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The City of Port Coquitlam

MEMORANDUM

B. Kirk DATE: October 28, 1992
City Administrator

J. Maitland, City Treasurer -
Deputy Administrator

1993 Sewer Utility Budget and Rates
FIG Committee October 21/92

RECOMMENDATIONS:
That the 1993 budget for the sewer utility totalling $2,694,400 be approved.
That the sewer user rates be revised as outlined in the attached rate schedule.

That the engineer be requested to prepare a detailed five year capital plan for the
sewer utility.

BACKGROUND & COMMENTS:
Budget:

The attached budget totals $2,694,400 and consists of three major components:

The City’s operation and maintenance costs have increased as a result of growth, new pipe
(150 km of sewer mains to maintain up from 146.5 in 1992) and facilities (16 lift stations
in 1992, 18 in 1993) to maintain, and inflation. City operation and maintenance projected
costs for 1993 total $653,300.

The City’s capital program totals $822,000 and is financed partially from current rates
($361,800) from reserves ($297,700) and from provincial grants ($162,500). With limited
funds availabie from our reserve account, expected balance at the end of 1993 is
$468,000. It is recommended that the engineer prepare a longer term detailed capital plan
so we can better determine what future capital expenditure requirements will be.

The G. V. R. D.’s levy totals $1,219,100, this levy includes the costs of operation,
maintenance and capital for the sewerage district. Costs in 1992 were higher than we had
anticipated due mainly to the timing of when budgets are finalized (see separate report).
The increase in costs from what was anticipated in 1992 to what is expected in 1993 works
out to approximately $15.50 per residential unit. Representatives from the Regional
District have been invited to November 2nd’s council meeting to address their budget.

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