Title
Incorporated County of Los Alamos Resolution No. 23-31, a Resolution Authorizing the Utilities Manager and the Deputy Utilities Manager - Finance And Administration, to Execute Documents with the New Mexico Environment Department on Behalf of Los Alamos County Relating to a Water Production Pipeline Along New Mexico Highway 4 in Los Alamos, Special Appropriation Project Number SAP 22-G2352-STB
Recommended Action
I move that Council approve Incorporated County of Los Alamos Resolution No. 23-31, a Resolution Authorizing the Utilities Manager and the Deputy Utilities Manager - Finance And Administration, to Execute Documents with the New Mexico Environment Department on Behalf of Los Alamos County Relating to a Water Production Pipeline Along New Mexico Highway 4 in Los Alamos, Special Appropriation Project Number SAP 22-G2352-STB.
Utilities Manager's Recommendation
The Utilities Manager recommends that the Board approve Incorporated County of Los Alamos Resolution No. 23-31.
Board, Commission or Committee Recommendation
The Board of Public Utilities approved Resolution No. 23-31 at their regular meeting of September 20, 2023 and recommends that Council approve as presented.
Body
The 2022 New Mexico State Legislature granted the Incorporated County of Los Alamos
$400,000 for construction of a replacement 16" water transmission line along New Mexico State Road 4 (NM-4) between White Rock and the NM-4 / NM-502 intersection. The 58 year-old existing waterline has experienced a number of failures in recent years and the repairs are difficult, usually taking a few days to complete, due to the pipe being a concrete cylinder type. In addition, the NMDOT will be reconstructing NM-4 in this area in three years. The road will be widened resulting in some of the existing pipeline being under the new paved road and sections of the existing waterline will be in conflict with some of the new drainage structures. Replacing the pipeline ahead of the roadway improvements will eliminate the risk of waterline leaks damaging the new road and disruption of the water supply to resolve conflicts encountered during the road construction. The line will be replaced with a new 16" ductile iron pipe and placed outside of the new paved roadway and accommodate the new drainage structures.
Alternatives
If the resolution is not approved the $400,000 grant will be lost.
Fiscal and Staff Impact/Unplanned Item
The project is estimated to cost $5.5 million dollars. DPU has secured this grant in the amount of $400,000 and an additional loan/grant from the New Mexico Finance Authority Water Trust Board (WTB). The award from the WTB is a grant in the amount of $2,600,000 and a loan in the amount of $2,400,000 (20-year term, 0% interest rate, 0.25% administrative fee). The loan/grant agreement for the WTB award is expected to be presented to the Utility Board and County Council in early 2024.
Attachments
A - Resolution No. 23-31
B - NM-4 Waterline Map
C - Publication Notice