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