HomeMy WebLinkAbout1999 04 27 Other Memo from Ron McLemore
APRIL 27, 1999
HANDOUT FROM CITY MANAGER RON
McLEMORE.
".
~\~]'J::-9, -S'
(j/,~\
<h~:,. " ,,J",, .\~
.)../ . "\. ..>~ '1--.. \~
1-1.' .,..
- /. . \
U' ',,-.j ICIJ
, \ ",. I.
\lncorplll'~i '.\, )/
"""- 195Q:'j'
',t--2:0R\O~
Ronald W McLemore
City Manager
CITY OF WINTER SPRINGS, FLORIDA
1126 EAST STATE ROAD 434
WINTER SPRINGS, FLORIDA 32708-2799
Telephone (407) 327-1800
MEMORANDUM
To:
Tuscawilla Beautification and Lighting District Advisory
Committee
From:
Ronald W. McLemore, City Manager
v-
Date:
April 26, 1999
Subj:
Comparison of Assessment District and Florida Power
Corporation Lighting Cost
Staff has completed its analysis of the cost of the proposed lighting system for
the District, comparing the service being provided by a Florida Power
Corporation owned system and an Assessment District owned system.
In both scenarios, full replacement cost of the Capital Investment has been
calculated. For the Assessment District option, staff used a replacement cost
developed from combined 15 and 30 year and full 30-year life cycles. As we
understand it F.P.C utilized a 7-year cost recovery system.
Based upon an analysis the annual cost are as follows:
Florida Power Corporation Owned
Assessment District Owned
$51,800
$71,371
Additionally, we tested to see what the cost would be if we utilized a full 3D-year
capital cost recovery rather than a combined 15/30-year cost recovery. This
option also demonstrated the F.P.C. option to be the least costly as follows:
Florida Power Corporation Owned
Assessment District Owned
$51,800
$62,236
Therefore, I am at this time concluding that the F.P.C. alternative should be
recommended to the City Commission. If the Committee can provide additional
data that might change this conclusion I would certainly be willing to change my
recommendation.
"..
There are two alternative courses of action.
1. The Committee and staff agree on a recommendation. In this case the
issue of the lighting provider will be included in your final report.
2. The Committee and staff do not agree on a recommendation. In this
case the staff will place this issue on the May 1 0, 1999 agenda for final
disposition by the City Commission.
Ijp
cc: Mayor and Commission
Word/Memo/Apr99/District Comparison
.'
COMPARISON
NET LIGHTING COST
30-YEAR BOND ISSUE
15/30 Yr. Life Cycle 30 Yr. Life Cycle
Assessment Assessment Florida Power
District District Corporation
Total Cost $86,071 $76,936 $66,500
Less City 14,700 14,700 14,700
Contribution
Net Cost $71.371 $62.236 $51 ,800
Parcels 4,468 4,468 4,468
Annual Assessment $15.97 $13.92 $11.59
,r' ,-
COMPARISON
TOTAL ANNUAL LIGHTING COST
30-YEAR BOND ISSUE
15/30 Y r. Life Cycle 30 Yr. Life Cycle
Assessment Assessment Florida Power
District District Corporation
Cost
Electricity $4,500 $4,500
Maintenance
Lamps/Fixtures $6,400 $6,400
Wiring $5,000 $5,000
Poles $1 .500 $1.500
Subtotal $12,900 $12,900
Insurance $500 $500
Replacement $26,001 $16,866
Administration
Collections $2,200 $2,200 $2,200
Role Recertification $1 .500 $1 ,500 $1 ,500
Subtotal $3,700 $3,700 $3,700
Statutory Reserve $3,800 $3,800 $3,800
Debt Service $34,670 $34,670
Lease $59,000
TOTAL $86.071 $76.936 $66,500
."
ANAL YSIS
DEBT SERVICE
30-YEAR BOND ISSUE
Capital Cost
Design
Construction
Lights
Fixtures
Poles
Subtotal
Wiring
Wiring
Conduit
Subtotal
TOTAL
$20,000
$100,000
$130.000
$230,000
$154,000
$102,000
$256.000
$506.000
$34,670
Annual Debt Service
~ I ."
ANAL YSIS
REPLACEMENT COST
30-YEAR BOND ISSUE
(15/30 Year Life Cycle)
Cost Life Cycle Annualized Cost
Design $20,000 30 $667
Design $10,000 15 $667
Lights
Fixtures $100,000 15 $6,667
Poles $130,000 30 $4,333
Wiring
Conduit $102,000 30 $3,400
Wire $154,000 15 $10.267
Subtotal $256,000 $13,667
TOTAL $516,000 $26.001
ASSUMPTIONS
1. 140 Light Installations.
2. Washington Pole w/Flagler Fixture.
3. is-year life cycle on wire.
4. is-year life cycle on fixtures.
5. 30-year life cycle poles and conduit.
6. Wire represents 60% of underground installation cost.
7. Conduit represents 40% of underground installation cost.
J' J'
ANAL YSIS
REPLACEMENT COST
30-YEAR BOND ISSUE
(30 Year Life Cycle)
Cost Life Cycle Annualized Cost
Design $20,000 30 $667
Lights
Fixtures $100,000 30 $3,333
Poles $130,000 30 $4,333
Wiring
Conduit $102,000 30 $3,400
Wire $154,000 30 $5,133
Subtotal $256,000 $8,533
TOTAL $506 , 000 $16.866
ASSUMPTIONS
1. 140 Light Installations.
2. Washington Pole w/Flagler Fixture.
3. 30-year life cycle on wire.
4. 30-year life cycle on fixtures.
5. 30-year life cycle poles and conduit.
6. Wire represents 60% of underground installation cost.
7. Conduit represents 40% of underground installation cost.