HomeMy WebLinkAbout2011-11-15 Utilities MinutesCitv of Tukwila
Utilities Committee
UTILITIES COMMITTEE Meeting Minutes
November 15, 2011— 5:00 p.m. Conference Room 1
PRESENT
Councilmembers: De'Sean Quinn, Chair; Dennis Robertson and Kathy Hougardy
Staff: Bob Giberson, Frank Iriarte, Robin Tischmak, Pat Brodin, Ryan Larson, Mike Cusick,
David Cline, Gail Labanara and Kimberly Matej
CALL TO ORDER: The meeting was called to order at 5:02p.m.
I. PRESENTATIONS
No presentations.
II. BUSINESS AGENDA
A. Consultant Selection and Agreement: 2012 Annual Small Drainage ProLyram
Staff is seeking approval to enter into a consultant agreement with KPG, Inc. in the amount of $64,945.76
for design services for the City's 2012 Annual Small Drainage Program.
KPG was chosen from the City's consultant roster (Municipal Research and Services Center Rosters), and
has designed the Annual Small Drainage Program since 1991. Staff commented that construction of two
2011 Small Drainage projects were delayed, and the construction of these 2011 projects will be combined
with construction of the 2012 projects.
The five projects listed below have been identified for construction in 2012 through maintenance and citizen
concerns:
Gilliam Creek Southcenter Boulevard Street crossing
Pipe repairs near the intersection of South 128"' Street and 37` Avenue South
Tukwila Parkway OutfalI Pipe
Ryan Hill Pipe repairs
Fort Dent Outfall improvements
Through this design services agreement, KPG, Inc. will be able to tell the City the most cost effective way
to approach and construct these projects. UNANIMOUS APPROVAL.FORWARD TO NOVEMBER 28
COW FOR DISCUSSION.
B. Interlocal Contract Amendment: Cascade Water Alliance
Staff is seeking Council approval to amend the current interlocal agreement with Cascade Water Alliance
(CWA) which changes the calculation of administrative dues /costs from $1,000,000 or 5% of CWA's
annual revenue requirement to 9 It also allows this limit to be amended by a 65% dual majority vote of
the CWA Board. A dual majority requires a majority of votes according to two separate criteria in this
case it refers to a vote of the members and a vote based on demand shares.
As mentioned above, this amendment essentially reallocates member costs based on demand shares.
Tukwila will see an increase of approximately $60,000 in annual administrative costs which is a pass
through directly onto the ratepayers. The Committee requested that staff include the original administrative
costs along with the new costs in the memo that goes to full Council. They also requested additional
information from CWA that would explain the implications of the amendment in greater detail.
It was suggested that the Committee consider reviewing CWA Board minutes when information and/or
decisions pertain to Tukwila. UNANIMOUS APPROVAL. FORWARD TO NOVEMBER 28 COW
FOR DISCUSSION.
Utilities Committee Minutes
November 15.2011— Paoe 2
C. 2012 Water. Sewer and Surface Water Rates
Staff is seeking Council approval of a resolution adopting a new Public Works Fee Schedule which will
reflect increased water, sewer, and surface water rates for 2012.
Water. In order to maintain current levels of service and lessen the impact of future increases to purchased
water, staff is recommending an increase to the minimum water meter charge from $10.00 to $12.00 for
residential customers and for commercial /industrial, from $30.00 $480.00 to $40.00 $575.00 (see draft
resolution for specific service charges). Water revenue remains flat due to the economic downturn and
decreased consumption. Increasing the base rate is the most logical cost increase implementation since
consumption levels are not changing. A portion of the increase provides for continuing operational and
capital needs. Additionally, Cascade Water Alliance rates are projected to increase 9.2% in 2012.
Sewer. King County will not be increasing their monthly sewer rate; however, there will be an increase in
their sewer capacity charge for new sewer connections made in 2012 for next 15 years. Staff is proposing a
20% increase for City sewer fees with residential customers increasing from $16.06 to $19.26 and
commercial/industrial increasing from $28.12 to $33.74. The Sewer Enterprise Fund still remains low with
the impact of the interfund utility tax and the working capital reserve fund. However, with the rate
comparison with adjoining cities, Tukwila remains in the middle of the range.
Surface Water. Staff is proposing a 10% increase to surface water fees in 2012. Surface Water fees would
increase from $93.00 to $102.00 per year for residential parcels. Commercial /industrial properties would
increase from $111.98 $935.55 to $123.17 to $1,029.10. Even with the increase, Tukwila surface water
rates remain low compared with other cities. UNANIMOUS APPROVAL. FORWARD TO
NOVEMBER 28 COW FOR DISCUSSION.
III. MISCELLANEOUS
Meeting adjourned at 5:26 p.m.
Next meeting: Per pending 2012 Committee Calendar
Committee Chair Approval
Minutes by KAM. Reviewed by GL.