metropolitan utilities district committee meeting · 2011. 5. 14. · letter to the committee dated...

METROPOLITAN UTILITIES DISTRICT Committee Meeting

8:15 a.m. November 5, 2014

AGENDA

1. Roll Call 2. Open Meetings Act Notice

Construction and Operations – Frost, Friend, Lindsay

1. Capital Expenditures [R. Reisner] – Tab 5 2. Change Order No. 2 – Platte South WTP Nordberg Engine Replacements

[R. Reisner] – Tab 6

3. Acceptance of Contracts and Payment of Final Estimates [R. Reisner] – Tab 7

4. Bids on Materials and Contracts [D. Schneider] – Tab 8

Services and Extensions – Friend, Frost, Dowd 1. Main Extensions [R. Reisner] – Tab 10

Personnel – Friend, Patterson, Begley

1. Promotions and Ratifications [P. Tripp] – Tab 11 Insurance and Pensions Committee – Patterson, Frost, Begley

1. RFP for Sec. 3(38) Investment Advisory Services – Recommendation [D. Schneider] – Tab 12

Accounts, Expenditures, Finance and Rates –Begley, Patterson, Frost

1. 2015 Budget Discussion – Capital Projects [J. Schaffart] – Tab 14

METROPOLITAN UTILITIES DISTRICT Regular Meeting

8:15 a.m. November 5, 2014

AGENDA

1. Roll Call 2. Open Meetings Act Notice 3. Pledge of Allegiance 4. Approval of Minutes – Committee Meetings & Regular Board Meeting for

October 1, 2014

CONSTRUCTION& OPERATIONS

5. 6. 7. 8. 9.

Capital Expenditures Change Order No. 2 – Platte South WTP Nordberg Engine Replacements Acceptance of Contracts and Payment of Final Estimates Bids on Materials and Contracts Notice of Purchases Between $25,000 and $50,000

SERVICES &

EXTENSIONS 10. Main Extensions

PERSONNEL 11. Promotions and Ratifications

INSURANCE &

PENSIONS 12. RFP for Sec. 3(38) Investment Advisory Services – Recommendation

BOARD 13.

Other Matters of District Business for Discussion

Roll Call

METROPOLITAN UTILITIES DISTRICT

Minutes of Committee Meetings

October 1, 2014

Chairperson Lindsay called the Committee Meetings to order at 8:15a.m. On a roll call vote, the following members were present:

Jim Begley Dave Friend Amy Lindsay

Tim Cavanaugh Scott Keep, Secretary and President

Also present were various members of the staff, representatives from IBEW #1521 , and other members of the public.

Mr. Dowd arrived. Mr. Patterson arrived. Mr. Frost was excused.

Open Meetings Act Notice Chairperson Lindsay advised those in attendance that a copy of the Open

Meetings Act was posted in the rear of the Board Room.

Construction and Operations - Frost, Friend. Undsay Mr. Reisner reviewed the proposed capital expenditures, as outlined in his Jetter

to the Committee dated September 19, 2014.

Mr. Reisner reviewed his letter dated September 19, 2014 regarding the acceptance of contracts and payment of final estimates.

Ms. Schneider reviewed the bids on materials and contracts as outlined in Mr. Zellars' revised letter to the Committee dated September 30, 2014.

Services and Extensions - Friend, Frost. Dowd Mr. Reisner told the Committee the proposed main extension as outlined in his

letter of September 18, 2014, has been withdrawn because the circumstances for the developer have changed. A renewed proposal will likely be forthcoming pending further reevaluation of the scope of the development project.

Committee Meetings & Regular Board Meeting October 1, 2014

Page 1 of 6

E0121328

Approved

Personnel- Friend. Patterson. Beqlev Mr. Tripp reviewed his letter to the Committee dated September 22, 2014,

outlining District employee promotions and new hire ratifications.

Mr. Tripp also reviewed the group insurance contract renewals as outlined in his letter to the Committee dated September 19, 2014.

Accounts. Expenditures. Finance and Rates - Beqlev. Patterson. Frost Mr. Schaffart conducted a 2015 budget "workshop" presentation which

addressed headcount, professional consultants, memberships, and travel and training in preparation for the approval of the Budget at the December Board Meeting.

The Committee Meetings adjourned at 9:30 a.m .

SLK/mjm

.k2('~ .5< 21'~ Scott L. Keep, Secretary and President


Page 2 of6

METROPOLITAN UTILITIES DISTRICT

Minutes of Regular Board Meeting

October 1, 2014

The Board of Directors of the Metropolitan Utilities District of Omaha met in the Board Room of the Headquarters Building at 1723 Harney Street in regular session at 9:40 a.m. on October 1, 2014.

Advance notice of the meeting was posted on the first floor of the Headquarters Building from September 3, 2014 to October 1, 2014. Notice of the meeting was published in the Omaha World-Herald on Sunday, September 21, 2014. The agenda of the meeting was available for public inspection at the office of the Secretary and President, and delivered to Board Members on September 23, 2014.

AGENDA N0.1 ROLLCALL

Chairperson Lindsay called the meeting to order at 9:40a.m. On a roll call vote, the following members were present:

Jim Begley Tom Dowd Dave Friend

Steve Patterson Amy Lindsay

Tim Cavanaugh Scott Keep, Secretary and President

Also present were various members of the staff, representatives of Local Union IBEW #1521, representative of McGiadrey LLC, and members of the public.

AGENDA NO.2 OPEN MEETINGS ACT NOTICE

Chairperson Lindsay advised those in attendance that a copy of the Open Meetings Act was posted in the rear of the Board Room.

AGENDA NO.3 PLEDGE OF ALLEGIANCE

Chairperson Lindsay invited those who cared to participate, to stand and recite the Pledge of Allegiance.


Page 3 of6

E0121328

Approved

AGENDA N0.4 APPROVAL OF MINUTES FOR COMMITTEE MEETINGS AND REGULAR BOARD MEETING- SEPTEMBER 3, 2014

Mr. Friend moved to approve the Minutes of the Committee Meetings and Regular Board Meeting for September 3, 2014, which was seconded by Mr. Dowd and carried on a roll call vote.

Voting Yes: Begley, Dowd, Friend, Patterson, Lindsay, Cavanaugh Voting No: None

MINUTES FILE DOCUMENT NO. 137249

AGENDA NO.5 CAPITAL EXPENDITURES

Mr. Friend moved for approval of the capital expenditures as outlined in Mr. Reisner's letter dated September 19, 2014, which was seconded by Mr. Begley and carried on a roll call vote.



AGENDA NO.6 ACCEPTANCE OF CONTRACTS AND PAYMENT OF FINAL ESTIMATES

Mr. Friend moved for approval of the acceptance of contract and payment of final estimates as outlined in Mr. Reisner's letter dated September 19, 2014, which was seconded by Mr. Cavanaugh and carried on a roll call vote.



AGENDA NO.7 BIDS ON MATERIALS AND CONTRACTS

Mr. Friend moved for approval of the bids for materials and contracts as described in Mr. Zellar's revised letter dated September 30, 2014, which was seconded by Mr. Begley and carried on a roll call vote.




Page 4 of6

AGENDA NO.8 MAIN EXTENSIONS

The proposed main extension was withdrawn and no vote was necessary.

AGENDA NO.9 PROMOTIONS AND RATIFICATIONS

Mr. Friend moved for approval of the promotions and ratifications as outlined in Mr. Tripp's letter dated September 22, 2014, which was seconded by Mr. Cavanaugh and carried on a roll call vote.



AGENDA N0.10 GROUP INSURANCE CONTRACT RENEWALS

Mr. Friend moved to approve the District's group insurance contract renewals as outlined in Mr. Tripp's letter to the Committee dated September 19, 2014, which was seconded by Mr. Begley and carried on a roll call vote.



AGENDA NO. 11 OTHER MATTERS OF DISTRICT BUSINESS FOR DISCUSSION

Chairperson Lindsay asked if any individual Board Members or members of the public had any comments to bring to the Board's attention.

Mr. Friend commented that he recently attended a meeting of the Board's Insurance and Pensions Committee, and wished to compliment the District's Human Resources Department for its research and development of information regarding the District medical coverage administration renewal recommendation as well as the status of the issues between Blue Cross Blue Shield and Catholic Health Initiatives.

Ms. Schneider introduced Michelle Luett, representing McGiadrey LLP, the newly-hired public accounting firm that will be responsible for conducting the District's year-end financial audit.

At 9:46a.m., Mr. Friend moved to adjourn the meeting, which was seconded by Mr. Cavanaugh and carried on a roll call vote.


Page 5 of6


The meeting was adjourned.

SLK/mjm


Scott L. Keep, Secretary and President


Page 6 of 6

METROPOLITAN UTILITIES DISTRICT Inter-Department Communication

October 22, 2014

Subject: CAPITAL EXPENDITURES

To: Committee on Construction and Operations cc: all Board Members, Keep, Bucher, Doyle, Schneider and all Vice Presidents

From: Ron K. Reisner, Senior Vice President, Chief Operations Officer

The following items will be on the November 5, 2014 Committee Agenda for consideration and the November 5, 2014 Board Agenda for approval:

BUILDING, PLANTS AND EQUIPMENT

1. 100090001241 - $60,000 - Purchase one GasCam II color camera for Construction. Construction currently has a black and white camera, purchased in 1999, which is used for inspecting the inside of gas pipes, pinpointing gas leaks and detecting water intrusion. Camera technology has advanced greatly in recent years. The video quality and operation of the proposed equipment is far superior to that of the existing camera. This equipment is also certified to be intrinsically safe by Factory Mutual for hazardous environments and includes 240 feet of push cable. Our internal pipeline camera has been an invaluable tool and allowed the District to avoid making countless, unnecessary excavations.

2. 100071000651 - $120,000 - RATIFICATION - Repair floor in Basin #1 at Florence. While performing the annual draining and washing of Basin #1, damage to the basin floor was discovered. An area of concrete about 20 feet in diameter had broken up and dropped about a foot. A void approximately 4-5 feet deep was found underneath the broken concrete. Further investigation revealed that one of the drain lines for the basin had failed. This failure was directly below the broken concrete. Over time the soil around the failed pipe eroded away causing the void. The concrete in this area will be removed, the drain pipe exposed and repaired and the void filled before pouring a new floor.

In addition, there are a few other areas of concern where the basin floor had cracked and started to settle. An investigation into the cause of the settling will need to be done to determine the amount of repair needed in these areas. In some of these other areas, we will need to remove and replace the entire slab and in others, we will simply repair the cracks. Additional Board approval may be requested depending upon the severity of further damage discovered during repairs. A camera survey of the remaining drain pipe did not reveal any other significant damage so no additional repairs to the pipe is anticipated.

A contractor has begun repairs on a time and material basis. Basin repairs need to be completed before freezing weather sets in. This is an unbudgeted request.

E0121328

Approved

3. 100083000985 - $17,280,000- Phase II, filter plant improvements, Florence. In 2010, the District completed a Capital Improvement Plan (CIP). Phase II identified several projects to be completed between 2013 and 2016. Phase II of the CIP consists of both condition related improvement/repair projects and process related improvement projects. One of the major projects includes the renovation and upgrade to the Howell Filter Plant. These renovations focus on the architectural, structural, mechanical, electrical, and instrumentation (ASMEI) improvements to the building, in addition to process improvements to the filtering operation.

Condition improvement goals for the plant include improved safety, enhanced aesthetics and reduced maintenance. Architectural improvements include stairway renovations and guard rail additions to enhance worker safety. This project also replaces the deteriorating exterior skin of the facility with a new updated fal(ade. The building will receive much-needed structural repairs as well as interior painting. Additionally, the relocation of the building's chemical storage and feed systems to an area separate of the main building will provide safer storage and handling as well as protection of the main building's mechanical components from corrosive vapors.

Process improvement goals of the project are to provide the plant with enhanced operation and control of the filters through improved automation of key equipment as well as modifications where needed to piping, valves and metering of the filter flow. The plant's process improvements also include filter-to-waste modifications which will improve finished water quality. Filter control valves and valve actuators will be replaced as well. This project was budgeted for $14,110,000.

4. 100072000826-$103,400- RATIFICATION/SUPPLEMENTAL- Perform ongoing regulatory monitoring and compliance reporting associated with the internal combustion engines at various District locations. In July, the Board authorized $88,700 to perform ongoing regulatory monitoring and compliance reporting associated with the District's internal combustion engines during 2014 and 2015. This included eight individual tasks to be performed to keep these engines in compliance with the regulation, along with one task to modify the District's air operating permit at Florence.

The additional $103,400 included on this Supplemental request is to study the permitting needs at each location around the District that has the potential to produce air emissions and then file the appropriate paperwork with the Nebraska Department of Environmental Quality (NDEQ) to keep the District in regulatory compliance. This work is currently being done to meet a November 1, 2014 deadline given to the District by the NDEQ. As part of this work, the District's consultant, SCS Aquaterra (SCS), inventoried all air emission producing units at 15 facilities, completed "potential to emit" calculations for each location, determined the applicability to Nebraska Title 129 Air Quality Regulations, specifically Chapter 5 for Operating Permits and Chapter 17 for Construction Permits, and will file the appropriate permits and notifications required by the NDEQ's November 1st deadline. A portion of the consulting fee will be used by SCS for application and review fees due to the NDEQ during the permit application process. The additional funds will also be used by SCS to evaluate the existing air permits at four facilities and determine if any modifications are needed to keep the District in regulatory compliance at those facilities.

-2-

A second amendment to this agreement may be needed in early 2015. Some of the eight facilities that require construction permits as part of this amendment may also need operating permits depending on how the District plans to operate those facilities. SCS will meet with District personnel in the upcoming months to discuss the various options for those facilities. Any additional permits needed to keep the District in regulatory compliance would be included in a second amendment. Likewise, if SCS finds that modifications are needed to the permits at any of the four facilities that currently have permits, the modification costs may be included in a second amendment.

Approval of this request will also allow the President to amend our current contract with SCS.

5. 100087000520 - $157,000 - Purchase one compact track backhoe for Construction. The mini excavator is a piece of construction equipment with the ability to get into tight and compact places and still provide all the digging power and depth of the larger backhoe loaders. A considerable amount of our work is performed in older, established neighborhoods. A mini excavator provides the capability of working in concentrated locations while minimizing surface disruption and damage.

6. 100087000561 - $200,000 - Purchase one large 28,000 pound capacity forklift for Stores. The Stores Division uses a large capacity forklift in the construction yard to unload trucks and move various items. This is a vital piece of equipment which is capable of handling and moving large and extremely heavy loads. The current forklift was purchased in 1992 and has reached the end of its useful life and become expensive to maintain.

7. 100087000541 - $55,000 - Purchase one large skid steer loader for Construction. A skid steer loader can get into tight and confined spaces that other equipment cannot and has proven to be a very valuable, efficient and useful machine. The proposed machine will be an addition for Construction to be used in older parts of Omaha by infrastructure crews and main gangs.

SYSTEM IMPROVEMENT AND MAINTENANCE

1. 100051000990 - $96,600 - Install interior joint seals on 1,160 feet of 24-inch water main, Dahlman Avenue from "F" to "H" Streets. There have been numerous joint leaks on this water main over the last several years. The City of Omaha is constructing new paving over the top of the cast iron pipe. This project will allow for the continued use of the main and eliminate the potential for future joint leaks that would damage this new paving.

INFRASTRUCTURE REPLACEMENT/RELOCATIONS

1. 100062000616 and associated job numbers - $140,100 -Abandon underground regulator station at 114th and West Center Road; install above ground regulator station and 160 feet of 4-inch steel gas main, 114th and Wright Circle. The existing regulator station was installed in 1961 to provide gas service to the Prairie Lane Subdivision. The existing vault is located in a driveway causing it to collect runoff, resulting in severe corrosion of the underground regulator equipment and piping. There is also an existing 4-inch gas main installed in 1980 with only 6 inches of cover as it passed over a large storm culvert in

-3-

Wright Circle. The proposed gas main extension and above ground regulator station will eliminate the existing corroded regulator station as well as the shallow gas main.

Ro K. Reisner Approved: Senior Vice President, Chief Operations Officer

ei~'X7 Scott L. Keep President


November 3, 2014

Subject: CHANGE ORDER NO. 2- PLATTE SOUTH WfP NORDBERG ENGINE REPLACEMENTS GENERAL CONSTRUCTION; ERIKSEN CONSTRUCTION CO.; WP 1295; 100083000943

To: Committee on Construction & Operations- Jack Frost, Chairperson; Dave Friend and Amy Lindsay Cc: All Board Members and Messrs. Doyle, Bucher, Reisner, Keep, Mrs. Schneider, and All Vice Presidents

From: Cory J. O'Brien, Vice President, Engineering and Construction

On February 19, 2014 the District entered into a contract with Eriksen Construction Company to replace the Nordberg engines at the Platte South Water Treatment Plant. The original contract price was $2,503,389.46. Change Order No. 1 resulted in a net deduct of $962,195.14. Change Order No.2 represents an increase of $28,600.91. This will change the total contract price to $1 ,569,795.23.

Item No.1 represents an additional cost of $3,254.95 to relocate 8" ductile iron pipe on the exterior of the Platte South High Service Pumping Room. After exposing the existing ductile iron pipe it was discovered that the existing piping differed from what was shown in the plans so additional work was required.

Item No.2 represents an additional cost of $5,992.19 to relocate the new pressure reducing valve for the existing engine generator. The new location for the engine generator pressure reducing valve provided better clearance and allowed for some removal of excess piping.

Item No. 3 represents an additional cost of $1,153.39 to furnish and install insulating flange gaskets for various piping connections of dissimilar materials. The use of insulating flange gaskets will increase the design life of the new materials.

Item No. 4 represents an additional cost of $4,498.38 to furnish and install additional elbows to the engine exhaust piping to obtain the correct elevation to utilize the existing hole through the building. The alignment of the engine exhaust piping as shown in the plans was not buildable without adding elbows.

Item No.5 represents an additional cost of $1,502.35 to relocate the new battery chargers. The original location of the new battery chargers was inside of the control cabinet which would have made it difficult to access for maintenance so it was decided to relocate the battery chargers to the exterior of the cabinets.

Item No. 6 represents an additional cost of $1,590.26 to furnish and install additional air intake supports. The supports as shown in the plans were not adequately supporting the air intake so it was decided to add one support to the air intake piping on each engine.

E0121328

Approved

Item No.7 represents an additional cost of $1,904.86 to furnish and install materials necessary to raise the new beam supports. The elevation of the beam supports as shown in the plans made it difficult to support piping from overhead so it was decided to raise the beam supports.

Item No. 8 represents an additional cost of $5,1 00.00 to furnish and install various items shown on shop drawings for the new engines from the engine supplier. These items were not shown in the plans and where shown to be supplied by the general construction contractor.

Item No. 9 represents an additional cost of $3,604.53 to furnish and install guard extensions to cover the new drive shafts. The plans indicated to reuse the existing guards but the new drive shafts are longer than the existing ones so extensions where required.

Item No. 10 represents a no cost change to adjust the substantial completion date for Project Classified System (PCS) #1 from May 15, 2014 to May 23, 2014 due to additional work performed by the contractor.

This work is in progress and your approval is requested . ..

eft~ Vice President, Engineering & Construction

Approved:

~,p(3:~ ~1~~ t0-~-1 ~ - Z?'f . . Ronald E. Bucher 'I cott L. Kee Sr. Vice President, President General Counsel

on K. Reisner Sr. Vice President, Chief Operations Officer


October 24, 2014

Subject: ACCEPTANCE OF CONTRACTS AND PAYMENT OF FINAL ESTIMATES

To: Committee on Construction and Operations cc: all Board Members, Keep, Bucher, Doyle, Schneider and all Vice Presidents


Work has been satisfactorily completed on the following contracts and final payments are recommended:

Contract Board Amounts

Approval Date * Unit Price Bid Actual Final

a. Est. 3- Kersten Construction, 100055001104, Install water March 5, 2014 $409,505.50 $397,215.14 $41,314.15 mains in The Prairies Subdivision, Skyline Dr. & Frances St.

Comments: There were credit adjustments of $11,729.95 (adjustment in unit quantities) and $1,725.41 (extra flushing performed by District crews). There was an increase of $1,165.00 for items related to modifying the grade of the existing hydrant to accommodate grading plans.


Approval Date *Unit Price Bid Actual Final

b. Est. 4 - M.E. Collins Contracting, 100093001020, 100065001300, 100095001020, Water May 1, 2013 $312,981.00 $312,965.00 $80,641.70 infrastructure replacement in Sharon Dr. from 25th St. to 281h Ave.

Comments: There was a credit adjustment in unit quantities of $16.00.



c. Est. 2 - Cedar Construction, 100057000402, 100057000403, 100075002028, Install water March 5, 2014 $479,896.00 $479,845.00 $50,585.50 mains in Fort Crook Rd. north of Capehart Rd.

Comments: There was a credit adjustment in unit quantities of $51.00.

E0121328

Approved



d. Est. 2 - Cedar Construction, 100093001027, 100065001307, 1 00095001 027, Water July 2, 2014 $195,000.00 $188,904.85 $74,248.99 infrastructure replacement, aoth

J Ave. from Meredith to Grand Aves.

Comments: There were credit adjustments of $9,269.60 (adjustment in unit quantities) and $425.55 (water service damage). There was an increase of $3,600.00 to replace two handicap ramps.



e. Est. 2 - Q3 Contracting, Inc., 100092001341 , 100082000040, 100082000042, 100082000041 , 100082000043, 100066001742, February 6, 2013 $208,708.96 $137,482.56 $39,974.03 Gas infrastructure replacement, I

i South 18th to 20th Sts. , "S" to "Y" I I

Sts.

Comments: There was a credit adjustment in unit quantities of $71 ,226.40.



f . Est. 2- Q3 Contracting, Inc., 100092001366, 100082000040, 100082000042, 100082000041 , 100082000043, 100066001771, February 6, 2013 $599,494.52 $558,600.59 $205,277.38

I Gas infrastructure replacement, Curtis to Laurel Aves., 30th to 36th Sts.

Comments: There were credit adjustments of $38,935.69 (adjustment in unit quantities) and $1,958.24 (District incurred repair costs).


Approval Date * Unit Price Bid Actual

g. Est. 2 - Q3 Contracting, Inc., 100092001367, 100082000040, 100082000042, 100082000041 , 100082000043, 100066001772, February 6, 2013 $434,169.30 $407,945.47 Gas infrastructure replacement, Laurel Ave. to Jaynes St. , 33rd to 36th Sts.

Comments: There was a credit adjustment in unit quantities of $26,223.83.

-2-

Final

$171 ,382.95



h. Est. 3- Q3 Contracting, Inc., 100092001368, 100082000040, 100082000042, 100082000041, 100082000043, 100066001773, February 6, 2013 $355,354.09 $326,690.03 $114,502.48 Gas infrastructure replacement, Jaynes St. to Redman Ave., 33rd to 36th Sts.




i. Est. 2 - Q3 Contracting, Inc., 100092001360, 100082000040, 100082000042, 100082000041, 100082000043, 100066001765, February 6, 2013 $339,675.51 $317,489.96 $222,675.64 Gas infrastructure replacement, Browne to Templeton Sts., Florence Blvd. to 26th St.




j . Est. 2 - Q3 Contracting, Inc., 100092001364, 100082000040, 100082000042, 100082000041, 100082000043, 100066001774, February 6, 2013 $383,452.38 $409,866.88 $215,138.20 Gas infrastructure replacement, Lizzie Robinson Ave. to Clark St., 20th to 2ih Sts.

Comments: There was a credit adjustment of $358.00 for District incurred repair costs and an increase in unit quantities of $26,772.50 for additional commercial gas services and additional unexpected gas main abandonments.

-3·


Approval Date * Unit Price Bid Actual

k. Est. 3- 03 Contracting, Inc., 100092001365, 100082000040, 1000820000042, 100082000041, 10008200043, 100066001770, February 6, 2013 $459,412.17 $439,439.67 Gas infrastructure replacement, Pinkney to Locust Sts., 14th Ave. to 20th St.


* Based on Engineering's estimated unit quantities

~~e~is~n~e~r ~*---

Final

$124,969.44

Senior Vice President, Chief Operations Officer Approved:

d~1f-.·rr ~o~.Keep President

-4-


October 28, 2014

Subject: BIDS ON MATERIALS AND CONTRACTS DURING THE MONTH OF OCTOBER

To: Construction & Operations Committee cc: All Board Members, Keep, Bucher, Doyle, Reisner, Schneider, and all Vice

Presidents

From: Jon A. Zellars, Director, Purchasing

The following items will be on the November 5, 2014 Committee Agenda for consideration and the November 5, 2014 Board Agenda for approval. The recommended bid is balded and listed first.

WATER/GAS MAIN CONTRACTS

Install Water Mains in West Greyhawk, Replat 3, 1501

h Ave. and Evans Plz. 100055001132 (WP1369) Engineering Estimate: $45,797.00

Bids Sent I Rec'd

36/3

Bidder

Anchor Construction Kersten Construction Cedar Construction

Amount Bid

$46,888.00 48,921 .00 55,472.00

(A C&A in the amount of $68,489.00 will be presented to the Board on November 5, 2014 for approval.)

Install Internal Joint Seals in 48" Mains at 36/2 the Florence Water Treatment Plant; Install Internal Joint Seals in a 24" Main in Dahlman Ave. 100051000982 (WP1310) 100051000990 (R1730) Engineering Estimate: $175,000.00

Hydra tech Miller Pipeline

$162,160.00 191,130.00

(A C&A in the amount of $206,500.00 for 100051000982 and a C&A in the amount of $96,600.00 for 100051000990 will be presented to the Board on November 5, 2014 for approval.)

Page 1 of 3

E0121328

Approved

RATIFICATION

Bids Sent I Rec'd Bidder Amount Bid

Reconnect Water Services on 1/1 M.E. Collins Contr. 115,000.00 10th Street from Frederick Street To Dorcas Street 100095001151 (WP1367) (C&A for 100095001151 approved September 3, 2014 in the amount of $130,000.00)

Perform Sanitary Sewer Lateral Inspection

Item

1/1

OTHER

Bids Sent I Rec'd

TREKK Design $28,325.00

Bidder Amount Bid

Florence Water Treatment Plant 19/4 Hawkins Constr. $14,630,534.00 Phase 2 Filter Plant Improvements Lund-Ross Contr. 15,637,000.00 100083000985 (WP1423) Vrana Construction 16,005,909.00 Engineering Estimate: $12,998,000.00 Graham Construction 17,488,000.00 (A C&A in the amount of $17,280,000.00 will be presented to the Board on November 5, 2014 for approval.)

One (1) Large 28,000 lb. Capacity Forklift with 2 year /2,000 hour warranty 100087000561

2/2 MH Equipment NMC

$157,523.73 168,200.00


One (1) Mini Excavator with 3 year I 3,000 hour warranty 100087000520 * 2015 Model ** 2014 Model

2/3 Murphy Tractor NMC NMC

$130, 182.00* 131 ,300.00** 134, 125.00*


Page 2 of3

ANNUALS

Bids Sent Item I Rec'd

Rotary Gas Meters, 15T, 3MT, 5MT 1/1 (January 1, 2015 to December 31, 2015)

Water Meter with ERT Modules 5/2 {January 1, 2015 to December 31, 2015)

800 Tons Carbon Dioxide C02 for the 10/3 Florence Water Treatment Plant (January 1, 2015 to December 31, 2015)

Estimated 350 Cubic Yards of Ready 6/2 Mixed Concrete (January 1, 2015 to December 31, 2015)

Ductile I ron Retainer Glands 12/2 (January 1, 2015 to December 31, 2015)

Furnish Complete Building Cleaning 21/6 at Various M.U.D. Locations (January 1, 2015 to December 31, 2017) * Rejected as nonresponsive

Gas Meters, Class 250 Item 00-400-52 2/1 & 415 CFH Item 00-000-84 *Bid rejected

Approved:

8:~~ Vice Preside Accounting

Debra A. Schneider Senior Vice President, Chief Financial Officer

Page 3 of 3

Bidder Amount Bid

Dresser Measurement $65,770.00

Badger Meter $1,457,885.50 Mueller Systems 1 ,826,133.47

Air Products $55,200.00 Poet Ethanol Products $88,800.00 Air Liquide Industrial 124,000.00

Ready Mixed $173,803.00 Consolidated Concrete 199,237.50

Omaha Winwater $101,619.70 HD Supply 108,303.50

Whiteway Building $888,976.98 ABM 892,693.80 Marsden Building 960,098.50 The Office Cleaners 946,954.32 FBG Service Corp. 995,197.42 McNeil's Cleaning 39,917,444.40*

Elster-American Meter*

_A~/{~ ~ott L. Keep F

President


October 28, 2014

Subject: NOTICE OF PURCHASES BETWEEN $25,000 - $50,000

To: All Board Members cc: Keep, Bucher, Doyle, Reisner, Schneider, and all Vice Presidents

From: Jon A. Zellars, Purchasing

During the month of October the following items were purchased or contracted for and are being submitted to the Board to be placed on file. The purchase or contract was initiated with the low bidder which is balded and listed first.

One (1) Large Skid Steer Loader with 3 year /3,000 warranty and counter weights

One (1) Small Skid Steer Loader with 3 year /3,000 warranty and counter weights

Debra A. Schneider

Bids Sent I Rec'd

2/2

2/2

Senior Vice President, Chief Financial Officer

Bidder

Murphy Tractor NMC

NMC Murphy Tractor

Amount Bid

$44,435.00 46,641.88

$41,561.52 42,470.00

~~?{~ Scott L. Keep President

E0121328

Placed on File


October 22, 2014

Subject: MAIN EXTENSIONS

To: Services and Extensions Committee cc: All Board Members, Keep, Bucher, Doyle, Schneider and all Vice Presidents


The following main extensions will be on the November 5, 2014 Committee Agenda for consideration and the November 5, 2014 Board Agenda for approval:

WATER

Job Number Project Cost Applicant Construction M.U.D. Cost Contribution by Applicant

100055001132 $68,489 $68,489 $0 $0

' 1. i This main is being installed to provide domestic water seNice and fire protection to six newly I platted mixed-use lots in West Grayhawk Rep/at 3 at 15dh Avenue and Evans Plaza. (City of

Omaha zoning, Lockwood Development)

GAS

Job Number Cost Revenue Credits

Total Deficiency Estimated Equivalent Applicant Other

100060001192 $246,077 $203,022 $178,992 $0 $178,992 $24,030

1. This main is being installed to provide gas seNice to 264 newly platted single-residence lots in Windgate Ranch II at 20fih and Walnut Streets. The developer is aware of, and will pay for the deficiency. (City of Omaha zoning, Pacific Windgate II)

Job Number Cost Revenue Credits

Total Deficiency Estimated Equivalent Applicant Other

100060001190 $66,534 $0 $58,986 $0 $58,986 $7,548

2. This main is being installed to provide gas service to 87 newly platted single-residence lots in Falling Waters Subdivision, 19flh and Harrison Streets. The developer is aware of, and will pay , for the deficiency. (City of Omaha zoning, Pacific Windgate II)

(b.~· Approved: Senior Vice President, Chief Operations Officer

~~~~ President

E0121328

Approved


October 24, 2014

Subject: Promotion Increases and Ratifications, November 2014 Board meeting

To: Personnel Committee members Friend, Begley, and Patterson cc: Board Members Cavanaugh, Dowd, Lindsey, and Frost; President Keep, and

Sr. Vice Presidents Bucher, Doyle, Reisner and Schneider

From: Patrick l. Tripp, Vice President, Human Resources

The Human Resources Department is recommending that the Board of Directors approve the promotion increases set out below. All positions involve District employees earning more than $10,000 per year and therefore require your approval.

1. Bargaining Unit/OAC - Promotion Increases

The Human Resources Department is recommending that the Board of Directors approve promotions for the following Employees within the Bargaining Unit/OAC classification. These recommendations are based on a formal selection process, are in compliance with the collective bargaining agreement, and are made following the posting and application process for a job opening in the District. The effective date for these promotions will be the beginning of the next OAC pay period following Board approval.

Employee: Current position/department:

New position/department: Current hourly rate/step: Proposed hourly rate/step: Percent of increase: District hire date:

Employee: Current position/department: New position/department: Current hourly rate/step: Proposed hourly rate/step: Percent of Increase: District hire date:

Joseph Hubenka Auto Service Person; Engineering and Construction Department Water Maintenance Trainee; Water Operations Department $19.33; Step 3 $21.33; Step 2 10.35% 03/14/2011

Amelia Moran Customer Service Clerk I; Customer Services Department Customer Service Clerk II; Customer Services Department $19.23; Entry $20.19; Entry 5.00% 09/08/2014

E0121328

Approved

Promotion Increases and Ratifications, November 2014 Board meeting Page 2

2. Bargaining Unit/OAC Promotion Increases Due To Job Progression

The Human Resources Department is recommending that the Board of Directors approve the following promotion increases for the Bargaining Unit/OAC employees who have successfully completed required training and who have been recommended by their supervisor for promotion as they progress within their job family. All increases are based on the bargaining unit wage structure. The effective date for these promotion increases will be the beginning of the next OAC pay period following board approval.

Employee: Current position/department: New position/department: Current hourly rate/step: Proposed hourly rate/step: Percent of Increase: District hire date:

Employee: Current position/department: New position/department: Current hourly rate/step: Proposed hourly rate/step: Percent of increase: District hire date:

Colan Carpenter Gas Maintenance Trainee; Gas Operations Department Gas Maintenance Worker; Gas Operations Department $24.62; Step 4 $27.39; Step 1 11.25% 12/04/2000

Christopher Frederick Apprentice Meter Mechanic; Measurement Division Meter Mechanic; Measurement Division $21.83; Step 4 $23.29; Entry 6.69% 11/13/2006

3. Supervisory, Professional and Administrative - Increases

Supervisor, Professional and Administrative (SPA) promotions are positions recommended for pay increases or adjustments requiring authorization from the Board in order for the President to make the increases. These SPA positions have been evaluated, graded, appropriate job descriptions completed, and posting guidelines fulfilled. The effective date for these promotions will be the beginning of the next SPA pay period following board approval.

Employee: Current position/department: New position/department:

Current Salary/SPA Grade: Proposed Salary/SPA Grade: Percent of Increase: District hire date:

Courtney Lovato Field Engineer II; Engineering and Construction Department Senior Engineering Technician; Engineering and Construction Department $61 ,945.00; M-01 $65,042.00; M-03 5.00% 09/03/2013

Promotion Increases and Ratifications, November 2014 Board meeting Page 3

Employee: Current position/department: New position/department: Current Salary/SPA Grade: Proposed Salary/SPA Grade: Percent of Increase: District hire date:

Mark Noble Gas Plant Engineer; Gas Operations Department System Controller; Gas Operations Department $36.13; Step 4 $75,861 .00; M-03 0.95% 08/19/2002

4. Supervisory, Professional and Administrative - New Hire Ratification

Board of Director Ratification of salaries, for new SPA employees hired from outside the District, is required to confirm the salary within the grade established for the position. Authorization to ratify the annual salary of SPA employees hired from outside the District will be requested each month, if appropriate.


Current Salary/SPA Grade: District hire date:


Current Salary/SPA Grade: District hire date:

Employee: Current position/department: Current Salary/SPA Grade: District hire date:

Padmaja Chigurupati Quality Assurance Analyst I; Information Technology Department $70,000.00; M-03 09/29/2014

Lawrence England Contractor Service Representative I; Marketing and Corporate Communications Department $59,417.00; M-01 10/13/2014

Charles Nelson System Administrator II; Information Technology Department $77,000.00; M-04 10/20/2014

Date approved by President: to ·~ z. z - t +

~~~~ Scott L. Keep President


October 27, 2014

Subject: RFP FOR INVESTMENT ADVISORY SERVICES- RECOMMENDATION

To: Insurance and Pensions Committee cc: all Board Members; Keep, Bucher, Doyle, Reisner and all Vice Presidents

From: Debra A. Schneider, Senior Vice President, Chief Financial Officer

At the District's June Board meeting, the Board approved a change to the role an investment provider plays for the District's Retirement Plan assets from an advisory role to a discretionary asset manager/co-fiduciary role. With this guidance, a Request for Proposal (RFP) to provide investment advisory services was issued to the following eight firms in August:

1. DeMarche Associates, Inc. 2. Wells Fargo Institutional Retirement and Trust 3. First National Bank of Omaha 4. Russelllnvestments 5. Summit Strategies Group 6. Aon Hewitt/Hewitt EnnisKnupp, Inc. 7. Vanguard Investment 8. BMO Global Asset Management

All eight submitted a formal proposal. The Insurance and Pensions Committee, along with the Management Pension Committee, reviewed all proposal submissions for completeness and content, including the following categories:

• Previous background and relevant experience.

• Background and experience of the proposed project team to be assigned to the engagement.

• Schedule of pricing, rates and/or fees for services proposed which shall include estimated embedded costs of individual investment funds.

• Technical content of the proposal and how well the stated needs are addressed.

• Adequacy and completeness of the proposal with regard to the information specified (compliance with and acceptance of all terms, conditions and all other provisions contained in the RFP).

The review was completed and the Committee narrowed the eight proposals down to two finalists. The two finalists were Vanguard Investment and AonHewitt/Hewitt EnnisKnupp, Inc. The two finalists were invited to present to the Insurance and Pensions Committee and the Management Pension Committee on October 21, 2014.

E0121328

Approved

Both finalists did an outstanding job with their presentation and answered questions for the Committee and Management. Based on final deliberations by both the Insurance and Pensions Committee and the Management Pension Committee, District Management and the Insurance and Pensions Committee recommend that Vanguard be engaged through their Vanguard Institutional Advisory Services (VIAS) division which provides investment advisory/investment management services and VIAS accepts the role of co-fiduciary for their clients under Section 3(38) of the code.

The price quoted is ultimately based on asset investment choices, however, will likely range from 12 basis points for an all-passive investment choice to 22 basis points with a mix of passive and active investment. Based on $329 million as noted in the RFP, this would put the fees in the range of $400,000 to $725,000. In comparison, our estimated fees for 2014 are approximately 59 basis points or $1,900,000. You can see this brings significant savings to the District's Pension Plan. Vanguard was the lowest bid on fees that was received. In addition, Vanguard has agreed that their advisory fees component will remain at the same level for as long as the District is a client of Vanguard. Their standard agreement would typically guarantee this for a three-year period. If approved, we plan to start immediately working with Vanguard to transition the portfolio.

Debra A. Schneider Senior Vice President, Chief Financial Officer

Approved:

~~ /{~ President

Capital Expenditures Water Department

MAIN TYPES INCLUDED IN CAPITAL EXPENDITURES BUDGET DEFINITIONAL INFORMATION - WATER

WCM Main = Water Construction Mains Construction is necessary for improvement and betterment of the system and may or may not make service available to an unserved area. All costs are borne by the District.

WCI Main = Water Cast Iron Main Replacement (Infrastructure)

Replacement of cast iron infrastructure mains. WCR Main = Water Construction Relocation

A relocation job required because of a highway, bridge or sewer construction project that involves distances greater than 25 feet. Relocation of less than 25 feet is maintenance and charged to expense (and therefore, not reflected in the capital budget).

WCC Main = Water Construction Contract

The extension or relocation of a main that is requested by a customer. District costs are reimbursed by the “requestor”.

WCD Main = Water Construction Developer

Water main extensions for which installation is “driven” by a developer and District costs are reimbursed. WCP Main = Water Construction Pioneer Main

A pioneer approach main is a main connected to the existing distribution system where adequate capacity is available to meet the requirements of the applicant and is sized to provide service to the applicant and adjacent areas. It extends to the far end of the property/development to be served. The developer contributes to the cost of these mains.

LINE 2014 2014 2015 2016 2017 2018 2019NO DESCRIPTION BUDGET ACT/EST BUDGET BUDGET BUDGET BUDGET BUDGET

Mains1 Water Construction Mains (WCM) 2,117,300$ 1,943,385$ 2,917,101$ 3,025,000$ 2,935,000$ 2,975,000$ 3,075,000$ 2 Water Cast Iron Main Replacement (WCI) 10,609,917 9,360,983 11,578,223 14,557,500 17,469,000 20,380,500 21,351,000 3 Water Construction Relocation Mains (WCR) 4,254,786 2,082,994 2,007,547 1,050,000 1,100,000 1,160,000 1,220,000 4 Water Construction Contract Mains (WCC) 3,097,648 4,828,138 2,544,295 2,622,911 2,860,221 3,000,000 3,200,000 5 Water Construction Developer Mains (WCD) 100,000 19,457 77,000 85,000 90,000 95,000 100,000 6 Water Construction Pioneer Main (WCP) 3,461,229 2,609,691 2,297,697 3,073,006 3,033,006 3,188,102 3,280,906

23,640,880 20,844,648 21,421,863 24,413,417 27,487,227 30,798,602 32,226,906

Other Distribution System Property7 Replacement of Obsolete/Broken Hydrants 360,000 266,373 300,000 300,000 300,000 300,000 300,000 8 Replacement of Obsolete/Broken Valves 360,000 374,708 420,000 420,000 420,000 420,000 420,000

720,000 641,081 720,000 720,000 720,000 720,000 720,000

Buildings, Land and Equipment9 Buildings, Land and Equipment Platte West 420,000 403,140 816,000 340,000 110,000 190,000 1,230,00010 Buildings, Land and Equipment Florence 9,605,738 6,571,545 17,993,060 15,598,000 16,439,000 14,641,000 12,826,00011 Buildings, Land and Equipment Platte South 5,188,128 4,067,893 5,597,482 1,495,000 2,135,000 1,210,000 1,300,00012 Repumping 665,931 1,188,872 375,000 793,750 413,438 434,110 955,81613 Construction Machines 1,069,995 921,615 1,239,999 1,500,000 1,500,000 1,500,000 1,500,00014 Furniture, Equipment and Miscellaneous 400,240 190,336 293,000 796,768 748,571 921,028 844,159

17,350,032 13,343,401 26,314,541 20,523,518 21,346,009 18,896,138 18,655,975

15 Salvage Credits on Construction Machines/Transfers (75,000) - (75,000) - - - -

Total Plant Additions and Replacements 41,635,912 34,829,130 48,381,404 45,656,935 49,553,236 50,414,740 51,602,881

Reimbursable 6,773,811 8,161,168 2,370,108 3,331,500 3,667,500 5,147,070 4,755,000

Total Cost to the District 34,862,101$ 26,667,962$ 46,011,296$ 42,325,435$ 45,885,736$ 45,267,670$ 46,847,881$

WATER DEPARTMENTFIVE YEAR PROJECTION OF PLANT ADDITIONS AND REPLACEMENTS

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGET, 2016- 2019 PROJECTION

2014 ACT/EST 2015 BUDGETLINE 2014 2014 2015 VS. VS.NO DESCRIPTION BUDGET ACT/EST BUDGET 2014 BUDGET 2014 BUDGET

Mains1 Water Construction Mains (WCM) 2,117,300$ 1,943,385$ 2,917,101$ (173,915)$ 799,801$ 2 Water Cast Iron Main Replacement (WCI) 10,609,917 9,360,983 11,578,223 (1,248,934) 968,306 3 Water Construction Relocation Mains (WCR) 4,254,786 2,082,994 2,007,547 (2,171,792) (2,247,239) 4 Water Construction Contract Mains (WCC) 3,097,648 4,828,138 2,544,295 1,730,490 (553,353) 5 Water Construction Developer Mains (WCD) 100,000 19,457 77,000 (80,543) (23,000) 6 Water Construction Pioneer Main (WCP) 3,461,229 2,609,691 2,297,697 (851,538) (1,163,532)

23,640,880 20,844,648 21,421,863 (2,796,232) (2,219,017)

Other Distribution System Property7 Replacement of Obsolete/Broken Hydrants 360,000 266,373 300,000 (93,627) (60,000) 8 Replacement of Obsolete/Broken Valves 360,000 374,708 420,000 14,708 60,000

720,000 641,081 720,000 (78,919) -

Buildings, Land and Equipment9 Buildings, Land and Equipment Platte West 420,000 403,140 816,000 (16,860) 396,000 10 Buildings, Land and Equipment Florence 9,605,738 6,571,545 17,993,060 (3,034,193) 8,387,322 11 Buildings, Land and Equipment Platte South 5,188,128 4,067,893 5,597,482 (1,120,235) 409,354 12 Repumping 665,931 1,188,872 375,000 522,941 (290,931) 13 Construction Machines 1,069,995 921,615 1,239,999 (148,380) 170,004 14 Furniture, Equipment and Miscellaneous 400,240 190,336 293,000 (209,904) (107,240)

17,350,032 13,343,401 26,314,541 (4,006,631) 8,964,509

15 Salvage Credits on Construction Machines/Transfers (75,000) - (75,000) 75,000 -

Total Plant Additions and Replacements 41,635,912 34,829,130 48,381,404 (6,806,782) 6,745,492

Reimbursable 6,773,811 8,161,168 2,370,108 1,387,357 (4,403,703)

Total Cost to the District 34,862,101$ 26,667,962$ 46,011,296$ (8,194,139)$ 11,149,195$

VARIANCES

WATER DEPARTMENTPLANT ADDITIONS AND REPLACEMENTS

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGET, VARIANCES

LINE 2014 2014 2015NO BUDGET ACT/EST BUDGET

Mains1 Water Construction Mains (WCM) 2,117,300$ 1,943,385$ 2,917,101$ 2 Water Cast Iron Main Replacement (WCI) 10,609,917 9,360,983 11,578,2233 Water Construction Relocation Mains (WCR) 4,254,786 2,082,994 2,007,5474 Water Construction Contract Mains (WCC) 3,097,648 4,828,138 2,544,2955 Water Construction Developer Mains (WCD) 100,000 19,457 77,0006 Water Construction Pioneer Mains (WCP) 3,461,229 2,609,691 2,297,697

23,640,880 20,844,648 21,421,863

Other Distribution System Property7 Replacement of Obsolete/Broken Hydrants 360,000 266,373 300,0008 Replacement of Obsolete/Broken Valves 360,000 374,708 420,000

720,000 641,081 720,000

Buildings, Land and Equipment9 Buildings, Land and Equipment Platte West 420,000 403,140 816,000

10 Buildings, Land and Equipment Florence 9,605,738 6,571,545 17,993,060 *11 Buildings, Land and Equipment Platte South 5,188,128 4,067,893 5,597,48212 Repumping 665,931 1,188,872 375,00013 Construction Machines 1,069,995 921,615 1,239,99914 Furniture, Equipment and Miscellaneous 400,240 190,336 293,000

17,350,032 13,343,401 26,314,541

15 Salvage Credits on Construction Machines/Transfers (75,000) - (75,000)

Total Plant Additions and Replacements 41,635,912 34,829,130 48,381,404

Cost Reimbursements:Contributions in Aid of Construction 6,773,811 8,161,168 2,370,108

Total Cost to the District 34,862,101$ 26,667,962$ 46,011,296$

Variance: 2015 Budget vs. 2014 Budget - net of cost reimbursements 11,149,195$

*

Funded by Service/Commodity rates.

Funded by customers/developers - costs are not incurred unless requested by a customer/developer; MUD sometimes serves as Pioneer main "developer", in which case, costs are recovered over time as connections occur to the Pioneer main.

Funded via bond issuances; debt principal and interest payments funded by Service/Commodity rates.

"Colors of Money"

Costs recovered via Capital Facility Charge Fee; various categories of main expenditures analyzed to determine fee (assessed based on meter size for new water service connections).

Funded by "Water Infrastructure Replacement" charge.

Bond issuance will result in incremental bond carrying costs (principal and interest payments) to be funded by Service/Commodity rates

DESCRIPTION FUNDING SOURCES

WATER DEPARTMENTPLANT ADDITIONS AND REPLACEMENTS

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGETFUNDING SOURCES - "COLORS OF MONEY"

2015 2016Buildings, Land & Equipment - Platte West

Carryover - Projects Approved in 2014; amounts to be spent in 2015 SCADA Server Replacement 200,000 All Other 55,000

255,000 New Requests for 2015

PW High Service Pump Director Replacement 100,000 40,000 All Other 461,000

561,000

Total Buildings, Land & Equipment - Platte West 816,000

Buildings, Land & Equipment - FlorenceCarryover - Projects Approved in 2014; amounts to be spent in 2015

SCADA Upgrade 2,163,472 Valve Procurement Package - Filter Plant 1,100,000 Site Piping/Fire Loop Rep 208,388 Design-Phase 2 Filter Plant Renovation 180,000 120,000 All Other 80,000

3,731,860 New Requests for 2015

Filter Plt-ASMEI/Filter Process Improvements-Construction 9,600,000 7,680,000 C-Basin - Demolition-Construction 1,339,000 NPDES Upgrades - Water Discharge Permit work 500,000 500,000 Guard Shack, Pershing Gate/Fence & Paving Improvements-Constr 432,000 Raw Water Intake ASMEI & Process Improvements-Construction 314,000 Upgrade Chlorine scrubber from liquid to dry media 300,000 36th and Edna roof replacement 275,200 Site Piping - Replace C Basin & Filter Influent Piping-Design 250,000 Primary Basins-Process Improvements to Existing Primary Basins-Design 230,000 Pre-Sedimentation Automation of Sludge Blowdown - Construction 208,000 Site Civil - Paving-Construction 177,000 C-Basin - Demolition - Design 120,000 Primary Basins - ASMEI Improvements - Design 120,000 All Other 396,000

14,261,200

Total Buildings, Land & Equipment - Florence 17,993,060

WATER DEPARTMENT2015 PROJECT DETAIL

2015 2016Buildings, Land & Equipment - Platte South

Carryover - Projects Approved in 2014; amounts to be spent in 2015 Construction Phase-Replace Nordberg Engines 1,454,561 Replace Wellfield Communication 381,954 Replace Filter Media Beds 1,2,5,7,8 300,000 Replace Gas Engines - Wellfield 298,767 Construct Phase 2-HVAC 275,000 All Other 213,200


NPDES Compliance 1,000,000 Clearwell Roof Replacement 600,000 Replace Chlorine Scrubber Media 300,000 Replace Fluoride Fill Station 175,000 Wellfield Road Repairs 135,000 Dust Control on 3rd & 4th floor 135,000 All Other 329,000

2,674,000

Total Buildings, Land & Equipment - Platte South 5,597,482

RepumpingNew Requests for 2015

Turner Blvd Standby Pwr/Pwr Distr Equip Replacement 275,000 400,000 All Other 100,000

Total Repumping 375,000

WATER DEPARTMENT2015 PROJECT DETAIL

2015Construction Machines

Carryover - Projects Approved in 2014; amounts to be spent in 2015 63 & OAK/Repl 1 Large Forklift, Stores 234,999

New Requests for 2015(2) JT922 Directional Bore Machines 370,000 (1) Large Vacuum Excavator FX60 150,000 (1) Drop Hammer/Tamper 125,000 (1) Large Vacuum Excavator FX30 110,000 (1) Skid Steer & Attachments 100,000 All Other 150,000

1,005,000

Total Construction Machines 1,239,999

Furniture, Equipment and MiscellaneousCarryover - Projects Approved in 2014; amounts to be spent in 2015 - Misc. 33,000

New Requests for 2015Storage bin filter sytem - Florence 150,000 All Other 110,000

260,000

Total Furniture, Equipment and Miscellaneous 293,000

2015 PROJECT DETAILWATER DEPARTMENT

Capital Expenditures Gas Department

MAIN TYPES INCLUDED IN CAPITAL EXPENDITURES BUDGET DEFINITIONAL INFORMATION - GAS

GCM Main = Gas Construction Mains Construction is necessary for improvement and betterment of the system and may or may not make service available to an unserved area. All costs are borne by the District.

GCI Main = Gas Cast Iron Main Replacement (Infrastructure)

Replacement of cast iron infrastructure mains. GCR Main = Gas Construction Relocation

A relocation job required because of a highway, bridge or sewer construction project that involves distances greater than 25 feet. Relocation of less than 25 feet is maintenance and charged to expense (and therefore, not reflected in the capital budget).

GCC Main = Gas Construction Contract

The extension or relocation of a main that is requested by a customer. District costs are reimbursed by the “requestor”.

GRM Main = Gas Revenue Main

A gas main installed under a contract where an allowance for contribution-in-aid of construction is based on incremental net income. If 10-year revenue analysis determines that cost will be recovered, there is no contribution.

GCP Main = Gas Construction Pioneer Main

A pioneer approach main is a main connected to the existing distribution system where adequate capacity is available to meet the requirements of the applicant and is sized to provide service to the applicant and adjacent areas. It extends to the far end of the property/development to be served. The developer contributes to the cost of these mains.

LINE 2014 2014 2015 2016 2017 2018 2019NO DESCRIPTION BUDGET ACT/EST BUDGET BUDGET BUDGET BUDGET BUDGET

Mains1 Gas Construction Mains (GCM) 1,650,129$ 1,209,968$ 1,265,100$ 1,900,000$ 1,700,000$ 1,700,000$ 1,900,000$ 2 Gas Cast Iron Main Replacement (GCI) 6,118,509 6,310,212 9,475,826 10,440,771 11,842,884 13,531,908 13,937,865 3 Gas Construction Relocation Mains (GCR) 690,000 382,341 610,000 370,000 390,000 410,000 430,000 4 Gas Construction Contract Mains (GCC) - - - - - - - 5 Gas Revenue Mains (GRM) 526,287 1,353,610 1,567,853 1,858,000 2,010,000 2,174,000 2,352,000 6 Gas Construction Pioneer Main (GCP) - - - - - - -

8,984,925 9,256,131 12,918,779 14,568,771 15,942,884 17,815,908 18,619,865

7 Replacement of Small Gas Valves - 4,058 100,000 105,000 110,000 115,000 120,000

Other Distribution System Property8 Metering Equipment 1,700,000 1,815,977 2,094,000 2,485,000 2,692,000 2,916,000 3,159,0009 New Services 2,733,000 3,098,000 3,566,000 4,228,000 4,575,000 4,952,000 5,360,00010 Leaking Service Replacement 3,382,174 3,554,000 3,460,590 3,315,450 3,118,808 2,862,783 2,586,27311 GIR Service Replacements (MUD) 4,290,000 4,193,000 4,980,000 5,344,000 5,506,000 5,674,000 5,846,00012 GIR Service Replacements (Contracted) 2,035,220 1,911,000 2,525,000 3,454,000 4,449,000 5,500,000 5,668,00013 Regulator Stations Infrastructure 54,722 47,341 83,000 87,000 91,000 95,000 100,00014 Regulator Stations & Equipment 964,658 631,587 520,000 500,000 525,000 552,000 580,000

15,159,774 15,250,905 17,228,590 19,413,450 20,956,808 22,551,783 23,299,273

Buildings, Land and Equipment15 Buildings, Land and Equipment 8,043,332 5,277,151 7,287,005 5,300,000 2,830,000 3,300,000 1,790,00016 Information Technology Equipment 7,129,069 4,052,275 6,023,189 6,000,000 5,000,000 4,000,000 4,000,00017 Motor Vehicles 1,431,477 1,645,130 1,940,000 2,000,000 2,000,000 2,000,000 2,000,00018 Furniture, Equipment and Miscellaneous 1,443,300 800,384 991,175 896,061 922,943 950,631 979,150

18,047,178 11,774,940 16,241,369 14,196,061 10,752,943 10,250,631 8,769,150

Major System Retirements19 Service Piping Abandonments 1,031,333 1,083,916 1,056,779 1,014,167 956,151 880,369 798,493

Salvage Credits on Motor Vehicles (60,000) (60,000) (60,000) (60,000) (60,000) (60,000) (60,000)

Total Plant Additions and Replacements 43,163,210 37,309,950 47,485,517 49,237,449 48,658,786 51,553,691 51,546,781

Cost Reimbursements:*GCA Recoverable 2,590,000 2,645,600 1,766,710 1,340,000 1,390,000 2,810,000 1,670,000

Total Cost to the District 40,573,210$ 34,664,350$ 45,718,807$ 47,897,449$ 47,268,786$ 48,743,691$ 49,876,781$

FIVE YEAR PROJECTION OF PLANT ADDITIONS AND REPLACEMENTSGAS DEPARTMENT

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGET, 2016- 2019 PROJECTION

2014 ACT/EST 2015 BUDGETLINE 2014 2014 2015 VS. VS.NO DESCRIPTION BUDGET ACT/EST BUDGET 2014 BUDGET 2014 BUDGET

Mains1 Gas Construction Mains (GCM) 1,650,129$ 1,209,968$ 1,265,100$ 440,161)($ 385,029)($ 2 Gas Cast Iron Main Replacement (GCI) 6,118,509 6,310,212 9,475,826 191,703 3,357,317 3 Gas Construction Relocation Mains (GCR) 690,000 382,341 610,000 (307,659) (80,000) 4 Gas Construction Contract Mains (GCC) - - - - - 5 Gas Revenue Mains (GRM) 526,287 1,353,610 1,567,853 827,323 1,041,566 6 Gas Construction Pioneer Main (GCP) - - - - -

8,984,925 9,256,131 12,918,779 271,206 3,933,854

7 Replacement of Small Gas Valves - 4,058 100,000 4,058 100,000

Other Distribution System Property8 Metering Equipment 1,700,000 1,815,977 2,094,000 115,977 394,000 9 New Services 2,733,000 3,098,000 3,566,000 365,000 833,000 10 Leaking Service Replacement 3,382,174 3,554,000 3,460,590 171,826 78,416 11 GIR Service Replacements (MUD) 4,290,000 4,193,000 4,980,000 (97,000) 690,000 12 GIR Service Replacements (Contracted) 2,035,220 1,911,000 2,525,000 (124,220) 489,780 13 Regulator Stations Infrastructure 54,722 47,341 83,000 (7,381) 28,278 14 Regulator Stations & Equipment 964,658 631,587 520,000 (333,071) (444,658)

15,159,774 15,250,905 17,228,590 91,131 2,068,816

Buildings, Land and Equipment15 Buildings, Land and Equipment 8,043,332 5,277,151 7,287,005 (2,766,181) (756,327) 16 Information Technology Equipment 7,129,069 4,052,275 6,023,189 (3,076,794) (1,105,880) 17 Motor Vehicles 1,431,477 1,645,130 1,940,000 213,653 508,523 18 Furniture, Equipment and Miscellaneous 1,443,300 800,384 991,175 (642,916) (452,125)

18,047,178 11,774,940 16,241,369 (6,272,238) (1,805,809)

Major System Retirements19 Service Piping Abandonments 1,031,333 1,083,916 1,056,779 52,583 25,446

Salvage Credits on Motor Vehicles (60,000) (60,000) (60,000) - -

Total Plant Additions and Replacements 43,163,210 37,309,950 47,485,517 (5,853,260) 4,322,307

Cost Reimbursements:*GCA Recoverable 2,590,000 2,645,600 1,766,710 55,600 (823,290)

Total Cost to the District 40,573,210$ 34,664,350$ 45,718,807$ (5,908,860)$ 5,145,597$

VARIANCES

GAS DEPARTMENTPLANT ADDITIONS AND REPLACEMENTS

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGET, VARIANCES

2014 2014 2015LINE DESCRIPTION BUDGET ACT/EST BUDGETNO

Mains1 Gas Construction Mains (GCM) 1,650,129$ 1,209,968$ 1,265,100$ 2 Gas Cast Iron Main Replacement (GCI) 6,118,509 6,310,212 9,475,826 3 Gas Construction Relocation Mains (GCR) 690,000 382,341 610,000 4 Gas Construction Contract Mains (GCC) - - - 5 Gas Revenue Mains (GRM) 526,287 1,353,610 1,567,853 6 Gas Construction Pioneer Main (GCP) - - -

8,984,925 9,256,131 12,918,779

7 Replacement of Small Gas Valves - 4,058 100,000

Other Distribution System Property8 Metering Equipment 1,700,000 1,815,977 2,094,000 9 New Services 2,733,000 3,098,000 3,566,000 10 Leaking Service Replacement 3,382,174 3,554,000 3,460,590 11 GIR Service Replacements (MUD) 4,290,000 4,193,000 4,980,000 12 GIR Service Replacements (Contracted) 2,035,220 1,911,000 2,525,000 13 Regulator Stations Infrastructure 54,722 47,341 83,000 14 Regulator Stations & Equipment 964,658 631,587 520,000

15,159,774 15,250,905 17,228,590

Buildings, Land and Equipment15 Buildings, Land and Equipment 8,043,332 5,277,151 7,287,005 16 Information Technology Equipment 7,129,069 4,052,275 6,023,189 17 Motor Vehicles 1,431,477 1,645,130 1,940,000 18 Furniture, Equipment and Miscellaneous 1,443,300 800,384 991,175

18,047,178 11,774,940 16,241,369

Major System Retirements19 Service Piping Abandonments 1,031,333 1,083,916 1,056,779

Salvage Credits on Motor Vehicles (60,000) (60,000) (60,000)

Total Plant Additions and Replacements 43,163,210 37,309,950 47,485,517

Cost Reimbursements:Contributions in Aid of Construction - - -

*GCA Recoverable 2,590,000 2,645,600 1,766,710

Total Cost to the District 40,573,210$ 34,664,350$ 45,718,807$

Variance: 2015 Budget vs. 2014 Budget - net of cost reimbursement 5,145,597$

SOURCES"Colors of Money"

Funded by "Gas Infrastructure Replacement" charge.

Funded by Service/Commodity rates.

Funded by addition to fixed rates (Gas Cost Adjustment) related to operational "peaking" expenditures at LNG and propane caverns. Not charged to interruptible customers.

GAS DEPARTMENTPLANT ADDITIONS AND REPLACEMENTS

2014 BUDGET, 2014 ACTUAL/ESTIMATE, 2015 BUDGETFUNDING SOURCES - "COLORS OF MONEY"

FUNDING

2015 2016Buildings, Land & Equipment

Carryover - Projects Approved in 2014; amounts to be spent in 2015 725 KW Backup Generator Replacement & Relocation-LNG 998,821 Repl Delaval Comp Gas Seal Panel LNG 248,226 Delaval Rotor & Seal Repair - LNG 220,728 Delaval oil turn down tank 198,935 CNG Station Backup Power Generator 150,000 DT Garage Floor Sealing & Stripping 143,647 All Other 194,048


Manufactured gas clean up 20th and Center 1,500,000 1,500,000 Remodeling - Downtown, Operating & Construction Center 1,184,600 500,000 Downtown Office Backup Power Modification Construction 445,000 Trailer mounted genset for CNG fueling station backup 400,000 Gas Distribution SCADA Phase 3 400,000 Downtown Office Front Entrance Remodel Design & Construction 350,000 Downtown Office Electrical Panel Boards & Motor Control Center Upgrade 197,000 P/A Roof Replacements - LNG 150,000 100,000 Construction Center Work Bay Renovation 125,000 Scan Gas & Water service cards 100,000 Transportation Tool Room Upgrade 100,000 117th Cavern Study Findings 100,000 All Other 581,000 UNSPECIFIED TIMING CHANGE (500,000) 500,000

5,132,600

Total Buildings, Land & Equipment 7,287,005

GAS DEPARTMENT2015 PROJECT DETAIL

2015 2016 2017Information Technology

Carryover - Projects Approved in 2014; amounts to be spent in 2015 Mobility System Implementation Phase 1 * 1,839,000 SAP Technical upgrades 557,886 Repl ruggedized, regular laptop, desktop computers, printers 380,000 SCADA Master Plan 2012 271,530 Disaster Recovery for IT 175,000 HR Initiatives 200,000 Gas "D" SCADA System Phase 2 127,012 Customer Self Service Apps 111,478 All Other 77,783


Implement District's Mobility System Program-Phase II & III * 500,000 1,500,000 SAP Functional Upgrade 250,000 250,000 Data Center equipment upgrades and replacements 250,000 - Network equipment upgrades and replacements 250,000 - SAP BW on HANA - 250,000 Payment System upgrade 250,000 - Convert IT infrastructure - Virtualization 200,000 - SAP GEO.e (Geographical Enablement of SAP) 150,000 150,000 Develop software applications-Customer self-service-Phase II 150,000 - Employee Intranet Portal-functional expansion 150,000 - SAP Fleet Management 100,000 200,000 200,000All Other 33,500

2,283,500

Total Information Technology 6,023,189

* See next slide


2015 2016Information Technology (continued)

* Mobility Initiative - Phases I, II & IIIVirynet/Mobile UP Replacement 1,000,000 1,000,000 Mobility Infrastructure and Related Items 825,000 325,000 Collectors 50,000 50,000 Measurement 50,000 50,000 Gas Distribution 65,000 50,000 Water Distribution 50,000 25,000 Stores (Inventory Manager, Barcoding, Materials Resource Planning) 75,000 - External Plumbers (Backflow Testing) 50,000 - External Plumbers (Sewer Laterals) 50,000 - Computerized Maintenance Management System 25,000 - LNG Plant Maintenance 24,000 - Water Plants Maintenance 75,000 -

2,339,000 1,500,000


2015Motor Vehicles

Carryover - Projects approved in 2015; amounts to be spent in 2015 20,000

New Requests for 2015(3) CNG Cube Vans 315,000 (1) CNG Anode Truck 210,000 (1) CNG Chlorine Truck 200,000 (3) CNG Cargo Vans 200,000 (1) CNG Tandem Axle Dump Truck 190,000 (1) CNG Single Axle Dump Truck 175,000 (2) CNG Cargo Vans 135,000 (1) F450 Valve Turner Truck 120,000 All Other 375,000

1,920,000

Total Motor Vehicles 1,940,000

Furniture, Fixtures and EquipmentCarryover - Miscellaneous 3,659

New Requests for 2015Misc. Tool Replacement > $1,000 100,000 All Other 887,516

987,516

Total Furniture, Fixtures and Equipment 991,175

2015 PROJECT DETAILGAS DEPARTMENT

metropolitan utilities district committee meeting · 2011. 5. 14. · letter to the committee dated...

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