Agenda - 03-29-2012 - Abstract of Items

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137 22 I. Water and Sewer Extensions When municipalities initiate an annexation, they no longer have the discretion to set the terms of financial participation by annexed property owners in the extension of water and sewer infrastructure. Instead the act implements a new "opt -in" process and cost limitations for those services. Municipal financial responsibility for water and sewer extensions is dramatically increased as a result Opting in. The city's obligation to provide water and sewer extensions is triggered if the owners of a majority of the properties in the annexation area request the extensions. In addition to the major infrastructure, individual water and sewer lines must be provided all the way to the structures on the requesting properties. Once the opt -in threshold has been met, the municipality must provide the extensions at no cost (other than user. fees) to all properties that request it by the deadline, and at a reduced cost on a sliding scale to those requesting it at a later time. In order for lines to be installed to structures on the individual properties, the property owners must provide installment easements. Following installation of the lines, the property owner takes ownership of them and becomes responsible for their maintenance and repair. Who requests. The property owners that are eligible to sign up for water and sewer extensions at no cost are those who own the property as of the date of the combined notice of the public informational meeting and public hearing. Procedure. The municipality must begin the water and sewer sign -up process within five business days of the resolution of intent by notifying property owners, in writing, of the opportunity to have water and sewer lines and connections installed at no cost. The property owners are allowed 65 days from the passage of the resolution of intent to respond yes or no to this opportunity. A majority of the property owners of a single parcel of real property must respond favorably before the parcel can be counted as a "yes." Any owners of parcels that already receive the municipality's water or sewer, whether provided by the municipality or by a third party under contract with the municipality, are deemed to respond favorably. Successful opt -in. If after 65 days, the property owners of a majority of the parcels respond favorably, those that responded favorably receive the right to have lines and connections installed at no cost, a right that runs with the land. The municipality must notify, within five days, those property owners who failed to respond, or who responded negatively, that water and sewer will be extended to the area and offer a second, 30 -day opportunity for that property owner to sign up. Those property owners responding favorably to this second opportunity also receive water and sewer extensions at no cost.