HomeMy WebLinkAboutCity Council Packet 12.23.2024
AGENDA
CITY OF LAUREL
CITY COUNCIL MEETING
MONDAY, DECEMBER 23, 2024
6:30 PM
COUNCIL CHAMBERS
WELCOME . . . By your presence in the City Council Chambers, you are participating in the process of representative
government. To encourage that participation, the City Council has specified times for citizen comments on its agenda -- once
following the Consent Agenda, at which time citizens may address the Council concerning any brief community announcement
not to exceed one minute in duration for any speaker; and again following Items Removed from the Consent Agenda, at which
time citizens may address the Council on any matter of City business that is not on tonight’s agenda. Each speaker will be
limited to three minutes, unless the time limit is extended by the Mayor with the consent of the Council. Citizens may also
comment on any item removed from the consent agenda prior to council action, with each speaker limited to three minutes,
unless the time limit is extended by the Mayor with the consent of the Council. If a citizen would like to comment on an age nda
item, we ask that you wait until the agenda item is presented to the Council by the Mayor and the public is asked to comment
by the Mayor.
Any person who has any question concerning any agenda item may call the City Clerk -Treasurer's office to make an inquiry
concerning the nature of the item described on the agenda. Your City government welcomes your interest and hopes you will
attend the Laurel City Council meetings often.
Pledge of Allegiance
Roll Call of the Council
Approval of Minutes
1. Approval of Minutes of December 10, 2024.
2. Approval of Minutes of December 17, 2024.
Correspondence
Council Disclosure of Ex Parte Communications
Public Hearing
Consent Items
NOTICE TO THE PUBLIC
The Consent Calendar adopting the printed Recommended Council Action will be enacted with one vote. The Mayor will
first ask the Council members if any Council member wishes to remove any item from the Consent Calendar for
discussion and consideration. The matters removed from the Consent Calendar will be considered individually at the end of
this Agenda under "Items Removed from the Consent Calendar." (See Section 12.) The entire Consent Calendar, with the
exception of items removed to be discussed under "Items Removed from the Consent Calendar," is then voted upon by roll
call under one motion.
3. Claims entered through December 20, 2024.
4. Clerk/Treasurer Financial Statements for November 2024.
5. Approval of Payroll Register for PPE 11/24/2024 totaling $237,386.34.
6. Approval of Payroll Register for PPE 12/8/2024 totaling $299,645.93.
7. Council Workshop Minutes of December 17, 2024.
Ceremonial Calendar
Reports of Boards and Commissions
8. Budget/Finance Committee Minutes December 10, 2024.
9. Public Works Committee Minutes of November 18, 2024
10. Public Works Committee Minutes of December 16, 2024.
11. Park Board Minutes of December 5, 2024.
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Audience Participation (Three-Minute Limit)
Citizens may address the Council regarding any item of City business that is not on tonight’s agenda. Comments regarding
tonight’s agenda items will be accepted under Scheduled Matters. The duration for an individual speaking under Audience
Participation is limited to three minutes. While all comments are welcome, the Council will not take action on any item not
on the agenda.
Scheduled Matters
12. Appointment of Daniel Klein to the Laurel Urban Renewal Agency for a four-year term ending
December 31, 2028.
13. Appointment of Cami Story to the Laurel Urban Renewal Agency for a four-year term ending
December 31, 2028.
14. Appointment of Dianne Lehm to the Laurel Urban Renewal Agency - Advisory for a four-year
term ending December 31, 2028.
15. Appointment of Richard Klose to Park Board for a four-year term ending December 31, 2028.
16. Appointment of Tom Canape to the Park Board for a four-year term ending December 31,
2028.
17. Appointment of Phyllis Bromgard to the Park Board for a four-year term ending December 31,
2028.
18. Appointment of Casey Wheeler to the Board of Health for a three-year term ending December
31, 2027.
19. Appointment of Irv Wilke to the Police Commission for the remainder of a three-year term
ending April 30, 2025.
20. Appointment of Dan Gatley to the Police Commission for the remainder of a three-year term
ending April 30, 2026.
21. Resolution No. R24-99: 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.
22. Resolution No. R24-100: 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.
Items Removed From the Consent Agenda
Community Announcements (One-Minute Limit)
This portion of the meeting is to provide an opportunity for citizens to address the Council regarding community
announcements. The duration for an individual speaking under Community Announcements is limited to one minute. While
all comments are welcome, the Council will not take action on any item not on the agenda.
Council Discussion
Council members may give the City Council a brief report regarding committees or groups in which they are involved.
Mayor Updates
Unscheduled Matters
Adjournment
The City makes reasonable accommodations for any known disability that may interfere with a pe rson’s ability to participate
in this meeting. Persons needing accommodation must notify the City Clerk’s Office to make needed arrangements. To make
your request known, please call 406-628-7431, Ext. 2, or write to City Clerk, PO Box 10, Laurel, MT 590 44, or present your
request at City Hall, 115 West First Street, Laurel, Montana.
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File Attachments for Item:
1. Approval of Minutes of December 10, 2024.
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2. Approval of Minutes of December 17, 2024.
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7. Council Workshop Minutes of December 17, 2024.
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File Attachments for Item:
8. Budget/Finance Committee Minutes December 10, 2024.
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9. Public Works Committee Minutes of November 18, 2024
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10. Public Works Committee Minutes of December 16, 2024.
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11. Park Board Minutes of December 5, 2024.
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File Attachments for Item:
12. Appointment of Daniel Klein to the Laurel Urban Renewal Agency for a four-year term
ending December 31, 2028.
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File Attachments for Item:
13. Appointment of Cami Story to the Laurel Urban Renewal Agency for a four-year term
ending December 31, 2028.
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File Attachments for Item:
14. Appointment of Dianne Lehm to the Laurel Urban Renewal Agency - Advisory for a four-
year term ending December 31, 2028.
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File Attachments for Item:
15. Appointment of Richard Klose to Park Board for a four-year term ending December 31,
2028.
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File Attachments for Item:
16. Appointment of Tom Canape to the Park Board for a four-year term ending December 31,
2028.
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File Attachments for Item:
17. Appointment of Phyllis Bromgard to the Park Board for a four-year term ending December
31, 2028.
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File Attachments for Item:
18. Appointment of Casey Wheeler to the Board of Health for a three-year term ending
December 31, 2027.
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File Attachments for Item:
19. Appointment of Irv Wilke to the Police Commission for the remainder of a three-year term
ending April 30, 2025.
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File Attachments for Item:
20. Appointment of Dan Gatley to the Police Commission for the remainder of a three-year term
ending April 30, 2026.
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File Attachments for Item:
21. Resolution No. R24-99: 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.
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R24-99 Approve LURA’s Request to Negotiate Terms of Possible Contract with Triple Tree Engineering
RESOLUTION NO. R24-99
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.
WHEREAS, the Laurel Urban Renewal Agency (hereinafter “LURA”) previously
requested that the City of Laurel and LURA seek a Request for Proposal for Engineering
Services to be responsible for design, bidding, construction administration, and grant
applications for the Tax Increment Finance (hereinafter “TIF”) District in accordance with
Montana State law to ensure compliance, as well as to manage projects related to the
expenditures of TIF funds in the District;
WHEREAS, City Council approved the Request for Proposal by way of Resolution
No. R24-27 on April 23, 2024 and approved the advertising of the Request for Proposal by
way of Resolution No. R24-90 on October 22, 2024;
WHEREAS, Triple Tree Engineering has been selected, in response to its Proposal for
Engineering Services, as the preferred firm to act as a TIF District Engineer; and
WHEREAS, LURA seeks approval from City Council to negotiate a proposed contract
with Triple Tree Engineering, to be later presented to City Council for consideration and
possible approval.
NOW THEREFORE BE IT FURTHER RESOLVED that LURA is authorized to
negotiate a proposed contract with Triple Tree Engineering, to be later presented to City
Council for consideration and possible approval.
Introduced at a regular meeting of the City Council on the 23rd day of December, 2024,
by Council Member ________________.
PASSED and APPROVED by the City Council of the City of Laurel the 23rd day of
December, 2024.
APPROVED by the Mayor the 23rd day of December, 2024.
CITY OF LAUREL
___________________________
Dave Waggoner, Mayor
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R24-99 Approve LURA’s Request to Negotiate Terms of Possible Contract with Triple Tree Engineering
ATTEST:
_______________________________
Kelly Strecker, Clerk-Treasurer
APPROVED AS TO FORM:
______________________________
Michele L. Braukmann, Civil City Attorney
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File Attachments for Item:
22. Resolution No. R24-100: 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.
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R24-100 Adopt Water and Sanitary Sewer Services Rate Schedule
RESOLUTION NO. R24-100
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.
WHEREAS, the current water and sanitary sewer rates and charges in effect at the
present time are not adequate to provide revenues with which to defray the increased costs of
operation, maintenance, and capital of the City’s water and sanitary sewer distribution facilities
and systems;
WHEREAS, the provision of the water and sanitary sewer systems and facilities is
essential to the preservation of the public’s health and welfare;
WHEREAS, the new rates must, before taking effect, be approved by the City Council
after advertising and conducting a public rate hearing pursuant to the City’s Charter at Article
I, Section 1.03(2) and MCA Section 69-7-111;
WHEREAS, current budgetary requirements with respect to the operation of said
facilities in addition to on-going and future projects require the proposed rates to become
effective on or about January 10, 2025, to enable the City to proceed as expeditiously as
possible to accomplish the objectives herein above recited;
WHEREAS, pursuant to its Charter and Montana law, the City Council determined that
a public rate hearing must be advertised and held to gather documents, testimony, and other
evidence regarding the proposed increases in water and sanitary sewer rates and charges;
WHEREAS, a notice of public hearing was mailed to all users of the City’s water and
sewer systems notifying them that, pursuant to Resolution No. R24-94, adopted on November
26, 2024, it was the intent of the City to increase the rates and charges for water and sanitary
sewer services and Notice of the Public Hearing was published as required by Mont. Code Ann.
§ 69-7-111;
WHEREAS, a public hearing was held on the 17th day of December, 2024, at 6:30 p.m.
in the City Council Chambers, at City Hall, Laurel, Montana, for the purpose of gathering
public comments and evidence regarding the proposed rate and charge increase;
WHEREAS, every individual who attended the public hearing was given the
opportunity to speak, present argument and/or to submit written comment into the hearing
record; and
WHEREAS, based upon the record created, the City Council is prepared to issue its
decision pursuant to Mont. Code Ann. § 69-7-112.
102
R24-100 Adopt Water and Sanitary Sewer Services Rate Schedule
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF LAUREL, MONTANA:
1. That the City Council considers it both advisable and necessary to increase the
municipal water and sanitary sewer services rates and charges for all users in
accordance with the rates and charges as specifically contained on the rate and
charge schedule marked “Exhibit A” that is attached hereto and hereby incorporated
into this Resolution by reference.
2. That the proposed increase in the rates and charges for the users of the Municipal
Water and Sanitary Sewer System is hereby approved and attached hereto and fully
incorporated herein as “Exhibit A,” and
3. That this Resolution shall be immediately filed with the City Clerk/Treasurer and
shall become final and effective not less than ten (10) days after such filing.
Introduced at a regular meeting of the City Council on the 23rd day of December 2024
by Council Member _____________________.
PASSED and APPROVED by the City Council of the City of Laurel, Montana on the
23rd day of December 2024.
APPROVED by the Mayor on the 23rd day of December 2024.
CITY OF LAUREL
___________________________
Dave Waggoner, Mayor
ATTEST:
_______________________________
Kelly Strecker, Clerk-Treasurer
APPROVED AS TO FORM:
______________________________
Michele L. Braukmann, Civil City Attorney
103
The City Council carefully considered these changes. A public hearing
to share more information about these rates is scheduled for
December 17, 2024, with a vote on the proposed rates within 30 days.
The results of the rate study recommended a change to how we charge for water. The
water rates structure will change to prioritize affordable and equitable rates, and
encourage water efficiency. We’re moving to a tiered water rate structure. Under this
model, the cost per gallon increases as usage rises, which encourages conservation and
ensures that high water users contribute more to support the system’s additional capacity
needs. Many customers may find themselves in the higher tiers during the summer
months and in the lower tier during the winter months.
These rate changes are a necessary step towards achieving a balanced and efficient
rates structure and will ensure we can continue providing safe and reliable water and
sewer services for generations to come.
We appreciate your support as we continue to work to be a stronger and more resilient
water utility and community. The following page includes details of the new rates
structure. Note that our billing system is not changing, only our rates are. If you have any
questions about these new rates or would like assistance with understanding your bill,
please contact our customer service team at (406) 628-4796.
Sincerely,
Dave Waggoner
Dear Customer,
We are reaching out to inform you about important updates to the
City of Laurel's water and wastewater rates, based on a recent
comprehensive rate study. Our rates need to be updated to
address several key issues, including:
OUR PRIORITIES
Fairness
Affordability
Revenue Stability
Minimized
Customer Impacts
Increasing operational costs; the City has not increased
rates since 2015, and since then, our costs have increased
Urgent maintenance and upgrades for our
aging infrastructure
Ensuring every customer covers the cost of their water
and sewer service Long-Term
Planning
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Indoor Use
4,000 Gallons of Water
3,000 Gallons of Wastewater
Average Use
6,000 Gallons of Water
3,000 Gallons of Wastewater
Summer Use
15,000 Gallons of Water
3,000 Gallons of Wastewater
Water: Monthly Increase of $0.10
Sewer: Monthly Increase of $9.54
Total Change: $9.64
Water: Monthly Decrease of $0.74
Sewer: Monthly Increase of $9.54
Total Change: $8.80
Water: Monthly Increase of $0.94
Sewer: Monthly Increase of $9.54
Total Change: $10.20
EXAMPLES OF THREE RESIDENTIAL CUSTOMERS WITH 3/4" METERS WITH DIFFERENT
WATER AND WASTEWATER USAGE AND ANTICIPATED IMPACTS ON THEIR BILLS
Water
Monthly Minimum Charge/Base
Charge, $ per Bill
Meter Size Existing Proposed
Inches
3/4"
1"
1.25"
1.5"
2"
3"
4"
6"
10"
$32.61
$56.11
$85.57
$121.86
$215.28
$478.86
$852.82
$1,915.49
$5,291.82
$32.61
$56.11
$85.57
$121.86
$215.28
$478.86
$852.82
$1,915.49
$5291.82
Volume Rate
$ per 1,000 gallons
Threshold Existing Proposed
Residential
0 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 20,000
Over 20,000
$0.00
$2.86
$2.86
$2.86
$2.86
$2.17
$2.17
$2.71
$3.26
$4.34
Includes capital charge of $8 per EDU
Commercial
0 - 1,000
Over 1,000
$0.00
$2.86
$3.27
$3.27
Industrial
0 - 1,000
Over 1,000
$0.00
$2.86
$4.02
$4.02
Water Rates Structure
For more information, call (406) 628-4796
Sewer Rates Structure
Meter Size Existing Proposed
Inches
3/4"
1"
1.25"
1.5"
2"
3"
4"
6"
Multi
$29.24
$52.34
$81.29
$116.96
$208.77
$467.84
$835.39
$1,879.84
$29.27
$29.24
$52.34
$81.29
$116.96
$208.77
$467.84
$835.39
$1,879.84
$29.27
Rate, $ per
Kgal
Rate, $ per
Kgal
All Usage
$5.27 $8.45
Includes capital charge of $10.00 per EDU 105
383 N Corona St, Denver, CO 801218
www.raftelis.com
Water and Wastewater Rate Study
DATE: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.
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Financial Planning Approach
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
coverage (DSC) ratio1 below the target level. As a
result, a revenue increase may be needed to meet
or maintain compliance with the target. The
additional revenue generated from the increase
now may meet debt service coverage and produce
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%
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.
Capital Funding
Options
Loans & Cash
Meet Reserve
Targets
Meet Debt
Service
Coverage
Ratios
Optimize
Revenue
Increase
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o Water 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
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
Table 1: Additional Assumptions
Description Units
FY25 Beginning Balance
Water
Wastewater
$4,566,901
$2,530,370
Water Utility Grants
2026
2027
$207,500
$1,867,5000
Water SRF Loans
2027
2028
$18,556,701
$3,608,247
Water Utility
Financial Plan
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:
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-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 requirement3 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
requirements.
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.
Figure 1: Water Revenue and Expenditures
3 Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service
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Figure 2: Proposed Annual Water Rate Increases
Figure 3: Debt Service Coverage
Cost of Service Analysis
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.Cost functionalization. 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 of Functionalized 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
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size and bills. Each facility is designed to meet specific design requirements in the system. For
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.
Figure 4: The Standard Cost Allocation Process
111
CITY OF LAUREL
WATER AND WASTEWATER RATE STUDY
7
Figure 5: Allocation of Water Utility Costs Under Current Rates Compared to the Allocated 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
112
CITY OF LAUREL
WATER AND WASTEWATER RATE STUDY
8
Figure 6: Existing and proposed water utility base charges
Wastewater Utility
Financial Plan
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 requirement4 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.
4 Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service
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
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
Threshold % Vol Price Ratio
Rate, $ per
Kgal Threshold % Vol Price Ratio
Rate, $ per
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
113
CITY OF LAUREL
WATER AND WASTEWATER RATE STUDY
9
Figure 7: Wastewater Cash Flow Summary
Figure 8: Proposed Annual Water Rate Increases
Figure 9: Debt Service Coverage
Cost of Service
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
114
CITY OF LAUREL
WATER AND WASTEWATER RATE STUDY
10
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: : Allocation of Wastewater Utility Costs Under Current Rates Compared to the Allocated 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 of Existing and Proposed FY25 Rates
115
Table A-1
City of Laurel Table A-1
Water Utility
Operating Subfund Cash Flow Analysis
For the Fiscal Year Ending June 30
Line Budget Projected
No.Description 2025 2026 2027 2028 2029
$ $ $ $ $
Sources of Funds
Water Sales Revenue
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 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
Other Operating Revenue
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 O&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
116
Table A-2
City of Laurel Table A-2
Water Utility
Capital Subfund Cash Flow Analysis
For the Fiscal Year Ending June 30
Line Budget Projected
No Description 2025 2026 2027 2028 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
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
11 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
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
117
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
$$$$$
5210-430500 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 CONSUMABLE TOOLS 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 QUALITY TESTING 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 -----
5210-430550 WATER - 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
118
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
71 540 Water System 239.00 TIRES/TUBES/CHAINS 3,000 3,120 3,245 3,358 3,476
72 540 Water System 241.00 CONSUMABLE TOOLS -----
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 1,000 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/EQUIPMENT INSURAN 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 - BOOSTER STATION
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 Serv 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 Serv 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
119
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
$$$$$
5210-521000 INTERFUND OPERATING TRANSFERS OUT
124 540 Water 820 Transfers to Other Funds 5,000 5,000 5,000 5,000 5,000
125 Total Operating Budget Total Operation and Maintenance Expense 2,997,500 3,127,420 3,262,541 3,387,503 3,517,285
Total Operation and Maintenance Expenses 2,997,500 3,127,420 3,262,541 3,387,503 3,517,285
900.00 Capital Expenditures 0 0 0 0 0
Total Operating Budget 2,997,500 3,127,420 3,262,541 3,387,503 3,517,285
Draft-For Discussion Purposes Only
120
City of Laurel Table A-4
Water Utility
Water Capital Improvement Plan Excluding Inflation
$$$$$$
1 Bulk Water Sales Station - On Hold 400,000 400,000
2 West 7th St Wtr Replacement - Combined w/1st Ave 650,000 650,000
3 Riverside Park Water + Irrigation System 0 360,000 360,000
4 Water Treatment Plant Stormwater Improvements 125,000 125,000
5 New Wtr Tank, Booster Station & Piping Redun 210,000 18,675,000 18,885,000
6 1st Ave. Water Valve Installation w/ W 7th 170,000 170,000 340,000
7 City Wide Valve & Hydrant Replacement Project 145,000 145,000 145,000 145,000 580,000
8 Replacement of Water Lines ($900 ft @ 450 lf)81,000 81,000 81,000 81,000 81,000 405,000
9 Water Tank Painting 200,000 800,000 1,000,000
10 Filters 5,000,000 5,000,000
11 949-Mini Excavator 150,000 150,000
12 920-Buildings-Reserve 20,000 20,000
13 Miscellaneous Undesignated Projects 500,000 500,000
14 Total Capital Improvement Ex. Inflation 4,601,000 796,000 19,501,000 6,196,000 581,000 31,675,000
Draft-For Discussion Purposes Only
For the Fiscal Year Ending June 30
Line Budget Projected 2025-2029
No.Title 2025 2026 2027 2028 2029 Total
121
City of Laurel Table A-5
Water Utility
Water Capital Improvement Plan (Inflated)
Annual Inflation 0.0%4.5%4.5%4.5%4.5%
Cumulative Inflation 0.0%4.5%9.2%14.1%19.3%
$$$$$
1 Bulk Water Sales Station - On Hold --436,810 --436,810
2 West 7th St Wtr Replacement - Combined w/1st 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 w/ 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 lf)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
For the Fiscal Year Ending June 30
Line Budget Projected 2025-2029
No.Title 2025 2026 2027 2028 2029 Total
122
City of Laurel Table A-6
Water Utility
Test Year 2025 Revenue Requirement
Line
No.Description
Operating
Expense Capital Expense Total
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 5/8" 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
123
City of Laurel Table A-7
Water Utility
Allocation of Water System Assets and Annual Capital Costs
Volume Customer Related
Line
No. Description O&M Costs Base
Maximum Day
Demand
Maximum Hour
Demand
Meters &
Services Billing Indirect
General &
Admin Total
Water System Assets
1 Source of Supply 100.0%100.0%
2 Treatment 55.6%44.4%100.0%
3 Transmission & Distribution 16.7%13.3%20.0%50.0%100.0%
4 Customer/Billing 100.0%100.0%
5 Meters & Services 100.0%100.0%
6 Public FIre 100.0%100.0%
7 Not Used 100.0%100.0%
8 Not Used 100.0%100.0%
9 General & Admin 100.0%100.0%
10 Pump Station 55.6%44.4%100.0%
11 Treated Storage 33.3%26.7%40.0%100.0%
12 Land 100.0%100.0%
100.0%100.0%
13 Total
Draft-For Discussion Purposes Only
124
City of Laurel Table A-8
Water Utility
Allocation of Water System Assets and Annual Capital Costs
Volume Customer Related
Line
No. Description
Replacement
Cost Base
Maximum Day
Demand
Maximum Hour
Demand
Meters &
Services Billing Indirect
General &
Admin Total
$$$$$$$$$
Water System Assets
1 Source of Supply 2,841,754 2,841,754 0 0 0 0 0 0 2,841,754
2 Treatment 39,991,420 22,217,456 17,773,965 0 0 0 0 0 39,991,420
3 Transmission & Distribution 33,042,881 5,507,147 4,405,717 6,608,576 16,521,440 0 0 0 33,042,881
4 Customer/Billing 0 0 0 0 0 0 0 0 0
5 Meters & Services 2,544,987 0 0 0 2,544,987 0 0 0 2,544,987
6 Public FIre 184,685 0 0 0 184,685 0 0 0 184,685
7 Not Used 0 0 0 0 0 0 0 0 0
8 Not Used 0 0 0 0 0 0 0 0 0
9 General & Admin 18,474 0 0 0 0 0 0 18,474 18,474
10 Pump Station 53,810 29,895 23,916 0 0 0 0 0 53,810
11 Treated Storage 969,401 323,134 258,507 387,761 0 0 0 0 969,401
12 Land 0 0 0 0 0 0 0 0 0
13 0 0 0 0 0 0 0 0 0 0
14 Total Water System Assets 79,647,413 30,919,385 22,462,105 6,996,337 19,251,113 0 0 18,474 79,647,413
TRUE
15 General & Admin, %38.8%28.2%8.8%24.2%
16 General & Admin Allocation, $18,474 7,173 5,211 1,623 4,466
17 Total Reallocated Assets 30,926,558 22,467,316 6,997,960 19,255,579
18 Percent of Total 38.8%28.2%8.8%24.2%
19 Annual Capital Costs (with Rev Req Adjustments)1,446,908 561,825 408,150 127,128 349,805
Draft-For Discussion Purposes Only
125
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
$
5210-430500 WATER - PURIFICATION AND TREATMENT $
1 500 392 ADMINISTRATIVE SERVICES 121,000 50%50%100%
5210-430540 WATER - PURIFICATION AND TREATMENT
2 500 110 SALARIES AND WAGES 570,000 100%100%
3 500 111 OVERTIME 15,800 100%100%
4 500 138 VISION INSURANCE 600 100%100%
5 500 139 DENTAL INSURANCE 4,500 100%100%
6 500 141 UNEMPLOYMENT INSURANCE 1,800 100%100%
7 500 142 WORKERS' COMPENSATION 18,000 100%100%
8 500 143 HEALTH INSUANCE 97,000 100%100%
9 500 144 LIFE INSURANCE 1,200 100%100%
10 500 145 FICA 42,000 100%100%
11 500 146 PERS 47,000 100%100%
12 500 149 ST/LT DISABILITY 4,500 100%100%
13 500 194 FLEX MEDICAL 6,500 100%100%
14 500 220 OPERATING SUPPLIES 25,000 100%100%
15 500 221 CHEMICALS 165,000 100%100%
16 500 222 LABORATORY & MEDICAL SUPP 8,000 100%100%
17 500 226 CLOTHING AND UNIFORMS 1,200 100%100%
18 500 231 GAS, OIL, DIESEL FUEL, GR 7,000 100%100%
19 500 232 MOTOR VEHICLE PARTS 2,000 100%100%
20 500 233 MACHINERY & EQUIPMENT PAR 16,000 100%100%
21 500 241 CONSUMABLE TOOLS 1,000 100%100%
22 500 263 SAFETY SUPPLIES 2,000 100%100%
23 500 312 NETWORKING FEES 5,000 100%100%
24 500 335 MEMBERSHIPS & DUES 1,500 100%100%
25 500 337 ADVERTISING 2,500 100%100%
26 500 339 CERTIFICATION RENEWAL 2,000 100%100%
27 500 341 ELECTRIC UTILITY SERVICES 200,000 100%100%
28 500 343 CELLULAR TELEPHONE 1,200 100%100%
29 500 344 GAS UTILITY SERVICE 35,000 100%100%
30 500 345 TELEPHONE 1,100 100%100%
31 500 349 QUALITY TESTING 10,000 100%100%
32 500 350 PROFESSIONAL SERVICES 15,000 100%100%
33 500 351 MEDICAL, DENTAL, VETERINARY 1,000 100%100%
34 500 355 DATA PROCESSING SERVICES -100%100%
35 500 360 REPAIR & MAINTENANCE SERVICES 3,000 100%100%
36 500 364 WATER / SEWER STRUCTURE & EQUIP 250,000 100%100%
37 500 366 BUILDING MAINTENANCE 50,000 100%100%
38 500 370 TRAVEL 4,000 100%100%
39 500 380 TRAINING SERVICES 3,000 100%100%
40 500 397 CONTRACTED SERVICES 16,000 100%100%
41 500 511 INSURANCE ON BLDGS/IMPRVM 9,500 100%100%
42 500 513 LIABILITY 22,155 100%100%
43 500 514 VEHICLE / EQUIPMENT INSURANCE -100%100%
44 500 519 POLLUTION INSURANCE -100%100%
45 500 533 MACHINERY & EQUIPMENT RENTAL 20,000 100%100%
46 500 544 DISCHARGE PERMIT FEE 3,000 100%100%
47 500 900 CAPITAL OUTLAY -0%
48 500 920 BUILDINGS -0%
49 500 930 IMPROVEMENTS OTHER THAN B -0%
50 500 940 MACHINERY & EQUIPMENT -0%
51 501 943 NEW VEHICLE -0%
52 500 946 COMPUTER EQ/SOFTWARE -0%
5210-430550 WATER - TRANSMISSION AND DISTRIBUTION
53 540 110 SALARIES AND WAGES 335,000 100%100%
54 540 111 OVERTIME 3,500 100%100%
55 540 138 VISION INSURANCE 325 100%100%
56 540 139 DENTAL INSURANCE 2,100 100%100%
57 540 141 UNEMPLOYMENT INSURANCE 1,000 100%100%
58 540 142 WORKERS' COMPENSATION 9,200 100%100%
59 540 143 HEALTH INSUANCE 42,500 100%100%
60 540 144 LIFE INSURANCE 500 100%100%
61 540 145 FICA 18,000 100%100%
62 540 146 PERS 21,000 100%100%
63 540 149 ST/LT DISABILITY 2,500 100%100%
64 540 194 FLEX MEDICAL 2,800 100%100%
65 540 220 OPERATING SUPPLIES 26,000 100%100%
66 540 221 CLOTHING AND UNIFORMS 1,800 100%100%
67 540 226 REPAIR & MAINTENANCE SUPP 15,000 100%100%
68 540 231 GAS, OIL, DIESEL FUEL, GR 16,000 100%100%
69 540 232 MOTOR VEHICLE PARTS 5,000 100%100%
70 540 233 MACHINERY & EQUIPMENT PAR 30,000 100%100%
71 540 239 TIRES/TUBES/CHAINS 3,000 100%100%
72 540 241 CONSUMABLE TOOLS -100%100%
73 540 263 SAFETY SUPPLIES 1,500 100%100%
74 540 311 POSTAGE 6,400 100%100%
75 540 312 NETWORKING FEES 1,000 100%100%
76 540 337 ADVERTISING 1,000 100%100%
77 540 339 CERTIFICATION RENEWAL 1,200 100%100%
78 540 341 ELECTRIC UTILITY SERVICES 15,600 100%100%
Draft-For Discussion Purposes Only
126
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 3,000 100%100%
80 540 350 PROFESSIONAL SERVICES 50,000 100%100%
81 540 351 MEDICAL, DENTAL, VETERINARY 1,000 100%100%
82 540 355 DATA PROCESSING SERVICES 2,500 100%100%
83 540 360 REPAIR & MAINTENANCE SERV 20,000 100%100%
84 540 362 OFFICE MACHINERY & EQUIP 25,000 100%100%
85 540 367 WATER/SEWER LINES REPAIR 200,000 100%100%
86 540 368 CURB BOX REPAIR/REPLACE 25,000 100%100%
87 540 370 TRAVEL 3,000 100%100%
88 540 380 TRAINING SERVICES 5,000 100%100%
89 540 397 CONTRACTED SERVICES 16,000 100%100%
90 540 452 GRAVEL AND SAND -100%100%
91 540 511 INSURANCE ON BLDGS/IMPRVM 8,365 100%100%
92 540 513 LIABILITY 8,989 100%100%
93 540 514 VEHICLE/EQUIPMENT INSURAN 3,566 100%100%
94 540 530 RENT 182,000 100%100%
95 540 532 LAND RANTAL/EASEMENTS 11,800 100%100%
96 540 533 MACHINERY & EQIPMENT RENT -100%100%
97 540 540 SPECIAL ASSESSMENTS -100%100%
98 540 543 SERVICE CONNECTION FEE 6,100 100%100%
99 540 811 LIABILITY DEDUCTIBLES -100%100%
100 540 901 MISC CAPITAL PROJECTS 100%100%
101 540 938 REPLACE WATER/SEWER LINE 100%100%
102 540 943 VEHICLE(S)100%100%
103 540 949 MINI EXCAVATOR 100%100%
5210-430551 MURRAY HEIGHTS SUBDIVISION - BOOSTER STATION
104 540 220 Operating Supplies 500 100%100%
105 540 231 Gas, Oil, Diesel Fuel, Gr -100%100%
106 540 241 Consumable Tools -100%100%
107 540 341 Electric Utility Services 15,000 100%100%
108 540 344 Gas Utility Services 800 100%100%
109 540 360 Repair & Maintenance Serv 5,000 100%100%
110 540 366 Building Maintenance 5,000 100%100%
5210-430552 WATER RESERVOIR
111 540 220 Operating Supplies 300 100%100%
112 540 231 Electric Utility Services 1,500 100%100%
113 540 241 Professional Services 7,500 100%100%
114 540 341 Water/Sewer Struct. & Equ -100%100%
115 540 344 Gravel and Sand -100%100%
116 540 360 Buildings -100%100%
5210-430553 ELENA BOOSTER STATION
117 540 220 Operating Supplies 100 100%100%
118 540 231 Gas, Oil, Diesel Fuel, Gr 500 100%100%
119 540 233 Machinery & Equipment Par 1,500 100%100%
120 540 341 Electric Utility Services 7,500 100%100%
121 540 350 Professional Services 500 100%100%
122 540 360 Repair & Maintenance Serv 1,000 100%100%
123 540 366 Building Maintenance 500 100%100%
5210-521000 INTERFUND OPERATING TRANSFERS OUT
124 540 820 Transfers to Other Funds 5,000 100%100%
125 Total 2,997,500 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
Lookup Column->1 2 3 4 5
Line Source of 0 Trans /Customer /Meters &
No Description Supply Treatment Dist Billing 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
127
City of Laurel Table A-10
Water Utility
Allocation of Functionalized O&M
Volume Customer Related
Line
No. Description Total Base
Maximum Day
Demand
Maximum Hour
Demand
Meters &
Services Billing Indirect
General &
Admin Total
Functions
1 Source of Supply 9,300 100.0%100.0%
2 Treatment 1,691,055 55.6%44.4%100.0%
3 Transmission & Distribution 1,168,645 16.7%13.3%20.0%50.0%100.0%
4 Customer/Billing 68,000 100.0%100.0%
5 Meters & Services 60,500 100.0%100.0%
6 Public FIre 0 100.0%100.0%
7 Common to Irrigation 0 100.0%100.0%
8 All Other Infrastructure 0 100.0%100.0%
9 General & Admin 0 50.0%50.0%100.0%
10 Pump Station 0 40.0%60.0%100.0%
11 Treated Storage 0 40.0%60.0%100.0%
12 100.0%100.0%
13 100.0%100.0%
14 Total 2,997,500
Draft-For Discussion Purposes Only
128
City of Laurel Table A-11
Water Utility
Allocation of Functionalized O&M Expenses to Cost Components
Volume Customer Related
Line
No. Description Total Base
Maximum Day
Demand
Maximum Hour
Demand
Meters &
Services Billing Indirect
General &
Admin Total
$$$$$$$$$
Functions
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 1,691,055
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 68,000
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%30.3%7.8%21.5%2.3%
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
18 Subtotal Reallocated O&M - %38.2%30.3%7.8%21.5%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 Adjustments)2,396,074 879,520 697,176 202,327 558,188 58,864
Draft-For Discussion Purposes Only
129
City of Laurel Table A-12
Water Utility
Units of Service
3/4" Equivalent
Water Use Maximum Day Demand Maximum Hour Demand Meter
No.Customer Class Annual Average Day Demand Factor Total Demand Extra Capacity Demand Factor Total Demand Extra Capacity Bills Capacity Ratio
1,000 gal 1,000 gal
1 Residential 162,482 445 3.81 1,694 1,249 6.34 2,823 1,129 31,114 31,234
2 Commercial 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 5,470 3,563 9,116 3,646 34,173 44,112
Draft-For Discussion Purposes Only
130
City of Laurel Table A-13
Water Utility
Unit Costs of Service
Volume Customer Related
Line
No.Description Total Annual
Maximum Day
Demand
Maximum Hour
Demand
Meters &
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 gpd gpd Capacity # 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
131
City of Laurel Table A-14
Water Utility
Distribution of Costs to Customer Classes
Volume Customer Related
Line
No. Description Total Average Day
Maximum Day
Demand
Maximum Hour
Demand
Meters &
Services Billing
1 Unit Costs of Service - $/unit
Common to All Customers (Lines 3 - 6 / Line 9)$2.23 $335.03 $90.35 $20.58 $1.72
Common to Retail Customers (Line 6 / Line 10)$1.81 $285.07 $90.35 $20.58 $1.72
Customer Class
Residential
2 Units 162,482 1,249 1,129 31,234 31,114
3 Cost of Service - $$1,448,292 $293,761 $355,995 $102,033 $642,907 $53,595
Commercial
4 Units 88,935 330 382 9,115 2,802
5 Cost of Service - $$481,741 $160,790 $93,971 $34,532 $187,622 $4,826
Irrigation
6 Units 10,391 189 145 438 185
7 Cost of Service - $$95,209 $18,786 $53,975 $13,119 $9,010 $319
Industrial
8 Units 434,162 1,795 1,990 3,326 72
9 Cost of Service - $$1,817,739 $968,007 $601,385 $179,770 $68,454 $124
10 Total Cost of Service 3,842,982 1,441,344 1,105,326 329,454 907,993 58,864
Draft-For Discussion Purposes Only
132
City of Laurel Table A-15
Water Utility
Comparison of Cost of Service With Revenues Under Existing Rates
Line
No Customer Class
2025
Cost of Service
Revenue at
Existing Rates Change - $Change - %
COS Rev
1 Residential $1,448,292 $1,405,545 $42,747 3.0%
2 Commercial 481,741 523,700 (41,959)-8.0%
3 Irrigation 95,209 42,824 52,385 122.3%
4 Industrial $1,817,739 1,340,846 476,893 35.6%
5 Total System $3,842,982 3,312,915 530,066 16.0%
Draft-For Discussion Purposes Only
133
City of Laurel Table A-16
Water Utility
Adjusted Cost of Service
Line
No Customer Class
2025
Cost of Service
Revenue at
Existing Rates Change - $Adjustment Adjusted COS Change - %
1 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
134
City of Laurel Table A-17
Water Utility
Development of Cost of Service Rates
Residential Cost of Service $1,448,292 Combined Commercial and Irrigation COS $616,821 Industrial $1,777,869
Meter Size Bills S.C.Revenue Meter Size Bills S.C.Revenue Meter Size Bills S.C.Revenue
Inches Inches Inches
3/4"31,030 $32.61 $1,011,886 3/4"1,324 $32.61 $43,186 3/4"12 $32.61 $392
1"60 $56.11 $3,372 1"931 $56.11 $52,234 1"12 $56.11 $674
1.25"0 $85.57 $0 1.25"12 $85.57 $1,028 1.25"0 $85.57 $0
1.5"24 $121.86 $2,929 1.5"322 $121.86 $39,278 1.5"0 $121.86 $0
2"0 $215.28 $0 2"274 $215.28 $59,046 2"0 $215.28 $0
3"0 $478.86 $0 3"87 $478.86 $41,702 3"24 $478.86 $11,504
4"0 $852.82 $0 4"12 $852.82 $10,244 4"0 $852.82 $0
6"0 $1,915.49 $0 6"24 $1,915.49 $46,018 6"12 $1,915.49 $23,009
10"0 $5,291.82 $0 10"0 $5,291.82 $0 10"12 $5,291.82 $63,565
Total Service Charge Revenue $1,018,187 Total Service Charge Revenue $292,737 Total Service Charge Revenue $35,579
Volume Rate Revenue Required $430,104 Volume Rate Revenue Required $324,085 Volume Rate Revenue Required $1,742,290
Threshold % Vol Ratio Volume Rate Revenue Threshold % Vol Ratio Volume Rate Revenue Threshold % Vol Ratio Volume Rate Revenue
5000 57.3%1.00 93,125 2.17 202,133 All Usage 100.0%1.00 99,325 $3.26 324,085 All Usage 100.0%1.00 434,162 4.01 1,742,290
10000 17.6%1.25 28,667 2.71 77,780 0.0%1.00 0 3.26 -0.0%1.00 0 4.01 -
20000 15.0%1.50 24,371 3.26 79,350 0.0%1.00 0 3.26 -0.0%1.00 0 4.01 -
99999 10.0%2.00 16,319 4.34 70,841 0.0%1.00 0 3.26 -0.0%1.00 0 4.01 -
Total 162,482 2.65 430,104 Total 100.0%1.00 99,325 3.26 324,085 Total 100.0%1.00 434,162 4.01 1,742,290
Rounded Rounded Rounded
93,125 2.17 202,081 99,325 3.27 324,794 434,162 4.02 1,745,329
28,667 2.71 77,689 0 3.27 -0 4.02 -
24,371 3.26 79,451 0 3.27 -0 4.02 -
16,319 4.34 70,823 0 3.27 -0 4.02 -
162,482 2.65 430,043 99,325 3.27 324,794 434,162 4.02 1,745,329
Over/Under Recovery (61)Over/Under Recovery 710 Over/Under Recovery 3,039
Draft-For Discussion Purposes Only
135
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
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
Threshold % Vol Price Ratio
Rate, $
per Kgal Threshold % Vol Price Ratio
Rate, $ per
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
Draft-For Discussion Purposes Only
136
Table B-2
City of Laurel Table B-1
Wastewater Utility
Operating Subfund Cash Flow Analysis
For the Fiscal Year Ending June 30
Line Budget Projected
No.Description 2025 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 II 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%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
137
City of Laurel Tabls B-2
Wastewater Utility
Historical & Projected Operation and Maintenance Expense
For the Fiscal Year Ending June 30
Line Inflation Budget Projected
No.Fund Fund Description Account Description Coding 2025 2026 2027 2028 2029
$$$$$
600 Sewer 5310-430600 0 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 111 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 & MAINTENATNCE SUPP.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 1,000 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/EQUIPMENT INSURAN 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 Lift Station
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 5310-430632 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 5310-430633 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
138
City of Laurel Tabls B-2
Wastewater Utility
Historical & Projected Operation and Maintenance Expense
For the Fiscal Year Ending June 30
Line Inflation Budget Projected
No.Fund Fund Description Account Description Coding 2025 2026 2027 2028 2029
$$$$$
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 STRUCT. & EQU 4 500 520 538 557 577
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 111 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 CONSUMABLE TOOLS 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 QUALITY TESTING 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
111 640 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 FundsTransfers 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
139
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
$$$$$$
1 Primary Clarifier Recoating 200,000 200,000
2 Sewer Line Replacement b/n Main St/1st and 5th/7th - Partial Grant Funding -
3 Wastewater Plant Boilers 600,000 600,000
4 Manhole Lining Project $3,500/MH * 563 MH 394,100 394,100 394,100 394,100 394,100 1,970,500
5 Undesignated Collection System Repair and Replacement -
6 Total Capital Improvement Program Excluding Inflation 994,100 594,100 394,100 394,100 394,100 2,770,500
Source: CIP for Eaton Review with Faith's edits.xlsx
City of Laurel Table B-4
Water Utility
Sewer Capital Improvement Plan Including Inflation
Annual Inflation 0.0%0.0%4.5%4.5%4.5%
Cumulative Inflation 0.0%0.0%4.5%9.2%14.1%
For the Fiscal Year Ending June 30
Line Budget Projected 2025 - 2029
No.Title 2025 2026 2027 2028 2029 Total
$$$$$
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 $3,500/MH * 563 MH 394,100 394,100 411,835 430,367 449,734 2,080,135
5 Undesignated Collection System Repair and Replacement ------
6 Total Capital Improvement Program Including Inflation 994,100 594,100 411,835 430,367 449,734 2,880,135
Draft-For Discussion Purposes Only
140
Town of Laurel Table B-5
Wastewater Utility
Development of Proposed Rates
Total Cost of Service 2,435,116$
Meter Size Residential Commercial
3/4"30,598 0 $29.24 $894,699
1"84 854 52.34 49,094
1.25"12 0 81.29 977
1.5"24 286 116.96 36,296
2"12 192 208.77 42,634
3"0 108 467.84 50,577
4"0 12 835.39 10,035
6"0 12 1,879.84 22,581
Multi 0 1,141 29.24 33,367
Total 30,731 2,606 1,140,259
Volume Rate Revenue1,294,857$
Usage 153,289
$ per 1,000 gal 8.45$
Draft-For Discussion Purposes Only
141