HomeMy WebLinkAboutUtilities 2007-01-17 Item 3D - Discussion - Water District 125 Foster Point Pipeline Transfer
INFORMATION MEMO
To:
From:
Date:
Subject:
Mayor Mullet
Public Works Director
January 8, 2007
Water District 125 Infrastructure Transfer - Foster Point
ISSUE
Assumption of Water District 125 local infrastructure in the Foster and Foster Point areas.
BACKGROUND
Water District 125 serves 5 customers in the Foster Point area and another 91 customers in the
Foster neighborhood just east ofl-5 and west of 53rd Avenue South lying south ofthe Metro Park
and Ride. Under the City's Allentown/Foster Point water and sewer improvements, water meters
serving Tukwila customers on Foster Point were connected to the Water District 125 system.
This system was built in 1994 and currently supplies water from Skyway to both Foster and
Foster Point. In 2006, Council recommended the buyout and assumption of this portion of Water
District 125 for $250,000 (refer to the July 05,2006 Utilities Committee). Water District 125
established the asset value and is in agreement that the infrastructure and customers in this
portion of Tukwila with the exception of Baker Commodities can be transferred to Tukwila. This
transfer was part of the clean-up items laid out by the Skyway Water System Coordination Plan.
The transfer of the pipes, meters, services, valves, and hydrants from Water District 125 to the
City of Tukwila requires a process that will amend each of the agency's wholesale water supply
contracts (plant listing attached with a value of $243,641). Water District 125 as a full service
wholesale water utility must receive approval from the City of Seattle. The City of Tukwila will
need to bring this item to the Cascade Water Alliance Board. The historical consumption for
transferred customers must be added to the Cascade block in the CW A Take or Pay contract with
Seattle. The agencies are currently crafting a transfer agreement that defmes the infrastructure
assets, customer listing, and consumption base.
RECOMMENDATION
Information and discussion only.
PB:ad
attacments: PACE Memorandum
PACE Valuation
UC Minutes 07-05-06
(p:A1keIUC 011607 WD 125)
;1
Jun 13 06 08:45a
Penhallegon Associates
425-827-5043
p.2
MEMORANDUM
From:
June 5, 2006
File
Dave Hutley
Foster Point Pipe Valuations
Date:
To:
SubJect:
The Foster Point water facility valuations originally developed in 2004 have been updated to reflect
current conditions as of this date. The original 2004 valuations were developed as follows:
. Where known, the original construction costs for each individual project were inserted into
the table.. A factor of20% was added to reflect design, survey, inspection, etc.
. In those instances where the original construction cost was not known or could not be
determined, an estimate of the probably current construction cost was prepared using current
average consnuction costs per lineal foot of various sizes of pipe. This cost was then
translated into an estimated construction cost for the year of construction using the
Engineering News Record Construction Cost Index (CCI) for that year and the current CCL
. The project costs were depreciated over a period of 50 years using straight-line depreciation.
. An estimated current value was arrived at by multiplying the yearly depreciation cost by the
number of years since the facility was constructed and deducting that from the original or
estimated construction cost
In the current valuation update, the numbers used to estimate current constlUction costs were
adjusted to reflect current conditions. (These are'significantly higher than in 2004.) This produced
higher numbers for the estimated construction costs for the year of construction and also higher
yearly depreciation values. The end result is that, even though two years of depreciation have been
added, the estimated CUlTent value of the facilities is slightly higher than in 2004.
P:\P03\Q3111 \doc\Memo to Filll &-5-06.doc
-~=~
CPACE
PACE Engineers, Inc.
11255 Kirkland Way, Suite 300 j Q
Kirkland, WA 98033 0
Phone: 425.827.2014 Fax: 425.827.5043
Foster Point
Water facility Valuation
King County Water District #125
TER POINT Es timated CO
SOS VALUATIO ti mated CurCer►t tn
WATER FACILITY VAL Tt CT NO. Estimated Yearly m
Constructed Value
G COUNTY wA Original Current 2 Year Cost Depreciation L 8
KING
Year ENR Index Cost i Project Cost $290\ e 41�
Constructed Index $33,713,
$14,500 $861„ r
�acillty 4563 $7q,300 $43,052_ $4,689.
1985 $139
4563 $6,953 $136,0 w
1965 $12,0 $3,400 m
Foster Point Bridge Casin�4 Installation 08 86 2'i 456 $30,40 4,689.
Main Replacement 1985 a
Foster Point Bridge M 6087 $7,546 1996.- $171.
Tukwila Interne $40,0
Main Replacement 59 1994 0
1996 Water M 8 ,575 $23,343, 8065 0
e nts 94 -1,
51st Ave. S. 2000 $130,000 3 a,
1994 Main Replacement 1st Ave S 1408 $3,002 c+
S. 5 1970 $24,000 $60 $71 7 m
ents 139th St.
Service Replacements 985 $4
S. Ito 53rd to interurban 1964 $1$4
1300 LF 6," in 52nd Ave. S. $g,177.
St. 52nd to 53rd Ave S. 1932 $30,000 $122 4,879
4" in S. 137th
300 LF 4' 2409 $6,1 $5,142
137th Ave. 56th Ave S 1975 $20,Dp $550
1000 LF 2„ in. S. 143rd St. $27 ,517
CO
$243
S. 141st to S. 1975 2409 000,
in 52nd S $220,
600 LF 2 Ave. S. 985. Total N
j 142nd St. 52nd to 53rd A 1 g64
250 LF 4 ►n S. 144th St.
S. 137th to S. C
2200 LF 4" in 53rd Ave. S
ement, etc.
ection, construction rr►a 125tLF for 4 $145lLF for 6" 2005,
survey, insP f51LF for 2
have been prepared.
Current index is 8459 as of
percent to reflect cast n' �NR CGi indexes.
have been increased by 20 ct costs for current construction
construction casts constructed year casts are determined using 1 Known final costs are not known, 2 For protects where original year costs have be Value as of 200
w h er e currenth .Gee depreciatio year of construction.
3 For projects ear, e c
4 ASSUm const 0 uc year cost minus y ear depreciation since Y
5 Takes
C\ p03 \03111\doc'Revised Foster Point Valuation.xls
Utilities Committee
July 5, 2006 - 5:00 p.m.
Present: Jim Haggerton, Chair; and Pam Linder.
Excused: Verna Griffin
Jim Morrow; Bob Giberson; Frank Iriate; Gail Labanara; Pat Brodin; Mike Cusick, Diane Jenkins.
Business AQenda
A. 2006 Small DrainaQe ProQram Construction ManaQement Supplemental AQreement
The 2006 Small Drainage Program (SPD) was awarded to Dennis R. Craig Construction on June 19, 2006. City staff is
not available to provide construction management of the project. Therefore, supplemental agreement NO.2 is being
submitted with DMJM Harris for $62,700. Jim H. asked about the first supplemental agreement. Council approved five
consultant companies for blank construction management agreements over a two-year period. The first supplemental
agreement (No.1) with DMJM Harris was for the Allentown/Foster Point project. This agreement for the 2006 SOP is
within budget and is approximately 19% of the construction award amount. Though this percentage is higher than the
average 15% construction management fee, it was felt that the value is based more on the number of days allowed for
construction. Only the work performed will be paid. Unanimous approval; forward to Committee of the Whole.
B. Water District 125/nfrastructure Assessment - Foster Point
How best to serve the customer's water needs in the Foster Point area, in accordance with the Growth Management Act
(GMA), is being explored. It was pointed out that the City of Tukwila assumed the former Water District 25 system in
Allentown, Foster Point, and Campbell Hill areas in order to correct deficiencies and ensure sufficient fire flow. There
are similar concerns for Water District 125. Water District 125 serves five residential services in Foster Point and 91
~.\.~~ ~.' water customers from a distribution pipe west of Interurban/east of 1-5. Recently, the City embarked to make water and
~ sewer improvements in Allentown/Foster Point. All water services in Foster Point will be transferred to Water District's
125 newer main. This means Tukwila customers would be supplied water wholesale through another agency's system.
There are concerns related to GMA in terms of how an area is planned and who should provide utility services. There
are three options to alleviate these concerns and the third option is preferred for the acquisition of the areas. The
consensus from committee was to proceed in this direction. It is estimated that it would cost approximately $250,000 for
this acquisition. Jim H. asked about 125's infrastructure. Pat highlighted the length and dimensions of the pipes, water
mains, hydrants, etc. Upon acquisition, the deficiencies and fire flow issues could then be addressed. Also, the City
could provide coordinated responses and be more fully prepared for emergency situations. Water District 125 does not
wish to consider transferring Baker Commodities (the rendering facility) at this time. The next step would be to proceed
with the development of a memorandum of understanding (MOU) and include the improvements in the Capital
Improvement Program (CIP) to correct deficiencies. Discussion Only.
Old Business
Pam thanked city staff for responding to citizen's concerns on the Allentown Project, specifically along 42rld Ave S. She
also asked what is happening on S 144lh Street. The City has met with Seattle City Light and expressed displeasure
with the progress that they are making.
Jim H. asked for an update on public works projects. Some of the projects include: the Allentown/Foster Point sewer
project; Cascade View drainage (substantially complete); Tukwila International Blvd. Phase 2 and 3 (90% of design
phase is complete); S 144th St (Seattle City Light still has to underground - Comcast and Qwest have removed their
equipment. This will be followed by asphalt overlay and bus shelters). Also, bids are being advertised for the 2006
Overlay Program, Boeing Access/East Marginal Way intersection will be next, and preparations are underway for bids
on the Traffic Signal Interconnect Project. Work is continuing on the development of a Local Improvement District (LID)
for Klickitat; it was announced that the City was successful in receiving a $3 million grant for construction on Klickitat.
There will be sewer line improvements at Fort Dent Park as the Family Fun Center is ready to build their final phase,
which is smaller than originally proposed. Flow meters are being installed to monitor capacity for Family Fun Center and
Starfire. It is unknown if there is sufficient capacity at this time; funds may need to be set aside in the CIP. Westfield
Mall - there is a small dip in the sewer line on the north end of the mall that will have to be corrected prior to the Mall
assuming responsibility for the utilities. Southcenter Parkway - the design has been put on hold; Mr. Segale will not go
forward with the annexation unless there is a signed developer's agreement, however, the City cannot proceed with
right-of-way acquisition until the annexation process has been completed. Once these steps have been completed, it
was noted that construction would not begin for 15 months.
Jim H. provided an update on the hiring of a finance director for the Cascade Water Alliance. An offer has been made
and it is assumed that the candidate will begin August 1. Also, he highlighted activities being planned for the National
League of Cities' ITC Steering Committee coming to Tukwila September 14-16.
Adjournment: 5:50 p.m.
0'1/- Committee Chair Approval
~J. Reviewed by GL.
~o