Item G
BOARD OF COUNTY COMMISSIONERS
AGENDA ITEM SUMMARY
Meeting Date: 20 June 2002
Division:
Growth Management
Bulk Item: Yes
No X
Department"
Marine Resources
AGENDA ITEM WORDING:
Report by CH2MHill on Baypoint area wastewater management options.
ITEM BACKGROUND:
The Baypoint area is set to receive FEMA Unmet Needs funds to complete wastewater service upgrades.
CH2MHill has reviewed available information on the construction, operation, and financing of these options
and will be giving the Board its report, comments, and recommendations at the June 2002 Board meeting
PREVIOUS RELEVANT BOCC ACTION:
May 2002 - Approval by the Board to hire CH2MHill for the limited purpose of reviewing wastewater
management options at Conch and Baypoint.
CONTRACT/AGREEMENT CHANGES:
NA
STAFF RECOMMENDATIONS;
CH2MHill Presentation
TOT AL COST:
$7,800
BUDGETED: Yes
No
$7,800
COST TO COUNTY:
REVENUE PRODUCING: Yes
No NA AMOUNT Per Month
Year
DIVISION DIRECTOR APPROVAL:
Risk Management NA.
APPROVED BY: County Atty NA
To Follow L Not Required ----.:.
AGENDA ITEM NO.: J ---G--
DOCUMENTATION: Included
DISPOSITION:
BC020630
06/04/02 8:06 AM
AGENDA ITEM WITH LATE DOCUMENTATION
DIVISION~ ~~
"
DEPARTMENT
SUBJECT~ f. ~ ~-tl2t-Ilhll ~
DATE ITEM WILL BE A V AILABLE_~ -/0;- D~
AGENDA ITEM NUMBER
County of Monroe
Growth Manascement Division
2798 Overseas Highway
Suite 410
~athon,norida 33050
Voice: (305) 289 2500
FAX: (305) 289 2536
Board of County Commissioners
Mayor Charles "Sonny" McCoy, Dist. 3
Mayor Pro Tern Dixie M. Spehar, Dist. I
Comm. Bert Jimenez, District 4
Comm. Murray Nelson, District 5
Comm. George Neugent, District 2
MEMORANDUM
TO:
Board of County Commissioners
Timothy J. McGarry, AICP di7
Director of Growth Manag6rfJ}fi
FROM:
DATE:
June 18,2002
SUBJECT: CH2MHILL Report on Baypoint Wastewater
Treatment Plant (Second Day Agenda Item: G)
(,-~O-O;1..
Overview
As requested by the BOCC, attached is the report for the Baypoint Community Wastewater System
prepared by Ken Williams of the engineering consulting firm of CH2MHILL.
Summary of Findings
Service Area/ED Us: The proposed service area is the Baypoint subdivision and Saddlebunch
Shores with approximately 320 equivalent dwelling units (EDUs) to be served.
Project Description: Wastewater collection will be by a vacuum system. The collected effluent
will be treated at a 0.060 million gallons per day, best available technology (BAT) wastewater
treatment facility.
Project Costs: The total project capital costs, excluding costs to private property owners to
decommission existing on-site systems and construct lateral connections to their property lines,
will be $3.955 million (January 2003 dollars).
Connection Fees and User Charges: Assuming federal, state, and local grant funds of $3.52
million, connection fees are estimated to be approximately $1,360 per EDU and monthly user
chargers are $43 per month. No capital expenses would have to be funded in the monthly user
charges with the connection fees and current level of grant contributions.
Staff Recommendation
Approval of the report.
Attachment
cc: Mr. Danny Kolhage, Clerk of the Court
Mr. James L. Roberts, County Administrator
Mr. James Hendrick, County Attorney
Report on
Bay Point Community
Wastewater System
Submitted to:
Monroe County
Board of County Commissioners
June 18, 2001
CH2M HILL
6410 5th Street
. CH2MHILL
.~
Suite 2A
Key West, FL 33040-5835
Tel 305.294.1645
Fax 305.294.4913
June 18, 2002
Momoe County Board of County Commissioners
1100 Simonton Street
Key West, FL 33040
Dear Commissioners:
Subject: Bay Point Community Wastewater System
Introduction
CH2M HILL has been asked to project costs for the Bay Point community wastewater
system, considering the FEMA unmet needs grant that is available. Initially, the Bay Point
community wastewater system is proposed to serve the Bay Point Subdivision and
Sadd1ebunch Shores, but will not serve the Blue Water RV Park as this park already has a
secondary wastewater treatment facility. As recommended in the Momoe County Sanitary
Wastewater Master Plan, June 2002 (the Master Plan), the proposed Bay Point WWTP
should be capable of being upgraded from 0.060 mgd to 0.075 mgd to be able to accommo-
date wastewater flows from the existing Blue Water RV Park WWTP, should this facility opt
to connect into the Bay Point BAT WWTP, rather than to upgrade their secondary facility to
a BAT facility before July 2010.
Current grant funding is as follows:
FEMA Federal Grant Funds
State Match Grant Funds
Total Grant Funds
Local Match Funds
Total
$3,016,848
$502,808
$3,519,656
$502,808
$4,022,464
Cost Estimates
Costs used for this analysis are taken from the Master Plan. Master Plan costs were based
on September 1998 dollars (ENRl = 5,963). This analysis will use costs, both capital and
O&M, projected to January 2003 dollars. This will be done by first updating costs to January
2002 (ENRl = 6,462), and then updating costs to January 2003 (ENRl = 6,624) by escalating
these costs at the same rate of inflation that occurred from September 1998 to January 2002
(approximately 2.5% per year).
Cost estimates presented herein are order-of-magnitude estimates, as defined by the
American Association of Cost Engineers. These estimates are believed to be accurate within
the range of 30 percent below to 50 percent above actual costs. Actual costs for any given
system would depend on multiple factors, including, but not limited to, actual labor and
material costs, market conditions, project scope, and implementation schedule.
1 ENR = Engineering News Record Construction Cost Index
Momoe County Board of County Commissioners
Page 2
June 18, 2002
Analysis
A more in-depth evaluation of projected wastewater flows, preliminary design, and costs
estimates beyond the level of effort of the master planning phase have not yet been made,
hence, costs from the Master Plan will be used for this analysis. Table 1 summarizes these
Master Plan costs (September 1998 dollars) and these same costs projected to January 2003
dollars. With the grant type and amount known, this analysis will review costs for
consistency with the grant funding requirements and will also provide a more detailed
evaluation of required financial reserves and monthly user charges and fee.
TABLE 1
Estimated Capital and Annual O&M and Administrative Costs for the Bay Point Community Wastewater System
Annual O&M and Administrative Costs
WWTP (BAT)
WWTP Renewal & Replacement
Collection (Vacuum) System (Includes
Renewal & Replacement)
Customer Service Billings $ (4) $ 10,800 (5)
General Utility Administrative Costs (6) $ (4) $ 25,000 (7)
Coverage Requirement (8) $ 0 $ 0
Total Annual O&M and Administrative Costs $ 116,000 $ 171,800
(1) Private property building sewers (estimated at $1,250 each) and onsite system decommissioning
costs (estimated at $500 each) totaling $400,000 will be the responsibility of the property owner, and
have been deleted from the original project cost estimates.
(2) Included as part of Engineering, Legal & Administration costs in Master Plan.
(3) Includes both bond issuance costs and bond reserve; estimated at 11 % of financed amount.
Construction & Other Project Costs
WWTP (BAT)
Collection System (Vacuum)
Land
Engineering, Legal & Administrative
Finance Charges
Total Project Costs
Master Plan Costs
(September 1998)
$ 720,000
$ 2,000,000 (1)
$ 50,000
$ 830,000
$ ~)
$ 3,600,000
(3)
$
$
$
84,000
(4)
32,000
Projected Costs
(January 2003)
$ 800,000
$ 2,200,000
$ 55,000
$ 900,000
$ 0
$ 3,955,000
$
$
$
96,000
5,000
35,000
(4) Was included as part of O&M contingency in Master Plan.
(5) Assumed at $40 per account per year, 270 accounts.
(6) Legal, finance, auditing, purchasing, information systems, contract management, administration, and
contingency of 5%.
(7) Assumed at 17% of O&M/R&R and customer service billings.
(8) Estimated at 25% of annual debt service.
Monroe County Board of County Commissioners
Page 3
June 18, 2002
As shown in Table 2, it appears that the FEMA grant funds and State matching grant funds
will substantially reduce both the monthly user charges and the connection fees to a level
that can be considered as "affordable" charges for a totally new wastewater collection and
treatment system. It appears that "the combination of grant funds and connection fees
estimated at $1,360 per EDU will completely fund all capital expenses. Therefore, only the
annual O&M/R&R and administrative costs must be funded from the monthly user charge.
TABLE 2
Summary of Costs and Revenue Sources and Projected Rates, Fees and
Charges
Revenues
Total Project CostS(1)
FEMA and State Grant Funds
Balance After Grants
Connection Fees (320 EDUs @ $1 ,360/EDU)
Balance to be Funded from Monthly User Charge
$3,955,000
$3,519,656
$435,344
$435,200
$144
Monthly User Charge
Debt Service on Capital Balance (6%, 20 yrs)
Annual O&M and Administrative CostS(1)
Total Wastewater System Annual Cost
Total Wastewater System EDUs
Monthly User Charge
1 From Table 1
$ 0
$171,800
$171,800
320
$45/EDUlMo
The connection fee and the monthly user charge estimated herein should be considered as
the best estimate available at this time. As more in-depth evaluations of wastewater flows
and preliminary and final design progress, costs may vary, either upward or downward.
Obviuosly, if costs are more than used in this analysis, the connection fee and monthly user
charge will be more than estimated. Nonetheless, this analysis does show that the grant
funds made available to this project should provide" affordable" connection fees and
monthly user charges for this project.
Sincerely,
CH2M HILL
Kenneth F. Williams, P.E.
DFB31003696136.doc/ 02162001 0