Title
The Board of Water Commissioners authorizes the Director to approve the Water Supply System (WSS) Capital Improvement Program for Fiscal Years 2019 through 2023; authorize the Director to approve the FY2019 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 May 16, 2018
Item No. 18-0105
5-Year Capital Improvement Program (CIP) Water Supply System
Amount: $258,987,422
FY2019 Capital Budget Water Supply System
Amount: $90,644,969
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Authorization to Approve the May 2, 2018 Water Supply System (WSS)
Capital Improvement Program (CIP) and 2019 Capital Budget
Authorization to Adopt the FY 2018-19 capital budget for Water and
Sewerage Disposal System
MOTION
Upon recommendation of Thomas Naughton, Chief Financial Officer, the Board of Water Commissioners authorizes the Director to approve the Water Supply System (WSS) Capital Improvement Program for Fiscal Years 2019 through 2023; authorize the Director to approve the FY2019 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 water system assets. The capital improvement needs for the period 2019-2023 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 7, 2018, April 4, 2018 and then to the Finance Committee on May 2, 2018.
The CIP document focuses on replacement and rehabilitation of the local water 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 water supply 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 Water Supply System. The Board of Water Commissioners shall adopt the total five year capital plan of $258,987,422 for water supply system improvements.
BOWC is requested to adopt a fiscal year 2018-19 capital budget of $90,644,969 for the water supply system improvements.