Municipal Water Finance Authority

ALBANY MUNICIPAL WATER FINANCE AUTHORITY MINUTES OF REGULAR MEETING March 28, 2019 A regular meeting of the Albany Municipal Water Finance Authority was officially convened at 8:00 AM, in the Conference Room at the Albany Water Board, 10 North Enterprise Drive, Albany. PRESENT: Jack McEneny, Chairman; Gary Overdorf, Secretary; Julia Cannizzaro, Treasurer; Calee Oas, Member; Warren Abriel, member STAFF PRESENT: Joseph Coffey, Jr., P.E., Commissioner (Attended second half of meeting only); William Simcoe, P.E., Deputy Commissioner; Thomas Dufresne, Chief Fiscal Officer; Emily Lyons, Confidential Assistant BOARD ADVISORS PRESENT: William Kahn, UHY Advisors; Rick Gell, P.E., OBG Engineers Approval of Meeting Minutes from the Meeting of December 21, 2018 A motion to waive the reading and approve the minutes of the December 21, 2018 meeting was made, seconded, and passed unanimously. Committee & Staff Reports Report of Rate Consultant: William Kahn, UHY Advisors The 2019 increase was implemented as of January. We will continue to look at the system and anticipate another similar increase this year and future years. Financial Report: Thomas Dufresne, Chief Fiscal Officer So far this year revenues have been higher and we are in line with operating expenses compared to last year. The debt service is slightly higher due to exceeding our overtime budget because of multiple main breaks. We are meeting with the City’s treasurer’s office soon to establish a better mechanism for us to pay large capital expenses. Unpaid large user’s cash will come in soon and we are overall collecting cash better due to the availability of online payments. Consultant Engineer’s Report: Rick Gell, P.E., OBG Engineers presented on the Comprehensive Capital Improvement Plan Update. The PowerPoint slides are attached to the minutes. Commissioner’s Report: Deputy Commissioner Simcoe Sheridan/Hackett Project: We have received some DEC grant money; however we did not get any of the Revitalization grant money for this project. Our options are to hold on the project for the moment, look for more grant opportunities, and do more in regard to financing for next year. Ramsey Place: We have created a final design that focuses on planting more trees and installing more grass, as opposed to the original design of a bioswale. We have completed a lot of messaging and outreach, however some residents are still opposed to the narrowing of the street. The project will also replace lead services on the street.  2/19/2019 AGENDA Purpose of plan Overview of each project element Estimated project costs Priorities and phasing Discussion on 2019 financing plan General questions Water Supply System-Comprehensive Capital Improvement Plan Update, January 25, 2019 Replaces temporary system Update plan developed in 2017 Improvement 2.1 Es tablish priorities and sequencing – Sodium Provides reliable compliance with regulatory requirement for natural organics removal for i mplementation Permanganate Purpose System at Alcove Also provides treatment of taste and odor, Adva nce the implementation of Reservoir. iron, and manganese i ndividual projects Estimated project cost $730,000 Es tablish financing plan for 2019 Manages humidity within the building walls to Facilitates replacement of two non operable prevent further deterioration of the building isolation valves used for plant shutdowns structure and interior finishes Improvement 2.3 Project 2.2- – Aeration Basin Includes lead abatement Decommission Facilitates re-establishment of a bypass Ventilation and hydroelectric around the Aeration Basin Damp proofing generator Protects recent investment in building exterior upgrades. Estimated Project Cost $800,000. Estimated project cost $1,000,000 1  2/19/2019 Includes replacement of roof structure and installation of automated sludge collection Includes 2 new blowers and wash water pumps Addresses significant employee safety issues Project 2.4- with roof deterioration and fall protection Improvement 2.5 Improves reliability and energy Sedimentation – Energy saving efficiency of critical production Basin Building Upgrades. equipment Upgrades Design authorized in 2018 and underway Estimated project cost $425,000 Estimated Project Cost $4,520,000. Complete rehabilitation of mixing, flocculation Includes engineering and basin and filters construction costs for Improvement 2.7 repairs to Lagoon No.2 – Upgrades to completed in 2018 Project 2.6- Filter Addresses deterioration of aging infrastructure to reliably deliver high quality water Lagoons and Upgrades Residual Handling Facilities. Estimated project cost Estimated Project Cost $10,254,000. $1,520,000 Includes replacement of 30 year old dry lime system Incudes major upgrade of aging with a liquid lime system primary electrical gear in the plant Addresses significant employee safety issues Project 2.8 - Lime with dust and fall protection Improvement 2.9 Addresses arc flash safety concerns Storage and Feed – Feura Bush System Electrical Improves ability to reliably and efficiently Recent breaker trips indicate this Replacement deliver desired water quality Upgrades project may need to be accelerated Estimated Project Cost $3,235,000. Estimated project cost $695,000 2  2/19/2019 Includes new maintenance building Includes inspection and allowance for and renovation of existing garage renovation of critical production asset Project 2.10 – Project 2.11 - Maintenance Scheduled to be constructed prior Wash Water Tank No record of a previous inspection Building at Feura to electrical upgrades Rehabilitation Bush Estimated Project Cost $300,000. Estimated Project Cost $59,000. Includes inspection, cleaning of Includes allowance for unforeseen clear well and allowance for repairs projects identified during other upgrades Improvement Project 2.13- Includes allowance for hazardous 2.12 – Clear well Known lime accumulation that Misc. Feura Bush needs to be removed material abatement Rehabilitation. Facility Upgrades Estimated project cost $141,000 Estimated Project Cost $867,000. Incudes system pressure monitors Existing coating system is over 25 years and integration into existing telemetry old Project 2.15 – Improvement Upper Service 2.14 – Pressure Aids in maintaining system Improvements to be completed after Tank Coating, Reducing Valve pressures and valve maintenance installation of Colonie Interconnection Mixing and Telemetry. Repairs Estimated project cost $114,000 Estimated Project Cost $496,000. 3  2/19/2019 Includes major renovation of 40 year old building Incudes overdue maintenance of envelope tank interior. Last painted in 2002 Improvement Addresses climate control for recently installed Project 2.17 – 2.16 – Pine Bush VFDs Colonie Interconnection will aid Pine Bush Tank Interior in completion of this work Pumping Station Coating, Mixer, Includes general renewal of MEP systems and Renovations interior finishes and Repairs. Estimated project cost $714,000 Estimated Project Cost $,583,000. Improves consistency of water quality Adds elevator service to Third Floor throughout the distribution system for equipment installation/removal Project 2.18- Improvement Liquid Lime Maintains consistent corrosion 2.19 – Feura Bush Addresses employee safety issue System at control treatment throughout system WFP Elevator with exposed electrical equipment Loudonville Replacement. Reservoir Estimated Project Cost $606,000. Estimated project cost $655,000 Includes replacement of deteriorated inlet extension TABLE 1 - PROJECT COST ESTIMATE Item/Description Amount DWSRF Capital Expenditure 2019 2020 2021 2022 2023 2024 2.1 Sodium Permanganate System at Alcove Reservoir $ 730,000 $ 730,000 Project 2.20 – Provides a bridge for employee access to inlet 2.2 2.3 Decommission Hydroelectric Generator Aeration Basin Ventilation and Damp Proofing Upgrades $ $ 800,000 1,000,000 $ 50,000 $ 950,000 $ 400,000 $ 400,000 2.4 Sedimentation Basin Building Upgrades $ 4,520,000 $ 2,260,000 $ 2,260,000 Loudonville Basin 2.5 2.6 Energy Saving Upgrades Filter Upgrades $ $ 425,000 10,254,000 $ $ 25,000 $ 500,000 $ 200,000 $ 4,000,000 $ 200,000 5,754,000 2.7 Upgrades to Lagoons and Residual Handling Facilities $ 1,520,000 $ 1,520,000 C Inlet 2.8 Lime Storage and Feed System Replacement $ 3,235,000 $ 150,000 $ 1,500,000 $ 1,585,000 Needs to be coordinated with extended outage 2.9 2.10 Feura Bush Electric Upgrades Maintenance Building at Feura Bush $ $ 695,000 300,000 $ 40,000 $ 655,000 $ 25,000 $ 275,000 Modifications to dewater and clean basin 2.11 2.12 Washwater Tank Rehabilitation Clearwell Rehabilitation $ $ 59,000 141,000 $ $ - - $ $ 59,000 141,000 2.13 Miscellaneous Feura Bush Facility Upgrades $ 867,000 $ 50,000 $ 400,000 $ 417,000 2.14 Pressure Reducing Valve Telemetry $ 114,000 $ 10,000 $ 104,000 2.15 Upper Service Tank Interior and Exterior Coatings, Mixer and Repairs $ 496,000 $ 30,000 $ 466,000 2.16 Pine Bush Tank Interior Coating, Mixer, and Repairs $ 714,000 $ 40,000 $ 674,000 2.17 Pine Bush Pumping Station Renovations $ 583,000 $ 583,000 2.18 Liquid Lime System at Loudonville Reservoir $ 606,000 $ 606,000 Estimated Project Cost $165,000. 2.19 2.20 Feura Bush WFP elevator replacement Loudonville Reservoir Basin C Inlet Modifications $ $ 655,000 165,000 $ $ 10,000 $ 30,000 $ 155,000 625,000 $ 27,879,000 $ 3,599,000 $ 4,045,000 $ 6,954,000 $ 5,070,000 $ 7,936,000 $ 275,000 4