20231165 Ver 1_Public Notice Comments_20230921 (25)

•
0
SUPPLEMENT
to
PRELIMINARY ENGINEERING REPORT
PROVIDING FOR EXPANSIONS TO PORTIONS OF ROANOKE ISLAND
DARE COUNTY REGIONAL WATER SUPPLY SYSTEMS
AUGUST 1975
HENRY VON OESEN AND ASSOCIATES, INC.
• Consulting Engineers & Planners
Wilmington, North Carolina 28401

TABLE OF CONTENTS
r -
L-J
SECTION DESCRIPTION PAGE
I Introduction I thru 2
QQ General Project Data 2 thru 5
III Construction Cost Estimates 5 thru 7
IV Combined Project Cost Estimate
& Financing Plan
V Rate Schedules and User Data
VI Budget for Completed Facility
VII Budget summary and economic
feasibility analysis
Schedule I;
Schedule 2:
• VIII Conclusions and Recommendations
_ 8
9 thru II
i I thru 12
12.thru 15
R

+ SUPPLEMENT +
to
PRELIMINARY ENGINEERING REPORT
PROVIDING FOR EXPANSIONS TO PORTIONS OF ROANOKE ISLAND
DARE COUNTY REGIONAL WATER SUPPLY SYSTEMS
I INTRODUCTION
General
This Preliminary Engineering Report (PER) Supplement has been prepared
to comply with Farmers Home Administration (FHA) Instruction 442.1, Guide 7.
The Dare Beaches Water and Sewer Authority (DBW&SA) has previously had a
PER prepared (with Addendum I and II), which proposes a regional water supply
system for the Dare Beaches area. in September 1974, a Supplement to the
PER was prepared to .revise and update the preliminary cost estimates and
• other financial data presented in the previously referenced documents. This
PER, Addenda 1.& II and PER Supplement provided a detailed analysis of the
proposed project, including an overall system plan, water supply source
investigation and analysis, and detailed cost and economic feasibility analyses
to demonstrate the viability of the proposed project.
Since completion of the PER, meetings have been held with representatives
of the North Carolina Local Governments Commission and other State and Federal
agency representatives. It has been determined that Dare County should be
the project sponsor and that the undertaking can be supported by General
Obligation Bonds supplemented by grant assistance by the State (under the
Clean Water Bond Act) and cooperating Federal Agencies. The Dare County
Board of Commissioners and other participating local units of government have,
by resolution, indicated their acceptance, desire and intent to proceed
0
. with the regional water supply project as proposed in the preliminary

engineering reports prepared for the DBW&SA. The Town of Manteo has also
Indicated its desire to participate in and receive water supply from the
project. Copies of these resolutions are attached as Appendix A to this
- report.
Purpose
The purpose of this PER Supplement is to present information pertaining
to proposed expansions of the Dare County Regional Water Supply System to
provide bulk water supply to the Town of Manteo and to construct a water
distribution system to rural users in certain areas of Roanoke Island. The
data presented in the original PER (September 1973), Addenda I (January 1974)
and II (April 1974),and the September 1974 PER Supplement are used extensively
as a basis for the information presented in this PER Supplement and should
be referred to for details pertaining to the project. Where changes are
presented, these are referenced in appropriate sections of the earlier reports.
•
II GENERAL PROJECT DATA
A. Area to be Served*
The Dare County Regional Water Supply service area is described
in detail in the September 1973 PER and was originally generally defined
as that part of the Dare Beaches area extending between Oregon Inlet on
the south and the Currituck County line on the north. It is now
proposed to expand the system to supply water to the Town of Manteo and
other designated areas on Roanoke Island.
B. Existing Facilities
There are no existing regional water supply facilities in the Dare
County area. The communities of Nags Head and Kill Devil Hills have
separate existing water supply systems. However, their source of water
• supply (fresh water pond) Is seriously overtaxed and incapable of meeting
2

supply requirements during peak demand periods. These systems and the
• water supply problem are discussed in detail on Pages 13-14 in the
September 1973 PER. Both of these community systems are in good condition
and will be integrated into the proposed regional system under the
continued ownership, operation and maintenance of the two towns. These
communities will become "bulk water supply" customers in the regional
system (see pages 49-51 in the PER and other information in later sections
of this suppl,ement).
The Town of Manteo also has an existing municipal water supply system.
The water supply source is a 26 acre well field located at the south-
western edge of the Town. The three existing wells range from 60, to
90 feet in depth and were:i.nstalled between 1950 and 1961. A new
water treatment plant was constructed in 1971. The plant provides for
aeration, clarification, iron removal, softening and chlorination.
A 200,000 gallon ground storage tank and a 75,000 gallon elevated storage
tank are also located at the plant site. A recent study conducted by
the Town's Engineer (Andrews, Miller and Associates, Inc., Consulting
,Engineers of Cambridge, Maryland) indicate that the average "safe"
production capacity of the system is 136,300 gallons per day (gpd),
and the peak capacity Is 204,500 gpd. The same study reveals that the
1973 average daily water supply demand for the system was 111,422 gpd,
with peak daily demands exceeding 170,000 gpd (August 1973). This
demand rate is expected to continue to increase. In anticipation of this
growing need, plus certain other problems inherent in expanding the Towns
existing production facilities, the Town•Council has recently resolved
to purchase water in bulk supply from the Dare County Regional Water
Supply System. This factor is included in the economic analysis presented
• later in this report.
3

C. Proposed Facilities and Service
• A detailed description of the originally proposed regional system
is presented on Pages 24-32 of the September 1973 PER. The Kitty Hawk
(North) and other possible service area distribution systems are
described in detail on' pages 33-47 of the PER. Alternative plans are
discussed.
Land requirements for the project are described in the above
referenced sections of the PER. Fourteen (14) well sites of approximately
one -acre each on Roanoke Island will be required to support the project.
Tentative locations have been identified and land acquisitions to support
the project are in progress at this writing. Approximately five acres
of land (on Roanoke Island) will be required for the water treatment
facility. A small piece of land will have to be acquired for location
of an elevated storage tank in the Kitty Hawk (North) service area. It
4 is planned that all trunk supply and distribution lines will follow public
roads and rights of way, thereby eliminating the need for any major
Band acquisition to support the project.
D. Proposed System
Proposed system descriptions are outlined in detail in the sections
of the PER described in "C" above. Water supply sources are discussed
in detail in Pages 13-24 of the September 1973 PER, and PER Addendum 1
(January 1974) gives a detailed description and analysis of the findings
of the research and test well drilling program conducted to prove
the adequacy of the proposed source of supply. Storage, treatment and
distribution system requirements are also defined in the above referenced
sections of the preliminary engineering reports. The quality of water
from the identified principal aquifer is considered to be excellent and
•
4

meets all prescribed standards for public water supply.
• E. Proposed System Expansions
It is now proposed to expand the Dare County Regional Water Supply
System Project to extend service to the Town of Manteo and some rural
areas in the northern portion of Roanoke Island.. Manteo will become
a bulk customer to the system. Rural customers will be serviced by a
distribution system designated as the Roanoke Island Service District.
Service will.be provided to both of these major users by a single 12 inch
trunk main from the regional system treatment plant site to the Mant®o
service area. Bulk water supply will be metered and delivered to the
Manteo water supply storage facilities (at the Towns treatment pi,ant site),
for further distribution by the Town through their own distribution
system.
A new water supply distribution system will also be constructed to
• serve selected areas designated as the Roanoke Island Service District.
Water will be metered and sold at retail rates to customers in the Service
District at the same rate proposed for other retail water customers on
the Regional System. A map showing the system expansions proposed in this
Supplement to the project is attached at the end of this report,
111 CONSTRUCTION COST ESTIMATES
Part 11, Section 5F of the September 1973 PER (pages 30-42) presented
preliminary construction cost estimates for the proposed regional water
supply and Kitty Hawk -North distribution system. Addendum 11 (April 1974)
addressed combining these two separate projects into a single project and
gave a gross estimate of the proposed combined project construction costs.
•
.1

This data was further revised and updated in the September 1974 PER Supplement
to reflect a total projected construction cost for
the project of $5,690,000
(See pages 5&6 of.the 1974 PER Supplement for total
project cost breakdown.
For purposes of this analysis the proposed Roanoke
Island system
extensions are considered as a new element of work
and a separate cost
estimate
has been prepared for this addition to the system;
however, a complete
project economic re-evaluation including this new
work will be presented
later in this report. Cost estimates for this proposed
additional work
follow:
A. Trunk Main for Service to Manteo and Roanoke
Island Service
District Area.
I. Trunk main and service to Manteo System
12t° water pipeline 90550 I . f .
at $ 1 1 .50 $
109, 825.
Service meter & pit Lump Sum
7,500.
Misc. pavement repair,
casings, etc.
4,200.
• TOTAL CONSTRUCTION COST $
121,525.
B. Roanoke Island Service District Distribution
System (California
Service Area)
1. Main Distribution 5y.stem
121° mains 600 I.f.
at 11.50 $
6,900.
811 mains 3,990•I.f.
at 4.50
17,955.
6" mains 5,270 I.f.
at 3.00
15,.810.
411 mains .990 I.f.
at 2.50
2,475.
Valves 1211 5 ea.
at 500.00
2,500.
811 6 'ea.
at 235.00
1,410.
610. 17 ea.
at 175.00
2,975.
Hydrants II ea.
at 400.00
4,400.
Services 1.5 ea.
at 225.00
3,375.
103 ea.
at 175.00
18,025.
Pavement Repairs, Casings, etc. LUMP SUM
4,550.
TOTAL CONSTRUCTION COST...... $
89,375.
6

C. Combined Project Cost Summary
Trunk main and service to Manteo System
Roanoke Island Service District Area
Contingency (10%),
ESTIMATED TOTAL EXPANSION PROJECT CONSTRUCTION COST
All of the above prices are considered to be current through
31 December 1975.
D. Revised -Dare County Regional Water Supply Project
Construction Cost Summary (total System with Expansion)
Regional Project constructions costs prior to
proposed Roanoke Island Expansion Project
Manteo/Roanoke Island Service District
•
S 121,525.
80,375.
20,100.
$ 222,000.
$ 5,690,000.
222,000
$ 5,912,000.
7

IV
COMBINED PROJECT COST ESTIMATE
AND FINANCING PLAN SUMMARY (ORIGINAL DARE
COUNTY REGIONAL SYSTEM PLUS ROANOKE ISLAND EXPANSIONS PROPOSED IN THIS
PER SUPPLEMENT)
The' following summarizes
the total revised project cost estimate and
financing plan when the proposed
Roanoke Island expansions are added to the
County Regional Water System.
It is intended that the applicantts (County)
contribution to the project will
be in the form of General Obligation Bonds,
which, based on current property
valuations and bonded indebtedness, can be
an amount up to $5,500,000. A
public referendum on 15 April 1975 approved
a $5.5 million General Obligation
Bond issue for this purpose. This schedule
identifies total project costs
and projected grant fund sources to support
e the project.
Clean Water
Federal FHA Loan
Item Bond Grant
Grants GO Bonds TOTAL
Construction $ 984,000
$ 601,000. $ 4,327,000. $ 5,912,000.
Land, easement o
& R/W
$ 150,000. $ 150,000.
Legal & Administrative
$ 80,000. $ 80,000.
Engineering
$ 393,000. $ 393,000.
Interest
$ 550,000.2 $ 550,000.2
Contingencies
$ (591,200)3 $ (591,200)3
TOTALS $ 984,000.
$ 601',000 $ 5,500,000. $ 7,085,000.
NOTES: (1) Federal Grants amounts
are based on an assumed construction
Grant of $601,000
from Farmers Home Administration.
(2) Based on two years
borrowed interest at 5' on projected
General Obligation
Bond issue of $5,500,000. ,(—
(3) Included in total
construction costs shown in Item I.
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8

V.
RATE SCHEDULES AND USER DATA
_
•
I. Bulk Water Sales
Rate schedules for the Dare County Regional Water
Supply System
were summarized in the September 1974 PER Supplement.
It is again
emphasized that water will be sold to the communities with
existing water
systems (i.e.; Nags Head, Kill Devil Hills and Manteo)
at a bulk
rate of $400.00 per million gallons. Each town will contract
to make
allocated minimum monthly payments (based on annual water
consumption
or usage)- as shown on Schedule I later in the report.
2. Retail Water Rates
Water customers outside of the areas serviced by the
municipalities
referenced above will become retail water users within
Service Districts
' served by the County Water System. Rates will be uniform
for these
customers throughout the system. The 1973 PER and the
September 1974
•
Supplement referenced the proposed rates for the Kitty
Hawk - North Service
District. The current established rates for that area
and the newly
proposed Roanoke Island Service District are summarized
as follows.
(These rates are subject to further adjustment when final costs are
determined).
First 3,000 gallons at $ 7.00
minimum
Next 7,000 gallons at $ 1.25
per 1,000 gallons
Next 40,000 gallons at $ .90
per 1,000 gallons
Next 50,000 gallons at $ .70
per 1,000 gallons
Next 100,000 gallons at $ .60
per 1,000 gallons
All over 200,000 gallons at $ .50
per 1,000•gallons
0
V

3. Use and Income
Estimates
a. Bulk Water
Customers
(i.e.; Towns with existing
Systems)
Nags Head:
$
5,500/month minimum
NOTE: Each of these
Towns will have minimum
Kill Devil
Hills: $
6,700/month minimum
over -runs during peak
season.
Manteo:
$
1,400/month minimum
(See Schedule 1).
b. Retail Water Sales to Service District Customers
(1) Kitty Hawk -North: Anticipated water sales and projected
income for this Service District was presented in PER and
Supplement. Minor revisions in total customer and water
sales potentials based on recent surveys and retail water rates
indicate a projected income from Kitty Hawk -North area to be
$160,000 per year based on an annual usage of about 90 million
a
gal Ions of water per year.
(2) Roanoke Island Service District. This service area is comprised
• -of the developed areas west and northwest of the town of
Manteo. There are approximately 148 private dwellings and 15
commercial establishments located within the area. it is assumed
that about 75% or some 103 of the potential domestic customers
:.:ind•ail of the commercial customers will connect to the system
immediately. The use and income estimate from the Roanoke
Island Service District is summarized as follows:
•
E

FIRST YEAR ESTIMATED
INCOME ISLAND SERVICE
DISTRICT
Total Annual Usage
• Type of User
Annual Rate
(million gallons)
Income
Residential
60
$ 84.00
2.16
$ 5,040.00
25
99.00
1.2
2,475.00
12
114.00
.72
1,368.00
6
132.00
.72
792.00
Comme rc i a I Use rs
10 small 120.00 .66 1,200.00
3 medium 150.00 .28 450.00
2 large 200.00 .25 400.00
ISLAND SERVICE DISTRICT -TOTAL INCOME $ 11,732.00
VI. BUDGET FOR COMPLETED -FACILITY
I. Operation and Maintenance
The operation and maintenance budget for the Dare County Regional
Water System is based on the anticipated costs for the County to
operate and maintain the regional water supply system and the distribution
systems for the Kitty Hawk (North) and Roanoke Island service areas.
The three towns (Nags Head, Kill Devil Hills and Manteo) will continue
to own and operate (and collect revenues from) their individual systems,
so no operation and maintenance costs for these town systems are included
In the Countys operation and maintenance budget.
Total operation and maintenance costs for the County" system
(combined project) for the three years of. operation are shown in the
following Schedule. Debt service costs are also reflected in this schedule.

Annual operation and maintenance costs for the originally proposed
regional system are shown on Page 32 of,the PER. With the proposed system
expansions it is concluded that operation and maintenance of the combined
regional project now proposed will be accomplished in accordance with
the schedule as summarized below:
COUNTY SYSTEM MAINTENANCE AND OPERATION COST SCHEDULE
Salaries 8 Associated Costs
Office expense, administrative
audit, etc.
Chemicals, supplies b materials
Power (Electricity)
Ist Year 2nd Year 3rd Year
$ 40,000. $ 44,400. $ 46,200
2,500. 2,800. 3,200.
3,700. 4,200. 4,800.
10,000. 11,000. 12,000.
Misc., maintenance b repairs
20,000.•
27,000,
32,000.
Debt Service
250,000.
326,040
326,040.
TOTAL
$326,200.
$415,440,
$4240240.
2. Other miscellaneous financial
data concerning
Dare County
was presented
In the September 1974
PER'Supplement.
VII BUDGET SUMMARY AND ECONOMIC
FEASIBILITY ANALYSIS
The aforementioned PER, Addenda and Supplements presented detailed
summaries of anticipated revenues from water sales, assessments, operation
and maintenance and debt service costs for the proposed project. The revised
Income estimate is predicated on bulk water sales to the Towns of Nags Head,
Kill Devil Hills and Manteo who presently own and operate their existing water
systems, and from retail sale of water to customers in other service areas.
Water would be sold to Nags Head, Kill Devil Hills and Manteo at a bulk
rate of $400 per million gallons ($0.40 per 1,000 gallons), and agreements will
be negotiated for a minimum annual fee based on water usage experience. Annual
fees will be based on an average monthly minimum and will be paid on a
monthly basis. 12

Additional income will be obtained from retail sales to customers
In the Kitty Hawk -North and Roanoke Island Service Districts. Projected
income for the Kitty Hawk -North area was presented in the September 1974 PER
Supplement. The projected income for the Roanoke Island Service District
has been presented on the preceeding pages.
The schedule of annual water rates.and revenues produced where shown
In the PER, Addenda and Supplements. This data is updated to reflect the
latest income and project economic feasibility analysis on the schedules
following this page.
0
•
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15

Vill CONCLUSIONS AND RECOMMENDATIONS
0 General conclusions and recommendations have been summarized in the
aforementioned PER, Addenda and Supplements. Recent developments have
influenced these recommendations somewhat, but the principal conclusion that
the proposed project is direly needed and is economically feasible remains
unaltered.
The Town of Manteo has indicated that it desires to purchase water from
the Dare County Regional Water System. It -has also been determined that it would
be desirable to establish a new service district on Roanoke Island to provide
water service to designated areas on northern Roanoke Island outside of
the Town of Manteo. It has been determined that these expansions can be
supported and economically justified based on a 3101,000 supplementary
grant from the Farmers Home Administration, .
Based on these findings and conclusions it is recommended that:
1. Dare County approve this supplement to the Preliminary Engineering
Report and that a formal request be made to the Farmers Home
Administration to increase their grant offer from $500,000 to
$601,000 to help cover the costs for the proposed system expansions.
7. That the Dare County Board of Commissioners continue every effort to
expedite construction of the Dare County Regional Water Supply System
to relieve the critical water supply problems that exist throughout
the area.
.Respectfully submitted,
HENRY VON OESEN AND ASSOCIATES, INC.
Consulting Engineers and Planners
Henry M. von Oesen, P. E.
•
U

i'Uiv
OF A REGIONAL WATER SYSTEM IN SUPPORT OF
THE DARE BEACHES COMPLEX
WHEREAS, on the _21st day of November., 1971, in accordance with the pro -
Oions of Chapter 162A, General Statutes of North Carolina, the Dare Beaches Water
d Sewer Authority was established by the combined actions of the Dare County
Commissioners and the Boards of Commissioners of the incorporated towns of Nags Head
and Kill Devil Hills for the purpose of providi.ng regional water supply and sewerage
services to the Dare Beaches Complex encompassing the beach area extending from Oregon
Inlet to the Dare - Currituck County Line: and
WHEREAS, The required technical engineering and.economic feasibility studies,
plans and reports were made possible by planning assistance grants and loans from
the North Carolina Department of Health, and the Department of Natural and Economic
Resources, and the Coastal Plains Regional Commission; and
WHEREAS, the Dare Beaches Water and Sewer Authority, acting for Dare County,
and the towns of Nags Head and Kill Devil Hills has caused the completion of the
required studies, plans, and reports, namely, a Dare Beaches Sketch Development
Plan, an Economic Study of the Dare Beaches, and a Preliminary Engineering Report
and Addendums I and II thereto; and
WHEREAS, The towns of Nags Head and Kill Devil Hills have passed motions
pledging their approval and support of the recommendations contained in Addendum II
of the Dare Beaches Water and Sewer Authority, Preliminary Engineering Report; and
WHEREAS, Dare County recognizes the benefits to the County and t-he Towns and
Communities involved which can accrue from the construction and operation of such a
water supply system;
NOW, THEREFORE, BE IT RESOLVED THAT:
The County of Dare wholeheartedly endorses and approves all of the recommendations
as set forth in Addendum Il'to the Preliminary Engineering Report for the construction
of a.Regional Water System, and will meet with the North Carolina Local Government
AWmission to obtain approval to proceed with the water supply project; and the County
�f11 provide for the holding of the necessary public hearings and referendums required
to obtain public approval of a General Obligation Bond issue under County sponsorship
to facilitate construction of the water project.
Adopted by the Board of Commissioners of the County of Dare this 6th day of
,tune1974.
At es
-a/ek W. Cahoon
bounty Manager
N� s /A>
At ;
v r �
P. A. Tillett, Chairman
Dare County Board of Commissioners

A TRUE AND VALID P.BSTP.ACT FROM THE MINUTES OF A SPECIAL MEETING
OF THE BOARD OF CON
:SISSIO\E'RS OF THE TOWNOF NAGS HEAD HELD AT
THE TOWN FALL ON N:=AY, :SAY 20, 1974.
A notion was made by Co-,missioner Bell,' seconded by Commissioner
Pool that the Nags Head Board of Conunissioners, as one of the
sponsoring local governments approves and supports the recorumendation;
contained in Addendum II of: the Preliminary Engineering Report
:prepared for the Dare Beaches Water and Sewer Authority and urges
that the Authority follow the recoamended course of action leading
to the construction of a regional water supply systen. The motion
carried unanimously..
y
Cons e V. Hardee
Attested to May 24,1974 Town Clerk•, °
I 1: •.`• •e 1 I III: ° ••

1.
A TRUE AND VALID �SSTRACT FROM, THE 1' - TES OF A SPECIAL =TING OF
THE BOARD OF CO',rMSSIOT7.rRS OF TM TOZ'liti" Or RILL DEVIL =LS n •LD AT
TOWN HALL ON TUESDAY, XAY 14, 1974.
• Commissioner Gard made a motion, seconded by Commissioner Loy, that
the Board of Commissioners go on record as being in favor of and
desiring to support'the recommendations contained in Addendum Il
of the Preliminary Engineering Report prepared for the Dare Beaches
Water & Sewer Authority, reco=ending a course of action leading to
the construction oy a re„ional water supply system. 3:otion was
approved unanimously. °
by 'Claire M. Waterfie d '
gttested to P^ay 20,' 1M e Town Clem
0
e °
' e•