Adopt Resolution #20-197 Approving Amended Petition and Waiver Agreement for Municipal Water and Sanitary Sewer Connection to 7600 163^rd Lane NW.
 

At the August 10, 2020 City Council meeting, Council approved the petition and waiver agreement for municipal water and sanitary sewer connection to 7600 163^rd Lane NW. The owner of real property at 7600 163^rd Lane NW requested to connect to municipal water supply and sanitary sewer due to significant costs required to repair their failing private septic system, and they asked to be assessed for the costs to connect to municipal utilities. These costs were set at $14,409.
 
On Wednesday, August 26, 2020 the property owners requested that the the City reduce or eliminate the accessibility charges (SAC and WAC) associated with the connections to help offset the large cost difference of hooking up to municipal water and sanitary sewer versus replacing their private septic system.  The costs for each are listed below:
 
Assessment Amount               $14,409
Accessibility Charge (SAC)   $2,485
Accessibility Charge (WAC)  $1,331
Permit Fees                             $586.59
On-site service connection     $6,000 (Based on Contractor Estimate)
Interior service connection     $1,500 (Based on Contractor Estimate)
 
Municipal Connection Total   $26,311.59
Private Septic Replacement    $20,000.00 (Based on Mound System)
 
Estimated Additional Cost     $6,311.59
 
City Staff reviewed the request and does not generally support reducing SAC & WAC charges or building permit fees. Instead, Staff reviewed the overall assessment cost and recommends reducing the sewer lateral and water lateral fees to reflect actual contract costs for this work versus using the 2020 rates and charges amount.  These cost differences are listed below:
 
Sewer Lateral (2020 R&C)     $4,968
Sewer Contract Amount         $4,778
Sewer Difference                    ($190)
 
Water Lateral (2020 R&C)     $6,346
Water Contract Amount         $4,780
Water Difference                    ($1,566)
 
The amended fee for connecting to municipal sewer and water is $12,653, a reduction of $1,756. The property owner is in agreement with the amended fee and desires to be assessed the entire amount. The City considers this to be acceptable based on current policies and regulations.
 

Notification is not required.
 

In order to allow costs to be assessed against the property, the property owner must enter into the attached amended Petition and Waiver Agreement, thereby waiving any rights to appeal the assessment. The attached Agreement was reviewed and approved by the City Attorney and Finance Director.
 
Payment of the assessed amount of $12,653 will be spread over ten (10) years and will be charged interest in the amount of 2% over the rate at which the City sells bonds, or 2% over the 10-year treasury rate if the City does not bond for funding.
 

The property owner is responsible for all costs associated with this request.
 

Staff recommends approval of the amended Petition and Waiver Agreement for 7600 163^rd Lane NW.
 

Motion to adopt Resolution #20-197 approving the amended Petition and Waiver Agreement for municipal water and sanitary sewer connections to 7600 163^rd Lane NW.