TOWN OF OCEAN CITY
FISCAL YEAR 2021 PROPOSED BUDGET
In accordance with the rate study, the rates for wastewater service remain the same at $9.60 per quarter, generating $13,265,472 in revenue. Capacity fees are expected to generate $191,400 in FY 21. Capacity fees are used to offset debt service costs for Wastewater department capital projects. Service to West Ocean City is budgeted at $835,000. Actual charges for this service in FY 20 were $813,612. Revenue from plumbing permits decrease, while lab fees are expected to increase in FY 21. No Federal grant funds are shown as the bonds with the Build America Bond interest subsidy are being refinanced. The Wastewater portion of the lighting retrofit project will cost $74,189, which has been funded through the Wastewater fund balance.
Forty-six positions are funded in the Wastewater Fund. Three positions are currently shared with Water: an Office Associate, the Purchasing Technician and a SCADA Technician. A step increase effective January 1, 2021 has been included. Overtime costs are anticipated to increase $5,000 in FY 21. Benefit costs for health insurance, retiree health, and worker’s compensation decrease, while retirement increases.
CHANGES IN OPERATIONS:
Contracted Services include services provided by professional architects and engineers and tipping fees. A rate study to determine Water and Wastewater rates for the next five years was funded in FY 20. Tipping fees and land application disposal fees are reduced $27,550 in FY 21, and have been included at $400,800. Permit fees paid to the Maryland Department of the Environment have been budgeted at $6,000. Building maintenance has been budgeted at $131,271. Replacement of three roofs at a cost of $115,350, and replacement rollup doors on the Biosolids building at a cost of $21,356 were included in the FY 20 budget. Plant equipment maintenance has been budgeted at $344,450, a reduction of $158,550. Fournier press maintenance, primary thickener valve replacement, oases relief valve repairs and oases D.O. meter replacement were funded in the Plant division in FY 20. Supplies and Materials remain funded at the FY 20 level. Approximately $723,405 of this line item is budgeted to purchase chemicals for wastewater treatment. Lime is included at $170,000 and sodium hypocholorite is included at $200,000. Sodium bisulfite is funded at $124,000. Energy costs have been budgeted to decrease. Vehicle fuel decreases and repair cost estimates increase for this department. Intragovernmental allocations for radio equipment lease and insurance increase, while General Overhead expense, IT Services, and vehicle lease decrease for this fund. Debt service increases in FY 21. Transfer to capital projects includes $750,000 for Biosolids process rehabilitation, $858,000 for Collection system pipe lining, $441,242 for main repairs, $100,000 for concrete repairs, and $400,000 for the plant generator transfer switch upgrade. The Wastewater share of the lighting retrofit project has been funded at $74,189. A ½ ton 4×4 pickup truck and a dump truck were funded through Vehicle Trust for this division.