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HomeMy WebLinkAboutDTS-10-035 - Stormwater Management implementation - Consultant purchase order extension1 Kl~rc~~R Qevelo pment & Technical Services Report To: Development and Technical Services Committee Date of Meeting: February 8, 2010 Submitted By: Grant Murphy, Director of Engineering Services Prepared By: Grant Murphy, Director of Engineering Services Ward(s) Involved: All Wards Date of Report: January 29, 2010 Report No.: DTS-10-035 Subject: STORMWATER RATE IMPLEMENTATION -CONSULTANT PURCHASE ORDER EXTENSION RECOMMENDATION: That the scope of work for AECOM Canada (formerly TSH Associates) be extended in the amount of $35,000 to include the implementation of the Council approved stormwater rate methodology. BACKGROUND: Council approved the award of engineering services to AECOM Canada (formerly TSH Associates) in June 2005 to conduct the Stormwater Management Program and Funding Review. In April, 2007 AECOM Canada presented the interim findings of the Study to Council (DTS Report 07-073); which identified the City's current level of service, as well as a sustainable level of service based on Federal and Provincial legislative requirements and guidelines. The report acknowledged the concern that a sustainable level of service was not being delivered with respect to SWM. On October 5t", 2009, Council received the Stormwater Management Program and Funding Review (DTS Report 09-042) and AECOM concluded that an equitable and defendable rate structure for stormwater was feasible to fully fund SWM programming within the City of Kitchener. On January 18, 2010, Council approved the principle of shifting stormwater programming from the tax base to a rate based approach in order to support the approved annual level of service of $9.9M (2007). Additionally, Council approved $80,000 in funding for the stormwater utility implementation program. The stormwater utility implementation program would be utilized to develop a rationalized fee structure, conduct additional community consultation, identify an appropriate scheduling of rate implementation and to develop supporting policies. 9-1 REPORT: On January 18t", 2010 Council approved staff to move forward with the stormwater utility implementation program. As such staff have begun work building on the findings of the previous study and over the next several months the following tasks will be completed or initiated: 1) Approval of preferred rate methodology as presented to Council on February 8, 2010. 2) Develop a communication plan to inform the public and engage stakeholders so as to obtain input to the stormwater rate implementation. 3) Refine residential and non-residential stormwater rate calculations. 4) Refine projected annual costs to produce a 10-year cash flow analysis (2011 to 2020). 5) Finalize residential and non-residential stormwater rate calculations. 6) Prepare policy manual for credits and process for reviewing appeals and enforcing non-payment. 7) Prepare draft stormwater rate by-law based upon by-laws and ordinances in other municipal jurisdictions. 8) Recommend to Council before the end of May 2010 on the final rate structure and funding alternative will then be made. 9) Finalize master stormwater billing file data and incorporate into the existing utility billing system (CIS). 10) Prepare database management manual which outlines appropriate policies and procedures to generate and maintain the master billing data file . 11) Prepare administrative policies and procedures manual to address the computation of charges and other billing issues. In order to effectively meet the expectations of Council and the community related to the stormwater rate implementation project, additional resources are required to perform specific tasks. To assist staff in the development of the final rate structure and supporting policies, it is proposed that consulting services be acquired with specific expertise and knowledge related to rate setting and analysis. AECOM completed the feasibility study over the past five (5) years and have specific expertise that would ensure the effective and timely delivery of the balance of the project. Their work on the feasibility study has been of high quality and as such it is recommended that AECOM Canada be retained to provide an expanded scope of work, as identified in tasks 1 through 8 on the abovementioned list. FINANCIAL IMPLICATIONS: Funding for this scope of work will be available from the stormwater utility implementation program, as approved by Council on January 18, 2010. COMMUNICATIONS: none CONCLUSION: It is recommended that AECOM Canada be engaged to assist staff in the development of the final stormwater rate structure and supporting policies. ACKNOWLEDGED BY: Jeff Willmer General Manager, Development and Technical Services 9-2