City water projects delayed

May 18—Editor's note: this article has been updated to reflect a hearing on the city's fiscal year 2023 will be held May 24, not May 25.

The Norman City Council on Tuesday stared down more water improvement projects the city will be forced to kick down the road after voters turned down a water rate increase in April.

As city staff prepare to seek council approval of the fiscal year ending 2023 budget, the council discussed the enterprise during a study session Tuesday. The enterprise fund's revenue is fueled by user fees that water and sanitation depend on.

The water department manages more than 635 miles of water infrastructure, ranging in size from 6-48 inches. Its line maintenance crews repair an average of 170 water line breaks each year, a staff presentation indicated.

Norman's water rates fall below nearly every city, including Oklahoma City, Edmond, Enid and Moore. But it's roughly the same rate compared to Midwest City, a staff generated chart showed.

The city is the only municipality in the state where voters must adopt new utility rate increases. The last water rate increase voters approved was in 2015 to fund water treatment plant improvements and 2 million additional gallons of ground water per day.

Had voters approved the rate increase proposed this year, the $4.7 million revenue increase would have been used to issue bonds for projects including automatic meter readers, a groundwater blending facility to improve chlorination levels and water line replacements.

The newspaper reported that the loss of revenue has forced city staff to consider other options that will be more costly in the long term because projects will be implemented in phases against rising construction material costs and increasing interest rates.

Utilities Director Christ Mattingly told the council that it had no choice but to delay several projects, many of which have been delayed before.

"We just shift them out," he said. "We try to keep doing the ones we can and push these things out to stay in the black [ink]."

The largest water line replacement project that remains outstanding in the next fiscal year is a $9.7 million water line replacement on Robinson Street from 24th NE to Flood Avenue. It was delayed in fiscal year 2021 and now has been moved to fiscal year 2024.

Staff will also shift $5.4 million for water line replacements from on Flood Avenue from Gray and Robinson streets to fiscal year 2024 and on Alameda from 24th NE to Carter Avenue to fiscal year 2025.

Plans to commence an annual $3.3 million water replacement line program will be delayed again from fiscal year 2021 to fiscal year 2027.

Meanwhile, the city will phase in an advanced water meter reading system for $3.2 million among other projects it will complete in 2023. The technology provides real-time data to detect spikes in water usage to conserve water and prevent residents from paying higher bills in the event of a leak.

More than $9 million in water line replacements are planned in fiscal year 2023 along Porter Avenue, James Garner and Jenkins Avenue, from Robinson to Venture Drive on Flood and in the Southlake addition.

Disinfection improvements for the city's groundwater system will cost $2 million and a portion of $7 million in costs with the water reclamation fund to construct improvements to the line maintenance building.

Ward 7 Stephen Holman praised city staff for managing a leaner-than-usual revenue fund in the face of growing needs.

"It's remarkable management," he said. "We also haven't cut service from anybody. I know we're running a little more lean, but I think it shows really good use of our resources."

While the council's meeting was not open for public comment, a public hearing on the budget will be held during its regular meetings May 24 and comment allowed before the budget is adopted June 14.

The fiscal year begins July 1 and ends June 30, 2023, and the budget must be adopted seven days prior to the end of that year.

Mindy Wood covers City Hall news and notable court cases for The Transcript. Reach her at mwood@normantranscript.com or 405-416-4420.