Consider Recommending Council Approval of City Cost Participation for Looped Watermain Connection through Brookfield 8th Addition

Purpose:
The purpose of this case is to consider recommending City Council approval of City cost participation for a looped watermain connection through Brookfield 8th Addition.

Background:
Capstone Homes proposes to construct 25 single family homes along an approximately 1,200 foot long cul-de-sac street in Brookfield 8^th Addition.  This development is in the City’s MUSA area and as such is proposed to be served by City water and sanitary sewer.  The development plans submitted by Capstone Homes show the 8-inch diameter trunk watermain running through the cul-de-sac and dead-ending at the edge of the plat.
 
Engineering Staff’s plan review comments directed the developer to extend the dead-end watermain line approximately 650 feet through an existing City owned right-of-way corridor to the south and to connect the extended watermain to an existing watermain stub north of 166^th Avenue.  This would provide a looped trunk watermain system which allows water to be drawn from either end of the trunk line which is preferred to dead-end watermain lines for numerous reasons, which are discussed in more detail below.
 
The developer responded that they can’t afford to bear this cost alone, but that they understand the benefits and are agreeable to sharing up to 50% of the costs required to complete this work, to a maximum of $50,000.  The estimated cost to extend and connect the 8-inch trunk watermain line, including approximately 500 feet of directional drilled high-density polyethylene (HDPE) watermain and 150 feet of open trenched cast iron pipe (CIP), through the City owned right-of-way between 166^th Avenue and Brookfield 8^th Addition is approximately $100,000.  A 50/50 cost split would therefore result in both parties contributing up to $50,000 for this work.
 
This watermain connection was discussed briefly by the City Council on February 28^th.  At the time, Council raised concerns that sharing in costs for directed work could set a precedent whereby future developers may request City cost sharing for watermain extensions and connections when requested by the City.  However, Staff believes this situation is unique and would not set a precedent for future developer cost-share requests since the requested watermain extension occurs well outside the plat for Brookfield 8^th Addition and therefore similar situations are anticipated to be encountered infrequently.
 
The trunk watermain connection will benefit both the City and the developer so City Staff supports a 50/50 cost-share based on dual benefits.
 
Benefits to the City due to a looped water supply system include;
 

1. Improved public safety response due to increased water pressure and flow rates
2. Improved water quality due to increased water pressure and flow rates
3. Ability to isolate (shut off) fewer homes when maintaining watermain
4. Reduced maintenance costs due to minimal watermain flushing needs

 
Benefits to Capstone Homes due to a looped water supply system include;
 

1. Ability to obtain Certificates of Occupancy one home at a time (versus obtaining multiple CO’s for dead-end watermain)
2. Increased customer satisfaction due to City benefits #1 through #3

 
Attached is a one-page position sheet provided by Capstone Homes.  As noted, if a cost-share agreement is not approved the developer proposes to install a dead-end watermain line.  While this would not be ideal due to the potential concerns regarding water quality and public safety noted above, the dead-end 8-inch watermain line would be sufficient to serve the new homes along the cul-de-sac street once a sufficient number of homes are occupied and are using water.  This number will depend on the locations of the homes along the dead-end main (to be determined by City Staff as needed).

Staff estimates this case will take 15 minutes to present and respond to questions.

Capstone Homes would complete the looped watermain connection work as part of their development, and the City would reimburse them for our share of the costs.  City Staff will inspect the work and costs will be based on actual construction costs, which will be reviewed and approved by City Staff.  Appropriate traffic control will be used as necessary while the work is completed.
 
Ben Minks with Capstone Homes will be attending to answer questions as needed.

If a cost-share is approved by City Council, Staff will develop a cost-share agreement to be executed between the City and Capstone Homes. The City’s share of costs will be funded through the Water Funds.

Since the trunk watermain connection would benefit both the City and the developer, City Staff supports a 50/50 cost-share in an amount not-to-exceed $50,000.

Recommend City Council approval of sharing in up to 50% of construction costs to connect the watermain from Brookfield 8th Addition to the existing trunk watermain at 166th Avenue at a not to exceed amount of $50,000.