Bossier City partnership means stable sewer rates, $1.3M in savings

1665

Bossier City residents will not have their water/sewer rates raised through 2021 and the city has saved $1.3M all through its public private partnership with Manchac Consulting Group.

The City of Bossier City Council Tuesday heard a presentation from Kansas City, Mo. based consulting firm Burns/McDonnell on the utility financial plan review.

The review showed that through the city’s partnership with Manchac, its current revenue stream is sufficient to keep operating through 2021.

“The important thing is that when we decided to do this (partnership) that at all costs, we were not going to raise rates on the citizens of Bossier City,” said City Council President David Montgomery. “We’ve done that.”

Senior Project Manager Ben Rauschenbach with Manchac Consulting Group presented the council with an update on the utility department public private partnership.

He told the council their partnership has saved the city approximately $1.3 million from July through November.

The partnership had a total utility department operations savings of $529,934.38. Management, engineering and construction savings totaled $260,337.38. Cost avoidance (internal capital improvements) had a total savings $516,500.

Manchac reported a monthly savings average in its 2017 Operating Budget just shy of $106,000 per month. In November alone, the city saved $224,345.

The partnership was implemented on July 5 as a joint effort between the City of Bossier City and Manchac Consulting Group to establish an “operational rhythm for utility department” to optimize savings.