City of Morgan Hill Sewer System Master Plan 2017

8.3.2 Construction Triggers The CIP improvements are prioritized based on their urgency to mitigate existing deficiencies and to serve future growth. The construction triggers for each improvement are as follows: Existing Users x It is recommended that improvements for the existing deficiencies be constructed as soon as possible. Future Users x The amount of equivalent dwelling units (EDUs) that the existing pipe can handle before a replacement or parallel pipe will have to be constructed. 8.3.3 Construction Phasing The Capital Improvement Program was divided into the following phases: General Plan Horizon: x Near Term: This short-term phase consists of improvements for the fiscal years (FY) 2018 through 2020 for improvements that are required to resolve existing deficiencies and other critical pipes in the sewer system. x Intermediate Term: This intermediate term phase includes improvements that are required to be completed for fiscal years 2021 through 2025. x Long Term: This long-term phasing includes improvements that are required to be completed for fiscal years 2026 through 2035. City staff has cited certain improvements to have more specificity and those have been assigned certain Phases based on growth assumptions. This phasing plan is subject to revisions by City staff based on how new developments occur. The City is capable of allocating larger resources based on the necessity of the projects and will perform updated reassessments as necessary. 8.3.4 Recommended Cost Allocation Analysis Capacity allocation analysis is needed to identify improvement funding sources, and to establish a nexus between development impact fees and improvements needed to service growth. In compliance with the provisions of Assembly Bill AB 1600, the analysis differentiates between the project needs of servicing existing users and for those required to service anticipated future developments. Table 8.2 lists each improvement and separates the cost by responsibility between existing and future users. The cost responsibility is based on model parameters for existing and future land use, and may change depending on the nature of development.

August 2017

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City of Morgan Hill Sewer System Master Plan