HomeMy WebLinkAboutCOW 2006-04-24 Item 4C - Discussion - Allentown & Foster Point Sewer Connection Charge COUNCIL AGENDA SYNOPSIS
14 J f I i Initials ITEM NO.
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ITEM INFORMATION
CAS NUMBER: 06-047 I ORIGINAI. AGENDA DATE. APRIL 24, 2006
AGENDA ITEM TITLE Allentown /Foster Point Sewer Connection Charge.
CATEGORY Discussion Motion Resolution Ordinance Bzd Award Public Hearing Other
Mtg Date 4/24/06 Mtg Date Mtg Date Mtg Date Mtg Date Mtg Date Mtg Date
SPONSOR Council Mayor Adm Svcs DCD Finance Fire Legal P&R Police PTV I
SPONSOR'S The City awarded the bid for the Allentown /Foster Point Water, Sewer and Surface Water
SUMMARY Improvements on March 20, 2006. With the bid results, calculations can be made to divide
the $4,804,982.60 estimated sewer costs by the potential 235 sewer connections. The
sewer connection charge options will be presented.
REVIEWED BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DATE: 4/18/06
RECOMMENDATIONS:
SPONSOR/ADMIN.
COMMrrrEE Unanimous approval to forward to COW for discussion.
COST IMPACT FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
$0.00 $0.00 $0.00
Fund Source. 402.02 Sewer Fund
Comments:
MTG. DATE I RECORD OF COUNCIL ACTION
4/24/06 1
MTG. DATE I ATTACHMENTS
4/24/06 Information Memo dated April 19, 2006
Attachments 1 through 5
Utilities Committee Meeting Minutes from April 18, 2006
INFORMATION MEMORANDUM
To: Mayor Mullet
From: Public Works Director
Date: April 19, 2006
Subject: Sewer Connection Fee for Allentown/Foster Point Neighborhoods
ISSUE:
Establish an amount for the Allentown/Foster Point sewer connection fee.
BACKGROUND:
The construction and the construction management contracts for the Allentown/Foster Point Water and Sewer
Improvement Project have been awarded. With these awards, the City has a firmer estimate on the overall projects
costs. The project's total cost is estimated to be $8,736,332.00, includes construction, construction management,
and contingency costs. See Attachment 1.
The City's three enterprise funds (Water, Sewer, and Surface Water) will be used to initially pay for these
improvements. It has been City Policy to reimburse the Water and Sewer funds for the costs of the improvements
by establishing a connection fee that is assessed when a new connection to the system is made. A Surface Water
connection fee is not needed because anticipated system improvements have been included m the rate structure.
The connection fee has traditionally been calculated by dividing the project's sewer costs by the number of
projected new connections. The sewer improvements are estimated to cost $4,804,982.60. See Attachment 1.
From a survey of the neighborhoods, there is a potential of 235 new connections for sewer.
Ordmance 1777, effective November 12, 1996, established the Sewer and Water Connection fees for Allentown
Phase I sewer installation and the Allentown/Ryan Hill water system improvements. The City offered a 10% re-
duction to the "base" fee for early connections in order to accelerate neighborhood revitalization. See Attachment 2.
AiNALYSIS of OPTIONS:
Even though some of Tukwila's neighbors have demanded that connection be immediate, the following discussion
does not propose a change to the existmg City policy. Tukwila's City policy currently states that connection will
only be required in the followmg circumstances:
1. Septic or health problems are identified by King County Health Depai talent that require repair of the
septic tank system, or
2. The home changes ownership, or
3. Remodeling occurs adding a bathroom or bedroom, or
4. New construction.
The following options only address the amount of the proposed sewer connection fee. A discussion of a proposed
water connection fee will be deferred to the future because it will only be assessed on new construction. Staff will
return to Council with a proposed ordinance implementmg the water and sewer connection fee when the project is
nearing completion. The City has two options for consideration in establishing the sewer connection fee:
Option 1: In April of 2005, Staff, City Administration, and Council discussed project costs and the associated
sewer connection fee. The original plan was to establish, if possible, a connection fee that would be close to
the fee being paid by Allentown Phase I residents that were connecting to the system in 2007 ($10,189.20).
But it was recognized that because of nsing fuel costs, matenal costs, and labor, the connection fee would
have to be raised from the $10,000 to $15,000 if the City hoped to recover the majonty of the project's cost.
\TUK2 \VOL1\PUBWORKS\PROJECTS\A- SW Projects \O1sw02 Atown II Foster Pt\Allentown Connection Fee g14- 20 -06.doc
Sewer Connection Fee for Allentown/Foster Point Neighborhoods
The City also proposed increasing the sewer rates 10% each year through 2010 to offset the increased costs
associated with Allentown Phase II. See Attachments 3 and 4. The City's connection charge is only one
portion of the total sewer charges; the side sewer connection, permit fee, and King County Metro capacity
charge must also be added and these three charges total approximately $9,136.93 The City was concerned that
a resident would be paying $24,137 when the three additional charges were included. See Attachment 5. But
the City had little choice if the Sewer Fund was to remain viable. This increased connection fee was then
presented to the Allentown and Foster Point residents in two Open Houses. Option 1 is to set the base year
cost at $15,000 and to mcrease each succeeding year's cost by 5% ($750.00).
Option 1
Year Sewer Connection Fee
($750.00 increase each year) 1
1
2007 $15,000 1
2008 $15,750
2009 $16,500
2010 $17,250
2011 $18,000
2012 $18,750
2013 $19,500
2014 $20,250
2015 $21,000
2016 $21,750
Option 2: The sewer connection fee will be calculated by dividing the total sewer project costs (including
construction, contingency, and construction management) by the number of potential sewer connections. This
would allow the City to recover the majority of the project's costs if all of the potential connections are made.
In order to accelerate neighborhood revitalization, allow a 10% reduction ($2,044.67) to the base fee if the
connection is made within the first year. This calculation was used in Allentown Phase I. Also increase the fee
each year by 5
Sewer Connection Fee: $4,804,982.60 divided by 235 20,446.73. Increase this base fee by $1,022.34 a
year (5% of the base fee) until 2016 in accord with RCW 35.92.025. With the addition of the three additional
charges of $9,136.93, the first year's total connection charges would be $27,538.98.
1 Option 2
Year Sewer Connection Fee
($1,022.33 increase each year)
2007 (Reduction Offered) $18,402.05 1
2008 (Base Fee) $20,446.73
2009 $21,469.06 1
2010 $22,491.39 1
2011 $23,513.72
2012 $24,536.05
2013 $25,558.38 1
2014 $26,580.71 1
2015 $27,603.04
2016 $28,625.37
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Sewer Connection Fee for Allentown/Foster Point Neighborhoods
REOUEST FOR ACTION:
The City is scheduled to hold an Open House on April 27 to discuss the project's construction schedule, the
requirements for hookup to the new system, and the estimated connection fee amount. Council is requested to
provide Staff with guidance on the amount of the sewer connection fee that the City will charge.
\TUK2 \VOL1\PUBWORKS\PROJECTS\A- SW Projects \Olsw02 Atown II Foster Pt\Allentown Connection Fee g14- 20 -06.doc
Allentown Foster Point Water Sewer Improvements Phase II
Attachment 2 -1
got
1908
q7- G
City of Tukwila
Washington
Ordinance No. 7 7 7
AN ORDINANCE ESTABLISHING WATER CONNECTION FEES FOR AL-
LENTOWN AND RYAN HILL, SEWER CONNECTION FEES FOR ALLEN
TOWN PHASE I; PROVIDING FOR SEVERABILITY; AND ESTABLISHING
AN EFFECTIVE DATE.
WHEREAS, a sewer plan identifying 7 residential and 2 commercial areas has been pre-
pared with a prioritized construction schedule, and
WHEREAS, water and sewer infrastructure construction will be initially paid for with
utility funds; and
WHEREAS, water and sewer lines meet Washington State Department of Health stan-
dards including minimum water pipe diameter of 8 inches; and
WHEREAS, any new water or any sewer connection will be assessed a connection
p charge that is determined by the infrastructure construction cost and total number of potential
H connections, and
SD
WHEREAS, a SEWER connection charge will be paid at the time of connectin g or before
final building permit approval for new facilities, and
WHEREAS, a WATER connection charge will be paid before final building permit ap-
proval, and
WHEREAS, total Allentown construction costs have been projected based on the con-
struction bid costs for 189 of the approximate 400 total connections, and
WHEREAS, Ryan Hill connection costs are based on the construction of new lines to
serve the existing 78 homes and 69 potential future connections, and
WHEREAS, early connections are desired to recover construction costs and accelerate
neighborhood revitalisation so that a 10% reduction in connection charges will be offered
through January 31,1998.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHING-
TON, HEREBY ORDAIN AS FOLLOWS:
Section I. Allentown Phase I Sewer Connection Charges.
A. Allentown Phase I homes existing on September 1,1996 will be required to con-
nect to the sewer and pay associated connection charges if any portion of any
building is situated within 250 feet of a sanitary sewer line or lateral and if:
1. septic or health problems are identified by King County Health Department
that require repair of the septic tank system, or
2. the home changes ownership, or
3. remodeling occurs adding a bathroom or bedroom.
B. Homes north of S. 124th St. on 43rd Ave. S. and on 44th Ave. S. existing on March
1, 1996 are exempt from connection charges as the sewer was constructed as part
of the Metro project at no charge to the City or the property owners.
SEWORD5.DOC 10/30/96 1
Attachment 2 -2
C. Allentown sewer connection YY
charges by year will be given a 10% reduction for
connecting before January 31,1998 to encourage early connections and the base
will increased with
of $7,278 00 be tncreas $363 90 per year until in accord iti nth
RCW35.92.025:
until charge
January 31, 1998 $6,550.20 10% reduction
January 31, 1999 $7,278.00 Base price
January 31, 2000 $7,641.90
January 31, 2001 $8,005.80
January 31, 2002 $8,369.70
January 31, 2003 $8,733.60
January 31, 2004 $9,097.50
January 31, 2005 $9,461.40
January 31, 2006 $9,825.30
January 31, 2007 $10,189.20
in accord with RCW 35.92.025 where it is capped at $10,189.20.
D. Payment methods for Phase I sewer connection charges are:
1. deferring connection fee or subsidizing low income applicants who qualify in
accord with CDBG block grant requirements in effect at the time of applica-
tion,
2. connection charges for Phase I residences existing September 1,1996 may pay
the sewer connection charge on a time plan with their monthly bills. The
g P Y
monthly payment with an annual interest rate of 5% will be calculated for a 5
7- ,10 -,12 or 15 -year term.
3. Only existing individual single family applicants are eligible for the payment
plans. New homes constructed after September 1,1996 are required to make
full connection charge payment prior to building permit final construction ap-
e-4
proval for occupancy. Change of ownership requires payment in full of con
nection fees. Remodeling construction is required to pay connection fees prior
P to issuance of building permit unless home is on the payment plan which may
be continued.
4. Monthly payments may be started prior to obtaining a sewer connection
permit.
5. Monthly payments maybe initiated as a payment method until January 31,
2001 for Phase I.
E. Notice of sewer availability and connection requirements shall be placed on titles
of properties within the Allentown area with sewer service.
Section II. Allentown and Ryan Hill regular water connection charges.
A. Existing facilities connected to the water system will not be assessed a water con-
nection fee.
B. Allentown water connection fees for any new single family connection increase
$198.40 per year:
until charge
January 31,1998 $3,968.00
January 31, 1999 $3,968.00
January 31, 2000 $4,166.40
January 31, 2001 $4,364.80
January 31, 2002 $4,563.20
January 31, 2003 $4,761.60
January 31, 2004 $4,960.00
January 31, 2005 $5,158.40
January 31, 2006 $5,356.80
January 31, 2007 $5,555.20
in accord with RCW 35.92.025 where it is capped at $5,555.20.
SEWORD5.DOC 10130/96 2
Attachment 3
Utilities Committee
April 19, 2005
Present: Dave Fenton, Chair; Joan Hernandez, Jim Haggerton
Jim Morrow, Frank Iriarte, Gail Labanara, Lucy Lauterbach; Todd Heistuman
Allentown/Foster Point Project Financial Impacts Even with planned 15 %,13% and 11% rate
increases in five years in the sewer fund, with the current $5.7 m Public Works Trust Fund
(PWTF) loan the enterprise would lose money from 2006 until 2010 when the new 11% increase
took effect. Because we need to borrow $2.8 million additional PWTF loans for the
Allentown/Foster sewer, with identical rate increases (15 13% and 11 with connection fee
repayments and with the $2.8 m. loan, deficits are decreased until 2007. Jim said the additional
loan will pay increased costs due to oil prices, anticipated future cost increases, and for a
construction management consultant to manage the project.
With the $8.5 million loan, connection fees will be $15,000. With a side sewer permit and
construction work costing about $5,000 and King County's Sewer Capacity charge of $4,100,
connections will cost about $25,000. Monthly payments on a15 -year loan of that size would be
$100 /month.
Again, no one would be required to hook up unless their sewer was failing, they added a
bedroom or bathroom, sold their home or built a new home. Committee members talked about
how difficult it could be for citizens to afford the new pnces, but they could not think of an
alternative. Joan suggested sewer rates be raised 10% every year for five years to make planning
ahead easier. Staff will run those figures to see if they generate as much funding as the three
planned increases. Gail had calculated increases to generate an even dollar increase in residential
rates.
Three Council members will be at the Duwamish Community Club meeting Thursday. Jim and
Gail will also attend. Recommend funding and proposed sewer rates to COW.
Minutes by L. Lauterbach
�1
Committee chair approval
T Attachment 4
Go uNCLL A GL/ N.L_ZZI il it N Cl1 k71,7
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ITEM INFORMATION
CAS NUMBER: I ORIGINAL AGENDA DATE. APRIL 25, 2005
AGENDA ITEM TITLE Allentown /Foster Point Water Sewer Improvement Project Funding
CATEGORY Discussion Motion lResolutzon Ordinance Bid Award Public Heanng Other
Mtg Date 4 /25/05 Mtg Date illtg Date Mtg Date Altg Date !Wig Date tlltg Date
SPONSOR Council Major Adm Svcs DCD Finance 0 Fire Legal P& R Police PW
SPONSOR'S Council requested additional analysis for the funding of the Allentown /Foster Point Water
SUM MARY Sewer Improvement Project. A second Public Works Trust Fund Loan could be applied
for an additional $2,850,000. If we obtain the second loan, both the Water Fund and the
Surface Water Fund are able to absorb the added debt service. In order for the Sewer Fund
to be fiscally sound, we are proposing rate increases of 15% in 2006, and 10% every year
from 2007 through 2010, along with increasing the sewer connection fee from $10,000 to
$15,000.
REVIEWED BY COW Mt CA &P Cmte F &S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DATE. 4/19/05
RECOMMENDATIONS:
SPONSOR /ADMIN. Approve proposed utility rates and connection fee increases.
COMMII To COW for discussion and approval.
COST IMPACT FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
Fund Source 403.01 Water, 403.02 Sewer 412 Surface Water
Comments:
MTG. DATE RECORD OF COUNCIL ACTION
4/25/05
MTG. DATE ATTACHMENTS
4/25/05 Information Memo dated April 20, 2005 (revised after UC meeting)
(3) Attachment E
Flyer on Sewer Fees
(2) Proposed Utility Rate Increases
Utilities Committee Minutes from April 19, 2005
INFORMATION MEMORANDUM
To: Mayor Mullet
From: Public Works Director
Date: April 20, 2005
SUBJECT: Funding for the Allentown/Foster Point Sewer Project
ISSUE:
Are the three Enterprise Funds able to support the debt service associated with an
additional Public Works Trust Fund loan to construct the Allentown/Foster Point Sewer
Project?
BACKGROUND:
In October 2004, the City advertised for bids to construct the Allentown/Foster Point
Water and Sewer Improvement project. All of the bids came in over budget. The City
Council directed staff to reduce the project scope and re- advertise the project.
In March 2005, the City received three bids from the second advertisement. All three
bids were higher than the budget. The higher bid costs are attributed to the steep rise in
construction materials.
At the April 11, 2005 Committee of the Whole Meeting, the City Council endorsed
staff's recommendation to reject all of the latest bids. Numerous options were discussed
to fund the project's shortfall. City Council favored the option to apply to the Public
Works Trust Fund Board for a second loan, but requested Staff provide additional
information at the next Utility Committee Meeting that outlines the fmancial impact of an
additional loan.
DISCUSSION:
New Project Cost Estimate $9,000,000.00
Minus City Required Local Matching 5% (450.000.00)
Total Loan Amount Available $8,550,000.00
PWTF Loan #1 (5.700.000.00)
Amount of Loan #2 $2.850.000.00
The second loan amount requested from the Public Works Trust Fund Board will be
$2,850,000.00. Both the Water Enterprise Fund and the Surface Water Fund are able to
absorb the additional debt service without risk.
Since the Sewer Fund will carry the majority of the project's debt service, the enclosed
attachments address the financial impact of the second loan. The following is being
provided:
1. Enclosure 1 Attachment E from the current 2005 CIP The 2005 budget
includes the debt service associated with a $5,700,000 loan; additional revenues
from assessing a $10,000 sewer connection fee; and implementing a 15% rate
increase in 2006, a 13% in 2008, and an 11% increase in 2010, Note: The
Accumulated Totals (Ending Fund Balance) decrease from year -to -year. In other
words, the fund's expenditures exceed the revenues.
2. Enclosure 2 A revised Attachment E that shows the additional debt service
associated with an $8,550,000 loan in lieu of the current $5,700,000 loan;
increasing the sewer connection fee to $1 5,000, and implementing the same 15%
rate increase in 2006, 13% in 2008, and 11% increase in 2010. The increase in
the connection fee from $10,000 to $15,000 is to accommodate the increase in the
project's cost. Note: The Ending Fund Balance is slightly better expenditures
start to exceed revenues in 2007.
3. Enclosure 3 As stated above, the budget anticipates revenues from assessing a
connection fee of $15,000, but this is only a portion of the costs that a homeowner
will pay. The total cost to connect to the sewer is estimated to be approximately
$25,000. This is a significant cost to a homeowner and it is felt that the
anticipated revenues from assessing these charges may not be realized, especially
if the City continues with its current policy of not requiring homeowners to
connect immediately.
The estimate for a $15,000 sewer connection fee on a 15 -year payment plan at
2.5% interest would be approximately $100.00 each month.
4. Enclosure 4 To counter the risk associated with the increased cost of the
connection fee and the potential that the Sewer Fund may not receive revenues as
anticipated, an option is a 15% rate increase in 2006 and a 10% rate increase
every year from 2007 through 2010. These proposed rate increases reduce the
financial risk and place the Sewer Fund in a better fiscal position.
5. Enclosure 5 Shows the monthly financial impact to a Residential Customer for the
current proposed rate increases of 15% in 2006, 13 %.in 2008, and 11% in 2010
6. Enclosure 6 Shows the monthly financial impact to a Residential Customer for the
proposed rate increase of 15% in 2006 and 10% increases in 2007 through 2010.
RECOMMENDATION
Forward to the Committee of the Whole for discussion of the proposed actions required
to fund the Allentown/Foster Point project Apply for a second Public Works Trust Fund
loan in the amount of $2,850,000; increase the connection fee from $10,000 to $15,000;
and add 10% rate increases for 2007 through 2010.
p: \project\SW\01 -SW02 \Cost Savings COW 042505
Enclosure 4
I 1011 ATTACHMENT E
City of Tukwila
ERP R fSE FUIVfl $15' e
O 6 t SEWER ENT
2005 -2010 Analysis in 000's
REVENUES 2005 2006 2007 2008 2009 2010 Totals
Monthly Sewer Charges (1) 15% +10% +10% +10% +10%
King County Metro Sewer 2,640 2,640 2,680 2,750 2,750 2,775 16,235
Regular City Sewer 1,000 1,165 1,300 1,460 1,630 1,815 8,370
Other Misc. Revenue (2) 125 130 130 135 140 145 805
Public Works Trust Fund (3) 2,508 1,567 0 0 0 0 4,075
Bond Proceeds (4) 0 0 0 0 0 3,500 3,500
Sewer Connection Fees (5) 50 105 150 225 225 225 980
Beginning Working Capital 2,000 0 0 0 0 0 2,000
Total Revenues 8,323 5,607 4,260 4,570 4,745 8,460 35,965
EXPENDITURES Outslde CE
Sewer Operations Maintenance
King County Metro Sewer (6) 2,648 2,648 2,688 2,775 2,775 2,785 16,319
Regular City Sewer m 881 921 962 1,005 1,050 1,097 5,916
Debt Service (8) 36 150 340 340 340 340 1,546
Subtotal 3,565 3,719 3,990 4,120 4,165 4,222 23,781
Sewer Capital CIP Program 13,575 1,985 270 555 355 3,650 10,390
Total Expenditures 7,140 5,704 4,260 4,675 4,520 7,872 34,171
Cash Flow Year by Year 1,183 (97) 0 (105) 225 588 1,794
Accumulated Totals 1,183 1,086 1,086 981 1,206 1,794 I
i
XIVw2c.
Attachment 5
Update on Sewer Fees April 21, 2005 Open House
Allentown Phase II and Foster Point Neighborhoods
Hookup to the new sewer system is only required if:
Your septic system fails, or
Remodel, adding a bedroom or bathroom, or
Home ownership changes
New construction
Estimate of charges for sewer connection include:
1. Connection Charge Estimate 15,000.00
2. Side Sewer Connection
(the line from your house to the street) Estimate 4,500.00
3. City of Tukwila Permit Fee Estimate 500.00
4. King County's Sewer Capacity Charge 4,136.93
Approximate Total 24.137.00
Again, you will not have to pay any of these charges until you connect to the sewer
system. We know the new sewer system will bring benefits to the area improved
sanitation, cleaner, safer ground water, and increased property values. We also
recognize that connecting to the sewer system involves a substantial sum of
money.
We are committed to doing as much as possible to ease the financial burden and
keep you informed. Payment plans of 5, 10 or 15 years will be available to all
households for the Connection Charge. We estimate that a 15 -year payment plan
on the $15,000 connection fee at 2.5% interest would be $100.00 a month. King
County also offers a 15 -year payment plan on the Sewer Capacity Charge.
Assistance will also be available for low income households.
For information on the project and financial assistance, please call the City of
Tukwila's Public Works department at (206) 433 -0179.
Open House 4/21/05
Utilities Committee
April 18, 2006
Present: Jim Haggerton, Chair; Pam Linder, Verna Griffin
Jim Morrow, Bob Giberson, Frank Iriarte, Ryan Partee, Mike Cusick,
Gail Labanara, Chuck Parrish
A. Council Chambers Remodel Cabinetry, Carpentry and Painting Bid Award Six bids were
solicited from the Small Works Roster. Three did not respond, two declined and only one
submitted a proposal. This contract will include adding an approximate 5 -inch lip to the dais that
will have under mounted lights. The wood on the dais and beams will be stained darker but will
still show the wood grain. Multiple decorative glass panels will be installed behind the Council that
are 20- inches wide and 5 -6 ft tall and lit with fiber optic lights. An example of the glass panels can
be found at www.innovativealass.com and go to the fiber optic tab. The glass panels will have the
City seal and a landscape etching of mountains, streams and cranes. The contract also includes
rebuilding the bailiff and City Clerk desk to incorporate a movable jury box. The plan is to
complete the cabinetry off site and install Thursday night through the weekend for at least 3
weekends. Updated interior lights will also be installed and Pam L suggested checking the lights at
Council position 6 7, as it seems darker at that location. Ryan P. was familiar and pleased with
this contractor's work, who is based out of Burien. Unanimous recommendation to send bid of
$176,538.88 to COW for approval.
B. Adoption of 2005 Sewer System Plan Update The large bound plan was distributed at the
meeting and CDs are also available and will be distributed to the full Council. This is the six -year
update for the sewer plan and was approved for the first time by the Department of Ecology. We
have a good working relationship with DOE and they only had minor changes to the plan. Overall
this means we are good system operators. The sewer improvements are listed in Table 8 -1 on page
8 -2 and have been incorporated into the 2006 CIP. The water plan is also being updated and is
currently under review at King County but there is a delay with water rights and the Muckleshoot
Tribe. Unanimous recommendation to send Ordinance adopting the 2005 Sewer Plan Update
to COW for approval.
C. New Drinking Water Requirements from the USEPA Consultant Selection and Agreement
This is the unfunded mandate that was brought to the last UC meeting on 4/4/06. The EPA has
mandated that we set up and report on the City's water monitoring sites by October 1, 2006. The
only options are that we do nothing and have problems with the EPA, have the City of Seattle do it
for a fee, or we hire this consultant to do the report. Unanimous recommendation to send
Consultant Contract of $66,358 with HDR Engineering to COW for approval.
Other
Jim M distributed the flyers that will be handed out at the Allentown/Foster Pt Open House on
\k4 April 27, 2006. The flyers include one with all of the charges that will be assessed to each owner,
one with the breakdown of construction costs, and the third flyer includes the 3 payment plans; 5,
10 or 15 years for the proposed $15,000 connection charge. The breakdown of costs from the bid
award brings the estimated connection charge to $20,446.73, when we had an estimate of $15,000.
There was a lengthy discussion on if the City should set a precedent and keep the connection fee at
$15,000 or apply the charge of $20,446.73.
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Utilities Committee Continued
April 18, 2006
Pam L wanted to know what other cities give discounts, subsidize any of the connection fees and if
they have mandatory hookup to the sewer after the construction is completed. Jim H wanted to
know exactly what we did in Phase I with the discounted connection fee in the first year and what
Phase II would be if we followed the same formula. This item will move forward to COW for
discussion by all seven Council members prior to the Allentown/Foster Pt Open House that is
scheduled for Thursday, April 27, 2006. Unanimous recommendation to send to COW for
discussion.
Committee Chair Approval
mutes by GL, reviewed by RP
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