HomeMy WebLinkAboutCouncil Workshop Minutes 12.17.2024MINUTES
CITY OF LAUREL
CITY COUNCIL WORKSHOTUESDAY, DECEMBER 17 20
A Council Workshop was held in Council Chambers and called to order by Council President
Sparks at 6:49 p.m. on December 17, 2024.
x_ Tom Canape
_x Heidi Sparks
Michelle Mize
_x_ Jessica Banks
_x_ Casey Wheeler
_x_ Iry Wilke
_x_ Richard Klose
_x_ Jodi Mackay
Brittney Harakal, Council Administrative Assistant
Kurt Markegard, Planning Director/Interim CAO
Kelly Gauslow, Accounts Payable
Matt Wheeler, Public Works Director
Kelly Strecker, Clerk/Treasurer
Forrest Sanderson, LURA Consultant
Public Input:
There were none.
General Items
1. Appointment of Daniel Klein to the Laurel Urban Renewal Agency for a four-year term
ending December 31, 2028.
There was no discussion.
2. Appointment of Cami Story to the Laurel Urban Renewal Agency for a four-year term
ending December 31, 2028.
There was no discussion.
3. Appointment of Dianne Lehm to the Laurel Urban Renewal Agency - Advisory for a
four-year term ending December 31, 2028.
It was questioned what the difference is between a voting member and an advisory member. It
was clarified that voting members either live or work within the TIF District—those who live or
work outside the district but have knowledge of things that would be beneficial.
4. Appointment of Richard Klose to Park Board for a four-year term ending December 31,
2028.
There was no discussion.
5. Appointment of Tom Canape to the Park Board for a four-year terra ending December
31, 2028.
There was no discussion.
6. Appointment of Phyllis Bromgard to the Park Board for a four-year term ending
December 31.2028.
There was no discussion.
7. Appointment of Casey Wheeler for a three-year term ending December 31, 2027.
It was clarified that this appointment is for the Board of Health. There was no discussion.
Appointment of Iry Wilke to the Police Commission for the remainder of a three-year
term ending April 30, 2025.
There was no discussion.
9. Appointment of Dan Gatley to the Police Commission for the remainder of a three-year
term ending April 30, 2026.
Mr. Gatlety introduced himself to the Council. He stated he has resided in Laurel for the past 12
years and has been a teacher at Laurel High School for the past 20 years.
Executive Review
10. Resolution - A Resolution Of The City Council Authorizing The City Of Laurel And
The Laurel Urban Renewal Agency (LURA) To Negotiate A Contract With Triple Tree
Engineering To Act As The Engineer For The TIF District.
Forrest Sanderson, LURA Consultant, briefly reviewed the RFP process. LURA received three
qualified applicants: Triple Tree, KLJ, and Staley Engineering. Triple Tree has been
recommended as they have worked with a TIF District before and have experience working with
the railroad in a timely manner. It was a unanimous recommendation. They would like to enter
into contract negotiations and bring a contract in the first part of January.
11. Resolution - Resolution Of The City Council To Approve The Proposed Increase In The
Rates And Charges For The Users Of The Municipal Water And Sanitary Sewer Rates
And Charges To Become Effective On January 10, 2025.
It was questioned what projects are coming up. It was clarified that the largest project is a 2nd
water reservoir. The other tank needs maintenance that cannot be done until a 2nd tank is
available. Another project is to increase the capacity of the Water Plant.
The Interim CAO asked the Council to review the attached memo.
Council Issues
It was questioned if the Council could reconsider the MOU with Beartooth RC&D.
The Interim CAO read the attached email into the record.
A Council Member noted that they felt the full Council should have the opportunity to vote on
the matter.
A Council Member participated in the Polar Plunge. The LVFD, LPD, and LMS had teams this
year. Laurel was very well represented. This Council Member thanked all who participated.
Council next week has been moved to Monday due to the holidays.
Budget/Finance Committee has also been moved to Monday.
Emergency Services Committee has been cancelled.
Attendance at Upcoming Council Meeting
All in attendance will be at next week's meeting.
Announcements
The council workshop adjourned at 7:06 p.m.
Respectful ubmitted,
E'
Brittney Harakal
Administrative Assistant
NOTE: This meeting is open to the public. This meeting is for information and discussion of the Council for
the listed workshop agenda items.
R W.
E" RAFTELIS
CRATE: December 13, 2024
TO: Kelly Strecker
City of Laurel
FROM: Todd Cristiano, Vice President
SUBJECT: Draft Water and Wastewater Rate Study Executive Summary
Introduction
The City of Laurel (City) retained Raftelis to complete a comprehensive financial plan, cost of service
and rate design study for its water and wastewater utilities. Raftelis worked with City staff beginning in
May 2024 to develop a plan for sustaining the water and wastewater utilities' financial health. Raftelis
also worked closely with the engineering firm, Morrison-Maierle in reviewing capital projects, timing,
and costs. Raftelis met weekly over this period to discuss project status and present interim results. These
meetings included staff as well as the City's executive management team. The results presented in this
executive summary are a culmination of these efforts between the City and Raftelis.
This memo summarizes the results of the study and is a supplemental document to the presentation
materials from the November 4, 2024 City Council meeting.
The primary objectives of this study included-
® A 5 -year financial plan identifying the annual revenue adjustments needed to fund operation and
maintenance expenses, debt service, and capital projects while satisfying reserve requirements
and debt service coverage;
® A detailed water cost of service analysis to determine the cost to provide service to customer
classes. The principle concept of this analysis is to assign costs in a proportionate manner to each
customer class based on their demand and customer characteristics;
® A rate structure which meets the pricing objectives of the City and equitably recovers the cost to
provide service to the City's customer classes; residential, commercial, irrigation, and industrial
customers.
This memo includes water and wastewater financial plan results for the 5 -year study period 2025 through
2029, water cost of service analysis, and rate design.
383 N Corona St, Denver, CO 801218
www.raftelis.com
CITY OF LAUREL
WATER MND WASTEVIVATIER RATE STUDY
A primary consideration in developing an `optimal' financial plan is minimizing annual revenue
increases through balancing the use of reserves, rate revenues at current rates, plant investment fees, and
loans. This balance is subject to the constraints of meeting the City's target reserve policies and debt
service coverage requirements on existing and proposed debt.
This approach is an iterative process. For
example, issuing debt to fund a capital project
may keep revenue increases low; however, new
debt payments may decrease the debt service
WN
coverage (DSC) ratio' below the target level. As a
�.
W
result, a revenue increase may be needed to meet
or maintain compliance with the target. The
/
additional revenue generated from the increase
I
now may meet debt service coverage and producMow
IVIN
e
an ending balance more than the target reserve. =
This excess can be used to partially cash -fund the capital project which, in turn, could reduce the
proposed state loan amount.
Assumptions
This study is based on numerous assumptions. Changes in these assumptions could materially affect the
study findings. Raftelis incorporated the following key assumptions into the study:
The test year, or the year new rates will be in effect, is 2025.
The study period forecast is for 2025 through 2029.2
The study utilized an annual growth rate of 0.1% per year.
Usage per account is based on historical data. Residential water usage per account is
approximately 5,200 gallons per month, and sewer volume is about 3,200 gallons per month.
Residential customers represent the majority of the utilities' customers.
Costs will change as follows:
o Capital costs are projected to experience an annual increase of 4.5% due to inflation.
o The expected inflation rates for operation and maintenance (O&M) expenses are:
® Personnel services (2025 —2026; 2027-2029). 4.5%; 4.0%
® Professional and Contractual Services, Repairs and Maintenance, Operating
Supplies and Equipment, Professional Development (2025 — 2026; 2027 — 2029):
4.0%,3.5%
® Water supply (2025-2029):5.0%
® General (2024 — 2029): 3.0%
® Depreciation (2024 — 2029): 3.0%
a The City has set reserves for the water and wastewater utilities:
2 The cash flow tables include 2024 as the base year, or the year in which the model was developed, and is based on a
combination of budgetary information and estimated values. The study forecast is for 2025 through 2029.
bt2 Y OF € AUREL
WA'rER AND WASTEWATER RATE s,rUDY
o eater utility: Operating fund: 90 days annual O&M, capital reserve of 1 years
depreciation expense, meter replacement reserve, water line reserve, and bond reserves
o Wastewater utility: Operating reserve of 60 days O&M, system development fee reserve,
bind reserves and a capital replacement reserve
0 Debt service
o Coverage requirement is 1.20 x debt service based on the revenue bond issuance
requirements
o Bond terms: assumed State Loan, 2.5% interest rate, 20 -year term
Tab% 1: Additional Assumptions
The water utility financial plan is separated into two subfunds- the operating subfund and the capital
subfund. The capital subfund tracks activities associated with capital projects and funding sources for the
capital projects. The operating subfund tracks activities associated with the daily operations of the utility.
The combined FY25 beginning fund balance is $4.6 million. Water revenues consist primarily of rate
revenues and nominal miscellaneous revenues. Rate revenues at current rates average $3.3 million
annually. Other rate revenue sources include water sales to CHS refinery. This includes potable water,
raw water, and settled water. Rates for CHS are contractual. CHS rate revenue averages approximately
$199,000 annually.
Other non -rate revenue includes water line insurance which averages $33,000 annually, and the 5/8"
bypass revenue which averages $28,600 annually. Other non -rate revenue includes sales of water
supplies, fire line revenue, and other miscellaneous sources averaging in total approximately $10,000
annually. The City anticipates receiving a grant of $2,075,000 and a loan of $18.6 million to fund the new
water tank and booster station in FY26 and FY27. A proposed loan of $3.6 million is also projected in
FY28 to fund water treatment filter replacement.
O&M expenses include costs to treat and deliver water to customers. O&M is projected to increase from
$3.0 million to $3.5 million by FY29.Other expenditures include payments on existing and proposed
debt service. Existing debt service averages $429,000 annually. Proposed debt service is projected at $1.2
million beginning in FY27. Transfers to the capital fund are $1.2 million to assist in funding the annual
capital program. Capital projects total $31.2 million for the study period. Highlights of the capital
program include:
M'Y OF LAUREL
VVATER AND WASTEWATER RATE s'ruoy
M
- A state revolving fund (SRF) loan of $18.6 million is anticipated in FY27 to fund the majority of
the new water tank and booster station project. This is in conjunction with anticipated grants
totaling $2.075 million. The total cost of the new water tank and booster station is $20.6 million,
including an inflation allowance.
- Another SRF loan of $3,608,247 is planned for FY28 to significantly fund the new filters project
with an estimated cost of $5.7 million, which includes an inflation allowance.
The City has a total reserve target of $3.9 million for FY25 and a debt service coverage requirement' of
1.20x as part of the loan covenants.
Rate revenues should be sufficient to meet annual requirements, which includes O&M, debt, transfers to
the capital fund, target reserves and debt service coverage. Revenues at current rates are insufficient to
meet these requirements. Annual adjustments of 16% in FY25 through FY27 followed by 4% in FY28
and FY29 are needed. The initial 16% rate increase is required to meet the target debt service coverage.
Future increases are required to the debt service coverage and the reserve targets. It is recommended the
financial plan be reviewed annually to ensure that rate revenue is sufficient to meet projected revenue
requirentents.
Figure 1 illustrates revenue and expenditures for the operating fund, as well as ending fund balances, and
target reserves. Figure 2 shows the projected FY25 increase of 16% effective from FY25-FY27, followed
by a 4% increase in FY28 and FY29. Figure 3 illustrates the target and calculated debt service coverage
between FY25-FY29.
$100
S&O
S6,0
SJ -0
52.0
$0,0
Figure]: Water Revenue and Expenditures
FY25 FY -n fY27 FY28 FY29
�Revenues »Expenditures7--n, Ending Balance ---Target Reserve
3 Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service
CITY OF LAUREL
INA T R AND WASTEWATER 6 .TE STUDY
Figure 2: Proposed Annual WaterRate Irurecases
Figure 3: Debt Service Coverage
3.76
w
FY 25 -Y26 FY 2.7 F'ti 28 ^Y 29
Ca c.,13.ed'D; tat Service Coverage --Tar e, lloeora ,c 1.20x Debt Service
Raftelis completed this comprehensive cost -of -service analysis by standard methods supported by the
American Water Works Association (AWWA) in its M1 manual, Principles of Water Rates, Fees, and
Charges. This analysis determines the cost of providing water service to each customer class and guides
the design of the proposed rates. The general steps of the cost -of -service analysis are:
1. Revenue requirement. Determine the level of revenue required from rates. The revenue
requirement includes expenditures in the operating fund: O&M, debt service, capital projects,
reserves, and changes in fund balance.
2. Costfunctionalization. Assigns the costs detailed in the revenue requirements (i.e. O&M, capital,
revenue offsets) to functional areas in the system. Functional areas include water treatment,
transmission and distribution, storage, source of supply, meters, and services, and billing and
administrative costs. Costs are functionalized based on the facility that has the most influence on
that expense. For example, chemical costs are most influenced by treatment processes so those
costs would be allocated to the water treatment category.
3. Allocation ofFunctionalized Costs to System Demand Parameters. Functional costs can be allocated
to demand parameters and customer characteristics. Demand parameters include average day
demands and peak demands. Customer characteristics include the number of accounts by meter
CITY OF LAUREL
VJATER AND VVS-iEWATER RATE STLIDY
12
size and bills. Each facility is designed to meet specific design requirements in the system. For
Z:�
example, water treatment facilities are designed and operated to meet maximum day demands.
As a result, a portion of water treatment costs would be allocated to the average day demand
category and a portion to the peak demand category. These assignments are completed for all the
revenue requirement line items
4. Units of service. The units of service capture the demand and customer characteristics for each
customer class. These characteristics include average day demand, peak demand, number of
accounts by meter size, and the number of bills.
5. Distribution of costs to customer classes. Because customer classes are defined by their demand
parameters (average day and peak demands) and the account makeup (meters by meter sizes), the
allocated costs can be proportionately distributed to each class based on their specific demand
and customer characteristics. For example, if the residential customer class represents 50% of
total peak day demands, they would be allocated 50% of the allocated peak day demand costs.
Figure 4 illustrates the cost allocation process for a typical water utility. Figure 5 shows the change in the
distribution of costs between the customer classes under existing rates and the cost of service analysis.
-F'-'
Revenue offsets
• Misc. Revenue
• Fees
• Other Income
Figure 4 The Standard Cost Allocation Process
- --
Billing& Admin
Customer costs
• Meters &
Services
Equivalent
Meters
• Billing &Admin
. Bills
• Commercial
CITY OF LAUREL
VVATER AND WASTEWATER RATE STUDY
Figure 5: Allocation of Water Utility Costs Under Current Rates Compared to the Allocated Cost of Service
100%
80%
60%
40%
20%
0%
H
Revenue at Existing Rates Cost of Service
Rate Design
A basic consideration in developing water rate schedules is to establish equitable charges to customers
that are commensurate with the cost of providing service. Raftelis developed rates for each customer class
based on the customer class cost developed in the cost -of -service analysis. Figure 6 compares the existing
and FY25 proposed rates.
Existing structure
• Monthly minimum charge which varies by meter size
• 1,000 gallons volume allowance
• Capital charge which varies by meter size (per EDU)
• Uniform volume rate same for all customer classes
Proposed
• Monthly base charge which varies by meter size
• No volume allowance
• Capital charge which varies by meter size
• Residential volume rate: 4 -tiered rate structure
• Commercial, industrial, and irrigation volume rate: uniform rate
MY OF LAUREEL
WATEF','AND WASTEWATER RATE STUDY
Figure 6.Existing and proposed water utility base charges
Wastewater Utility
t
Financial Pias.
The FY25 beginning balance is projected at $2.5 million. Wastewater revenues consist primarily of rate
revenues and nominal non -rate revenue. Rate revenues at current rates are estimated at $1.948 million.
Other non -rate revenue includes interest income and other miscellaneous sources which in total averages
$100,000 annually. The City is currently paying down balances on four SRF loans; no additional loans or
grants are anticipated in the wastewater utility for the study period of FY25-FY29. Total debt service
payments in FY25 equal $512,000; debt service payments in FY26- FY29 are $468,000 annually. Capital
projects in the wastewater utility will be funded by exiting revenue streams. Capital costs in FY25 are
estimated at $994,000 and future years average $474,000 annually. The 5 -year CIP during this same
period totals $3.17 million.
The City has a reserve target of $2.66 million for FY25 and a debt service coverage requirement' of
1.20xas part of the loan covenants.
Rate revenues should be sufficient to meet annual requirements, including target reserves and debt service
coverage. Revenues at current rates are insufficient to meet these requirements. Annual adjustments of
25% in the second half of FY25 followed by annual increases of 9% in FY26 through FY28, and 5% in
FY29 are needed. The initial 25% rate increase is required to meet the target debt service coverage.
Future increases are required to the debt service coverage and the reserve targets. The FY25 increase is
anticipated to be effective for 6 months of the fiscal year.
Figure 7 shows the cash flow for the operating fund, as well as ending fund balances, and target reserves.
Figure 8 shows the projected revenue increases for the study period and Figure 9 shows the calculated
debt service for the study period.
' Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service
Residential
Combined Commercial and Irrigation I
Industrial
Monthly
Monthly
Monthly
Meter Size
Base Rate [S]
Meter Size
Base Rate [11
Meter Size
Base Rate [11
Inches
Inches
inches
3/4"
$32.61
3/4"
$32.61
3/4"
$32.61
1"
$56.11
1"
$56.11
1"
$56.11
1.25"
$85.57
1.25"
$85.57
1.25"
$85.57
1.5"
$121.86
1.5"
$121.86
1.5"
$121.86
2"
$215.28
2"
$215.28
2"
$215.28
3"
$478.86
3"
$478.86
3"
$478.86
4"
$852.82
4"
$852.82
4"
$852.82
6"
$1,915.49
6"
$1,915.49
6"
$1,915.49
10"
$5,291.82
10"
$5,291.82
10"
$5,291.82
Rate, $ per
Rate, $ per
Threshold
% Vol Price Ratio
Kgal
Threshold
% Vol Price Ratio Kgal
Threshold
% Vol Price Ratio Rate, $ per Kgal
5
57.3% 1.00
$2.17
All Usage
100.0% 1.00 3.27
All Usage
100.0% 1.00 4.02
10
17.6% 1.25
$2.71
20
15.0% 1.50
$3.26
> 20
10.0% 2.00
$4.34
[1] Base Rate includes
the $8.00 per EDU charge
Wastewater Utility
t
Financial Pias.
The FY25 beginning balance is projected at $2.5 million. Wastewater revenues consist primarily of rate
revenues and nominal non -rate revenue. Rate revenues at current rates are estimated at $1.948 million.
Other non -rate revenue includes interest income and other miscellaneous sources which in total averages
$100,000 annually. The City is currently paying down balances on four SRF loans; no additional loans or
grants are anticipated in the wastewater utility for the study period of FY25-FY29. Total debt service
payments in FY25 equal $512,000; debt service payments in FY26- FY29 are $468,000 annually. Capital
projects in the wastewater utility will be funded by exiting revenue streams. Capital costs in FY25 are
estimated at $994,000 and future years average $474,000 annually. The 5 -year CIP during this same
period totals $3.17 million.
The City has a reserve target of $2.66 million for FY25 and a debt service coverage requirement' of
1.20xas part of the loan covenants.
Rate revenues should be sufficient to meet annual requirements, including target reserves and debt service
coverage. Revenues at current rates are insufficient to meet these requirements. Annual adjustments of
25% in the second half of FY25 followed by annual increases of 9% in FY26 through FY28, and 5% in
FY29 are needed. The initial 25% rate increase is required to meet the target debt service coverage.
Future increases are required to the debt service coverage and the reserve targets. The FY25 increase is
anticipated to be effective for 6 months of the fiscal year.
Figure 7 shows the cash flow for the operating fund, as well as ending fund balances, and target reserves.
Figure 8 shows the projected revenue increases for the study period and Figure 9 shows the calculated
debt service for the study period.
' Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service
C.'f Y OF LAUREL
VVATER AND INASTEWATER RATE STUDY
Figure 7: Wastewater Cash Prow Sununary
, Y2=.Y
Y.s Revof'.t,esf%s. dWuit'-� £ din s t. 1St �.-..,,..,.. taf^t li s*r•.:�
Figure 8: Proposed Annual Water Rate Increases
5,0%
11 0 11 11 M
FY2S d26 F'Y27 Ft28 FY'29
Figure 9.• Debt Service Coverage
FY25 5Y26 FY27 FY28 FY29
OM Debt Serve e Cmeeace—Debt Sfrvire Coverage Target
11
Cost of Service If
Raftelis completed a modified cost -of -service analysis based on standard methods supported by the
Water Environment Federation Manual of Practice 27 (MOP27). This analysis determines the cost
of providing wastewater service to each customer class and guides the design of the proposed rates. The
rate structures developed for this study are based on normal strength contributions of biochemical oxygen
CITY OF LAUREL 10
WATER AND WASTEWATER RATE STUDY
demand (BOD) and total suspended solids (TSS). As a result, Raftelis did not complete a cost allocation
analysis to determine high strength surcharges. The cost of service analysis focused on customer related
costs and volume related costs only. Customer costs recover the cost of billing, general administrative
costs, and a portion of capital related costs. The volume rate recovers the cost to collect and convey
wastewater to the wastewater treatment plant. Figure 10 illustrates the minor shift in wastewater utility
costs across customer classes with current rates compared to cost of service rates.
Figure 10.: fillocation of Wastewater Utility Costs Under Current Rates Compwred to the Allocated Cost of Service
100%
80%
60%
20%
0%
R
Revenue at Existing Rates Cost of Service
Rate Design
A basic consideration in developing wastewater rate schedules is the establishment of fair charges to
customers commensurate with the cost of providing their service. Based on review of the cost of service
analysis, Raftelis proposes making some changes to the existing rate structure, as summarized below in
Figure 11:
Figure 11: Comparison ofExisting and Proposed FY25 Rates
Monthly Minimum Charge/Base Charge, $ per Bill
Meter Size Existing Proposed
Inches
3/4"
$29.24
$29.24
V.
52.34
52.34
1.25"
81.29
81.29
1.5"
116.96
116.96
2"
208.77
208.77
3"
467.84
467.84
4"
835.39
835.39
6"
1,879.84
1,879.84
101,
5,198.29
5,198.29
Volume Rate, $per 1,000 Gallons
Existing Proposed
All Usage $5.27 $8.45
Table A-1
City of Laurel Table A-1
Water Utility
Operating Subfund Cash Flow Analysis
7
5/8" Bypass
28,600
For the Fiscal Year Ending June 30
28,600
Line
28,600
Budget
System Development Fees
Projected
0
0
No.
Description
2025
2026
2027
2028
2029
2,000
2,000
CHS Revenue
Sources of Funds
10
Raw Water -CHS
172,400
172,400
172,400
172,400
Water Sales Revenue
11
Settled Water -CHS
26,300
26,300
26,300
1
Total Revenue from Existing Water Rates RateRev_Projected
3,312,915
3,313,322
3,313,322
3,313,322
3,313,322
2
Additional Water Sales Revenue from Rate Increases
Y 265,033
1,145,084
1,858,429
2,065,299
2,280,444
3
Total Water Rate Revenue
3,577,948
4,458,406
5,171,751
5,378,621
5,593,765
5,649,221
Other Operating Revenue
Uses of Funds
4
Water Line Insurance ($1/month)
33,000
33,000
33,000
33,000
33,000
5
Sales of Water Supplies
2,000
2,000
2,000
2,000
2,000
6
Fire Line
6,300
6,300
6,300
6,300
6,300
7
5/8" Bypass
28,600
28,600
28,600
28,600
28,600
8
System Development Fees
0
0
0
0
0
9
Miscellaneous Water
2,000
2,000
2,000
2,000
2,000
CHS Revenue
10
Raw Water -CHS
172,400
172,400
172,400
172,400
172,400
11
Settled Water -CHS
26,300
26,300
26,300
26,300
26,300
12
Rate Increase (2027 and 2032 per Contract)
0
0
0
0
0
13
Total CHS Non -Potable Revenues
_
198,700
198,700
198,700
198,700
198,700
14
Total Sources
3,848,548
4,729,006
5,442,351
5,649,221
5,864,365
Uses of Funds
15
Operation and Maintenance Expense
2,997,500
3,127,420
3,262,541
3,387,503
3,517,285
Debt Service
Existing Debt Service
16
WRF-19431
305,285
305,290
306,171
306,918
307,529
17
WRF-17371
121,125
121,021
120,973
121,668
121,406
18
Proposed State Loans
0
0
1,190,359
1,421,818
1,421,818
19
Proposed Revenue Bonds
0
0
0
0
0
20
Total Debt Service
426,410
426,311
1,617,503
1,850,403
1,850,753
21
Transfer to Capital Fund
1,200,000
1,200,000
1,200,000
1,200,000
1,200,000
22
Total Uses
4,623,910
4,753,731
6,080,043
6,437,906
6,568,038
23
Annual Surplus (Deficiency)
(775,362)
(24,725)
(637,693)
(788,686)
(703,673)
24
Beginning Balance
4,566,901
3,791,539
3,766,814
3,129,121
2,340,436_
25
Ending Balance
3,791,539
3,766,814
3,129,121
2,340,436
1,636,763
Target Reserves
26
90 Days 0&M
739,110
771,145
804,462
835,275
867,276
27
Meter Deposits
250,709
250,709
250,709
250,709
250,709
28
Total Target Reserves
989,819
1,021,854
1,055,171
1,085,984
1,117,985
29
Unrestricted Funds
2,801,721
2,744,961
2,073,950
1,254,452
518,778
30
Debt Service Coverage
2.00
3.76
1.35
1.22
1.27
31
Target
1.20
1.20
1.20
1.20
1.20
30
Annual Water Service Revenue Increase
16.0%
16.0%
16.0%
4.0%
4.0%
32
Cumulative Revenue Increase
16.0%
34.6%
56.1%
62.3%
68.8%
33
CHS Settled Water/Non-Potable Revenue Increase
0
0 '
56.1%
Draft -For Discussion Purposes Only
Table A-2
City of Laurel
Water Utility
Capital Subfund Cash Flow Analysis
Line
No Description
Budget
2025
For the Fiscal Year Ending lune 30
Projected
2026 2027 2028
Table A-2
2029
1 Transfer from OP
1,200,000
1,200,000
1,200,000
1,200,000
1,200,000
2 Proposed Revenue Bonds
0
0
0
0
0
3 Proposed State Loans (30 -Year, 2.5% Int)
0
0
18,556,701
3,608,247
0
4 Grants
0
207,500
1,867,500
0
0
5 Connection Fees
0
0
0
0
0
6 Interest Income
316,040
117,887
0
54,012
83,875
7 Total Sources
1,516,040
1,525,387
21,624,201
4,862,260
1,283,875
Uses of Funds
95,903
95,903
19
Cash - Bond Reserve DNRC IV
133,828
8 PAYGO Capital Projects
1,341,000
831,820
21,295,580
7,070,665
692,853
9 Total Uses
1,341,000
831,820
21,295,580
7,070,665
692,853
10 Annual Surplus/(Deficiency)
175,040
693,567
328,622
(2,208,406)
591,022
it Beg Balance (Restricted)
4,111,503
4,286,543
4,980,111
5,308,732
3,100,326
12 Ending Balance
4,286,543
4,980,111
5,308,732
3,100,326
3,691,348
Draft -For Discussion Purposes Only
Target Reserves
13
Target Reserve (1 -Year RC Depreciation Expense)
1,500,000
1,545,000
1,591,350
1,639,091
1,688,263
14
Cash - Meter replacement
137
137
137
137
137
15
Cash - Restricted - Water Line
276,439
276,439
276,439
276,439
276,439
16
Cash - Refinanced Bonds
736,505
736,505
736,505
736,505
736,505
17
Cash - Bond Reserve SFR SED
169,546
169,546
169,546
169,546
169,546
18
Cash - Bond Reserve DNRC IV
95,903
95,903
95,903
95,903
95,903
19
Cash - Bond Reserve DNRC IV
133,828
133,828
133,828
133,828
133,828
20
Total Target Reserves
2,912,357
2,957,357
3,003,707
3,051,448
3,100,621
21
Unrestricted Cash
1,374,186
2,022,753
2,305,025
48,879
590,728
Draft -For Discussion Purposes Only
City of laurel
Table A-3
Water Utility
Annual Operation and Maintenance Expense
For the Fiscal Year Ending June 30
Line
Budget
Projected
No.
Fund
Fund Description
Account Description
2025
2026
2027
2028
2029
5210-430566 WATER - PURIFICATION AND TREATMENT
1
392
ADMINISTRATIVE SERVICES
121,000
126,445
132,135
137,420
142,917
5210-430540 WATER-PURIFICATION AND TREATMENT
2
500
Water Plant
110
SALARIES AND WAGES
570,000
595,650
622,454
647,352
673,247
3
500
Water Plant
111
OVERTIME
15,800
16,511
17,254
17,944
18,662
4
500
Water Plant
138
VISION INSURANCE
600
627
655
681
709
5
500
Water Plant
139
DENTAL INSURANCE
4,500
4,703
4,914
5,111
5,315
6
500
Water Plant
141
UNEMPLOYMENT INSURANCE
1,800
1,881
1,966
2,044
2,126
7
500
Water Plant
142
WORKERS' COMPENSATION
18,000
18,810
19,656
20,443
21,260
8
500
Water Plant
143
HEALTH INSUANCE
97,000
101,365
105,926
110,163
114,570
9
500
Water Plant
144
LIFE INSURANCE
1,200
1,254
1,310
1,363
1,417
10
500
Water Plant
145
FICA
42,000
43,890
45,865
47,700
49,608
11
500
Water Plant
146
PERS
47,000
49,115
51,325
53,378
55,513
12
500
Water Plant
149
ST/LT DISABILITY
4,500
4,703
4,914
5,111
5,315
13
500
Water Plant
194
FLEX MEDICAL
6,500
6,793
7,098
7,382
7,677
14
500
Water Plant
220
OPERATING SUPPLIES
25,000
26,000
27,040
27,986
28,966
15
500
Water Plant
221
CHEMICALS
165,000
171,600
178,464
184,710
191,175
16
500
Water Plant
222
LABORATORY & MEDICAL SUPP
8,000
8,320
8,653
8,956
9,269
17
500
Water Plant
226
CLOTHING AND UNIFORMS
1,200
1,254
1,310
1,363
1,417
18
500
Water Plant
231
GAS, OIL, DIESEL FUEL, GR
7,000
7,315
7,644
7,950
8,268
19
500
Water Plant
232
MOTOR VEHICLE PARTS
2,000
2,080
2,163
2,239
2,317
20
500
Water Plant
233
MACHINERY & EQUIPMENT PAR
16,000
16,640
17,306
17,911
18,538
21
500
Water Plant
241
CONSUMABLETOOLS
1,000
1,040
1,082
1,119
1,159
22
500
Water Plant
263
SAFETY SUPPLIES
2,000
2,080
2,163
2,239
2,317
23
500
Water Plant
312
NETWORKING FEES
5,000
5,200
5,408
5,597
5,793
24
500
Water Plant
335
MEMBERSHIPS & DUES
1,500
1,560
1,622
1,679
1,738
25
500
Water Plant
337
ADVERTISING
2,500
2,600
2,704
2,799
2,897
26
500
Water Plant
339
CERTIFICATION RENEWAL
2,000
2,080
2,163
2,239
2,317
27
500
Water Plant
341
ELECTRIC UTILITY SERVICES
200,000
208,000
216,320
223,891
231,727
28
500
Water Plant
343
CELLULAR TELEPHONE
1,200
1,254
1,310
1,363
1,417
29
500
Water Plant
344
GAS UTILITY SERVICE
35,000
36,400
37,856
39,181
40,552
30
500
Water Plant
345
TELEPHONE
1,100
1,150
1,201
1,249
1,299
31
500
Water Plant
349
QUALITYTESTING
10,000
10,400
10,816
11,195
11,586
32
500
Water Plant
350
PROFESSIONAL SERVICES
15,000
15,600
16,224
16,792
17,380
33
500
Water Plant
351
MEDICAL, DENTAL, VETERINARY
1,000
1,045
1,092
1,136
1,181
34
500
Water Plant
355
DATA PROCESSING SERVICES
-
-
-
-
35
500
Water Plant
360
REPAIR & MAINTENANCE SERVICES
3,000
3,120
3,245
3,358
3,476
36
500
Water Plant
364
WATER / SEWER STRUCTURE & EQUIP
250,000
260,000
270,400
279,864
289,659
37
500
Water Plant
366
BUILDING MAINTENANCE
50,000
52,000
54,080
55,973
57,932
38
500
Water Plant
370
TRAVEL
4,000
4,160
4,326
4,478
4,635
39
500
Water Plant
380
TRAINING SERVICES
3,000
3,120
3,245
3,358
3,476
40
500
Water Plant
397
CONTRACTED SERVICES
16,000
16,640
17,306
17,911
18,538
41
500
Water Plant
511
INSURANCE ON BLDGS/IMPRVM
9,500
9,880
10,275
10,635
11,007
42
500
Water Plant
513
LIABILITY
22,155
23,041
23,963
24,802
25,670
43
500
Water Plant
514
VEHICLE/EQUIPMENT INSURANCE
-
-
-
-
44
500
Water Plant
519
POLLUTION INSURANCE
-
-
-
-
-
45
500
Water Plant
533
MACHINERY & EQUIPMENT RENTAL
20,000
20,800
21,632
22,389
23,173
46
500
Water Plant
544
DISCHARGE PERMIT FEE
3,000
3,120
3,245
3,358
3,476
47
900
Water Plant
900
CAPITAL OUTLAY
-
-
-
-
-
48
900
Water Plant
920
BUILDINGS
49
900
Water Plant
930
IMPROVEMENTS OTHER THAN B
50
900
Water Plant
940
MACHINERY & EQUIPMENT
51
Water Plant
943
NEW VEHICLE
52
900
Water Plant
946
COMPUTER EQ/SOFTWARE
-
-
-
-
-
5210.430550WATER-TRANSMISSION AND DISTRIBUTION
53
540
Water System
110.00
SALARIES AND WAGES
335,000
350,075
365,828
380,462
395,680
54
540
Water System
111.00
OVERTIME
3,500
3,658
3,822
3,975
4,134
55
540
Water System
138.00
VISION INSURANCE
325
340
355
369
384
56
540
Water System
139.00
DENTAL INSURANCE
2,100
2,195
2,293
2,385
2,480
57
540
Water System
141.00
UNEMPLOYMENT INSURANCE
1,000
1,045
1,092
1,136
1,181
58
540
Water System
142.00
WORKERS' COMPENSATION
9,200
9,614
10,047
10,448
10,866
59
540
Water System
143.00
HEALTH INSUANCE
42,500
44,413
46,411
48,268
50,198
60
540
Water System
144.00
LIFE INSURANCE
500
523
546
568
591
61
540
Water System
145.00
FICA
18,000
18,810
19,656
20,443
21,260
62
540
Water System
146.00
PERS
21,000
21,945
22,933
23,850
24,804
Draft -For Discussion Purposes Only
City of Laurel
Table A-3
Water Utility
Annual Operation and Maintenance Expense
For the Fiscal Year Ending June 30
Line
Budget
Projected
No.
Fund
Fund Description
Account Description
2025
2026
2027
2028
2029
63
540
Water System
149.00
ST/LT DISABILITY
2,500
2,613
2,730
2,839
2,953
64
540
Water System
194.00
FLEX MEDICAL
2,800
2,926
3,058
3,180
3,307
65
540
Water System
220.00
OPERATING SUPPLIES
26,000
27,170
28,393
29,528
30,709
66
540
Water System
221.00
CLOTHING AND UNIFORMS
1,800
1,881
1,966
2,044
2,126
67
540
Water System
226.00
REPAIR & MAINTENANCE SUPP
15,000
15,600
16,224
16,792
17,380
68
540
Water System
231.00
GAS, OIL, DIESEL FUEL, GR
16,000
16,640
17,306
17,911
18,538
69
540
Water System
232.00
MOTOR VEHICLE PARTS
5,000
5,200
5,408
5,597
5,793
70
540
Water System
233.00
MACHINERY & EQUIPMENT PAR
30,000
31,200
32,448
33,584
34,759
71
S40
Water System
239.00
TIRES/TUBES/CHAINS
3,000
3,120
3,245
3,358
3,476
72
540
Water System
241.00
CONSUMABLETOOLS
-
-
-
-
-
73
540
Water System
263.00
SAFETY SUPPLIES
1,500
1,560
1,622
1,679
1,738
74
540
Water System
311.00
POSTAGE
6,400
6,656
6,922
7,165
7,415
75
540
Water System
312.00
NETWORKING FEES
11000
1,040
1,082
1,119
1,159
76
540
Water System
337.00
ADVERTISING
1,000
1,045
1,092
1,136
1,181
77
540
Water System
339.00
CERTIFICATION RENEWAL
1,200
1,254
1,310
1,363
1,417
78
540
Water System
341.00
ELECTRIC UTILITY SERVICES
15,600
16,302
17,036
17,717
18,426
79
540
Water System
343.00
CELLULAR TELEPHONE
3,000
3,135
3,276
3,407
3,543
80
540
Water System
350.00
PROFESSIONAL SERVICES
50,000
52,250
54,601
56,785
59,057
81
540
Water System
351.00
MEDICAL, DENTAL, VETERINARY
1,000
1,045
1,092
1,136
1,181
82
540
Water System
355.00
DATA PROCESSING SERVICES
2,500
2,613
2,730
2,839
2,953
83
540
Water System
360.00
REPAIR& MAINTENANCE SERV
20,000
20,900
21,841
22,714
23,623
84
540
Water System
362.00
OFFICE MACHINERY & EQUIP
25,000
26,125
27,301
28,393
29,528
85
540
Water System
367.00
WATER/SEWER LINES REPAIR
200,000
209,000
218,405
227,141
236,227
86
540
Water System
368.00
CURB BOX REPAIR/REPLACE
25,000
26,125
27,301
28,393
29,528
87
540
Water System
370.00
TRAVEL
3,000
3,135
3,276
3,407
3,543
88
540
Water System
380.00
TRAINING SERVICES
5,000
5,225
5,460
5,679
5,906
89
540
Water System
397.00
CONTRACTED SERVICES
16,000
16,720
17,472
18,171
18,898
90
540
Water System
452.00
GRAVEL AND SAND
-
-
-
-
91
540
Water System
511.00
INSURANCE ON BLDGS/IMPRVM
8,365
8,741
9,135
9,500
9,880
92
540
Water System
513.00
LIABILITY
8,989
9,394
9,816
10,209
10,617
93
540
Water System
514.00
VEHICLE/EQUIPMENTINSURAN
3,566
3,726
3,894
4,050
4,212
94
540
Water System
530.00
RENT
182,000
190,190
198,749
206,698
214,966
95
540
Water System
532.00
LAND RANTAL/EASEMENTS
11,800
12,331
12,886
13,401
13,937
96
540
Water System
533.00
MACHINERY & EQIPMENT RENT
-
-
-
-
-
97
540
Water System
540.00
SPECIAL ASSESSMENTS
-
-
-
-
-
98
540
Water System
543.00
SERVICE CONNECTION FEE
6,100
6,375
6,661
6,928
7,205
99
540
Water System
811.00
LIABILITY DEDUCTIBLES
-
-
-
-
-
100
900
Water System
901
MISC CAPITAL PROJECTS
101
900
Water System
938
REPLACE WATER/SEWER LINE
102
900
Water System
949
VEHICLE(S)
103
901
Water System
950
MINI EXCAVATOR
-
-
-
-
-
5210-430551 MURRAY HEIGHTS SUBDIVISION - BOOSTERSTATION
104
540.00
Water System
220.00
Operating Supplies
500
523
543
565
588
105
540.00
Water System
231.00
Gas, Oil, Diesel Fuel, Gr
-
-
-
-
-
106
540.00
Water System
241.00
Consumable Tools
-
-
-
-
-
107
540.00
Water System
341.00
Electric Utility Services
15,000
15,675
16,302
16,954
17,632
108
540.00
Water System
344.00
Gas Utility Services
800
836
869
904
940
109
540.00
Water System
360.00
Repair & Maintenance Sery
5,000
5,225
5,434
5,651
5,877
110
540.00
Water System
366.00
Building Maintenance
5,000
5,225
5,225
5,225
5,225
5210-430552 WATER RESERVOIR
111
540
Water System
220.00
Operating Supplies
300
314
326
339
353
112
540
Water System
341.00
Electric Utility Services
1,500
1,568
1,630
1,695
1,763
113
540
Water System
350.00
Professional Services
7,500
7,838
8,151
8,477
8,816
114
540
Water System
364.00
Water/Sewer Struct. & Equ
-
-
-
-
-
115
540
Water System
452.00
Gravel and Sand
116
900
Water System
920.00
Buildings
-
-
-
-
-
5210-430553:
ELENA BOOSTER STATION
117
540
Water System
220
Operating Supplies
100
105
109
113
118
118
540
Water System
231
Gas, Oil, Diesel Fuel, Gr
500
523
543
565
588
119
540
Water System
233
Machinery & Equipment Par
1,500
1,568
1,630
1,695
1,763
120
540
Water System
341
Electric Utility Services
7,500
7,838
8,151
8,477
8,816
121
540
Water System
350
Professional Services
500
523
543
565
588
122
540
Water System
360
Repair & Maintenance Sery
1,000
1,045
1,087
1,130
1,175
123
540
Water System
366
Building Maintenance
500
523
543
565
588
Draft -For Discussion Purposes Only
City of laurel
Table A-3
Water Utility
Annual Operation and Maintenance Expense
For the Fiscal Year Ending lune 30
Line
Budget
Projected
No. Fund Fund Description Account Description
2025
2026
2027 2028
2029
5210-521000" INTERFUND OPERATING TRANSFERS OUT
124 540 Water 820 Transfers to Other Funds
5,000
5,000
5,000 5,000
5,000
125 Total Operating Budget Total Operation and Maintenance Expense
2,997,500
3,127,420
3,262,541 3,387,503
3,517,285
Total Operation and Maintenance Expenses
2,997,500
3,127,420
3,262,541 3,387,503
3,517,285
900.00 Capital Expenditures
0
0
0 0
0
Total Operating Budget
2,997,500
3,127,420
3,262,541 3,387,503
3,517,285
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Water Capital Improvement Plan Excluding Inflation
Table A-4
For the Fiscal Year Ending lune 30
Line Budget Projected 2025-2029
No. Title 2025 2026 2027 2028 2029 Total
1 Bulk Water Sales Station - On Hold
2 West 7th St Wtr Replacement - Combined w/1st Ave
3 Riverside Park Water + Irrigation System
4 Water Treatment Plant Stormwater Improvements
5 New Wtr Tank, Booster Station & Piping Redun
6 1st Ave. Water Valve Installation w/ W 7th
7 City Wide Valve & Hydrant Replacement Project
8 Replacement of Water Lines ($900 ft @ 450 If)
9 Water Tank Painting
10 Filters
11 949 -Mini Excavator
12 920 -Buildings -Reserve
13 Miscellaneous Undesignated Projects
14 Total Capital Improvement Ex. Inflation
Draft -For Discussion Purposes Only
4,601,000 796,000 19,501,000 6,196,000 581,000
400,000
650,000
360,000
125,000
18,885,000
340,000
580,000
405,000
1,000,000
5,000,000
150,000
20,000
500,000
31,675,000
400,000
650,000
0
360,000
125,000
210,000
18,675,000
170,000
170,000
145,000
145,000
145,000
145,000
81,000
81,000
81,000
81,000 81,000
200,000
800,000
5,000,000
150,000
20,000
500,000
4,601,000 796,000 19,501,000 6,196,000 581,000
400,000
650,000
360,000
125,000
18,885,000
340,000
580,000
405,000
1,000,000
5,000,000
150,000
20,000
500,000
31,675,000
City of laurel Table A-5
Water Utility
Water Capital Improvement Plan (Inflated)
Annual Inflation 0.0% 4.5% 4.5% 4.5% 4.5%
Cumulative Inflation 0.0% 4.5% 9.2% 14.1% 19.3%
For the Fiscal Year Ending June 30
Line Budget Projected 2025-2029
No. Title 2025 2026 2027 2028 2029 Total
1
Bulk Water Sales Station - On Hold
-
-
436,810
-
- 436,810
2
West 7th St Wtr Replacement - Combined wJ1st Ave
650,000
-
-
- 650,000
3
Riverside Park Water + Irrigation System
-
376,200
-
- 376,200
4
Water Treatment Plant Stormwater Improvements
125,000
-
-
- 125,000
5
New Wtr Tank, Booster Station & Piping Redun
-
219,450
20,393,567
-
- 20,613,017
6
1st Ave. Water Valve Installation wJ W 7th
170,000
-
-
193,998
- 363,998
7
City Wide Valve & Hydrant Replacement Project
145,000
151,525
158,344
165,469
- 620,338
8
Replacement of Water Lines ($900 ft @ 450 If)
81,000
84,645
88,454
92,434
96,594 443,127
9
Water Tank Painting
-
-
218,405
912,933
- 1,131,338
10
Filters
-
-
-
5,705,831
- 5,705,831
11
Settling Pond (2011 Great Westen MP)
-
-
-
-
- -
12
920 -Buildings -Reserve
20,000
-
-
- 20,000
13
Miscellaneous Undesignated Projects
-
-
-
596,259 596,259
14
Total Capital Improvement Program Including Inflation
1,341,000
831,820
_-
21,295,580
7,070,665
692,853 31,231,918
Draft -For Discussion Purposes Only
City of Laurel 'fable A-6
Water !Utility
Test Year 2025 Revenue Requirement
Line Operating
No• Description Expense Capital Expense Total
Draft -For Discussion Purposes Only
Revenue Requirement
1
Operation and Maintenance Expense
2,997,500
2,997,500
2
Repair and Replacement Capital
1,200,000
1,200,000
3
Debt Service
426,410
426,410
4
Total Revenue Requirements
2,997,500
1,626,410
4,623,910
Less Revenue Offsets
5
Water Line Insurance ($1/month)
(33,000)
(33,000)
6
Sales of Water Supplies
(2,000)
(2,000)
7
Fire Line
(6,300)
(6,300)
8
5J8" Bypass
(28,600)
(28,600)
9
System Development Fees
0
0
10
Miscellaneous Water
(2,000)
(2,000)
0
CHS Revenue
0
11
Raw Water -CHS
(172,400)
(172,400)
12
Settled Water -CHS
(26,300)
(26,300)
13
Rate Increase (2027 and 2032 per Contract)
0
0
14
Change in Fund Balance
(330,826)
(179,502)
(510,328)
15
Subtotal Revenue Offsets
(601,426)
(179,502)
(780,928)
16
Net Revenue Requirement
2,396,074
1,446,908
3,842,982
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Allocation of Water System Assets and Annual Capital Costs
Table A-7
Volume I Customer Related
Line Maximum Day Maximum Hour Meters S, General &
No. Description O&M Costs Base Demand Demand Services Billing indirect Admin Total
Water System Assets
1 Source of Supply
2 Treatment
3 Transmission &Distribution
4 Customer/Billing
5 Meters & Services
6 Public Fire
7 Not Used
8 Not Used
9 General & Admin
10 Pump Station
11 Treated Storage
12 land
13 Total
Draft -For Discussion Purposes Only
100.01/
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
City of Laurel
2,841,754
0
Table A-8
Water Utility
0
0
0
Allocation of Water System Assets and Annual Capital Costs
39,991,420
22,217,456
17,773,965
0
Volume
Customer Related
0
Line
Replacement maximum Day Maximum Hour
Meters.
General&
No. Description
Cost Base Demand Demand
Services Billing
Indirect Admin Total
0
0
33,042,881
0
Water System Assets
1 Source of Supply
2 Treatment
3 Transmission &Distribution
4 Customer/Billing
5 Meters & Services
6 Public Fire
7 Not Used
8 Not Used
9 General & Admin
10 Pump Station
11 Treated Storage
12 Land
13 0
14 Total Water System Assets
15 General & Admin, %
16 General & Admin Allocation, $
17 Total Reallocated Assets
18 PercentofTotal
19 Annual Capital Costs (with Rev Req Adjustments)
Draft -For Discussion Purposes Only
2,841,754
2,841,754
0
0
0
0
0
0
2,841,754
39,991,420
22,217,456
17,773,965
0
0
0
0
0
39,991,420
33,042,881
5,507,147
4,405,717
6,608,576
16,521,440
0
0
0
33,042,881
0
0
0
0
0
0
0
0
0
2,544,987
0
0
0
2,544,987
0
0
0
2,544,987
184,685
0
0
0
184,685
0
0
0
184,685
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
18,474
0
0
0
0
0
0
18,474
18,474
53,810
29,895
23,916
0
0
0
0
0
53,810
969,401
323,134
258,507
387,761
0
0
0
0
969,401
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
79,647,413
30,919,385
22,462,105
6,996,337
19,251,113
0
0
1%474
79,647,413
TRUE
38.8%
28.2%
8.8%
24.25%
18,474
7,173
5,211
1,623
4,466
30,926,558
22,467,316
6,997,960
19,255,579
38.8°%
28.2%
8.8%
24.2%
1,446,908
561,825
408,150
127,128
349,805
City of Laurel
Water Utility
Operation and Maintenance Expense Functional Category Allocations
Table A-9
1 2 3 4 5
Line Test Year Source of Trans/ Customer/ Meters&
No. 2025 Supply Treatment Dist Billing Services Total
5210-430504 :WATER- PURIFICATION AND TREATMENT $
1 500 392 ADMINISTRATIVE SERVICES
2 500
110
SALARIES AND WAGES
1 i.+ 570000
3 500
ill
OVERTIME
E 15;86D
4 500
138
VISION INSURANCE
^Y 600::
5 500
139
DENTALINSURANCE
W» 4,566
6 500
141
UNEMPLOYMENT INSURANCE
h�� 1,8061
7 500
142
WORKERS' COMPENSATION
sM �18,6OiY.
8 500
143
HEALTH INSUANCE
}� 97,006
9 500
144
LIFE INSURANCEM..,1,206
149
10 500
145
FICA
FLEX MEDICAL
11 500
146
PERS
': 47,000
(,.w,...�. �....
12 500
149
ST/LT DISABILITY
j 41500'
13 500
194
FLEX MEDICAL6,500
_
N�
14 SOO
220
OPERATING SUPPLIES
250i)0�
15 500
221
CHEMICALS
165,000_
--
16 500
222
LABORATORY & MEDICAL SUPP
8000
17 500
226
CLOTHING AND UNIFORMS
fi
4N _1;200
18 500
231
GAS, OIL, DIESEL FUEL, GR
_
19 500
232
MOTOR VEHICLE PARTS
_7 2000
, ,000:
20 500
233
MACHINERY & EQUIPMENT PAR
[ 167000
341
ELECTRIC UTILITY SERVICES
21 500
241
CONSUMABLE TOOLS
1,000
22 500
263
SAFETY SUPPLIES
2,000
23 500
312
NETWORKING FEES
..51000
24 500
335
MEMBERSHIPS & DUES
4 1,500
25 500
337
ADVERTISING~_
2,500
26 500
339
CERTIFICATION RENEWAL
2;004
27 SOO
341
ELECTRIC UTILITY SERVICES
200000
28 500
343
CELLULAR TELEPHONE
„._- 1200
29 500
344
GAS UTILITY SERVICEmN.
35;000_
30 500
345
TELEPHONE
I � 1 100
31 500
349
QUAUTY TESTING
10,000
32 500
350
PROFESSIONAL SERVICES
15000'
33 500
351
MEDICAL, DENTAL, VETERINARY
34 500
355
DATA PROCESSING SERVICES
35 500
360
REPAIR & MAINTENANCE SERVICES
31000
36 500
364
WATER/SEWER STRUCTURE & EQUIP
250,000
37 500
366
BUILDING MAINTENANCE
50,000
38 500
370
TRAVEL
4,000.
39 500
380
TRAINING SERVICES
31000
40 500
397
CONTRACTED SERVICES
'; 16,000'.
41 500
511
INSURANCE ON BLDGS/IMPRVM
9,500'
42 500
513
LIABILITY22,155
43 500
514
VEHICLE/ EQUIPMENT INSURANCE
44 500
519
POLLUTION INSURANCE
45 500
533
MACHINERY& EQUIPMENT RENTAL
20,006
46 500
544
DISCHARGE PERMIT FEE
3,000
47 500
900
CAPITAL OUTLAY
48 500
920
BUILDINGS
49 500
930
IMPROVEMENTS OTHER THAN B
SO SOO
940
MACHINERY & EQUIPMENT
SI 501
52 500
943
946
NEW VEHICLE
COMPUTER EQJSOFTWARE
5210.430550
WATER -TRANSMISSION AND DISTRIBUTION
53 540
110
SALARIES AND WAGES
54 540
111
OVERTIME
55 540
138
VISION INSURANCE
56 540
139
DENTAL INSURANCE
57 540
141
UNEMPLOYMENT INSURANCE
58 540
142
WORKERS' COMPENSATION
59 540
143
HEALTH INSUANCE
60 540
144
LIFE INSURANCE
61 540
145
FICA
62 540
146
PERS
63 540
149
ST/LT DISABILITY
64 540
194
FLEX MEDICAL
65 540
220
OPERATING SUPPLIES
66 540
221
CLOTHING AND UNIFORMS
67 540
226
REPAIR & MAINTENANCE SUPP
68 540
231
GAS, OIL, DIESEL FUEL, GR
69 540
232
MOTOR VEHICLE PARTS
70 540
233
MACHINERY & EQUIPMENT PAR
71 540
239
TIRES/TUBES/CHAINS
72 540
241
CONSUMABLETOOLS
73 540
263
SAFETY SUPPLIES
74 540
311
POSTAGE
75 540
312
NETWORKING FEES
75 540
337
ADVERTISING
77 540
339
CERTIFICATION RENEWAL
78 540
341
ELECTRIC UTILITY SERVICES
Draft -For Discussion Purposes Only
335,000.4
3,500.
100% ;
# 100%
100%
100%
325:
100%
100%
2,100.:
�_-
100%( ��—
100%
1,000
100%
100%
9,200
100%
100%
42,500.
100%,
100%
500 '.
_
100%j
100%
' 18,600
��
1 100%
100%
21,600'.
_
2,500
100%,
100%
2,860
26,000:
1,800
15,000 :
: 15,006 :
100%
— 100%
100%
100%
100% i.
100%
100%
100%
100%
100%
5,000 :
100%
100%
30,600
100%
100%
000.
3,000
100%
100%
100% _
100%
1,500:'.
100%
100%
6,400
100%
100%
1,000,
100%
100%
1,000::
100% i
100%
1,200
'.I
100%
15,600':
100%
100%
City of Laurel Table A-9
Water Utility
Operation and Maintenance Expense Functional Category Allocations
1 2 3 4 5
Line Test Year Source of Trans ( customer/ Meters &
No. 2025 Supply Treatment Dist Billing Services Total
79 540 343 CELLULAR TELEPHONE 3000 a 100% 1001A
80 540 350 PROFESSIONAL SERVICES 50000 # S00%��6i 3 i _ 100%
81 540 351 MEDICAL, DENTAL, VETERINARY 1,000 _ 100%
82 540 355 DATA PROCESSING SERVICES 2,
SO_0 100%
83 540 360 REPAIR & MAINTENANCE SERV 20,00000 { E 100%1 a 100%
84 540 362 OFFICE MACHINERY&EQUIP i 25,0_00 R 10496c ) ; 100%
k,.z......w...,....,.___-__.,.,:a,...,�..�....
85 540 367 WATER/SEWER LINES REPAIR �^ 20U 600 ' 100% 100%
86 540 368 CURB BOX REPAIR/REPLACE 25,000 100% ) _ �� _ 100%
87 540 370 TRAVEL 3,000
88 540 380 TRAINING SERVICES f(_....�. ... 5000 1 ^,1mµ 104%-#i� -. �_- 100%
89 540 397 CONTRACTED SERVICES i 16044 # 100%( 100%
90 540 452 GRAVEL AND SAND _ > 100% 100%
.5,..::
91 540 511 INSURANCE ON BLDGSJIMPRVM i 8,365x 104% # 100%
92 540 513 LIABILITY w. 8 9$9 r :N 100% ___.. 3-^_ 100%
93 540 514 VEHICLE/EQUIPMENT INSURAN i -3,5-6-6-,
° 104%2
94 540 530 RENT s 182,000 --a-a 100%) ?- 100%
95 540 532 LAND RANTAL/EASEMENTS i 11,800 i 100%i i 100%
46 540 533 MACHINERY & EQIPMENT RENT 100% _ m 100%
97 540 540 SPECIAL ASSESSMENTS ' t 100%;.2 100%
98 540 543 SERVICE CONNECTION FEE t 6 i40 1 100% M M# 100%
99 540 811 LIABILITY DEDUCTIBLES LL s s 100%1 T 100%
100 540 901 MISC CAPITAL PROJECTS Lf _.�.� 304% # 100%
101 540 938 REPLACE WATER/SEWER LINE i ':
102 540 943 VEHICLE(S) i- = 1�% # i 100%
m_(._.�._ 100%
103 540 949 MINI EXCAVATOR.'100% q ') 100%
s..-._�.__.w�_....._._..... _...__........_.__ ,._.z.....-.._......_ __.___-__._.�,. ..�._..._._.._ __._.-.._..a.....e .__
5210-+430551 MURRAY HEIGHTS SUBDIVISION - BOOSTER STATION
104 540 220 Operating Supplies+ 500- 100%y
105 540 231 Gas, Oil, Diesel Fuel, Gr 140% 100%
106 540 241 Consumable Tools
100%
107 540 341 Electric Utility Services -X15,000 p 100%1 M, £ �. 100%
108 540 344 Gas Utility Services :800 100%
109 540 360 Repair & Maintenance Sew 5,000 w 100% E _ 100%
110 540 366 Building Maintenance 5,000 ; i 100%I 100%
5210.430552 WATER RESERVOIR
111 540 220 Operating Supplies 300 :100%y ! s, 100%
112 540 231 Electric Utility Services 1,500_ _100%13 100%
113 540 241 Professional Services _ 7,500 I� IOQ% ' I 104%
114 540 341 Water/Sewer Strutt.&Equ ���� i 100% - i � 100%
115 540 344 Gravel and Sand ��; d00%� 100%
116 S40 360 Buildings100%! �i 100%
5210.430553 ELENA BOOSTER STATION
117 540 220 Operating Supplies100��� 100%!
,�..Y. W._.__....� -_.a.._.......�____-_._..,.
118 540 231 Gas, Oil, Diesel Fuel, Gr _ .500 i _ _ 100_%E ) ? 100%
119 540 233 Machinery & Equipment Par v :1,500
120 540 341 Electric Utility Services _ :7,500 _ 100%
121 540 350 Professional Services .- =500 100%f _�_..__ -; 100%
122 540 360 Repair & Maintenance Sew 1,000 I i .100% ' _`. 100%
123 540 366 Building Maintenance
INTERFUND
TING
124 540 521 820 000 Transfers to Other Funds
OUT 5,400.. -- _ � �. � Do%,
125 Total ..:2,997,540:: 9,300 1,691,055 1,168,645 68,000 60,500 2,997,500
Source: City of Laurel - Expenditure Budget by Org Report- MultiYear Actuals 0.3% 56.4% 39.0% 2.3% 2.0% 100.0%
0.3% 56.4% 39.0% 2.3% 2.0%
0 0 0 0 0 0
Town of Laurel 9,300 1,691,055 1,168,645 68,000 60,500
Water Utility
Summary Operation and Maintenance Expense Functional Category Allocations
Test Year 2025
Line
No
Description
Lookup Column-> 1
Source of
Supply
2
0
Treatment
3
Trans/
Dist
4
Customer]
Billing
5
Meters&
Services
Total
1
Total Allocation
9,300
1,691,055
1,168,645
68,000
60,500
2,997,500
126
All Other Infrastructure Reallocation
0.3%
56.4%
39.0%
2.3%
2.0%
127
Total All Other Infrastructure
-
-
-
-
-
0
128
All Other General Reallocation
0.3%
56.4%
39.0%
2.3%
2.0%
129
Total Reallocated All Other General
-
-
-
-
-
0
130
Total After Reallocation
9,300
1,691,055
1,168,645
68,000
60,500
2,997,500
131
%
0.3%
56.4%
39.0%
2.3%
2.0%
100.0%
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Allocation of Functionalized O&M
Line
No, Description
Volume Customer Related
Maxrmum Day Maximum Hour Meters & General &
Total Base Demand Demand Services silting Indirect Admin
Functions
I Source of Supply
9,300
2 Treatment
1,691,055
3 Transmission & Distribution
1,168,645
4 Customer/Billing
68,000
5 Meters & Services
60,500
6 Public Fire
0
7 Common to Irrigation
0
8 All Other Infrastructure
0
9 General & Admin
0
10 Pump Station
0
11 Treated Storage
0
12
13
14 Total
2,997,500
Draft -For Discussion Purposes Only
Table A-10
Total
100.0%
100.0%
100.0%
100.0%
100.0%
100,0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
City of Laurel
Water Utility
Allocation of Functionalized O&M Expenses to Cost Components
Una
No. Description
Total
Base
Volume
Maximum Day Max mum Hour
Demand Demand
Customer Related
Meters &
Services Billing
Indirect
General &
Admin
Table A-11
Total
$
$
$
$
$
$
$
$
$
Functions
0
0
16 General & Admin Allocation, $
0
0
0
0
0
0
1 Source of Supply
9,300
9,300
0
0
0
0
0
0
9,300
2 Treatment
1,691,055
939,475
751,580
0
0
0
0
0
11691,055
3 Transmission & Distribution
1,168,645
194,774
155,819
233,729
584,323
0
0
0
1,168,645
4 Customer Billing
68,000
0
0
0
0
68,000
0
0
63,000
5 Meters & Services
60,500
0
0
0
60,500
0
0
0
60,500
6 Public Fire
0
0
0
0
0
0
0
0
0
7 Common to Irrigation
0
0
0
0
0
0
0
0
0
8 All Other infrastructure
0
0
0
0
0
0
0
0
0
9 Indirect
0
0
0
0
0
0
0
0
0
10 Pump Station
0
0
0
0
0
0
0
0
0
11 Treated Storage
0
0
0
0
0
0
0
0
0
12 Total Allocated O&M
2,997,500
1,143,549
907,399
233,729
644,823
68,000
0
0
2,997,500
13 Percent of Total
38.2%
30.3%
7.8%
21.5%
2.3%
0.0%
0.0%
14 Indirect& G&A Allocation,%
38.2%
30.31%
78%
21.5%
2.35%
Settling Water and Raw Water Allocation
55.6%
44.4%
15 Indirect Allocation, $
0
0
0
0
0
0
16 General & Admin Allocation, $
0
0
0
0
0
0
17 Subtotal Reallocated O&M -%
2,997,500
1,143,549
907,399
233,729
644,823
68,000
IS Subtotal Reallocated O&M -%
38.2;%
30.3%
7.8%
2L5%
2.3%
19 Miscellaneous Revenue Offsets
(71,900)
(27,430)
(21,765)
(5,606)
(15,467)
(1,631)
20 Allocation of Change in Fund Balance
(330,826)
(126,210)
(100,147)
(25,796)
(71,167)
(7,505)
21 Settling and Raw Water Revenue
(198,700)
(110,389)
(88,311)
0
0
0
22 Total Revenue Offsets
(601,426)
(264,029)
(210,224)
(31,402)
(86,634)
(9,136)
19 Annual O&M Expenses with Reallocations (with Rev Req Adjustme
2,396,074
879,520
697,176
202,327
558,188
58,864
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Units of Service
Table A-12
Draft -For Discussion Purposes Only
3/4" Equivalent
Water Use
Maximum Day DemandMaximum
Hour Demand
Meter
No.
Customer Class
Annual
Average Day
Deman Factor
Total Demand Extra Capacity Deman Factor
Total bemina
Extra Capacity
Bills
Capacity Ratio
1,006 gal
1,600 gal
1
Residential
162,482
445
3.81
1,694
1,249
6.34
2,823
1,129
31,114
31,234
2
Comme2ia1
88,935
244
2.35
573
330
3.92
955
382
2,802
9,115
3
Irrigation
10,391
28
7.65
218
189
12.75
363
145
185
438
4
Industrial
434,162
1,189
2.51
2,984
1,795
4.18
4,974
1,990
72
3,326
5
Total
695,969
1,907
5,476
3,563
9,116
3,646
34,173
44,112
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Unit Costs of Service
Table A-13
Draft -For Discussion Purposes Only
Volume
Customer Related
Line
Maximum Day
Maximum Hour
Meters &
NO.
Description
Total
Annual
Demand
Demand
Services
Billing
Cost of Service
1
Operation and Maintenance Expense
$2,997,500
$1,143,549
$907,399
$233,729
$644,823
$68,000
2
Capital Cost
1,446,908
561,825
408,150
127,128
349,805
0
3
Total Cost of Service
$4,444,408
$1,705,374
$1,315,550
$360,857
$994,627
$68,000
4
Miscellaneous Revenue Offsets
($71,900)
($27,430)
($21,765)
($5,606)
($15,467)
($1,631)
5
Allocation of Change in Fund Balance
(330,826)
(126,210)
(100,147)
(25,796)
(71,167)
(7,505)
6
Settling and Raw Water Revenue
(198,700)
(110,389)
(88,311)
0
0
0
7
Net Allocated Revenue Requirement
$3,842,982
$1,441,344
$1,105,326
$329,454
$907,993
$58,864
8
Percent of Total
100%
38%
30%
8%
22%
2%
Units of Service
Equivalent
Meter
Units of Service
1,000 gal
god
gpdd
Ca aci
# Bills
9
Common to All Customers (Table A-14, Line 5)
695,969
3,563
3,646
44,112
34,173
10
Common to Retail Customers (Table A-14, Lines 1-4)
261,808
1,768
1,657
40,786
34,101
Units of Service
11
Common to All Customers (Lines 3 - 6 / Line 9)
$2.23
$335.03
$90.35
$20.58
$1.72
12
Common to Retail Customers (Line 6 / Line 10)
($0.42)
($49.96)
$0.00
$0.00
$0.00
Draft -For Discussion Purposes Only
City of Laurel
Water Utility
Distribution of Costs to Customer Classes
Line
No. Description
1 Unit Costs of Service - $/unit
Common to All Customers (Lines 3 - 6 / Line 9)
Common to Retail Customers (Line 6 / Line 10)
Customer Class
Residential
2 Units
3 Cost of Service - $
Commercial
4 Units
5 Cost of Service - $
Irrigation
6 Units
7 Cost of Service - $
Industrial
8 Units
9 Cost of Service - $
10 Total Cost of Service
Draft -For Discussion Purposes Only
Table A-14
Volume I Customer Related
Maximum Day Maximum Hour Meters &
Total Average Day Demand Demand Services Billing
$2.23 $335.03 $90.35 $20.58 $1.72
$1.81 $285.07 $90.35 $20.58 $1.72
162,482
1,249
1,129
31,234
31,114
$1,448,292
$293,761
$355,995
$102,033
$642,907
$53,595
88,935
330
382
9,115
2,802
$481,741
$160,790
$93,971
$34,532
$187,622
$4,826
10,391
189
145
438
185
$95,209
$18,786
$53,975
$13,119
$9,010
$319
434,162
1,795
1,990
3,326
72
$1,817,739
$968,007
$601,385
$179,770
$68,454
$124
3,842,982
1,441,344
1,105,326
329,454
907,993
58,864
City ofLaurel
Water Utility
Comparison of Cost of Service With Revenues Under Existing Rates
Line
2025
Reve ueat
No
Customer Class
Cost of Service
Existing Rates
Change '$
Change - %
COS
Rev
I
Residential
$1,448292
$1,405,545
$42,747
3.0%
Z
Commercial
481,741
523,708
(41,959)
'8.0%
3
Irrigation
95,209
42,824
52,385
122.3%
4
Industrial
$1,817,739
1,340,846
476,893
35.6Y6
5
Total System
$3,842,982
16.0%
3,312,915
530,066
Draft -For Discussion PurpnaesOn|y
City of Laurel
Water Utility
Adjusted Cost of Service
Table A-16
Line
2025
Revenue at
No
Customer Class
Cost of Service
Existing Rates
Change - $ Adjustment
Adjusted COS
Change - %
I
Residential
$1,448,292
$1,405,545
$0 $0
$1,448,292
3.0%
2
Commercial
481,741
523,700
41,959 $0
523,700
0.0%
3
Irrigation
95,209
42,824
- (2,088)
93,121
117.5%
4
Industrial
1,817,739
1,340,846
- (39,871)
1,777,869
32.6%
5
Total
$3,842,982
$3,312,915
$41,959 ($41,959)
$3,842,982
16.0%
Draft -For Discussion Purposes Only
CRY of t-4
Waterumty
0-.W, ent of Cost of Servke Rates
Res4derttai Cost of Servke
Me4ev S;ea
8'VAs
S.L.
Rc+enue
irtdsseriel
51,727,859
Meter Slve
634s
314'
31430
$32.6i
$1,011,986
Meter Slz.
ER'S
I"
60
$55.11
$3,372
/nUlts
1.25°
0
586.57
$0
lr.�set
1.5"
24
5121.86
52,929
3f4'
1,324
2"
0
$215.28
$0
314"
12
3"
0
$47'.86
$0
1"
931
4'
0
$852.82
5D
1"
12
6"
0$1,915.44
$0
1.25'
12
$'x5.57
0
$5,291.82
50
1.25"
0
TotalServkc Charge
Revenue
I.S.
$1,018,187
W.., Race Revenue
Re ired
1.5"
$430,104
ThreshoW
%Vol
R.1b
Volume
Rata
Revenue_
SG00 00
57.395
1.00
93,125
2.1]
202,133
100
17.6%
1.25
2H,667
2.]I
7],780
20000
150%
1.50
11171
3.26
III
49499
10C%2.60
16,319
4.34
70,341
Total
$10,244
162,4&2
2.65
430,104
$852.82
$0
Rounded
24
$1,915.49
$46,GiS
93,125
2.17
202,081
$1,915.49
$23,(49
28,667
2.71
77,689
$5,291.82
$0
24,371
3.26
79,451
$5,291.82
$63,555
16,319
4,34
70,823
162,481
2.65
430,043
Ovc
AMd ,R -t7
1611
DWt-F,r 0l -Wn Purpose4 Only
T.W.A-17
-Wrn .ed Commercial and COS
5616,921
irtdsseriel
51,727,859
Meter Slve
634s
S.C.
Revenue
Meter Slz.
ER'S
S.C.
Revenue
/nUlts
lr.�set
3f4'
1,324
$32.61
5.3,185
314"
12
$32.61
5392
1"
931
$55.11
$52,234
1"
12
$56.11
$624
1.25'
12
$'x5.57
$1,028
1.25"
0
585.57
$0
I.S.
322$121.86
539,278
1.5"
0
$131.86
So
2"
274
$215.22
$59,046
2"
0
$215.22
$0
3"
11$47986
54I,702
3"
24
5479.86
$11$04
4'
12
$852.32
$10,244
4"
0
$852.82
$0
6"
24
$1,915.49
$46,GiS
6"
12
$1,915.49
$23,(49
10"
0
$5,291.82
$0
'o"12
$5,291.82
$63,555
Total Servke Ch.Mg
Revenue
$242,737
Total Servke Charge Revenue
$35,579
Volume Rate Rev -Required
$324,085
Volume Rate Revenue Rlgllmd
$1,742,290
Thn�hoW
%Vol
Ratio
Votum.
R.I.
Revenue
Threshold
%Val
Ratl.
Volume
Rave
Revenue
htl Usage
100.0'.5
lOp
99,325
$3.26
32C,0F,5
Att Usa6.
100.OX
LW
43E,162
4.02
1112,190
0.0%
0.0°ro
100
0
3.26
-
O.O
1.00
0
4.01
-
0.0%
Im
0
3.26
0.0%
1.00
9
4.01
Tau]
100.0%
1.00
99,325
326
324,085
Total
100.0%
1.w
434,162
4.01
1,742,250
Rounded
Rounded
99,325
3.27
324,794
434,1622
4.02
1,745,329
0
3.27
-
0
4.02
-
0
0
4.02
-
0
3.2]
0
4.02
99,325
3.27
324,794
434,162
4.02
1,745,329
OveMde]Remvery
710
Ovdr(Urtder Feariery
3,039
City of Laurel
Table A-18
Water Utility
Cost of Service Rate Summary
Residential
Combined Commercial and Irrigation
Industrial
Monthly
Monthly
Monthly
Meter Size
Base Rate [1)
Meter Size
Base Rate [1]
Meter Size
Base Rate [1]
Inches
Inches
Inches
3/4"
$32.61
3/4"
$32.61
3/4"
$32.61
ill
$56.11
ill
$56.11
ill
$56.11
1.25"
$85.57
1.25"
$85.57
1.25"
$85.57
1.5"
$121.86
1.5"
$121.86
1.5"
$121.86
2"
$215.28
2"
$215.28
2"
$215.28
3"
$478.86
3"
$478.86
3"
$478.86
4"
$852.82
4"
$852.82
4"
$852.82
61,
$1,915.49
6.1
$1,915.49
6"
$1,915.49
101,
$5,291.82
10.1
$5,291.82
101,
$5,291.82
Rate, $
Rate, $ per
Rate, $ per
Threshold
% Vol Price Ratio perKgal
Threshold
% Vol Price Ratio Kgal
Threshold
% Vol Price Ratio Kgal
5
57.3% 1.00
$2.17
All Usage
100.0% 1.00 3.27
All Usage
100.0% 1.00 4.02
10
17.6% 1.25
$2.71
20
15.0% 1.50
$3.26
> 20
10.0% 2.00
$4.34
Draft -For Discussion Purposes Only
Table B-2
City of Laurel
Wastewater Utility
Operating Subfund Cash Flow Analysis
Table B-1
Line
No.
Description
Budget
2025
For the Fiscal Year Ending June 30
Projected
2026 2027 2028
2029
Sources of Funds
Service Charge Revenue
1
Revenue at Existing Rates
1,948,093
1,948,512
1,948,512
1,948,512
1,948,512
2
Additional Sewer Service Revenue Required
243,512
706,335
945,272 _
1,205,712
1,363,423
3
Total Sewer Rate Revenue
2,191,605
2,654,847
2,893,783
3,154,224
3,311,935
Other Operating Revenue
4
Interest Income
61,149
47,115
50,123
60,602
75,090
5
Non -Rate Revenue
51,000
51,000
51,000
51,000
51,000
6
Total Sources
2,303,754
2,752,962
2,994,906
3,265,826
3,438,025
Uses of Funds
7
Operations and Maintenance Expense
1,676,539
1,747,235
1,812,221
1,879,642
1,949,588
Debt Service
Existing Debt
8
SRF -15360
121,096
167,951
212,459
211,949
212,329
9
SRF -14330
250,405
249,946
250,364
250,606
250,676
10
SRF -11265
51,425
50,215
50,991
51,713
51,393
11
SRF -06143
89,320
-
-
-
-
12
Proposed State Loans
0
0
0
0
0
13
Total Debt Service
512,246
468,113
513,814
514,267
514,398
PAYGO Capital Projects
994,100
594,100
411,835
430,367
449,734
14
Total Uses
3,182,885
2,809,448
2,737,869
2,824,275
2,913,720
15
Annual Surplus (Deficiency)
(879,131)
(56,486)
257,037
441,550
524,305
16
Beginning Balance (Restricted)
2,503,370
1,624,238
1,567,752
1,824,789
2,266,340
17
Ending Balance
1,624,238
1,567,752
1,824,789
2,266,340
2,790,645
Target Reserves
18
Operating (60 Days O&M)
275,595
287,217
297,899
308,982
320,480
19
Cash - System Development Fees
603,518
603,518
603,518
603,518
603,518
20
Cash - Revenue Bond Sinking
323,560
323,560
323,560
323,560
323,560
21
Cash - Bond Reserve DNRC
435,209
435,209
435,209
435,209
435,209
22
Cash - Bond Reserve DNRC 11
55,399
55,399
55,399
55,399
55,399
23
Cash - Replacement
969,728
969,728
969,728
969,728
969,728
24
Total Target Reserves
2,663,009
2,674,630
2,685,313
2,696,396
2,707,894
25
Unrestricted Funds
(1,038,771)
(1,106,878)
(860,524)
(430,056)
82,751
Months Rate Increase Effective
6
12
12
12
12
26
Annual Sewer Service Revenue Increase
25.0%
9.0%
9.0%
9.0•%
5.0%
27
Cumulative Revenue Increase
25.0°A
36.3%
48.5%
61.9%
70.0%
28
Debt Service Coverage
1.22
2.15
2.30
2.70
2.89
29
Target Debt Service Coverage (1.2)
1.20
1.20
1.20
1.20
1.20
__.__.___---_._.___.___.--------------------------------------------------
Minimum Reserves
30
Operating (60 Days O&M)
275,595
287,217
297,899
308,982
320,480
31
Cash - Revenue Bond Sinking
323,560
323,560
323,560
323,560
323,560
32
Cash - Bond Reserve DNRC
435,209
435,209
435,209
435,209
435,209
33
Cash - Bond Reserve DNRC II
55,399
55,399
55,399
55,399
55,399
34
Total Minimum Reserves
1,089,763
1,101,385
1,112,067
1,123,150
1,134,648
35
Unrestricted Funds with Minimum Reserves
534,475
466,368
712,722
1,143,190
1,655,997
36
Debt Service Coverage
1.22
2.15
2.30
2.70
2.89
969,728
969,728
969,728
969,728
969,728
Draft -For Discussion Purposes Only
City of Laurel
Wastewater Utility
Historical & Projected Operation and Maintenance Expense
Line
No. Fund Fund Description
Account Description
inflation
Coding
Budget
2025
For the Fiscal Year Ending lune 30
Projected
2026 2027 2028
Tabis B-2
2029
600
Sewer
5310.430600
D
Sewer Utilities
1
600
Sewer
392
0
ADMINISTRATIVE SERVICES
1
76,494
79,936
83,134
86,459
89,917
630
Sewer
5310-430630
0
Collection and Transmission;
2
630
Sewer
110
0
SALARIES AND WAGES
1
120,000
125,400
130,416
135,633
141,058
3
630
Sewer
ill
0
OVERTIME
1
2,500
2,613
2,717
2,826
2,939
4
630
Sewer
138
0
VISION INSURANCE
1
120
125
130
136
141
5
630
Sewer
139
0
DENTAL INSURANCE
1
890
930
967
1,006
1,046
6
630
Sewer
141
0
UNEMPLOYMENT INSURANCE
1
435
455
473
492
511
7
630
Sewer
142
0
WORKERS'COMPENSATION
1
4,800
5,016
5,217
5,425
5,642
8
630
Sewer
143
0
HEALTH INSURANCE
1
20,000
20,900
21,736
22,605
23,510
9
630
Sewer
144
0
LIFE INSURANCE
1
200
209
217
226
235
10
630
Sewer
145
0
FICA
1
9,500
9,928
10,325
10,738
11,167
11
630
Sewer
146
0
PERS
1
11,020
11,516
11,977
12,456
12,954
12
630
Sewer
149
0
ST/LT DISABILITY
1
1,235
1,291
1,342
1,396
1,452
13
630
Sewer
194
0
FLEX MEDICAL
1
1,330
1,390
1,445
1,503
1,563
14
630
Sewer
220
0
OPERATING SUPPLIES
4
5,000
5,200
5,382
5,570
5,765
15
630
Sewer
221
0
CHEMICALS
4
-
16
630
Sewer
226
0
CLOTHING AND UNIFORMS
1
250
261
272
283
294
17
630
Sewer
230
0
REPAIR & MAINTENATNCESUPP.
3
-
18
630
Sewer
231
0
GAS, OIL, DIESEL FUEL, GR
4
7,000
7,280
7,535
7,799
8,071
19
630
Sewer
232
0
MOTOR VEHICLE PARTS
3
-
20
630
Sewer
233
0
MACHINERY & EQUIPMENT PAR
3
7,000
7,280
7,535
7,799
8,071
21
630
Sewer
239
0
TIRES/TUBES/CHAINS
3
-
-
-
-
-
22
630
Sewer
241
0
CONSUMABLE TOOLS
4
-
-
-
-
23
630
Sewer
263
0
SAFETY SUPPLIES
4
-
-
-
-
-
24
630
Sewer
311
0
POSTAGE
1
5,700
5,957
6,195
6,443
6,700
25
630
Sewer
337
0
ADVERTISING
5
1,000
1,040
1,076
1,114
1,153
26
630
Sewer
339
0
CERTIFICATION RENEWAL
5
1,200
1,248
1,292
1,337
1,384
27
630
Sewer
343
0
CELLULAR TELEPHONE
1
1,D00
1,045
1,087
1,130
1,175
28
630
Sewer
350
0
PROFESSIONAL SERVICES
2
50,000
52,000
53,820
55,704
57,653
29
630
Sewer
351
0
MEDICAL, DENTAL, VETERINA
1
200
209
217
226
235
30
630
Sewer
355
0
DATA PROCESSING SERVICES
2
-
-
-
-
-
31
630
Sewer
364
0
WATER/SEWER STRUCT. & EQU
8
75,000
78,000
80,730
83,556
86,480
32
630
Sewer
367
0
WATER/SEWER LINES REPAIR
3
100,000
104,000
107,640
111,407
115,307
33
630
Sewer
370
0
TRAVEL
5
3,000
3,120
3,229
3,342
3,459
34
630
Sewer
- 380
0
TRAINING SERVICES
5
500
520
538
557
577
35
630
Sewer
397
0
CONTRACTED SERVICES
2
1,800
1,872
1,938
2,005
2,076
36
630
Sewer
511
0
INSURANCE ON BLDGS/IMPRVM
8
-
-
-
-
-
37
630
Sewer
513
0
LIABILITY
8
3,866
4,021
4,161
4,307
4,458
38
630
Sewer
514
0
VEHICLE/EQUIPMENTINSURAN
8
2,456
2,554
2,644
2,736
2,832
39
630
Sewer
530
0
RENT
8
180,000
187,200
193,752
200,533
207,552
40
630
Sewer
532
0
LAND RENTAL/EASEMENTS
8
700
728
753
780
807
41
630
Sewer
533
0
MACHINERY & EQUIPMENT RENT
4
500
520
538
557
577
42
630
Sewer
811
0
LIABILITY DEDUCTIBLES
8
-
-
-
-
-
43
630
Sewer
938
0
REPLACE WATER/SEWER LINE
3
350,000
631
Sewer
5310-430631
0
Elm LijiStation
44
631
Sewer
220
0
OPERATING SUPPLIES
4
100
104
108
111
115
45
631
Sewer
221
0
CHEMICALS
4
500
520
538
557
577
46
631
Sewer
231
0
GAS, OIL, DIESEL FUEL, FR
4
1,000
1,040
1,076
1,114
1,153
47
631
Sewer
233
0
MACHINERY & EQUIPMENT PAR
4
1,000
1,040
1,076
1,114
1,153
48
631
Sewer
341
0
ELECTRIC UTILITY SERVICES
8
5,500
5,720
5,920
6,127
6,342
49
631
Sewer
345
0
TELEPHONE
1
825
862
897
932
970
50
631
Sewer
350
0
PROFESSIONAL SERVICES
2
-
-
-
-
-
51
631
Sewer
360
0
REPAIR & MAINTENANCE SERV
3
1,500
1,560
1,615
1,671
1,730
52
631
Sewer
364
0
WATER/SEWER STRUCT. & EQU
3
5,000
5,200
5,382
5,570
5,765
632
Sewer
3310.430632'
0
Village Lift Station
53
632
Sewer
220
0
OPERATING SUPPLIES
4
-
-
-
54
632
Sewer
221
0
CHEMICALS
4
-
-
-
-
-
55
632
Sewer
231
0
GAS, OIL, DIESEL FUEL, FR
4
700
728
753
780
807
56
632
Sewer
233
0
MACHINERY&EQUIPMENT PAR
4
2,500
2,600
2,691
2,785
2,883
57
632
Sewer
341
0
ELECTRIC UTILITY SERVICES
8
5,500
5,720
5,920
6,127
6,342
58
632
Sewer
344
0
GAS UTILITY SERVICE
8
-
-
-
-
-
59
632
Sewer
345
0
TELEPHONE
1
850
888
924
961
999
60
632
Sewer
360
0
REPAIR & MAINTENANCE SERV
3
1,000
1,040
1,076
1,114
1,153
61
632
Sewer
364
0
WATER/SEWER STRUCT. & EQU
4
-
-
-
-
-
62
632
Sewer
930
0
IMPROVEMENTS OTHER THAN B
3
15,000
633
Sewer
5310-430533
0
Walmart Lift station
63
633
Sewer
220
0
OPERATING SUPPLIES
4
-
-
-
-
64
633
Sewer
221
0
CHEMICALS
4
-
-
-
-
-
65
633
Sewer
231
0
GAS, OIL, DIESEL FUEL, FR
4
-
-
-
-
-
66
633
Sewer
233
0
MACHINERY & EQUIPMENT PAR
4
1,000
1,040
1,076
1,114
1,153
67
633
Sewer
341
0
ELECTRIC UTILITY SERVICES
8
1,700
1,768
1,830
1,894
1,960
Draft -For Discussion Purposes Only
City of Laurel
Wastewater Utility
Historical & Projected
Line
No. Fund
Operation and Maintenance Expense
Fund Description
Account Description
Inflationj
Coding
Budget I
2025
For the Fiscal Year Ending lune 30
Projected
2026 2027 2028
Tabls B-2
2029
S
S
S
5
5
68
633
Sewer
360
0
REPAIR & MAINTENANCE SERV
3
6,000
6,240
6,458
6,684
6,918
69
633
Sewer
364
0
WATER/SEWER STRUCf. & EQU
4
Soo
520
538
557
577
640
Sewer
5310-430640
0
Treatment and Disposal
70
640
Sewer Plant
110
SALARIES AND WAGES
1
350,000
365,750
380,380
395,595
411,419
71
640
Sewer Fund
ill
OVERTIME
1
10,000
10,450
10,868
11,303
11,755
72
640
Sewer Fund
138
VISION INSURANCE
1
275
287
299
311
323
73
640
Sewer Fund
139
DENTAL INSURANCE
1
2,500
2,613
2,717
2,826
2,939
74
640
Sewer Fund
141
UNEMPLOYMENT INSURANCE
1
1,300
1,359
1,413
1,469
1,528
75
640
Sewer Fund
142
WORKERS' COMPENSATION
1
11,000
11,495
11,955
12,433
12,930
76
640
Sewer Fund
143
HEALTH INSUANCE
1
64,000
66,880
69,555
72,337
75,231
77
640
Sewer Fund
144
LIFE INSURANCE
1
650
679
706
735
764
78
640
Sewer fund
145
FICA
1
28,000
29,260
30,430
31,648
32,914
79
640
Sewer Fund
146
PERS
1
31,000
32,395
33,691
35,038
36,440
80
640
Sewer Fund
149
ST/LT DISABILITY
1
2,800
2,926
3,043
3,165
3,291
81
640
Sewer Fund
194
FLEX MEDICAL
1
3,600
3,762
3,912
4,069
4,232
82
640
Sewer Fund
220
OPERATING SUPPLIES
4
15,000
15,600
16,146
16,711
17,296
83
640
Sewer Fund
221
CHEMICALS
4
47,000
48,880
50,591
52,361
54,194
84
640
Sewer Fund
222
LABORATORY & MEDICAL SUPP
4
15,000
15,600
16,146
16,711
17,296
85
640
Sewer Fund
226
CLOTHING AND UNIFORMS
1
200
209
217
226
235
86
640
Sewer Fund
231
GAS, OIL, DIESEL FUEL, GR
3
9,000
9,360
9,688
10,027
10,378
87
640
Sewer Fund
232
MOTOR VEHICLE PARTS
3
500
520
538
557
577
88
640
Sewer Fund
233
MACHINERY & EQUIPMENT PAR
3
45,000
46,800
48,438
50,133
51,888
89
640
Sewer Fund
241
CONSUMABLETOOLS
4
-
-
-
-
-
90
640
Sewer Fund
263
SAFETY SUPPLIES
4
-
-
-
-
-
91
640
Sewer Fund
300
PURCHASED SERVICES
2
-
-
-
-
-
92
640
Sewer Fund
312
NETWORKING FEES
5
5,000
5,200
5,382
5,570
5,765
93
640
Sewer Fund
337
ADVERTISING
5
-
-
-
-
-
94
640
Sewer Fund
339
CERTIFICATION RENEWAL
5
1,500
1,560
1,615
1,671
1,730
95
640
Sewer Fund
341
ELECTRIC UTILITY SERVICES
8
100,000
104,000
107,640
111,407
115,307
96
640
Sewer Fund
343
CELLULAR TELEPHONE
1
300
314
326
339
353
97
640
Sewer Fund
344
GAS UTILITY SERVICE
8
30,000
31,200
32,292
33,422
34,592
98
640
Sewer Fund
345
TELEPHONE
1
3,500
3,658
3,804
3,956
4,114
99
640
Sewer Fund
349
QUALITYTESTING
4
20,000
20,800
21,528
22,281
23,061
100
640
Sewer Fund
350
PROFESSIONAL SERVICES
2
12,000
12,480
12,917
13,369
13,837
101
640
Sewer Fund
351
MEDICAL, DENTAL, VETERINARY
1
500
523
543
565
588
102
640
Sewer fund
355
DATA PROCESSING SERVICES
8
-
-
-
-
-
103
640
Sewer Fund
360
REPAIR & MAINTENANCE SERVICES
3
5,000
5,200
5,382
5,570
5,765
104
640
Sewer Fund
364
WATER / SEWER STRUCTURE & EQUIP
4
-
-
-
-
-
105
640
Sewer Fund
366
BUILDING MAINTENANCE
3
40,000
41,600
43,056
44,563
46,123
106
640
Sewer Fund
370
TRAVEL
5
2,500
2,600
2,691
2,785
2,883
107
640
Sewer Fund
380
TRAINING SERVICES
5
2,500
2,600
2,691
2,785
2,883
108
640
Sewer Fund
391
DUMPING FEES
8
30,000
31,200
32,292
33,422
34,592
109
640
Sewer Fund
397
CONTRACTED SERVICES
2
5,000
5,200
5,382
5,570
5,765
110
640
Sewer Fund
511
INSURANCE ON BLDGS/IMPRVM
8
25,626
26,651
27,584
28,549
29,548
ill
640
Sewer Fund
513
LIABILITY
8
13,417
13,954
14,442
14,948
15,471
112
640
Sewer Fund
514
VEHICLE/EQUIPMENT INSURANCE
8
-
-
-
-
-
113
640
Sewer Fund
544
DISCHARGE PERMIT FEE
8
8,000
8,320
8,611
8,913
9,225
114
640
Sewer Fund
901
MISC CAPITAL PROJECTS
1
250,000
261,250
271,700
282,568
293,871
115
640
Sewer Fund
946
COMPUTER EQ/SOFTWARE
4
350,000
364,000
376,740
389,926
403,573
600
Sewer
5210.521000
INTERFUND
OPERATING TRANSFERS OUT
118
820
Sewer
820
Transfers to
Other f Transfers to Other Funds
N
5,000
5,000
5,000
5,000
5,000
119
Total Operation and Maintenance Expense
2,641,539
2,372,485
2,460,661
2,552,135
2,647,033
120
Less: Budgeted capital Projects
965,000
625,250
648,440
672,494
697,444
121
Net O&M Expense
1,676,539
1,747,235
1,812,221
1,879,642
1,949,588
Draft -For Discussion Purposes Only
Table B-5
City of Laurel Table B-3
Wastewater Utility
Sewer Capital Improvement Plan Excluding Inflation
For the Fiscal Year Ending June 30
Line Budget Projected 2025-2029
No. Title 2025 2026 2027 2028 2029 Total
1 Primary Clarifier Recoating 200,000 200,000
2 Sewer Line Replacement b/n Main St/1st and 5th/7th - Partial Grant Funding -
3 Wastewater Plant Boilers 600,000 600,000
4 Manhole Lining Project $3,500/MH * 563 MH 394,100 394,100 394,100 394,100 394,100 1,970,500
5 Undesignated Collection System Repair and Replacement -
6 Total Capital Improvement Program Excluding Inflation 994,100 594,100 394,100 394,100 394,100 2,770,500
Source: CIP for Eaton Review with Faith's edits.xlsx
City of Laurel
Table B-4
Water Utility
Sewer Capital Improvement Plan Including Inflation
Annual Inflation
0.0%
0.0%
4.5%
4.5%
4.5%
Cumulative Inflation
0.0%
0.0%
4.5%
9.2%
24.1%
For the Fiscal Year Ending June
30
Line
Budget
Projected
2025-2029
No. Title
2025
2026
2027
2028
2029
Total
1 Primary Clarifier Recoating
200,000
200,000
2 Sewer Line Replacement b/n Main St/1st and 5th/7th - Partial Grant Funding
-
-
3 Wastewater Plant Boilers
600,000
-
600,000
4 Manhole Lining Project $3,500/MH * 563 MH
394,100
394,100
411,835
430,367
449,734
2,080,135
5 Undesignated Collection System Repair and Replacement
-
-
-
-
-
-
6 Total Capital Improvement Program Including Inflation
994,100
594,100
411,835
430,367
449,734
2,880,135
Draft -For Discussion Purposes Only
Town of Laurel
Wastewater Utility
Total Cost of Service $ 2,435,116
Meter Size Residential Commercial
3/4"
30,588
O
$29.24
$894699
l"
84
854
52.34
49,094
1.25"
12
O
81.29
977
1.5"
24
286
116.95
36,296
3"
12
192
20877
42,534
3"
D
108
467.84
50,577
4"
U
IZ
835.39
10,035
6"
O
12
1,879.84
22,581
multi
O
1,141
29.24
33,367
Total
30,731
2,606
1,140,259
Volume Rate | $ 1,294,857
Usage 153,289
Draft -For Discussion Purposes Only
From: Civil Attorney
Sent: Tuesday, December 17, 2024 5:39 PM
To: Kurt Markegard
Cc: Kelly Strecker; Brittney Harakal; City Mayor
Subject: RE: Beartooth RC&D Vote failed
Thanks, Kurt. The only way to get this approved is that Klose has to make a Motion for Reconsideration next week, and
that Motion has to be passed by super -majority. Then, if passed, CC can vote on the Resolution again.
If that does not occur, we cannot put the same Resolution in front of CC. We'd have to modify the MOU. I don't know
what Klose's objections are to the MOU, so its kind of hard to know what to address. Has he expressed what his
concerns were in voting this down?
Best Regards,
Michele L. Braukmann
Civil City Attorney
City of Laurel
Cell Phone: 406.671.3963
CONFIDENTIALITY NOTICE: This transmission may contain information which is privileged, confidential, and protected by
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the contents herein, please note that any disclosure, copying, distribution, or use of the contents of this message is
prohibited. If you have received this transmission in error, please destroy it and notify me immediately.
From: Kurt Markegard <kmarkegard@laurel.mt.gov>
Sent: Tuesday, December 17, 2024 11:01 AM
To: Civil Attorney <civilattorney@laurel.mt.gov>
Subject: Beartooth RC&D Vote failed
Michele,
I am not sure anyone told you, but the Beartooth RC&D MOU failed in a 4-1 vote last week. Council Member Sparks sits
on their board, and I think she wants it to be reconsidered. I asked Brittney if she told you and she said she hadn't
mentioned it. It will be brought up tonight during the workshop I expect.
I think Councilmember Klose will have to make a motion to reconsider the vote seeing his "no" vote killed the action. Or
the MOU would have to change in some way to consider a different resolution and MOU.
Anyway, I am trying to keep you in the loop.
Kurt
1