Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department recommends adoption of “A final project plan for the Detroit Water and Sewerage Department Water System Improvement, Watermain Replacement and Designating an Authorized Project Representative FY 2020 Drinking Water Revolving Fund” and also authorizes the Chief Financial Officer and the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of April 17, 2019
Item No. 19-0090
Resolution Relating to the Application by Great Lakes Water Authority on behalf of Detroit Water and Sewerage Department for low interest loan program funded by Michigan Department of Environmental Quality (MDEQ) for the Benefit of the Detroit Local Water Supply Distribution System
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Thomas Naughton, Chief Financial Officer
Water and Sewerage Department
RE: A RESOLUTION ADOPTING A FINAL PROJECT PLAN
FOR THE DETROIT WATER AND SEWERAGE DEPARTMENT
WATER SYSTEM IMPROVEMENTS, WATERMAIN REPLACEMENT AND DESIGNATING AN AUTHORIZED PROJECT REPRESENTATIVE
FY2020 DRINKING WATER REVOLVING FUND
MOTION
Upon recommendation of Thomas Naughton, Chief Financial Officer, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department recommends adoption of the “A final project plan for the Detroit Water and Sewerage Department Water System Improvement, Watermain Replacement and Designating an Authorized Project Representative FY 2020 Drinking Water Revolving Fund” and also authorizes the Chief Financial Officer and the Director to take such other action as may be necessary to accomplish the intent of this vote.
JUSTIFICATION
The Detroit Water and Sewerage Department will utilize the State’s Drinking Water Revolving Fund to finance the watermain improvements to the City’s Local Water Supply Distribution System in accordance with the approved FY 2020 Capital Improvement Plan. Anticipated borrowings are not to exceed $57.5 million.
BACKGROUND
The Detroit Water and Sewerage Department has requested the Great Lakes Water Authority to apply on its behalf for the Drinking Water Revolving Fund loan with the State. DWSD prepared a project plan outlining the projects, scope in which two projects, WS-710 and WS-711 are in critical need of addressing the repeated watermain breaks. In addition based on the condition assessments performed by AECOM Great Lakes, as part of the Capital Improvement Program management Organization (CIPMO) of seven (7) Detroit neighborhoods and determined that watermains along several streets in each neighborhood are in need of either replacement or rehabilitation. The CIPMO has packaged these neighborhoods into tow (2) additional projects WS-715 and WS-716.
The purpose of the project plan is to describe the capital improvement projects for watermain replacement and serves as the basis for public review and comment on the proposed work in accordance with the public participation requirements of the DWRF program.
A RESOLUTION ADOPTING A FINAL PROJECT PLAN
FOR THE DETROIT WATER AND SEWERAGE DEPARTMENT
WATER SYSTEM IMPROVEMENTS, WATERMAIN REPLACEMENT AND
DESIGNATING AN AUTHORIZED PROJECT REPRESENTATIVE
FY2020 DRINKING WATER REVOLVING FUND (DWRF)
WHEREAS, the City of Detroit through its Detroit Water and Sewerage Department (DWSD),
and the Great Lakes Water Authority (GLWA), jointly recognize the need to make improvements to portions of the existing water distribution system that are owned and operated by the City of Detroit and that are physically located within the city limits; and
WHEREAS, The DWSD prepared a Drinking Water Revolving Fund (DWRF) Project Plan, which recommends water main replacement and associated appurtenances, including removal of certain lead service lines, in various locations of the City of Detroit; and
WHEREAS, The Project Plan was presented by DWSD at a Public Hearing held on April 3,
2019 at 1:00 pm. in the DWSD Board of Water Commissioners (BOWC) hearing room, and all public comments were considered and addressed; and
WHEREAS, The DWSD formally adopted said Project Plan and agreed to implement the identified selected alternative of water main and lead service line replacements as described in said document, as evidenced by the DWSD resolution in Attachment 1;
NOW THERFORE BE IT RESOLVED, that the Director, currently held by Mr. Gary Brown is designated to sign contractual and other loan related documents as required or recommended,
and for the purpose of serving as primary points of contact for local and state intergovernmental coordination during implementation of the projects.
BE IT FURTHER RESOLVED, the BOWC recognizes the DWRF requirement that GLWA
serve as the DWRF loan applicant on behalf of the City of Detroit, the loan recipient, for all activities required by DWRF financing, and in accordance with local and state intergovernmental
agreements.
BE IT FURTHER RESOLVED, that the Director is authorized to transmit the final DWSD Water Main Replacement DWRF Project Plan to GLWA Board of Directors and DWSD BOWC and take all appropriate steps to secure approval of a low interest loan in accordance with the State of Michigan’s DWRF procedures so that the project can proceed expeditiously to construction.
Yeas:
Nays:
I certify that the above Resolution was adopted by _______________________________ (the governing body of the applicant) on _________________________.
BY: ______________________________________________________________________________
Name and Title (please print or type)
______________________________________________________________________________
Signature Date