UPDATE: City of Tigards Long Term Water Supply Options

1
UPDATECity of Tigards Long Term Water Supply
Options

• Joint City Council IWB Workshop
• July 15, 2003

2
Current Options

• Portland Bureau of Water Works
• Joint Water Commission
• Willamette Water Supply Agency

3
Portland Option

• Wholesale Water Contract Negotiations
• Participating Agencies
• City of Gresham
• Rockwood Peoples Utility District
• City of Tigard
• City of Tualatin
• Tualatin Valley Water District
• West Slope Water District
• Other small wholesale customers

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Key Issues

• Nomination of Supply
• Rates Changes
• Customer Withdrawal
• Curtailment
• Funding Management of CIP

5
Wholesaler Objectives

• Long term planning rate projections
• Stability in rates
• Guarantee of firm supply, quality, pressure
• Reduction in price
• Objective standards used in pricing
• Minimum purchase set at amount, not percent
• Joint ownership of future facilities
• No deferred maintenance to supply/transmission
• Eliminate penalty if a wholesaler uses less water

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Portland Objectives

• Insure benefits of water sales to wholesale
  customers
• Certainty of revenue
• Long term viability of water supply system
• Insure safe, reliable efficient water supply
  system
• Maximize benefits from Bull Run Supply System
• Balance risks associated with wholesale sales
• Protect ability to provide supply to retail
  customers
• Work for an economic solution benefiting retail
  customers.

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Status

• Currently meeting on a scheduled basis
• 1/3 of draft contract has been reviewed
• Issues Remaining
• Pricing
• Minimum Purchase
• Joint Funding Management of future CIP

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Projected Timelines

• Complete model contract by Fall 2003
• Complete Tigard contract by Winter 2003
• Ask Council for action by January 2004

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Joint Water Commission Option

• JWC has developed a City of Tigard Membership
  Proposal
• Future Capital Improvement Projects

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Proposal Concept

• 4 million gallons per day membership share
• Buy-in costs are an estimated 9-12 million
  dollars
• Need to lease stored water from member
• May be ready for approval by Fall of 2003

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Buy-In Payment

• Proposal avoids an up-front payment
• Tigard would become responsible for larger
  percentage of future Capital Improvement Projects
• Anticipate spreading 9 million dollar buy-in
  over three projects within the next 7 years

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Proposed Projects Schedule
See Attached Worksheet
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Willamette Water Supply Agency

• Revisions to IGA
• Name
• Willamette River Water Coalition
• Partners
• Tualatin Valley Water District
• Canby Utility Board
• City of Tigard
• City of Sherwood
• City of Tualatin
• City of Gladstone
• Funding Formula

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Mission of the WRWC

• Protecting the Willamette River
• Protecting our Water Rights
• TIGARDS ASSIGNMENT OF WATER RIGHTS ARE INTACT

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QUESTIONS ANSWERS

• Next Meeting
• OCTOBER 21, 2003