Title
The Board of Water Commissioners for the City of Detroit Water and Sewerage Department authorizes the Director to approve the accompanying Sewer Disposal System (SDS) Capital Improvement Program for Fiscal Years 2022 through 2026; authorize the Director to approve the FY2022 Capital Budget, and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of June 16, 2021
Item No. 21-0525
5-Year Capital Improvement Program (CIP) Sewer Disposal System
Amount: $205,600,910
FY2019 Capital Budget Sewer Disposal System
Amount: $73,280,410
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Authorization to Approve the June 2, 2021 Sewer Disposal System (SDS) Capital Improvement Program (CIP) and 2022 Capital Budget
Authorization to Adopt the FY 2021-22 capital budget for Water and Sewerage Sewer Disposal System
MOTION
Upon recommendation of Thomas Naughton, Chief Financial Officer, the Board of Water Commissioners for the City of Detroit Water and Sewerage Department authorizes the Director to approve the accompanying Sewer Disposal System (SDS) Capital Improvement Program for Fiscal Years 2022 through 2026; authorize the Director to approve the FY2022 Capital Budget, and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
Pursuant to the lease agreement executed to establish the Great Lakes Water Authority (GLWA), the Detroit Water and Sewerage Department (DWSD) is required to develop a five-year capital improvement program for the local sewer system assets. The capital improvement needs for the period 2022-2026 have been internally reviewed, approved, categorized, inventoried, and assembled into a five-year program and prioritized, and presented to the CIP Committee of the BOWC on February 3, 2021, April 7, 2021 and then to the Finance Committee on June 2, 2021.
The CIP document focuses on replacement, lining and rehabilitation of the local sewer system assets to provide reliable and efficient service. The plan details a five-year capital improvement plan to meet the improvement and financing needs of the Sewer Disposal System
The first year of this plan will serve as the approved capital budget.
JUSTIFICATION
The BOWC is required each year to adopt a Five-Year Capital Improvement plan for the Sewer Disposal System. The Board of Water Commissioners shall adopt the total five-year capital plan of $205,600,910 for Sewer Disposal System improvements.
BOWC is requested to adopt a fiscal year 2021-22 capital budget of $73,280,410 for the Sewer Disposal system improvements.