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mem uJ hater Resourcn <br /> W/ <br /> TO: Orville W. Powell <br /> THROUGH: Cecil A. Brown <br /> FROM: A. T. Rolan <br /> SUBJECT: Agreement for the Sale of Water between the Town of <br /> Hillsborough and the City of Durham <br /> DATE: May 5, 1987 <br /> The Town of Hillsborough has requested that we allow an <br /> interconnection between the Durham and Hillsborough water <br /> systems. The attached agreement has been negotiated by the <br /> Durham and Hillsborough staff for a maximum of 2 MGD to Hills- <br /> borough and a maximum of 1 MGD to Durham when either community <br /> has a need for and has excess water available. <br /> • <br /> The agreement includes a service area boundary line which is <br /> consistent with the City' s long range plans for utility service. <br /> All cost for construction of the line between the two systems <br /> will be born by Hillsborough with the <br /> portion of those costs over a ten potential - for- recovery �f a <br /> fo r.� connect.l0ns�.toY year period f tom. assessments <br /> the rportion of- the:41ne ,,in • Durham' s -serv4ce <br /> area. It should also be pointed out that in granting this <br /> request for interconnection, the CIty, Council will be making an <br /> exception ::to the- Urban - Growth ;Pol 1 cy • as it relates to the <br /> extension• of.! water - lines -outside- the Urban Growth Boundary. <br /> Urban Growth Policy does not currently ofe <br /> water lines outside the Urban Growth Boundary to h extension <br /> tootherunits of <br /> local governments. <br /> In the spirit of regional cooperation for the interconnection of <br /> water systems and recognizing the cost of bulk service to another <br /> local government; the agreement allows a bulk discount for both <br /> governments for the water purchased under this agreement. We <br /> feel that this agreement will set a good precedent for regional <br /> cooperation and interconnection of water systems and can be used <br /> as a model for future agreements. _ We therefore, recommend that <br /> the City Council authorize the City Manager to enter into this <br /> agreement with the Town of Hillsborough. <br /> ATR/cgb <br /> Attachments <br /> cc: Water & Sewer T k Force Members • <br /> ' r. minas .� <br /> Mr. Thomas L. Bailey <br />