RES 90130 - Laserfiche WebLink

2. WATER FLTND Water charges in 1990-9! are estimated tc generate approximately $4,715,000 in revenue with proposed expenditures projected to be $4,493,661, plus $650,000 towards debt service payments for the Sycamore Reservoir. A rate study is currently being finalized which will be recom/~ending water rates be adjusted to ensure that water revenues will meet expenditure requirements. For the first time it will also be recommended that the City begin to set aside reserves for capital replacement. This will also be reflected in the rates. The specific rates required to meet the full costs of the operation have not yet been determined. It is also being recommended (subject to the full rate review) that one Water System Operator and one-third of an engineering Technician for computer related projects (to be shared with Sewer and Engineering) be added to the water operation. V. REVISION TO CAPITAL IMPROVEMENT BUDGET The Counclt approved the 1990-91 Capital Improvement Budget (CIP) on April 3, 1990. We are recommending with the adoption of the budget that the CIP be amended as follows: $100,000 be appropriated for the seismic upgrading of Fire Station #1 $25,000 be appropriated for a modification to the Administrative building to provide additional office space for the City Attorney. With the consideration of the Capital Improvement Budget, in April it was suggested that two other issues would need to be addressed by the Council for potential amendment. The two issues were the water system improvements to the Downtown and the need for a new City Hall. It was indicated at the time of the CIP that the Downtown wa=er improvements would be addressed after the water rate study was completed. As soon as the study is completed it will be forwarded to the Council. The need for additional office space is needed throughout the Civic Center. 'While there is a critical need this is an issue which will require more thorough review. A preliminary recommendation will be forwarded to the City Council on an approach to this issue during the 1990-91 fiscal year. Given the fact the= any plan will require several years to implement, it is recommended that additional changes be made to the civic center complex at this time to meet the needs of the City Attorney.