The City entered into a Participation Agreement for Water Line Extension Project (Agreement) with Mustang Oaks, LLC, the developer of the Ackermann and Ackermann II Subdivisions (Developer).  The Agreement was made pursuant to Resolution 24-R-98 which declared the public necessity for the acquisition of an easement for the water line and Resolution 25-R-146 which authorized use of the power of eminent domain for such property acquisition.

The Agreement stipulated that the City was obliged to obtain the easement by August 1, 2025.  Various conditions prevented the deadline from being met.  Additionally, during negotiation for the easement, the City requested that the alignment of the easement be slightly modified.  Developer has requested that in exchange for the delay and for the preparation of modified easement metes and bounds and construction plans, the Agreement be amended to authorize up to 44 water connections (in addition to the 56 connections authorized in the original Agreement).   Water and wastewater capacity for a total of 100 single family residential connections is currently available and has been internally allocated to the Ackermann Subdivision in anticipation of completion of the needed water line extension.  Indication has been made by the attorney of the property across which the needed easement lies that the most recent acquisition offer will be accepted.  Once that happens, the Developer will proceed, per the Agreement as amended, with final design and construction of the water line.

This resolution will authorize an amendment to the original Agreement that includes the authorization of additional water service connections prior to completion of the water line project.

Completion of the water line project to which contributions are being made by the City and the Developer will provide a looped system to serve multiple properties and existing and future developments in the vicinity.

Staff recommends approval of Resolution 26-R-068 authorizing an amendment to the Participation Agreement with Mustang Oaks, LLC, for Water Line Extension Project.

Approve Resolution 26-R-068