PUM19971020PUBLIC UTILITIES COMMITTEE - CITY OF MUSKEGO
• MINUTES OF MEETING HELD MONDAY, OCTOBER 20, 1997
The meeting was called to order at 7:05 PM by chairman Sanders. Also present were
Committee members Woodard and Slocomb. Also present were Utility Supt., Scott Kloskowski,
Richard Eberhardt (Ruekert & Mielke) and those per the attached list.
The Committee noted that the meeting was posted in accordance with the Open Meeting Law
Personal Appearance of Mr. Don Vilione and Finance Director Dawn Gunderson - Final
Review of Sewer and Water 1998 Budgets:
WATER: Mr Vilione and Ms. Gunderson provided an overview of the budget with special
attention to the following areas:
1998 Proposed Budget/Net Income/(loss): ($185,432): With regard to this financial loss, the
question of whether water rates need to be raised. Mr. Villione indicated that the loss relates to
the interest payments and not the amount of revenue collected.
1998 Proposed Budget - Taxes: $223,715: Taxes are charged based on the infrastructure of
the Department i.e., hydrants, water towers, etc.
1998 Proposed Budget - Capital Outlay Costs: $61,000 to clean and paint water tower
$50,000 was budgeted last year, due to the project not being completed the cost for this project
• has increased. Removal of underground storage tank (25% of cost) $71,250. Scott Kloskowski
discussed the actual cost vs. the budgeted costs and how the percentage allocations are
determined between City departments. This project will be financed by borrowings. Well #2
replacement project $125,000. This project will also be financed by borrowings. Well
exploration study/construction of well #7 and pump station (project initiated in 1997, completion
slated for 1998), total cost will be $550,000 estimated. A $231,000 shortfall will be financed
temporarily with WCA funds and in 1998 the City will borrow to permanently finance this project
and accordingly repay the WCA funds
Schedule of Changes in Utility Working Capital: Operation and Maintenance Fund working
capital at end of year (1997) is projected to be $453,763. Last year $408,000 was projected.
For 1998, $451,901 is budgeted. Essentially break-even. Working capitals, beginning of the
year under the Debt Service Fund is budgeted in 1998 to be $1,624,436. This will leave
approximately $1,434,479 at the end of the year Scott Kloskowski questioned if the debt could
be paid with the excess funds? Currently, the fund is not structured for early pay off. Mr Vilione
explained that the City does not want to loose flexibility with the loss of cash pool.
Aid. Slocomb questioned whether the electric power used and the fees charged by the utility
included the proposed 15% rate hike. Pumping Expense (fuel or power purchased) in the
Operation and Maintenance Expense portion of the budget. Currently, budgeting $53,000.
Scott Kloskowski indicated that the Utility Clerks contact the utilities and inquire about upcoming
rate increases and those findings should be reflected in the numbers budgeted.
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Public Utilities Meeting - City of Muskego, October 20, 1997
Page 2
Ald. Slocomb also questioned Scott K., how labor was allocated. Scott K., explained that his
staff has their time along with other individuals within the City allocated between both Water and
Sewer Department budgets.
SEWER: Mr Vilione and Ms. Gunderson provided an overview of the budget with special
attention to the following areas:
Contract costs to MMSD: Costs are amortized into the future. TIF Districts 2-7 still contribute
towards the MMSD Capital costs.
Income and Expense Budget Net income/(loss): 1997 Adopted Budget ($663,161), 1998
Proposed Budget (697,127). Due to loss, should rates increase? The $375.00 per year rate
was established years ago to create a fund for future expenses due to the unknown (at that
time) costs of the MMSD. In 1998, the City will be approximately $200,000 short in revenue for
payment to MMSD ($1,000,000 budgeted, proposed actual per MMSD: $1,200,000), however in
1997 there will be approximately $200,000 excess in the fund due to a less than anticipated bill
from MMSD.
Schedule of Changes in Utility Working Capital 1997 Projected: The Operation and
Maintenance Fund working capital, beginning of year $3,109,283. Working capital, end of year
$1,727,712. In 1998, the working capital at the end of the year is projected to be $889,821 The
reason, in part is to the $3,000,000 in MMSD charges that have depleted this fund over the
years. Due to this depletion of funds, sewer rates may have to be increased for 1999 in order to
deal with the yet unknown future charges from the MMSD.
• Schedule of Construction Funds: $918,432 is projected to be retained as a positive balance
after all construction is completed for 1998.
Sewer Utility Special Debt Service Fund 1998 Budget: Proposed 1998 Budget of Fund
balances, beginning of year is slated to be $986,974. This money will be utilized as an
"emergency" fund to provide a buffer and allow for a gradual increase to sewer rates if and when
MMSD charges increase.
Mr Vilione also mentioned that approximately $535,000 is being disputed currently by the City
with respect to Non-WPAP Charges. This issue has not been taken to the Commission,
however they (the Commission) are aware of the situation and will discuss at the appropriate
time.
Aid. Woodard moved to recommend approval of the 1998 Water Budget. Aid. Sanders
seconded. Vote 3-0, carried by all.
Aid. Sanders moved to recommend approval of the 1998 Sewer Budget. Aid. Woodard
seconded. Vote 3-0, carried by all.
STATUS OF PROJECTS
City Engineer Rich Eberhardt discussed with the committee the status of the following projects:
See attachment. Specific discussion regarding the following topics:
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Public Utilities Meeting - City of Muskego, October 20, 1997
Page 3
HiView Acres: Complaints from residents on this project should be forwarded to Rich Eberhardt.
• Current problems include; culvert damage, damage to mailboxes etc.
Lannon/Martin Sewer Project: Rich discussed design difficulties with power pole location and
the necessity of a manhole. Cost estimates due to the 15-20 foot trench depth are in the $25-
28,000 range. Options include installing forced laterals at a cost of $7-8,000 each. The
concerns from the residents are the assessments increase for the lift stations in addition to the
maintenance of those lift stations. The Committee would like to see if an option exists for hung
plumbing for the farm site with lift stations on the other two properties. A letter should be drafted
and sent to the Baas family asking if they could accommodate hung plumbing. Aid. Sanders
moved to have the City send a letter to the residents inquiring about the hung plumbing
option with Richard Eberhardt to additionally provide some preliminary numbers for the
hung plumbing and the Simplex pumps. Aid. Woodard seconded. Vote 3-0, carried by
all.
SEWER UNFINISHED
Status of REC Allocation: 931
Status of Town of Norway Contract: Scott Kloskowski met with the City Attorney and City
Engineer Still working on collecting data from various sources. Hearing set for December 4,
1997
Update on MMSD Facilities Plan: Scott reports that the plan is moving through the process at
the DNR.
Status of 208 Sewer Plan Amendment: Scott reports no change at this time.
Status of MMSD Non-WPAP Charges: Mr Vilione reported that $535,000 is currently being
disputed. This issue has not been taken to the Commission, however they (the Commission)
are aware of the situation and will discuss at the appropriate time.
Further review of rei
Mr Jack
Schwabenlender asking for immediate residential service for 7 single-family homes. Aid.
Sanders moved to approve the 7 connections requested. Aid. Slocomb seconded. Vote
3-0, carried by all.
7lATI"19I:14*9
Review Sewer Usage -Pioneer Center: Resident requested agenda item. Resident failed to
appear. Remove from agenda.
Discuss Sewer Hook-up - Loyal Moose Lodge 1057: Scott K., explained that the lodge had
planned to level the building in question and construct a new structure. The prior deadline to
connect to the sewer was November 18, 1993. Mr Larry Wachowiak appearing on behalf of the
Lodge, explained that individuals no longer active in the Lodge failed to comply with the prior
deadline. Currently, the Lodge has met with a bank in order to secure funds to build. Spring,
• 1998 is the projected start date. The Planning Commission has already reviewed and approved
the conceptual plan. Aid. Slocomb moved to apply stand-by charges effective January 1,
Public Utilities Meeting - City of Muskego, October 20, 1997
Page 4
1998. Seconded by Aid. Woodard. Vote 3-0, carried by all. Place this project on June,
• 1998 agenda as "Unfinished Business" Loyal Moose Lodge 1057 Status.
Approve quarterly bill for Town of Norway Sanitary District No. 1. Aid. Woodard moved to
accept the Third Quarter Gallonage charges ($18,898.55) from Town of Norway Sanitary
District No. 1. invoice. Aid. Slocomb seconded. Vote 3-0, carried by all.
Approve quarterly bill for MMSD: Aid. Woodard moved to approve the quarterly MMSD bill
($148,433.04). Aid. Sanders seconded. Vote 3-0, carried by all.
Review quotes for pump replacement/McShane Lift Station: Scott K., prepared a comparison
between repairing/replacing the pump. It will take 6-8 weeks for a new pump. Approximately
$1,500 has been spent fixing the pump temporarily. Cost to repair $12,739. Cost to replace,
including steel impeller and casing wear rings $17,073. Aid. Slocomb moved to approve the
replacement of the pump at the McShane Lift Station, including the steel impeller and
casing wear rings. Funding to come from Equipment Replacement Fund. Aid. Sanders
seconded. Vote 3-0, carried by all.
Review request for sewer service-Linnie Lac (City of New Berlin): Letter received by Mayor
(attached). MMSD has approved this project. Discussion regarding how many connections the
City can give and does the City want to provide these extra connections? Metering of the sites
was also a concern. Aid. Sanders moved to approve the concept to add connections to
Linnie Lac, subject to discussion and contractual agreement with the City of New Berlin.
Aid. Slocomb seconded. Vote 3-0, carried by all.
• WATER UNFINISHED
Status of Well Abandonment & Forced Hook-up: Scott K., had no news on this item.
Being no further business to discuss, Aid. Slocomb moved to adjourn the meeting at 9:40
13M. Aid. Woodard seconded. Vote 3-0, carried by all.
Respectfully submitted,
Linda Gulgowski
Recording Secretary
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Date: � o 12-0
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• PUBLIC UTILITIES COMMITTEE
THURSDAY OCTOBER 20, 1997
CITY PROJECTS:
BOXHORN, RYAN, GROVEWAY
CITY ATTORNEY IN PROCESS OF AMENDING AND SIGNING AN AGREEMENT
WITH THE BONDING COMPANY
THE CONTRACTOR HAS FILED A NOTICE OF CLAIM WITH THE CITY
LOOMIS DRIVE
CONTRACTOR REPAIRED SETTLED PAVEMENT
HIGHVIEW ACRES
MSS-1-97
NO WORK ON PUMP STATION SITE
MSS-2-97
CONTRACTOR RE-LAID PART OR ALL OF 5 LINES DUE TO LACK OF PITCH
CONTRACTOR HAS RELAYED AGAIN THE LINE TO THE DURHAM DRIVE PUMP STA.
PAVING COMPLETED MONDAY OCTOBER 6 EXCEPT FOR SURFACE ON DURHAM DR
WHICH IS WAITING ON RELAY
THE CONTRACTOR HAS YET TO CONSTRUCT ROAD DITCHES IN DURHAM WHERE
HILL WAS LOWERED
• HOLZ DRIVE SEWER MSS-3-97
REVISED PLANS SENT TO MMSD. FOR REAPPROVAL
LETTER TO OWNERS REQUESTING GRINDER PUMP STATION CHOICE BY
DECEMBER 12, 1997
WOODS ROAD SEWER (MSS-5-95) AND WATER AND RACINE AVE. - PIONEER DR TO
MUSKEGO REGENCY (MW-21-95)
RESTORATION COMPLETED
ONE DRIVEWAY COMPLAINT UNDER REVIEW
WELL NO 7
PUMPHOUSE FOR WELL #7
UNDER CONSTRUCTION, PROJECT WAS DELAYED THREE WEEKS
HOPE TO HAVE BUILDING CLOSED IN BY DECEMBER 1, 1997
SUBSTANTIAL COMPLETION IS SCHEDULED FOR MARCH 19, 1998
FINAL COMPLETION IS SCHEDULED FOR APRIL 9, 1998
WATER TOWER REPAINTING
SCHEDULED FOR APRIL 1998
NORTH CAPE ROAD - HI VIEW TO SOUTH
LIFT STATION DESIGN STARTED
MMSD SUBMITTAL EARLY NOVEMBER
• MARTIN DRIVE GRINDER STATION AND FORCE MAIN
SURVEY WAS SENT TO CITY FOR MR. DENSEN
DISCUS WITH COMMITTEE ALTERNATIVES. ROUGH COSTS
• PUBLIC UTILITIES COMMITTEE
OCTOBER 20, 1997
DEVELOPMENTS:
CHAMPIONS VILLAGE PHASE 2
NOTHING NEW
DEER CREEK TWO
PRECONSTRUCTION CONFERENCE HELD AUGUST 28, 1997
HAVE NO START DATE
EPI LIFT STATION / FORCE MAIN
FINAL REDESIGN WILL COMMENCE UPON RECEIPT OF A WRITTEN
DETERMINATION WHETHER OR NOT TO INCLUDE BRIGGS AND STRATTON IN
DEPTH OF DESIGN
PARK ESTATES (AKA PARK VIEW ESTATES)
UNDER CONSTRUCTION, SANITARY SEWER IS DONE
RACINE AVENUE OFFICE PARK / BERG (PRIVATE SEWER)
PUNCH LIST WORK REMAINS
AS BUILT APPROVED BY MMSD
RACINE AVENUE SEWER - MILLER
PUNCH LIST REVIEW DONE WORK REMAINS
• AS BUILT APPROVED BY MMSD
SAL FERRITO SEWER (PRIVATE SANITARY SEWER)
PUNCH LIST REVIEW WORK REMAINS
AS BUILT SENT TO MMSD
CANDLEWOOD - NOTHING NEW
LAKEWOOD MEADOWS ADD NO 2
UNDER CONSTRUCTION
MUSKEGO CENTER / BERG WATER MAIN RELOCATION
NOTHING NEW
MUSKEGO REGENCY
NEW SERVICES TO BE INSTALLED THIS WEEK, OLD SERVICES ABANDONED
MYSTIC DR SEWER (LUDWIG/STRAMPE)
NOTHING NEW - RESTORATION INCOMPLETE
VICTORIAN VILLAS - NOTHING NEW
PRECONSTRUCTION CONFERENCE HELD APRIL 28, 1997 4PM
START DATE NOT SET - SOMETIME IN AUGUST ???
STILL NOT STARTED
•