HomeMy WebLinkAboutItem 12 Ratification of the Metropolitan Wastewater Management Commission (MWMC) FY 2016-17 Regional Wastewater Program Budget and Capital Improvement Program AGENDA ITEM SUMMARY Meeting Date: 5/2/2016
Meeting Type: Regular Meeting
Staff Contact/Dept.: Matt Stouder/DPW
Staff Phone No: 541-736-1006
Estimated Time: 10 Minutes
S P R I N G F I E L D
C I T Y C O U N C I L
Council Goals: Provide Financially
Responsible and
Innovative Government
Services
ITEM TITLE: RATIFICATION OF THE METROPOLITAN WASTEWATER MANAGEMENT
COMMISSION (MWMC) FY 2016-17 REGIONAL WASTEWATER PROGRAM
BUDGET AND CAPITAL IMPROVEMENT PROGRAM (CIP).
ACTION
REQUESTED:
Adopt a motion ratifying the FY 2016-17 Regional Wastewater Program Budget
and Capital Improvement Program (CIP).
ISSUE
STATEMENT:
As provided for in the MWMC Intergovernmental Agreement (IGA), the City of
Springfield, the City of Eugene, and Lane County, as governing bodies, must ratify
the annual MWMC’s Budget and CIP.
ATTACHMENTS: 1. The Regional Wastewater Program Budget and Capital Improvements Program
(CIP) for FY 2016-17, as approved by MWMC
DISCUSSION/
FINANCIAL
IMPACT:
The FY 2016-17 (FY 16-17) Regional Wastewater (RWP) Budget and CIP document
was approved by the MWMC on April 8, 2016. In preparing and reviewing the Budget
and CIP, the MWMC convened three work sessions and a public hearing prior to taking
action to adopt the FY 16-17 MWMC Budget. The FY 16-17 Budget funds all
operations, administrative services, and capital projects planned for the Regional
Wastewater Facilities. The approved operating budget is $17.7 million, which includes
a total increase of 2.0% ($351,158) in FY 16-17, when compared to the prior year.
The CIP outlines and describes the capital projects planned for the next five years. The
FY 16-17 RWP Budget and CIP document reflects a continued focus on the completion
of facilities upgrades, plant performance improvements, and operations and
maintenance activities to provide wastewater treatment for a growing community
through 2025 in a manner that protects the public’s health and safety, and the
environment. The Commission took a corresponding action to adopt a 2.0% increase in
regional wastewater user charges in order to fully fund the Budget and CIP. On May 2,
2016 the City Council will hold a public hearing on the FY 16-17 regional rates within
the City. Following the public hearing, Council is scheduled to adopt a resolution to set
the FY 16-17 regional user fee rates within the City of Springfield.
In accordance with the IGA, the MWMC contracts with the City of Eugene for
operations and maintenance services, and with the City of Springfield for administrative
services. The attached budget document provides regional program and budget
summaries as well as detailed budgets for services provided by Eugene and Springfield.
The budget document also provides information about how the RWP activities are
driven by the MWMC established goals and performance measures.
The FY 16-17 RWP Budget and CIP must be approved by the MWMC and ratified by
Lane County, the cities of Eugene and Springfield, and then finally adopted by the
MWMC, prior to the beginning of the next fiscal year (July 1, 2016). The Eugene City
Council is scheduled to ratify the MWMC Budget and CIP on May 9, 2016, and the
Board of Commissioners is scheduled to ratify the MWMC Budget and CIP on May 17,
2016, with MWMC final budget adoption on June 10, 2016.
Preliminary
REGIONAL WASTEWATER PROGRAM BUDGET
AND CAPITAL IMPROVEMENTS PROGRAM
Fiscal Year 2016-17
Preliminary
REGIONAL WASTEWATER PROGRAM
BUDGET
and
CAPITAL IMPROVEMENTS PROGRAM
Fiscal Year 2016-17
The Metropolitan Wastewater Management Commission adopted the Operating Budget and Capital
Improvements Program (CIP) for FY 16-17 on April 8, 2016. The Budget and CIP are currently
scheduled for consideration and ratification by the Springfield City Council on May 2, 2016, the
Eugene City Council on May 9, 2016, and the Lane County Board of Commissioners on May 17,
2016. The Commission is scheduled for final consideration and ratification of the Budget and CIP
on June 10, 2016.
COMMISSION MEMBERS:
Joe Pishioneri, President (Springfield)
Bill Inge, Vice President (Lane County)
George Brown (Eugene)
Doug Keeler (Springfield)
Hilary Loud, (Eugene)
Walt Meyer (Eugene)
Faye Stewart (Lane County)
STAFF:
Anette Spickard, MWMC Executive Officer/Springfield Development and Public Works Director
Matthew Stouder, MWMC General Manager/Springfield Environmental Services Manager
Michelle Cahill, Eugene Wastewater Division Director
Robert Duey, MWMC Finance Officer/Springfield Finance Director
www.mwmcpartners.org
TABLE OF CONTENTS
Metropolitan Wastewater Management Commission Overview
METROPOLITAN WASTEWATER MANAGEMENT COMMISSION
Preliminary FY 16-17 BUDGET AND CAPITAL IMPROVEMENTS PROGRAM
for the
REGIONAL WASTEWATER PROGRAM
TABLE OF CONTENTS
PROGRAM OVERVIEW
Budget Message ..................................................................................................................... 1
Acronyms and Explanations .................................................................................................... 3
Regional Wastewater Program Overview .................................................................... .......... 5
Exhibit 1: Interagency Coordination Structure ........................................................... .. 11
BUDGET SUMMARY
Regional Wastewater Program Budget and Program Summary .......................................... 12
Exhibit 2: Regional Operating Budget Summary ........................................................... 12
Exhibit 3: Line Item Summary by Program Area ........................................................... 14
Exhibit 4: Budget Summary and Comparison ................................................................ 15
RESERVE FUNDS
Regional Wastewater Program Reserve Funds ...................................................................... 19
Exhibit 5: Operating Reserves Line Item Budget ........................................................... 20
OPERATING PROGRAMS
Regional Wastewater Program Staffing ................................................................................. 23
Exhibit 6: Regional Wastewater Program Organizational Chart .................................... 23
Exhibit 7: Regional Wastewater Program Position Summary ........................................ 24
Springfield Program and Budget Detail ................................................................................. 26
Exhibit 8: Springfield Administration Program Budget Summary................................. 29
Exhibit 9: Springfield Administration Line Item Summary ........................................... 30
Eugene Program and Budget Detail ....................................................................................... 31
Exhibit 10: Eugene Operations & Maintenance Program Budget Summary .................. 35
Exhibit 11: Eugene Operations & Maintenance Line Item Summary ............................. 36
CAPITAL PROGRAM
Regional Wastewater Capital Improvements Program .......................................................... 37
Exhibit 12: Capital Program Budget Summary ............................................................... 41
Exhibit 13: Capital Program 5-Year Plan ........................................................................ 45
CAPITAL PROJECT DETAIL
Capital Program Project Detail Sheets ................................................................................... 46
PROGRAM OVERVIEW
Metropolitan Wastewater Management Commission Budget Message
Page 1 FY 16-17 BUDGET AND CIP
BUDGET MESSAGE
Members of the Metropolitan Wastewater Management Commission (MWMC)
MWMCs’ Customers and Partnering Agencies
We are pleased to present the Metropolitan Wastewater Management Commission’s (MWMC)
budget for fiscal year 2016-17 (FY 16-17). This budget funds operations, administration, and
capital projects planned for the Regional Wastewater Program (RWP). The MWMC
administration and Capital Improvements Program (CIP) components of the budget are reflected
in the City of Springfield’s RWP budget. The operations, maintenance, equipment replacement,
and major rehabilitation components are reflected in the City of Eugene’s RWP budget. The
Cities’ Industrial Pretreatment Programs, managed locally in compliance with the MWMC
Model Ordinance, also are included in the RWP budget.
The MWMC has been quietly providing high-quality wastewater services to the metropolitan
area for more than 30 years. The combined Eugene-Springfield population is 220,840, with the
MWMC providing wastewater services for approximately 77,200 residential and commercial
service connections to the Regional Wastewater Facilities. The MWMC is committed to clean
water, the community’s health, and the local environment.
This budget reflects a continued focus on design and construction of capital improvements
planned to ensure that operation of the Regional Wastewater Facilities meets environmental
regulations, and that adequate capacity will be provided to meet the needs of a growing service
area. The Capital budget for FY 16-17 is $36,941,600. Approximately $20 million of the total
capital budget will not be spent in FY 16-17, but is included to enable MWMC to commit to
contracts that will occur in FY 16-17 for projects that span multiple years.
MetropolitanWastewater ManagementCommission BudgetMessage
TheFY16-17RWPOperatingBudgetforpersonnelservices, materialsandservicesandcapital
outlayexpenseis $17,700,630,reflectinga2%increasewhencomparedtotheprioryearadopted
budget. TheFY16-17budgetincludesDebtServicepaymentsthattotal $5,504,462asscheduled
forrepaymentof$20.8millioninCleanWaterSRFloans,plus$33.25millioninrevenuebonds
issuedin2016tofundtheFacilitiesPlancapitalimprovements. InFY15-16,the2006revenue
bondswereretiredearly, alongwithanadvancerefundingonthe2008revenuebondsforinterest
costsaving, resultinginthe2016revenuebonds. Assuch,thetablebelowreflectsalower
amountinbeginningcash,reservesanddebtserviceexpensesinFY16-17.
REGIONALWASTEWATERPROGRAM
RESOURCEANDEXPENDITURESUMMARY
ADOPTED AMENDEDADOPTED
BUDGETBUDGET BUDGET
2015-162015-162016-17
RESOURCES
Beginning Cash 107,167,940 $110,160,579 $76,342,200
UserFees 30,987,50030,987,500 31,327,500
InternalTransfers 16,878,90421,428,90413,570,191
Miscellaneous1,273,800 1,273,8001,061,110
SystemDevelopmentCharges 1,100,0001,100,0001,200,000
Interest 434,300 434,300403,200
157,842,444 $165,385,083 $123,904,201
EXPENDITURES
Reserves92,512,921 $36,935,34250,187,318
CapitalProjects 21,938,60444,322,56036,941,600
Internal Transfers 16,878,90421,428,90413,570,191
Operations 13,516,071 13,636,52513,899,707
DebtService9,163,743 44,808,7435,504,462
Administration 3,832,2013,787,0093,800,923
157,842,444 $165,385,083 $123,904,201
ForFY16-17userfeerevenues(includingseptageserviceandSDCcompliancecharges)are
projectedat$31,327,500. Thislevelofrevenueisbasedonarecommended2%increasein
regionalwastewateruserfeesinordertocontinuetomeetthenetrevenueobjectives.
Insummary, theFY16-17budgetimplementstheCommission'sadoptedFinancialPlan
policies, fundingoperationsandadministrationsufficientlytomaintainexistinglevelsofservice
andtomeettheenvironmentalperformancenecessaryforcompliancewiththeNationalPollutant
DischargeEliminationSystem(NPDES)permitissuedtotheMWMCandthetwoCities.
Respectfullysubmitted,
g7tdaf
r• v ,/ Ckth - .A---
AnetteSpickard
MWMCExecutiveOfficer
Page2FY16-17 BUDGETANDCIP
Metropolitan Wastewater Management Commission Acronyms and Explanations
Page 3 FY 16-17 BUDGET AND CIP
ACRONYMS AND EXPLANATIONS
AMCP – Asset Management Capital Program. The AMCP implements the projects and activities
necessary to maintain functionality, lifespan, and effectiveness of the MWMC facility assets on an
ongoing basis. The AMCP is administered by the City of Eugene for the MWMC.
ARRA – American Reinvestment and Recovery Act. This funding was part of the federal
government’s economic stimulus program and issued loans under favorable conditions to
stimulate infrastructure and capital project investment.
BMF – Biosolids Management Facility. The Biosolids Management Facility is an important part
of processing wastewater where biosolids generated from the treatment of wastewater are turned
into nutrient rich, beneficial organic materials.
CIP – Capital Improvements Program. This program implements projects outlined in the 2004
Facilities Plan and includes projects that improve performance, or expand treatment or hydraulic
capacity of existing facilities.
CMOM – Capacity Management and Maintenance Program. The CMOM program addresses wet
weather issues such as inflow and infiltration with the goal to eliminate sanitary sewer overflows
to the extent possible and safeguard the hydraulic capacity of the regional wastewater treatment
facility.
CWSRF – Clean Water State Revolving Fund. The Clean Water State Revolving Fund loan
program is a federal program administered by the Oregon DEQ that provides low-cost loans for
the planning, design and construction of various water pollution control activities. (DEQ)
EMS – Environmental Management System. An EMS is a framework to determine the
environmental impacts of an organization’s business practices and develop strategies to address
those impacts.
ESD – Environmental Services Division. The ESD is a division of the City of Springfield’s
Development and Public Works Department that promotes and protects the community’s health,
safety, and welfare by providing professional leadership in the protection of the local
environment, responsive customer service, and effective administration for the Regional
Wastewater Program.
IGA – Intergovernmental Agreement. Pursuant to ORS 190.010, ORS 190.080, and ORS
190.085, the IGA is an agreement between the cities of Eugene and Springfield and Lane County
that created the MWMC as an entity with the authority to provide resources and support as
defined in the IGA for the Regional Wastewater Program.
Metropolitan Wastewater Management Commission Acronyms and Explanations
Page 4 FY 16-17 BUDGET AND CIP
MWMC – Metropolitan Wastewater Management Commission. The MWMC is the Commission
responsible for the oversight of the Regional Wastewater Program. In this role, the MWMC
protects the health and safety of our local environment by providing high-quality management of
wastewater conveyance and treatment to the Eugene-Springfield community. The Commission is
responsible for the oversight of the Regional Wastewater Program.
NPDES – National Pollutant Discharge Elimination System permit. The NPDES permit program
is administered by the Oregon Department of Environmental Quality (DEQ) in fulfillment of
federal Clean Water Act requirements. The NPDES permit includes planning and technology
requirements as well as numeric limits on effluent water quality.
RWP – Regional Wastewater Program. Under the oversight of the MWMC, the purpose of the
RWP is to protect public health and safety and the environment by providing high quality
wastewater management services to the Eugene-Springfield metropolitan area. The MWMC and
the regional partners are committed to providing these services in a manner that will achieve,
sustain, and promote balance between community, environmental, and economic needs while
meeting customer service expectations.
SDC – System Development Charge. SDCs are charges imposed on development so that
government may recover the capital needed to provide sufficient capacity in infrastructure
systems to accommodate the development.
SRF –Clean Water State Revolving Fund. The Clean Water State Revolving Fund loan program
is a federal program administered by the Oregon DEQ that provides low-cost loans for the
planning, design and construction of various water pollution control activities. (DEQ)
SSO –Sanitary Sewer Overflows. Discharges of raw sewage.
TMDL – Total Maximum Daily Load. The federal Clean Water Act defines Total Maximum
Daily Load as the maximum amount of any pollutant that can be safely assimilated by a waterway
in one day without significant degradation of water quality.
TSS – Total Suspended Solids. Organic and inorganic materials that are suspended in water.
WPCF – Regional Water Pollution Control Facility. The WPCF is a state-of-the-art facility
providing treatment of the wastewater coming from the Eugene/Springfield metropolitan area.
The WPCF is located on River Avenue in Eugene. The treatment plant and 49 pump stations
distributed across Eugene and Springfield operate 24 hours a day, 7 days a week, 365 days a year
to collect and treat wastewater from homes, businesses and industries before returning the cleaned
water, or effluent, to the Willamette River. Through advanced technology and processes, the
facility cleans, on average, up to 30 million gallons of wastewater every day.
WWFMP – Wet Weather Flow Management Plan. This plan evaluated and determined the most
cost-effective combination of collection system and treatment facility upgrades needed to manage
excessive wet weather wastewater flows in the Eugene/Springfield metropolitan area.
Metropolitan Wastewater Management Commission Overview
Page 5 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
OVERVIEW
The Metropolitan Wastewater Management Commission
The Metropolitan Wastewater Management Commission (MWMC) was formed by Eugene,
Springfield, and Lane County through an intergovernmental agreement (IGA) in 1977 to provide
wastewater collection and treatment services for the Eugene-Springfield metropolitan area. The
seven-member Commission is composed of members appointed by the City Councils of Eugene
(3 representatives), Springfield (2 representatives) and the Lane County Board of Commissioners
(2 representatives). Since its inception, the Commission, in accordance with the IGA, has been
responsible for oversight of the Regional Wastewater Program (RWP) including: construction,
maintenance, and operation of the regional sewerage facilities; adoption of financing plans;
adoption of budgets, user fees and connection fees; adoption of minimum standards for industrial
pretreatment and local sewage collection systems; and recommendations for the expansion of
regional facilities to meet future community growth. Staffing and services have been provided in
various ways over the 39 years of MWMC’s existence. Since 1983, the Commission has
contracted with the Cities of Springfield and Eugene for all staffing and services necessary to
maintain and support the RWP. Lane County’s partnership has involved participation on the
Commission and support to the Lane County Metropolitan Wastewater Service District (CSD),
which managed the proceeds and repayment of general obligation bonds issued to construct
RWP facilities.
Regional Wastewater Program Purpose and Key Outcomes
The purpose of the RWP is to protect public health and safety and the environment by providing
high quality wastewater management services to the Eugene-Springfield metropolitan area. The
MWMC and the regional partners are committed to providing these services in a manner that
will achieve, sustain, and promote balance between community, environmental, and economic
needs while meeting customer service expectations. Since the mid-1990s, the Commission and
RWP staff have worked together to identify key outcome areas within which to focus annual
work plan and budget priorities. The FY 16-17 RWP work plans and budget reflect a focus on
the following key outcomes or goals. In carrying out the daily activities of managing the regional
wastewater system, we will strive to achieve and maintain:
1. High environmental standards;
2. Fiscal management that is effective and efficient;
3. A successful intergovernmental partnership;
4. Maximum reliability and useful life of regional assets and infrastructure;
5. Public awareness and understanding of MWMC, the regional wastewater system, and
MWMC’s objectives of maintaining water quality and a sustainable environment.
The Commission believes that these outcomes, if achieved in the long term, will demonstrate
success of the RWP in carrying out its purpose. In order to determine whether we are successful,
indicators of performance and targets have been identified for each key outcome. Tracking
performance relative to identified targets over time assists in managing the RWP to achieve
desired results. The following indicators and performance targets provide an important
framework for the development of the FY 16-17 RWP Operating Budget, Capital Improvements
Program and associated work plans.
Metropolitan Wastewater Management Commission Overview
Page 6 FY 16-17 BUDGET AND CIP
Outcome 1: Achieve and maintain high environmental standards.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Amount of wastewater treated to
water quality standards 100%; 11.6
billion gallons
100%; 12
billion gallons
100%; 14.3
billion gallons
Compliance with environmental
performance requirements of all
permits
In compliance In compliance In compliance
MWMC target for high quality
biosolids
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
Volume of reclaimed water
beneficially reused
88 million
gallons
85 million
gallons
80 million
gallons
Performance targets under the
Environmental Management System
are achieved
100% of EMS
targets met or on
schedule
100% of EMS
targets met or on
schedule
100% of EMS
targets met or on
schedule
Outcome 2: Achieve and maintain fiscal management that is effective and efficient.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Annual budget and rates meet
MWMC Financial Plan policies
Policies Met Policies Met Policies Met
Annual audited financial statements Clean Audit Clean Audit Clean Audit
Uninsured bond rating AA AA A
Reserves funded at target levels Yes Yes Yes
Net revenue to debt service coverage
ratio
2.33 >1.25 >1.25
Metropolitan Wastewater Management Commission Overview
Page 7 FY 16-17 BUDGET AND CIP
Outcome 3: Achieve and maintain a successful intergovernmental partnership.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Industrial Pretreatment Program
implementation in compliance
with state/federal requirements;
audit findings addressed
In compliance
In compliance
I
n compliance
Capacity Management
Operations and Maintenance
(CMOM) Program development
Adopted
Regional CMOM
Program Plan
Implemented
Regional CMOM
Program Plan
Implementation
of Regional
CMOM Program
annual reporting
MWMC Facilities Plan projects
consistent with CIP budget and
schedule
100% of initiated
projects within
budget and 50%
(3 of 6 projects)
on schedule
100% of initiated
projects within
budget and 86%
(6 of 7 projects)
on schedule
100% of initiated
projects within
budget and 50%
on schedule
Outcome 4: Maximize reliability and useful life of regional assets and infrastructure.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Preventive maintenance completed
on time (best practices benchmark
is 90%)
97% 95% 90%
Preventative maintenance to
corrective maintenance ratio
(benchmark 4:1-6:1)
5.2:1 5:1 5:1
Emergency maintenance required
(best practices benchmark is <2%
of labor hours)
0.2% 0.3% <2%
Metropolitan Wastewater Management Commission Overview
Page 8 FY 16-17 BUDGET AND CIP
Outcome 5: Achieve and maintain public awareness and understanding of MWMC, the
regional wastewater system, and MWMC’s objectives of maintaining water quality and a
sustainable environment.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Create and distribute
e-newsletters
2 Newsletters 4 Newsletters Increase distribution
by 15% and readership
by 10%
Pollution prevention
campaigns
2 Campaigns 4 Campaigns 2 campaigns; reaching
20% of residents in
service area
Provide tours of the
Water Pollution
Control Facility
20 Tours/about
700 people
27 Tours/more than
700 people
Provide tours for more
than 750 people
MWMC website
traffic
Maintained visitor
levels
Maintain visitor
levels
Increase unique
visitors by 15%
Community survey Completed survey
and presented results
Results used to
develop
Communications Plan
Annual Review
Communications Plan -- Update completed Annual Review
Develop video series Designed and began
production
Final production
completed and public
release
---
Metropolitan Wastewater Management Commission Overview
Page 9 FY 16-17 BUDGET AND CIP
Roles and Responsibilities
In order to effectively oversee and manage the RWP, the partner agencies provide all staffing
and services to the MWMC. The following sections describe the roles and responsibilities of
each of the partner agencies, and how intergovernmental coordination occurs on behalf of the
Commission.
City of Eugene
The City of Eugene supports the RWP through representation on the MWMC, provision of
operation and maintenance services, and active participation on interagency project teams and
committees. Three of the seven MWMC members represent Eugene – two citizens and one City
Councilor. Pursuant to the Intergovernmental Agreement (IGA), the Eugene Wastewater
Division operates and maintains the Regional Water Pollution Control Facility (WPCF), the
Biosolids Management Facility (BMF) and associated residuals and reclaimed water activities,
along with regional wastewater pumping stations and transmission sewers. In support of the
RWP, the Division also provides technical services for wastewater treatment; management of
equipment replacement and infrastructure rehabilitation; biosolids treatment and recycling;
industrial source control (in conjunction with Springfield staff); and regional laboratory services
for wastewater and water quality analyses. These services are provided under contract with the
MWMC through the regional funding of 77.40 full-time equivalent (FTE) employees.
City of Springfield
The City of Springfield supports the RWP through representation on the MWMC, provision of
MWMC administration services, and active coordination of and participation on interagency
project teams and committees. Two MWMC members represent Springfield – one citizen and
one City Councilor. Pursuant to the IGA, the Springfield Development and Public Works
Director, and the Environmental Services Manager serve as the MWMC Executive Officer and
General Manager, respectively. The Environmental Services Division and Finance Department
staff provide ongoing staff support to the Commission and administration of the RWP in the
following areas: legal and risk management services; financial management and accounting;
coordination and management of public policy; regulatory and permit compliance issues;
coordination between the Commission and the governing bodies; long-range capital project
planning, design, and construction management; coordination of public information, education,
and citizen involvement programs; and coordination and development of regional budgets, rate
proposals, and revenue projections. Springfield staff also provides local implementation of the
Industrial Pretreatment Program, as well as billing coordination and customer service. These
services are provided under contract with the MWMC through the regional funding of 14.58 FTE
of Development and Public Works Department staff and 0.88 FTE of Finance Department staff,
for a total 15.46 FTE as reflected in the FY 16-17 Budget.
Lane County
The Board of County Commissioners support the RWP through representation on the MWMC,
including two MWMC members that represent Lane County – one citizen and one County
Commissioner. Lane County’s partnership initailly included providing support to manage the
proceeds and repayment of the RWP general obligation bonds to finance the local share of the
RWP facilities construction. These bonds were paid in full in 2002. The County, while not
presently providing sewerage, has the authority under its charter to do so. The Urban Growth
Boundary includes the two Cities (urban lands) and certain unincorporated areas surrounding the
Metropolitan Wastewater Management Commission Overview
Page 10 FY 16-17 BUDGET AND CIP
Cities which lies entirely within the County. Federal funding policy requires sewage treatment
and disposal within the Urban Growth Boundary to be provided on a unified, metropolitan basis.
Interagency Coordination
The effectiveness of the MWMC and the RWP depends on extensive coordination, especially
between Springfield and Eugene staff, who provide ongoing program support. This coordination
occurs in several ways. The Springfield ESD/MWMC General Manager and the Eugene
Wastewater Division Director coordinate regularly to ensure adequate communication and
consistent implementation of policies and practices as appropriate. The Eugene and Springfield
Industrial Pretreatment Program supervisors and staff meet regularly to ensure consistent
implementation of the Model Industrial Pretreatment Ordinance. Additionally, interagency
project teams provide input on and coordination of ongoing MWMC administration issues and
ad hoc project needs.
Exhibit 1 on the following page reflects the interagency coordination structure supporting the
RWP. Special project teams are typically formed to manage large projects such as design and
construction of new facilities. These interagency staff teams are formulated to provide
appropriate expertise, operational knowledge, project management, and intergovernmental
representation.
Relationship to Eugene and Springfield Local Sewer Programs
The RWP addresses only part of the overall wastewater collection and treatment facilities that
serve the Eugene-Springfield metropolitan area. The Cities of Eugene and Springfield both
maintain sewer programs that provide for construction and maintenance of local collection
systems and pump stations, which discharge to the regional system. Sewer user fees collected by
the two Cities include both local and RWP rate components.
Metropolitan Wastewater Management Commission Overview
Page 11 FY 16-17 BUDGET AND CIP
EXHIBIT 1
EUGENE CITY COUNCIL LANE COUNTY
COMMISSIONERS SPRINGFIELD CITY COUNCIL
METROPOLITAN WASTEWATER MANAGEMENT COMMISSION
EUGENE
WASTEWATER DIVISION
-Regional Facility Operation and Maintenance
-Major Rehab and Equipment Replacement
-Technical Services
-Eugene Pretreatment Program
-Pump Station and Interceptor Operations and
Maintenance
PUBLIC WORKS ADMINISTRATION
-Billing and Customer Service
MAINTENANCE DIVISION
-Regional Sewer Line Support
SPRINGFIELD
ENVIRONMENTAL SERVICES DIVISION
-Planning
-Capital Construction
-Rates, Revenues
-Permit Coordination
-Interagency Coordination
-Public Information/Education
-Springfield Pretreatment Program
-Legal and Risk Services
-Billing and Customer Service
FINANCE DEPARTMENT
-Accounting and Financial Reporting
INTERAGENCY COORDINATION AND PROJECT TEAMS
-Administrative Policy Decisions and Coordination
-Operational Policy Decisions and Coordination
-Capital Project Planning and Coordination
-Design Standards Development
-Capital Construction Guidance
REGIONAL WASTEWATER PROGRAM
INTERAGENCY COORDINATION STRUCTURE
Operation & Maintenance Contract Administration Contract
KEY OUTCOMES ACHIEVED
BUDGET SUMMARY
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 12 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
FY 16-17 BUDGET
The MWMC’s RWP Operating Budget provides the Commission and governing bodies with an
integrated view of the RWP elements. Exhibit 2 provides a summary of the overall Operating
Budget. Separate Springfield and Eugene agency budgets and staffing also are presented within
this budget document. Major program areas supported by Springfield and Eugene are described
in the pages that follow and are summarized in Exhibit 3 on page 14. Finally, Exhibit 4 on page
15 combines revenues, expenditures, and reserves to illustrate how funding for all aspects of the
RWP is provided. It should also be noted that the “Amended Budget FY 15-16” column in all
budget tables represents the updated FY 15-16 RWP budget as of February 23, 2016, which
reconciled actual beginning balances at July 1, 2015, and approved budget transfers and
supplemental requests.
Notes:
1. The Change column and Percent Change column compare the adopted FY 16-17 Budget with the
originally Adopted FY 15-16 Budget column.
2. Personnel Services, Materials and Services, and Capital Outlay budget amounts represent
combined Springfield and Eugene Operating Budgets that support the RWP.
3. Capital Outlay does not include CIP, Equipment Replacement, Major Capital Outlay, or Major
Rehabilitation, which are capital programs.
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
(1)
FY 15-16FY 15-16FY 16-17INCR/(DECR)
Full-Time Equivalent Staffing Level93.2993.2992.86(0.43)-0.5%
Personnel Services
(2)$10,102,922$10,072,730$10,303,071$200,1492.0%
Materials & Services
(2)7,201,5507,306,8037,234,45932,9090.5%
Capital Outlay
(2, 3)45,00045,000163,100118,100262.4%
Equip Replacement Contribution
(4)650,000650,000250,000(400,000)-61.5%
Capital Contribution
(5)8,500,00011,885,00011,300,0002,800,00032.9%
Debt Service Contribution
(6)7,163,7437,878,7435,504,462(1,659,281)-23.2%
Bond Sale Costs0466,00000
Working Capital Reserve
(7)900,000900,000900,00000.0%
Rate Stability Reserve
(8)2,000,0002,000,0002,000,00000.0%
Insurance Reserve
(9)500,000515,000515,00015,0003.0%
Operating Reserve
(10)4,823,3964,585,9293,798,506(1,024,890)-21.2%
Rate Stabilization Reserve
(11)2,000,0002,000,0002,000,00000.0%
SRF Loan Reserve
(12)670,908670,908670,90800.0%
Revenue Bond Reserve
(13)4,100,00000(4,100,000)0.0%
Budget Summary$48,657,519$48,976,113$44,639,506($4,018,013)-8.3%
EXHIBIT 2
REGIONAL OPERATING BUDGET SUMMARY:
INCLUDING RESERVE CONTRIBUTIONS
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 13 FY 16-17 BUDGET AND CIP
4. The Equipment Replacement Contribution is a budgeted transfer of operating revenues to
“sinking funds” (reserves) for scheduled future replacement of major equipment, vehicles, and
computers. See table on page 21 for year-end balance.
5. The Capital Reserve Contribution is a budgeted transfer of operating revenues to “sinking funds”
(reserves). Capital is passed through the Springfield Administration Budget. See table on page 22
for year-end balance.
6. The Debt Service line item is the sum of annual interest and principal payments on the Revenue
Bonds and Clean Water State Revolving Fund (SRF) loans made from the Operating Budget
(derived from user rates). The total amount of Debt Service budgeted in FY 16-17 is $5,504,462
the balance of which is budgeted from SDCs.
7. The Working Capital Reserve acts as a revolving account which is drawn down and replenished
on a monthly basis to fund Eugene’s and Springfield’s cash flow needs.
8. The Rate Stability Reserve is used to set aside revenues available at year-end after the budgeted
Operating Reserve target is met. Internal policy has established a level of $2 million for the Rate
Stability Reserve. See Exhibit 5 on page 20 for year-end balance.
9. The Insurance Reserve was established to set aside funds equivalent to the insurance deductible
amount for property and liability insurance coverage, for losses per occurrence.
10. The Operating Reserve is used to account for the accumulated operating revenues net of
operations expenditures. The Commission’s adopted a policy provides minimum guidelines to
establish the Operating Reserve balance at approximately 10% of the adopted Operating Budget.
The Operating Reserve provides for contingency funds in the event that unanticipated expenses or
revenue shortfalls occur during the budget year.
11. The Rate Stabilization Reserve was established at $2 million as a result of the 2006 MWMC
Revenue Bond Declaration and Covenants. It holds funds that are available if needed, to ensure
Debt Service payments can be made.
12. The Clean Water SRF loan reserve is budgeted as required per loan agreements.
13. The Revenue Bond Reserve was created to provide assurances to the bond holders that adequate
revenue coverage would be provided for future debt service obligations. Prior to FY 16-17, and to
meet reserve requirements of the 2006 bond issuance the Bond Reserve was budgetd at $4.1
million in the operating fund (as it was funded with user fees) and the Bond Reserve from the
2008 issuance was held in the capital funds budget at $4.0 million. Beginning in FY 16-17, the
revenue bond reserve is no longer a requirement due to the restructuring of the revenue bonds and
improved financial position.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 14 FY 16-17 BUDGET AND CIP
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGESPRINGFIELDFY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)MWMC ADMINISTRATION
Personnel Services$1,073,318$1,319,068$1,299,784$1,292,903($26,165)-2.0%
Materials & Services1,703,2181,926,1471,910,9471,917,781(8,366)-0.4%
Capital Outlay00000 NA
TOTAL$2,776,536$3,245,215$3,210,731$3,210,684($34,531)-1.1%INDUSTRIAL PRETREATMENT
Personnel Services$300,986$340,867$335,289$331,231($9,636)-2.8%
Materials & Services130,694117,252117,252123,1285,8765.0%
Capital Outlay00000 NA
TOTAL$431,680$458,119$452,541$454,359($3,760)-0.8%ACCOUNTING
Personnel Services$92,263$95,196$89,866$100,698$5,5025.8%
Materials & Services22,93734,87134,87135,1823110.9%
Capital Outlay00000 NATOTAL$115,200$130,067$124,737$135,880$5,8134.5%TOTAL SPRINGFIELD
Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
Materials & Services1,856,8492,078,2702,063,0702,076,091(2,179)-0.1%
Capital Outlay00000 NA
TOTAL$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%EUGENEADMINISTRATIVE SERVICES
Personnel Services$1,506,912$1,799,936$1,799,936$1,827,105$27,1691.5%
Materials & Services561,943640,252662,717625,521(14,732)-2.3%
Capital Outlay00000 NA
TOTAL$2,068,855$2,440,188$2,462,653$2,452,626$12,4370.5%BIOSOLIDS MANAGEMENT
Personnel Services$1,125,091$1,265,210$1,265,210$1,276,526$11,3160.9%
Materials & Services782,347990,8881,016,0601,018,32927,4422.8%
Capital Outlay000118,000118,000 NA
TOTAL$1,907,438$2,256,098$2,281,270$2,412,855$156,7586.9%INDUSTRIAL SOURCE CONTROL
Personnel Services$531,116$554,628$554,628$572,935$18,3073.3%
Materials & Services114,118132,957132,440114,146(18,811)-14.1%
Capital Outlay20,13745,00045,0000(45,000) NA
TOTAL$665,371$732,585$732,068$687,081($45,504)-6.2%TREATMENT PLANT
Personnel Services$4,118,910$4,360,274$4,360,274$4,527,886$167,6123.8%
Materials & Services2,378,4812,993,6783,035,9143,039,85146,1731.5%
Capital Outlay6,7280000 NA
TOTAL$6,504,120$7,353,952$7,396,188$7,567,737$213,7852.9%REGIONAL PUMP STATIONS
Personnel Services$114,018$191,450$191,450$195,102$3,6521.9%
Materials & Services287,361307,501338,765303,748(3,753)-1.2%
Capital Outlay00045,10045,100 NA
TOTAL$401,379$498,951$530,215$543,950$44,9999.0%BENEFICIAL REUSE SITE
Personnel Services$126,361$176,293$176,293$178,685$2,3921.4%
Materials & Services48,97258,00457,83856,774(1,230)-2.1%
Capital Outlay00000 NA
TOTAL$175,333$234,297$234,131$235,459$1,1620.5%TOTAL EUGENE
Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,4482.8%
Materials & Services4,173,2225,123,2805,243,7345,158,36835,0880.7%
Capital Outlay26,86545,00045,000163,100118,100262.4%
TOTAL$11,722,495$13,516,071$13,636,525$13,899,707$383,6362.8%
TOTAL REGIONAL BUDGET$17,349,472$17,700,630$351,1582.0%
EXHIBIT 3
REGIONAL WASTEWATER PROGRAM OPERATING BUDGET
LINE ITEM SUMMARY BY PROGRAM AREA
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 15 FY 16-17 BUDGET AND CIP
Note: * The Change (Increase/Decrease) column compares the adopted FY 16-17 budget to the originally adopted
FY 15-16 budget column.
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
OPERATING BUDGET FY 15-16FY 15-16FY 16-17INC(DECR)
Administration$3,833,401$3,788,009$3,800,923($32,478)
Operations13,516,07113,636,52513,899,707383,636
Capital Contribution & transfers8,500,00011,885,00011,300,0002,800,000
Equip Repl - Contribution650,000650,000250,000(400,000)
Operating & Revenue Bond Reserves14,994,30410,671,83710,424,414(4,569,890)
Debt Service7,163,7437,878,7435,504,462(1,659,281)
Total Operating Budget$48,657,519$48,510,114$45,179,506($3,478,013)
Funding:
Beginning Balance$16,289,243$16,158,038$10,684,205($5,605,038)
User Fees30,985,00030,985,00031,325,000340,000
Other1,383,2761,383,0763,170,3011,787,025
Total Operating Budget Funding$48,657,519$48,526,114$45,179,506($3,478,013)
CAPITAL PROGRAM BUDGET
Poplar Harvest Mgmt Services$1,265,000$1,334,535$772,000($493,000)
Facility Plan Engineering Services70,00097,54799,60029,600
Capacity Mgmt., Operations, and Maint.16,83394,45430,00013,167
Influent PS/Willakenzie PS/Headworks145,140285,1860 NA
Digestion Capacity Increase8,645,00016,157,06814,720,0006,075,000
WPCF Lagoon Remove/Decommission4,938,2314,869,681390,000(4,548,231)
Sodium Hypochlorite Conversion1,039,8001,039,8000 NA
Operations Building Improvements950,00014,719,16713,970,00013,020,000
Thermal Load Pre-Implementation210,000246,092244,00034,000
Thermal Load Implementation 1794,000730,884131,000(663,000)
Biosolids Force Main Rehab0322,7040 NA
Tertiary Filtration 1000 NA
Primary Sludge Thickening000 NA
Asset Management:
Equipment Replacement Purchases593,300755,300381,000(212,300)
Major Rehab371,300570,142534,000162,700
Major Capital Outlay2,900,0003,100,0005,670,0002,770,000
Total Capital Projects$21,938,604$44,322,560$36,941,600$15,002,996
Funding:
Equipment Replacement$593,300$755,300$381,000($212,300)
Capital Bond Fund10,937,84913,292,10710,576,394(361,455)
Capital Reserve10,407,45530,275,15325,984,20615,576,751
Total Capital Projects Funding$21,938,604$44,322,560$36,941,600$15,002,996
EXHIBIT 4
REGIONAL WASTEWATER PROGRAM
BUDGET SUMMARY AND COMPARISON
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 16 FY 16-17 BUDGET AND CIP
OPERATING BUDGET AND RATE HISTORY
The graphs on pages 17 and 18 show the regional residential wastewater service costs over a 5-
year period, and a 5-year Regional Operating Budget Comparison. Because the Equipment
Replacement, Major Infrastructure Rehabilitation and Major Capital Outlay programs are
managed in the Eugene Operating Budget, based on the size, type and budget amount of the
project these programs are incorporated into either the 5-year Regional Operating Budget
Comparison graph or the 5-Year Capital Programs graph on page 18. The Regional Wastewater
Capital Improvement Programs graph on page 18 shows the expenditures over the recent five
years in the MWMC’s Capital Program and including Asset Management projects. A list of
capital projects is located in Exhibit 13 on page 45.
As shown on the Regional Residential Sanitary Sewer Rate graph on page 17, regional sewer
user charges have incrementally increased to meet the revenue requirements necessary to fund
facility improvements as indentified in the 2004 MWMC Facilities Plan. This Plan demonstrated
the need for a significant capital investment in new and expanded facilities to meet
environmental performance requirements and capacity to serve the community through 2025.
Although a portion of these capital improvements can be funded through system development
charges (SDCs), much of the funding for approximately $196 million (in 2006 dollars) in capital
improvements over the 20-year period will come from user charges. Since 2004, this has become
the major driver of the MWMC’s need to increase sewer user rates on an annual basis.
In FY 08-09, there was an 11% user rate increase over FY 07-08 rates applied uniformly across
all user classes. This rate increase provided adequate revenue to meet current bond covenants
and meet requirements to issue $50.7 million in bonds in FY 08-09. Additionally, in October of
2008, the Commission adopted an interim user rate increase of 7% due to the closure of Hynix
Semiconductor. This increase was necessary to issue new revenue bonds and maintain bond
covenants for existing bonds. The typical residential monthly wastewater bill increased an
additional $1.10 per month and went into effect on December 1, 2008.
In FY 09-10, there was an 18% user rate increase over FY 08-09 rates applied uniformly across
all user classes. This rate provided for Operations, Administration, Capital programs, reserves
and debt service to be funded at sufficient levels to meet FY 09-10 requirements.
In FY10-11 user rates increased 5% over the prior year rates, and in FY 11-12 and FY 12-13 user
rates increased 4% each year, over the prior year rates to provide for Operations, Administration,
Capital programs, reserves, debt service, and debt coverage requirements.
In FY 13-14 user rates increased 3% over the prior year rates, in FY14-15 user rates increased by
3.5% and in FY 15-16 user rates increased by 2% over the prior year rates to provide for
Operations, Administration, Capital programs, reserves, debt service, and debt coverage
requirements.
The FY 16-17 Budget is based on a 2% user rate increase over the FY 15-16 rates. This increase
will provide for Operations, Administration, Capital programs, reserves and debt service,
continuing to meet capital and operating requirements and supporting the Commission’s
Financial Plan policies, as well as financially positioning for future investments in capital assets.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 17 FY 16-17 BUDGET AND CIP
The chart below displays the regional component of a residential monthly bill when applying the
base and flow rates to 5,000 gallons of wastewater treated, which includes a $0.49 increase
effective July 1, 2016.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 18 FY 16-17 BUDGET AND CIP
The graph below displays the Regional Operating Budget amounts for the recent 5-year period.
The graph below displays the Regional Wastewater Capital Improvement Program Budget
amounts for the recent 5-year period.
RESERVE FUNDS
Metropolitan Wastewater Management Commission Reserves
Page 19 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
RESERVES
The RWP maintains reserve funds for the dedicated purpose to sustain stable rates while fully
funding operating and capital needs. Commission policies and guidance, which direct the amount
of reserves appropriated on an annual basis, are found in the 2005 MWMC Financial Plan.
Further details on the FY 16-17 reserves are provided below.
OPERATING RESERVES
The MWMC Operating Budget includes seven separate reserves: the Working Capital Reserve,
Rate Stability Reserve, Rate Stabilization Reserve, Revenue Bond Reserve, State Revolving
Fund (SRF) Reserve, Insurance Reserve and the Operating Reserve. Revenues are appropriated
across the reserves in accordance with Commission policy and expenditure needs. Each reserve
is explained in detail below.
WORKING CAPITAL RESERVE
The Working Capital Reserve acts as a revolving account that is drawn down and replenished on
a monthly basis to provide funds for payment of Springfield Administration and Eugene
Operations costs prior to the receipt of user fees from the Springfield Utility Board and Eugene
Water and Electric Board. The Working Capital Reserve is set at $900,000 for FY 16-17,
$200,000 of which is dedicated to Administration and $700,000 is dedicated to Operations.
RATE STABILITY RESERVE
The Rate Stability Reserve was established to implement the Commission’s objective of
maintaining stable rates. It is intended to hold revenues in excess of the current year’s operating
and capital requirements for use in future years, in order to avoid “rate spikes.” The amount
budgeted on an annual basis has been set at $2 million, with any additional net revenues being
transferred to the capital reserve for future projects.
RATE STABILIZATION RESERVE
The Rate Stabilization Reserve contains funds to be used at any point in the future when net
revenues are insufficient to meet the bond covenant coverage requirement. The Commission
shall maintain the Rate Stabilization account as long as bonds are outstanding. In FY 16-17 no
additional contribution to this reserve is budgeted and the balance at June 30, 2017, will remain
at $2 million.
REVENUE BOND RESERVE
The Bond Reserve was created to provide assurances to the bond holders that adequate revenue
coverage would be provided for future debt service payments associated with the 2006 and 2008
bond issuances. Prior to FY 16-17, and to meet reserve requirements of the 2006 bond issuance
the Bond Reserve was budgeted at $4.1 million in the operating fund (as it was funded with user
fees) and the Bond Reserve from the 2008 issuance was held in the capital funds budgeted at
Metropolitan Wastewater Management Commission Reserves
Page 20 FY 16-17 BUDGET AND CIP
$4.0 million. Beginning in FY 16-17, the revenue bond reserve is no longer a requirement due to
the restructuring of the revenue bonds and improved financial position.
CLEAN WATER STATE REVOVLING FUND (SRF) RESERVE
The Clean Water SRF Reserve was established to meet revenue coverage requirements for SRF
loans. The SRF Reserve is set at $670,908 for FY 16-17.
INSURANCE RESERVE
The Insurance Reserve was established to set aside funds equivalent to the insurance deductible
amount for property and liability insurance coverage, for losses per occurrence. The Insurance
Reserve is set at $515,000 for FY 16-17.
OPERATING RESERVE
The Operating Reserve is used to account for accumulated operating revenues net of operating
expenditures (including other reserves). The Commission’s adopted policy provides minimum
guidelines to establish the Operating Reserve at approximately 10% of the adopted operating
budget. For FY 16-17, the Operating Reserve is budgeted at $4,338,506, which includes the 10%
of total Personnel Services, Materials and Services, and Capital Outlay in accordance with
Commission policy.
EXHIBIT 5
OPERATING RESERVES
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$16,289,243$16,158,038$10,684,205
User Fee Revenue30,800,00030,800,00031,140,000
Septage Revenue185,000185,000185,000
Other Revenue1,273,8001,273,8001,061,110
Interest85,00085,00085,000
Transfer from Improvement SDCs002,000,000
Transfer from Reimbursement SDCs19,27619,27620,191
Transfer from Bond Capital Fund0450,0000
Personnel Services(10,102,922)(10,072,730)(10,303,071)
Materials & Services(7,196,350)(7,301,804)(7,230,459)
Capital Outlay(45,000)(45,000)(163,100)
Interfund Transfers(9,150,000)(12,535,000)(11,550,000)
Transfer to Bond Debt Service Fund(5,709,628) (6,424,628)0
Debt Service - SRF Loan(1,454,115)(1,454,115)(1,486,462)
Bond Sale Costs0(466,000)0
Debt Service - 2016 Revenue Bond00(4,018,000)
Working Capital(900,000)(900,000)(900,000)
Insurance Reserve(500,000)(515,000)(515,000)
SRF Loan Reserve(670,908)(670,908)(670,908)
Rate Stability Reserve(2,000,000)(2,000,000)(2,000,000)
Rate Stabilization Reserve(2,000,000)(2,000,000)(2,000,000)
Bond Reserve - Revenue 2006(4,100,000)00
Operating Reserve$4,823,396$4,585,929$4,338,506
Metropolitan Wastewater Management Commission Reserves
Page 21 FY 16-17 BUDGET AND CIP
CAPITAL RESERVES
The MWMC Capital Budget includes five reserves: the Equipment Replacement Reserve, SDC
Reimbursement Reserves, SDC Improvement Reserves, the Capital Reserve and the Bond
Reserve. These reserves accumulate revenue to help fund capital projects including equipment
replacement and major rehabilitation. They are funded by annual contributions from user rates,
SDCs, bond proceeds, and SRF loans. Each reserve is explained in detail below.
EQUIPMENT REPLACEMENT RESERVE
The Equipment Replacement Reserve accumulates replacement funding for three types of
equipment: 1) major/stationary equipment items costing less than $200,000 with useful lives of
20 years or less; 2) fleet vehicles maintained by the Eugene Wastewater Division; and 3)
computers that serve the Eugene Wastewater Division. Contributions to the Equipment
Replacement Reserve in the FY 16-17 budget total $250,000, additional budget details are
provided below.
The Equipment Replacement Reserve is intended to accumulate funds necessary to provide for
the timely replacement or rehabilitation of equipment, and may also be borrowed against to
provide short-term financing of capital improvements. An annual analysis is performed on the
Equipment Replacement Reserve. The annual contribution is set so that all projected
replacements will be funded over a 20-year period and at the end of the 20-year period, the
reserve will contain replacement funds for all equipment projected to be in use at that time.
Estimates used in the analysis include interest earnings, inflation rates and useful lives for the
equipment.
SYSTEM DEVELOPMENT CHARGE (SDC) RESERVES
SDCs are required as part of the MWMC IGA. They are connection fees charged to new users to
recover the costs related to system capacity, and are limited to funding Capital Programs. The
purpose of the SDC Reserves is to collect and account for SDC revenues separately from other
revenue sources, in accordance with Oregon statutes. The Commission’s SDC structure includes
a combination of “Reimbursement” and “Improvement” fee components. Estimated SDC
revenues for FY 16-17 are approximately $1.1 million. Budgeted expenditures include
$2 million from Improvement Fees to fund portions of the annual debt service payments on the
2006 and 2008 revenue bonds. The projected beginning SDC Reserve balance on July 1, 2016 is
$3,504,354.
EQUIPMENT REPLACEMENT RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$11,420,690$11,705,390$11,837,948
Annual Equipment Contribution650,000650,000250,000
Interest40,00040,00040,000
Equipment Purchases(593,300)(755,300)(381,000)
Equipment Replacement Reserve$11,517,390$11,640,090$11,746,948
Metropolitan Wastewater Management Commission Reserves
Page 22 FY 16-17 BUDGET AND CIP
CAPITAL RESERVE
The Capital Reserve accumulates funds transferred from the Operating Reserve for the purpose
of funding the CIP, Major Capital Outlay and Major Rehabilitation Program costs. The intent is
to collect sufficient funds over time to construct a portion of planned capital projects with cash in
an appropriate balance with projects that are funded with debt financing. The FY 16-17 Budget
includes a contribution from the Operating Reserve of $11.3 million. The beginning balance on
July 1, 2016, is projected to be $50,315,693. Additional budget detail on the CIP, Major Capital
Outlay and Major Rehabilitation Program reserves is provided below.
REIMBURSEMENT SDC RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$490,946$555,989$639,013
Reimbursement SDCs Collected100,000100,000100,000
Interest 1,3001,3001,200
SDC Compliance Charge2,5002,5002,500
Xfr to Debt Service (Fund 612)(19,276)(19,276)(20,191)
Materials & Services(2,000)(2,000)(2,000)
Reimbursement SDC Reserve$573,470$638,513$720,522
IMPROVEMENT SDC RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$2,953,028$3,763,341$2,865,341
Improvement SDCs Collected1,000,0001,000,0001,100,000
Interest 8,0008,0007,000
Materials & Services(2,000)(2,000)(2,000)
Xfr to Debt Service (Fund 612 )(2,000,000)(2,000,000)(2,000,000)
Improvement SDC Reserve$1,959,028$2,769,341$1,970,341
CAPITAL RESERVES
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$76,014,033$77,977,819$50,315,693
Transfer from Operating Reserve8,500,000 11,885,00011,300,000
Interest60,00060,00060,000
Interest Income (Revenue Bond Proceeds)240,000240,000210,000
Transfer to Operating0(450,000)0
Revenue Bond Principal 080(3,550,000)0
Revenue Bond Principal 060(31,380,000)0
Funding For Capital Improvement Projects(18,074,004) (39,897,118) (30,356,600)
Funding For Major Rehabilitation(371,300)(570,142)(534,000)
Funding For Major Capital Outlay(2,900,000)(3,100,000)(5,670,000)
Revenue Bond Reserve 2008(4,000,000)00
Capital Reserve $59,468,729$11,215,559$25,325,093
OPERATING PROGRAMS
Metropolitan Wastewater Management Commission Staffing
Page 23 FY 16-17 BUDGET AND CIP
EXHIBIT 6
REGIONAL WASTEWATER PROGRAMS*
ORGANIZATION CHART FY 16-17
Metropolitan Wastewater Management
Commission
CITY OF EUGENE **
Wastewater Division
77.40 FTE
Division Director
.85 FTE
Operations Manager
.93 FTE
Wastewater
Treatment Plant
39.30 FTE
Regional Pump
Stations
1.26 FTE
Computer
Services
2.73 FTE
Biosolids
Management
12.62 FTE
Operations
16.0 FTE
Beneficial Reuse
Site
1.77 FTE
Equipment
Maintenance
10.3 FTE
Facility
Maintenance
8.51 FTE
Laboratory
2.65 FTE
Industrial
Pretreatment
5.35 FTE
Stores
2.67 FTE
Env Data
Analyst
.65 FTE
User Fee
Support
1.0 FTE
Operations
6.97 FTE
Operations
.53 FTE
Equipment
Maintenance
.85 FTE
Equipment
Maintenance
.59 FTE
Equipment
Maintenance
2.57 FTE
Facility
Maintenance
1.98 FTE
Facility
Maintenance
.34 FTE
Laboratory
1.27 FTE
Laboratory
.66 FTE
Laboratory
.15 FTE
Regulations &
Enforcement
3.38 FTE
Admin Support
5.36 FTE
Support Services
15.32 FTE
Sampling
.74 FTE
Sampling
.44 FTE
Sampling
.16 FTE
PW Maint
1.10 FTE
Sampling
.70 FTE
Safety, Env &
Health
Supervisor
.89 FTE
Management
Analyst
.89 FTE
Project Mgr.
.93 FTE
PW Financial
Services
.20 FTE
MWMC Executive
Officer
.08 FTE
MWMC General
Manager
.80 FTE
Administration
Support
.3 FTE
Accounting
.88 FTE
MWMC
Administration
10.45 FTE
Industrial
Pretreatment
2.65 FTE
Administration
Support
.70 FTE
Regulations
&
Enforcement
2.95 FTE
Budget &
Financial
Management
1.15 FTE
Property/
Risk Mgmt
.20 FTE
Customer
Service
.55 FTE
Public
Education
1.0 FTE
Construction
Management
5.10 FTE
CITY OF SPRINGFIELD **
Environmental Services Division
& Finance Department
15.46 FTE
Facility
Maintenance
.41 FTE
Special
Projects/
Planning
1.75 FTE
Notes:
* Full-Time Equivalent (FTE) figures represent portions of Eugene and Springfield staff funded by
regional wastewater funds.
** The chart represents groups of staff dedicated to program areas rather than specific positions.
Metropolitan Wastewater Management Commission Staffing
Page 24 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
POSITION SUMMARY
BUDGETBUDGETBUDGETFTE
CLASSIFICATIONFY 14-15FY 15-16FY 16-17CHANGE
SPRINGFIELD ENVIRONMENTAL SERVICES & FINANCE
Accountant0.800.800.80-
Accounting Supervisor0.080.080.08-
Administrative Specialist 1.051.851.85-
Assistant Project Coordinator0.900.900.90-
Civil Engineer/Design & Construction Coordinator3.003.003.00-
Construction Inspector 1.000.000.00-
Development and Public Works Deputy Director0.080.080.00(0.08)
Development and Public Works Director0.080.080.08-
Engineering Assistant1.600.800.80-
Environmental Management Analyst0.000.650.65-
Environmental Services Program Manager0.551.350.80(0.55)
Environmental Services Program Coordinator1.001.000.00(1.00)
Environmental Services Supervisor0.000.000.950.95
Environmental Services Technician 1.501.502.000.50
ESD Manager/MWMC General Manager0.750.800.80-
Managing Civil Engineer2.002.001.75(0.25)
Public Information & Education Specialist1.001.001.00-
Senior Finance Analyst0.500.000.00-
TOTAL SPRINGFIELD15.8915.8915.46(0.43)
EXHIBIT 7
Metropolitan Wastewater Management Commission Staffing
Page 25 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
POSITION SUMMARY
BUDGETBUDGETBUDGETFTE
CLASSIFICATIONFY 14-15FY 15-16FY 16-17CHANGE
EUGENE WASTEWATER DIVISION & OTHER PW
Administrative Specialist1.781.781.78-
Administrative Specialist, Sr0.950.950.95-
Application Support Technician 0.950.950.95-
Application Systems Analyst1.781.781.78-
Custodian 1.001.001.00-
Finance & Admin Manager0.890.890.89-
Electrician 1 3.283.283.28-
Engineering Associate 0.350.350.35-
Maintenance Worker 12.2912.2912.29-
Management Analyst 4.254.255.140.89
Office Supervisor, Sr 0.890.890.00(0.89)
Parts and Supply Specialist1.781.781.78-
PW Financial Services Manager 0.200.200.20-
Utility Billing Coordinator1.001.001.00-
Wastewater Lab Assistant 0.820.820.82-
Wastewater Division Director 0.850.850.85-
Wastewater Instrument Electrician1.001.001.00-
Wastewater Plant Operations Manager 0.930.930.93-
Wastewater Operations Supervisor 2.002.002.00-
Wastewater Plant Maintenance Supervisor2.882.882.88-
Wastewater Pretreatment & Lab Supervisor0.820.820.82-
Wastewater Technician 36.7136.7136.71-
TOTAL77.4077.4077.40-
GRAND TOTAL93.2393.2992.86(0.43)
EXHIBIT 7 (Continued)
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 26 FY 16-17 BUDGET AND CIP
Program Responsibilities
Administration & Management
Financial Planning & Management
Long-Range Capital Project Planning
Project and Construction Management
Coordination between the Commission and
governing bodies
Coordination and Management of:
· Risk Management & Legal Services
· Public Policy Issues
· Regulatory and Permit Compliance Issues
Public Information, Education and Outreach
Industrial Pretreatment Source Control
Customer Service
CITY OF SPRINGFIELD
REGIONAL WASTEWATER PROGRAM RESPONSIBILITIES
The City of Springfield manages administration
services for the RWP under the Intergovernmental
Agreement for the Metropolitan Wastewater
Management Commission (MWMC). The programs
maintained by Springfield to support the RWP are
summarized below and are followed by Springfield’s
regional wastewater budget summaries. Activities, and
therefore program budgets, for the MWMC
administration vary from year to year depending upon
the major construction projects and special initiatives
underway. A list of the capital projects Springfield
staff will support in FY 16-17 is provided in Exhibit 12
on page 41.
MWMC ADMINISTRATION
The Springfield Environmental Services Division (ESD) and Finance Department provide
ongoing support and management services for the MWMC. The Development and Public Works
(DPW) Director serves as the MWMC Executive Officer. The Environmental Services Manager
serves as the General Manager. Springfield provides the following administration functions:
financial planning management, accounting and financial reporting; risk management and legal
services; coordination and management of public policy; coordination and management of
regulatory and permit compliance issues; coordination between the Commission and the
governing bodies; long-range capital project planning and construction management;
coordination of public information, education, and citizen involvement programs; sewer user
customer service; and coordination and development of regional budgets, rate proposals, and
revenue projections.
INDUSTRIAL PRETREATMENT (SOURCE CONTROL) PROGRAM
The Industrial Pretreatment Program is a regional activity implemented jointly by the Cities of
Eugene and Springfield. The Industrial Pretreatment section of the ESD is charged with
administering the program for the regulation and oversight of wastewater discharged to the
sanitary collection system by industries in Springfield. This section is responsible for ensuring
that these wastes do not damage the collection system, interfere with wastewater treatment
processes, result in the pass-through of harmful pollutants to treated effluent or biosolids, or
threaten worker health or safety.
This responsibility is fulfilled, in part, by the use of a permit system for industrial dischargers.
This permit system, common to both Eugene and Springfield, implements necessary limitations
on waste characteristics and establishes inspection, monitoring, and reporting requirements for
documenting waste quality and quantity controls. The Industrial Pretreatment section is also
responsible for locating new industrial discharges in Springfield and evaluating the impact of
those discharges on the regional WPCF. As of February 2016, there were 19 significant
industrial users under permit in Springfield. The Industrial Pretreatment Program also addresses
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 27 FY 16-17 BUDGET AND CIP
the wastewater discharges of some commercial/industrial businesses through the development
and implementation of Pollution Management Practices. Pretreatment program staff also
coordinates pollution prevention activities in cooperation with the Pollution Prevention Coalition
of Lane County.
ACCOUNTING AND FINANCIAL REPORTING
Accounting and financial reporting services for the RWP are provided by the Accounting section
in the Springfield Finance Department, in coordination with ESD. Springfield Accounting staff
maintains grant and contract accounting systems, as well as compliance with all local, state and
federal accounting and reporting requirements for MWMC finances. This section also assists
ESD with preparation of the MWMC budget, capital financing documents, sewer user rates, and
financial policies and procedures.
PROGRAMS AND SIGNIFICANT SERVICE/EXPENDITURE CHANGES
In FY 16-17, the City of Springfield will support the following major regional initiatives in
addition to ongoing Commission administration and industrial pretreatment activities:
Continue public information, education and outreach activities focused on the MWMC’s
Key Outcomes and Communication Plan objectives to increase awareness of the
MWMC’s ongoing efforts in maintaining water quality and a sustainable environment.
Implement Capital Financing strategies necessary to meet current debt obligations,
prepare for additional debt financing, and ensure sufficient revenues in accordance with
the 2005 MWMC Financial Plan.
Continue implementation of the 2004 MWMC Facilities Plan and 2014 Partial Facilities
Plan Update to meet all regulatory requirements and capacity needs. Considering
emerging environmental regulations that may impact the operation of the WPCF.
Implement annual reporting for the local Capacity Management Operations and
Maintenance (CMOM) programs, focusing on continued inflow and infiltration
reductions, including flow monitoring, data tracking, regional coordination, and
exploring methods of addressing private laterals.
Protect the Regional Wastewater Program (RWP) interests through participation in
Association of Clean Water Agencies activities.
Coordinate temperature Total Maximum Daily Load (TMDL) compliance through
continued development and implementation of the thermal load mitigation strategy,
including but not limited to a recycled water program.
Continue participation with the Association of Clean Water Agencies and the Department
of Environmental Quality on regulatory permitting strategies and the development of
water quality trading rules.
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 28 FY 16-17 BUDGET AND CIP
SIGNIFICANT BUDGET CHANGES FOR FY 16-17
The budget for Springfield Personnel Services, Materials and Services, and Capital Outlay for
FY 16-17 totals $3,800,923 representing an overall decrease of $32,478 or 0.8% below the adopted
FY 15-16 budget, as displayed in Exhibit 8 on page 29.
Personnel Services
Personnel Services totaling $1,724,832 represents a FY 16-17 decrease of $30,299 or 1.7% over
the originally adopted FY 15-16 budget. The major changes are summarized below:
Staffing Level - 15.46 full-time equivalent (FTE) staff, a decrease of 0.43 FTE
Staffing decreased in the FY 16-17 budget when compared to FY 15-16 based on a
reorganization of staff allocated to the regional programs.
Regular Wages and Overtime - $1,153,170, decrease of $17,895 or 1.5%
Salaries are based upon the negotiated management/labor contracts as approved by the
Springfield City Council, and staffing levels.
Health Insurance - $308,832, a decrease of $6,792 or 2.2%
Health Insurance includes employee related medical and dental insurance.
PERS/OPSRP Contributions - $155,768, an increase of $2,416 or 1.5%
Projected employee retirement contribution for FY 16-17.
Materials and Services
The Materials and Services budget total is $2,076,091 in FY 16-17, representing a slight
decrease of $2,179 or 0.1% below the adopted FY 15-16 budget. The major changes are
summarized below:
Property and Liability Insurance - $370,000, a decrease of $70,000 or 15.9%
The $70,000 decrease is in comparison to the orignially adopted FY 15-16 budget. The
budget decrease reflects cost savings in Agent of Record services which are fee-based, a
change in liability insurance providers, and an increase in the property insurance deductible
amount resulting in a reduced insurance premium cost.
Contractual Services –$133,500, a net decrease of $7,500 or 5.3%
The $7,500 decrease was due to completion of the educational video series in FY 15-16,
which was a one-time expense.
Internal Charges - $165,004, a increase of $18,702 or 12.8%
The $18,702 increase is primarily related to the regional portion of the City of Springfield
facility rents for use of the City Hall building, and a portion of the City of Springfield
liability, auto and risk insurance.
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 29 FY 16-17 BUDGET AND CIP
Computer Software & License - $32,650, a net decrease of $11,500 or 26.0%
The $11,500 decrease is due to entering into a three year contract in FY 15-16 for ongoing
service and maintenance for the capital project management system, Constructware.
Note: * Change column compares the adopted FY 16-17 Budget to the adopted FY 15-16 Budget.
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
Materials & Services1,856,8492,078,2702,063,0702,076,091(2,179)-0.1%
Capital Outlay00000 0%
Budget Summary$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%
EXHIBIT 8
SPRINGFIELD ADMINISTRATION PROGRAM
ADOPTED FY 16-17
BUDGET SUMMARY
$3,670,958 $3,636,762 $3,911,289 $3,833,401 $3,800,923
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
FY 12-13FY 13-14FY 14-15FY 15-16FY 16-17
5-YEAR MWMC BUDGET COMPARISON
SPRINGFIELD ADMINISTRATION
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 30 FY 16-17 BUDGET AND CIP
ADOPTEDAMENDEDADOPTED
ACTUALBUDGETBUDGETBUDGET
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
PERSONNEL SERVICES
Regular Wages$997,633$1,163,349$1,163,349$1,149,666($13,683)-1.2%
Overtime427,7167,7163,504(4,212)-54.6%
Employee Benefits92,487110,258110,258107,062(3,196)-2.9%
PERS/OPSRP134,022158,184158,184155,768(2,416)-1.5%
Medical/Dental Insurance242,383315,624285,432308,832(6,792)-2.2%
Total Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
FTE16.6815.8915.8915.46(0.43) -2.7%
MATERIALS & SERVICES
Billing & Collection Expense$594,701$577,000$577,000$630,000$53,0009.2%
Property & Liability Insurance373,780440,000425,000370,000(70,000)-15.9%
Contractual Services47,029141,000141,000133,500(7,500)-5.3%
Attorney Fees and Legal Expense72,192185,505185,505188,5053,0001.6%
WPCF/NPDES Permits118,466126,800126,600136,0009,2007.3%
Materials & Program Expense42,27287,79587,79587,321(474)-0.5%
Computer Software & Licenses78,31144,15044,15032,650(11,500)-26.0%
Employee Development5,32019,00019,00019,2752751.4%
Travel & Meeting Expense12,28321,10021,10022,2001,1005.2%
Internal Charges181,670146,302146,302165,00418,70212.8%
Indirect Costs330,824289,618289,618291,6362,0180.7%
Total Materials & Services$1,856,849$2,078,270$2,063,070$2,076,091($2,179)-0.1%
CAPITAL OUTLAY
Total Capital Outlay000000.0%
TOTAL$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%
EXHIBIT 9
SPRINGFIELD ADMINISTRATION
LINE ITEM BUDGET SUMMARY
CHANGE
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 31 FY 16-17 BUDGET AND CIP
Program Responsibilities
Administration & Management
Biosolids Management
Facility Operations
Facility Maintenance
Industrial Source Control
Laboratory Services
Management Information Services
Project Management
CITY OF EUGENE
REGIONAL WASTEWATER PROGRAM RESPONSIBILITIES
The Wastewater Division for the City of Eugene manages all
regional wastewater pollution control facilities serving the
areas inside the Eugene and Springfield Urban Growth
Boundaries under the Intergovernmental Agreement for the
Metropolitan Wastewater Management Commission
(MWMC). These regional facilities include the
Eugene/Springfield Regional Water Pollution Control
Facility (WPCF), the Biosolids Management Facility, the
Beneficial Reuse Site, the Biocycle Farm site, and regional
wastewater pumping stations and transmission sewers.
In support of the water pollution control program, the Division provides technical services for
wastewater treatment, management of equipment replacement and infrastructure rehabilitation,
biosolids treatment and recycling, regional laboratory services, and an industrial source control
and pretreatment program in conjunction with City of Springfield staff.
ADMINISTRATIVE AND MANAGEMENT SERVICES
Administrative Services provides management, administrative, and office support to the
Wastewater Division. This support includes the general planning, directing, and managing of
the activities of the Division; development and coordination of the budget; administration of
personnel records; and processing of payroll, accounts payable, and accounts receivable. This
section also provides tracking and monitoring of all assets for the regional wastewater
treatment facilities and clerical support for reception, telephone services, and other
miscellaneous needs. The Administrative services include oversight and coordination of the
Division’s Environmental Management System, safety, and training programs, and a stores
unit that purchases and stocks parts and supplies and assists with professional services
contracting. Another area this program administers is the coordination of local and regional
billing and rate activities.
REGIONAL WASTEWATER TREATMENT FACILITY OPERATIONS
The Wastewater Division operates the WPCF to treat domestic and industrial liquid wastes to
achieve an effluent quality that protects and sustains the beneficial uses of the Willamette
River. The Operations section optimizes wastewater treatment processes to ensure effluent
quality requirements are met in an efficient and cost effective manner. In addition, the
Operations section provides continuous monitoring of the alarm functions for all plant
processes, regional and local pump stations, Biosolids Management Facility, and the Beneficial
Reuse Site.
MAINTENANCE
The mechanical, electrical, and facilities maintenance sections of the Wastewater Division are
responsible for preservation of the multi-million dollar investment in the equipment and
infrastructure of the WPCF, local and regional pump stations, pressure sewers, as well as the
Biosolids Management Facility. These sections provide a preventative maintenance program to
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 32 FY 16-17 BUDGET AND CIP
maximize equipment life and reliability; a corrective maintenance program for repairing
unanticipated equipment failures; and a facility maintenance program to maintain the
buildings, treatment structures, and grounds.
BIOSOLIDS MANAGEMENT
The Residuals Management section of the Wastewater Division manages the handling and
beneficial reuse of the biological solids (biosolids) produced as a result of the activated sludge
treatment of wastewater. This section operates the Biosolids Management Facility (BMF) and
the Biocycle Farm located at Awbrey Lane in Eugene. The biosolids are treated using
anaerobic digestion, stored in facultative lagoons (which provide some additional treatment
benefits), and then processed through a belt filter press and air-dried to reduce the water
content and facilitate transport. The dried material is ultimately applied to agricultural land.
Biosolids are also irrigated on poplar trees at the Biocycle Farm as a beneficial nutrient and
soil conditioner. This section also operates the Beneficial Reuse Site which formerly served to
treat wastewater from food processing operation.
INDUSTRIAL SOURCE CONTROL (Pretreatment) and ANALYTICAL SERVICES,
SAMPLING TEAM
The pretreatment program is a regional activity implemented jointly by the cities of Eugene
and Springfield. The Industrial Source Control group of the Wastewater Division is charged
with administering the pretreatment program for the regulation and oversight of commercial
and industrial wastewaters discharged to the wastewater collection system by fixed-site
industries in Eugene and by mobile waste haulers in the Eugene and Springfield areas. This
group is also responsible for ensuring that these wastes do not damage the collection system,
interfere with wastewater treatment processes, result in the pass-through of harmful pollutants
to treated effluent or biosolids, or threaten worker health or safety.
This responsibility is fulfilled through the use of a permit system for industrial dischargers.
This permit system, common to both Eugene and Springfield, implements necessary limitations
on waste characteristics and establishes inspection, monitoring, and reporting requirements for
documenting waste quality and quantity controls. The staff is also responsible for locating new
industrial discharges in Eugene and evaluating the impact of new non-residential discharges on
the WPCF. During the calendar year 2015 there were 21 significant industrial users under
permit in Eugene. The section also has responsibilities related to environmental spill response
activities.
The Analytical Services group provides necessary analytical work in support of wastewater
treatment, residuals management, industrial source control, stormwater monitoring, and special
project activities of the Wastewater Division. The laboratory's services include sample
handling and analyses of influent sewage, treated wastewater, biosolids, industrial wastes,
stormwater, and groundwater. Information from the laboratory is used to make treatment
process control decisions, document compliance with regulatory requirements, demonstrate
environmental protection, and ensure worker health and safety.
The Sampling Team is responsible for the sampling activities related to regional wastewater
program functions. These include the Eugene pretreatment program, wastewater treatment
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 33 FY 16-17 BUDGET AND CIP
process control, effluent and ambient water quality, groundwater quality, facultative sludge
lagoons, and stormwater samples. The Division’s Environmental Data Analyst evaluates and
reports on the sampling data for various programs.
MANAGEMENT INFORMATION SERVICES (MIS)
The MIS section provides services for electronic data gathering, analysis, and reporting as
necessary in compliance with regulatory requirements and management functions. This section
also maintains the electronic communication linkages with the City of Eugene and supplies
technical expertise and assistance in the selection, operation, and modification of computer
systems (hardware and software) within the Division.
PROJECT MANAGEMENT
Management of wastewater system improvements and ongoing developments is carried out by
the Project Management staff. Activities include coordination of CIP activities with the City of
Springfield staff, problem-solving and action recommendations, project management, technical
research, coordination of activities related to renewal of the National Pollutant Discharge
Elimination System (NPDES) wastewater discharge permit, computer-aided design and
electronic storage of design drawings, and planning of projects to anticipate and prepare for new
regulatory and operational requirements. The Project Management staff develops Request for
Proposals and Request for Quotes, coordinates special project activities between work sections,
and coordinates the procurement of building permits as necessary in support of project activities.
PROGRAMS AND SIGNIFICANT SERVICE/EXPENDITURE CHANGES
In FY 16-17, Eugene staff will support the following major regional initiatives in addition to
ongoing operational activities.
Manage the O&M responsibilities of the NPDES permits for the wastewater discharge
and treatment plant stormwater programs and the Lane Regional Air Protection Agency
(LRAPA) air emissions permit for the regional wastewater treatment plant.
Continue to evaluate impacts of regulatory actions (such as the federal sanitary sewer
overflows (SSO) and blending policy development, Willamette River TMDLs
implementation, and any newly adopted state water quality standards) upon operational
responsibilities.
Provide technical input and O&M assessments related to proposed initiatives for
addressing TMDL compliance, greenhouse gas emission controls, and renewable energy
objectives.
Complete scheduled major rehabilitation, equipment replacement, and other capital
projects in an efficient and timely manner.
Work cooperatively on the CIP elements and effectively integrate capital project work
with ongoing O&M activities, with emphasis on maintaining an effective CIP
management and coordination program with Springfield.
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 34 FY 16-17 BUDGET AND CIP
Manage the Operations & Maintenance (O&M) aspects of the Biocycle Farm, continuing
biosolids irrigation practices and poplar tree management.
SIGNIFICANT CHANGES IN THE O & M BUDGET FOR FY 16-17
The budget for Operations and Maintenance of the regional wastewater treatment facilities
(personnel, materials and services, and capital outlay) for FY 16-17 totals $13,899,707. The amount
represents an increase of $383,636 or 2.8% from the FY 15-16 budget. The largest cost centers for
the budget are personnel costs, contractual services, utilities, materials, maintenance, fleet, and
chemicals. Details of significant items and changes for the FY 16-17 Operations and Maintenance
budget as compared to the FY 15-16 budget include:
Personnel Services
Personnel Services totaling $8,578,239 represents a FY 16-17 increase of $230,448 or 2.8%. The
major changes are in the following budget categories:
Staffing
The FY 16-17 budget requests no change in staffing level from the FY 15-16 budget. Staffing
requests remains at 77.40 Full Time Equivalent (FTE).
Regular Wages - $5,165,677, an increase of $142,573 or 2.8%
Salaries are based upon the negotiated management/labor contracts between the City of Eugene
and the local union (AFSCME).
Employee Benefits - $1,811,828, an increase of $35,815 or 2.0%
The employee benefits consist mainly of PERS/OPSRP retirement system costs and Medicare
contributions.
Health Insurance - $1,454,825, an increase of $68,972 or 5.0%
The increase is based on group claims experience and cost projections. Costs are calculated
based on the number of employees.
Materials and Services
The Materials and Services budget totaling $5,158,368 represents an FY 16-17 increase of
$35,088 or 0.7%. The major changes are in the following budget categories:
Indirect Charges - $1,020,000, an increase of $18,850 or 1.9%
This expenditure category includes costs for payroll processing, human resources services,
information technology services, and budget and financial services provided by the City of
Eugene to the Wastewater Division.
Contractual Services - $895,941, a net increase of $100,706 or 12.7%
This account includes services for outside lab testing, USGS water monitoring, seasonal
temporary help, distributive control system (DCS) upgrade, and grit waste disposal. Temporary
help budget is $395,250, professional services are $158,796, and trade and other contractual
services total $341,895.
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 35 FY 16-17 BUDGET AND CIP
Materials & Program Expense - $555,442, a net decrease of $102,662 or 15.6%
The Materials & Program Expense account includes a wide variety of operational items such as
telephone charges, training costs, tools, small equipment, safety supplies, and inventory. The FY
16-17 budget reduction is due in part to one-time expenditures for flow monitoring being made
in the FY 15-16 budget and not budgeted in FY 16-17. A reduction for tools and minor
equipment has also been made to align with recent trends of lower expenditures in those areas.
Fleet - $426,986, a decrease of $12,705 or 2.9%
Fleet services are managed centrally by Eugene Fleet Services. Reduction in fuel costs are
reflected in lower fleet charges.
Eugene Capital Outlay Expense - $163,100, a net increase of $118,100
Eugene Capital Outlay budget this year will be used to purchase a water truck for the Biosolids
Management Facility which will be used for efficient dust control, fire protection and clean up
capabilities at the BMF and at biosolids application sites. A one-ton pickup outfitted with a
service body is budgeted for maintenance staff use.
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,4482.8%
Materials & Services4,173,2225,123,2805,243,7345,158,36835,0880.7%
Capital Outlay26,86545,00045,000163,100118,100262.4%
Budget Summary$11,722,495$13,516,071$13,636,525$13,899,707$383,6362.8%
NOTE: Does not include Major or Equipment Replacement
EXHIBIT 10
EUGENE - OPERATIONS AND MAINTENANCE PROGRAM
ADOPTED FY 16-17
BUDGET SUMMARY
$12,509,757 $12,716,031 $12,771,358
$13,516,071 $13,899,707
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
FY 12-13FY 13-14FY 14-15FY 15-16FY 16-17
5-YEAR MWMC BUDGET COMPARISON
EUGENE -OPERATIONS AND MAINTENANCE
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 36 FY 16-17 BUDGET AND CIP
ADOPTEDAMENDEDADOPTED
ACTUALBUDGETBUDGETBUDGET CHANGE
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
PERSONNEL SERVICES
Regular Wages$4,601,145$5,023,104$5,023,104$5,165,677$142,5732.8%
Overtime45,68670,97570,97540,000(30,975)-43.6%
Employee Benefits1,538,9421,776,0131,776,0131,811,82835,8152.0%
Workers' Comp/Unemploy Ins93,00591,84691,846105,90914,06315.3%
Health Insurance1,243,6301,385,8531,385,8531,454,82568,9725.0%
Total Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,448 2.8%
FTE77.4077.4077.4077.400.000.0%
MATERIALS & SERVICES
Utilities$752,583$754,682$754,682$775,615$20,9332.8%
Fleet Operating Charges422,336439,691439,691426,986(12,705)-2.9%
Maintenance-Equip & Facilities211,579354,538354,538386,49731,9599.0%
Contractual Services365,540795,235795,235895,941100,70612.7%
Materials & Program Expense568,926658,104778,558555,442(102,662)-15.6%
Chemicals254,920330,152330,152326,940(3,212)-1.0%
Parts & Components352,615357,656357,656353,096(4,560)-1.3%
Risk Insurance - Employee Liability49,17451,52751,52751,572450.1%
Laboratory Equipment & Supplies67,66993,00093,00089,600(3,400)-3.7%
Computer Equip, Supplies, Maint254,951287,545287,545276,679(10,866)-3.8%
Indirects872,9281,001,1501,001,1501,020,00018,8501.9%
Total Materials & Services$4,173,222$5,123,280$5,243,734$5,158,368$35,0880.7%
CAPITAL OUTLAY
Motorized Vehicles$26,865$45,000$45,000$163,100$118,100262.4%
Capital Outlay-Other000000.0%
Total Capital Outlay$26,865$45,000$45,000$163,100$118,100262.4%
TOTAL$11,722,494$13,516,071$13,636,525$13,899,707$383,6362.8%
EXHIBIT 11
EUGENE - OPERATIONS & MAINTENANCE
LINE ITEM BUDGET SUMMARY
CAPITAL PROGRAM
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 37 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
CAPITAL PROGRAMS
Overview
The Regional Wastewater Program (RWP) includes two components: the Capital Improvement
Program (CIP) and the Asset Management Capital Program (AMCP). The FY 16-17 CIP Budget,
the FY 16-17 AMCP Budget, and the associated 5-Year Capital Plan are based on the 2004
MWMC Facilities Plan (2004 FP) and the Partial Facilities Plan Update dated June 2014. The
2004 FP was approved by the MWMC, the governing bodies of the City of Eugene, the City of
Springfield, Lane County, and the Oregon Department of Environmental Quality (DEQ) in 2004.
The 2004 FP and its 20-year capital project list was the result of a comprehensive evaluation of
the regional wastewater treatment facilities serving the Eugene-Springfield metropolitan area.
The 2004 FP built on previous targeted studies, including the 1997 Master Plan, 1997 Biosolids
Management Plan, 2001 Wet Weather Flow Management Plan (WWFMP), and the 2003
Management Plan for a dedicated biosolids land application site. The 2004 FP was intended to
meet changing regulatory and wet weather flow requirements and to serve the community’s
wastewater capacity and treatment needs through 2025. Accordingly, the 2004 FP established the
CIP project list to provide necessary facility enhancements and expansions over the planning
period. The CIP is administered by the City of Springfield for the MWMC. The AMCP
implements the projects and activities necessary to maintain functionality, lifespan, and
effectiveness of the MWMC facility assets on an ongoing basis. The AMCP is administered by
the City of Eugene for the MWMC and consists of three sub-categories:
Equipment Replacement Program
Major Rehabilitation Program
Major Capital Outlay
The MWMC has established these capital programs to achieve the following RWP objectives:
Compliance with applicable local, state, and federal laws and regulations
Protection of the health and safety of people and property from exposure to hazardous
conditions such as untreated or inadequately treated wastewater
Provision of adequate capacity to facilitate community growth in the Eugene-Springfield
metropolitan area consistent with adopted land use plans
Construction, operation, and management of the MWMC facilities in a manner that is as
cost-effective, efficient, and affordable to the community as possible in the short and long
term
Implementation of the Citizens Advisory Committee recommendations, which represent
diverse community interests, values and involvement, and that have been adopted by the
Commission as the MWMC’s plans and policies
Mitigation of potential negative impacts of the MWMC facilities on adjacent uses and
surrounding neighborhoods (ensuring that the MWMC facilities are “good neighbors” as
judged by the community)
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 38 FY 16-17 BUDGET AND CIP
Capital Program Funding and Financial Planning Methods and Policies
This annual budget document presents the FY 16-17 CIP Budget, the FY 16-17 AMCP Budget,
and 5-Year Capital Plan which includes the CIP and AMCP Capital Plan. The MWMC CIP
financial planning and funding methods are in accordance with the financial management
policies put forth in the MWMC 2005 Financial Management Plan.
Each of the two RWP capital programs relies on funding mechanisms to achieve RWP objectives
described above. The CIP is funded primarily through proceeds from revenue bond sales, system
development charges, and transfers from the Operating Fund to Capital Reserves. The AMCP is
funded through wastewater user fees.
In addition to revenue bond sales, financing for qualified CIP projects was also secured through
the State of Oregon Department of Environmental Quality (DEQ)’s Clean Water State Revolving
Fund (CWSRF) loan program. From 2008-2010, The MWMC secured several CWSRF loan
agreements totalling $20.8 million. These 20-year loans provide the MWMC below-market
interest rates, along with additional financial benefits, including:
$450,000 in “Sponsorship” funding allocated for riparian shade tree planting projects to
help address the MWMC’s pending thermal load obligations. The financing of these
watershed-based projects is made available through the CWSRF program Sponsorship
Option, which provides funding to the borrower to address nonpoint source water quality
solutions through a reduced interest rate. The interest rate reduction allows the MWMC to
invest in watershed improvements using money that would have otherwise been paid as
interest on the loan.
$4 million funded through the American Reinvestment and Recovery Act (ARRA, or
“Stimulus”). The ARRA funding provided 50% of the loan in principal forgiveness (not
requiring repayment), and the remaining 50% of principal payment bearing 0% interest.
This resulted in $2 million of net revenue to the CIP in addition to interest savings.
The RWP’s operating fund is maintained to pay for operations, administration, debt service,
equipment replacement contributions and capital contributions associated with the RWP. The
operating fund derives the majority of its revenue from regional wastewater user fees that are
collected by the City of Eugene and City of Springfield from their respective customers. In
accordance with the MWMC 2005 Financial Plan, funds remaining in excess of budgeted
operational expenditures can be transferred from the Operating Fund to the Capital Reserve fund.
The Capital Reserve accumulates revenue to help fund capital projects, including major
rehabilitation, to reduce the amount of borrowing necessary to finance capital projects.
The AMCP consists of three programs managed by the City of Eugene and funded through
regional wastewater user fees: The Equipment Replacement Program, which funds replacement
of equipment valued at or over $10,000 but less than $200,000; The Major Rehabilitation
Program, which funds rehabilitation of the MWMC infrastructure such as roof replacements,
structure coatings, etc.; and the Major Capital Outlay Program for capital items (new or
replacement) with costs greater than $200,000. The MWMC assets are tracked throughout their
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 39 FY 16-17 BUDGET AND CIP
lifecycle using asset management tracking software. Based on this information, the three AMCP
program annual budgets are established and projected for the 5-Year Capital Plan.
For planning purposes, the MWMC must consider market changes that drive capital project
expenditures. Specifically, the MWMC capital plan reflects projected price changes over time
that affect the cost of materials and services. Until about 2003, the 20-city average Engineering
News Record Construction Cost Index (ENRCCI) served as a good predictor for future inflation
and was used for projecting the MWMC’s construction costs. Accordingly, construction cost
projections considered in the 2004 FP were based on January 2004, 20-city average ENRCCI.
However, in the period 2004 through 2008, construction inflation accelerated nationally with
local construction cost inflation accelerating even faster than the national average. City of
Springfield staff identified this trend in 2005 and subsequently modified their inflationary
projection methodology accordingly.
In early 2006, the MWMC hired the consulting firm CH2M to perform a comprehensive update
of project cost estimates. Following the 2006 update, the RWP’s CIP assumed a general price
increase of 5% per-year over the planning period. However, the MWMC continues to monitor
inflationary trends to inform our forecasting of capital improvement costs. Accordingly, based on
historical inflationary rates from 2006 through 2015, capital project budgets now reflect a 4%
annual inflationary factor in the FY 16-17 Budget and 5-year Capital Plan.
Regional Wastewater Capital Program Status and Budget
CIP Project Status and Budget
The FY 16-17 CIP Budget is comprised of the individual budgets for each of the active
(carryover) or starting (new) projects in the first year of the 5-Year Capital Plan. The total of
these FY 16-17 project budgets is $30,356,600. Each capital project represented in the FY 16-17
Budget is described in detail in a CIP project sheet that can be found at the end of this document.
Each project sheet provides a description of the project, the project’s purpose and driver (the
reason for the project), the funding schedule for the project, and the project’s expected final cost
and cash flow. For those projects that are in progress, a short status report is included on the
project sheet.
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 40 FY 16-17 BUDGET AND CIP
Completed Capital Projects
In FY 15-16, the following capital projects are projected to be completed and closed out. No CIP
project sheets are included for these projects because there is no expected carryover of project
funds to FY 16-17.
Repair/Replacement of Biosolids Force Main
Sodium Hypochlorite Conversion
Influent Pumping and Headworks Expansion
Carryover Capital Projects
All or a portion of remaining funding for active capital projects in FY 15-16 is carried forward to
the FY 16-17 Budget. The on-going carryover projects are:
Increase Digestion Capacity
Operations & Maintenance Building Improvements
Poplar Harvest Management Services
WPCF Lagoon Removal/Decommissioning
Thermal Load Mitigation: Pre-Implementation
Thermal Load Mitigation: Implementation 1
Facilities Plan Engineering Services
Capacity Management Operations and Maintenance (CMOM)
Biogas Cogeneration (a Major Capital Outlay project)
Overall, the budgeting for these projects follows, and is consistent with, the 2006 CH2M
estimated cost of the listed capital projects and new information gathered during design
development.
New Projects
No new projects are anticipated for the MWMC FY 16-17 Capital Budget.
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 41 FY 16-17 BUDGET AND CIP
FY 16-17 Capital Budget Summary (Exhibit 12)
Exhibit 12 below displays the adjusted budget and end-of-year expenditure estimates for FY 15-
16, the amount of funding projected to be carried over to FY 16-17 and additional funding for
existing and/or new projects in FY 16-17.
FY 16-17 Asset Management Capital Project Status and Budget
The AMCP consists of the following three programs:
Equipment Replacement
Major Rehabilitation
Major Capital Outlay
Summary of FY 16-17 MWMC Construction Program Capital Budget
FY 15-16
ADJUSTED
BUDGET
FY 15-16
ESTIMATED
ACTUALS
FY 15-16
CARRYOVER
TO FY 16-17
NEW
FUNDING
FOR FY 16-17
TOTAL
FY 16-17
BUDGET
Projects to be Completed in FY 15-16
Repair/ Replacement of Biosolids Force Main322,70440,000000
Sodium Hypochlorite Conversion1,039,800200,000000
Influent Pumping and Headworks Expansion285,186285,000000
Projects to be Carried Over to FY 16-17
Increase Digestion Capacity 16,157,0681,437,06814,720,000014,720,000
Operations & Maint Building Improvements14,719,167749,16713,970,000013,970,000
Poplar Harvest Management Services1,334,535163,526772,0000772,000
WPCF Lagoon Removal / Decommissioning4,869,681179,681390,0000390,000
Thermal Load Mitigation: Pre-Implementation246,09281,692164,40079,600244,000
Thermal Load Mitigation: Implementation 1 (1)730,884171,429131,0000131,000
Facilities Plan Engineering Services 97,54767,94729,60070,00099,600
Capacity Mgmt Operations Maint (CMOM)94,45433,05830,000030,000
TOTAL Capital Projects$39,897,118$3,408,568$30,207,000$149,600$30,356,600
Major Capital Outlay Carried Over to FY 16-17
Biogas Cogeneration (2)2,900,000800,0002,100,0003,200,0005,300,000
TOTAL Major Capital Outlay (multi-year project)
$2,900,000$800,000$2,100,000$3,200,000$5,300,000
Notes:
(1) Thermal Load Mitigation: Implementation 1 budget includes Mill Race Sponsorship ($200,000) and Cedar Creek Sponsorship ($250,000).
(2) Biogas Cogeneration is multi-year Major Capital Outlay project, a detail sheet is located at the end of this document.
EXHIBIT 12
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 42 FY 16-17 BUDGET AND CIP
The FY 16-17 budget and status of each program is described below:
Equipment Replacement Program - Budget
The FY 16-17 Capital Programs budget includes $381,000 in Equipment Replacement
purchases that are identified on the table below.
Aerial Lift. Provides access for regular and ongoing maintenance of overhead facilities and
equipment such as indoor/outdoor lighting, electrical systems, and heating/ventilation equipment.
Replaces 45-foot boom lift purchased in 2006.
Fleet Replacement. An assessment of age, mileage, hours of operation, and maintenance costs
support the replacement of three electric carts and replacement of a 10-yard dump truck bed.
Diesel Generator, 80 KW. Provides portable emergency power for wastewater treatment
facilities and Glenwood Pump Station. Replacement of 23 year old generator.
Inductively Coupled Plasma Spectrometer. Replacement of 12 year old spectrometer in the
main laboratory.
Security Camera System. Supports video monitoring of Biosolids Management Facility and
Biocycle Farm operations and site activities. Replaces and updates 12 year old equipment.
Computer File Server. Scheduled replacement of one network file server.
Project Description
FY 16-17
Budget
Aerial Lift100,000
Fleet Replacement90,000
Diesel Generator, 80 KW80,000
Inductively Coupled Plasma Spectrometer - Lab77,000
Security Camera System25,000
Computer File Server9,000
Total$381,000
Equipment Replacement
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 43 FY 16-17 BUDGET AND CIP
Major Rehabilitation Program - Budget
The FY 16-17 Capital Programs budget includes $534,000 for Major Rehabilitation projects that
are identified on the table below.
Air Drying Bed Resurfacing. The biosolids drying process takes place on 13 asphalt drying
beds over a 25 acre area. The beds have been on a rotational schedule for resurfacing to extend
their useful life. In FY 16-17 two beds will be resurfaced.
Solids Pretreatment Building Roof Replacement. Replacement of 20 year old built-up
roofing. Inspection findings of blistering and seams separation indicate need for replacement.
Plant Fuel Tank Replacement. Decommissions 32 year old underground fuel tanks and
replaces with above ground tank system.
Air Drying Beds Crack/Fog Sealing (11 beds). Provides protective seal to surface of asphalt
drying beds to help maximize useful life.
Maintenance Building High Bay Air Handlers. Replaces original 33 year old air handlers for
heating and ventilation that have reached the end of their useful life.
Operations/Maintenance Building Improvements. This expenditure will go towards
miscellaneous improvements, repairs, and renovations to improve the functionality and
usefulness of existing buildings.
Project Description
FY 16-17
Budget
Air Drying Bed Resurfacing (2 beds)180,000
Solids Pretreatment Building Roof95,000
Plant Fuel Tank Replacement85,000
Air Drying Beds Crack/fog Sealing (11 beds)64,000
Maintenance Building High Bay Air Handlers60,000
Operations/Maintenance Building50,000
Total$534,000
Major Rehabilitation
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 44 FY 16-17 BUDGET AND CIP
Major Capital Outlay - Budget
The FY 16-17 Capital Programs budget includes $5,670,000 for the Major Capital Outlay items
identified on the table below.
Engine Genrator. The existing 800 KW engine generator provides about 55% of plant electric
power needs and heating water for sludge digestion, building heat, and hot water. This project
will replace the existing equipment with greater generation capacity of up to 1.2 megawatts, and
replace related electrical and control systems that have reached the end of their useful life. As of
January 2016, the project is currently in the design phase. The FY 15-16 budget included $2.9
million for the project. The FY 16-17 budget includes an additional $3.2 million for a project
total of $6.1 million.
Residuals Aerator Tractor Replacement. Replaces the original 16 year old paddle mixer
which is used for daily mixing/turning of biosolids windrows in air drying beds.
Asset Management Capital Budget Summary
The following table summarizes the FY 16-17 Asset Management Capital Program Budget by
project type.
5-Year Capital Plan (Exhibit 13)
For each fiscal planning cycle, only the first year of budget authority is appropriated. The
remaining four years of the CIP and AMCP Capital Plans are important and useful for fiscal and
work planning purposes. However, it is important to note that the funds in the outer years of the
Capital Plan are only planned and not appropriated. Also, the full amount of obligated multi-year
project costs is often appropriated in the first year of the project, unless a smaller subset of the
Project Description
FY 16-17
Budget
Engine Generator Replacement5,300,000
Residuals Aerator Tractor Replacement 370,000
Total$5,670,000
Major Capital Outlay
Capital Project Type
FY 16-17
Budget
Equipment Replacement381,000
Major Rehabilitation534,000
Major Capital Outlay5,670,000
Total$6,585,000
Asset Management Capital Project Budget Summary
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 45 FY 16-17 BUDGET AND CIP
project, such as project design, can be identified and funded without budgeting the full estimated
project cost. For these multi-year contracts, unspent funds from the first fiscal year will typically
be carried over to the next fiscal year until the project is completed. Accordingly, the RWP
Capital Plan presented herein is a subsequent extension of the plan presented in the adopted FY
15-16 Budget that has been carried forward by one year. However, changes to the plan typically
occur from year to year as more information becomes available. In addition to these yearly
adjustments, RWP staff were further informed by a Partial Facilites Plan Update that was
completed in June of 2014. Those changes were reflected in the MWMC FY 15-16 budget and
continue forward in the FY 16-17 for the 5-Year Capital Plan.
Exhibit 13 displays the MWMC 5-Year Capital Plan programs budget, which includes
$79,742,600 in planned capital projects and $12,540,600 planned asset management capital
projects for an overall 5-Year Capital Plan Budget of $92,283,200.
FY 16-17FY 17-18FY 18-19FY 19-20FY 20-21TOTAL
CAPITAL PROJECTS
Biosolids Management
Poplar Harvest Management Services772,000868,000304,0004,0004,0001,952,000
Non-Process Facilities and Facilities Planning
Facility Plan Engineering Services99,60070,00070,00070,00070,000379,600
Capacity Mgmt Operations Maint (CMOM)30,00030,000
Comprehensive Facility Plan 713,000742,0001,455,000
Conveyance Systems
Glenwood Pump Station926,000926,000
Plant Performance Improvements
Increase Digestion Capacity 14,720,00014,720,000
Operations & Maintenance Building Improvements13,970,00013,970,000
WPCF Lagoon Removal/Decommissioning390,0004,300,0004,690,000
Thermal Load Mitigation: Pre-Implementation244,000148,000392,000
Thermal Load Mitigation: Implementation 1 (1)131,000324,0004,838,0004,796,0002,739,00012,828,000
Thermal Load Mitigation: Implementation 21,500,0003,500,0004,000,0009,000,000
Aeration Basin Improvements - Phase 24,050,00011,850,00015,900,000
Tertiary Filtration - Phase 23,500,0003,500,000
TOTAL CAPITAL PROJECTS$30,356,600$6,423,000$8,380,000$12,420,000$22,163,000$79,742,600
ASSET MANAGEMENT
Equipment Replacement381,000972,000588,000617,000648,0003,206,000
Major Rehab534,000813,300763,500607,000566,8003,284,600
Major Capital Outlay(2)5,670,000380,0006,050,000
TOTAL ASSET MANAGEMENT$6,585,000$1,785,300$1,731,500$1,224,000$1,214,800$12,540,600
TOTAL CAPITAL IMPROVEMENTS$36,941,600$8,208,300$10,111,500$13,644,000$23,377,800$92,283,200
(1) Thermal Load Mitigation: Implementation 1 budget includes Mill Race Sponsorship ($200,000) and Cedar Creek Sponsorship ($250,000).
(2) FY16-17 includes $5.3 million for Biogas Cogeneration which is a multi-year project, a detail sheet is located at the end of this document.
EXHIBIT 13
Regional Wastewater 5-Year Capital Programs
Note:
CAPITAL PROJECT DETAIL
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 46 FY 16-17 BUDGET AND CIP
POPLAR MANAGEMENT SERVICES
Description: The Biocycle Farm comprises nearly 400 acres of hybrid poplar trees, which were
planted as three management units (MUs). The MUs were initially planted in 2004, 2007,
and 2009 and are managed on regulated 12-year rotations. This project develops a harvest
management plan for the Biocycle Farm through market collaboration and refinement of
poplar harvest and planting practices. The project ensures the timely harvest of the initial
plantings in each MU within the regulatory 12-year rotation limit and subsequent
replanting.
Status: 18% completed. MU-1, comprising 156 acres, was fully harvested in 2013-2015. MU-1
will be replanted in FY 15-16 with replanting activities extending into FY 16-17. MU-2
was partially harvested in FY 15-16 for test marketing of veneer. Complete harvest of
MU-2 will resume in FY 16-17.
Justification: Land use regulatory requirement for operation of the Biocycle Farm.
Project Driver: Land Use Compatibility Statement (LUCS) issued by Lane County.
Project Trigger: Oregon ORS/OAR and NRCS rules dictating that exclusive farm use lands and farmed
wetland status agricultural lands requiring agriculturally managed hybrid poplar
plantations must be limited to 12-year rotation duration.
Project Type: 100% Performance
Improvement
SDC Eligibility: 0%
Estimated Project Cost: $2,346,000 for harvest and administration of the initial plantings across all three MUs.
Estimated Cash Flow: FY 13-14 = $116,009; FY 14-15 = $114,465; FY 15-16 = $163,526; FY 16-17 =
$772,000; FY 17-18 = $868,000; FY 18-19 = $304,000; FY 19-20 = $4,000; FY 20-21 =
4,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $230,474 $163,526 $772,000 $868,000 $304,000 $4,000 $4,000 $2,346,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $230,474 $163,526 $772,000 $868,000 $304,000 $4,000 $4,000 $2,346,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 47 FY 16-17 BUDGET AND CIP
FACILITY PLAN ENGINEERING SERVICES
Description: Engineering services for analysis, project definition, cost estimating, and general
consultation regarding the 20-Year Facilities Plan.
Status: This year, work continued on assessment of biogas utilization alternatives, which used a
Triple Bottom Line (TBL) approach to inform staff recommendations. Based on TBL
results, regional program staff recommended implementation of a project to expand the
WPCF’s combined heat and power (CHP) production capacity from 0.8 to 1.2
megawatts. This would allow the plant to more fully utilize the biogas for power and
heat production and minimize biogas flaring. However, due to recent changes in Eugene
Water and Electric Board’s (EWEB’s) proposed power pricing structure, the project was
halted while regional program staff revises the economic assessment of the CHP
expansion project. Moving forward, staff anticipates additional need for Facilities Plan
Engineering Services to support ongoing upgrades and infrastructure needs at MWMC
facilities.
Justification: Projects were developed to varying levels of specificity in the 20-Year Facilities Plan and
there is an on-going need for ongoing technical and engineering resources to help in
further refining projects and generally assisting with implementation of the plan. Another
need addressed by this resource is assurance that the new improvements maintain the
overall integrity of the plant in terms of treatment processes and hydraulics. This task
also provides ongoing planning work related to items not addressed by the 2004 MWMC
Facilities Plan.
Project Driver: Ongoing goal to efficiently follow and accommodate the upgrades resulting from the 20-
Year Facilities Plan.
Project Trigger: On-going need.
Estimated Project Cost: $933,639
Estimated Cash Flow: FY 06-07 = $50,000; FY 07-08 = $50,044; FY 08-09 = $25,467; FY 09-10 = $31,829;
FY 10-11 = $69,419; FY 11-12 = $8,699; FY 12-13 = $36,690; FY 13-14 = $146,491;
FY 14-15 = $67,453; FY 15-16 = $67,947; FY 16-17 = $99,600; FY 17-18 = $70,000;
FY 18-19 = $70,000; FY 19-20 = $70,000; FY 20-21 = $70,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $486,092 $67,947 $99,600 $70,000 $70,000 $70,000 $70,000 $933,639
Total Cost $486,092 $67,947 $99,600 $70,000 $70,000 $70,000 $70,000 $933,639
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 48 FY 16-17 BUDGET AND CIP
CAPACITY MANAGEMENT, OPERATIONS, AND MAINTENANCE (CMOM)
Description: This project (formerly identified as the WWFMP Update project) supports and guides ongoing
collection system capacity management, operations and maintenance (CMOM) programs to address
Rainfall Derived Inflow and Infiltration (RDII) and sanitary sewer overflows (SSOs). The
MWMC’s NPDES permit requires wet weather planning and prohibits SSOs. DEQ’s SSO
Enforcement Internal Management Directive identifies CMOM as an acceptable programmatic
approach to help ensure compliance. The MWMC’s CMOM program provides staff resources and
engineering consultant services to support the implementation of CMOM programs owned and
operated by the two partner cities within the MWMC’s service area (i.e., Eugene and Springfield).
The effort funded through this project provides or supports workshop organization and facilitation,
guidance development and documentation, technical analysis, standards establishment, and CMOM
gap analysis assistance.
Status: Last year, both partner cities completed CMOM program implementation plans building on the gap
analyses they performed in the prior year. Summaries of these plans were presented to the MWMC
on August 14, 2015. In addition, regional program staff hired a consultant to perform a study of
private lateral program approaches. A goal of this study was to recommend steps that partner
agencies could follow to develop private lateral programs to reduce the amount of RDII entering
the collection system. A summary of study findings was presented to the MWMC on March 13,
2015. Finally, regional program staff organized a workshop attended by staff from the two partner
cities and representatives from three Oregon wastewater agencies who have implemented
successful private lateral programs. The goal of the workshop was to share information on private
lateral programs between the agencies. A debriefing meeting was held shortly after the workshop to
discuss and identify potential next steps for each partner city. Going forward, regional wastewater
program staff will continue to facilitate further discussion and potential implementation of private
lateral programs.
Project Driver: Meet new NPDES requirements concerning SSOs, wet weather planning, and RDII reduction
through a CMOM program approach.
Project Trigger: Address NPDES Permit requirements related to SSOs and RDII.
Improvement
SDC Eligibility: 11%
Estimated Project Cost: $500,604
Estimated Cash Flow: FY 05-06 = $6,028; FY 06-07 = $86,895; FY 07-08 = $42,589; FY 08-09 = $9,562
FY 09-10 = $14,724; FY 10-11 = $7,538; FY 11-12 = $26,909; FY 12-13 = $123,251;
FY 13-14 = $91,671; FY 14-15 = $28,379; FY 15-16 = $33,058; FY 16-17 = 30,000
Expenditure/Category Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $437,546 $33,058 $30,000 $0 $0 $0 $0 $500,604
Total Cost $437,546 $33,058 $30,000 $0 $0 $0 $0 $500,604
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 49 FY 16-17 BUDGET AND CIP
COMPREHENSIVE FACILITIES PLAN UPDATE NO.1
Description: This will be the first MWMC Comprehensive Facilities Plan Update since the 2004
MWMC Facilities Plan. This Comprehensive Facilities Plan Update effort will consider a
20-year planning horizon and will draw on the most recent plant data, current regulatory
landscape, and available technology in order to ensure the MWMC continues to meet
future regulations, environmental standards, and customer needs.
Status: Planned for future implementation.
Justification: Plan future conveyance and treatment upgrades and/or expansions to meet regulatory
requirements, preserve public health and regional water quality standards.
Project Driver: Provides comprehensive facilities planning to develop the capital program for the
upcoming 20-year period once the MWMC receives new regulatory requirements under
the next NPDES permit renewal.
Project Trigger: Planning cycle initiated under the 2004 Facilities Plan and later modified to match
evolving NPDES permit renewal schedule, now estimated for 2017 at the earliest.
Project Type: Facilities Plan
Improvement
SDC Eligibility: 21%
Estimated Project Cost: $1,457,280
Estimated Cash Flow: FY 14-15 = $2,280; FY 17-18 = $713,000; FY 18-19 = $742,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $2,280 $0 $0 $713,000 $742,000 $0 $0 $1,457,280
Total Cost $2,280 $0 $0 $713,000 $742,000 $0 $0 $1,457,280
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 50 FY 16-17 BUDGET AND CIP
GLENWOOD PUMP STATION UPGRADE
Description: Expand Glenwood pump station capacity. The existing pump station is built to be
expandable in capacity when the need arises. Two pumps are installed with the
expandability to add up to two additional pumps when needed.
Status: The project is anticipated to start design development in 2018 with consultant services.
The scope of work is planned to add one wastewater pumping system.
Justification: Additional pumping capacity will be required at this MWMC pump station to handle
increasing flows in the Glenwood area (Springfield) and the Laurel Hill area (Eugene).
Project Driver: Keep up with capacity needs, maintain required pumping redundancy, and prevent
overflows upstream of the Glenwood pump station.
Project Trigger: Planning work in 2014 anticipates that a third pump to increase capacity should be
operational by about year 2019. The timing will be impacted by the rate and type of
development in the area and efforts to minimize infiltration and inflow that impact the
Glenwood pump station. The MWMC Partial Facilities Plan Update document dated June
2014 recommended moving the initial budget year to FY 18-19 as shown below.
Project Type: 100% Capacity
Improvement
SDC Eligibility: 38%
Estimated Project Cost: $926,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 18-19 = $864,000; FY 19-20 = $62,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $926,000 $0 $0 $926,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $926,000 $0 $0 $926,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 51 FY 16-17 BUDGET AND CIP
INCREASE DIGESTION CAPACITY
Description: Installation of a fourth digester for expanded production of Class B biosolids. This
project also included supporting the plant-wide landscaping construction work that was
completed in December of 2012.
Status: As of January 29, 2016, the project to Increase Digestion Capacity is in the design phase
for a fourth digester and construction should start in fall of 2016. The MWMC has three
existing digesters.
Justification: Continue to meet the requirements for Class B digestion with the ability to take one
digester out of service for cleaning and/or repairs.
Project Driver: Addresses the need for anaerobic digestion capacity. The 2004 MWMC Facilities Plan
considers an option to upgrade the existing digestion process to meet Class A biosolids
standards as a strategy to secure a wider range of beneficial end-use options and increase
program flexibility. Since that time, the MWMC has effectively expanded beneficial
application of Class B biosolids with expansion of the Biocycle Poplar Farm, and through
working with private sector end-users.
Project Trigger: Estimates indicate that expanded digestion facilities will be needed by 2017 or 2018. The
design phase started in 2015.
Improvement
SDC Eligibility: 54.3%
Estimated Project Cost: $16,653,170 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 11-12 = $139,028; FY 12-13 = $44,142; FY 13-14 = $0; FY 14-15 = $312,932
FY 15-16 = $1,437,068; FY 16-17 = $7,050,000; FY 17-18 = $7,600,000;
FY 18-19 = $70,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $496,102 $1,437,068 $14,720,000 $0 $0 $0 $0 $16,653,170
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $496,102 $1,437,068 $14,720,000 $0 $0 $0 $0 $16,653,170
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 52 FY 16-17 BUDGET AND CIP
OPERATIONS & MAINTENANCE BUILDING IMPROVEMENTS
Operations Building Maintenance Building
Aerial
Maintenance Building ISC Modular Building
Description: This project will update and expand the Operations and Maintenance (O&M) support
facilities at the Water Pollution Control Facility (WPCF). The support facilities to be
updated and expanded on include the Maintenance Building, Administrative/Operations
Building, and the temporary Industrial Source Control (ISC) building. The improvements
will include a new laboratory building located where the temporary ISC building is
currently.
Status: As of December 29, 2015: The project team with direction from the Architectural
Consultant created three alternatives with cost estimates to consider based on information
gathered during the pre-design (architectural programming) phase. Staff received
Commission approval to move forward with the design of Alternative #2 which include
modifications and additions to the Maintenance and Administration/Operations Buildings
and design a new building for laboratory functions. The project is in the design phase,
and construction bidding is anticipated in summer or fall of 2016.
Justification: The original design for the O&M Buildings at the WPCF was completed in the late
1970s. Since that time, use of the O&M Buildings have changed substantially due to
modifications in the workforce, advancing technology, regulatory changes, and an
increase in staff to support additional facilities Building codes, have also changed during
this time, necessitating upgrades. Lastly, the ISC modular building was installed as a
temporary structure in 1996 and has since reached the end of its useful life.
Project Driver: The need to update and/or replace the existing O&M support facilities is driven by the
need to provide a safe and efficient work environment for WPCF staff. Many of these
changes stem from a changing wastewater/environmental business since the MWMC
original construction that occurred in the early 1980’s.
Project Trigger: As needed, due to expansion and changes related to the MWMC facilities and safety.
Estimated Project Cost: $14,900,000
Improvement
SDC Eligibility: To be determined
Estimated Cash Flow: FY 14-15 = $180,833; FY 15-16 = $749,167; FY 16-17 = $4,400,000;
FY 17-18 = $6,500,000; FY 18-19 = $3,070,000 (estimated cash flow related to
administration, design, permits, construction, etc.)
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $180,833 $749,167 $13,970,000 $0 $0 $0 $0 $14,900,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $180,833 $749,167 $13,970,000 $0 $0 $0 $0 $14,900,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 53 FY 16-17 BUDGET AND CIP
WPCF ONSITE LAGOON
Description: This project decommissions the existing biosolids lagoon at the Water Pollution Control
Facility (WPCF).
Status: As of January 13, 2016: The project is in pre-design phase and cost estimations are
preliminary. The MWMC hired a consultant in December of 2014 to create a bid package
to decommission the lagoon. Lagoon decommissioning site work is anticipated in 2018
but the schedule might change based on progress of the construction of the forth digester
improvements.
Justification: The lagoon was constructed in 1979 as a temporary biosolids storage facility while the
Biosolids Management Facility was under construction. Since that time it has also served
as a temporary storage lagoon to support digester cleaning operations. However, the
lagoon no longer serves the purpose for which it was originally constructed and does not
meet current design standards for wastewater lagoons.
Project Driver: The lagoon can no longer provide the biosolids capacity for which it was intended nor
cost effectively continue to support digester cleaning operations. The lagoon is almost
full of accumulated rainwater and residual solids. Therefore, the decision was made to
decommission the lagoon and change the process of cleaning the digesters.
Project Trigger: The WPCF lagoon no longer functions as originally designed.
Estimated Project Cost: $5,000,000 (funding for administration, design, permits, construction, etc.)
Improvement
SDC Eligibility: Not applicable
Estimated Cash Flow: FY 13-14 = $1,769; FY 14-15 = $128,550; FY 15-16 = $179,681; FY 16-17 = $33,000;
FY 17-18 = $542,000; FY 18-19 = $4,115,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $130,319 $179,691 $390,000 $4,300,000 $0 $0 $0 $5,000,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $130,319 $179,681 $390,000 $4,300,000 $0 $0 $0 $5,000,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 54 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION PRE-IMPLEMENTATION
Description: This project includes the study and planning of thermal load mitigation measures
including recycled water feasibility studies, riparian shading projects, and water quality
trading credit development, as well as associated permit negotiation and legal strategy
related to the temperature total maximum daily loads (TMDL) and NPDES permit
renewal.
Status: Two of three planned phases of thermal load strategy planning have been completed with
recommendations to develop opportunities for recycled water demonstration projects and
partnerships in watershed restoration for temperature credits. The third phase of study
commenced in FY 15-16 and will continue in FY 16-17.
Justification: Provides planning of infrastructure, projects, and collaborative agreements needed so that
thermal loads are reduced on the Willamette River while providing additional
environmental and community benefits.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River TMDL
temperature requirements.
Project Trigger: Planning necessary for ongoing compliance with Oregon’s temperature standard.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $818,595
Estimated Cash Flow: FY 13-14 = $ 295,995; FY 14-15 = $48,908; FY 15-16 = $81,692; FY 16-17 = $244,000;
FY-17-18 = $148,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $344,903 $81,692 $244,000 $148,000 $0 $0 $0 $818,595
Total Cost $344,903 $81,692 $244,000 $148,000 $0 $0 $0 $818,595
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 55 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION – IMPLEMENTATION 1
Description: This project implements thermal load mitigation projects strategized for regulatory
compliance and additional environmental and community benefits. The projects may
include recycled water use expansion at MWMC facilities and/or extension of recycled
water services to community partners, water quality trading credit strategies through
shade credit investments, and collaborative partnerships for permit compliance. The
recycled water projects may include additional treatment, disinfection, pumping, pipeline,
and distribution/irrigation systems.
Status: Pilot-scale riparian shade projects are currently being implemented under a 25-year
contract agreement with The Freshwater Trust. Additional project opportunities are being
evaluated for future implementation under the Thermal Load Mitigation: Pre-
Implementation Project.
Justification: Meet future thermal load permit limits and improve water quality. Implementation of the
thermal load compliance strategy developed under pre-implementation planning phase.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River total
maximum daily loads (TMDL) temperature requirements.
Project Trigger: Project implementation necessary for ongoing compliance with Oregon’s temperature
standard.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $13,165,470
Estimated Cash Flow: FY 13-14 = $78,925; FY 14-15 = $87,116; FY 15-16 = $171,429; FY 16-17 = $131,000;
FY 17-18 = $324,000; FY 18-19 = $4,838,000; FY 19-20 = $4,796,000;
FY 20-21 = $2,739,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $166,041 $171,429 $131,000 $324,000 $4,838,000 $4,796,000 $2,739,000 $13,165,470
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $166,041 $171,429 $131,000 $324,000 $4,838,000 $4,796,000 $2,739,000 $13,165,470
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 56 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION – IMPLEMENTATION 2
Description: This project anticipates future expansion of recycled water uses, riparian restoration,
and/or other thermal load and watershed management strategies for regulatory
compliance and environmental and community benefits. These projects are subject to the
outcomes of the regulatory scenarios and goals associated with changing conditions of
total maximum daily loads (TMDL) implementation, community and climatic factors,
and emerging water quality/quantity needs.
Status: To be planned.
Justification: Ongoing fulfillment of thermal load mitigation strategic plans.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River TMDL
temperature requirements, other emerging water quality regulatory drivers, and
community needs.
Project Trigger: Compliance with NPDES discharge permit.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $9,000,000 (plus up to $8,000,000 anticipated project need in the out-years FY 21-22 and
beyond for a total project cost of $17,000,000).
Estimated Cash Flow: FY 18-19 = $1,500,000; FY 19-20 = $3,500,000; FY 20-21 = $4,000,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $1,500,000 $3,500,000 $4,000,000 $9,000,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $1,500,000 $3,500,000 $4,000,000 $9,000,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 57 FY 16-17 BUDGET AND CIP
AERATION BASIN IMPROVEMENTS – PHASE 2
Description: Aeration Basin (Phase 2): Add step feed, anoxic selectors, and fine bubble diffusers to 4
of the 8 cells of the aeration basins and make hydraulic improvements. This project was
originally the North Aeration Basin Improvements project; however the Phase 1
study/design phase showed that improvements to the four eastern most basins as a first
phase would allow for better hydraulics and more operational flexibility.
In January 2016, the project scope and cost (estimate $750K) increased to include
replacement of existing aeration basin gates, valves and spray system.
Status: The Aeration Basin (Phase 2) project is anticipated to start design development in fiscal
year 19-20 with consultant services.
Justification: Increase the dry weather aeration basin treatment capacity with respect to ammonia (with
nitrification) and increase the wet weather treatment capacity.
Project Driver: National Pollution Discharge Elimination System (NPDES) permit includes ammonia
limit requiring nitrification in dry weather and expansion of wet weather capacity to treat
wet weather flows to meet NPDES permit monthly and weekly suspended solids limits.
Project Trigger: Address water quality requirements (need to evaluate the requirements based on the
MWMC next NPDES permit renewal that is not anticipated to be issued in 2016).
Project Type: 50% Capacity; 50% Performance
Improvement
SDC Eligibility: 58.7%
Estimated Project Cost: $15,900,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 19-20 = $1,450,000; FY 20-21 = $6,800,000; FY 21-22 = $6,950,000;
FY 22-23 = $700,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $4,050,000 $11,850,000 $15,900,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $0 $4,050,000 $11,850,000 $15,900,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 58 FY 16-17 BUDGET AND CIP
TERTIARY FILTRATION - PHASE 2
Description: The phased work program will install infrastructure/support facilities for 30 mgd of filters
for tertiary filtration of secondary treated effluent. Phase 2 is planned to install filter
system technology sufficient for another 10 mgd of treatment that will increase the total
filtration capacity to 20 mgd. The Phase 3 project will install the remaining filtration
technology to meet the capacity needs identified in the 2004 MWMC Facilities Plan.
In January 2016, the project scope and cost (estimate $530K) increased to include
updating electrical switchgear, and install tertiary filter flushing headers/pipe vents.
Status: Tertiary Filtration (Phase 2) project is anticipated to start design development in fiscal
year 20-21. The MWMC has an existing equipment agreement (ending October 2017) to
allow for additional filtration equipment at a defined price.
Justification: The 2004 MWMC Facilities Plan proposes phasing filters on a phased work program.
Filtration provides high quality secondary effluent to help meet permit requirements and
potential Class A recycled water.
Project Driver: Performance reliability to meet the dry weather NPDES total suspended solids limits of
less than 10 mg/L, reuse development, and compliance with effluent limits during peak
flow conditions.
Project Trigger: NPDES permit compliance for total suspended solids (TSS): Dry weather maximum
month flow in excess of 49 mgd. Also, provide higher quality effluent so that reuse
options can be developed.
Improvement
SDC Eligibility: 41.6%
Estimated Project Cost: $14,030,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 20-21 = $1,600,000; FY 21-22 = $5,800,000; FY 22-23 = $6,630,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $3,500,000 $3,500,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $0 $0 $3,500,000 $3,500,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 59 FY 16-17 BUDGET AND CIP
BIOGAS COGENERATION SYSTEM REPLACEMENT
Description: Increase capacity of the combined heat and power generation system (also known as a
cogeneration system), located at the Water Pollution Control Facility (WPCF), to
maximize biogas utilization.
Status: As of January 20, 2016, design of a larger capacity cogeneration system is 50% complete.
Further design efforts are paused until definitive long-term financial determinations can
be made.
Justification: This project will beneficially utilize nearly 100% of generated biogas, opposed to
currently flaring approximately 30%.
Project Driver: Maximize the beneficial use of biogas, following the recommendation of the Biogas
Utilization Study.
Project Trigger: Existing cogen unit is scheduled to need a major rebuild by March 2017.
Project Type: 100% Performance
Improvement
SDC Eligibility: Not applicable
Estimated Project Cost: $6,100,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 15-16 = $800,000; FY 16-17 = $3,200,000; FY 17-18 = $2,100,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $800,0000 $5,300,000 $0 $0 $0 $0 $6,100,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $800,000 $5,300,000 $0 $0 $0 $0 $6,100,000
Preliminary
REGIONAL WASTEWATER PROGRAM BUDGET
AND CAPITAL IMPROVEMENTS PROGRAM
Fiscal Year 2016-17
Preliminary
REGIONAL WASTEWATER PROGRAM
BUDGET
and
CAPITAL IMPROVEMENTS PROGRAM
Fiscal Year 2016-17
The Metropolitan Wastewater Management Commission adopted the Operating Budget and Capital
Improvements Program (CIP) for FY 16-17 on April 8, 2016. The Budget and CIP are currently
scheduled for consideration and ratification by the Springfield City Council on May 2, 2016, the
Eugene City Council on May 9, 2016, and the Lane County Board of Commissioners on May 17,
2016. The Commission is scheduled for final consideration and ratification of the Budget and CIP
on June 10, 2016.
COMMISSION MEMBERS:
Joe Pishioneri, President (Springfield)
Bill Inge, Vice President (Lane County)
George Brown (Eugene)
Doug Keeler (Springfield)
Hilary Loud, (Eugene)
Walt Meyer (Eugene)
Faye Stewart (Lane County)
STAFF:
Anette Spickard, MWMC Executive Officer/Springfield Development and Public Works Director
Matthew Stouder, MWMC General Manager/Springfield Environmental Services Manager
Michelle Cahill, Eugene Wastewater Division Director
Robert Duey, MWMC Finance Officer/Springfield Finance Director
www.mwmcpartners.org
TABLE OF CONTENTS
Metropolitan Wastewater Management Commission Overview
METROPOLITAN WASTEWATER MANAGEMENT COMMISSION
Preliminary FY 16-17 BUDGET AND CAPITAL IMPROVEMENTS PROGRAM
for the
REGIONAL WASTEWATER PROGRAM
TABLE OF CONTENTS
PROGRAM OVERVIEW
Budget Message ..................................................................................................................... 1
Acronyms and Explanations .................................................................................................... 3
Regional Wastewater Program Overview .................................................................... .......... 5
Exhibit 1: Interagency Coordination Structure ........................................................... .. 11
BUDGET SUMMARY
Regional Wastewater Program Budget and Program Summary .......................................... 12
Exhibit 2: Regional Operating Budget Summary ........................................................... 12
Exhibit 3: Line Item Summary by Program Area ........................................................... 14
Exhibit 4: Budget Summary and Comparison ................................................................ 15
RESERVE FUNDS
Regional Wastewater Program Reserve Funds ...................................................................... 19
Exhibit 5: Operating Reserves Line Item Budget ........................................................... 20
OPERATING PROGRAMS
Regional Wastewater Program Staffing ................................................................................. 23
Exhibit 6: Regional Wastewater Program Organizational Chart .................................... 23
Exhibit 7: Regional Wastewater Program Position Summary ........................................ 24
Springfield Program and Budget Detail ................................................................................. 26
Exhibit 8: Springfield Administration Program Budget Summary................................. 29
Exhibit 9: Springfield Administration Line Item Summary ........................................... 30
Eugene Program and Budget Detail ....................................................................................... 31
Exhibit 10: Eugene Operations & Maintenance Program Budget Summary .................. 35
Exhibit 11: Eugene Operations & Maintenance Line Item Summary ............................. 36
CAPITAL PROGRAM
Regional Wastewater Capital Improvements Program .......................................................... 37
Exhibit 12: Capital Program Budget Summary ............................................................... 41
Exhibit 13: Capital Program 5-Year Plan ........................................................................ 45
CAPITAL PROJECT DETAIL
Capital Program Project Detail Sheets ................................................................................... 46
PROGRAM OVERVIEW
Metropolitan Wastewater Management Commission Budget Message
Page 1 FY 16-17 BUDGET AND CIP
BUDGET MESSAGE
Members of the Metropolitan Wastewater Management Commission (MWMC)
MWMCs’ Customers and Partnering Agencies
We are pleased to present the Metropolitan Wastewater Management Commission’s (MWMC)
budget for fiscal year 2016-17 (FY 16-17). This budget funds operations, administration, and
capital projects planned for the Regional Wastewater Program (RWP). The MWMC
administration and Capital Improvements Program (CIP) components of the budget are reflected
in the City of Springfield’s RWP budget. The operations, maintenance, equipment replacement,
and major rehabilitation components are reflected in the City of Eugene’s RWP budget. The
Cities’ Industrial Pretreatment Programs, managed locally in compliance with the MWMC
Model Ordinance, also are included in the RWP budget.
The MWMC has been quietly providing high-quality wastewater services to the metropolitan
area for more than 30 years. The combined Eugene-Springfield population is 220,840, with the
MWMC providing wastewater services for approximately 77,200 residential and commercial
service connections to the Regional Wastewater Facilities. The MWMC is committed to clean
water, the community’s health, and the local environment.
This budget reflects a continued focus on design and construction of capital improvements
planned to ensure that operation of the Regional Wastewater Facilities meets environmental
regulations, and that adequate capacity will be provided to meet the needs of a growing service
area. The Capital budget for FY 16-17 is $36,941,600. Approximately $20 million of the total
capital budget will not be spent in FY 16-17, but is included to enable MWMC to commit to
contracts that will occur in FY 16-17 for projects that span multiple years.
MetropolitanWastewater ManagementCommission BudgetMessage
TheFY16-17RWPOperatingBudgetforpersonnelservices, materialsandservicesandcapital
outlayexpenseis $17,700,630,reflectinga2%increasewhencomparedtotheprioryearadopted
budget. TheFY16-17budgetincludesDebtServicepaymentsthattotal $5,504,462asscheduled
forrepaymentof$20.8millioninCleanWaterSRFloans,plus$33.25millioninrevenuebonds
issuedin2016tofundtheFacilitiesPlancapitalimprovements. InFY15-16,the2006revenue
bondswereretiredearly, alongwithanadvancerefundingonthe2008revenuebondsforinterest
costsaving, resultinginthe2016revenuebonds. Assuch,thetablebelowreflectsalower
amountinbeginningcash,reservesanddebtserviceexpensesinFY16-17.
REGIONALWASTEWATERPROGRAM
RESOURCEANDEXPENDITURESUMMARY
ADOPTED AMENDEDADOPTED
BUDGETBUDGET BUDGET
2015-162015-162016-17
RESOURCES
Beginning Cash 107,167,940 $110,160,579 $76,342,200
UserFees 30,987,50030,987,500 31,327,500
InternalTransfers 16,878,90421,428,90413,570,191
Miscellaneous1,273,800 1,273,8001,061,110
SystemDevelopmentCharges 1,100,0001,100,0001,200,000
Interest 434,300 434,300403,200
157,842,444 $165,385,083 $123,904,201
EXPENDITURES
Reserves92,512,921 $36,935,34250,187,318
CapitalProjects 21,938,60444,322,56036,941,600
Internal Transfers 16,878,90421,428,90413,570,191
Operations 13,516,071 13,636,52513,899,707
DebtService9,163,743 44,808,7435,504,462
Administration 3,832,2013,787,0093,800,923
157,842,444 $165,385,083 $123,904,201
ForFY16-17userfeerevenues(includingseptageserviceandSDCcompliancecharges)are
projectedat$31,327,500. Thislevelofrevenueisbasedonarecommended2%increasein
regionalwastewateruserfeesinordertocontinuetomeetthenetrevenueobjectives.
Insummary, theFY16-17budgetimplementstheCommission'sadoptedFinancialPlan
policies, fundingoperationsandadministrationsufficientlytomaintainexistinglevelsofservice
andtomeettheenvironmentalperformancenecessaryforcompliancewiththeNationalPollutant
DischargeEliminationSystem(NPDES)permitissuedtotheMWMCandthetwoCities.
Respectfullysubmitted,
g7tdaf
r• v ,/ Ckth - .A---
AnetteSpickard
MWMCExecutiveOfficer
Page2FY16-17 BUDGETANDCIP
Metropolitan Wastewater Management Commission Acronyms and Explanations
Page 3 FY 16-17 BUDGET AND CIP
ACRONYMS AND EXPLANATIONS
AMCP – Asset Management Capital Program. The AMCP implements the projects and activities
necessary to maintain functionality, lifespan, and effectiveness of the MWMC facility assets on an
ongoing basis. The AMCP is administered by the City of Eugene for the MWMC.
ARRA – American Reinvestment and Recovery Act. This funding was part of the federal
government’s economic stimulus program and issued loans under favorable conditions to
stimulate infrastructure and capital project investment.
BMF – Biosolids Management Facility. The Biosolids Management Facility is an important part
of processing wastewater where biosolids generated from the treatment of wastewater are turned
into nutrient rich, beneficial organic materials.
CIP – Capital Improvements Program. This program implements projects outlined in the 2004
Facilities Plan and includes projects that improve performance, or expand treatment or hydraulic
capacity of existing facilities.
CMOM – Capacity Management and Maintenance Program. The CMOM program addresses wet
weather issues such as inflow and infiltration with the goal to eliminate sanitary sewer overflows
to the extent possible and safeguard the hydraulic capacity of the regional wastewater treatment
facility.
CWSRF – Clean Water State Revolving Fund. The Clean Water State Revolving Fund loan
program is a federal program administered by the Oregon DEQ that provides low-cost loans for
the planning, design and construction of various water pollution control activities. (DEQ)
EMS – Environmental Management System. An EMS is a framework to determine the
environmental impacts of an organization’s business practices and develop strategies to address
those impacts.
ESD – Environmental Services Division. The ESD is a division of the City of Springfield’s
Development and Public Works Department that promotes and protects the community’s health,
safety, and welfare by providing professional leadership in the protection of the local
environment, responsive customer service, and effective administration for the Regional
Wastewater Program.
IGA – Intergovernmental Agreement. Pursuant to ORS 190.010, ORS 190.080, and ORS
190.085, the IGA is an agreement between the cities of Eugene and Springfield and Lane County
that created the MWMC as an entity with the authority to provide resources and support as
defined in the IGA for the Regional Wastewater Program.
Metropolitan Wastewater Management Commission Acronyms and Explanations
Page 4 FY 16-17 BUDGET AND CIP
MWMC – Metropolitan Wastewater Management Commission. The MWMC is the Commission
responsible for the oversight of the Regional Wastewater Program. In this role, the MWMC
protects the health and safety of our local environment by providing high-quality management of
wastewater conveyance and treatment to the Eugene-Springfield community. The Commission is
responsible for the oversight of the Regional Wastewater Program.
NPDES – National Pollutant Discharge Elimination System permit. The NPDES permit program
is administered by the Oregon Department of Environmental Quality (DEQ) in fulfillment of
federal Clean Water Act requirements. The NPDES permit includes planning and technology
requirements as well as numeric limits on effluent water quality.
RWP – Regional Wastewater Program. Under the oversight of the MWMC, the purpose of the
RWP is to protect public health and safety and the environment by providing high quality
wastewater management services to the Eugene-Springfield metropolitan area. The MWMC and
the regional partners are committed to providing these services in a manner that will achieve,
sustain, and promote balance between community, environmental, and economic needs while
meeting customer service expectations.
SDC – System Development Charge. SDCs are charges imposed on development so that
government may recover the capital needed to provide sufficient capacity in infrastructure
systems to accommodate the development.
SRF –Clean Water State Revolving Fund. The Clean Water State Revolving Fund loan program
is a federal program administered by the Oregon DEQ that provides low-cost loans for the
planning, design and construction of various water pollution control activities. (DEQ)
SSO –Sanitary Sewer Overflows. Discharges of raw sewage.
TMDL – Total Maximum Daily Load. The federal Clean Water Act defines Total Maximum
Daily Load as the maximum amount of any pollutant that can be safely assimilated by a waterway
in one day without significant degradation of water quality.
TSS – Total Suspended Solids. Organic and inorganic materials that are suspended in water.
WPCF – Regional Water Pollution Control Facility. The WPCF is a state-of-the-art facility
providing treatment of the wastewater coming from the Eugene/Springfield metropolitan area.
The WPCF is located on River Avenue in Eugene. The treatment plant and 49 pump stations
distributed across Eugene and Springfield operate 24 hours a day, 7 days a week, 365 days a year
to collect and treat wastewater from homes, businesses and industries before returning the cleaned
water, or effluent, to the Willamette River. Through advanced technology and processes, the
facility cleans, on average, up to 30 million gallons of wastewater every day.
WWFMP – Wet Weather Flow Management Plan. This plan evaluated and determined the most
cost-effective combination of collection system and treatment facility upgrades needed to manage
excessive wet weather wastewater flows in the Eugene/Springfield metropolitan area.
Metropolitan Wastewater Management Commission Overview
Page 5 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
OVERVIEW
The Metropolitan Wastewater Management Commission
The Metropolitan Wastewater Management Commission (MWMC) was formed by Eugene,
Springfield, and Lane County through an intergovernmental agreement (IGA) in 1977 to provide
wastewater collection and treatment services for the Eugene-Springfield metropolitan area. The
seven-member Commission is composed of members appointed by the City Councils of Eugene
(3 representatives), Springfield (2 representatives) and the Lane County Board of Commissioners
(2 representatives). Since its inception, the Commission, in accordance with the IGA, has been
responsible for oversight of the Regional Wastewater Program (RWP) including: construction,
maintenance, and operation of the regional sewerage facilities; adoption of financing plans;
adoption of budgets, user fees and connection fees; adoption of minimum standards for industrial
pretreatment and local sewage collection systems; and recommendations for the expansion of
regional facilities to meet future community growth. Staffing and services have been provided in
various ways over the 39 years of MWMC’s existence. Since 1983, the Commission has
contracted with the Cities of Springfield and Eugene for all staffing and services necessary to
maintain and support the RWP. Lane County’s partnership has involved participation on the
Commission and support to the Lane County Metropolitan Wastewater Service District (CSD),
which managed the proceeds and repayment of general obligation bonds issued to construct
RWP facilities.
Regional Wastewater Program Purpose and Key Outcomes
The purpose of the RWP is to protect public health and safety and the environment by providing
high quality wastewater management services to the Eugene-Springfield metropolitan area. The
MWMC and the regional partners are committed to providing these services in a manner that
will achieve, sustain, and promote balance between community, environmental, and economic
needs while meeting customer service expectations. Since the mid-1990s, the Commission and
RWP staff have worked together to identify key outcome areas within which to focus annual
work plan and budget priorities. The FY 16-17 RWP work plans and budget reflect a focus on
the following key outcomes or goals. In carrying out the daily activities of managing the regional
wastewater system, we will strive to achieve and maintain:
1. High environmental standards;
2. Fiscal management that is effective and efficient;
3. A successful intergovernmental partnership;
4. Maximum reliability and useful life of regional assets and infrastructure;
5. Public awareness and understanding of MWMC, the regional wastewater system, and
MWMC’s objectives of maintaining water quality and a sustainable environment.
The Commission believes that these outcomes, if achieved in the long term, will demonstrate
success of the RWP in carrying out its purpose. In order to determine whether we are successful,
indicators of performance and targets have been identified for each key outcome. Tracking
performance relative to identified targets over time assists in managing the RWP to achieve
desired results. The following indicators and performance targets provide an important
framework for the development of the FY 16-17 RWP Operating Budget, Capital Improvements
Program and associated work plans.
Metropolitan Wastewater Management Commission Overview
Page 6 FY 16-17 BUDGET AND CIP
Outcome 1: Achieve and maintain high environmental standards.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Amount of wastewater treated to
water quality standards 100%; 11.6
billion gallons
100%; 12
billion gallons
100%; 14.3
billion gallons
Compliance with environmental
performance requirements of all
permits
In compliance In compliance In compliance
MWMC target for high quality
biosolids
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
<50% EPA
40CFR Part
503.13 -Table 3
Pollutant
Concentrations:
Policy Met
Volume of reclaimed water
beneficially reused
88 million
gallons
85 million
gallons
80 million
gallons
Performance targets under the
Environmental Management System
are achieved
100% of EMS
targets met or on
schedule
100% of EMS
targets met or on
schedule
100% of EMS
targets met or on
schedule
Outcome 2: Achieve and maintain fiscal management that is effective and efficient.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Annual budget and rates meet
MWMC Financial Plan policies
Policies Met Policies Met Policies Met
Annual audited financial statements Clean Audit Clean Audit Clean Audit
Uninsured bond rating AA AA A
Reserves funded at target levels Yes Yes Yes
Net revenue to debt service coverage
ratio
2.33 >1.25 >1.25
Metropolitan Wastewater Management Commission Overview
Page 7 FY 16-17 BUDGET AND CIP
Outcome 3: Achieve and maintain a successful intergovernmental partnership.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Industrial Pretreatment Program
implementation in compliance
with state/federal requirements;
audit findings addressed
In compliance
In compliance
I
n compliance
Capacity Management
Operations and Maintenance
(CMOM) Program development
Adopted
Regional CMOM
Program Plan
Implemented
Regional CMOM
Program Plan
Implementation
of Regional
CMOM Program
annual reporting
MWMC Facilities Plan projects
consistent with CIP budget and
schedule
100% of initiated
projects within
budget and 50%
(3 of 6 projects)
on schedule
100% of initiated
projects within
budget and 86%
(6 of 7 projects)
on schedule
100% of initiated
projects within
budget and 50%
on schedule
Outcome 4: Maximize reliability and useful life of regional assets and infrastructure.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Preventive maintenance completed
on time (best practices benchmark
is 90%)
97% 95% 90%
Preventative maintenance to
corrective maintenance ratio
(benchmark 4:1-6:1)
5.2:1 5:1 5:1
Emergency maintenance required
(best practices benchmark is <2%
of labor hours)
0.2% 0.3% <2%
Metropolitan Wastewater Management Commission Overview
Page 8 FY 16-17 BUDGET AND CIP
Outcome 5: Achieve and maintain public awareness and understanding of MWMC, the
regional wastewater system, and MWMC’s objectives of maintaining water quality and a
sustainable environment.
Indicators: Performance:
FY 14-15
Actual
FY 15-16
Estimated Actual
FY 16-17
Target
Create and distribute
e-newsletters
2 Newsletters 4 Newsletters Increase distribution
by 15% and readership
by 10%
Pollution prevention
campaigns
2 Campaigns 4 Campaigns 2 campaigns; reaching
20% of residents in
service area
Provide tours of the
Water Pollution
Control Facility
20 Tours/about
700 people
27 Tours/more than
700 people
Provide tours for more
than 750 people
MWMC website
traffic
Maintained visitor
levels
Maintain visitor
levels
Increase unique
visitors by 15%
Community survey Completed survey
and presented results
Results used to
develop
Communications Plan
Annual Review
Communications Plan -- Update completed Annual Review
Develop video series Designed and began
production
Final production
completed and public
release
---
Metropolitan Wastewater Management Commission Overview
Page 9 FY 16-17 BUDGET AND CIP
Roles and Responsibilities
In order to effectively oversee and manage the RWP, the partner agencies provide all staffing
and services to the MWMC. The following sections describe the roles and responsibilities of
each of the partner agencies, and how intergovernmental coordination occurs on behalf of the
Commission.
City of Eugene
The City of Eugene supports the RWP through representation on the MWMC, provision of
operation and maintenance services, and active participation on interagency project teams and
committees. Three of the seven MWMC members represent Eugene – two citizens and one City
Councilor. Pursuant to the Intergovernmental Agreement (IGA), the Eugene Wastewater
Division operates and maintains the Regional Water Pollution Control Facility (WPCF), the
Biosolids Management Facility (BMF) and associated residuals and reclaimed water activities,
along with regional wastewater pumping stations and transmission sewers. In support of the
RWP, the Division also provides technical services for wastewater treatment; management of
equipment replacement and infrastructure rehabilitation; biosolids treatment and recycling;
industrial source control (in conjunction with Springfield staff); and regional laboratory services
for wastewater and water quality analyses. These services are provided under contract with the
MWMC through the regional funding of 77.40 full-time equivalent (FTE) employees.
City of Springfield
The City of Springfield supports the RWP through representation on the MWMC, provision of
MWMC administration services, and active coordination of and participation on interagency
project teams and committees. Two MWMC members represent Springfield – one citizen and
one City Councilor. Pursuant to the IGA, the Springfield Development and Public Works
Director, and the Environmental Services Manager serve as the MWMC Executive Officer and
General Manager, respectively. The Environmental Services Division and Finance Department
staff provide ongoing staff support to the Commission and administration of the RWP in the
following areas: legal and risk management services; financial management and accounting;
coordination and management of public policy; regulatory and permit compliance issues;
coordination between the Commission and the governing bodies; long-range capital project
planning, design, and construction management; coordination of public information, education,
and citizen involvement programs; and coordination and development of regional budgets, rate
proposals, and revenue projections. Springfield staff also provides local implementation of the
Industrial Pretreatment Program, as well as billing coordination and customer service. These
services are provided under contract with the MWMC through the regional funding of 14.58 FTE
of Development and Public Works Department staff and 0.88 FTE of Finance Department staff,
for a total 15.46 FTE as reflected in the FY 16-17 Budget.
Lane County
The Board of County Commissioners support the RWP through representation on the MWMC,
including two MWMC members that represent Lane County – one citizen and one County
Commissioner. Lane County’s partnership initailly included providing support to manage the
proceeds and repayment of the RWP general obligation bonds to finance the local share of the
RWP facilities construction. These bonds were paid in full in 2002. The County, while not
presently providing sewerage, has the authority under its charter to do so. The Urban Growth
Boundary includes the two Cities (urban lands) and certain unincorporated areas surrounding the
Metropolitan Wastewater Management Commission Overview
Page 10 FY 16-17 BUDGET AND CIP
Cities which lies entirely within the County. Federal funding policy requires sewage treatment
and disposal within the Urban Growth Boundary to be provided on a unified, metropolitan basis.
Interagency Coordination
The effectiveness of the MWMC and the RWP depends on extensive coordination, especially
between Springfield and Eugene staff, who provide ongoing program support. This coordination
occurs in several ways. The Springfield ESD/MWMC General Manager and the Eugene
Wastewater Division Director coordinate regularly to ensure adequate communication and
consistent implementation of policies and practices as appropriate. The Eugene and Springfield
Industrial Pretreatment Program supervisors and staff meet regularly to ensure consistent
implementation of the Model Industrial Pretreatment Ordinance. Additionally, interagency
project teams provide input on and coordination of ongoing MWMC administration issues and
ad hoc project needs.
Exhibit 1 on the following page reflects the interagency coordination structure supporting the
RWP. Special project teams are typically formed to manage large projects such as design and
construction of new facilities. These interagency staff teams are formulated to provide
appropriate expertise, operational knowledge, project management, and intergovernmental
representation.
Relationship to Eugene and Springfield Local Sewer Programs
The RWP addresses only part of the overall wastewater collection and treatment facilities that
serve the Eugene-Springfield metropolitan area. The Cities of Eugene and Springfield both
maintain sewer programs that provide for construction and maintenance of local collection
systems and pump stations, which discharge to the regional system. Sewer user fees collected by
the two Cities include both local and RWP rate components.
Metropolitan Wastewater Management Commission Overview
Page 11 FY 16-17 BUDGET AND CIP
EXHIBIT 1
EUGENE CITY COUNCIL LANE COUNTY
COMMISSIONERS SPRINGFIELD CITY COUNCIL
METROPOLITAN WASTEWATER MANAGEMENT COMMISSION
EUGENE
WASTEWATER DIVISION
-Regional Facility Operation and Maintenance
-Major Rehab and Equipment Replacement
-Technical Services
-Eugene Pretreatment Program
-Pump Station and Interceptor Operations and
Maintenance
PUBLIC WORKS ADMINISTRATION
-Billing and Customer Service
MAINTENANCE DIVISION
-Regional Sewer Line Support
SPRINGFIELD
ENVIRONMENTAL SERVICES DIVISION
-Planning
-Capital Construction
-Rates, Revenues
-Permit Coordination
-Interagency Coordination
-Public Information/Education
-Springfield Pretreatment Program
-Legal and Risk Services
-Billing and Customer Service
FINANCE DEPARTMENT
-Accounting and Financial Reporting
INTERAGENCY COORDINATION AND PROJECT TEAMS
-Administrative Policy Decisions and Coordination
-Operational Policy Decisions and Coordination
-Capital Project Planning and Coordination
-Design Standards Development
-Capital Construction Guidance
REGIONAL WASTEWATER PROGRAM
INTERAGENCY COORDINATION STRUCTURE
Operation & Maintenance Contract Administration Contract
KEY OUTCOMES ACHIEVED
BUDGET SUMMARY
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 12 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
FY 16-17 BUDGET
The MWMC’s RWP Operating Budget provides the Commission and governing bodies with an
integrated view of the RWP elements. Exhibit 2 provides a summary of the overall Operating
Budget. Separate Springfield and Eugene agency budgets and staffing also are presented within
this budget document. Major program areas supported by Springfield and Eugene are described
in the pages that follow and are summarized in Exhibit 3 on page 14. Finally, Exhibit 4 on page
15 combines revenues, expenditures, and reserves to illustrate how funding for all aspects of the
RWP is provided. It should also be noted that the “Amended Budget FY 15-16” column in all
budget tables represents the updated FY 15-16 RWP budget as of February 23, 2016, which
reconciled actual beginning balances at July 1, 2015, and approved budget transfers and
supplemental requests.
Notes:
1. The Change column and Percent Change column compare the adopted FY 16-17 Budget with the
originally Adopted FY 15-16 Budget column.
2. Personnel Services, Materials and Services, and Capital Outlay budget amounts represent
combined Springfield and Eugene Operating Budgets that support the RWP.
3. Capital Outlay does not include CIP, Equipment Replacement, Major Capital Outlay, or Major
Rehabilitation, which are capital programs.
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
(1)
FY 15-16FY 15-16FY 16-17INCR/(DECR)
Full-Time Equivalent Staffing Level93.2993.2992.86(0.43)-0.5%
Personnel Services
(2)$10,102,922$10,072,730$10,303,071$200,1492.0%
Materials & Services
(2)7,201,5507,306,8037,234,45932,9090.5%
Capital Outlay
(2, 3)45,00045,000163,100118,100262.4%
Equip Replacement Contribution
(4)650,000650,000250,000(400,000)-61.5%
Capital Contribution
(5)8,500,00011,885,00011,300,0002,800,00032.9%
Debt Service Contribution
(6)7,163,7437,878,7435,504,462(1,659,281)-23.2%
Bond Sale Costs0466,00000
Working Capital Reserve
(7)900,000900,000900,00000.0%
Rate Stability Reserve
(8)2,000,0002,000,0002,000,00000.0%
Insurance Reserve
(9)500,000515,000515,00015,0003.0%
Operating Reserve
(10)4,823,3964,585,9293,798,506(1,024,890)-21.2%
Rate Stabilization Reserve
(11)2,000,0002,000,0002,000,00000.0%
SRF Loan Reserve
(12)670,908670,908670,90800.0%
Revenue Bond Reserve
(13)4,100,00000(4,100,000)0.0%
Budget Summary$48,657,519$48,976,113$44,639,506($4,018,013)-8.3%
EXHIBIT 2
REGIONAL OPERATING BUDGET SUMMARY:
INCLUDING RESERVE CONTRIBUTIONS
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 13 FY 16-17 BUDGET AND CIP
4. The Equipment Replacement Contribution is a budgeted transfer of operating revenues to
“sinking funds” (reserves) for scheduled future replacement of major equipment, vehicles, and
computers. See table on page 21 for year-end balance.
5. The Capital Reserve Contribution is a budgeted transfer of operating revenues to “sinking funds”
(reserves). Capital is passed through the Springfield Administration Budget. See table on page 22
for year-end balance.
6. The Debt Service line item is the sum of annual interest and principal payments on the Revenue
Bonds and Clean Water State Revolving Fund (SRF) loans made from the Operating Budget
(derived from user rates). The total amount of Debt Service budgeted in FY 16-17 is $5,504,462
the balance of which is budgeted from SDCs.
7. The Working Capital Reserve acts as a revolving account which is drawn down and replenished
on a monthly basis to fund Eugene’s and Springfield’s cash flow needs.
8. The Rate Stability Reserve is used to set aside revenues available at year-end after the budgeted
Operating Reserve target is met. Internal policy has established a level of $2 million for the Rate
Stability Reserve. See Exhibit 5 on page 20 for year-end balance.
9. The Insurance Reserve was established to set aside funds equivalent to the insurance deductible
amount for property and liability insurance coverage, for losses per occurrence.
10. The Operating Reserve is used to account for the accumulated operating revenues net of
operations expenditures. The Commission’s adopted a policy provides minimum guidelines to
establish the Operating Reserve balance at approximately 10% of the adopted Operating Budget.
The Operating Reserve provides for contingency funds in the event that unanticipated expenses or
revenue shortfalls occur during the budget year.
11. The Rate Stabilization Reserve was established at $2 million as a result of the 2006 MWMC
Revenue Bond Declaration and Covenants. It holds funds that are available if needed, to ensure
Debt Service payments can be made.
12. The Clean Water SRF loan reserve is budgeted as required per loan agreements.
13. The Revenue Bond Reserve was created to provide assurances to the bond holders that adequate
revenue coverage would be provided for future debt service obligations. Prior to FY 16-17, and to
meet reserve requirements of the 2006 bond issuance the Bond Reserve was budgetd at $4.1
million in the operating fund (as it was funded with user fees) and the Bond Reserve from the
2008 issuance was held in the capital funds budget at $4.0 million. Beginning in FY 16-17, the
revenue bond reserve is no longer a requirement due to the restructuring of the revenue bonds and
improved financial position.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 14 FY 16-17 BUDGET AND CIP
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGESPRINGFIELDFY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)MWMC ADMINISTRATION
Personnel Services$1,073,318$1,319,068$1,299,784$1,292,903($26,165)-2.0%
Materials & Services1,703,2181,926,1471,910,9471,917,781(8,366)-0.4%
Capital Outlay00000 NA
TOTAL$2,776,536$3,245,215$3,210,731$3,210,684($34,531)-1.1%INDUSTRIAL PRETREATMENT
Personnel Services$300,986$340,867$335,289$331,231($9,636)-2.8%
Materials & Services130,694117,252117,252123,1285,8765.0%
Capital Outlay00000 NA
TOTAL$431,680$458,119$452,541$454,359($3,760)-0.8%ACCOUNTING
Personnel Services$92,263$95,196$89,866$100,698$5,5025.8%
Materials & Services22,93734,87134,87135,1823110.9%
Capital Outlay00000 NATOTAL$115,200$130,067$124,737$135,880$5,8134.5%TOTAL SPRINGFIELD
Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
Materials & Services1,856,8492,078,2702,063,0702,076,091(2,179)-0.1%
Capital Outlay00000 NA
TOTAL$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%EUGENEADMINISTRATIVE SERVICES
Personnel Services$1,506,912$1,799,936$1,799,936$1,827,105$27,1691.5%
Materials & Services561,943640,252662,717625,521(14,732)-2.3%
Capital Outlay00000 NA
TOTAL$2,068,855$2,440,188$2,462,653$2,452,626$12,4370.5%BIOSOLIDS MANAGEMENT
Personnel Services$1,125,091$1,265,210$1,265,210$1,276,526$11,3160.9%
Materials & Services782,347990,8881,016,0601,018,32927,4422.8%
Capital Outlay000118,000118,000 NA
TOTAL$1,907,438$2,256,098$2,281,270$2,412,855$156,7586.9%INDUSTRIAL SOURCE CONTROL
Personnel Services$531,116$554,628$554,628$572,935$18,3073.3%
Materials & Services114,118132,957132,440114,146(18,811)-14.1%
Capital Outlay20,13745,00045,0000(45,000) NA
TOTAL$665,371$732,585$732,068$687,081($45,504)-6.2%TREATMENT PLANT
Personnel Services$4,118,910$4,360,274$4,360,274$4,527,886$167,6123.8%
Materials & Services2,378,4812,993,6783,035,9143,039,85146,1731.5%
Capital Outlay6,7280000 NA
TOTAL$6,504,120$7,353,952$7,396,188$7,567,737$213,7852.9%REGIONAL PUMP STATIONS
Personnel Services$114,018$191,450$191,450$195,102$3,6521.9%
Materials & Services287,361307,501338,765303,748(3,753)-1.2%
Capital Outlay00045,10045,100 NA
TOTAL$401,379$498,951$530,215$543,950$44,9999.0%BENEFICIAL REUSE SITE
Personnel Services$126,361$176,293$176,293$178,685$2,3921.4%
Materials & Services48,97258,00457,83856,774(1,230)-2.1%
Capital Outlay00000 NA
TOTAL$175,333$234,297$234,131$235,459$1,1620.5%TOTAL EUGENE
Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,4482.8%
Materials & Services4,173,2225,123,2805,243,7345,158,36835,0880.7%
Capital Outlay26,86545,00045,000163,100118,100262.4%
TOTAL$11,722,495$13,516,071$13,636,525$13,899,707$383,6362.8%
TOTAL REGIONAL BUDGET$17,349,472$17,700,630$351,1582.0%
EXHIBIT 3
REGIONAL WASTEWATER PROGRAM OPERATING BUDGET
LINE ITEM SUMMARY BY PROGRAM AREA
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 15 FY 16-17 BUDGET AND CIP
Note: * The Change (Increase/Decrease) column compares the adopted FY 16-17 budget to the originally adopted
FY 15-16 budget column.
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
OPERATING BUDGET FY 15-16FY 15-16FY 16-17INC(DECR)
Administration$3,833,401$3,788,009$3,800,923($32,478)
Operations13,516,07113,636,52513,899,707383,636
Capital Contribution & transfers8,500,00011,885,00011,300,0002,800,000
Equip Repl - Contribution650,000650,000250,000(400,000)
Operating & Revenue Bond Reserves14,994,30410,671,83710,424,414(4,569,890)
Debt Service7,163,7437,878,7435,504,462(1,659,281)
Total Operating Budget$48,657,519$48,510,114$45,179,506($3,478,013)
Funding:
Beginning Balance$16,289,243$16,158,038$10,684,205($5,605,038)
User Fees30,985,00030,985,00031,325,000340,000
Other1,383,2761,383,0763,170,3011,787,025
Total Operating Budget Funding$48,657,519$48,526,114$45,179,506($3,478,013)
CAPITAL PROGRAM BUDGET
Poplar Harvest Mgmt Services$1,265,000$1,334,535$772,000($493,000)
Facility Plan Engineering Services70,00097,54799,60029,600
Capacity Mgmt., Operations, and Maint.16,83394,45430,00013,167
Influent PS/Willakenzie PS/Headworks145,140285,1860 NA
Digestion Capacity Increase8,645,00016,157,06814,720,0006,075,000
WPCF Lagoon Remove/Decommission4,938,2314,869,681390,000(4,548,231)
Sodium Hypochlorite Conversion1,039,8001,039,8000 NA
Operations Building Improvements950,00014,719,16713,970,00013,020,000
Thermal Load Pre-Implementation210,000246,092244,00034,000
Thermal Load Implementation 1794,000730,884131,000(663,000)
Biosolids Force Main Rehab0322,7040 NA
Tertiary Filtration 1000 NA
Primary Sludge Thickening000 NA
Asset Management:
Equipment Replacement Purchases593,300755,300381,000(212,300)
Major Rehab371,300570,142534,000162,700
Major Capital Outlay2,900,0003,100,0005,670,0002,770,000
Total Capital Projects$21,938,604$44,322,560$36,941,600$15,002,996
Funding:
Equipment Replacement$593,300$755,300$381,000($212,300)
Capital Bond Fund10,937,84913,292,10710,576,394(361,455)
Capital Reserve10,407,45530,275,15325,984,20615,576,751
Total Capital Projects Funding$21,938,604$44,322,560$36,941,600$15,002,996
EXHIBIT 4
REGIONAL WASTEWATER PROGRAM
BUDGET SUMMARY AND COMPARISON
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 16 FY 16-17 BUDGET AND CIP
OPERATING BUDGET AND RATE HISTORY
The graphs on pages 17 and 18 show the regional residential wastewater service costs over a 5-
year period, and a 5-year Regional Operating Budget Comparison. Because the Equipment
Replacement, Major Infrastructure Rehabilitation and Major Capital Outlay programs are
managed in the Eugene Operating Budget, based on the size, type and budget amount of the
project these programs are incorporated into either the 5-year Regional Operating Budget
Comparison graph or the 5-Year Capital Programs graph on page 18. The Regional Wastewater
Capital Improvement Programs graph on page 18 shows the expenditures over the recent five
years in the MWMC’s Capital Program and including Asset Management projects. A list of
capital projects is located in Exhibit 13 on page 45.
As shown on the Regional Residential Sanitary Sewer Rate graph on page 17, regional sewer
user charges have incrementally increased to meet the revenue requirements necessary to fund
facility improvements as indentified in the 2004 MWMC Facilities Plan. This Plan demonstrated
the need for a significant capital investment in new and expanded facilities to meet
environmental performance requirements and capacity to serve the community through 2025.
Although a portion of these capital improvements can be funded through system development
charges (SDCs), much of the funding for approximately $196 million (in 2006 dollars) in capital
improvements over the 20-year period will come from user charges. Since 2004, this has become
the major driver of the MWMC’s need to increase sewer user rates on an annual basis.
In FY 08-09, there was an 11% user rate increase over FY 07-08 rates applied uniformly across
all user classes. This rate increase provided adequate revenue to meet current bond covenants
and meet requirements to issue $50.7 million in bonds in FY 08-09. Additionally, in October of
2008, the Commission adopted an interim user rate increase of 7% due to the closure of Hynix
Semiconductor. This increase was necessary to issue new revenue bonds and maintain bond
covenants for existing bonds. The typical residential monthly wastewater bill increased an
additional $1.10 per month and went into effect on December 1, 2008.
In FY 09-10, there was an 18% user rate increase over FY 08-09 rates applied uniformly across
all user classes. This rate provided for Operations, Administration, Capital programs, reserves
and debt service to be funded at sufficient levels to meet FY 09-10 requirements.
In FY10-11 user rates increased 5% over the prior year rates, and in FY 11-12 and FY 12-13 user
rates increased 4% each year, over the prior year rates to provide for Operations, Administration,
Capital programs, reserves, debt service, and debt coverage requirements.
In FY 13-14 user rates increased 3% over the prior year rates, in FY14-15 user rates increased by
3.5% and in FY 15-16 user rates increased by 2% over the prior year rates to provide for
Operations, Administration, Capital programs, reserves, debt service, and debt coverage
requirements.
The FY 16-17 Budget is based on a 2% user rate increase over the FY 15-16 rates. This increase
will provide for Operations, Administration, Capital programs, reserves and debt service,
continuing to meet capital and operating requirements and supporting the Commission’s
Financial Plan policies, as well as financially positioning for future investments in capital assets.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 17 FY 16-17 BUDGET AND CIP
The chart below displays the regional component of a residential monthly bill when applying the
base and flow rates to 5,000 gallons of wastewater treated, which includes a $0.49 increase
effective July 1, 2016.
Metropolitan Wastewater Management Commission Budget and Program Summary
Page 18 FY 16-17 BUDGET AND CIP
The graph below displays the Regional Operating Budget amounts for the recent 5-year period.
The graph below displays the Regional Wastewater Capital Improvement Program Budget
amounts for the recent 5-year period.
RESERVE FUNDS
Metropolitan Wastewater Management Commission Reserves
Page 19 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
RESERVES
The RWP maintains reserve funds for the dedicated purpose to sustain stable rates while fully
funding operating and capital needs. Commission policies and guidance, which direct the amount
of reserves appropriated on an annual basis, are found in the 2005 MWMC Financial Plan.
Further details on the FY 16-17 reserves are provided below.
OPERATING RESERVES
The MWMC Operating Budget includes seven separate reserves: the Working Capital Reserve,
Rate Stability Reserve, Rate Stabilization Reserve, Revenue Bond Reserve, State Revolving
Fund (SRF) Reserve, Insurance Reserve and the Operating Reserve. Revenues are appropriated
across the reserves in accordance with Commission policy and expenditure needs. Each reserve
is explained in detail below.
WORKING CAPITAL RESERVE
The Working Capital Reserve acts as a revolving account that is drawn down and replenished on
a monthly basis to provide funds for payment of Springfield Administration and Eugene
Operations costs prior to the receipt of user fees from the Springfield Utility Board and Eugene
Water and Electric Board. The Working Capital Reserve is set at $900,000 for FY 16-17,
$200,000 of which is dedicated to Administration and $700,000 is dedicated to Operations.
RATE STABILITY RESERVE
The Rate Stability Reserve was established to implement the Commission’s objective of
maintaining stable rates. It is intended to hold revenues in excess of the current year’s operating
and capital requirements for use in future years, in order to avoid “rate spikes.” The amount
budgeted on an annual basis has been set at $2 million, with any additional net revenues being
transferred to the capital reserve for future projects.
RATE STABILIZATION RESERVE
The Rate Stabilization Reserve contains funds to be used at any point in the future when net
revenues are insufficient to meet the bond covenant coverage requirement. The Commission
shall maintain the Rate Stabilization account as long as bonds are outstanding. In FY 16-17 no
additional contribution to this reserve is budgeted and the balance at June 30, 2017, will remain
at $2 million.
REVENUE BOND RESERVE
The Bond Reserve was created to provide assurances to the bond holders that adequate revenue
coverage would be provided for future debt service payments associated with the 2006 and 2008
bond issuances. Prior to FY 16-17, and to meet reserve requirements of the 2006 bond issuance
the Bond Reserve was budgeted at $4.1 million in the operating fund (as it was funded with user
fees) and the Bond Reserve from the 2008 issuance was held in the capital funds budgeted at
Metropolitan Wastewater Management Commission Reserves
Page 20 FY 16-17 BUDGET AND CIP
$4.0 million. Beginning in FY 16-17, the revenue bond reserve is no longer a requirement due to
the restructuring of the revenue bonds and improved financial position.
CLEAN WATER STATE REVOVLING FUND (SRF) RESERVE
The Clean Water SRF Reserve was established to meet revenue coverage requirements for SRF
loans. The SRF Reserve is set at $670,908 for FY 16-17.
INSURANCE RESERVE
The Insurance Reserve was established to set aside funds equivalent to the insurance deductible
amount for property and liability insurance coverage, for losses per occurrence. The Insurance
Reserve is set at $515,000 for FY 16-17.
OPERATING RESERVE
The Operating Reserve is used to account for accumulated operating revenues net of operating
expenditures (including other reserves). The Commission’s adopted policy provides minimum
guidelines to establish the Operating Reserve at approximately 10% of the adopted operating
budget. For FY 16-17, the Operating Reserve is budgeted at $4,338,506, which includes the 10%
of total Personnel Services, Materials and Services, and Capital Outlay in accordance with
Commission policy.
EXHIBIT 5
OPERATING RESERVES
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$16,289,243$16,158,038$10,684,205
User Fee Revenue30,800,00030,800,00031,140,000
Septage Revenue185,000185,000185,000
Other Revenue1,273,8001,273,8001,061,110
Interest85,00085,00085,000
Transfer from Improvement SDCs002,000,000
Transfer from Reimbursement SDCs19,27619,27620,191
Transfer from Bond Capital Fund0450,0000
Personnel Services(10,102,922)(10,072,730)(10,303,071)
Materials & Services(7,196,350)(7,301,804)(7,230,459)
Capital Outlay(45,000)(45,000)(163,100)
Interfund Transfers(9,150,000)(12,535,000)(11,550,000)
Transfer to Bond Debt Service Fund(5,709,628) (6,424,628)0
Debt Service - SRF Loan(1,454,115)(1,454,115)(1,486,462)
Bond Sale Costs0(466,000)0
Debt Service - 2016 Revenue Bond00(4,018,000)
Working Capital(900,000)(900,000)(900,000)
Insurance Reserve(500,000)(515,000)(515,000)
SRF Loan Reserve(670,908)(670,908)(670,908)
Rate Stability Reserve(2,000,000)(2,000,000)(2,000,000)
Rate Stabilization Reserve(2,000,000)(2,000,000)(2,000,000)
Bond Reserve - Revenue 2006(4,100,000)00
Operating Reserve$4,823,396$4,585,929$4,338,506
Metropolitan Wastewater Management Commission Reserves
Page 21 FY 16-17 BUDGET AND CIP
CAPITAL RESERVES
The MWMC Capital Budget includes five reserves: the Equipment Replacement Reserve, SDC
Reimbursement Reserves, SDC Improvement Reserves, the Capital Reserve and the Bond
Reserve. These reserves accumulate revenue to help fund capital projects including equipment
replacement and major rehabilitation. They are funded by annual contributions from user rates,
SDCs, bond proceeds, and SRF loans. Each reserve is explained in detail below.
EQUIPMENT REPLACEMENT RESERVE
The Equipment Replacement Reserve accumulates replacement funding for three types of
equipment: 1) major/stationary equipment items costing less than $200,000 with useful lives of
20 years or less; 2) fleet vehicles maintained by the Eugene Wastewater Division; and 3)
computers that serve the Eugene Wastewater Division. Contributions to the Equipment
Replacement Reserve in the FY 16-17 budget total $250,000, additional budget details are
provided below.
The Equipment Replacement Reserve is intended to accumulate funds necessary to provide for
the timely replacement or rehabilitation of equipment, and may also be borrowed against to
provide short-term financing of capital improvements. An annual analysis is performed on the
Equipment Replacement Reserve. The annual contribution is set so that all projected
replacements will be funded over a 20-year period and at the end of the 20-year period, the
reserve will contain replacement funds for all equipment projected to be in use at that time.
Estimates used in the analysis include interest earnings, inflation rates and useful lives for the
equipment.
SYSTEM DEVELOPMENT CHARGE (SDC) RESERVES
SDCs are required as part of the MWMC IGA. They are connection fees charged to new users to
recover the costs related to system capacity, and are limited to funding Capital Programs. The
purpose of the SDC Reserves is to collect and account for SDC revenues separately from other
revenue sources, in accordance with Oregon statutes. The Commission’s SDC structure includes
a combination of “Reimbursement” and “Improvement” fee components. Estimated SDC
revenues for FY 16-17 are approximately $1.1 million. Budgeted expenditures include
$2 million from Improvement Fees to fund portions of the annual debt service payments on the
2006 and 2008 revenue bonds. The projected beginning SDC Reserve balance on July 1, 2016 is
$3,504,354.
EQUIPMENT REPLACEMENT RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$11,420,690$11,705,390$11,837,948
Annual Equipment Contribution650,000650,000250,000
Interest40,00040,00040,000
Equipment Purchases(593,300)(755,300)(381,000)
Equipment Replacement Reserve$11,517,390$11,640,090$11,746,948
Metropolitan Wastewater Management Commission Reserves
Page 22 FY 16-17 BUDGET AND CIP
CAPITAL RESERVE
The Capital Reserve accumulates funds transferred from the Operating Reserve for the purpose
of funding the CIP, Major Capital Outlay and Major Rehabilitation Program costs. The intent is
to collect sufficient funds over time to construct a portion of planned capital projects with cash in
an appropriate balance with projects that are funded with debt financing. The FY 16-17 Budget
includes a contribution from the Operating Reserve of $11.3 million. The beginning balance on
July 1, 2016, is projected to be $50,315,693. Additional budget detail on the CIP, Major Capital
Outlay and Major Rehabilitation Program reserves is provided below.
REIMBURSEMENT SDC RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$490,946$555,989$639,013
Reimbursement SDCs Collected100,000100,000100,000
Interest 1,3001,3001,200
SDC Compliance Charge2,5002,5002,500
Xfr to Debt Service (Fund 612)(19,276)(19,276)(20,191)
Materials & Services(2,000)(2,000)(2,000)
Reimbursement SDC Reserve$573,470$638,513$720,522
IMPROVEMENT SDC RESERVE
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$2,953,028$3,763,341$2,865,341
Improvement SDCs Collected1,000,0001,000,0001,100,000
Interest 8,0008,0007,000
Materials & Services(2,000)(2,000)(2,000)
Xfr to Debt Service (Fund 612 )(2,000,000)(2,000,000)(2,000,000)
Improvement SDC Reserve$1,959,028$2,769,341$1,970,341
CAPITAL RESERVES
ADOPTED
BUDGET
FY 15-16
AMENDED
BUDGET
FY 15-16
ADOPTED
BUDGET
FY 16-17
Beginning Balance$76,014,033$77,977,819$50,315,693
Transfer from Operating Reserve8,500,000 11,885,00011,300,000
Interest60,00060,00060,000
Interest Income (Revenue Bond Proceeds)240,000240,000210,000
Transfer to Operating0(450,000)0
Revenue Bond Principal 080(3,550,000)0
Revenue Bond Principal 060(31,380,000)0
Funding For Capital Improvement Projects(18,074,004) (39,897,118) (30,356,600)
Funding For Major Rehabilitation(371,300)(570,142)(534,000)
Funding For Major Capital Outlay(2,900,000)(3,100,000)(5,670,000)
Revenue Bond Reserve 2008(4,000,000)00
Capital Reserve $59,468,729$11,215,559$25,325,093
OPERATING PROGRAMS
Metropolitan Wastewater Management Commission Staffing
Page 23 FY 16-17 BUDGET AND CIP
EXHIBIT 6
REGIONAL WASTEWATER PROGRAMS*
ORGANIZATION CHART FY 16-17
Metropolitan Wastewater Management
Commission
CITY OF EUGENE **
Wastewater Division
77.40 FTE
Division Director
.85 FTE
Operations Manager
.93 FTE
Wastewater
Treatment Plant
39.30 FTE
Regional Pump
Stations
1.26 FTE
Computer
Services
2.73 FTE
Biosolids
Management
12.62 FTE
Operations
16.0 FTE
Beneficial Reuse
Site
1.77 FTE
Equipment
Maintenance
10.3 FTE
Facility
Maintenance
8.51 FTE
Laboratory
2.65 FTE
Industrial
Pretreatment
5.35 FTE
Stores
2.67 FTE
Env Data
Analyst
.65 FTE
User Fee
Support
1.0 FTE
Operations
6.97 FTE
Operations
.53 FTE
Equipment
Maintenance
.85 FTE
Equipment
Maintenance
.59 FTE
Equipment
Maintenance
2.57 FTE
Facility
Maintenance
1.98 FTE
Facility
Maintenance
.34 FTE
Laboratory
1.27 FTE
Laboratory
.66 FTE
Laboratory
.15 FTE
Regulations &
Enforcement
3.38 FTE
Admin Support
5.36 FTE
Support Services
15.32 FTE
Sampling
.74 FTE
Sampling
.44 FTE
Sampling
.16 FTE
PW Maint
1.10 FTE
Sampling
.70 FTE
Safety, Env &
Health
Supervisor
.89 FTE
Management
Analyst
.89 FTE
Project Mgr.
.93 FTE
PW Financial
Services
.20 FTE
MWMC Executive
Officer
.08 FTE
MWMC General
Manager
.80 FTE
Administration
Support
.3 FTE
Accounting
.88 FTE
MWMC
Administration
10.45 FTE
Industrial
Pretreatment
2.65 FTE
Administration
Support
.70 FTE
Regulations
&
Enforcement
2.95 FTE
Budget &
Financial
Management
1.15 FTE
Property/
Risk Mgmt
.20 FTE
Customer
Service
.55 FTE
Public
Education
1.0 FTE
Construction
Management
5.10 FTE
CITY OF SPRINGFIELD **
Environmental Services Division
& Finance Department
15.46 FTE
Facility
Maintenance
.41 FTE
Special
Projects/
Planning
1.75 FTE
Notes:
* Full-Time Equivalent (FTE) figures represent portions of Eugene and Springfield staff funded by
regional wastewater funds.
** The chart represents groups of staff dedicated to program areas rather than specific positions.
Metropolitan Wastewater Management Commission Staffing
Page 24 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
POSITION SUMMARY
BUDGETBUDGETBUDGETFTE
CLASSIFICATIONFY 14-15FY 15-16FY 16-17CHANGE
SPRINGFIELD ENVIRONMENTAL SERVICES & FINANCE
Accountant0.800.800.80-
Accounting Supervisor0.080.080.08-
Administrative Specialist 1.051.851.85-
Assistant Project Coordinator0.900.900.90-
Civil Engineer/Design & Construction Coordinator3.003.003.00-
Construction Inspector 1.000.000.00-
Development and Public Works Deputy Director0.080.080.00(0.08)
Development and Public Works Director0.080.080.08-
Engineering Assistant1.600.800.80-
Environmental Management Analyst0.000.650.65-
Environmental Services Program Manager0.551.350.80(0.55)
Environmental Services Program Coordinator1.001.000.00(1.00)
Environmental Services Supervisor0.000.000.950.95
Environmental Services Technician 1.501.502.000.50
ESD Manager/MWMC General Manager0.750.800.80-
Managing Civil Engineer2.002.001.75(0.25)
Public Information & Education Specialist1.001.001.00-
Senior Finance Analyst0.500.000.00-
TOTAL SPRINGFIELD15.8915.8915.46(0.43)
EXHIBIT 7
Metropolitan Wastewater Management Commission Staffing
Page 25 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
POSITION SUMMARY
BUDGETBUDGETBUDGETFTE
CLASSIFICATIONFY 14-15FY 15-16FY 16-17CHANGE
EUGENE WASTEWATER DIVISION & OTHER PW
Administrative Specialist1.781.781.78-
Administrative Specialist, Sr0.950.950.95-
Application Support Technician 0.950.950.95-
Application Systems Analyst1.781.781.78-
Custodian 1.001.001.00-
Finance & Admin Manager0.890.890.89-
Electrician 1 3.283.283.28-
Engineering Associate 0.350.350.35-
Maintenance Worker 12.2912.2912.29-
Management Analyst 4.254.255.140.89
Office Supervisor, Sr 0.890.890.00(0.89)
Parts and Supply Specialist1.781.781.78-
PW Financial Services Manager 0.200.200.20-
Utility Billing Coordinator1.001.001.00-
Wastewater Lab Assistant 0.820.820.82-
Wastewater Division Director 0.850.850.85-
Wastewater Instrument Electrician1.001.001.00-
Wastewater Plant Operations Manager 0.930.930.93-
Wastewater Operations Supervisor 2.002.002.00-
Wastewater Plant Maintenance Supervisor2.882.882.88-
Wastewater Pretreatment & Lab Supervisor0.820.820.82-
Wastewater Technician 36.7136.7136.71-
TOTAL77.4077.4077.40-
GRAND TOTAL93.2393.2992.86(0.43)
EXHIBIT 7 (Continued)
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 26 FY 16-17 BUDGET AND CIP
Program Responsibilities
Administration & Management
Financial Planning & Management
Long-Range Capital Project Planning
Project and Construction Management
Coordination between the Commission and
governing bodies
Coordination and Management of:
· Risk Management & Legal Services
· Public Policy Issues
· Regulatory and Permit Compliance Issues
Public Information, Education and Outreach
Industrial Pretreatment Source Control
Customer Service
CITY OF SPRINGFIELD
REGIONAL WASTEWATER PROGRAM RESPONSIBILITIES
The City of Springfield manages administration
services for the RWP under the Intergovernmental
Agreement for the Metropolitan Wastewater
Management Commission (MWMC). The programs
maintained by Springfield to support the RWP are
summarized below and are followed by Springfield’s
regional wastewater budget summaries. Activities, and
therefore program budgets, for the MWMC
administration vary from year to year depending upon
the major construction projects and special initiatives
underway. A list of the capital projects Springfield
staff will support in FY 16-17 is provided in Exhibit 12
on page 41.
MWMC ADMINISTRATION
The Springfield Environmental Services Division (ESD) and Finance Department provide
ongoing support and management services for the MWMC. The Development and Public Works
(DPW) Director serves as the MWMC Executive Officer. The Environmental Services Manager
serves as the General Manager. Springfield provides the following administration functions:
financial planning management, accounting and financial reporting; risk management and legal
services; coordination and management of public policy; coordination and management of
regulatory and permit compliance issues; coordination between the Commission and the
governing bodies; long-range capital project planning and construction management;
coordination of public information, education, and citizen involvement programs; sewer user
customer service; and coordination and development of regional budgets, rate proposals, and
revenue projections.
INDUSTRIAL PRETREATMENT (SOURCE CONTROL) PROGRAM
The Industrial Pretreatment Program is a regional activity implemented jointly by the Cities of
Eugene and Springfield. The Industrial Pretreatment section of the ESD is charged with
administering the program for the regulation and oversight of wastewater discharged to the
sanitary collection system by industries in Springfield. This section is responsible for ensuring
that these wastes do not damage the collection system, interfere with wastewater treatment
processes, result in the pass-through of harmful pollutants to treated effluent or biosolids, or
threaten worker health or safety.
This responsibility is fulfilled, in part, by the use of a permit system for industrial dischargers.
This permit system, common to both Eugene and Springfield, implements necessary limitations
on waste characteristics and establishes inspection, monitoring, and reporting requirements for
documenting waste quality and quantity controls. The Industrial Pretreatment section is also
responsible for locating new industrial discharges in Springfield and evaluating the impact of
those discharges on the regional WPCF. As of February 2016, there were 19 significant
industrial users under permit in Springfield. The Industrial Pretreatment Program also addresses
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 27 FY 16-17 BUDGET AND CIP
the wastewater discharges of some commercial/industrial businesses through the development
and implementation of Pollution Management Practices. Pretreatment program staff also
coordinates pollution prevention activities in cooperation with the Pollution Prevention Coalition
of Lane County.
ACCOUNTING AND FINANCIAL REPORTING
Accounting and financial reporting services for the RWP are provided by the Accounting section
in the Springfield Finance Department, in coordination with ESD. Springfield Accounting staff
maintains grant and contract accounting systems, as well as compliance with all local, state and
federal accounting and reporting requirements for MWMC finances. This section also assists
ESD with preparation of the MWMC budget, capital financing documents, sewer user rates, and
financial policies and procedures.
PROGRAMS AND SIGNIFICANT SERVICE/EXPENDITURE CHANGES
In FY 16-17, the City of Springfield will support the following major regional initiatives in
addition to ongoing Commission administration and industrial pretreatment activities:
Continue public information, education and outreach activities focused on the MWMC’s
Key Outcomes and Communication Plan objectives to increase awareness of the
MWMC’s ongoing efforts in maintaining water quality and a sustainable environment.
Implement Capital Financing strategies necessary to meet current debt obligations,
prepare for additional debt financing, and ensure sufficient revenues in accordance with
the 2005 MWMC Financial Plan.
Continue implementation of the 2004 MWMC Facilities Plan and 2014 Partial Facilities
Plan Update to meet all regulatory requirements and capacity needs. Considering
emerging environmental regulations that may impact the operation of the WPCF.
Implement annual reporting for the local Capacity Management Operations and
Maintenance (CMOM) programs, focusing on continued inflow and infiltration
reductions, including flow monitoring, data tracking, regional coordination, and
exploring methods of addressing private laterals.
Protect the Regional Wastewater Program (RWP) interests through participation in
Association of Clean Water Agencies activities.
Coordinate temperature Total Maximum Daily Load (TMDL) compliance through
continued development and implementation of the thermal load mitigation strategy,
including but not limited to a recycled water program.
Continue participation with the Association of Clean Water Agencies and the Department
of Environmental Quality on regulatory permitting strategies and the development of
water quality trading rules.
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 28 FY 16-17 BUDGET AND CIP
SIGNIFICANT BUDGET CHANGES FOR FY 16-17
The budget for Springfield Personnel Services, Materials and Services, and Capital Outlay for
FY 16-17 totals $3,800,923 representing an overall decrease of $32,478 or 0.8% below the adopted
FY 15-16 budget, as displayed in Exhibit 8 on page 29.
Personnel Services
Personnel Services totaling $1,724,832 represents a FY 16-17 decrease of $30,299 or 1.7% over
the originally adopted FY 15-16 budget. The major changes are summarized below:
Staffing Level - 15.46 full-time equivalent (FTE) staff, a decrease of 0.43 FTE
Staffing decreased in the FY 16-17 budget when compared to FY 15-16 based on a
reorganization of staff allocated to the regional programs.
Regular Wages and Overtime - $1,153,170, decrease of $17,895 or 1.5%
Salaries are based upon the negotiated management/labor contracts as approved by the
Springfield City Council, and staffing levels.
Health Insurance - $308,832, a decrease of $6,792 or 2.2%
Health Insurance includes employee related medical and dental insurance.
PERS/OPSRP Contributions - $155,768, an increase of $2,416 or 1.5%
Projected employee retirement contribution for FY 16-17.
Materials and Services
The Materials and Services budget total is $2,076,091 in FY 16-17, representing a slight
decrease of $2,179 or 0.1% below the adopted FY 15-16 budget. The major changes are
summarized below:
Property and Liability Insurance - $370,000, a decrease of $70,000 or 15.9%
The $70,000 decrease is in comparison to the orignially adopted FY 15-16 budget. The
budget decrease reflects cost savings in Agent of Record services which are fee-based, a
change in liability insurance providers, and an increase in the property insurance deductible
amount resulting in a reduced insurance premium cost.
Contractual Services –$133,500, a net decrease of $7,500 or 5.3%
The $7,500 decrease was due to completion of the educational video series in FY 15-16,
which was a one-time expense.
Internal Charges - $165,004, a increase of $18,702 or 12.8%
The $18,702 increase is primarily related to the regional portion of the City of Springfield
facility rents for use of the City Hall building, and a portion of the City of Springfield
liability, auto and risk insurance.
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 29 FY 16-17 BUDGET AND CIP
Computer Software & License - $32,650, a net decrease of $11,500 or 26.0%
The $11,500 decrease is due to entering into a three year contract in FY 15-16 for ongoing
service and maintenance for the capital project management system, Constructware.
Note: * Change column compares the adopted FY 16-17 Budget to the adopted FY 15-16 Budget.
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
Materials & Services1,856,8492,078,2702,063,0702,076,091(2,179)-0.1%
Capital Outlay00000 0%
Budget Summary$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%
EXHIBIT 8
SPRINGFIELD ADMINISTRATION PROGRAM
ADOPTED FY 16-17
BUDGET SUMMARY
$3,670,958 $3,636,762 $3,911,289 $3,833,401 $3,800,923
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
FY 12-13FY 13-14FY 14-15FY 15-16FY 16-17
5-YEAR MWMC BUDGET COMPARISON
SPRINGFIELD ADMINISTRATION
Metropolitan Wastewater Management Commission Springfield Budget Detail
Page 30 FY 16-17 BUDGET AND CIP
ADOPTEDAMENDEDADOPTED
ACTUALBUDGETBUDGETBUDGET
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
PERSONNEL SERVICES
Regular Wages$997,633$1,163,349$1,163,349$1,149,666($13,683)-1.2%
Overtime427,7167,7163,504(4,212)-54.6%
Employee Benefits92,487110,258110,258107,062(3,196)-2.9%
PERS/OPSRP134,022158,184158,184155,768(2,416)-1.5%
Medical/Dental Insurance242,383315,624285,432308,832(6,792)-2.2%
Total Personnel Services$1,466,567$1,755,131$1,724,939$1,724,832($30,299)-1.7%
FTE16.6815.8915.8915.46(0.43) -2.7%
MATERIALS & SERVICES
Billing & Collection Expense$594,701$577,000$577,000$630,000$53,0009.2%
Property & Liability Insurance373,780440,000425,000370,000(70,000)-15.9%
Contractual Services47,029141,000141,000133,500(7,500)-5.3%
Attorney Fees and Legal Expense72,192185,505185,505188,5053,0001.6%
WPCF/NPDES Permits118,466126,800126,600136,0009,2007.3%
Materials & Program Expense42,27287,79587,79587,321(474)-0.5%
Computer Software & Licenses78,31144,15044,15032,650(11,500)-26.0%
Employee Development5,32019,00019,00019,2752751.4%
Travel & Meeting Expense12,28321,10021,10022,2001,1005.2%
Internal Charges181,670146,302146,302165,00418,70212.8%
Indirect Costs330,824289,618289,618291,6362,0180.7%
Total Materials & Services$1,856,849$2,078,270$2,063,070$2,076,091($2,179)-0.1%
CAPITAL OUTLAY
Total Capital Outlay000000.0%
TOTAL$3,323,416$3,833,401$3,788,009$3,800,923($32,478)-0.8%
EXHIBIT 9
SPRINGFIELD ADMINISTRATION
LINE ITEM BUDGET SUMMARY
CHANGE
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 31 FY 16-17 BUDGET AND CIP
Program Responsibilities
Administration & Management
Biosolids Management
Facility Operations
Facility Maintenance
Industrial Source Control
Laboratory Services
Management Information Services
Project Management
CITY OF EUGENE
REGIONAL WASTEWATER PROGRAM RESPONSIBILITIES
The Wastewater Division for the City of Eugene manages all
regional wastewater pollution control facilities serving the
areas inside the Eugene and Springfield Urban Growth
Boundaries under the Intergovernmental Agreement for the
Metropolitan Wastewater Management Commission
(MWMC). These regional facilities include the
Eugene/Springfield Regional Water Pollution Control
Facility (WPCF), the Biosolids Management Facility, the
Beneficial Reuse Site, the Biocycle Farm site, and regional
wastewater pumping stations and transmission sewers.
In support of the water pollution control program, the Division provides technical services for
wastewater treatment, management of equipment replacement and infrastructure rehabilitation,
biosolids treatment and recycling, regional laboratory services, and an industrial source control
and pretreatment program in conjunction with City of Springfield staff.
ADMINISTRATIVE AND MANAGEMENT SERVICES
Administrative Services provides management, administrative, and office support to the
Wastewater Division. This support includes the general planning, directing, and managing of
the activities of the Division; development and coordination of the budget; administration of
personnel records; and processing of payroll, accounts payable, and accounts receivable. This
section also provides tracking and monitoring of all assets for the regional wastewater
treatment facilities and clerical support for reception, telephone services, and other
miscellaneous needs. The Administrative services include oversight and coordination of the
Division’s Environmental Management System, safety, and training programs, and a stores
unit that purchases and stocks parts and supplies and assists with professional services
contracting. Another area this program administers is the coordination of local and regional
billing and rate activities.
REGIONAL WASTEWATER TREATMENT FACILITY OPERATIONS
The Wastewater Division operates the WPCF to treat domestic and industrial liquid wastes to
achieve an effluent quality that protects and sustains the beneficial uses of the Willamette
River. The Operations section optimizes wastewater treatment processes to ensure effluent
quality requirements are met in an efficient and cost effective manner. In addition, the
Operations section provides continuous monitoring of the alarm functions for all plant
processes, regional and local pump stations, Biosolids Management Facility, and the Beneficial
Reuse Site.
MAINTENANCE
The mechanical, electrical, and facilities maintenance sections of the Wastewater Division are
responsible for preservation of the multi-million dollar investment in the equipment and
infrastructure of the WPCF, local and regional pump stations, pressure sewers, as well as the
Biosolids Management Facility. These sections provide a preventative maintenance program to
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 32 FY 16-17 BUDGET AND CIP
maximize equipment life and reliability; a corrective maintenance program for repairing
unanticipated equipment failures; and a facility maintenance program to maintain the
buildings, treatment structures, and grounds.
BIOSOLIDS MANAGEMENT
The Residuals Management section of the Wastewater Division manages the handling and
beneficial reuse of the biological solids (biosolids) produced as a result of the activated sludge
treatment of wastewater. This section operates the Biosolids Management Facility (BMF) and
the Biocycle Farm located at Awbrey Lane in Eugene. The biosolids are treated using
anaerobic digestion, stored in facultative lagoons (which provide some additional treatment
benefits), and then processed through a belt filter press and air-dried to reduce the water
content and facilitate transport. The dried material is ultimately applied to agricultural land.
Biosolids are also irrigated on poplar trees at the Biocycle Farm as a beneficial nutrient and
soil conditioner. This section also operates the Beneficial Reuse Site which formerly served to
treat wastewater from food processing operation.
INDUSTRIAL SOURCE CONTROL (Pretreatment) and ANALYTICAL SERVICES,
SAMPLING TEAM
The pretreatment program is a regional activity implemented jointly by the cities of Eugene
and Springfield. The Industrial Source Control group of the Wastewater Division is charged
with administering the pretreatment program for the regulation and oversight of commercial
and industrial wastewaters discharged to the wastewater collection system by fixed-site
industries in Eugene and by mobile waste haulers in the Eugene and Springfield areas. This
group is also responsible for ensuring that these wastes do not damage the collection system,
interfere with wastewater treatment processes, result in the pass-through of harmful pollutants
to treated effluent or biosolids, or threaten worker health or safety.
This responsibility is fulfilled through the use of a permit system for industrial dischargers.
This permit system, common to both Eugene and Springfield, implements necessary limitations
on waste characteristics and establishes inspection, monitoring, and reporting requirements for
documenting waste quality and quantity controls. The staff is also responsible for locating new
industrial discharges in Eugene and evaluating the impact of new non-residential discharges on
the WPCF. During the calendar year 2015 there were 21 significant industrial users under
permit in Eugene. The section also has responsibilities related to environmental spill response
activities.
The Analytical Services group provides necessary analytical work in support of wastewater
treatment, residuals management, industrial source control, stormwater monitoring, and special
project activities of the Wastewater Division. The laboratory's services include sample
handling and analyses of influent sewage, treated wastewater, biosolids, industrial wastes,
stormwater, and groundwater. Information from the laboratory is used to make treatment
process control decisions, document compliance with regulatory requirements, demonstrate
environmental protection, and ensure worker health and safety.
The Sampling Team is responsible for the sampling activities related to regional wastewater
program functions. These include the Eugene pretreatment program, wastewater treatment
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 33 FY 16-17 BUDGET AND CIP
process control, effluent and ambient water quality, groundwater quality, facultative sludge
lagoons, and stormwater samples. The Division’s Environmental Data Analyst evaluates and
reports on the sampling data for various programs.
MANAGEMENT INFORMATION SERVICES (MIS)
The MIS section provides services for electronic data gathering, analysis, and reporting as
necessary in compliance with regulatory requirements and management functions. This section
also maintains the electronic communication linkages with the City of Eugene and supplies
technical expertise and assistance in the selection, operation, and modification of computer
systems (hardware and software) within the Division.
PROJECT MANAGEMENT
Management of wastewater system improvements and ongoing developments is carried out by
the Project Management staff. Activities include coordination of CIP activities with the City of
Springfield staff, problem-solving and action recommendations, project management, technical
research, coordination of activities related to renewal of the National Pollutant Discharge
Elimination System (NPDES) wastewater discharge permit, computer-aided design and
electronic storage of design drawings, and planning of projects to anticipate and prepare for new
regulatory and operational requirements. The Project Management staff develops Request for
Proposals and Request for Quotes, coordinates special project activities between work sections,
and coordinates the procurement of building permits as necessary in support of project activities.
PROGRAMS AND SIGNIFICANT SERVICE/EXPENDITURE CHANGES
In FY 16-17, Eugene staff will support the following major regional initiatives in addition to
ongoing operational activities.
Manage the O&M responsibilities of the NPDES permits for the wastewater discharge
and treatment plant stormwater programs and the Lane Regional Air Protection Agency
(LRAPA) air emissions permit for the regional wastewater treatment plant.
Continue to evaluate impacts of regulatory actions (such as the federal sanitary sewer
overflows (SSO) and blending policy development, Willamette River TMDLs
implementation, and any newly adopted state water quality standards) upon operational
responsibilities.
Provide technical input and O&M assessments related to proposed initiatives for
addressing TMDL compliance, greenhouse gas emission controls, and renewable energy
objectives.
Complete scheduled major rehabilitation, equipment replacement, and other capital
projects in an efficient and timely manner.
Work cooperatively on the CIP elements and effectively integrate capital project work
with ongoing O&M activities, with emphasis on maintaining an effective CIP
management and coordination program with Springfield.
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 34 FY 16-17 BUDGET AND CIP
Manage the Operations & Maintenance (O&M) aspects of the Biocycle Farm, continuing
biosolids irrigation practices and poplar tree management.
SIGNIFICANT CHANGES IN THE O & M BUDGET FOR FY 16-17
The budget for Operations and Maintenance of the regional wastewater treatment facilities
(personnel, materials and services, and capital outlay) for FY 16-17 totals $13,899,707. The amount
represents an increase of $383,636 or 2.8% from the FY 15-16 budget. The largest cost centers for
the budget are personnel costs, contractual services, utilities, materials, maintenance, fleet, and
chemicals. Details of significant items and changes for the FY 16-17 Operations and Maintenance
budget as compared to the FY 15-16 budget include:
Personnel Services
Personnel Services totaling $8,578,239 represents a FY 16-17 increase of $230,448 or 2.8%. The
major changes are in the following budget categories:
Staffing
The FY 16-17 budget requests no change in staffing level from the FY 15-16 budget. Staffing
requests remains at 77.40 Full Time Equivalent (FTE).
Regular Wages - $5,165,677, an increase of $142,573 or 2.8%
Salaries are based upon the negotiated management/labor contracts between the City of Eugene
and the local union (AFSCME).
Employee Benefits - $1,811,828, an increase of $35,815 or 2.0%
The employee benefits consist mainly of PERS/OPSRP retirement system costs and Medicare
contributions.
Health Insurance - $1,454,825, an increase of $68,972 or 5.0%
The increase is based on group claims experience and cost projections. Costs are calculated
based on the number of employees.
Materials and Services
The Materials and Services budget totaling $5,158,368 represents an FY 16-17 increase of
$35,088 or 0.7%. The major changes are in the following budget categories:
Indirect Charges - $1,020,000, an increase of $18,850 or 1.9%
This expenditure category includes costs for payroll processing, human resources services,
information technology services, and budget and financial services provided by the City of
Eugene to the Wastewater Division.
Contractual Services - $895,941, a net increase of $100,706 or 12.7%
This account includes services for outside lab testing, USGS water monitoring, seasonal
temporary help, distributive control system (DCS) upgrade, and grit waste disposal. Temporary
help budget is $395,250, professional services are $158,796, and trade and other contractual
services total $341,895.
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 35 FY 16-17 BUDGET AND CIP
Materials & Program Expense - $555,442, a net decrease of $102,662 or 15.6%
The Materials & Program Expense account includes a wide variety of operational items such as
telephone charges, training costs, tools, small equipment, safety supplies, and inventory. The FY
16-17 budget reduction is due in part to one-time expenditures for flow monitoring being made
in the FY 15-16 budget and not budgeted in FY 16-17. A reduction for tools and minor
equipment has also been made to align with recent trends of lower expenditures in those areas.
Fleet - $426,986, a decrease of $12,705 or 2.9%
Fleet services are managed centrally by Eugene Fleet Services. Reduction in fuel costs are
reflected in lower fleet charges.
Eugene Capital Outlay Expense - $163,100, a net increase of $118,100
Eugene Capital Outlay budget this year will be used to purchase a water truck for the Biosolids
Management Facility which will be used for efficient dust control, fire protection and clean up
capabilities at the BMF and at biosolids application sites. A one-ton pickup outfitted with a
service body is budgeted for maintenance staff use.
ACTUAL
ADOPTED
BUDGET
AMENDED
BUDGET
ADOPTED
BUDGETCHANGE
*
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,4482.8%
Materials & Services4,173,2225,123,2805,243,7345,158,36835,0880.7%
Capital Outlay26,86545,00045,000163,100118,100262.4%
Budget Summary$11,722,495$13,516,071$13,636,525$13,899,707$383,6362.8%
NOTE: Does not include Major or Equipment Replacement
EXHIBIT 10
EUGENE - OPERATIONS AND MAINTENANCE PROGRAM
ADOPTED FY 16-17
BUDGET SUMMARY
$12,509,757 $12,716,031 $12,771,358
$13,516,071 $13,899,707
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
FY 12-13FY 13-14FY 14-15FY 15-16FY 16-17
5-YEAR MWMC BUDGET COMPARISON
EUGENE -OPERATIONS AND MAINTENANCE
Metropolitan Wastewater Management Commission Eugene Budget Detail
Page 36 FY 16-17 BUDGET AND CIP
ADOPTEDAMENDEDADOPTED
ACTUALBUDGETBUDGETBUDGET CHANGE
FY 14-15FY 15-16FY 15-16FY 16-17INCR/(DECR)
PERSONNEL SERVICES
Regular Wages$4,601,145$5,023,104$5,023,104$5,165,677$142,5732.8%
Overtime45,68670,97570,97540,000(30,975)-43.6%
Employee Benefits1,538,9421,776,0131,776,0131,811,82835,8152.0%
Workers' Comp/Unemploy Ins93,00591,84691,846105,90914,06315.3%
Health Insurance1,243,6301,385,8531,385,8531,454,82568,9725.0%
Total Personnel Services$7,522,408$8,347,791$8,347,791$8,578,239$230,448 2.8%
FTE77.4077.4077.4077.400.000.0%
MATERIALS & SERVICES
Utilities$752,583$754,682$754,682$775,615$20,9332.8%
Fleet Operating Charges422,336439,691439,691426,986(12,705)-2.9%
Maintenance-Equip & Facilities211,579354,538354,538386,49731,9599.0%
Contractual Services365,540795,235795,235895,941100,70612.7%
Materials & Program Expense568,926658,104778,558555,442(102,662)-15.6%
Chemicals254,920330,152330,152326,940(3,212)-1.0%
Parts & Components352,615357,656357,656353,096(4,560)-1.3%
Risk Insurance - Employee Liability49,17451,52751,52751,572450.1%
Laboratory Equipment & Supplies67,66993,00093,00089,600(3,400)-3.7%
Computer Equip, Supplies, Maint254,951287,545287,545276,679(10,866)-3.8%
Indirects872,9281,001,1501,001,1501,020,00018,8501.9%
Total Materials & Services$4,173,222$5,123,280$5,243,734$5,158,368$35,0880.7%
CAPITAL OUTLAY
Motorized Vehicles$26,865$45,000$45,000$163,100$118,100262.4%
Capital Outlay-Other000000.0%
Total Capital Outlay$26,865$45,000$45,000$163,100$118,100262.4%
TOTAL$11,722,494$13,516,071$13,636,525$13,899,707$383,6362.8%
EXHIBIT 11
EUGENE - OPERATIONS & MAINTENANCE
LINE ITEM BUDGET SUMMARY
CAPITAL PROGRAM
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 37 FY 16-17 BUDGET AND CIP
REGIONAL WASTEWATER PROGRAM
CAPITAL PROGRAMS
Overview
The Regional Wastewater Program (RWP) includes two components: the Capital Improvement
Program (CIP) and the Asset Management Capital Program (AMCP). The FY 16-17 CIP Budget,
the FY 16-17 AMCP Budget, and the associated 5-Year Capital Plan are based on the 2004
MWMC Facilities Plan (2004 FP) and the Partial Facilities Plan Update dated June 2014. The
2004 FP was approved by the MWMC, the governing bodies of the City of Eugene, the City of
Springfield, Lane County, and the Oregon Department of Environmental Quality (DEQ) in 2004.
The 2004 FP and its 20-year capital project list was the result of a comprehensive evaluation of
the regional wastewater treatment facilities serving the Eugene-Springfield metropolitan area.
The 2004 FP built on previous targeted studies, including the 1997 Master Plan, 1997 Biosolids
Management Plan, 2001 Wet Weather Flow Management Plan (WWFMP), and the 2003
Management Plan for a dedicated biosolids land application site. The 2004 FP was intended to
meet changing regulatory and wet weather flow requirements and to serve the community’s
wastewater capacity and treatment needs through 2025. Accordingly, the 2004 FP established the
CIP project list to provide necessary facility enhancements and expansions over the planning
period. The CIP is administered by the City of Springfield for the MWMC. The AMCP
implements the projects and activities necessary to maintain functionality, lifespan, and
effectiveness of the MWMC facility assets on an ongoing basis. The AMCP is administered by
the City of Eugene for the MWMC and consists of three sub-categories:
Equipment Replacement Program
Major Rehabilitation Program
Major Capital Outlay
The MWMC has established these capital programs to achieve the following RWP objectives:
Compliance with applicable local, state, and federal laws and regulations
Protection of the health and safety of people and property from exposure to hazardous
conditions such as untreated or inadequately treated wastewater
Provision of adequate capacity to facilitate community growth in the Eugene-Springfield
metropolitan area consistent with adopted land use plans
Construction, operation, and management of the MWMC facilities in a manner that is as
cost-effective, efficient, and affordable to the community as possible in the short and long
term
Implementation of the Citizens Advisory Committee recommendations, which represent
diverse community interests, values and involvement, and that have been adopted by the
Commission as the MWMC’s plans and policies
Mitigation of potential negative impacts of the MWMC facilities on adjacent uses and
surrounding neighborhoods (ensuring that the MWMC facilities are “good neighbors” as
judged by the community)
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 38 FY 16-17 BUDGET AND CIP
Capital Program Funding and Financial Planning Methods and Policies
This annual budget document presents the FY 16-17 CIP Budget, the FY 16-17 AMCP Budget,
and 5-Year Capital Plan which includes the CIP and AMCP Capital Plan. The MWMC CIP
financial planning and funding methods are in accordance with the financial management
policies put forth in the MWMC 2005 Financial Management Plan.
Each of the two RWP capital programs relies on funding mechanisms to achieve RWP objectives
described above. The CIP is funded primarily through proceeds from revenue bond sales, system
development charges, and transfers from the Operating Fund to Capital Reserves. The AMCP is
funded through wastewater user fees.
In addition to revenue bond sales, financing for qualified CIP projects was also secured through
the State of Oregon Department of Environmental Quality (DEQ)’s Clean Water State Revolving
Fund (CWSRF) loan program. From 2008-2010, The MWMC secured several CWSRF loan
agreements totalling $20.8 million. These 20-year loans provide the MWMC below-market
interest rates, along with additional financial benefits, including:
$450,000 in “Sponsorship” funding allocated for riparian shade tree planting projects to
help address the MWMC’s pending thermal load obligations. The financing of these
watershed-based projects is made available through the CWSRF program Sponsorship
Option, which provides funding to the borrower to address nonpoint source water quality
solutions through a reduced interest rate. The interest rate reduction allows the MWMC to
invest in watershed improvements using money that would have otherwise been paid as
interest on the loan.
$4 million funded through the American Reinvestment and Recovery Act (ARRA, or
“Stimulus”). The ARRA funding provided 50% of the loan in principal forgiveness (not
requiring repayment), and the remaining 50% of principal payment bearing 0% interest.
This resulted in $2 million of net revenue to the CIP in addition to interest savings.
The RWP’s operating fund is maintained to pay for operations, administration, debt service,
equipment replacement contributions and capital contributions associated with the RWP. The
operating fund derives the majority of its revenue from regional wastewater user fees that are
collected by the City of Eugene and City of Springfield from their respective customers. In
accordance with the MWMC 2005 Financial Plan, funds remaining in excess of budgeted
operational expenditures can be transferred from the Operating Fund to the Capital Reserve fund.
The Capital Reserve accumulates revenue to help fund capital projects, including major
rehabilitation, to reduce the amount of borrowing necessary to finance capital projects.
The AMCP consists of three programs managed by the City of Eugene and funded through
regional wastewater user fees: The Equipment Replacement Program, which funds replacement
of equipment valued at or over $10,000 but less than $200,000; The Major Rehabilitation
Program, which funds rehabilitation of the MWMC infrastructure such as roof replacements,
structure coatings, etc.; and the Major Capital Outlay Program for capital items (new or
replacement) with costs greater than $200,000. The MWMC assets are tracked throughout their
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 39 FY 16-17 BUDGET AND CIP
lifecycle using asset management tracking software. Based on this information, the three AMCP
program annual budgets are established and projected for the 5-Year Capital Plan.
For planning purposes, the MWMC must consider market changes that drive capital project
expenditures. Specifically, the MWMC capital plan reflects projected price changes over time
that affect the cost of materials and services. Until about 2003, the 20-city average Engineering
News Record Construction Cost Index (ENRCCI) served as a good predictor for future inflation
and was used for projecting the MWMC’s construction costs. Accordingly, construction cost
projections considered in the 2004 FP were based on January 2004, 20-city average ENRCCI.
However, in the period 2004 through 2008, construction inflation accelerated nationally with
local construction cost inflation accelerating even faster than the national average. City of
Springfield staff identified this trend in 2005 and subsequently modified their inflationary
projection methodology accordingly.
In early 2006, the MWMC hired the consulting firm CH2M to perform a comprehensive update
of project cost estimates. Following the 2006 update, the RWP’s CIP assumed a general price
increase of 5% per-year over the planning period. However, the MWMC continues to monitor
inflationary trends to inform our forecasting of capital improvement costs. Accordingly, based on
historical inflationary rates from 2006 through 2015, capital project budgets now reflect a 4%
annual inflationary factor in the FY 16-17 Budget and 5-year Capital Plan.
Regional Wastewater Capital Program Status and Budget
CIP Project Status and Budget
The FY 16-17 CIP Budget is comprised of the individual budgets for each of the active
(carryover) or starting (new) projects in the first year of the 5-Year Capital Plan. The total of
these FY 16-17 project budgets is $30,356,600. Each capital project represented in the FY 16-17
Budget is described in detail in a CIP project sheet that can be found at the end of this document.
Each project sheet provides a description of the project, the project’s purpose and driver (the
reason for the project), the funding schedule for the project, and the project’s expected final cost
and cash flow. For those projects that are in progress, a short status report is included on the
project sheet.
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 40 FY 16-17 BUDGET AND CIP
Completed Capital Projects
In FY 15-16, the following capital projects are projected to be completed and closed out. No CIP
project sheets are included for these projects because there is no expected carryover of project
funds to FY 16-17.
Repair/Replacement of Biosolids Force Main
Sodium Hypochlorite Conversion
Influent Pumping and Headworks Expansion
Carryover Capital Projects
All or a portion of remaining funding for active capital projects in FY 15-16 is carried forward to
the FY 16-17 Budget. The on-going carryover projects are:
Increase Digestion Capacity
Operations & Maintenance Building Improvements
Poplar Harvest Management Services
WPCF Lagoon Removal/Decommissioning
Thermal Load Mitigation: Pre-Implementation
Thermal Load Mitigation: Implementation 1
Facilities Plan Engineering Services
Capacity Management Operations and Maintenance (CMOM)
Biogas Cogeneration (a Major Capital Outlay project)
Overall, the budgeting for these projects follows, and is consistent with, the 2006 CH2M
estimated cost of the listed capital projects and new information gathered during design
development.
New Projects
No new projects are anticipated for the MWMC FY 16-17 Capital Budget.
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 41 FY 16-17 BUDGET AND CIP
FY 16-17 Capital Budget Summary (Exhibit 12)
Exhibit 12 below displays the adjusted budget and end-of-year expenditure estimates for FY 15-
16, the amount of funding projected to be carried over to FY 16-17 and additional funding for
existing and/or new projects in FY 16-17.
FY 16-17 Asset Management Capital Project Status and Budget
The AMCP consists of the following three programs:
Equipment Replacement
Major Rehabilitation
Major Capital Outlay
Summary of FY 16-17 MWMC Construction Program Capital Budget
FY 15-16
ADJUSTED
BUDGET
FY 15-16
ESTIMATED
ACTUALS
FY 15-16
CARRYOVER
TO FY 16-17
NEW
FUNDING
FOR FY 16-17
TOTAL
FY 16-17
BUDGET
Projects to be Completed in FY 15-16
Repair/ Replacement of Biosolids Force Main322,70440,000000
Sodium Hypochlorite Conversion1,039,800200,000000
Influent Pumping and Headworks Expansion285,186285,000000
Projects to be Carried Over to FY 16-17
Increase Digestion Capacity 16,157,0681,437,06814,720,000014,720,000
Operations & Maint Building Improvements14,719,167749,16713,970,000013,970,000
Poplar Harvest Management Services1,334,535163,526772,0000772,000
WPCF Lagoon Removal / Decommissioning4,869,681179,681390,0000390,000
Thermal Load Mitigation: Pre-Implementation246,09281,692164,40079,600244,000
Thermal Load Mitigation: Implementation 1 (1)730,884171,429131,0000131,000
Facilities Plan Engineering Services 97,54767,94729,60070,00099,600
Capacity Mgmt Operations Maint (CMOM)94,45433,05830,000030,000
TOTAL Capital Projects$39,897,118$3,408,568$30,207,000$149,600$30,356,600
Major Capital Outlay Carried Over to FY 16-17
Biogas Cogeneration (2)2,900,000800,0002,100,0003,200,0005,300,000
TOTAL Major Capital Outlay (multi-year project)
$2,900,000$800,000$2,100,000$3,200,000$5,300,000
Notes:
(1) Thermal Load Mitigation: Implementation 1 budget includes Mill Race Sponsorship ($200,000) and Cedar Creek Sponsorship ($250,000).
(2) Biogas Cogeneration is multi-year Major Capital Outlay project, a detail sheet is located at the end of this document.
EXHIBIT 12
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 42 FY 16-17 BUDGET AND CIP
The FY 16-17 budget and status of each program is described below:
Equipment Replacement Program - Budget
The FY 16-17 Capital Programs budget includes $381,000 in Equipment Replacement
purchases that are identified on the table below.
Aerial Lift. Provides access for regular and ongoing maintenance of overhead facilities and
equipment such as indoor/outdoor lighting, electrical systems, and heating/ventilation equipment.
Replaces 45-foot boom lift purchased in 2006.
Fleet Replacement. An assessment of age, mileage, hours of operation, and maintenance costs
support the replacement of three electric carts and replacement of a 10-yard dump truck bed.
Diesel Generator, 80 KW. Provides portable emergency power for wastewater treatment
facilities and Glenwood Pump Station. Replacement of 23 year old generator.
Inductively Coupled Plasma Spectrometer. Replacement of 12 year old spectrometer in the
main laboratory.
Security Camera System. Supports video monitoring of Biosolids Management Facility and
Biocycle Farm operations and site activities. Replaces and updates 12 year old equipment.
Computer File Server. Scheduled replacement of one network file server.
Project Description
FY 16-17
Budget
Aerial Lift100,000
Fleet Replacement90,000
Diesel Generator, 80 KW80,000
Inductively Coupled Plasma Spectrometer - Lab77,000
Security Camera System25,000
Computer File Server9,000
Total$381,000
Equipment Replacement
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 43 FY 16-17 BUDGET AND CIP
Major Rehabilitation Program - Budget
The FY 16-17 Capital Programs budget includes $534,000 for Major Rehabilitation projects that
are identified on the table below.
Air Drying Bed Resurfacing. The biosolids drying process takes place on 13 asphalt drying
beds over a 25 acre area. The beds have been on a rotational schedule for resurfacing to extend
their useful life. In FY 16-17 two beds will be resurfaced.
Solids Pretreatment Building Roof Replacement. Replacement of 20 year old built-up
roofing. Inspection findings of blistering and seams separation indicate need for replacement.
Plant Fuel Tank Replacement. Decommissions 32 year old underground fuel tanks and
replaces with above ground tank system.
Air Drying Beds Crack/Fog Sealing (11 beds). Provides protective seal to surface of asphalt
drying beds to help maximize useful life.
Maintenance Building High Bay Air Handlers. Replaces original 33 year old air handlers for
heating and ventilation that have reached the end of their useful life.
Operations/Maintenance Building Improvements. This expenditure will go towards
miscellaneous improvements, repairs, and renovations to improve the functionality and
usefulness of existing buildings.
Project Description
FY 16-17
Budget
Air Drying Bed Resurfacing (2 beds)180,000
Solids Pretreatment Building Roof95,000
Plant Fuel Tank Replacement85,000
Air Drying Beds Crack/fog Sealing (11 beds)64,000
Maintenance Building High Bay Air Handlers60,000
Operations/Maintenance Building50,000
Total$534,000
Major Rehabilitation
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 44 FY 16-17 BUDGET AND CIP
Major Capital Outlay - Budget
The FY 16-17 Capital Programs budget includes $5,670,000 for the Major Capital Outlay items
identified on the table below.
Engine Genrator. The existing 800 KW engine generator provides about 55% of plant electric
power needs and heating water for sludge digestion, building heat, and hot water. This project
will replace the existing equipment with greater generation capacity of up to 1.2 megawatts, and
replace related electrical and control systems that have reached the end of their useful life. As of
January 2016, the project is currently in the design phase. The FY 15-16 budget included $2.9
million for the project. The FY 16-17 budget includes an additional $3.2 million for a project
total of $6.1 million.
Residuals Aerator Tractor Replacement. Replaces the original 16 year old paddle mixer
which is used for daily mixing/turning of biosolids windrows in air drying beds.
Asset Management Capital Budget Summary
The following table summarizes the FY 16-17 Asset Management Capital Program Budget by
project type.
5-Year Capital Plan (Exhibit 13)
For each fiscal planning cycle, only the first year of budget authority is appropriated. The
remaining four years of the CIP and AMCP Capital Plans are important and useful for fiscal and
work planning purposes. However, it is important to note that the funds in the outer years of the
Capital Plan are only planned and not appropriated. Also, the full amount of obligated multi-year
project costs is often appropriated in the first year of the project, unless a smaller subset of the
Project Description
FY 16-17
Budget
Engine Generator Replacement5,300,000
Residuals Aerator Tractor Replacement 370,000
Total$5,670,000
Major Capital Outlay
Capital Project Type
FY 16-17
Budget
Equipment Replacement381,000
Major Rehabilitation534,000
Major Capital Outlay5,670,000
Total$6,585,000
Asset Management Capital Project Budget Summary
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 45 FY 16-17 BUDGET AND CIP
project, such as project design, can be identified and funded without budgeting the full estimated
project cost. For these multi-year contracts, unspent funds from the first fiscal year will typically
be carried over to the next fiscal year until the project is completed. Accordingly, the RWP
Capital Plan presented herein is a subsequent extension of the plan presented in the adopted FY
15-16 Budget that has been carried forward by one year. However, changes to the plan typically
occur from year to year as more information becomes available. In addition to these yearly
adjustments, RWP staff were further informed by a Partial Facilites Plan Update that was
completed in June of 2014. Those changes were reflected in the MWMC FY 15-16 budget and
continue forward in the FY 16-17 for the 5-Year Capital Plan.
Exhibit 13 displays the MWMC 5-Year Capital Plan programs budget, which includes
$79,742,600 in planned capital projects and $12,540,600 planned asset management capital
projects for an overall 5-Year Capital Plan Budget of $92,283,200.
FY 16-17FY 17-18FY 18-19FY 19-20FY 20-21TOTAL
CAPITAL PROJECTS
Biosolids Management
Poplar Harvest Management Services772,000868,000304,0004,0004,0001,952,000
Non-Process Facilities and Facilities Planning
Facility Plan Engineering Services99,60070,00070,00070,00070,000379,600
Capacity Mgmt Operations Maint (CMOM)30,00030,000
Comprehensive Facility Plan 713,000742,0001,455,000
Conveyance Systems
Glenwood Pump Station926,000926,000
Plant Performance Improvements
Increase Digestion Capacity 14,720,00014,720,000
Operations & Maintenance Building Improvements13,970,00013,970,000
WPCF Lagoon Removal/Decommissioning390,0004,300,0004,690,000
Thermal Load Mitigation: Pre-Implementation244,000148,000392,000
Thermal Load Mitigation: Implementation 1 (1)131,000324,0004,838,0004,796,0002,739,00012,828,000
Thermal Load Mitigation: Implementation 21,500,0003,500,0004,000,0009,000,000
Aeration Basin Improvements - Phase 24,050,00011,850,00015,900,000
Tertiary Filtration - Phase 23,500,0003,500,000
TOTAL CAPITAL PROJECTS$30,356,600$6,423,000$8,380,000$12,420,000$22,163,000$79,742,600
ASSET MANAGEMENT
Equipment Replacement381,000972,000588,000617,000648,0003,206,000
Major Rehab534,000813,300763,500607,000566,8003,284,600
Major Capital Outlay(2)5,670,000380,0006,050,000
TOTAL ASSET MANAGEMENT$6,585,000$1,785,300$1,731,500$1,224,000$1,214,800$12,540,600
TOTAL CAPITAL IMPROVEMENTS$36,941,600$8,208,300$10,111,500$13,644,000$23,377,800$92,283,200
(1) Thermal Load Mitigation: Implementation 1 budget includes Mill Race Sponsorship ($200,000) and Cedar Creek Sponsorship ($250,000).
(2) FY16-17 includes $5.3 million for Biogas Cogeneration which is a multi-year project, a detail sheet is located at the end of this document.
EXHIBIT 13
Regional Wastewater 5-Year Capital Programs
Note:
CAPITAL PROJECT DETAIL
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 46 FY 16-17 BUDGET AND CIP
POPLAR MANAGEMENT SERVICES
Description: The Biocycle Farm comprises nearly 400 acres of hybrid poplar trees, which were
planted as three management units (MUs). The MUs were initially planted in 2004, 2007,
and 2009 and are managed on regulated 12-year rotations. This project develops a harvest
management plan for the Biocycle Farm through market collaboration and refinement of
poplar harvest and planting practices. The project ensures the timely harvest of the initial
plantings in each MU within the regulatory 12-year rotation limit and subsequent
replanting.
Status: 18% completed. MU-1, comprising 156 acres, was fully harvested in 2013-2015. MU-1
will be replanted in FY 15-16 with replanting activities extending into FY 16-17. MU-2
was partially harvested in FY 15-16 for test marketing of veneer. Complete harvest of
MU-2 will resume in FY 16-17.
Justification: Land use regulatory requirement for operation of the Biocycle Farm.
Project Driver: Land Use Compatibility Statement (LUCS) issued by Lane County.
Project Trigger: Oregon ORS/OAR and NRCS rules dictating that exclusive farm use lands and farmed
wetland status agricultural lands requiring agriculturally managed hybrid poplar
plantations must be limited to 12-year rotation duration.
Project Type: 100% Performance
Improvement
SDC Eligibility: 0%
Estimated Project Cost: $2,346,000 for harvest and administration of the initial plantings across all three MUs.
Estimated Cash Flow: FY 13-14 = $116,009; FY 14-15 = $114,465; FY 15-16 = $163,526; FY 16-17 =
$772,000; FY 17-18 = $868,000; FY 18-19 = $304,000; FY 19-20 = $4,000; FY 20-21 =
4,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $230,474 $163,526 $772,000 $868,000 $304,000 $4,000 $4,000 $2,346,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $230,474 $163,526 $772,000 $868,000 $304,000 $4,000 $4,000 $2,346,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 47 FY 16-17 BUDGET AND CIP
FACILITY PLAN ENGINEERING SERVICES
Description: Engineering services for analysis, project definition, cost estimating, and general
consultation regarding the 20-Year Facilities Plan.
Status: This year, work continued on assessment of biogas utilization alternatives, which used a
Triple Bottom Line (TBL) approach to inform staff recommendations. Based on TBL
results, regional program staff recommended implementation of a project to expand the
WPCF’s combined heat and power (CHP) production capacity from 0.8 to 1.2
megawatts. This would allow the plant to more fully utilize the biogas for power and
heat production and minimize biogas flaring. However, due to recent changes in Eugene
Water and Electric Board’s (EWEB’s) proposed power pricing structure, the project was
halted while regional program staff revises the economic assessment of the CHP
expansion project. Moving forward, staff anticipates additional need for Facilities Plan
Engineering Services to support ongoing upgrades and infrastructure needs at MWMC
facilities.
Justification: Projects were developed to varying levels of specificity in the 20-Year Facilities Plan and
there is an on-going need for ongoing technical and engineering resources to help in
further refining projects and generally assisting with implementation of the plan. Another
need addressed by this resource is assurance that the new improvements maintain the
overall integrity of the plant in terms of treatment processes and hydraulics. This task
also provides ongoing planning work related to items not addressed by the 2004 MWMC
Facilities Plan.
Project Driver: Ongoing goal to efficiently follow and accommodate the upgrades resulting from the 20-
Year Facilities Plan.
Project Trigger: On-going need.
Estimated Project Cost: $933,639
Estimated Cash Flow: FY 06-07 = $50,000; FY 07-08 = $50,044; FY 08-09 = $25,467; FY 09-10 = $31,829;
FY 10-11 = $69,419; FY 11-12 = $8,699; FY 12-13 = $36,690; FY 13-14 = $146,491;
FY 14-15 = $67,453; FY 15-16 = $67,947; FY 16-17 = $99,600; FY 17-18 = $70,000;
FY 18-19 = $70,000; FY 19-20 = $70,000; FY 20-21 = $70,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $486,092 $67,947 $99,600 $70,000 $70,000 $70,000 $70,000 $933,639
Total Cost $486,092 $67,947 $99,600 $70,000 $70,000 $70,000 $70,000 $933,639
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 48 FY 16-17 BUDGET AND CIP
CAPACITY MANAGEMENT, OPERATIONS, AND MAINTENANCE (CMOM)
Description: This project (formerly identified as the WWFMP Update project) supports and guides ongoing
collection system capacity management, operations and maintenance (CMOM) programs to address
Rainfall Derived Inflow and Infiltration (RDII) and sanitary sewer overflows (SSOs). The
MWMC’s NPDES permit requires wet weather planning and prohibits SSOs. DEQ’s SSO
Enforcement Internal Management Directive identifies CMOM as an acceptable programmatic
approach to help ensure compliance. The MWMC’s CMOM program provides staff resources and
engineering consultant services to support the implementation of CMOM programs owned and
operated by the two partner cities within the MWMC’s service area (i.e., Eugene and Springfield).
The effort funded through this project provides or supports workshop organization and facilitation,
guidance development and documentation, technical analysis, standards establishment, and CMOM
gap analysis assistance.
Status: Last year, both partner cities completed CMOM program implementation plans building on the gap
analyses they performed in the prior year. Summaries of these plans were presented to the MWMC
on August 14, 2015. In addition, regional program staff hired a consultant to perform a study of
private lateral program approaches. A goal of this study was to recommend steps that partner
agencies could follow to develop private lateral programs to reduce the amount of RDII entering
the collection system. A summary of study findings was presented to the MWMC on March 13,
2015. Finally, regional program staff organized a workshop attended by staff from the two partner
cities and representatives from three Oregon wastewater agencies who have implemented
successful private lateral programs. The goal of the workshop was to share information on private
lateral programs between the agencies. A debriefing meeting was held shortly after the workshop to
discuss and identify potential next steps for each partner city. Going forward, regional wastewater
program staff will continue to facilitate further discussion and potential implementation of private
lateral programs.
Project Driver: Meet new NPDES requirements concerning SSOs, wet weather planning, and RDII reduction
through a CMOM program approach.
Project Trigger: Address NPDES Permit requirements related to SSOs and RDII.
Improvement
SDC Eligibility: 11%
Estimated Project Cost: $500,604
Estimated Cash Flow: FY 05-06 = $6,028; FY 06-07 = $86,895; FY 07-08 = $42,589; FY 08-09 = $9,562
FY 09-10 = $14,724; FY 10-11 = $7,538; FY 11-12 = $26,909; FY 12-13 = $123,251;
FY 13-14 = $91,671; FY 14-15 = $28,379; FY 15-16 = $33,058; FY 16-17 = 30,000
Expenditure/Category Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $437,546 $33,058 $30,000 $0 $0 $0 $0 $500,604
Total Cost $437,546 $33,058 $30,000 $0 $0 $0 $0 $500,604
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 49 FY 16-17 BUDGET AND CIP
COMPREHENSIVE FACILITIES PLAN UPDATE NO.1
Description: This will be the first MWMC Comprehensive Facilities Plan Update since the 2004
MWMC Facilities Plan. This Comprehensive Facilities Plan Update effort will consider a
20-year planning horizon and will draw on the most recent plant data, current regulatory
landscape, and available technology in order to ensure the MWMC continues to meet
future regulations, environmental standards, and customer needs.
Status: Planned for future implementation.
Justification: Plan future conveyance and treatment upgrades and/or expansions to meet regulatory
requirements, preserve public health and regional water quality standards.
Project Driver: Provides comprehensive facilities planning to develop the capital program for the
upcoming 20-year period once the MWMC receives new regulatory requirements under
the next NPDES permit renewal.
Project Trigger: Planning cycle initiated under the 2004 Facilities Plan and later modified to match
evolving NPDES permit renewal schedule, now estimated for 2017 at the earliest.
Project Type: Facilities Plan
Improvement
SDC Eligibility: 21%
Estimated Project Cost: $1,457,280
Estimated Cash Flow: FY 14-15 = $2,280; FY 17-18 = $713,000; FY 18-19 = $742,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $2,280 $0 $0 $713,000 $742,000 $0 $0 $1,457,280
Total Cost $2,280 $0 $0 $713,000 $742,000 $0 $0 $1,457,280
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 50 FY 16-17 BUDGET AND CIP
GLENWOOD PUMP STATION UPGRADE
Description: Expand Glenwood pump station capacity. The existing pump station is built to be
expandable in capacity when the need arises. Two pumps are installed with the
expandability to add up to two additional pumps when needed.
Status: The project is anticipated to start design development in 2018 with consultant services.
The scope of work is planned to add one wastewater pumping system.
Justification: Additional pumping capacity will be required at this MWMC pump station to handle
increasing flows in the Glenwood area (Springfield) and the Laurel Hill area (Eugene).
Project Driver: Keep up with capacity needs, maintain required pumping redundancy, and prevent
overflows upstream of the Glenwood pump station.
Project Trigger: Planning work in 2014 anticipates that a third pump to increase capacity should be
operational by about year 2019. The timing will be impacted by the rate and type of
development in the area and efforts to minimize infiltration and inflow that impact the
Glenwood pump station. The MWMC Partial Facilities Plan Update document dated June
2014 recommended moving the initial budget year to FY 18-19 as shown below.
Project Type: 100% Capacity
Improvement
SDC Eligibility: 38%
Estimated Project Cost: $926,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 18-19 = $864,000; FY 19-20 = $62,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $926,000 $0 $0 $926,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $926,000 $0 $0 $926,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 51 FY 16-17 BUDGET AND CIP
INCREASE DIGESTION CAPACITY
Description: Installation of a fourth digester for expanded production of Class B biosolids. This
project also included supporting the plant-wide landscaping construction work that was
completed in December of 2012.
Status: As of January 29, 2016, the project to Increase Digestion Capacity is in the design phase
for a fourth digester and construction should start in fall of 2016. The MWMC has three
existing digesters.
Justification: Continue to meet the requirements for Class B digestion with the ability to take one
digester out of service for cleaning and/or repairs.
Project Driver: Addresses the need for anaerobic digestion capacity. The 2004 MWMC Facilities Plan
considers an option to upgrade the existing digestion process to meet Class A biosolids
standards as a strategy to secure a wider range of beneficial end-use options and increase
program flexibility. Since that time, the MWMC has effectively expanded beneficial
application of Class B biosolids with expansion of the Biocycle Poplar Farm, and through
working with private sector end-users.
Project Trigger: Estimates indicate that expanded digestion facilities will be needed by 2017 or 2018. The
design phase started in 2015.
Improvement
SDC Eligibility: 54.3%
Estimated Project Cost: $16,653,170 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 11-12 = $139,028; FY 12-13 = $44,142; FY 13-14 = $0; FY 14-15 = $312,932
FY 15-16 = $1,437,068; FY 16-17 = $7,050,000; FY 17-18 = $7,600,000;
FY 18-19 = $70,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $496,102 $1,437,068 $14,720,000 $0 $0 $0 $0 $16,653,170
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $496,102 $1,437,068 $14,720,000 $0 $0 $0 $0 $16,653,170
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 52 FY 16-17 BUDGET AND CIP
OPERATIONS & MAINTENANCE BUILDING IMPROVEMENTS
Operations Building Maintenance Building
Aerial
Maintenance Building ISC Modular Building
Description: This project will update and expand the Operations and Maintenance (O&M) support
facilities at the Water Pollution Control Facility (WPCF). The support facilities to be
updated and expanded on include the Maintenance Building, Administrative/Operations
Building, and the temporary Industrial Source Control (ISC) building. The improvements
will include a new laboratory building located where the temporary ISC building is
currently.
Status: As of December 29, 2015: The project team with direction from the Architectural
Consultant created three alternatives with cost estimates to consider based on information
gathered during the pre-design (architectural programming) phase. Staff received
Commission approval to move forward with the design of Alternative #2 which include
modifications and additions to the Maintenance and Administration/Operations Buildings
and design a new building for laboratory functions. The project is in the design phase,
and construction bidding is anticipated in summer or fall of 2016.
Justification: The original design for the O&M Buildings at the WPCF was completed in the late
1970s. Since that time, use of the O&M Buildings have changed substantially due to
modifications in the workforce, advancing technology, regulatory changes, and an
increase in staff to support additional facilities Building codes, have also changed during
this time, necessitating upgrades. Lastly, the ISC modular building was installed as a
temporary structure in 1996 and has since reached the end of its useful life.
Project Driver: The need to update and/or replace the existing O&M support facilities is driven by the
need to provide a safe and efficient work environment for WPCF staff. Many of these
changes stem from a changing wastewater/environmental business since the MWMC
original construction that occurred in the early 1980’s.
Project Trigger: As needed, due to expansion and changes related to the MWMC facilities and safety.
Estimated Project Cost: $14,900,000
Improvement
SDC Eligibility: To be determined
Estimated Cash Flow: FY 14-15 = $180,833; FY 15-16 = $749,167; FY 16-17 = $4,400,000;
FY 17-18 = $6,500,000; FY 18-19 = $3,070,000 (estimated cash flow related to
administration, design, permits, construction, etc.)
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $180,833 $749,167 $13,970,000 $0 $0 $0 $0 $14,900,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $180,833 $749,167 $13,970,000 $0 $0 $0 $0 $14,900,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 53 FY 16-17 BUDGET AND CIP
WPCF ONSITE LAGOON
Description: This project decommissions the existing biosolids lagoon at the Water Pollution Control
Facility (WPCF).
Status: As of January 13, 2016: The project is in pre-design phase and cost estimations are
preliminary. The MWMC hired a consultant in December of 2014 to create a bid package
to decommission the lagoon. Lagoon decommissioning site work is anticipated in 2018
but the schedule might change based on progress of the construction of the forth digester
improvements.
Justification: The lagoon was constructed in 1979 as a temporary biosolids storage facility while the
Biosolids Management Facility was under construction. Since that time it has also served
as a temporary storage lagoon to support digester cleaning operations. However, the
lagoon no longer serves the purpose for which it was originally constructed and does not
meet current design standards for wastewater lagoons.
Project Driver: The lagoon can no longer provide the biosolids capacity for which it was intended nor
cost effectively continue to support digester cleaning operations. The lagoon is almost
full of accumulated rainwater and residual solids. Therefore, the decision was made to
decommission the lagoon and change the process of cleaning the digesters.
Project Trigger: The WPCF lagoon no longer functions as originally designed.
Estimated Project Cost: $5,000,000 (funding for administration, design, permits, construction, etc.)
Improvement
SDC Eligibility: Not applicable
Estimated Cash Flow: FY 13-14 = $1,769; FY 14-15 = $128,550; FY 15-16 = $179,681; FY 16-17 = $33,000;
FY 17-18 = $542,000; FY 18-19 = $4,115,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $130,319 $179,691 $390,000 $4,300,000 $0 $0 $0 $5,000,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $130,319 $179,681 $390,000 $4,300,000 $0 $0 $0 $5,000,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 54 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION PRE-IMPLEMENTATION
Description: This project includes the study and planning of thermal load mitigation measures
including recycled water feasibility studies, riparian shading projects, and water quality
trading credit development, as well as associated permit negotiation and legal strategy
related to the temperature total maximum daily loads (TMDL) and NPDES permit
renewal.
Status: Two of three planned phases of thermal load strategy planning have been completed with
recommendations to develop opportunities for recycled water demonstration projects and
partnerships in watershed restoration for temperature credits. The third phase of study
commenced in FY 15-16 and will continue in FY 16-17.
Justification: Provides planning of infrastructure, projects, and collaborative agreements needed so that
thermal loads are reduced on the Willamette River while providing additional
environmental and community benefits.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River TMDL
temperature requirements.
Project Trigger: Planning necessary for ongoing compliance with Oregon’s temperature standard.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $818,595
Estimated Cash Flow: FY 13-14 = $ 295,995; FY 14-15 = $48,908; FY 15-16 = $81,692; FY 16-17 = $244,000;
FY-17-18 = $148,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $0 $0
Other $344,903 $81,692 $244,000 $148,000 $0 $0 $0 $818,595
Total Cost $344,903 $81,692 $244,000 $148,000 $0 $0 $0 $818,595
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 55 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION – IMPLEMENTATION 1
Description: This project implements thermal load mitigation projects strategized for regulatory
compliance and additional environmental and community benefits. The projects may
include recycled water use expansion at MWMC facilities and/or extension of recycled
water services to community partners, water quality trading credit strategies through
shade credit investments, and collaborative partnerships for permit compliance. The
recycled water projects may include additional treatment, disinfection, pumping, pipeline,
and distribution/irrigation systems.
Status: Pilot-scale riparian shade projects are currently being implemented under a 25-year
contract agreement with The Freshwater Trust. Additional project opportunities are being
evaluated for future implementation under the Thermal Load Mitigation: Pre-
Implementation Project.
Justification: Meet future thermal load permit limits and improve water quality. Implementation of the
thermal load compliance strategy developed under pre-implementation planning phase.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River total
maximum daily loads (TMDL) temperature requirements.
Project Trigger: Project implementation necessary for ongoing compliance with Oregon’s temperature
standard.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $13,165,470
Estimated Cash Flow: FY 13-14 = $78,925; FY 14-15 = $87,116; FY 15-16 = $171,429; FY 16-17 = $131,000;
FY 17-18 = $324,000; FY 18-19 = $4,838,000; FY 19-20 = $4,796,000;
FY 20-21 = $2,739,000
Expenditure/Category:
Prior
Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $166,041 $171,429 $131,000 $324,000 $4,838,000 $4,796,000 $2,739,000 $13,165,470
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $166,041 $171,429 $131,000 $324,000 $4,838,000 $4,796,000 $2,739,000 $13,165,470
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 56 FY 16-17 BUDGET AND CIP
THERMAL LOAD MITIGATION – IMPLEMENTATION 2
Description: This project anticipates future expansion of recycled water uses, riparian restoration,
and/or other thermal load and watershed management strategies for regulatory
compliance and environmental and community benefits. These projects are subject to the
outcomes of the regulatory scenarios and goals associated with changing conditions of
total maximum daily loads (TMDL) implementation, community and climatic factors,
and emerging water quality/quantity needs.
Status: To be planned.
Justification: Ongoing fulfillment of thermal load mitigation strategic plans.
Project Driver: Address NPDES permit thermal load compliance related to Willamette River TMDL
temperature requirements, other emerging water quality regulatory drivers, and
community needs.
Project Trigger: Compliance with NPDES discharge permit.
Project Type: 100% Performance
Improvement
SDC Eligibility: 26%
Estimated Project Cost: $9,000,000 (plus up to $8,000,000 anticipated project need in the out-years FY 21-22 and
beyond for a total project cost of $17,000,000).
Estimated Cash Flow: FY 18-19 = $1,500,000; FY 19-20 = $3,500,000; FY 20-21 = $4,000,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $1,500,000 $3,500,000 $4,000,000 $9,000,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $1,500,000 $3,500,000 $4,000,000 $9,000,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 57 FY 16-17 BUDGET AND CIP
AERATION BASIN IMPROVEMENTS – PHASE 2
Description: Aeration Basin (Phase 2): Add step feed, anoxic selectors, and fine bubble diffusers to 4
of the 8 cells of the aeration basins and make hydraulic improvements. This project was
originally the North Aeration Basin Improvements project; however the Phase 1
study/design phase showed that improvements to the four eastern most basins as a first
phase would allow for better hydraulics and more operational flexibility.
In January 2016, the project scope and cost (estimate $750K) increased to include
replacement of existing aeration basin gates, valves and spray system.
Status: The Aeration Basin (Phase 2) project is anticipated to start design development in fiscal
year 19-20 with consultant services.
Justification: Increase the dry weather aeration basin treatment capacity with respect to ammonia (with
nitrification) and increase the wet weather treatment capacity.
Project Driver: National Pollution Discharge Elimination System (NPDES) permit includes ammonia
limit requiring nitrification in dry weather and expansion of wet weather capacity to treat
wet weather flows to meet NPDES permit monthly and weekly suspended solids limits.
Project Trigger: Address water quality requirements (need to evaluate the requirements based on the
MWMC next NPDES permit renewal that is not anticipated to be issued in 2016).
Project Type: 50% Capacity; 50% Performance
Improvement
SDC Eligibility: 58.7%
Estimated Project Cost: $15,900,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 19-20 = $1,450,000; FY 20-21 = $6,800,000; FY 21-22 = $6,950,000;
FY 22-23 = $700,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $4,050,000 $11,850,000 $15,900,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $0 $4,050,000 $11,850,000 $15,900,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 58 FY 16-17 BUDGET AND CIP
TERTIARY FILTRATION - PHASE 2
Description: The phased work program will install infrastructure/support facilities for 30 mgd of filters
for tertiary filtration of secondary treated effluent. Phase 2 is planned to install filter
system technology sufficient for another 10 mgd of treatment that will increase the total
filtration capacity to 20 mgd. The Phase 3 project will install the remaining filtration
technology to meet the capacity needs identified in the 2004 MWMC Facilities Plan.
In January 2016, the project scope and cost (estimate $530K) increased to include
updating electrical switchgear, and install tertiary filter flushing headers/pipe vents.
Status: Tertiary Filtration (Phase 2) project is anticipated to start design development in fiscal
year 20-21. The MWMC has an existing equipment agreement (ending October 2017) to
allow for additional filtration equipment at a defined price.
Justification: The 2004 MWMC Facilities Plan proposes phasing filters on a phased work program.
Filtration provides high quality secondary effluent to help meet permit requirements and
potential Class A recycled water.
Project Driver: Performance reliability to meet the dry weather NPDES total suspended solids limits of
less than 10 mg/L, reuse development, and compliance with effluent limits during peak
flow conditions.
Project Trigger: NPDES permit compliance for total suspended solids (TSS): Dry weather maximum
month flow in excess of 49 mgd. Also, provide higher quality effluent so that reuse
options can be developed.
Improvement
SDC Eligibility: 41.6%
Estimated Project Cost: $14,030,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 20-21 = $1,600,000; FY 21-22 = $5,800,000; FY 22-23 = $6,630,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $0 $0 $0 $0 $0 $3,500,000 $3,500,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $0 $0 $0 $0 $0 $3,500,000 $3,500,000
Metropolitan Wastewater Management Commission Capital Improvement Program
Page 59 FY 16-17 BUDGET AND CIP
BIOGAS COGENERATION SYSTEM REPLACEMENT
Description: Increase capacity of the combined heat and power generation system (also known as a
cogeneration system), located at the Water Pollution Control Facility (WPCF), to
maximize biogas utilization.
Status: As of January 20, 2016, design of a larger capacity cogeneration system is 50% complete.
Further design efforts are paused until definitive long-term financial determinations can
be made.
Justification: This project will beneficially utilize nearly 100% of generated biogas, opposed to
currently flaring approximately 30%.
Project Driver: Maximize the beneficial use of biogas, following the recommendation of the Biogas
Utilization Study.
Project Trigger: Existing cogen unit is scheduled to need a major rebuild by March 2017.
Project Type: 100% Performance
Improvement
SDC Eligibility: Not applicable
Estimated Project Cost: $6,100,000 (funding for administration, design, permits, construction, etc.)
Estimated Cash Flow: FY 15-16 = $800,000; FY 16-17 = $3,200,000; FY 17-18 = $2,100,000
Expenditure/Category: Prior Years
2015-16
Est. Act. 2016-17 2017-18 2018-19 2019-20 2020-21 Total
Design/Construction $0 $800,0000 $5,300,000 $0 $0 $0 $0 $6,100,000
Other $0 $0 $0 $0 $0 $0 $0 $0
Total Cost $0 $800,000 $5,300,000 $0 $0 $0 $0 $6,100,000