Capital Improvement Program

The Capital Improvement Program (CIP) mainly involves the renovation of existing facilities with some construction of new potable and recycled water facilities. The CIP projects are prioritized to support and enhance the district's efforts in promoting the best possible service capability to the district's customers.

The MMWD Capital Improvement Budget provides funding for individual capital projects. Outlay from the Capital Fund is earmarked for expenditures involving improvements and repairs to the water distribution system, pump stations, treatment plants and storage tanks, and the construction of new facilities as required.

The annual CIP expenditures are, on average, about 25% of the district's total annual expenditures, except in years of peak capital improvements, when the CIP expenditures have reached 40% of the total district expenditures.

Capital improvements are divided into two categories: System Rehabilitation and System Improvements. System Rehabilitation levels are generally based on the Long Range Capital Program levels.

Storage Tanks

The Long Range Capital Program develops the estimated average annual expenditure required for 14 categories of facility named respectively as: 1) Facility Protection, 2) Distribution Piping, 3) Transmission Piping, 4) Treatment Plants, 5) Dams and Appurtenances, 6) Miscellaneous Facilities, 7) Transmission and Lake Pump Stations, 8) Distribution Pumps, 9) Water System Controls, 10) Regulators, Relief and Altitude Valves, 11) Steel Storage Tanks, 12) Redwood and Bolted Steel Tanks, 13) Meters, and 14) Structures.

Rehabilitation is performed only on facilities that have ended their useful lives or are in an advanced state of deterioration or subject to improvements by another utility or government entity (e.g., a city proposes a street overlay along the alignment of a somewhat leaky main).

System improvements are most typically related to the development of water supply and the system required to deliver the supply. These projects are constructed on an "as needed" basis and are funded from a combination of bond funding, connection fee income, and water rate revenue.

In addition to its ongoing capital replacement and improvements, MMWD manages improvements requested by others.

Reimbursables are costs incurred by the district that will be reimbursed by an applicant for upgrading existing district facilities and the installation of minor facilities, such as hydrants and private fire taps.

Subdivisions are costs incurred by the district that will be reimbursed by developers for subdivision contracts that buy materials from us or use our staff to assist in the construction of new subdivisions or major development projects within district boundaries.