Survey
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
1 District 29 Malibu Water System Master Plan Moving Forward Recommendations June 24, 2013 2 Master Plan Objectives • Investigate the existing system • Understand future system needs • Determine where upgrades are needed • Present funding options • Suggest options for moving forward Our commitment was to deliver a Master Plan using a stakeholder process The Master Plan Answered the “What” Question Identified hydraulic deficiencies, replacements due to age and future needs totaling….. $266 Million Then we evaluated several funding options… 3 We looked at a portfolio approach to funding… User Rates (existing customer base only) Property Assessments (entire District 29 land area) Connection Fees (future growth/private conversion) 113 4 5 …and Different Allocation Methods • Regional existing user rates • Sub-regional deficiencies (Topanga/Malibu) Property assessment • Area/Canyon-Specific combination of user rate increase, property assessment, and connection fees Regional SubRegional AreaSpecific Recommendation: “Start Smaller” – Develop Priority 1 Project List • Target: 1st Phase Cost ≈ $50M – 50% from existing revenues – 50% from new capital source(s) 1 2 3 4 5 • Target: highest priority projects – Water quality protection – System reliability – Address fire flow needs • Target: positive steps forward – Make measureable progress 7 Recommended projects (Phase I ~ $57M) 8 Recommended Environmental Approach • Multiple approval agencies, permits, etc. • Many projects with similar impacts • Avoid piecemealing- comprehensive approach Therefore: Program level document for entire Master Plan (with as much project specific detail for first Phase as possible) 9 Environmental Process Timeline Public Review of Draft PEIR & Public Meeting (Mos. 15-16) Consult with Permitting Agencies Initial Study, (Month 8) Notice of Preparation of PEIR, Public Contracting Meeting Process (6 (Mos. 6-9) Months) Initial Agency Coordina tion (Mos. 67) Draft PEIR (Mos. 514) Conduct special studies i.e. bio, cultural, etc. (Mos. 814) ~ 20 – 24 Months Finalize PEIR (Mos. 2024) Permit Application Packages (Mos. 17-19) ACO Fund Financial Goals FY2015-16 to FY2019-20 • Fund Capital Improvements ($56.6M) • Maintain reserves levels (25% of Revenues) • Maintain Debt Service Coverage (1.25x) • Minimize Rate Increases (District approved 5% average annual increases from FY2012-13 through FY2016-17) • Find Optimal combination of debt and rate increases to fund capital improvements 10 11 ACO Fund Financial Plan Results FY2013-14 to FY2019-20 $15.0 $10.0 $5.0 Millions $0.0 -$5.0 2014 2015 2016 2017 2018 2019 2020 -$10.0 -$15.0 -$20.0 -$25.0 Revenues EOY Cash Balance Capital Expenses Reserves Requirements **Capital Expenses for FY2014 and FY2015 include projects programmed in WWDs Existing 5-year Plan 12 ACO Fund Financial Plan Results FY2013-14 to FY2022-23 $30.0 $25.0 $30M Bonds* Millions $20.0 No debt or rate increases can support $3.1M in CIP $15.0 $10.0 $5.0 $0.0 2014 2015 2016 Revenues EOY Cash Balance *30 Year Bonds 4% Interest 1.5% Issuance Cost 2017 2018 2019 2020 2021 2022 2023 Capital Expenses Reserves Requirements **Capital Expenses for FY2014 and FY2015 include projects programmed in WWDs Existing 5-year Plan 13 Funding Strategy FY2013-14 to FY2017-18 Cash Reserves, $2.36 Capital Improvement Charges, $2.26 Capital Surcharges, $15.92 Bond Proceeds, $29.32 Property Taxes, $12.36 Current Annual Revenues and Reserves to Fund 53% of Phase I Projects 14 ACO Fund Financial Plan Results FY2013-14 to FY2022-23 ($10M CIP) Calibrated $30.0 2.5% rate increase or property assessments $25.0 $30M Bonds $23M Bonds Millions $20.0 $15.0 $10.0 $5.0 $0.0 2014 2015 2016 Revenues EOY Cash Balance *30 Year Bonds 4% Interest 1.5% Issuance Cost 2017 2018 2019 2020 2021 2022 2023 Capital Expenses Reserves Requirements **Capital Expenses for FY2014 and FY2015 include projects programmed in WWDs Existing 5-year Plan 15 In Summary… 1. Phase 1 accomplishes our critical goals: – Provides new emergency interconnections – Implements water quality upgrades – Addresses all pipelines and ~50% of the tanks for fire flow needs 2. No new rate increases or taxes needed for now – Future phases will require new funding sources 3. Timeline - 18-24 months to complete planning, financial, design and environmental – Planned CIP projects continue in the meantime 16 Where do we go from here? Secure funding and various permits: Present to Malibu City Council (CEQA, 404, Coastal Commission, etc.) Develop Implementation Plan: Implement -infrastructure plan -financial plan -EIR/EIS +/- 7 years 17 Questions ?