Title
Consider a memorandum/resolution authorizing Addendum No. 8 for the Bell County Water Control and Improvement District No. 1 Lake Belton Plant Power Resilience Project, in the amount of $431,789.
Summary
DATE: April 18, 2023
TO: Kent Cagle, City Manager
FROM: Jeffery Reynolds, Executive Director of Public Works
SUBJECT: Authorize the Execution and Delivery of Addendum No. 8 to the Amended and Restated Water Supply Contract for the Lake Belton Water Plant Power Resilience Project.
BACKGROUND AND FINDINGS:
Bell County Water Control and Improvement District No. 1 (the District) operates a water treatment plant and transmission facility at the edge of Lake Belton. The District supplies treated water to area cities, including the City of Killeen. Senate Bill 3 (SB 3) of the 87th Texas Legislature requires all water providers to develop and implement an Emergency Preparedness Plan (EPP). A key factor of the EPP is the ability to provide water to all customers at a 20-psi minimum pressure for at least 24-hours in the event of a system-wide power outage. The District's EPP includes the installation of standby generators at the Lake Belton Water Plant.
On June 28, 2022, City Council authorized Addendum No. 7 to Amended and Restated Water Supply Contract of April 1, 2004, for the District Lake Belton Water Plant Power Resilience Project (the Project) in the amount of $4,895,000 (CCM/R 22-077R).
The District informed the customers, that receive water from the Lake Belton Water Plant, that their original intent to sell $9,570,000 in Water System Revenue Bonds (Series 2022A) to finance the Project was insufficient and an additional $998,512 is needed to fund the Project. This additional funding is needed due to an increase in actual project pricing compared to the original request for proposal pricing received in March of 2022. The portion of this additional funding that the City of Killeen will be responsible for is 43.2432%; or $431,789. The Distri...
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