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13.F.
City Council Meeting - FINAL (AMENDED)
Meeting Date:
12/07/2021
Co-Submitter:
Andy Bertelsen
From:
Erin Young, Water Resources Manager

Information

TITLE

Consideration and Possible Approval: Deviate from existing out of City Limits Water Policy and offer water service in exchange for acquiring easements, rather than purchase property rights for water line easements, for areas adjacent and surrounding Phases IV and V of the Switzer Canyon Water Transmission Main Project - OR - not deviate from policy, not offer water service, and move forward with purchase of property rights for water line easements.

STAFF RECOMMENDED ACTION:

Accept the Water Commission’s recommendation not to deviate from policy, not to offer water service in exchange for property rights, and to move forward with purchase of property rights for waterline easements outside City limits along the Switzer Canyon Water Main Transmission Project, Phase IV & V.

EXECUTIVE SUMMARY:

Previous Council directed staff to explore the option of offering water service to parcels located outside the City limits and Urban Growth Boundary adjacent to phases IV and V of the Switzer Canyon Water Transmission Main project, possibly in exchange for property rights for waterline easements. On November 18, 2021, seeking clarification of the Water Commission’s previous recommendation, staff brought this issue to the Water Commission, resulting in a revised recommendation not to deviate from existing Water Policy and purchase property rights for easements (see attached).

INFORMATION:

The Switzer Canyon Water Transmission Main Project replaces a 1950’s transmission main with two new transmission mains. Starting in 2012 the City has completed three of five planned phases starting at the intersection of Switzer Canyon Road and Route 66 and heading North until the intersection of Fir Avenue and San Francisco Street. Phase IV and V will install the line up San Francisco Street, generally following the existing 16" water line across private property located in Coconino County and ending at City reservoirs two miles away.

On August 27, 2019, during an agenda item authorizing real property acquisitions for Phase IV and V, Council gave direction to staff to explore the option of offering water service in the areas outside the City Limits, possibly in exchange for property rights for waterline easements.

On November 19, 2020, staff brought the issue to the Water Commission, which made a recommendation to allow limited water service outside City limits to properties adjacent to the project under the following limited conditions: 
  • One meter per then existing parcel
  • Enter into an agreement not to develop any further on each parcel
  • Pay all applicable fees
On November 18, 2021, seeking clarification on the Water Commission’s previous recommendation, staff brought the issue to the Water Commission again, explaining the challenges with offering or exchanging water service for real property rights in an equitable manner. Additionally, providing water service to some parcels may require the City provide water service to all parcels within the area/HOA. Sharing this information resulted in a revised recommendation not to offer water service in exchange for easements.

Phase IV is estimated at $1.7 million dollars, which includes design, property acquisition and construction. Account number 202-08-370-3428-0-4466.  The City obtained appraisals with the cost for permanent and temporary easement acquisition estimated at $48,000 and $94,000, respectively.

Attachments