Las Cruces Utilities Impact Fee Study Presentation - r
1
Las Cruces Utilities
Development Impact Fee Stud
Presentation to the LCU Board
January 9, 2020
Las Cruces, New Mexico (301) 320.6900
Tisch lerBise.com
Development Impact Fees Overview ...
id
• One-time payment for growth-related infrastructure, usually
collected at the time building permits are issued
• Cannot be used for operations, maintenance, or
replacement
• Not a tax, but a land use regulation
• Three requirements must be met:
• Need :
• Growth is creating a demand for system expansion
• Benefit
• Infrastructure gets built in a timely manner
• Proportionate
• New development pays its fair share
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Agenda
■ Water Impact Fees Wastewater Impact Fees
o Current Levels of Service o Current Levels of Service
o Service Units o Service Units
o Projected Demand o Projected Demand
o Infrastructure Components o Infrastructure Components
o Draft Impact Fees o Draft Impact Fees
o Projected Growth-related Needs o Projected Growth-related Needs
o Projected Impact Fee Revenue o Projected Impact Fee Revenue
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FISCAL I ECONOMIC I PLANNING
Water Development Impact Fees
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F15CAI- ECO 6MIC E PLANNIN j
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Water Levels of Service
Annual Sales Avg.Annual Gallons per
Test Year 2018 Avg. Customers Avg. GPD
(1,000 gal) Customer
Residential Customers 3,686,978 32,072 114,959 315
Small Commercial 792,498 3,635 218,019 597
Large Commercial 941,081 432 2,178,428 5,968
Industrial 359,906 18 19,994,778 54,780
San Pablo MDWCA 9,748 1 9,748,000 26,707
Parks 73,390 35 2,096,857 5,745
Parks Non-Potable 12,337 4 3,084,250 8,450
Off Peak 126,481 58 2,180,707 5,975
Reclaimed Water 118,893 6 19,815,500 54,289
Total/Average 6,121,312 36,261 168,813 463
Summary Annual Sales Avg. Customers Avg.Annual Gallons per Avg. GPD
(1,000 al) Customer
Res i denti a 1 3,686,978 32,072 114,959
Nonresidential/Other 2,434,334 4,189 581,125 1,592
Total/Average 6,121,312 36,261 168,813 463
Source:Las Cruces Utilities, Water Utility Rate Review, Test Year 2018
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RatioWater • Service UnitstoDevelopment
Water
DevelopmentResidential
Number of Persons per Single Family Unit (EDU) 2.43
Average Gallons per Day per EDU 315
Average Gallons per Person 130
Sources: US Census;Las Cruces Utilities; TischlerBise
DevelopmentAll
Capacity Capacity Capacity Ratio Ratio Ratio
Kamstrup Elster Master Meter Kamstrup Elster Master Meter
Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra
5/8 x 3/4" 25 1.00
3/4 32 1.28
1" 55 2.20
1-1/2" 120 4.80
2" 160 220 250 6.40 8.80 10.00
3" 550 500 22.00 20.00
4" 880 1000 35.20 40.00
6" 1400 1600 56.00 64.00
8" 3500 2800 140.00 112.00
6
Source:Las Cruces Utilities
A-9Z i
Water Current Usage -de
Land Use Class Customers* Gallons per Estd. Water
Customer per Da VA Demand GPD
Residential 321-597 315 101-2681-055
Nonresidential 41-518 11-592 71-192,656
Total 37,115 17,460,711
* FY19 Actual Customer Count, Las Cruces Utilities
City of Las Cruces Utilities, Water Utility Rate Review, Test Year 2018
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- :
rn
Water Projected Demand
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Cumulative Increase Projected EDUs
• . Grand Total
Avg. Gallons
En Per D.
Base 2019 32,597 4,518 37,115 17,460,711 55,431
1 2020 32,981 4,561 37,541 426 188,574 426 188,574 17,649,285 599 599 56,030
2 2021 33,369 4,603 37,972 431 190,686 857 379,260 17,839,971 605 1,204 56,635
3 2022 33,762 4,647 38,408 436 192,707 1,293 571,967 18,032,678 612 1,816 57,247
4 2023 34,159 4,691 38,850 441 194,831 1,735 766,798 18,227,509 619 2,435 57,866
5 2024 34,561 4,735 39,296 447 197,061 2,181 963,859 18,424,570 626 3,061 58,492
6 2025 34,968 4,779 39,747 451 199,099 2,632 1,162,958 18,623,669 632 3,693 59,124
7 2026 35,380 4,824 40,204 457 201,341 3,089 1,364,299 18,825,010 639 4,332 59,763
8 2027 35,796 4,870 40,666 462 203,491 3,551 1,567,790 19,028,501 646 4,978 60,409
9 2028 36,218 4,916 41,133 467 205,737
10 2029 36,644 4,962 41,606 473 207,987 4,491 1,981,513 19,442,224 660 6,291 61,722
Source:TischlerBise,using Average Day Demand factors and projected development shown in the Land Use Assumptions.
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FISCAL I ECONOMIC I PLANNING
Water Usage and Capacity
Estimated Avg. Daily Water Demand (GPD) 17.1460.1711
Pea king Factor* 2.0
Estimated Max Daily Water Demand (GPD) 34.1921.1
Estimated Water Supply Capacity (GPD) 52.1797.1600
Estimated Firm Water Supply Capacity (GPD)^ 42.1238.1080
Utilization 83%
* Water and Wastewater System Master Plan Update
" 80% of production capacity, per Water and Wastewater System Master Plan Update
Source: Las Cruces Utilities
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FISCAL I ECONOMIC I PLANNING
i
•Water Supply Cost
• Est. interest Est. Total •
Water Supply
• •
Well 40 - Drilling and Pump Station $2,380,000 $1,071,000 $3,451,000 1,800,000 $1.92
Well 70 - Drilling and Pump Station $2,450,000 $1,102,500 $3,552,500 4,104,000 $0.87
Well 71 - Drilling and Pump Station $2,450,000 $1,102,500 $3,552,500 4,176,000 $0.85
Total $7,280,000 $3,276,000 $10,556,000 10,080,000 $1.05
[1] Las Cruces Utilities;includes drilling and pump house construction.
[2] Interest estimated at 4%over 20 years.
[3] Las Cruces Utilities.
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Water Distribution
-P !
Water Transmission Lines
Line Size Linear Feet [1] 2013 Cost Lin. Ft. 2019 Cost Lin. Ft.
16" 31,982 $140.95 $154.30 $4,934,837
18" 164,496 $153.86 $168.44 $27,706,903
24" 87,815 $179.69 $196.71 $17,274,215
30" 8,727 $210.17 $230.08 $2,007,921
36" 35,009 $305.51 $334.45 $11,708,633
Total 328,028 $193.98 $63,632,509
Current Number of Water EDUs 55,431
Cost per EDU $1,147.96
[1] Las Cruces Utilities
[2] City of Las Cruces Water and Wastewater Impact Fee Study, 2013;cost updated to 2019 dollars with
Engineering News-Record(ENR) Construction Cost Index for southwest city (Dallas, TX).
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_glut-- - r Distribution
Water Valves
Control .
West Mesa 36 $96,376 $105,506
Spruce and Triviz 14 $150,336 $164,577
Triviz 14 $150,336 $164,577
Telshor 12 $119,078 $130,358
University and Telshor 12 $90,040 $98,569
$663,588
Current Number of Water EDUs 55,431
Cost per EDU $11.97
Sources: Las Cruces Utilities; City of Las Cruces Water and Wastewater Impact Fee Study, 2013; cost updated
to 2019 dollars with Engineering News-Record (ENR) Construction Cost Index for southwest city (Dallas, TX).
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Water Distribution
Water Booster Pumps
Pump Station No. of Pumps .
Loma Vista 3 $114,000 $124,799
Jornada 3 $76,000 $83,199
South Jornada 3 $161,500 $176,799
Upper Griggs 3 $190,000 $311,998
Missouri 1 3 $142,500 $116,999
Missouri 2 3 $199,500 $218,398
Telshor 1 3 $76,000 $83,199
Telshor Skid 2 $87,400 $95,679
Telshor 2 3 $104,500 $171,599
Airport 3 $95,000 $155,999
West Mesa 3 $380,000 $623,996
32 $2,162,665
Current Number of Water EDUs 55,431
Cost per EDU $39.02
*Reflects inventory and asset value at time of 2013 Impact Fee Study
Sources: Las Cruces Utilities; City of Las Cruces Water and Wastewater Impact Fee Study, 2013;cost updated 13
to 2019 dollars with Engineering News-Record(ENR) Construction Cost Index southwest city(Dallas, TX).
!I Water Storage
CapacityStorage Tank Name
North Zone 2 2001 2.0
North Zone 1A 1992 2.0 Elevated (Airport)Tank Improvements $1,200,000 0.5 $2.40
South Zone 1995 2.0 Missouri Tank Improvements $2,000,000 2 $1.00
Telshor 1965 2.0 Upper Griggs Tank Improvements $2,195,000 3 $0.73
N.Zone 1 Tank Improvements $1,712,000 2 $0.86
Loma Vista 1964 2.0 S.Zone Tank Improvements $1,096,500 2 $0.55
North Jornada 1992 2.0 Subtotal(principal) $8,203,500 9.5 $0.86
South Jornada 2009 2.0 Subtotal(interest)[31 $3,869,058 9.5 $0.41
Spruce 1970 3.0 Grand Total Cost $12,072,558 9.5 $1.27
Upper Griggs 1962 3.0
Missouri 1956 2.0 i11 Las Cruces Utilities Capital Improvement Plan(FV2020)
Airport Ground 1983 0.4 [21 Los Cruces Utilities
Airport Elevated 1983 0.5 [31 TischlerBise estimoted ot 4%interest rate
West Mesa 2000 4.5
Total 27.4
Current Number of Water EDUs 55,431
Gallons per EDU 494
Source:Las Cruces Utilities;City of Las Cruces Water and Wastewater Impact Fee Study,2013
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FISCAL I ECONOMIC I PLANNING
i' •ly Water
' • - I•
Zone I Interconnect Project 2-Phase B 2020 $1,160,000
Zone I Interconnect Project 3 South-Phase B 2021 $1,450,000
Total $2,610,000
Projected increase in demand (gpd) (20-Year Increase) 4/189/179
Cost per Gallon $0.62
Source: Las Cruces Utilities Capital Improvement Plan (FY2020); TischlerBise projections.
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FISCAL I ECONOMIC I PLANNING
Ag
.41 Water Support Facilities
Water Quality Laboratory (WQL) 2019 $4,734,222 30% $1,420,267
Total $4,734,222 $1,420,267
Projected Total Water Demand (GPD) (20-Year) 21,649,890
Cost per GPD $0.07
*Remainder serves Wastewater
Source:Las Cruces Utilities, TischlerBise projections.
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CapacityWater Debt Service Credit
GRAND TOTAL CREDIT
Year
Demand
•D Gallon
2020 $1,349,867 17,649,285 $0.08
2021 $1,314,393 17,839,971 $0.07
2022 $1,358,202 18,032,678 $0.08
2023 $1,375,064 18,227,509 $0.08
2024 $1,324,533 18,424,570 $0.07
2025 $1,347,191 18,623,669 $0.07
2026 $1,269,028 18,825,010 $0.07
2027 $1,200,724 19,028,501 $0.06
2028 $1,051,249 19,234,237 $0.05
2029 $1,030,571 19,442,224 $0.05
2030 $1,048,732 19,652,460 $0.05
2031 $1,077,352 19,864,969 $0.05
2032 $1,083,828 20,079,776 $0.05
2033 $1,097,248 20,296,906 $0.05
2034 $1,109,721 20,516,384 $0.05
2035 $1,094,313 20,738,235 $0.05
2036 $965,067 20,962,485 $0.05
2037 $351,717 21,189,160 $0.02
2038 $323,131 21,418,286 $0.02
2039 $0 21,649,890 $0.00
Total $20,771,932 $1.08
Discount Rate 4.0% TischlerBise 17
Net Present Value
FISCAL I ECONOMIC I PLANNING
$0.79
Source:Las Cruces Utilities;Tischler8ise projections.
Aw
2 .:, Proposed Water Impact Fees
1w
1A.
Cost per Gallon of Water Gallons per Water Capital
Capacity Day per EDU Cost per EDU
Water Wells/Supply $1.05 315 $330.75
Water Transmission $1,198.95
Water Storage $1.27 494 $627.38
Water Development $0.62 315 $195.30
Water Support Facilities $0.07 315 $22.05
Subtotal $2,374.43
Water Credit ($0.79 315 ($248.85)
Water Capital Cost per EDU => $2,125.58
Water Capital Cost per EDU (Truncated) =>1 inflm,
Proposed Fees: 5/8 or 3/4 Inch Meter
ProposedMeter Size (inches) Capacity Ratio 7i Builder
Surcharge Base
0. . .
0.625 (5/8) or 0.75 (3/4) 1.00 $1,063 $595 1 $468
Note: The above reflects the City of Las Cruces' current policy of
allocating payment of the fee—to the builder (50 percent),
customer (28 percent), and rate base (22 percent). This allocation is
a policy decision and does not reflect an impact fee requirement or TischlerBise 18
a recommendation of the consultant. ,-iSCAL I ECONOMIC I PLANNING
Aw UV
I.A.
Fee by Meter Size and Type
Capacity Capacity Capacity Ratio Ratio Ratio Fee Fee Fee
Kamstrup Elster Master Meter Kamstrup Elster Master Meter Kamstrup Elster Master Meter
Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra
5/8 x 3/4" 25 1.00 $2,125.00
3/4 32 1.28 $2,720.00
1" 55 2.20 $4,675.00
1-1/2" 120 4.80 $10,200.00
2" 160 220 250 6.40 8.80 10.00 $13,600.00 $18,700.00 $21,250.00
3" 550 500 22.00 20.00 $46,750.00 $42,500.00
4" 880 1000 35.20 40.00 $74,800.00 $85,000.00
6" 1400 1600 56.00 64.00 $119,000.00 $136,000.00
8" 3500 2800 140.00 112.00 $297,500.00 $238,000.00
Source:Los Cruces Utilities
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FISCAL I ECONOMIC I PLANNING
Pro osed Chan a in Water I m act Fees
4
r 71
Proposed
Meter Size (inches) Capacity Ratio Proposed Water Fee Fee to Builder
Customer Fee to Rate
Surcharge Base
50% 28% 22%
• . or • $2,125 •• •
Current Fees: 5/8 or 3/4 Inch Meter
Meter Size (inches) Capacity Ratio Current Water Fee Fee to Builder
Customer Fee to Rate
Surcharge Base
50% 28% 22%
• . or • $2,420 •
Meter Size (inches) Increase or Fee to Builder Customer Fee to Rate
(Decrease) in Fees Surcharge Base
Change in Fees: 5/8 or 3/4 Inch Meter
50% 28% 22%
• . or •
Decrease from the 2013 Impact - - •y: Storage costsper
gallon are lower in 2019 Impact Fee Study update.
i
-Related Needs
Water System Growth
if1
Water Standards
Water Wells/Supply 315.00 gallons per EDU
Water Transmission $1,198.95 cost per EDU
Water Storage 494.00 gallons per EDU
Water Development 315.00 gallons per EDU
Water Support Facilities 315.070gallons per EDU multi-yearinterval>>
Water Needs: Base Year 1 4 109 10-Year Cost per Cost of Future
M 202 1
Projected Increase in EDUs 599 605 612 619 626 660 6,291
Water Supply GPD 188,685 190,575 192,780 194,985 197,190 207,900 1,981,665 $1.05 0 : 0
Water Transmission EDUs 599 605 612 619 626 660 6,291 $1,198.95
Wate Storage GPD 295,906 298,870 302,328 305,786 309,244 326,040 3,107,754 $1.27
Water Development GPD 188,685 190,575 192,780 194,985 197,190 207,900 1,981,665 $0.62
Water Support Facilities GPD 188,6851 190,5751 192,7801 194,9851 197,1901 207,9001 1,981,6651 $0.07
Total Cost of Growth NOR M11-r7m,
TischlerBise 21
FISCAL I ECONOMIC I PLANNING
.:,
.:,, , Water Impact Fees Projected Revenue ---
EA1W
Total Cost 10-Year Growth Cost
Water Wells/Supply $2,080,748 $2,080,748
Water Transmission $7,542,594 $7,542,594
Water Storage $3,946,848 $3,946,848
Water Development $2,610,000 $1,228,632
Water Support Facilities $1,420,267 $138,717
Total Expenditures $17,600,457 $14,937,539
Projected Development Impact Fee Revenue
Year mn,
Base 2019 55,431
Year 1 2020 56,030
Year 2 2021 56,635
Year 3 2022 57,247
Year 4 2023 57,866
Year 5 2024 58,492
Year 6 2025 59,124
Year 7 2026 59,763
Year 8 2027 60,409
Year 9 2028 61,062
Year 10 2029 61,722
10-Year Increase 6,291
Projected Revenue => $13,368,375
Projected Growth Cost => $14,937,539 TischlerBise 22
1 1—— 1 ECONOMIC I PLANNING
Non-Impact Fee Funding => ($1,569,164)
Wastewater Development Impact Fees
,,�..f '��it # � �.! f y ''��1',+n.�{"��•f�1�,�,+r,r� ;y�sr�°. i +�. � ';ff Y�r• �I r�.�I'�,}�1sr, �' ;` � �ij••�
TischlerB�s ' ,ra
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Wastewater Levels of Service
,-glut
Test Year 2018 Annual Sales Avg. Customers Avg.Annual Gallons per Avg. GPD
(1,000 gal) Customer
Resi denti a 1 1,929,941 30,088 64,143 176
Small Commercial 415,580 2,427 171,232 469
Large Commerci a 1 906,638 357 2,539,602 6,958
Industrial 201,715 4 50,428,750 138,161
Industrial High-Strength 43,693 3 14,564,333 39,902
Winterhaven 3,080 1 3,080,000 8,438
West Mesa Park-Industrial 15,859 2 7,929,500 21,725
County/Village 39,013 2 191506,500 53,442
Mesilla 33,804 1 33,804,000 92,614
Strength Charges 0 6 0 0
Total/Average 3,589,323 32,891 109,128 299
Summary Annual Sales Avg. Customers Avg.Annual Gallons per Avg. GPD
1000 al Customer
Resi denti a 1 1,929,941 30,088 64,143
Nonresidential/Other 1,659,382 2,803 592,002 1,622
Total/Average 3,589,323 32,891 109,128 299
Source: Los Cruces Utilities, Wastewater Utility Rote Review, Test Year 2018
TischlerBise 24
FISCAL I ECONOMIC I PLANNING
.:_
Wastewater Ratio of Service Units to Development Unitq-.A
Wastewater
ResidentialDevelopment
Number of Persons per Single Family Unit (EDU) 2.43
Average Gallons per Day per EDU 176
Average Gallons per Person 72
Sources:US Census;Las Cruces Utilities; TischlerBise
DevelopmentE All
Capacity Capacity Capacity Ratio Ratio Ratio
Kamstrup Elster Master Meter Kamstrup Elster Master Meter
Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra
5/8 x 3/4" 25 1.00
3/4 32 1.28
1" 55 2.20
1-1/2" 120 4.80
2" 160 220 250 6.40 8.80 10.00
3" 550 500 22.00 20.00
4" 880 1000 35.20 40.00
6" 1400 1600 56.00 64.00
8" 3500 2800 140.00 112.00
25
Source:Las Cruces Utilities
Wastewater Current Usage
Land Use Class Customers* Gallons per Estd. Wastewater
Customer per Da ^ Demand GPD
Res i denti a 1 31,507 176 5,545,232
Nonresidential 3,454 1,622 5,602,388
Total 34,961 11,147,620
* FY19 Actual Customer Count, Las Cruces Utilities
City of Las Cruces Utilities, Wastewater Utility Rate Review, Test Year 2018
TISChIerBise 26
FISCAL I ECONOMIC I PLANNING
Wastewater Pro 1 Demand
Projected EDUs
•
• • Grand Total3'
•
• • . . R91
• •
•
RBase19 31,507 3,454 34,961 11,147,620 63,339
1 2020 31,878 3,487 35,364 403 1181016 403 118,016 11,265,636 671 671 641010
2 2021 32,253 3,519 35,772 408 1191309 811 237,326 11,384,946 678 1,349 64,688
3 2022 32,633 3,552 36,185 413 1201554 1,224 357,880 11,505,500 685 2,034 65,373
4 2023 33,017 3,586 36,603 418 1211857 1,642 479,737 11,627,357 692 2,726 66,065
5 2024 33,406 3,620 37,025 423 1231218 2,064 602,955 11,750,575 700 3,426 66,765
6 2025 33,799 3,654 37,453 427 1241477 2,492 727,431 11,875,051 707 4,133 67,472
7 2026 34,197 3,688 37,885 432 1251847 2,924 853,278 12,000,898 715 4,848 68,187
8 2027 34,599 3,723 38,322 437 1271169 3,361 980,447 12,128,067 723 5,571 68,910
9 2028 35,007 3,758 38,765 442 128,545 3 804 1,108,992 12,256,612 730 6,301 69,640
10 2029 35,419 3,793 39,212 447 129,924 4,251 1,238,916 12,386,536 738 7,039 70,378
Source:Tischlereise, using Average Day Demand factors and projected development shown in the Land Use Assumptions.
TischlerBise 27
FISCAL I ECONOMIC I PLANNING
Capacity •
Jacob A Hands WWTP (JHWWTP) 13.5
West Mesa Industrial Park Treatment Facility 0.4
East Mesa Water Reclamation Facility 1.0
Tota 1 14.9
Sources: Los Cruces Utilities; Water and Wastewater Impact Fee Study, 2013,
City of Los Cruces Water and Wastewater System Master Plan Update, 2008.
TischlerBise 28
FISCAL I ECONOMIC I PLANNING
Wastewater Treatment Cost
Wastewater Facility Costper •
JHWWTP Expansion (Capital Cost) $3.30
JHWWTP Expansion (Interest Cost) $1.49
Total $4.79
[11 City of Las Cruces Water and Wastewater Impact Fee Study, 2013; updated
to 2019 dollars with ENR Construction Cost Index forsouthwest city (Dallas, TX).
TischlerBise 29
FISCAL I ECONOMIC I PLANNING
--
'Y
,Flu Wastewater Collection
Wastewater Collection Lines
Line Size Linear Feet 2013 Cost/Lin. Ft. 2019 Cost/Lin. Ft.
10" 172,316 $145.75 $159.56 $27,494,240
12" 152,503 $158.01 $172.98 $26,379,744
15" 114,027 $190.70 $208.76 $23,804,743
16" 31,586 $197.33 $216.02 $6,823,218
18" 17,222 $222.03 $243.06 $4,186,065
24" 6,379 $233.59 $255.72 $1,631,167
30" 18,749 $273.23 $299.11 $5,607,939
33" 5,499 $273.23 $299.11 $1,644,741
34" 2,167 $273.23 $299.11 $648,186
36" 10,831 $397.16 $434.78 $4,709,105
42" 19,727 $495.42 $542.35 $10,699,027
Total 551,005 $206.22 $113,628,175
Current Number of Wastewater EDUs 63,339
Cost per EDU $1,793.98
Source:Las Cruces Utilities;City of Las Cruces Water and Wastewater Impact Fee Study, 2013;cost updated to 2019 dollars
using Engineering News-Record(ENR) Construction Cost Index forsouthwest city(Dallas, TX).
TischlerBise 30
FISCAL I ECONOMIC I PLANNING
.i Wastewater
Il , Zj
Wastewater Lift Stations
Lift Station No.of Pumps Capacity(gpm) Cost(2013)*
Boutz 1A 1 900 $511,623 $560,089
Boutz 2A 2 2100 $1,193,787 $1,306,874
Brown 2 323 $183,616 $201,010
Carver(Rios Encantados) 2 111 $63,100 $69,078
Chisholm 2 160 $90,955 $99,571
Frenger 2 950 $540,047 $591,205
Mesilla Park 2 300 $170,541 $186,696
Sandhill 2 1000 $568,470 $622,321
Shadow Run 2 90 $51,162 $56,009
Tortugas 2 240 $136,433 $149,357
University 3 1200 $454,776 $746,785
Inspiration 2 750 $426,353 $466,741
Sanctuary 2 300 $170,541 $186,696
Holman 2 185 $0 $115,129
28 8609 $4,561,404 $5,357,559
Current Number of Wastewater EDUs 63,339
Cost per EDU $84.59
*Reflects inventory and asset value at time of 2013Impact Fee Study
A Boutz 1 and 2 were transposed in the 2013Impact Fee Study
Sources:Las Cruces Utilities;City of Las Cruces Water and Wastewater Impact Fee Study,2013;cost updated to 2019 dollars
using Engineering News-Record(ENR)Construction Cost Index for southwest city(Dallas, TX).City of Las Cruces Water and
Wastewater System Master Plan Update,2008.
TISchIerBise 31
FISCAL I ECONOMIC I PLANNING
Wastewater Support Facilities
' • • %Wastewater* $ Wastewater
Water Quality Laboratory (WQL) 2019 $4,734,222 70% $3,313,956
Total $4,734,222 $3,313,956
Projected Total Wastewater Demand (GPD) (20-Year) 13,763,984
Cost per GPD $0.24
* Remainder serves Water
Source: Las Cruces Utilities; TischlerBise projections.
TischlerBise 32
FISCAL I ECONOMIC I PLANNING
TOTALWastewater Debt Service Credit
CapacityYear
•D Gallon
2020 $267,090 11,265,636 $0.024
2021 $266,658 11,384,946 $0.023
2022 $266,971 11,505,500 $0.023
2023 $267,133 11,627,357 $0.023
2024 $265,708 11,750,575 $0.023
2025 $266,180 11,875,051 $0.022
2026 $266,892 12,000,898 $0.022
2027 $175,886 12,128,067 $0.015
2028 $164,573 12,256,612 $0.013
2029 $164,438 12,386,536 $0.013
2030 $164,874 12,517,837 $0.013
2031 $164,211 12,650,530 $0.013
2032 $152,104 12,784,630 $0.012
2033 $152,299 12,920,151 $0.012
2034 $152,217 13,057,109 $0.012
2035 $128,677 13,195,518 $0.010
2036 $34,781 13,335,395 $0.003
2037 $34,666 13,476,754 $0.003
2038 $0 13,619,612 $0.000
2039 $0 13,763,984 $0.000
Total $3,355,356 $0.278
Discount Rate 4.0% TischlerBise 33
Net Present Value $0.21 FISCAL I ECONOMIC I PLANNING
Source:Las Cruces Utilities;Tischler8ise analysis
2 .:, Proposed Wastewater Impact Fees
1W
1A.
Cost per Gallon of Wastewater Gallons Wastewater Capital
Capacity per Day per EDU Cost per EDU
Wastewater Treatment $4.791 176 $843.04
Wastewater Collection System $1,878.57
Wastewater Support Facilities $0.24 176 $42.24
Subtotal $2,763.85
Wastewater Credit 1 ($0.21) 176 k$36.96)
Wastewater Capital Cost per EDU => $2,726.89
Wastewater Capital Cost per EDU (Truncated) =>
Proposed Fees: 5/8 or 3/4 Inch Meter
Meter Size (inches) Capacity Ratio Proposed
. -
Wastewater Fee
0.625 (5/8) or 0.75 (3/4) 1.00 $1,363 $545 $818
Note: The above reflects the City of Las Cruces' current policy of
allocating payment of the fee—to the builder (50 percent),
customer (20 percent), and rate base (30 percent). This allocation
is a policy decision and does not reflect an impact fee requirement
or a recommendation of the consultant. TischlerBise 34
'_1SCAL I ECONOMIC I PLANNING
Proposed Wastewater Impact
Fee by Meter Size and Type
Wastewater
Capacity Capacity Capacity Ratio Ratio Ratio Fee Fee Fee
Meter Size Kamstrup Elster Master Meter Kamstrup Elster Master Meter Kamstrup Elster Master Meter
Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra Flow IQ EVO Q4 Octave Ultra
5/8 x 3/4" 25 1.00 $2,726.00
3/4 32 1.28 $3,489.00
1" 55 2.20 $5,997.00
1-1/2" 120 4.80 $13,084.00
2" 160 220 250 6.40 8.80 10.00 $17,446.00 $23,988.00 $27,260.00
3" 550 500 22.00 20.00 $59,972.00 $54,520.00
4" 880 1000 35.20 40.00 $95,955.00 $109,040.00
6" 1400 1600 56.00 64.00 $152,656.00 $174,464.00
8" 3500 2800 140.00 112.00 $381,640.00 $305,312.00
Source:Los Cruces Utilities
TischlerBise 35
FISCAL I ECONOMIC I PLANNING
�� �=� � Change in Wastewater Impact Fees
■61 i k
Proposed 5/8 or
Meter Size (inches) Capacity RatioIipl
e to RateBase0% 0% 30%• . . • •• •
Current Fees: 5/8 or 3/4 Inch Meter
Meter Size (inches) Capacity Ratio Current Fee to Builder Customer Fee to Rate
Change in Fees: 5/8
Wastewater Fee Surcharge Base
50% 20% 30%
or
Meter Size p
Increase or Fee to Builder Customer Fee to Rate
(Decrease) in Fees Surcharge Base
50% 20% 30%
P. • • •
Increase from - 2013 Impact - - • - • cost factors
• addition of • • • rt facilities in 2019 Impact Fee Study
update.
-,Flu Wastewater System Growth-Related Needs
iEA
Fjt .. -_ -_ -Ago,
.
Wastewater Standards
Wastewater Treatment 176.00 gallons per EDU
Wastewater Collection System $1,878.57 cost per EDU
Wastewater Support Facilities 176.00 gallons per EDU multi-year interval»
Wastewater Needs:
I 10-Yea Cost per
MM 10-year it
City of Las Cruces I
Projected Increase in EDUs 671 678 685 692 700 738 7,039
Wastewater Treatment GPD 11 ,,096 119,328 120,560 121,792 123,200 129,888 1,238,864 $4.79 '
Wastewater Collection EDUs 671 678 685 692 700 738 7,039 $1,878.57
Wastewater Support Facilities GPD 118,096 119,328 120,560 121,792 123,200 129,888 1,238,864 $0.24
Total Cost of Growth =
TischlerBise 37
FISCAL I ECONOMIC I PLANNING
.i
Total Cost, .Wastewater Impact Fees Projected Revenue
Wastewater Treatment $5,934,159 $5,934,159
Wastewater Collection System $13,223,254 $13,223,254
Wastewater Support Facilities $3,313,956 $297,327
Total Expenditures $22,471,368 $19,454,740
Projected Development Impact Fee Revenue
Year EDU
Base 2019 63,339
Year 1 2020 64,010
Year 2 2021 64,688
Year 3 2022 65,373
Year 4 2023 66,065
Year 5 2024 66,765
Year 6 2025 67,472
Year 7 2026 68,187
Year 8 2027 68,910
Year 9 2028 69,640
Year 10 2029 70,378
10-Year Increase 7,039
Projected Revenue => $19,188,314
• Projected Expenditures => $19,454,74In TischlerBise 38
F15CAL ECONOMIC PLANNING
Non-Impact Fee Funding => ($266,426)
Questions/Discussion
Thankyou
.
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F15CAL I EC O 6MIC E PLANNIN j
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