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New Business E.

City Council Meeting

City Manager

Meeting Date:

07/14/2025

Veolia Water Contract - Fifth Amendment

Submitted By:

Aaron Sorrell

Department:

Assistant City Manager - Public Services

Council Committee Review?:

Council Work Session

Date(s) of Committee Review:

07/08/2025

Audio-Visual Needs:

None

Legal Review:

Completed

Emergency Legislation?:

Motion/Ordinance/
Resolution No.:

2025-R-7587

Agenda Item Description or Legislation Title

A Resolution Authorizing The City Manager To Enter Into A Fifth Amendment To The Operations And Maintenance Agreement With Veolia Water Contract Operations USA, Inc.
(first reading)

Purpose and Background

This legislation authorizes a Fifth Amendment with Veolia Water Contract Operations USA, Inc. for the operations and maintenance of the City's water and wastewater systems. The changes found in this Fifth Amendment include:

Third-party damage reimbursements apply to fire hydrants and water meters.
Raises the minor maintenance threshold to $15,000.
Creates a "staff vacancy credit" program whereby Veolia Water reimburses the City for positions vacant longer than 90 days.
Increases the base fee amount due to market wage adjustments, chemical costs, and increased staffing.

Fiscal Impact

Source of Funds:

Water Fund/Sewer Fund

Cost:

$4,980,000 (Estimated)

Recurring Cost? (Yes/No):

Yes

Funds Available in Current Budget? (Yes/No):

Yes

Financial Implications:

Attachments

Resolution

Exhibit A

2025-R-7587