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_, .~ line and one million far water. The town could get a grant or a low interest low to finance the balance or join with Orange Alamance and the users would pay for the °~'~~~ reservoir. The earliest time the bonds would come due would be three or four years and at , that point of time the two systems may have 800 or 1000 new customers. If the County puts one million into the reservoir and it must be repaid, it doesn't help the Town. There is no doubt that the Town of Hillsborough can finance this reservoir much easier without the County participation than if the County participates. The county has such a financial position that grant money and low interest loans would not be available to it. Hillsborough, being a small community with limited resources, has afar greater chance of securing grants and loans. It was decided that the managers would meet and discuss the financing of the reservoir. Mayor Cates listed several options to the reservoir. They include the building of ponds on Seven Mile Creek which could be used as sedimentation or emergency ponds, using the rock quarry, Lake Michael, water agreement with Durham, OWASA and Orange Alamance and the Seven Mile Creek Reservoir. He emphasized that the Town needs a decision on the Seven Mile Creek reservoir so they can proceed with the building of that reservoir. He assured the Board that the Town could pay for the reservoir. Chairman Carey reiterated that the County has a broader definition of participation and cooperation between .the Town and Orange County in the reservoir project. A mechanism needs to be put in place with a time frame for developing a process for working together on the reservoir decisions. Progress needs to be shown by both the County and the' Town on entering into a written agreement on mutual respect for each land use plan and cooperation for approval of development inside Hillsborough's ultimate utility service area but outside its current jurisdiction. Chairman Carey emphasized that the Orange County Planning Board needs to be given some policy guidelines before they meet with °'^'; Hillsborough's Planning Board. Horace Johnson pointed out that if development had been controlled around Lake Orange then the Iake possibly could have been raised to meet the water demands of the people of Hillsborough. The capacity of the wastewater treatment plant will need to be discussed. There is the capacity to treat approximately one and a half million gallons a day additional than what is presently being treated. Discussion ensued on the capacity of the wastewater treatment plant and whether or not expansion would be viable at its present location. It was decided that the Planning Boards will meet and discuss land use issues. The managers will meet to discuss financing for the reservoir. Mayor Cates disagreed with planning for land use issues stating that the lack of water is the issue. He asked that the County keep the Town informed on issues of mutual interest and respond to the requests made by the Town (Resolution of last April). Chair Carey emphasized that there are some issues related to development of the new water source for Hillsborough that affect people. outside of Hillsborough and intertwine with some of the land use policies that are in place. Carey noted it is not a reasonable assumption that you can proceed with the building of the reservoir without considering the use of the land around the reservoir. Horace Johnson agreed that there needs to be a land use plan in place so that what happened at Lake Orange will not happen again. The watershed must be protected. Gommissioner Halkiotis stressed that the Gounty and the Town will have to work to build a relationship that will allow them to work together with give and take.