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There are different methods that may be used to fund capital projects. Funding of capital <br />improvement projects directly from rates is an important source of funding. The City recognized <br />early on in this rate study that the existing funding levels from rates for local sewer collection <br />rehabilitation and replacement projects was inadequate, given the draft results of the Asset <br />Management Study. However, the key question to be answered by this study was what level of <br />annual funding from rates should be provided to begin to position the City for the future wave of <br />rehabilitation and replacement projects in the next twenty to forty years. <br />Given a projection of O &M and capital expenditures, the revenue requirements were <br />summarized. A summary of the revenue requirements is shown below in Table ES-1. <br />ha Executive Summary ES-3 <br />l. City of Pleasanton Local Sower Rat* Study <br />