Woodard & Curran, Inc. is under an extended contract with the City and Orange County that runs through September 30, 2021, to operate and maintain the Water Conserv II water reclamation program joint facilities near Winter Garden. The Water Conserv II program, jointly owned by the City and Orange County, currently provides 34 million gallons of reclaimed water per day (average annual daily flow) to irrigation customers and aquifer recharge through rapid infiltration basins (RIBs).  Conserv II serves reclaimed water to various users including food crop growers, nursery owners, golf courses, and a number of residential users in developments located in western Orange County and eastern Lake County. Conserv II provides reclaimed water to other utilities including systems that are owned and operated by Winter Garden, Ocoee and Orange County.

City and County staff have negotiated the FY 2016/2017 operations and maintenance (O&M) budget to be $4,115,550 including reimbursable costs. The FY 2016/2017 O&M budget is about 6% higher than the previous FY’s budget. The O&M portion of the budget is divided between the City and Orange County on a flow proportional basis. Certain reimbursable costs (e.g. electrical power) have been removed from Woodard & Curran’s contract. These reimbursable costs will be paid directly by the County. The City will reimburse the County based on the City’s proportion of the total flow handled by Conserv II. The budget for these reimbursable costs is $700,000. The City’s share of the O&M cost is estimated at $1,316,976 including reimbursable costs. 

The capital portion of the budget is shared 50/50, reflecting the City's and Orange County's joint ownership of the facilities. The FY 2016/2017 budget for capital expenses is $5,120,875 representing an approximate 102% increase in the previous year’s capital expenses. The proposed capital budget will fund a number of needed renewal and replacement initiatives, RIB upgrade measures, engineering studies, transmission pipeline repair and modifications and a vehicle purchase. The City’s share of the capital cost is estimated at $2,560,438.

The overall budget for O&M and capital improvements is $9,236,425 for FY 2016/2017. Woodard & Curran’s contract amount is $8,536,425. The City's share of the Woodard & Curran budget and the overall budget is approximately $3,653,414 and $3,877,414, respectively.

Woodard and Curran plans to use a number of City of Orlando certified MBE and WBE firms during FY 17 on an as-needed basis to provide services, materials and supplies as indicated on the attached vendor list. The proposed level of participation in regard to the City's share of the budget are estimated to be 22.23% for MBE and WBE services. Additional opportunities may be available on capital related budget items.

Approve the budget for Woodard & Curran, Inc. for Fiscal Year 2016/2017 (the City's share of the total operation and maintenance cost of the joint facilities will be $3,877,414 including reimbursable and capital costs), pending adoption of the City wide FY 2016/2017 budget, and authorize the Public Works Director to execute the budget authorization letter.