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Table 1 is based on a 10 year amortization of cost recovery with Table 2 utilizing a 20 year amortization.
<br />TABLE 1
<br />
<br /> Total
<br /> Annual Cost Annual
<br />Pri0ri[v Amos. 10 Yrs. Billing Cost
<br />
<br />Existing 2,520 4,800
<br />A 7,537 4,800
<br />B 12,118 4,800
<br />C 15,827 4,800
<br />D 30,660 4,800
<br />
<br />Installation Total Annual
<br />Carrying Billable Billing
<br />Costs Cost~ Households Costs
<br />
<br />0 7,320 4,900 1.50
<br />150 12,487 4,900 2.55
<br />242 17,160 4,900 3.51
<br />317 20,944 4,900 4.28
<br />613 36,073 4,900 7.37
<br />
<br />TABLE 2
<br />
<br />: Annual Cost Annual
<br />Priority Amort. 20 Yrs. Billing Cost
<br />
<br />Existing 2,520 4,800
<br />; A 6,606 4,800
<br />i B 10,336 4,800
<br />~ C 13,355 4,800
<br />~ D 25,435 4,800
<br />
<br />Installation Total Annual
<br />Carrying Billable Billing
<br />Costs Costs Hguseholds Costs
<br />
<br />0 7,320 4,900 1.50
<br />132 11,538 4,900 2.36
<br />207 15,343 4,900 3.14
<br />267 18,422 4,900 3.76
<br />509 30,744 4,900 6.28
<br />
<br />B~d on the above calculations, if all priority arterial street lights are installed, and 4,900 residential properties
<br />arebilled directly, the annual cost to each property would be $6.28 to $7,37, or approximately $1.57 to $1.85
<br />persuarter. As the City grows, so will the number of residential properties and the need for additional priority
<br />arterial street lights. It is anticipated that the quarterly billing, in the amounts stated above, would continue to be
<br />sufficient to recover the costs of installation. It may be necessary to adjust this rate periodically if there is a
<br />significant increase in costs for operation and maintenance.
<br />
<br /> 2
<br />
<br />Committee Action:
<br />
<br />Provide direction on a permanent funding source [such as billing residential properties] and strategy for priority
<br />street lights or direct the installation of specific priority lights with the existing fund balance in the Furore Street
<br />Lighting Fund.
<br />
<br />ReViewed By:
<br />City Administrator
<br />Finance Director
<br />City Engineer
<br />
<br />FC: 04/25/95
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