HomeMy WebLinkAbout0137.094February 10, 1994
THE HONORAllLl! CITY comlelL
palo Alto, California
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13
~g.t Amendment for Water Keter Capital Improvement Project
Mezbers of the Council:
Report in Brie!
This staff report requests the city council approve a Budget
Amendment Ordinance (BAO) appropriating $35,000 to the Water Meters
Capital Improvement Project {CIF-S01SJ. Funds are available for
this appropriation in the Water SYlStem Improvemt!nt Reserve.. An
increase in the meter exchange rate f~om 1200 to 1820 meters per
year, increased testing of removed meters, a: change in meter
setting &tandards and increased customer requests for new and/or
large meter services are the reasons ~or this BAO request.
Background
The water utility meter shop was reorqanized in July of 1992 and
combined with the cross connection control section.. The
reorganiza.ticn of these two sections under one supervisor-led to an
increc..se in the productivity of this new combint!d sect,ion. Staff
originally planned to increase the ~eter replace~ent ~ate from 400
to 900 meters per year in FY92-93, from 900 to 1200 meters per year
Ln FY93-94, and from 1200 to 1820 meters per year in PY94-9S. Due
to productivity increases in the water meter shOp sInce July 1992,
the meter replacement rate has acclerated to near the FY94-95 level
in this fiscal year.. The increased rate of meter exchanges brings
the City's meter exchange program within the American Water Works
Association (AWWA) recommended guidelines. This action increased
the requirement to budqet additional funds for meters, but has the
overall effect of increasing system revenue by reducing the
sY$tea's unaccounted water volume.
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Increased frequency of t~sting replaced meters has sho~n that older
meters with higher flows should be receiving higher priority in the
utility's meter maintt,mance exchange proqram. These meters are now
tested and maintained on a yearly basis. ThE'. increased cost of
aaintaininq and replacinq deficient larger meters has caused
additional expenses in this elP. The Council approved the water
Utility Standards in December of 1992. These Stanoards incluaed
additional strainers that are installed on all neW three inch and
larqer services. The strainers are beinq installed to protect the
delicate internal parts of the meter from large p!IIrticles and
sedi1lent in the lIo'ater distribution system. The strainers 'Will
extend the useful life o! the meters currently beinq installed.
Detector meters on fire services are also beinq replaced as part of
the meter exchange program. The additional expense for these parts
and ~ters has increased budgeted costs for the Water Meter elP.
More cUstOlDer requests have been processed this fiscal year for
irriqation and large water services. Separate W'a't.er meters are no ...
required by state. laW' .fer larqe landscaping projects. Some
developers request individual meters for their condominium
developments, in orde~ to control use of water at the site. The
trend t"or larqer services will continue, as Palo Alto is bei:l9
redevelope~ with higher density housing and new
indu&trial/co~ercial customers relocate in the City.
The increased meter exchange program is cost effective and will
result in increased revenues for the wat~r fund. Metered water
systems are the best known way of equitably spreadinq th~ cost of
water service to all vater system customers, but unless all meters
are maintained at a high uniform level of efficiency, inequities
aay result for the customer or the water utility.
Funding
An additional $35 /000 is being requested in order to meet the neeQs
of the Water ~eter CIP for the remainder of this fiscal year. The
cost ot the Watar Meter elP 'Was expected to increase after the
water meter shop was reorganized and its workload was restructured.
The increased costs for more. meters, new standard parts and
additional labor were not expected to impact the Wate~ Meter CIP
until FY 94-95~ Increased fundinq for the Water Meter CIP has been
included in the 1994-99 CIP requests.
CXR.=.137194
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E&£pJUliendation
Staff recommends that council approve the attached BAO increasing
the runds available in the Water Meter Capital Improvement project
by $35,000 for FY93-94. Funds are available in the Water System
Improvement Reserve.
Res~ctfully Submitted,
~>-.-' C<.'· c2t4:r:t:.
W. CWIAK
9 neerinq Manaqer
w' r Gas and wastewater
Director of Utilities
-Ju.r1.-L ~l..un,r:.J'
JUNE FLEKDfG
City Manaqer
Attachments: Budget Amendment Ordinance
CllRI137 "4
ORDINANCE NO.
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO
AMENDING THE 8l~ET FOR THE FISCAL y~~ 1993-94
TO PROVIDE AN ADDITIONAL APPROPRIATION FOR
CAPITAL IMPROVEMENT PROJECT NL"KIIER 8015.
·WATER METERS'"
WHEREAS, pursuant to the pr~visions of Section 12 of ~-ticle
III ot the Charter of the City ot Palo Alto, the Council on June
21, 1993 did ~dopt a budget tor fiscal Ye4r 1993-94; and
WHEkEAS, funding of $57,000 for capital Improvement Project
(CIPJ No~ 1015, ·Water Meters,· was appropriated in the 1993-94
budget process; and
WHElltAS, increaeed product.ivity due to a reorqanization in the
Watl:tr utility Meter Shop ha.s led to a greater t.t)an expected number
of water .etar replacements and increased testing of larger meters;
ancI
NIiEREAS , additional funding of $35,000 is required to continue
the current level of work;
NOW" THEREFORE, the council ot the city of Palo i\lt:o does
ORDAIN as follows:
~QILl. The SWI of Thirty Five Tho\.1sand Dollars ($35,000)
is hereby appropriated to capital IlIIprovement. Program Project e015,.
·Water Meters~· and the water System Improvement ~eserve is
<:orrespondinqly reduced.
SECTION 2. This transaction will reduce the Water System
I:.provement Reserve from $6,041,996 to $6,006,996 as of February 2,
1994.
SEalOR 3. As specified in Section 2.28.080(.a) ot the f"alo
Alto Kunicipal Code I a two-thirds vote of the City Council is
required to adopt this ordinance.
SECTION 4. Tbe council of the City of Palo Alto hereby finds
that the enactment of this ordinance is not a project under the
california Envircmae.ntal Quality Act and r therefore, no envirornaen
ta 1 iapact assessment is necQssary.
SECTION 5.
Municipal Code,
adoption.
As provided in section 2.04.375 of tha Palo Alto
this ordinance. shall become effective upon
IIITRODUCED AND PASSEl):
AYES:
1I0ES:
AllSTEWrIONS:
AlISEII'T:
ATTEST:
cIty cI&rk
•
APPROVED AS TO FORM:
Sr. Asst. cIty Attorney
APPROVED:
Cl.ty Hanaqer
DIrector of Finance
DIrector of Util1ties
;u>PROVEll:
Ma.yor