Title
Presentation regarding the implementation of the City of Pflugerville Comprehensive Drainage Master Plan and Drainage Utility Fee.
Summary
The City Council amended the comprehensive Aspire plan to include the Drainage Master Plan in September 2023. Setting up a drainage utility allows the city to establish a user fee based on the impact properties place on the drainage system. A stormwater utility provides the means to fund and maintain the large stormwater capital improvements identified in the Drainage Master Plan and fund ongoing operation and maintenance operations related to drainage. NewGen Strategies & Solutions, a sub-consultant to Halff for the Drainage Master Plan, was tasked with conducting a feasibility study to implement a drainage utility for the City of Pflugerville. The report prepared by NewGen Strategies & Solutions entitled “Drainage Utility Fee Feasibility Study” serves as a companion report to the Drainage Master Plan. NewGen Strategies & Solutions also prepared a financial plan to determine the City’s cost of service associated with the provision of Stormwater service and to develop projected rates for the drainage utility fee specific to Fiscal Years (FY) 2023 through FY 2027.
The Drainage Utility Fee Feasibility Study outlined several benefits to a local government implementing a dedicated drainage utility fee:
▪ Revenue - A dedicated fee generates a stable source of revenue to fund stormwater projects.
▪ Structure - A distinct utility creates an organized entity to solve the problems regarding stormwater management including aging infrastructure, development, and legal challenges.
▪ Environment - Increased focus on stormwater issues such as erosion, flooding, preservation of source water and water quality can encourage environmental initiatives.
▪ Regulation - A dedicated drainage utility can focus on meeting the requirements of state permits and other regulatory mandates and provides the means of collecting the revenue required to construct and maintain large stormwater capital improvements needed to help protect City businesses and residents from the effects of flooding.
The purpose of the worksession is to present the plan for developing the drainage utility fee, including the public engagement, and to pose questions for City Council to consider as the development of the drainage utility fee progresses.
Prior City Council Action
For the Drainage Master Plan, the City Council approved the second reading on September 12, 2023 and the first reading on August 22, 2023 of an ordinance to amend the Aspire Pflugerville 2040 Comprehensive Plan to adopt the Drainage Master Plan dated August 2022. The Planning & Zoning Commission recommended the Drainage Master Plan August 7, 2023.
Funding Expected: Revenue _X_ Expenditure __ N/A __
Budgeted Item: Yes _X_ No __ N/A __
Amount: ________
1295 Form Required? Yes __ No _X_
Legal Review Required: N/A _X_ Required __ Date Completed: ___________
Supporting documents attached:
Drainage Utility Fee Feasibility Study
Recommended Action
To discuss the proposed drainage utility fee.