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HomeMy WebLinkAboutCouncil Resolution 862RESOLUTION NO. S (o A RESOLUTION ADOPTING A REIMBURSEMENT METHODOLOGY FOR DEVELOPER INSTALLATION OF UP-SIZED WATERLINES Recitals 1. Developers of real property in Central Point are often asked to install waterlines which are of larger capacity than those actually needed by the developer for the developer's project. Typically, the City will ask a developer to install a 12-inch or 16-inch waterline instead of an 8-inch waterline so that future development can be served by the up-sized line. The City then reimburses the developer for the cost of the up-sizing. 2. The City wishes to formally adopt a methodology to be used in calculating the amount of reimbursement to be paid to developers for the up-sizing of waterlines. NOW, THEREFORE; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CENTRAL POINT, OREGON, AS FOLLOWS: Section 1. The City hereby adopts as its methodology for calculating reimbursements to developers for waterline up-sizings the "City of Central Point Waterline Up-Sizing Reimbursement Methodology", which is attached hereto, marked Exhibit "A", and by this reference incorporated herein. Section 2. City staff shall update the cost elements of the adopted methodology at least semi-annually, with the first such update to be made no later than July 2, 2000.. Passed by the Council and signed by me in authentication of its passage this ~b~ day of ~ee~~,.a~ 1999. (..~~~'~ yor Bill Walton '`•- ATTE City Representative Approved by me this /!~~ day of ~~Cem,~e,~-- 1999. Ma or Bill Walton .RESOLUTION NO. g ~ a (1.20299) City of Central Point Water Line Upsizing Reimbursement Methodology The City has adopted a policy for reimbursing developers for installation of waterlines above the minimum 8-inch-diameter size. This water line reimbursement is only for projects where the required up-sizing was not the result of the flow demands of the development, but is the direct result of providing additional capacity for the supplemental demands that may be placed on the water distribution system caused by additional surrounding future development or existing capacity shortcomings. The reimbursement methodology for water line up-sizing includes payment of the estimated material cost differences for the 8-inch-diameter pipe and appurtenance size versus the larger sized pipe and appurtenances. In addition, the Developer is reimbursed an established allowance per lineal foot for the additional excavation and backfill work that is required to install the larger-diameter lines. The amount of reimbursement determined to be due to a developer, can be distributed by direct "cash" reimbursement to the developer, or by credits issued against collection of Gity water distribution system development charges (SDC) far the proposed development. Direct reimbursement can only be accomplished if adequate funds are available in the City's water distribution SDC fund and the funds have been identified and approved for reimbursement. to a particular development in the fiscal year in which reimbursement is requested, unless otherwise modified by action of the City Council. Material Costs Reimbursement Methodology The current methodology involves having City staff perform a pipe material take-off and determining the quantities of pipe materials needed. City staff maintains a list of price quotes for the materials for varying sizes of pipes obtained from a minimum of two local material vendors. This price list is updated, at a minimum, on asemi-annual basis. The staff will then average the quoted prices and develop a materials cost sheet for the 8-inch-diameter pipe and appurtenances and the larger diameter. pipe and appurtenances. The difference in the total materials costs obtained for the 8-inch-diameter and the larger diameter water line and appurtenances is the amount that is eligible for reimbursement to the Developer. Methodology for a Per Lineal Foot Allowance for Additional Excavation and Backfill Work Performed for Larger Pipe Installation Wider and deeper trenches are required for the. installation of the larger diameter water lines. The required trench width is a minimum of the width of the outside diameter of the pipe plus 18- inches. The minimum trench depth is the outside diameter of the pipe plus 40 inches (36 inches of cover and 4-inches of bedding). Table 1 provides a spreadsheet which estimates the amount of additional excavation and backfill materials required. The pipe outside diameter widths were those as presented in Table 51.4 of the Handbook o(Ductile Iron Pipe, Sixth Edition, published by the Ductile Iron Pipe Research Association. The costs utilized in the spreadsheet. calculations of Table 1 assume: A cost of $8 per cubic yard for excavation, which includes excavation, hauling, and disposal/reuse of the excavated materials. U Costs of $22.00 and $44.00 per cubic yard for base rock and cement slurry backfill materials, respectively. O The cost of asphalt concrete pavement patching utilized. in the cost allowance determination was $80 per cubic yard. An allowance for shoring was provided for the 18-inch-diameter water lines as the installation of this larger line size often necessitates the utilization of trench shoring during the construction process. The shoring system utilized assumed costs for "speed shoring" including the rental of shoring jacks ("cylinders") and plates ("rails"), and the use of a 0.5 laborer daily (at a rate of $35/hour) for the moving, monitoring, and maintenance of the shoring system. Where a water line is installed in areas outside an existing street section, abase-rock backfilP is typically utilized. Thus, for this type of installation, the water line up-size reimbursement/credit allowance would include the cost differences for the pipe materials, and allowances for additional excavation,. backfill, and speed shoring (as applicable). Where the water line is installed within an existing street section, acement-sand slurry is utilized in the upper 2.75 feet of backfill, with a minimum 3-inch asphalt concrete patch placed overlying. the cement-sand slurry. Thus for installation of a waterline in an existing street section, the costs allowances for slurry and. asphalt concrete paving would be added to the other up-size cost allowances. The total. costs allowances for the various additional items of work are illustrated in Table 1. The determined per lineal foot allowances for the additional excavation. and backfill work performed for the installation of the larger diameter water lines above the standard 8-inch-diameter size (excluding the pipe materials up-size cost allowances), are summarized in Table 2. Cost Updates Pipe material costs will be updated at a minimum on asemi-annual basis; the cost allowances calculated on a per-foot basis will be reviewed and possibly revised on an annual basis to reflect cost increases/decreases that occur within the industry. M 0 ~, m a U3 C ~O a C d U w Q U ~ o Mrnm~ncc U O t7 M O V CG N C~ m U O O .-- ~ ~ O ~ - U a ° o = . 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