Minutes 10-13-2015 - Laserfiche WebLink

Browse Search

2. Discussion on Using a County Water and Sewer District as a Mechanism to Provide a Tool to Finance Expenditures in the Rogers Road Area Bonnie Hammersley said in the final report of the Historic Rogers Road Neighborhood Task Force, dated September 2013, this issue was discussed and directed the Manager to find an innovative approach. She said she has worked with the Town Managers and with Orange Water and Sewer Authority (OWASA) and has kept the Rogers Eubanks Neighborhood Association (RENA) in the loop. Bonnie Hammersley said Carrboro will be discussing this issue on October 20, and Chapel Hill has not yet scheduled a discussion. She said the purpose of this evening's discussion is to get direction from the Board of County Commissioners. She said Bob Jessup is here tonight as well to provide information on this issue. Bob Jessup, Bond Counsel, said a lot of time has been spent with staff putting together the abstract on this issue. Chair McKee asked if Bob Jessup would please review the information in the abstract. Bob Jessup read the information from abstract: A "county water and sewer district" is a type of governmental entity authorized by North Carolina law. Many counties across the State form these districts as a tool to provide utility service in areas that cannot be conveniently served by existing utility providers. Some counties have had more than five districts within their boundaries. These districts are often created to serve isolated or more sparsely settled areas, but the vehicle provides flexibility to serve any defined area within a single county. Differences Creating a county water and sewer district offers certain flexibilities compared to extending service using current policies and procedures. 1. The District would be able to implement a schedule of rates, fees, and charges independent of Orange Water and Sewer Authority's (OWASA) schedule, which can therefore be tailored to the special characteristics of the District. For example, a District could establish a fee to recover primary infrastructure costs as properties are developed or redeveloped in the future. Similarly, the District could make use of unique technologies and design features that OWASA might not choose to use on a system-wide basis, but might be appropriate for a smaller area. 2. The District may be able to obtain loans and grants for which Chapel Hill, Carrboro, and Orange County are not eligible. This would include loans and grants from traditional water and sewer funders, but also from funders more interested in the social justice aspects of the project. 3. Although the District would not have its own planning authority, having the District defined as a separate entity may facilitate coordinated planning and other land use discussions among the relevant governments. Governance, Management and Construction By law, the Board of County Commissioners serves as the District's governing body. Existing law allows for no alternatives to this governing structure. Although the District could bid and supervise the system's construction itself, staff has contemplated that the District would contract with OWASA to supervise and manage the construction of the system. The District could also contract with OWASA to manage the provision of utility service where OWASA would be responsible for monitoring and maintaining the system and for billing and collecting from customers. Procedure to Create the District