Adopted Capital Improvement Program Budget FY 2024-25 through FY 2029-30

City of Morgan Hill Capital Improvement Program FY 2024-25 – FY 2029-30

Project Name: Sewer Plant Expansion

Project No. WW3003

Project Location

Financial Comments The City of Morgan Hill is responsible for 41.9% of this overall project with the remaining amount funded by the City of Gilroy. The funding for the expansion will be covered by Wastewater Impact Fees paid by developers. The City has issued bonds to provide the immediate funding for this program, which will be repaid by future development impact fees. Funds appropriated for FY 2024-25 are the final funds necessary to complete the City’s share of the $75 million project.

SCRWA Treatment Plant, Gilroy

Operating Cost Impacts Costs will increase significantly to manage the larger plant but are necessary to manage the increased capacity associated with growth and will be balanced in the long term by an increased number of customers paying fees associated with that growth.

Expenditure Schedule Annual Expenditures

2024-25

2025-26

2026-27

2027-28

2028-29

2029-30

Fund-641

4,000,000

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Project Cost $ 4,000,000

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Estimated Project Schedule

Timeline for Completion

Completed Completed

Planning

Project Design

Right of Way/ Acquisition/Permitting

Completed

Construction

In progress, to be completed FY 2024-25

Project Close-out

FY 2024-25