Title
Consider and take action on a resolution authorizing of a Professional Services Agreement with Freese and Nichols, Inc. (FNI) to perform a Water and Wastewater Master Plan and Capital Recovery Fee Update (WT/WW 1704) in an amount not to exceed $645,000 (Director of Engineering)
Background:
If approved, this resolution will authorize a Professional Services Agreement with FNI to update the water and wastewater master plans and determine the maximum capital recovery fees associated with the proposed capital improvements being master planned. The detailed scope of work is provided in the Exhibit A of the attached professional services agreement.
The City is currently experiencing growth and over the next several years anticipates continued residential growth along with commercial and industrial growth. To more accurately identify system needs and recommend future permanent improvements to the water and wastewater systems, updates to the water and wastewater master plans are necessary. In addition, State law allows for cities to collect Capital Recovery Fees (CRFs) as an exaction if the public benefit from the exaction is roughly proportional to the burden imposed on the public by allowing the proposed land use (i.e., each use or development must pay its fair share or its approximate equivalent). Section 395.052 of the Texas Local Government Code requires that the land use assumptions and capital improvements plan (water and wastewater Master Plan Update) for which CRFs are imposed shall be reviewed, evaluated, and updated a minimum of every five (5) years. Originally programmed to start in early 2023, staff is recommending an early start so capital recovery fees will be reflective of current construction costs.
The FY2022-2026 CIP reflects both projects with at total budget of $700,000 in FY2023. Staff requests beginning the studies early to capture the current cost of CIP projects in light of inflammatory pressures as we update the CRF plan. Approval...
Click here for full text