Agenda - 12-01-2014 - 7c - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 1, 2014 Action Agenda Item No. 7 -c SUBJECT: Orange County /City of Durham Utility Service Agreement Amendment DEPARTMENT: Planning and Inspections PUBLIC HEARING: (Y /N) No ATTACHMENT(S): INFORMATION CONTACT: 1. Original Agreement Craig Benedict, Planning, 919 - 245 -2592 2. Amended Clause Section 12 Howard Fleming, 919 - 245 -2586 3. Eno Economic Development District James Bryan, 919 - 245 -2319 Water and Sewer System Project Draft Master Plan Report (Section 1 and Section 8) 4. Eno EDD Map with New Focus Area PURPOSE: To amend an agreement to permit additional time (i.e. 2 years) for water and /or sewer system construction initiation in the Eno Economic Development District (EDD). BACKGROUND: In late 2011 and January 2012 Orange County and the City of Durham developed and approved an interlocal agreement: `7nterlocal Agreement between Orange County and the City of Durham for Construction and Operation of Water and Sewer Facilities in the Eno Economic Development Zone of Orange County ". The purpose was to develop a more formal utility service area within Orange County's Eno Economic Development District area and within the City of Durham's urban service area (also known as their suburban tier). Under normal circumstances, utility extensions would be solely the responsibility of developers. The agreement set forth parameters of water and sewer service, feasibility, design, construction and operation, when Orange County provided utility investments. Future Capital Investment Plan (CIP) projects were programmed for investment in the area. This agreement was a necessary preamble to beginning Article 46 economic development infrastructure investment in the area. The County wanted to ensure that investments would be linked to capital returns and operational responsibilities by the City of Durham once facilities are installed in this jointly designated Orange County and Durham City economic development area. This area has been designated for this land use since the early 1980's. A lengthy engineering feasibility analysis of what area could be served and at what cost was conducted by a jointly approved outside firm (CDM Smith) starting in late 2012. The findings of the study showed that the costs for a large EDD 796 acre district -wide solution were prohibitive at this time due to high off -site (i.e. Durham area) infrastructure costs. This was noted in County CIP work sessions in early 2014. The scope (Section 1) of the original study and conclusions (Section 8) are in Attachment 3.