Lower Middlesex Water Source Evaluation Project Update March 29, - - PowerPoint PPT Presentation

Lower Middlesex Water Source Evaluation Project Update March 29, 2017

AGENDA

• 1. Source Evaluation/Selection
• 2. Distribution System Layout
• 3. Project Scope/Project Costs/Financing Sources
• 4. Proposed Rates/Connection
• 5. Financial Sustainability Curve
• 6. Next Steps
• 7. Project Schedule
• 8. Questions

Source Evaluation/Selection

• Objective: To identify high quality sources with high

yields to supply lower Middlesex County

• Methodology:
• 77 existing wells identified and incorporated into Decision Matrix
• Evaluated well yields, water quality, well construction details
• Identified Rosegill Wells as very favorable for use
• Conducted Groundwater Modeling of the Rosegill wells – Results
• favorable. Met with DEQ, response favorable.
• Recommended Selection of Rosegill wells as desired source

Distribution System Layout

• Begins at Rosegill wells
• Extends to Topping
• Extends to Stingray Point
• 2 Storage/Pumping Facilities
• Approximately 120 fire hydrants

Distribution System Layout

Distribution System Layout

Project Scope/Project Costs/Financing Sources

• Approximately 40 miles of pipeline – 12”-2”
• 2 Storage/Pumping Facilities
• Estimated Project Cost - $17,442,838
• Proposed Financing

VDH USDA County County $8,133,122 $7,609,716 $1,000,000 $700,000 2.75% 2.0% 2.5% (TBD) 30 years 40 years 30 years (TBD) Fire Hydrant $401,650 $278,179 $47,778 (TBD) Grant

Proposed Rates/Connection Fees

Vacant Lot ¾” 1” RATES:

• Min. Rate per Month

$20.00 $45.00 $45.00 Rate/1,000 gal (Above min. of 3,000 gal) n/a $10.00 $10.00 Rate breakpoint (gal/mo.) n/a 3,000 3,000 CONNECTION FEES: Initial Connection Fee (yr. 0) $5,000 $4,000 $12,500 Secondary Connection Fee (yrs. 1+) n/a $10,000 $25,000

Subscribers Needed

Meter Sizes

Subscribers

Vacant Lot 3/4" 1" 1 1/2" 2" 3" Previous 43 421 9 1 2 New 40 70 9 2 3 New Subscriber Base

83 491 18 1 4 3 Total Subscribers 600

Financial Sustainability Curve

$0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Project Years

Financial Sustainability Curve

(Should never be <$0)

Next Steps

• Submit Funding Application to VDH by April 1
• Submit PER to VDH & USDA
• Press release(s)
• Direct mailing to potential subscribers
• Conduct subscriber meetings to recruit subscribers – April-June

Project Schedule