Rate Impact Analysis & Capital Improvement Plan

Project Highlights

  • Development of Capital Improvement Plan
  • Rate Impact Analysis
  • Inventory of Assets
  • Field Inspections
  • Cost Estimates

Analysis Helps Community Determine Its Water Future

Tighe & Bond conducted a conditions assessment and developed a Capital Improvements Plan (CIP) for the infrastructure and assets of the Town of Portland, CT’s water and wastewater systems, and projected the rate impact of implementing the CIP. The purpose of the CIP and rate impact study was to identify the capital investment needs for the Town of Portland’s water and wastewater systems and to assess their potential impact on future rates, so that the Town and its rate payers could evaluate planning decisions, including the potential option to become a member community of the Metropolitan District Commission (MDC).

In order to create the CIP, Tighe & Bond engineers first conducted a conditions assessment of major assets. Field inspections focused on above-ground assets such as sites, structures, and mechanical/electrical systems. Using existing capital plans and historical maintenance records, Tighe & Bond then created a desktop analysis of below-ground assets and prepared an inventory of the infrastructure and assets. Based on this inventory, recommendations were identified and prioritized, and budget-level cost estimates for the recommended improvements were developed.

Tighe & Bond then reviewed the Town of Portland’s current rate structures for the water and wastewater systems and current operating budgets, and projected new rates required to cover all costs under various scenarios. The analysis considered retirement of existing debt and escalation of operating costs.

The debt service requirements developed from the CIP and water consumption assumptions used for the Portland rate impact analysis were provided to MDC for them to determine the impact on MDC rates should Portland become a member Town. MDC’s findings were evaluated and a comparison of rates was provided to Portland and to the MDC in a report.

Services Snapshot

Tighe & Bond provided field inspections and developed an inventory of above-ground and below-ground assets for the Town of Portland. Tighe & Bond then developed a Capital Improvements Plan for the Town, with recommendations for projects to prioritize, as well as budget-level cost estimates for the recommended prioritized improvements.

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