2017-09-27 CC Agenda Packet - Laserfiche WebLink

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City of Centerville Council Meeting Minutes July 26,2017 L OLD BUSINESS 1. Water Connection Deadline Date—Work Session date Administrator Ericson stated t Staff met and Engineer Statz drafted the memorandum contained in Council's packet. Mayor Paar stated that he felt this item should be placed on an upcoming agenda at a work session other than a budget work session. Council Member Montain stated that he felt that Council could determine how to proceed as sufficient information has been received and numerous discussion have been had. Lengthy discussion took place regarding 109 homes that are not connected to municipal water where services are available. Engineer Statz stated that 42'of them have not paid a"lateral fee", which is their portion of construction costs associated with the water main and the lateral pipe to their property, of$6,500 which totals f $500,000 in unrecovered capital costs. He stated that all of these properties fall under the deadline date of December 31, 2017 for connection except for six (6) residences, with all residents having received notification years previous and opportunities for income level requirements for financial assistance. Attorney Glaser stated that Council needs to consider a policy for going forward and provided staff's recommendations for the impending deadline for connection being December 31, 2017. He stated that if a resident pays the lateral fee of$6,500 by November 1, 2017 and increasing the lateral fee for 2018 to $8,000 as it has not been increased for numerous years and is currently undervalued. Those property owners that do not pay the lateral fee will be assessed up to 5 years at the going rate payable in 2019 at the $8,000 fee. He also stated that staff recommends a letter be forwarded to all 109 residents as soon as possible. For residents that do not owe the lateral fee hook up will be required when the property is sold; the property experiences well faiure in excess of$1,000 or if a building permit is issued which adds a certain amount of square footage to the home. Council Member King stated that people who are not connected to water are being charged for water and Engineer Statz attempted to explain that if a wateimaan is located on your street or an interconnected street, there are fire hydrants and there is a value for water protection and most homeowner's insurance companies have a rating for this availability which the resident is in turn receiving a reduction in premium for that hydrant's close proximity. Council Member Love questioned incentives, financing, and whether Council felt they could make a decision this evening. Engineer Statz stated that responsible residents have been questioning the deadline date and Council could consider these items this evening if they chose. Council Member King felt that funded for lower income residents should be available and if nothing was available individuals should not suffer a hardship relating to this. City Attorney Page 4 of 7 6