►
From YouTube: Budget Advisory Committee Meeting 2
Description
Agenda HTML: https://englewoodgov.civicweb.net/filepro/documents/108906?handle=73E6EEC4063A4C988ACDCCA63CCE5328
Agenda PDF: https://englewoodgov.civicweb.net/filepro/documents/108905?handle=6C19F027D50441B584D868F8AD21E290
Minutes PDF: https://englewoodgov.civicweb.net/filepro/documents/109775?handle=FAE2AC62B6074B3EB919256639305F57
1. Call to Order
2. Approval of Minutes
a. To approve the Budget Advisory Committee Meeting Minutes - February 23, 2021
3. New Business
a. Utilities Department Presentation - Pieter Van Ry, Director Overview of how the budget and rate increase process went last year for the Water Fund and Sewer Fund
b. Council Member Steve Ward to address the Budget Advisory Committee regarding his official resignation from the Committee due to his recent appointment to the Englewood City Council in order to fill a ...
4. Member's Choice
5. Adjournment
Agenda HTML: https://englewoodgov.civicweb.net/filepro/documents/108906?handle=73E6EEC4063A4C988ACDCCA63CCE5328
Agenda PDF: https://englewoodgov.civicweb.net/filepro/documents/108905?handle=6C19F027D50441B584D868F8AD21E290
Minutes PDF: https://englewoodgov.civicweb.net/filepro/documents/109775?handle=FAE2AC62B6074B3EB919256639305F57
C
A
C
A
D
A
A
A
Great,
I
know
he's
getting
all
set
up
on
his
new
city,
email
and
all
that
stuff,
so
I
just
wanted
to
make
sure
he
he
got
it
since
I
know
he
had
specifically
wanted
to
be
here.
Wonderful
well
with
that.
Thank
you
so
much
recommend
being
here.
I
believe
this
is
the
first
time
your
department
has
presented
to
the
budget
advisory
committee
and
I
think
for
most
of
us
we're
really
looking
forward
to
hearing
what
you
have
to
say.
A
F
You
well
great
well,
thank
you
very
much
and
thank
you
for
having
us.
This
is
yes.
This
is
my
first
time
presenting
to
this
board
or
this
committee
and
with
me
tonight,
I've
I
have
two
people
from
stantec
consulting
who
have
been
our
consultant
for
the
about
the
last
year
and
a
half
helping
us
through
this
process
of
really
looking
at
our
rates
and
fees
and
how
we
assess
water
and
sewer
rates
and
fees
specifically,
and
so
tonight
I'll
be
talking
about
water
and
sewer.
F
Only
that's
that's
what
we
have
under
the
utilities
department
and
we
have
a
presentation.
There's
a
lot
of
information.
There's
a
lot
of
slides
in
these
pre
in
this
presentation.
We're
gonna
go
through
it
rather
quickly,
because
it's
gonna
be
somewhat
of
an
overview.
If
there's
any
point
in
time
where
there's
something
you'd
like
to
us
to
go
back
and
look
at,
we
can
definitely
do
that.
F
F
F
So
the
first
step
is
to
really
take
a
sense
and
take
a
step
back
and
understand
the
state
of
of
this,
the
water
and
utility
system
as
they
are
today.
And
so,
if
you
look
on
the
timeline
in
september
of
2019,
we
issued
a
contract
to
hazen,
which
is
a
consulting
firm
to
help
us
do
that
high-level
assessment,
and
so
we
analyzed
all
the
available
data
that
we
had.
F
We
did
field
visits,
we
evaluated
the
major
assets,
there
were
workshops
and
essentially
we
ended
up
doing
a
high
level
categorization
of
the
water
and
the
sewer
system,
as
they
are
today
to
help
us
understand
the
condition
and
the
needs
so
that
we
could
then
develop
in
this
a
corresponding
plan.
Next
slide
how
we
prioritize
that
plan
was
based
on
risk,
and
so
there's
there's
two
points
that
we
look
at.
F
It's
the
likelihood
of
failure
and
the
consequence
of
failure,
and
so
what
we
want
to
do
is
we
want
to
eliminate
as
much
of
the
upper
right
as
possible,
which
is
the
red
and
then
move
towards,
so
that
we're
we're
largely
green
to
the
degree
that
we
can.
So
the
high
priority
is
what
we
anticipate
needing
to
start
initiate
projects
on
those
types
of
issues
in
the
next
one
to
two
years.
Medium
priority
was
three
to
five
years
and
long
is
six
to
15
years.
F
Essentially,
we
looked
at
the
water
system.
First,
this
is
a
quick
overview
of
the
water
system.
You
can
see
we
have
mcclellan
reservoir
to
the
south,
there's
a
pump
station.
That's
that's
one
of
our
critical
pump
stations
that
the
pumps
water,
either
into
mcclellan
reservoir
or
other
places.
Through
the
system
union
ave
pump
station
actually
pumps
water
from
the
south
platinum
union
ave
to
the
allen
treatment
plant
we
also
have.
What's?
F
F
This
is
what
we're
looking
at
we're
looking
at
the
existing
equipment,
things
that
are
deteriorating
and
corroding
large
electrical
there's.
A
lot
of
these
systems
have
significant
electrical
equipment
because
they're,
big
pumps
and
they're
big
power
supplies,
and
so
you
can
see
in
the
one
picture
where
we've
got
water
leaking
and
impacting
a
large
electrical
cabinet,
and
so
really
it's
it's
understanding
how
these
systems
are
in
terms
of
their
condition.
You
can
see
the
rust
on
the
left
next
slide.
F
We
take
all
that
and
essentially
develop
a
list
of
projects
based
on
priority,
and
you
can
see
on
this
list,
and
this
is
where
we're
going
to
go
kind
of
fast.
I'm
not
going
to
go
through
every
project,
but
you
can
see
some
of
the
major
projects
are
the
pump
stations.
So
a
lot
of
those
pump
stations
have
original
equipment
from
the
60s,
and
so
we've
they've
been
maintained
and
maintained
and
there's
been
deferred
maintenance
on
them
and
we're.
F
Finally,
at
a
point
now
where,
where
we
we
need
to
replace
those
pump
stations
in
order
to
have
reliable
pumping
ability
into
the
future,
if
we
lose
these
pump
stations
in
some
instances,
we
lose
the
ability
to
move
our
raw
water
to
the
treatment
plant,
which
is
a
which
is
a
critical
supply
function,
electrical
there's
a
lot
of
electrical
work
that
needs
to
be
done.
You
can
see
that's
two
and
a
half
million
there's
pump
station
improvements
in
in
the
the
distribution
system
as
well.
F
F
You
can
see,
there's
still
more
work
in
the
the
distribution
pump
system,
pump
stations
phase
two,
we
have
more
electrical
work,
there's
a
significant
amount
of
electrical
that
is
out
of
date
that
we
are
working
to
revamp
the
transmission
main
out
near
the
hospital.
That's
on
the
that's
on
the
list
that
actually
is
one
that
coordinates
with
a
streets
project
and
then
just
other
projects
on
the
list
and
then
next
slide.
Please.
F
F
F
These
are
once
we
get
those
first
programs
in
place.
These
are
the
next
round
of
programs
that
make
sense
to
put
in
place
and
one
of
the
most
significant
ones
you
can
see
on
the
top.
There
is
water
main
replacement,
so
what
we
would
like
to
do
is
get
in
a
get
in
a
program
where,
over
the
course
of
50
to
70
years,
we're
replacing
the
whole
water
line
system,
and
so
that's
a
so.
F
That
means
we
want
to
be
replacing
one
to
two
percent
per
year
in
order
to
ensure
that
we
we
don't
ignore
it
for
a
long
period
of
time
and
then
all
of
a
sudden
have
several
areas
of
the
system
that
need
to
be
replaced.
Additionally,
a
lot
of
the
the
mains
in
englewood
our
original
install.
We
have
a
lot
of
four
inch
mains.
F
So
we
have
a
the
estimate.
Is
we
have
somewhere
between
4,
000
and
8?
000
lead
service
lines
within
the
city,
and
the
first
step
is
really
understanding.
What
that
number
truly
is,
and
so
we're
working
on
a
program
to
identify
and
prioritize
the
the
longer
term
replacement
of
those
lead
service
lines.
This
is
an
issue
that
denver
has
just
wrestled
with
over
the
last
three
years
or
so,
and
it
it'll
be
coming
from
a
regulatory
perspective
to
englewood
in
the
near
future.
F
There
will
be
an
angle
there
will
be
an
a
regulatory
driver.
We
anticipate
sometime
in
the
next
three
to
five
years,
that
will
that
will
require
us
to
have
a
program
in
place
next
slide,
some
of
the
policy
items
that
we
considered
in
the
master
plan
universal
metering.
We
still
have
1272
flat
rate
accounts,
which,
which
are
accounts
that
basically
are
non-metered
water
accounts,
so
we're
looking
at.
We
want
to
get
to
a
point
where
we're
on
all
meters
that
helps
from
a
water
conservation
perspective.
F
It
helps
from
a
customer
perspective
in
terms
of
understanding
what
their
water
usage
is
and
billing
and
in
a
lot
of
cases,
the
flat
rate
costs
a
customer
could
actually
reduce
their
their
water
bill
by
being
on
a
meter,
as
opposed
to
being
on
a
flat
rate.
So
that's
one
of
the
things
that
we
want
to
that.
We
have
a
program
in
place
to
fix,
talked
about
lead
service
lines.
F
We
have
water
hardness
that
I
talked
about
and
then
main
replacement,
so
these
are
some
of
the
larger
policy
items
and
and
programs
that
we
need
guidance
in
terms
of
how
we
move
forward
and
as
we
develop
a
strategy
next
slide
on
the
sewer
side.
This
is
the
the
sewer
collection
system
for
englewood
is
actually
the
the
northern
two-thirds
of
the
city
is
managed
by
the
city
of
englewood.
F
The
southern
two-thirds,
where
you
can
see
there
are
no
green
lines,
is
actually
a
the
south
engelwood
sanitation
district.
We
actually
have
a
few
other
places
throughout
the
city,
not
nearly
as
large
as
south
england,
sanitation
district
that
also
provides
sewer
contract,
sewer
service
for
city
of
englewood
customers,
and
so
it's
a
unique
thing
about
our
collection
system.
F
That
makes
it
a
little
bit
more.
It's
just
a
different
type
of
challenge,
as
it
relates
to
managing
that
collection
system
and
and
programming
funding.
For
it.
The
most
significant
driver
of
the
sewer
fund
is
south
platte
renew,
which
is
the
regional
wastewater
facility,
that's
co-owned
between
littleton
and
englewood,
and
so
we'll
get
to
more
of
the
cost
related
to
that.
A
little
bit
later
down
next
slide,
please.
F
Next
slide,
please
some
of
the
the
broader
programs,
our
main
rehabilitation
and
manhole
rehabilitation
with
a
with
sewer.
What
we
want
to
do
as
much
as
possible
is
not
dig
it
up.
We
want
to
rehab
what's
in
place,
and
so
there's
lining
technologies
and
there's
coding
technologies
that
we
can
put
in
place
to
really
rehab
the
the
sewer
system
in
a
way
that
limits
the
amount
of
disruption
to
the
street.
F
F
So
south
by
renew
has
its
own
master
plan
and
capital
plan
that
that
has
been
developed
and
you
can
see
the
numbers
are
much
larger
and
that's
because
south
platte
renews
serves
the
southwest
metro
region,
300,
000
citizens,
the
two
cities,
littleton
and
englewood,
are
the
co-owners,
and
then
there
are
19
connector
districts
that
are
served
through
the
through
the
two
cities
and
that's
why
you
see
the
the
numbers
so
much
larger?
It's
a
it's!
F
The
third
largest
wastewater
plant
in
the
state,
and
so
there
the
the
capital
needs,
are
just
much
more
significant
because
of
the
size
of
the
facility.
But
you
can
see
there
the
the
one
to
two
year,
three
to
five
year
and
six
to
15
year,
projects
that
were
identified
in
that
master
plan,
with
a
grand
total
of
235
million
over
the
next
50
15
years.
F
Next
slide,
please
so
the
summary
of
the
15-year
budget
cost
for
water
grand
total
is
about
168
million
dollars
and
then
on
the
sewer
side,
it's
around
60
million
dollars,
and
so
that
is
all
of
the
information
that
was
the
backbone
for
now
taking
for
helping
to
then
build
the
the
rates
and
fees
that
siwon
and
carol
will
be
discussing
next,
I
think
that's
the
next
slide
right.
There
we
go.
G
That
is
thank
you,
peter,
and
thank
you
all
members
of
the
committee
and
members
of
council
for
giving
us
the
opportunity
to
come
talk
to
you
about
our
rate
study
and
your
rate
study.
So
the
first
thing
I
wanted
to
go
over
is
basically
in
case
you
haven't
been
part
of
a
rate
study
process
before
we
have
specific
goals
for
the
process.
First,
we
want
to
know
how
much
to
recover
through
the
process
it's
called
revenue
sufficiency.
G
We
need
to
make
sure
that
we're
getting
at
that
sustainable
amount
of
revenue
that
the
water
and
sewer
funds
need
to
recover
each
year
for
the
long
term.
So
we
want
to
make
sure
that
we're
taking
care
of
financial
policies
that
that
are
used
to
set
targets
for
the
amount
of
revenue
collected
and
the
amount
of
expenditures.
G
We
also
want
to
make
sure
that
we're
accounting
for
all
that
system,
investment
that
peter
talked
about
the
second
step
is
from
whom
do
we
collect
all
this
revenue?
It's
a
significant
amount
of
revenue
each
year
and
we
go
through
a
defensible
allocation
process
that
we
don't
make
up.
We
use
guidelines
from
the
american
water
works
association
and
the
water
environment
federation,
so
there
are
set
steps
that
we
take
to
allocate
costs
across
all
of
the
customers
of
the
system
and
then,
finally,
how
do
we
collect
the
revenues
that
are
needed?
G
That's
through
calculating
simple,
equitable
and
sustainable
rates.
Now
simple
is
probably
relative,
but
we
try
to
make
it
as
straightforward
as
possible
so
that
the
customer
can
understand
what
they're
paying
and
what
they're
paying
for
that.
The
utilities
that
the
funds
recover
revenue
stay
on
a
stable
basis
over
time
and
also
that
customers
know
what
they're
getting
when
they're
paying
their
rates
in
our
study.
So
the
next
slide,
please
shows
how
many
steps
we
went
through,
and
some
of
you
might
be
familiar
with
these
steps.
G
You've
seen
some
of
the
outcomes
from
these
already
and
some
of
the
slides
that
we
will
show
will
look
familiar,
but
we
started
with
task
two.
Well,
we
started
with
project
task
one
the
project
in
this
initiation,
but
task
two
through
task.
Nine
all
are
needed
to
come
up
with
the
recommendations
and
the
presentations
of
tables
and
graphs
and
support
of
the
fees
that
we
are
talking
about,
the
rates
and
fees.
So
we
go
through
a
financial
planning
process,
a
cost
of
service
process
rate
development.
G
We
looked
at
a
rate
survey
that
we'll
show
you
in
a
little
bit.
We
looked
at
on
the
sewer
side,
the
connector
agreements,
so
that
the
connector
districts
they
are
an
important
part
of
your
customer
base
and
then
we've
also
looked
at
some
miscellaneous
fees.
So
these
tasks
all
work
together
to
come
up
with
the
recommendations
for
water
and
sewer
rates.
G
The
information
that
we
then
included
on
the
water
side
was
about
61
million
dollars
over
the
10-year
period,
so
that
was
an
average
capital
expenditure
of
5.6
million
dollars
each
year
on
the
sewer
side
was
a
little
higher
because
of
the
mix
between
the
south
platte
renew
treatment
needs,
and
then
the
collection
system
needs.
So
in
total,
that
was
about
98
million
dollars
over
the
10-year
period
or
8.9
million
a
year.
That's
pretty
significant
capital
expenditures,
so
that
is
one
of
the
things
that
we
refined.
G
As
we
worked
through
the
analysis
on
the
next
slide,
we
show
the
financial
planning
process,
so
this
is
really
the
first
step
where
we
worked
with
your
staff
to
go
through
a
dynamic
modeling
process.
C1
is
actually
going
to
demonstrate
this
model,
but
I
wanted
you
to
just
get
an
idea
of
what
goes
into
the
financial
plan.
G
It
is
an
iterative
process.
As
I
mentioned,
we
look
at
the
impacts
on
the
financials
and
on
the
operating
results.
For
many
things,
one
of
them
happens
to
be
additional
staffing
needs,
that's
just
one
of
the
many
elements
that
go
into
the
cost
or
the
revenue
requirements
of
the
system.
So
we
looked
at
a
lot
of
the
operations
and
maintenance
costs.
G
D
H
Okay,
perfect
perfect,
so,
like
carol
said,
this
is
the
financial
planning
model.
We've
created,
it's
exactly
the
same
snapshot
that
you
saw
in
the
powerpoint,
I'm
going
to
zoom
in
a
little
bit
we're
currently
on
the
the
panel
tab.
So
this
is
where
we
see
everything
how
everything
comes
together,
and
this
is
a
10-year
model.
We've
created
one
for
the
water
fund
for
the
city's
water
fund.
H
So
every
year
we
looked
at
we
try
and
capture
all
the
historical
actuals
and
budgets
for
revenues
and
expenses
incorporate
all
the
cost
of
revenue
data
into
our
model
and
then
use
2020
as
a
basis
to
forecast
going
forward.
So
we
can
know
that
every
year,
how
much
does
it
cost
to
operate
the
water
fund?
H
How
much
revenue
do
we
need
to
collect
to
cover
those
revenues
and
the
rate
adjustments
needed
in
case
when
one
year?
The
revenues
is
not
enough
to
cover
the
expenses
and
I'm
gonna
come
back
to
this
come
back
to
this
panel,
but
before
I
would
just
want
to
go
through
some
of
the
key
inputs
tabs
within
this
model.
Just
so,
you
have
an
idea
of
what
everything
that
goes
into
this
model,
so
we
use
2020
as
our
basis
as
our
beginning
year.
H
So
the
first
thing
that
goes
into
the
model
is
to
try
and
capture
as
end
of
year,
2019
or
beginning
year
of
2020,
how
much
funds
available
do
we
have
on
the
water
side
and
we
do
the
same
exercise
on
the
sewer
set
as
well.
So
we
look
at
the
financial
reports.
We
look
at
general
ledgers
to
get
an
idea
of
cash
and
investments
that
we
have
available
in
the
water
fund.
H
So
this
would
be
the
pot
of
money
that
we
can
use
for
our
daily
expenditures
for
operating
and
maintenance
costs
for
our
debt
service,
payments
for
our
capital,
improvement
program
costs
and
so
on
and
so
beginning
of
2020
we're
looking
at
about
17
million
dollars
in
the
water
fund
that
we
could
use
and
then
the
next
key
input
tab
that
we
have
is
where
we
capture
all
of
our
revenue
sources.
So
if
I
zoom
in
a
little
bit
in
the
top
section,
this
is
where
we
capture
our
water
rate
revenue.
H
H
These
information
will
be
used
to
forecast
going
forward
since
we're
currently
in
2021
we're
looking
at
collecting
about
6.5,
so
six
and
a
half
million
dollars
in
in
water
in
water
rate
revenue,
and
we
also
have
a
few
miscellaneous
revenues
as
well.
So
we
have
interest
incomes.
We
have
our
water
connection
fee
charges
that
we're
going
to
talk
about
in
a
little
bit.
We
have
some
raw
water
sales
city,
ditch
revenue,
so
these
are
all
just
miscellaneous
revenues
outside
of
rate
revenues.
We
would
collect.
H
H
This
is
a
detailed
line
item
budgets
that
we
we
got
from
the
city
that
captures
all
of
the
different
accounts,
the
different
diversion
division
and
the
different
line
items
for
operating
and
maintenance
costs.
So
we
have
our
salaries
within
the
south
of
the
sources
supply
division.
We
have
our
benefits.
We
have
insurance,
we
have
utility
costs,
electricity
cost
bulk
chemical
costs.
H
So
all
of
the
costs
that
are
captured
within
here
for
operating
the
the
water
system
and
again
we
try
and
capture
historical
budget
versus
actual
for
17,
18
and
19.,
and
then
we
have
a
2020
budget
numbers
and
then
also
now
that
we're
in
2021.
This
is
something
that
we've
incorporated
into
our
model
as
well
for
2021
budget
and
going
forward.
H
H
So
every
year
the
city
is
paying
about
almost
a
million
dollars
in
debt
service
payments
and
one
of
the
things
when
we
app
when
we
go
back
to
the
panel
is
we
want
to
make
sure
that
we
have
enough
money
every
year
to
cover
all
of
our
o
m
costs
to
cover
all
of
our
debt
service,
but
also
make
sure
that
we
are
meeting
our
debt
service
coverage
requirements.
So
that's
one
of
the
financial
target
that
we're
trying
to
trying
to
meet
every
year.
H
H
There
are
a
mix
of
different
funding
options,
so
we
could
either
be
cash
funding
a
project.
We
could
be
debt
funding,
a
project
and
in
this
case
over
here
it
shows
opt
which
means
optimized.
So
what
it
means
is,
it
will
go
through
each
of
the
capital
projects
and
look
at
if
the
city
has
the
the
money
available
to
cash
fund
it
so
that
it
will
use
use
the
fund
balance.
H
So
now
that
we've,
I
went
through
really
quickly
about
all
the
different
key
input
tabs.
So
if
we
come
back
to
the
panel,
this
is
where
we
can
look
at
how
everything
comes
together.
So
we've
captured
all
the
revenues
that
we
think
the
the
city
will
collect
in
the
next
10
years.
We've
included
all
the
different
o
m
costs,
the
debt
service
payments,
the
capital
improvement
program
costs,
and
so
how
do
we
know
if
the
city
is
able
to
afford
it?
H
Okay,
so
now
that
you
can
see
with
the
zero
percent
rate
increases
now
we
have
some
red
formatting.
So
what
this
means
is
that
we
track
the
senior
lien.
The
dsc
means
that
service
coverage
the
online
desk
service
coverage.
So
this
is
the
debt
service
coverage
requirement
that
we
need
to
meet
every
year
and
I
believe
for
the
city.
H
We
need
the
debt
service
coverage
of
1.1
times
and,
with
the
zero
percent
rate
increases,
you
can
see
that
in
those
later
years,
starting
in
2024
we're
starting
to
dip
below
the
requirement
and
the
the
formatting
shows
red
being
that
the
the
city
is
not
able
to
meet
that
requirement
and
if
we're
coming
down
to
these
graphs,
the
very
first
graph
that
I
want
to
show
you
is
the
operating
fund
graph.
So
the
operating
fund
graph
shows
the
projected
ending
fund
balance
for
the
city's
water
fund
every
year
and
without
any
rate
increases.
H
Since
I
zeroed
out
all
the
rate
increases,
we
can
see
that
well,
20
20
20
is
fine.
2021
is
fine,
2022
2023,
and
then
we
can
see
that
starting
in
2024,
the
the
the
blue
bar
is
below
this
black
line.
So
the
black
line
is
our
target,
so
we
typically
have
a
two
month,
two
to
three
month
operating
reserve
or
o
m
reserve.
So
these
would
be
the
restricted
cash
we
want
to
hold
in
case
in
the
future
year.
H
H
H
H
H
G
D
G
We
have
the
same
thing
for
sewer.
So
on
the
sewer
side,
financial
outlook
is
similar.
We
have
four
and
a
half
percent
rate
increases
proposed
up
into
a
point
and
then
they
drop
from
there.
These
are
always
dynamic,
so
they
are
going
to
change
over
time,
but
this
is
the
projection
for
where
we
are
now
after
we
go
through
that
whole
financial
planning
process.
We
have
those
a
few
more
steps,
so
cost
of
service
and
rate
design
are
the
following
steps.
G
G
Once
we
have
that
those
costs
allocated,
we
can
move
to
the
actual
rate
design,
so
those
are
the
actual
rates
that
are
on
the
bills
that
customers
receive
during
this
rate
design
process,
we
kept
the
rate
structures
the
same,
except
for
an
update
to
the
outside
city
customer.
So
you
have
a
few
water
customers
that
are
served
outside
the
city
and
we
updated
a
multiplier
to
be
1.4
times.
This
is
actually
not
anything.
New
you've
actually
charged
a
multiplier
to
your
outside
water
city
outside
city,
water
customers.
G
So
we
wanted
to
just
maintain
that,
but
make
it
consistent
for
those
customers,
and
we
can
talk
about
that
a
little
later.
If
you
wish,
and
then
we
have
that
15
a
month,
capital
improvement
fee
for
a
three-quarter
inch
meter
customer
that
was
proposed
and
then
finally,
we
also
worked
on
the
sewer
side
to
make
sure
that
the
sewer
rates
would
meet
those
future
revenue
requirements.
G
Here's
an
example
of
that
water
capital
improvement
fee.
I
mentioned
that
it
would
be
a
15
a
month
fee
per
three
quarter
inch
meter,
we've
actually
looked
at
different
meter
sizes
that
are
inside
the
city
and
we've
proposed
to
scale
that
15
a
month
fee
because
it
is
for
capital
improvements
and
capital
improvements
provide
a
certain
amount
of
capacity
in
the
water
system.
Therefore,
larger
meter
sizes
require
more
capacity
in
the
system
and
would
pay
a
multiple
of
that
15
a
month
fee.
G
The
equivalent
meter
schedule
is
there
right
in
the
middle
of
that
table,
so
a
three
quarter
inch
meter
or
and
a
5
8
inch
meter
is
called
one
equivalent
meter
or
one
equivalent
customer.
If
you
are
have
a
two
inch
meter,
you're
actually
5.3
times
a
three
quarter
inch
meter,
we
use
that
schedule
to
develop
the
the
proposed
capital
improvement
fee.
G
This
next
slide
just
gives
you
an
example
of
how
we
could
calculate
or
estimate
customer
bills
once
we
have
that
proposed
rate
schedule.
So,
if
we're
looking
at
an
inside
city
customer
no
matter
how
much
they
use
from
zero
thousand
zero
gallons
to
twelve
thousand
gallons
a
month,
they-
and
we
know
that
we're
talking
about
this
in
a
second
also,
but
currently
your
bills
are
on
a
quarterly
basis,
but
we're
moving
to
monthly.
So
we
presented
this
information
on
a
monthly
basis.
G
G
We
then
added
in
that
capital
improvement
fee,
because
it
is
a
fee
that
doesn't
vary
based
on
water
usage,
and
then
we
calculated
the
total
proposed
bill.
You
can
see
the
difference
here
that,
even
without
a
drop
of
water
used,
the
bill
would
go
up
by
14.71,
so
that
reflects
the
capital
improvement
fee
of
15,
there's
actually
a
discount
here
for
the
on
a
monthly
bill
basis
versus
a
quarterly
bill.
G
So
you
can.
You
can
see
for
also
from
this
table
that
there
we've
highlighted
a
winter
average
for
a
typical
customer,
an
annual
average
of
6
000
gallons
a
month
and
then
a
summer
average
that
includes
irrigation.
So
that's
the
11
000
gallon
customer.
So
a
customer
that
uses
11
000
gallons
a
month
in
the
summer
would
see
an
increase
in
their
monthly
bill
by
16.16.
G
G
G
The
formula
is
simply
the
ex
the
system
value,
so
the
value
of
the
water
system
or
sewer
system
that
we
look
at
the
fixed
assets.
Then
we
look
at
any
new
growth
related
capital
improvements
that
need
to
be
in
place
to
serve
new
customers.
We
add
those
two
values
together
to
get
the
total
dollar
amount.
G
The
next
table
shows
us
what
those
results
came
out
to
be
like
I
said
there
were
a
lot
of
assumptions
that
go
into
a
connection
fee
calculation.
The
first
assumption
would
be
what
value
do
we
use
for
the
system?
There
are
four
different
values
that
you
could
use
to
estimate
the
value
of
your
water
system.
The
first
one
is
original
cost.
Then
we
could
take
out
depreciation
and
use
net
book
value.
G
We
could
also
add
a
price
escalator
to
get
the
value
of
the
system
in
today's
dollars,
which
is
rcn
or
replacement
cost
new,
and
then
we
could
also
take
today's
value
and
subtract
depreciation,
which
is
rcnld
or
replacement,
cost
less
depreciation.
That
value
is
actually
the
most
common
method
of
valuing
assets
for
connection
fee
purposes.
It
is
because
it
will
charge
a
new
customer
for
the
value
of
the
water
in
today's
value,
less
any
amount
of
wear
and
tear
that's
been
accounted
for
in
the
system,
so
that's
the
replacement,
cost
less
depreciation.
G
One
other
difference
during
this
rate
study
is
that
the
raw
water
rights
had
never
really
been
accounted
for
in
your
water
system
connection
fee.
So
the
value
of
those
water
rights
were
not
recouped
over
all
these
years,
and
the
city
has
spent
a
lot
of
time
and
investment
in
securing
those
long-term
water
supplies
for
your
customers,
so
that
has
value
and
new
customers
should
buy
into
that
value.
G
We
used
a
study
that
the
utilities
department
had
had
commissioned
for
this
purpose
so
that
water
rights
study
determined
the
value
of
your
water
rights,
and
we
incorporated
that
into
this
calculation
that
gave
us
the
much
higher
water
resources
connection
fee.
That
we
believe
is
is
to
be
charged
to
new
customers.
So
that
gives
us
that
17
504
fee
that
we're
showing
right
here
in
total,
a
brand
new
customer
that
would
receive
water
service
and
sewer
service.
They
would
pay
21
346
and
that's
compared
to
the
current
or
the
previous
fee
of.
G
F
F
To
close
this
out
here,
so
that
we
have
a
little
bit
of
time
for
some
questions,
keep
in
mind
that
what
we're
presenting
to
you
right
now
was
presented
over
the
course
of
I
think
five
or
six
council
meetings
and
probably
a
grand
total
of
three
to
about
three
hours
worth
of
presentations.
So
we're
jamming
through
a
lot
of
information
really
quickly,
and
we
understand
that.
So
what
does
it
all
mean
we'll
go
to
the
next
slide.
F
First
step
is,
is
just
really
a
comparison
of
where
we're
at
from
a
water
and
sewer
bill.
So
if
you
look
all
the
way
left,
englewood
is
today
at
the
lowest
by
far
of
the
13
surveyed
areas,
46.48
with
the
increases,
as
proposed,
we
become
second
loaded
lowest
at
60
69,
but
we're
still
below
the
average
significantly.
F
You
can
see
the
average
line
there
and
if
you
look
at
the
we're
talking
about
our
neighbors,
so
denver
lakewood,
longmont
aurora
next
slide.
Please
connection
fees.
Same
thing,
connection
fees
were
way
low.
The
way
we've
done
the
revision
we've
proposed
the
new
ones,
and
you
can
see
we're
now.
Fourth
lowest
out
of
the
of
the
group
surveyed,
and
so
you
can
see
that
while
we've
made
a
significant
change
in
a
significant
increase,
we're
still
on
the
lower
end
of
that
and
very
comparable
to
boulder
lakewood
aurora
castle
rock
next
slide,
please.
F
The
final
recommendation
that
we
came
through
in
november
was
we
recommended
a
15
capital
investment
fee,
a
four
percent
increase,
align
the
multiplier
1.4
and
then
the
new
connection
fees
that
carol
talked
about
on
the
sewer
fund.
It's
a
four
and
a
half
percent
increase
and
the
new
connection
fee.
So
that
was
what
was
recommended,
became
part
of
the
budget
process
and
ultimately
adopted
the
next
set
of
things
that
we're
working
on
this
year
and
I'll
stop
on
this
slide.
C1
is
we're
transitioning
to
monthly
billing.
F
There
was
we
did
a
presentation
to
council
last
night
on
that
that
will
be
occurring
in
april.
We're
also
developing
a
customer
assistance
program
and
we've
got
that
linked
up
with
arapahoe
county
and
that
will
be
widely
advertised
and
and
our
citizens
will
be
notified,
the
access
to
that,
if
they're
experiencing
a
hardship
and
paying
their
bill
and
then
we're
also
updating
the
sewer
outside
city
multiplier.
Today,
it's
1.05,
so
this
is
for
a
connector
district,
and
our
initial
analysis
suggests
that
it
could.
F
It
should
be
around
1.2
which
results
in
a
net
increase
in
revenue
to
the
sewer
fund
of
about
two
million
dollars
a
year,
and
so
what
that
does
is
the
long
term
that
limits
the
amount
of
debt
that
we
need
to
issue
in
order
to
continue
to
make
the
investments
in
south
platte
renew
that
are
needed.
Additionally,
we're
evaluating
external
contracts.
F
I
live
in
englewood
and
I
live
in
south
englewood
sanitation
district.
So
I
just
need.
I
say
that
all
the
time,
because
I
just
want
people
to
to
know
that
we're
doing
that
anyways,
but
I
actually
live
in
that
district,
and
so
we
are
going
to
stop
there.
That
was
a
lot
of
information
and
I
want
to
just
turn
it
back
over
to
the
committee
and
we
can
we
can
dive
into
some
of
the
details
or
it's
an
overwhelming
amount
of
information.
A
Thank
you
so
much
for
your
time
and
for
putting
so
much
preparation
into
these
materials.
It
was
a
lot
of
information,
but
it
was
really
fascinating
just
to
see
the
process
that
you
have
walked
through
over
the
last
year.
So
thank
you
so
much
for
being
here.
All
of
you
with
that
I'm
gonna
see
if
any
members
of
the
committee
have
any
questions.
A
C
F
So
the
we
haven't
pulled
this
data
in
a
few
months,
but
when
we
were,
we
were
looking
at
this
midway
through
the
pandemic
and
the
arrears
I
believe,
was
somewhere
on
the
order
of
or
I
think
it
was
around
200
000.
So
what
we
were
actually
kind
of
surprised
about
was
it
was
not
as
significant
as
we
thought
the
pandemic
may
have
caused
it
to
be.
F
We
will
go
back
and
and
re-update
that
information,
because
that's
a
question
that
we've
been
we've
been
monitoring
and
just
haven't
looked
at
in
a
few
months,
so
we
can
definitely
do
that,
but
but
I
can
tell
you
midway
through
the
pandemic,
we
we
were
not.
I
was
actually
kind
of
surprised
at
how
little
it
was
unless
carol
has
updated
information.
G
C
F
Three
thousand
well
so
so
we
do
so
we
did
an
analysis
based
on
there.
There
we
did
a
presentation
a
few
months
back
where
we
looked
at
the
demographics
of
the
city
of
englewood
and
we
got
into
the
median
the
median
income
and
how
that
relates
to
setting
a
a
standard,
and
we
set
the
the
the
recommendation
from
council
was
to
set
the
standard
at
250
percent
of
federal
poverty
level
and
at
that
point
in
time
we
anticipated
from
a
from
a
cost
perspective.
F
And
so
it's
again
it's
it's
a
it's
a
significant
amount
of
money,
but
it's
not
a
it's,
not
in
the
millions
to
the
point
where
it
really
will
really
throw
throws
things
out
of
whack
and
again,
there's
there's
no
program
across
the
country
that
has
100
participation
level
they're.
Typically,
you
know,
50
is
a
really
really
good
program.
If
you're
at
50.
C
D
And-
and
I
only
have
one
question
on
on
what
suzanna
is
saying
about
the
move
to
monthly
billing-
have
you
guys
looked
at
incorporated
automatic
billing?
I'm
one
of
those
I
always
have
to
get
the
second
notice
to
remember
to
pay
my
bills,
so
automatic
billing,
I
think,
would
alleviate
some
of
you
know.
Challenges
like
that.
C
I
I
F
A
I
really
appreciate
how
how
many
customer
considerations
were
included
in
your
presentation,
which
I
think
is
incredibly
important,
and
I
the
question
I
was
waiting
for
to
the
end
was:
where
did
we
fall
in
relation
to
our
municipal
neighbors?
So
I
loved
that
slide
at
the
end
and
kind
of
understanding
where
we're
going
to
chart,
which
was
very
helpful.
I
believe
the
slides
was
based
on
2021
numbers
is
it
we
would
have
no
sense
of
what
maybe
other
municipalities
would
be
like
at
the
end
of
the
decade?
Is
that
correct
kind
of
well.
F
Actually,
by
the
end,
it
was
actually
2020
right.
It
was,
it
was
done
in
2020,
but
what
we
did
is
we
put
our
2021
proposed
against
all
those
2020.,
so
assuming
that
all
those
many
of
those
other
entities
have
some
amount
of
a
an
increase
in
annual
increase
that
they
would
have
implemented
all
it
does.
Is
it
further?
A
F
Yeah,
well,
that's
that's
the
reason
for
the
10-year
financial
planning
outlook
to
this,
and
and
why
why
that
model
we
have
a
10-year
version
which
you
saw
tonight.
We
have
a
20-year
version
as
well,
and
the
whole
point
of
that
is
to
look
at
it
annually
and
to
to
look
at
our
master
plans
on
on
a
comprehensive
basis
every
five
years,
because
that
master
planning
information
that
I've
that
I
first
shared
with
you.
F
That
was
if,
if,
if
we
had
the
perfect
situation
where
we
could
fund
everything,
that's
what
we
would
say
we
would
do
and
then
we
plugged
it
into
the
model
and
basically
broke
it,
because
you
can't
fund
all
that,
and
so
that's
where
we
had
to
go
through
and
say
all
right.
Well,
then,
we
need
to
defer
some
of
these.
We
need
to
work
on.
F
That
could
help
do
one
of
two
things:
either
fund
the
stuff
that
we
deferred
or
help
to
maybe
limit
that
increase
so
that
instead
of
four
and
a
half
percent,
maybe
it
goes
in
a
couple
years
to
four
percent
or
something
like
that.
What
we
don't
want
to
do
is
we
don't
want
to
get
into
a
situation
where
we
go
to
zero
percent
increases
for
five
years
and
then
all
of
a
sudden,
you
see
what
happens
to
the
financial
planning.
F
We
start
to
get
really
close
on
our
debt
service
coverage
and
then
we
have
to
catch
up
again.
That's
been
a
lot
of
the
challenge
that
we've
been
facing
the
last
time.
Water
rates
were
increased,
I
believe,
was
2012.,
and
so,
when
you're,
looking
at
nine
years
of
no
rate
increases
it,
you
spend
all
those
years
trying
to
catch
up
and
it
becomes
difficult
for
me
from
a
financial
hit
perspective.
F
The
city
of
englewood,
it's
a
new
program,
so
that
was
so
the
philosophy
from
what
we
can
tell
the
the
philosophy
was
to
really
work
to
keep
rates
low,
which
is
a
which
is
a
philosophy.
A
number
of
utilities
across
the
country
had
taken
for
many
many
years
and
and
how
you
keep
rates
low
is.
Is
you
don't
do
that
annual
investment?
You,
you
say
all
right.
Well,
we'll
we'll
put
that
off
another
year,
we'll
put
that
off
another
year,
we'll
put
that
off
another
year
which
works
for
many
many
years.
F
A
Wonderful,
my
last
question
is
just
of
the
and
if
it
was
in
the
presentation-
and
I
missed
it-
I
apologize
somewhere
but
of
the
the
elements
that
were
not
funded
in
this
plan-
the
main
kind
of
projects
or
priorities
that
maybe
you
would
want
additional
funding
for,
depending
on
additional
revenue
or
different
streams
of
revenue.
What's
the
top
of
that
list,
what
do
you
see
is
the
biggest
need
that
right
now
doesn't
have
funding.
F
F
We
we
initially
looked
at
funding
that
to
more
aggressively
and
it
really
just
it
drove
the
rates
just
to
a
point
where
they
were
unsustainable,
and
so
what
we'd
be
looking
to
do
is
looking
at
ways
to
either
utilize
systems.
Like
if
you,
you
may
have
heard
that
we
secured
the
ability
to
apply
for
what's
called
withia
funding,
which
is
water,
infrastructure,
financing
and
innovation,
act
which
are
really
favorable
low
interest
loans
through
the
federal
government
that
have
really
favorable
payback
periods,
really
low
interest
rates
and
give
us
a
lot
of
access
to
capital.
F
F
Right
so
so
the
wifi
process,
you
do
what's
called
a
letter
of
interest,
and
so
we
put
together
a
letter
of
interest
and
we
had
30
million
dollars
of
water
capital
projects.
In
that
letter
and
15
million
dollars
of
sewer
and
and
the
way
wifi
is
they
fund
49,
we
have
to
fund
the
other
51,
and
so
you
basically
double
those
numbers
and
that's
the
value
of
the
capital,
60
million
on
the
water
side
and
and
30
million
on
the
wastewater
side.
F
And
then
once
we
were
notified,
we
were
notified
that
we
were
one
of
the
selected
cities
to
be
able
to
be
invited
to
apply,
and
so
we've
met
a
couple
times
with
the
epa's
underwriter
with
finance.
Jackie
has
been
on
a
couple
of
these
calls,
as
well
as
our
our
bond
council
and
our
our
financial
advisor
to
help
us
work
through
this
application
process.
F
The
great
thing
about
that
program
is
it's:
it's
almost
like
a
letter
of
credit,
so
if
we
get
approved
for
30
million
dollars
of
water,
we
could
wait
till
and
we
have
five
years
to
draw
on
it.
So
if
we
don't
draw
on
it
for
the
first
four
years
and
we
draw
on
year
five,
we
don't
start
accruing
interest
or
anything
until
year,
five,
and
so
it's
there.
A
That's
great,
thank
you
so
much
for
walking
through
that.
I
have
one
last
question
sure,
with
these
updates
with
the
lead
service
line
and
the
new
water
mains,
do
you
anticipate
there
being
an
improvement
in
the
water
quality
things
like
taste
and
invisibility,
and
all
of
that?
How
does
that
plaintiff.
F
So
what
I
mean
by
that
is,
we
want
to
systematically
look
at
ways
of
changing
our
system
operation
today
to
see
if
we
can
have
a
an
improvement
effect
on
the
water
quality
without
spending
a
whole
bunch
of
money
replacing
large
parts
of
the
system.
In
order
to
do
that,
one
of
the
biggest
things
that
we're
looking
at
right
now
is
like,
like
I
said
early
on
in
the
master
planning
part,
we
have.
We
get
water
from
city
ditch
which
collects
water
right
at
chatfield.
F
So
once
it
gets
in
city,
ditch
it's
conveyed
directly
to
the
allen
plant,
so
that
is
one
source
of
supply
for
us.
Our
other
source
of
supply
is
at
union
well,
when
you're
in
the
summer
in
in
july,
and
the
plat
is
at
low
flow
and
there's
there's
barely
any
water
in
the
in
the
plat
it.
That's.
That's
really!
That's
tough
source
water
quality
as
compared
to
water
coming
out
of
chatfield.
F
However,
given
the
hardness
of
the
water
in
englewood,
we
think
there
that
that
would
be
an
area
that
really
would
benefit.
Customers
is,
if
we
could,
we
could
get
that
kind
of
a
system
in
place.
That's
something
that's
actually
anticipated
under
that
wiffy
of
funding
loan.
That
was
one
of
those
projects
we
are
also.
F
One
of
the
other
things
I
want
to
do
is
is
do
a
a
a
graduated
analysis
of
our
distribution
system,
because
I
hear
I
hear
from
people
how
bad
the
water
quality
is
that
I
hear
from
other
people,
I
don't
have
any
issue
with
water
quality
at
all.
So
for
me
personally,
I
get
water.
I
drink,
angled
water
out
of
my
refrigerator
every
day.
I
don't
have
any
issue
with
it.
It
really
doesn't
have
a
a
real
issue
for
me.
C
I'll
just
add,
you
can
add
me
to
group
b.
We
find
the
water
perfectly
palatable,
but
we
know
that
that's
not
universal
across
the
city
and
our
house
was
also
renovated
less
than
10
years
ago.
So
so
we
advise
council
and
directors
on
the
implementation
and
development
of
the
budget,
except
for
capital
improvement.
We
don't
advise
on
those
areas
yet
I
mean
briefly
because
I
know
we're
past
time.
Is
there
anything
non-capital?
You
want
us
to
have
on
our
minds
as
we
exit
this
meeting.
F
F
I
think
the
it's
really
helping
people
understand
that
water,
water
and
sewer
service
in
englewood,
when
you
compare
to
our
neighbors,
is
pretty
affordable
and-
and
there
is
a
there-
is
a
strategy
to
trying
to
improve
a
number
of
these
issues
that
people
have
been
have
been
up
upset
about
for
many
years
and
I
think
any
any
amount
that
we
can
help.
Our
community
understand
that
more,
I
think,
would
hopefully
help
them.
You
know
feel
a
little
bit
better
about
the
direction
we're
headed.
A
H
J
J
You
know
she
taught
me
most
of
what
I
know
about
the
budget
and
she's
been
patient,
no
matter
what
kind
of
cockamamie
question
I've
asked
over
the
years,
so
I
I
know
jenny's
not
type
of
person
who
cares
too
much
for
public
recognition,
but
thanks
for
working
with
me
all
this
time
and
teaching
me
the
things
that
I
needed
to
know.
That
made
me
more
ready
to
join
the
ranks
of
council
and
thank
you
everyone
else
on
the
budget
advisory
committee
for
serving,
and
that's
pretty
much
all.