water/sewer sold (Taking into consideration lost water) Determination of Rate Based upon Costs. Annual Cost based upon usage.

Water Storage Tank Painting Usage Example Total Gallons Produced = 75,000,000 per year Annual Debt Service Cost = $ 42,804 Water Rate = $42,804 /($75,000,000/1,000 Gallons)/0.90 (Assumes 10% water loss) Water Rate = ($0.63/ 1,000 Gallons) Average Single Family Home using 60,000 Gallons/Year Cost per Year = $0.63/1,000 Gallons x 60,000 GPY Cost per Year = $37.80

Thank You!!!!