Water and Wastewater Commission Budget Committee Meeting - via videoconference

Agenda — original pdf

Versión en español a continuación Water and Wastewater Commission Budget Committee Special Called Meeting June 30, 2021 Water and Wastewater Commission to be held June 30, 2021 with Social Distancing Modifications Public comment will be allowed via telephone; no in-person input will be allowed. All speakers must register in advance (June 29, 2021 by noon). All public comment will occur at the beginning of the meeting. meeting). To speak remotely at the June 30, 2021 Water and Wastewater Commission Meeting, members of the public must: •Call or email the board liaison at (512) 972-0115 and Blanca.Madriz@austintexas.gov no later than noon, June 29, 2021. The following information is required: speaker name, item number(s) they wish to speak on, whether they are for/against/neutral, email address and telephone number (must be the same number that will be used to call into the •Once a request to speak has been made to the board liaison, the information to call on the day of the scheduled meeting will be provided either by email or phone call. •Speakers must call in at least 15 minutes prior to meeting start time in order to speak, late callers will not be accepted and will not be able to speak. •Speakers will be placed in a queue until their time to speak. •Handouts or other information may be emailed to Blanca.Madriz@austintexas.gov by noon the day before the scheduled meeting. This information will be provided to Board and Commission members in advance of the meeting. •If the meeting is broadcast live, it may be viewed here: http://www.austintexas.gov/page/watch-atxn-live The City of Austin is committed to compliance with the American with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. Meeting locations are planned with wheelchair access. If requiring Sign Language Interpreters or alternative formats, please give notice at least 2 days (48 hours) before the meeting date. Please call Blanca Madriz at Austin Water, 512-972-0115 for additional information; TTY users route through Relay Texas at 711. For more information on the Water and Wastewater Commission, please contact Blanca Madriz at Blanca.Madriz@austintexas.gov. Reunión Especial del WATER & WASTEWATER COMMISSION BUDGET COMMITTEE de la reunion 30 de junio 2021 La junta se llevará con modificaciones de distanciamiento social Se permitirán comentarios públicos por teléfono; no se permitirá ninguna entrada en persona. Todos los oradores deben registrarse con anticipación (29 de junio). Todos los comentarios públicos se producirán al …

C1 — original pdf

FY2022 Proposed Budget Major Initiatives Summary Overall Budget Summary economic recovery • 62 New FTE’s - $6.4M • $15M revenue growth (2.7% increase) in FY22 driven by customer account growth and modest • Total budget requirements increase over prior year - $32.7M driven primarily by $25M increase in transfers for defeasance due to FY21 defeasance deferral EUM/Strategic Direction Category EUM - Enterprise Resiliency EUM - Infrastructure Strategy & Performance Insourcing of Contracted Services My ATX Water Water Forward EUM - Customer Satisfaction EUM – ELD Affordability – Debt Management Facility Improvements Total Proposed Positions 18 14 10 8 5 3 2 1 1 62 Total Position Cost $1,916,139 1,563,822 635,627 926,464 541,330 410,974 208,890 142,101 69,764 $6,415,110 Major Initiative Cost Drivers Infrastructure Strategy & Performance - $4.8M increase • $2.0M net increase - Pipeline Contract Services increased by $3.5M to create the Austin Water Restoration Services Division, the cost was offset by a decrease in Electric Services and $1.5M decrease in Interdepartmental Public Works Street Cuts. • $830K increase - multi-sensor inspection for large diameter main. This is a new program that will obtain condition assessment data on our large sewer pipes. Austin Water will use the inspection data collected to prioritize capital improvement projects and ensure infrastructure stability. • New Temp FTE’s (11 - $423,200) • Proposed FTE’s (14 - $1,563,821) Job Title AW Treatment O & M Tech Sr Business Process Spec Engineer B Engineer C Engineer, Graduate B IT Geospatial Technician Total 1 Proposed Positions 5 1 4 2 1 1 14 Total Position Cost $ 46,154 103,035 534,475 284,202 120,317 75,638 $1,563,821 FY2022 Proposed Budget Major Initiatives Summary Enterprise Resiliency ($2.74M increase) • New Temp FTE’s (2 - $133,536) • Proposed FTE’s (18 - $1,916,139) Job Title Administrative Senior Administrative Specialist AW Electrician II AW SCADA Analyst AW Treatment O & M Tech Sr Business Process Consultant Sr Business Process Spec Engineer C Internal Auditor III Inventory Planner II IT Business Systems Analyst Sr Ocptnl Health & Safety Spec Sr Ofcr, Emergency Plans Ofcr, Emergency Plans Senior Supt, AW O&M Total Proposed Positions 1 1 2 2 2 1 1 1 1 1 1 1 1 1 1 18 Total Position Cost $ 67,050 78,799 206,070 240,634 178,462 133,619 103,035 142,101 120,317 93,077 126,771 108,461 93,077 97,897 126,771 $1,916,139 Affordability - $24.9M increase • $29.8 million increase for debt defeasance due to the deferral of the …

C2 — original pdf

FY 2022-2026 Proposed CIP Plan-Austin Water Summary by AW Utility & Infrastructure Type 2022 2023 2024 2025 2026 5-Year Plan FY 2022-2026 FY22-26 5-Year Total Reclaimed Water Network Reclaimed Total Buildings and Improvements Information Technology Other Pump Stations Reservoirs Vehicles and Equipment Water Pipe Network Water Treatment Plants Water Total Buildings and Improvements Information Technology Lift Stations Vehicles and Equipment Wastewater Pipe Network Wastewater Treatment Plants Wastewater Total Grand Total 1,037,000 6,879,500 9,553,000 34,505,500 13,329,000 1,685,955 1,326,500 615,000 5,820,427 9,713,431 2,020,000 46,882,321 17,090,464 3,536,342 2,941,715 908,831 5,813,261 7,325,282 2,270,000 53,097,590 29,206,076 1,350,000 1,524,000 577,000 3,027,771 9,196,331 2,020,000 45,621,746 10,911,380 3,707,000 13,329,000 9,553,000 3,707,000 1,037,000 34,505,500 1,565,000 1,676,500 994,000 4,706,237 14,953,371 2,020,000 19,278,056 9,379,590 85,154,098 6,879,500 105,099,097 110,119,659 123,566,688 129,076,126 134,104,816 185,013,647 681,880,936 1,087,847,352 222,098,256 222,049,786 212,857,354 192,384,570 238,457,386 6,350,000 1,479,000 200,000 11,124,734 10,380,103 2,020,000 13,903,233 6,949,669 54,572,754 52,406,739 371,460,916 6,485,000 1,379,000 4,104,901 2,020,000 48,104,564 122,920,182 74,228,228 14,487,297 8,947,715 3,294,831 30,492,430 51,568,518 10,350,000 178,782,946 73,537,179 14,392,644 8,987,715 18,510,862 10,350,000 204,650,753 424,988,962 3,335,144 3,091,715 2,157,200 2,270,000 31,278,618 67,986,982 1,565,000 1,676,500 3,568,931 2,020,000 46,944,828 78,329,557 1,657,500 1,226,500 3,738,828 2,020,000 34,735,361 80,188,499 1,350,000 1,614,000 4,941,002 2,020,000 43,587,382 75,563,742 FY 2022-2026 Proposed CIP Plan-Austin Water AW Utility FUND DEPT UNIT Infrastructure Type Strategic Outcome SUBPROJECT_NAME 2022 2023 2024 2025 2026 SUBPROJECT ID FY22-26 5-Year Total Reclaimed 3990 2107 4127 Reclaimed Water Network Health and Environment 3333.037 840,000 1,895,000 432,000 266,000 - 3,433,000 Reclaimed 3990 2107 4129 Reclaimed Water Network Health and Environment 5267.025 3,360,000 3,056,000 861,000 117,000 - 7,394,000 Reclaimed 3990 2107 4104 Reclaimed Water Network Health and Environment 5267.036 - - - - - - Reclaimed PLAN 2107 P179 Reclaimed Water Network Health and Environment 5267.04 - - 10,000 85,000 70,000 165,000 Reclaimed 3990 2107 4143 Reclaimed Water Network Health and Environment 5267.041 233,000 1,903,000 1,606,000 216,000 - 3,958,000 Reclaimed 3990 2107 4144 Reclaimed Water Network Health and Environment 5267.042 525,000 1,971,000 2,136,000 217,000 77,000 4,926,000 Reclaimed 3990 2107 4150 Reclaimed Water Network Health and Environment 5267.044 145,000 419,000 1,247,000 1,360,000 149,000 3,320,000 Reclaimed PLAN 2107 P187 Reclaimed Water Network Health and Environment 5267.052 - - - 123,000 123,000 246,000 Reclaimed Water Network Reclaimed Water Network Health and Environment Health and Environment 5267.062 5267.075 Travis Heights Reclaimed Water Main 415,000 1,584,000 293,500 560,000 360,000 - 1,213,500 - 546,000 128,000 4,108,000 1,435,000 Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed Reclaimed 4010 3990 4010 PLAN 4010 4010 PLAN PLAN 4010 PLAN PLAN …

C3 — original pdf

Financial Policies FY 2022 Updates Budget Committee June 30, 2021 Proposed Financial Policy Changes Debt Service Coverage Days Cash on Hand Cash Financing of CIP Projects Drinking Water Protection Zone Minimum of 1.50x shall be targeted Minimum of 60 days shall be targeted Minimum of 20% is desirable 5 Boards & Commissions and City Council Public Hearing Minimum of 1.75x shall be targeted Minimum of 180 days shall be targeted Minimum of 35% and maximum of 50% is desirable Public Input at 3 Boards & Commissions and Budget Public Input Process 2 Background Timeline of Events Extreme Weather Conditions Council Approved CRFs @ 100% allowable Removal of Negative Watch Debt Management Strategies, Improved Metrics 2012–2014 2014 2016–2017 2021 2010–2015 2014 2016 2016–2020 Joint Committee Financial Recommendations Negative Watch: Fitch & Moody’s Cost of Service Rate Study Financial Policies Updates Proposal 3 Debt Management Strategy Impacts Total Debt Service Requirements Comparison FY 2017 to Current – Budget Basis $19.0 $45.9 $48.7 $60.6 $72.3 $78.3 $70.5 $76.8 $43.8 $58.5 Total Debt Service Savings $591.2M Since 2016 2016-17 Actual 2017-18 Actual 2018-19 Actual 2019-20 Actual 2020-21 Estimate 2021-22 Forecast 2022-23 Forecast 2023-24 Forecast 2024-25 Forecast 2025-26 Forecast Fiscal Year Current Debt Service Requirements Debt Svc Reduction 2016 Debt Service Requirements 4 $260 $210 $160 $110 $60 $10 -$40 ) s n o i l l i m n i ( e c i v r e S t b e D Debt Service Coverage – City Comparison AW Proposed Debt Service Coverage: 1.75 1.85x Moody’s Medians: 2.3X Information pulled from each City’s Annual Reports City Austin Water Austin Energy City of Arlington City of Dallas City of Fort Worth City of Houston Oklahoma City City of Phoenix City of Portland City of San Antonio City of Seattle FY18 1.57 3.56 4.80 1.96 2.31 1.49 3.42 2.15 1.48 1.98 2.40 2.47 FY19 1.83 4.00 3.46 1.74 2.34 1.39 3.64 1.82 1.34 2.14 2.46 2.38 Average Debt Service Coverage Info and documentation available at austintexas.gov/department/austin-water-financial-policies-fy-2022-update 5 Days Cash on Hand – City Comparison AW Proposed Days Cash on Hand: 180 days 245 days Moody’s Medians: 467 days Information pulled from each City’s Annual Reports City Austin Water Austin Energy City of Arlington City of Dallas City of Fort Worth City of Houston Oklahoma City City of Phoenix City of Portland City of San Antonio City of Seattle Average Days Cash on Hand FY18 280 224 …

Approved Minutes — original pdf

Water and Wastewater Commission, Budget Committee Meeting Minutes June 30, 2021 Approved: August 4, 2021 WATER AND WASTEWATER COMMISSION BUDGET COMMITTEE MINUTES June 30, 2021 The Water and Wastewater Commission Budget Committee convened on June 30, 2021 at 1:03 pm via videoconferencing. Committee Members in Attendance: Susan Turrieta (Chair), Travis Michel (Vice Chair), Grant Fisher, William Moriarty CALL TO ORDER The meeting was called to order at 1:03 p.m. by Chair Turrieta. A. CITIZEN COMMUNICATION: GENERAL There were no speakers registered for Citizen Communication. B. DISCUSSION ITEMS: 1. Fiscal Year 2021-2022 Budget Summary 2. Fiscal Year 2022-2026 Capital Improvement Plan (CIP) 3. Austin Water Financial Forecast Fiscal Fiscal Year 2022 - 2026 4. Fiscal Year 2021-2022 Financial Policy Update 5. Budget Committee Report Discussion Austin Water Financial Managers Christina Romero and Songli Floyd presented updates on the budget summary, Capital Improvement Plan (CIP) and financial policy. The commissioners had a discussion about the budget committee report proposal. C. FUTURE AGENDA ITEMS Chair Turrieta proposed a different format for presenting the budget committee report. Vice-Chair Michel and Commissioners Moriarty and Fisher agreed to the format changes to include information presented to the budget committee from the Fiscal Year 2021-2022 Budget Summary. Chair Turrieta will confer with Austin Water Assistant Director of Financial Services, Joseph Gonzales on which agenda of the full Water and Wastewater Commission this report can begin to be discussed. D. ADJOURN The meeting was adjourned at 2:04 p.m. by Chair Turrieta.