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INFORMATIONAL MEMO <br />Page 2 <br />King County has different qualifications to receive a discounted charge due to low income senior <br />or low income disabled. The household low income threshold for King County is currently <br />$40,000, as opposed to the City's $32,000. The senior age for King County is 61, while the City's <br />is 62. Thus, more customers will be eligible using the County's qualifications. <br />Transitioning the billing to King County will create capacity within the Finance Department and <br />allow property owners to pay both the surface water fee and property tax with one payment since <br />the surface water fees will be billed with, and included on, the property tax statement. <br />FINANCIAL IMPACT <br />King County will charge the City three separate fees, with one being a one-time setup fee. <br />Another fee is based on the number of parcels billed, and there are currently 5,286 parcels in the <br />City. The City will continue to bill for City -owned parcels as well as the 15 condominium <br />complexes in the City and the State-owned roadways and properties. This leaves approximately <br />5,100 parcels that King County would potentially bill. See the attached cost benefit analysis for <br />an estimate of the 2019 and 2020 costs and the estimated savings. The implementation and <br />ongoing fees will be charged to the Surface Water Utility fund. <br />RECOMMENDATION <br />The Council is being asked to approve the draft interagency agreement and consider this item <br />at the September 10, 2018 Committee of the Whole meeting and subsequent September 17, <br />2018 Regular Meeting. <br />ATTACHMENTS <br />Surface Water Billing Transfer to King County Proposal - Cost / Benefit Analysis <br />Draft Interagency Agreement <br />20 Z:ICouncil Agenda Items\Finance19.5.18 Finance\KC-SurfWtr billing InfoMemo.docx <br />